4363 N Lincoln Ave 6,513 SF 100% Leased Retail Building Chicago, IL 60618 $2,500,000 ($383.85/SF) 6.22% Cap Rate

Trophy building in the heart of Lincoln Square, at Lincoln and Montrose, a highly visible corner across from Welles Park. The building is anchored by L&M Deli, a neighborhood staple serving deli sandwiches, high-end groceries, as well as beer, wine, and liquor. In addition, there are four large apartments: (1) three bed / onebath unit and (3) two bed / one bath units.
The building underwent significant renovation in 2007 including the replacement of all copper water lines, all electric, a new main water line, a new sewer line, new windows, new HVAC, and the cosmetic renovation of all units. The apartments all have central air conditioning with clean, rental quality finishes (hardwood floors, laminate counter tops, and entry level appliances). Laundry is a shared community room located on the 2nd floor of the building.
Immediately across from the building is the newly opened Small Cheval as well as a longstanding Lou Malnati's. L&M Deli has been in business at this location for over five years with four years of term remaining on the lease and (2) five-year FMV options. The space has had extensive upgrades including two large, walk-in freezers, a 1,500 SF air conditioned prep kitchen in the basement, as well as ventilation and black iron for the kitchen (all installed in 2007).
A new buyer has the opportunity to mark the existing apartment rents to market amid growing rental pressure with a lack of available supply, all while owning a trophy building with cash flow in place. In the future, additional value-add can be achieved at the fair-market-value lease negotiation with L&M Deli in 2029.