This DaVita Dialysis and Dunkin’-anchored center offers a strong operating history and a compelling value-add opportunity.
Dunkin’ has operated at the site since 2004 and recently exercised three of its five-year renewal options, further demonstrating its long-term commitment. The store operates under a corporate NNN ground lease with over 14 years remaining and 12.5% rent increases every five years. It features a drive-thru and sits on its own parcel, providing an opportunity for cap rate arbitrage via a future pad sale.
DaVita has operated a high-volume dialysis clinic at this location since 2014, after acquiring an existing practice that had been in operation since 2000. The clinic is open six days a week, reflecting strong patient demand and utilization. DaVita signed a double-net lease with nearly four years remaining and 3% annual rent escalations. Importantly, the property is located in a Certificate of Need (CON) state for dialysis centers, creating a regulatory barrier to entry for potential competitors.
The site also includes 16,128 SF of vacant space, presenting significant upside through new leasing activity. Situated in a dense Chicago neighborhood near two major hospitals, the property benefits from high traffic counts, excellent visibility, and a robust trade area with over 208,000 residents and more than 144,000 daytime workers within a three-mile radius.