Net Lease Property For Sale

NET LEASED INVESTMENT OFFERING

www.bouldergroup.com

Northwestern Memorial Hospital350 South Waukegan Road

Deerfield, IL 60062 (Chicago MSA)



1) Confidentiality&Disclaimer

2) ExecutiveSummary

3) PropertyOverview

4) Aerial

5) SitePlan

6) Maps

7) TenantProfile

8) DemographicComparisonReport

9) LocationOverview

10) ContactInformation

TABLE OF CONTENTS

TABLE OF CONTENTS



TheinformationcontainedinthefollowingOfferingMemorandumisproprietaryandstrictlyconfidential.ItisintendedtobereviewedonlybythepartyreceivingitfromTheBoulderGroupandshouldnotbemadeavailabletoanyotherpersonorentitywithoutthewrittenconsentofTheBoulderGroup.ThisOfferingMemorandumhasbeenpreparedtoprovidesummary,unverifiedinformationtoprospectivepurchasers,andtoestablishonlyapreliminarylevelofinterestinthesubjectproperty.Theinformationcontainedhereinisnotasubstituteforathoroughduediligenceinvestigation.TheBoulderGrouphasnotmadeanyinvestigation,andmakesnowarrantyorrepresentation.TheinformationcontainedinthisOfferingMemorandumhasbeenobtainedfromsourceswebelievetobereliable;however,TheBoulderGrouphasnotverified,andwillnotverify,anyoftheinformationcontainedherein,norhasTheBoulderGroupconductedanyinvestigationregardingthesemattersandmakesnowarrantyorrepresentationwhatsoeverregardingtheaccuracyorcompletenessoftheinformationprovided.Allpotentialbuyersmusttakeappropriatemeasurestoverifyalloftheinformationsetforthherein.

CONFIDENTIALITY & DISCLAIMER

CONFIDENTITALITY & DISCLAIMER



TheBoulderGroupispleasedtoexclusivelymarketforsaleasingletenantmedicalofficepropertyoccupiedbyNorthwesternMemorialHospitallocatedintheChicagoMSA.ThepropertyislocatedintheprestigiousNorthShorecommunityofDeerfield,whichisoneofthemostaffluentChicagosuburbs.NorthwesternMemorialHospitalrelocatedtothisbuild-to-suitpropertyfromamileawaytotakeadvantageofalargermodernfacility,bettervisibilityandeasieraccess.NorthwesternMemorialHospitalisaninvestmentgradecompanywithaMoody’screditratingofAa2.ThepropertyiscurrentlyunderconstructionandrentwillcommenceMarch11,2013undera15yearprimaryleasewithannual2.5%rentalescalations.

NorthwesternMemorialHospitalislocatedalongWaukeganRoad,whichexperiencestrafficcountsinexcessof26,100vehiclesperday.WaukeganRoadhasadirectaccessinterchangewithInterstate94adjacenttotheproperty.ThepropertyislocatedintheprimaryretailtradeareaadjacenttoDeerbrookMall.DeerbrookMallretailersincludeJewel-Oscogrocerystore,OfficeMax,BedBath&Beyond,T.J.MaxxandSportsAuthority.NorthbrookCourtRegionalMallislocatedapproximatelyonemileeastfromtheproperty.NorthbrookCourtisanchoredbyNeimanMarcus,Macy’s,Lord&TaylorandanAMCmovietheater.

Deerfieldisanaffluentcommunitywhereresidentsenjoyhouseholdincomesinexcessof$145,748withinthreemilesoftheproperty.Thereareover168,000peoplelivingwithinfivemilesoftheproperty.DeerfieldiscentrallylocatedbetweenmanyaffluentNorthShoresuburbs,includingGlencoe,HighlandPark,NorthbrookandWinnetka.TheNorthShoreisoneofthewealthiestandmosthighlyeducatedareasintheMidwest.

ThefacilitywillbestaffedbyFamilyPracticePhysicians,whotreatpatientsforminorinjuries,illnessandvaccinations.Adermatologysuitewillalsobelocatedonthefirstfloor,whilethesecondfloorwillbeoccupiedbyinternalmedicinephysicians. NorthwesternMemorialHospitaliscurrentlyunderconstructionandrentwillcommenceMarch11,2013.NorthwesternMemorialPhysiciansGroup’sprimaryleasetermisfor15yearswithannualrentalescalationsof2.5%.NorthwesternMemorialHospitalisaninvestmentgradecompanywithaMoody’sratingofAa2.

INVESTMENT HIGHLIGHTS

•LocatedwithintheChicagoMSA•Investmentgrademedicalofficetenant(Moody’sAa2)•Relocationandexpansionfromanexistinglocation•2.5%annualrentalescalations•Longtermleasewith15yearsremaininguponrent commencement

•LocatedoffInterstate94exitramp•DeerfieldisanaffluentChicagosuburbwithaveragehouseholdincomesinexcessof$145,748withinthreemilesoftheproperty

EXECUTIVE SUMMARY

EXECUTIVE SUMMARY



Price: $7,151,254

CapRate: 5.50%

NetOperatingIncome: $393,319

RentEscalations: 2.5%annual

RenewalOptions: Two5-yearatFMV

LeaseCommencementDate: March11,2013

LeaseExpirationDate: March10,20281

Tenant: NorthwesternMemorialHospital

CreditRating: Aa2(Moody’s-InvestmentGrade)

YearBuilt: 2013

LeaseType: DoubleNet(Roof&Structure)2

RentableSquareFeet: 16,737

LandSize: 1.87acres(1) Tenant has the right to terminate the lease at the last day of the 10th lease year subject to penalty of approximately $692,000.(2) Property has a 20 year assumable non-prorated roof warranty.

