5259 S Ashland Ave 12,901 SF 100% Leased Retail Building Chicago, IL 60609 $3,250,000 ($251.92/SF) 7.17% Cap Rate

GSA Leased Property. Initial 10 year Lease with 8 yrs remaining. GSA occupies 8,776sf (67.8%) of the +/-12,901sf one story building. GSA is a relocation from a few blocks away to a more modern facility. The GSA portion is a Social Security Office that has been in the area for over 20 yrs. They have invested nearly one million dollars in the buildout in this location. Rent commencement date for the GSA lease was May 15, 2023. The remaining 4,214 sf consists of 3 value added retail stores. Unit 5255 is +/-1,180sf and is currently vacant. Unit 5257 is +/- 1,575sf and is leased to a nail salon on a mo/mo basis with a gross lease. Unit 5259 is +/- 1,380sf and is leased to a convenience store with a modified gross lease. Newly remodeled building includes new roof, new HVAC systems and total modern interior renovation of the GSA leased space.
An added bonus to this investment is that the annual $111, 122 Tenant Improvement allowance reinmbursed to the Landlord thru 5/31/2028 is not factored in the calculated $233,903 NOI. Estimated annual NOI thru 05/31/2028 is approximately $345,025. That increases the cap rate to approximately 10.61% thru May 2028.