Petco | Across from Regional Mall
West Dundee, IL (Chicago MSA)
Price: $3,529,000Cap Rate: 7%Building SF: 19,000 SFLot Size: 1.73 AcresYear Built: 1987/Ren 1997Status: Available

Investment Highlights: 

Strong Corporate Backed Lease – Petco: #100 on Forbes Largest Private Companies List (2018) – $4.2B in Revenue (2017) – The subject property is leased to Petco Animal Supplies, Inc. (corporate). Founded in 1965, Petco is a leading pet specialty retailer operating more than 1,500 Petco locations across the U.S., Mexico and Puerto Rico, including more than 80 Unleashed by Petco locations (a smaller format neighborhood shop). Currently Petco employs more than 25,000 people and reported $4.2B in revenue for 2017 and was #100 on Forbes largest private companies list in 2018.

Successful 20+ Year Operating History – Multiple Lease Extensions Reflect Commitment to Site – Roof Replaced in 2016 – Petco’s original lease commenced in 1997, reflecting a 20+ year operating history at this location. The tenant has shown their commitment to the site by investing $75,000 in building improvements back in 2013, as well as extending their original lease twice for an additional 11 years, with the most recent 5-year extension commencing in February 2019. The LL replaced the roof in June of 2016.

Located Across from Spring Hill Mall – Undergoing $40M Renovations for Mixed Use Project – The subject property is located across from the Spring Hill Mall, a 1.37 million square foot mall anchored by Kohl’s, Cinemark Theater, and Macys, with other national tenants such as H&M, Barnes & Noble, Payless ShoeSource, Aeropostale, Hibbett Sports, and Rue21. In 2015, with the support of both The City of Carpentersville and The City of West Dundee, Mall owners Rouse Properties began redevelopment efforts to revive Spring Hill Mall, with construction under way on a $40 million renovation project that will continue for the next two years.

Strategic Location Along West Dundee’s Main Retail Corridor – Excellent Retail Synergy – The subject property is ideally located on N. 8th Street, offering outstanding visibility to traffic counts over 29,000 cars per day. North 8th Street is West Dundee’s main retail corridor, providing strong retail synergy with tenants such as Walgreens, KFC, Dollar Tree, Red Wing Shoes, LA Fitness, Jiffy Lube, Big Lots, Aldi, AutoZone, Fifth Third Bank, and more.

Dense Infill Location – Strong Demographics – Limited National Pet Supplier Competition – The property’s dense infill location offers excellent demographics. There are nearly 160,000 residents with an average household income of over $94,000 living within a 5-mile radius of the subject property. The Petco benefits from limited pet supply store competitors. The closest national pet supply store is a PetSmart, located roughly 6 miles away in Algonquin, IL.

Located in West Dundee – Northwest Suburb of Chicago: 3rd Most Populous City in the U.S. – The Petco is located in the town of West Dundee, Illinois, which lies approximately 42 miles northwest of Chicago. As part of the upper Fox River Valley in northern Illinois, West Dundee enjoys one of the region’s most unique and treasured assets, the Fox River greenway. The Fox River serves as the Village’s eastern border and is quickly becoming one of the community’s finest recreational areas.

Today, Dundee is in the midst of an economic revival. The Village has seen the job market increase by 1.6% over the last year and future job growth over the next ten years is predicted to be 38.0%. West Dundee also is in the first phase of renovating its downtown, which will be largely completed by 2020. By updating downtown West Dundee, the community leaders hope to bring business to restaurants and new entertainment centers in the area.


Ryan Barr

rbarr@lee-associates.com
O. 760.448.2446
F. 760.929.9977

Ryan Bennett

rbennett@lee-associates.com
O. 760.448.2449
F. 760.929.9977