PROPERTY OVERVIEW

PROPERTY OVERVIEW



AERIAL

AERIAL

LAKE COOK ROAD

S. WAUKEGAN ROAD

49,300 VPD

94

37,900 VPD

26,100 VPD

94



SITE PLAN

SITE PLAN

WAUKEG

AN ROAD



SITE

SITE

MAPS

MAPS



NorthwesternMemorialPhysiciansGroup,theusergroupoccupyingthefacility,isaprimarycaremedicalgroupwithover100physiciansin15medicalofficesintheChicagoMSA.ThesefacilitiesarelocatedintheneighborhoodsofStreeterville,Bucktown,LincolnPark,theLoop,RiverNorthandinthenorthsuburbs.Physicians at these facilities cover various specialties of internalmedicine, obstetrics and gynecology,pediatrics, dermatology, occupationalmedicine, integrativemedicine,wellnessanddiseaseprevention,executivehealthandperioperativecare.

NorthwesternMemorial Hospital is one of the country’s premier academicmedical center hospitals. ItistheprimaryteachinghospitalforNorthwesternUniversity’sFeinbergSchoolofMedicine.Infiscalyear2010, twelveofNorthwesternMemorialHospital’smedical specialtieswere ranked in theU.S.News&WorldReports“America’sBestHospital”issue.NorthwesternMemorialHealthCareCorporationcontractswithmanagedcarepayersonbehalfofthehospital’smedicalstaff.NorthwesternMemorialHealthCareis thecorporateparentofallNorthwesternMemorialHospital,NorthwesternMemorial FoundationandNorthwesternLakeForestHospitallocations.

NorthwesternMemorialPhysiciansGroupWebsite: www.nmpg.comNorthwesternMemorialHospitalWebsite: www.nmh.orgHeadquarters: Chicago,IL

TENANT PROFILE

TENANT PROFILE



Population 1-mi 3-mi 5-mi

TotalPopulation 5,450 72,452 168,271TotalHouseholds 2,030 27,705 62,667

Income

MedianHouseholdIncome $111,164 $120,146 $104,427AverageHouseholdIncome $136,975 $145,748 $132,888

DEMOGRAPHIC COMPARISON REPORT

DEMOGRAPHIC COMPARISON REPORT



DeerfieldhaslongbeenregardedasoneofthepremiercommunitiesoftheNorthShore.DeerfieldisavillagelocatedwithinLakeCounty,Illinoisapproximately25milesnorthofChicago,Illinois.Atthetimeofthe2010U.S.Census,Deerfieldhadapopulationof18,225andLakeCountyhadapopulationof703,462.Additionally,aportionofDeerfieldVillage is inCookCounty.Peoplecontinuouslychoose to

relocatetoDeerfielddue,inlargepart,totheavailabilityofsuperiorelementaryschools,middleschoolsandthepresenceofDeerfieldHighSchool.DeerfieldHighSchoolisoneofthetophighschoolsinthestate,ranking#5in2012.

TheVillageisalsohometoseveralFortune500companies,includingWalgreens(over5,000employees),BaxterHealthcare,Beam,ConsumersDigest,CosiandFortuneBrandsHome&Security.ThelargestemployersinDeerfieldareWalgreens,Baxter InternationalandTakedaPharmaceuticals.Deerfield isabout threemileswestofLakeMichiganandthreemileseastofChicagoExecutiveAirport.ChicagoO’HareAirportislocatedapproximately15milestothesouthwest,justbeyondtheI-294andI-90intersection.

www.deerfield.il.us

Chicago isthemostpopulouscityintheMidwesternUnitedStatesandthethirdmostpopulouscityintheUnitedStateswith2,700,000residents.ChicagoisthecountyseatofCookCounty,thesecondlargestcountyintheUnitedStates.TheChicagoMSAisthethirdmostpopulatedmetropolitanareaintheUnitedStateswith9,580,567residents.TheMSAcoversover1,300squaremilesand six counties. TheChicagometropolitanarea ishome to the corporateheadquarters of 57 Fortune 1000 companies, including Boeing, McDonald’s, Motorola,DiscoverFinancialServicesandUnitedAirlines.Chicagoisamajorhubforindustry,telecom-

municationsandinfrastructureandO’HareInternationalAirportisthesecondbusiestairportintheworldintermsoftrafficmovement.

ThemetroisalsoamajorfinancialcenterinNorthAmerica,andishometothelargestfuturesexchangeintheUnitedStates,theCMEGroup.ChicagoisthirdintheworldontheGlobalFinancialCentersIndexwhichranksthecompetitivenessoffinancialcentersbasedonpeople,businessenvironment,marketaccess,infrastructureandgeneralcompetitiveness.

www.cityofchicago.org

LOCATION OVERVIEW

LOCATION OVERVIEW



666DundeeRoad,Suite1801Northbrook,IL60062

Randy [email protected]

Jimmy [email protected]

CONTACT INFORMATION

CONTACT INFORMATION

Net Lease Property For Sale

Real Estate

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