Mariano's store in Palatine sold for $29M
The building leased to Mariano's Fresh Market in Palatine has been sold for about $29 million to a private buyer.
Brokers from Inland Private Capital Corp., announced the sale Thursday. They were not able to give further details about the buyer or the deal.
Located at 545 N. Hicks Road, the 71,324-square-foot building is situated on about 6.5 acres. It will remain in operation as Mariano's.
Constructed in 2011, the property is leased to Roundy's Supermarkets Inc. In December 2015, Kroger Co. purchased Roundy's which includes names such as Copp's, Pick 'n Save and Mariano's Fresh Market.
"We are pleased that the sale of the Palatine location completed our Chicagoland Fresh Market Venture DST investment program, which also included a Mariano's Fresh Market in Vernon Hills, Illinois that previously sold for $36.4 million," said Keith Lampi, president and chief operating officer of IPC.
"We began purchasing Mariano's locations on behalf of investors beginning in 2011, and as early adopters of what has been the fastest-growing grocery brand in the Chicagoland area, our investors reaped the benefits through substantial returns with the sale of both properties."
The sale resulted in a total return to the investors of 157.61 percent (calculated based on the aggregate amount of original capital invested in this property), Lampi said.
The Palatine sale is the latest in a long run of high-priced sales of buildings leased to the grocery chain. These properties have attracted investors because of their locations and long-term leases, experts say.
A similar sale took place about 10 days after the Mariano's on Golf Road in Des Plaines opened in the spring. Realty Income, a San Diego-based investment trust, purchased that location for $34.6 million. And a couple of days after Mariano's opened in Lombard in August, the building was sold to a private investor for $20 million.