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5153-5167 W 111th St, Alsip, IL, 60803

Action Behavior Centers
$3,157,403

Key Information

Cap Rate
7.7%
Year Built
1984
Type
Healthcare
Occupancy
100%
NOI
$243,120
Leasable Area
8,000

Highlights

  • Extremely Passive Investment – This long-term single tenant healthcare investment features a landlord friendly lease structure with minimal landlord responsibilities that is ideal for out of state investors.
  • Extensive 2024 Renovations – The property underwent significant upgrades in 2024, including all new HVAC systems, a fully inspected and warrantied roof, fresh painting, and over $1M of tenant improvements for interior renovations.
  • E-Commerce Resistant Tenant – Healthcare operators aren’t prone to the same competition that many retail tenants face. Healthcare properties are highly sought-after investments for their insulation from e-commerce competition and resistance to economic downturns.
  • Sticky Tenancy – Autism Therapy practices rarely relocate due to difficulty retaining the same patients in a new location, and the high cost of moving, which provides an extra level of security to a future landlord.
  • Annual Rental Increases – The site features a 3.00% rental increase in the base term that serve as inflation protection through the growth of cash flow over the life of the lease.
    Billion Dollar Market for Autism Therapy – The global autism therapy market was valued at $2.19 billion in 2023. The market is projected to reach $68.72 billion by 2031, with a CAGR of 6.60% during the forecast period 2024 to 2031.
  • Chicago MSA – Located in Alsip, directly adjacent to Oak Lawn, within Cook County and the Chicago MSA, the 3rd largest metropolitan area in the United States.
  • Affluent Area with High Population -The average household income within 1 mile of the property is over $102K per year, and the population within 5 miles exceeds 369,000 residents.
  • Favorable Depreciation – Given the heavy build out at this facility, this opportunity offers investors the ability to capture more favorable depreciation advantages through a cost segregation study. (*Investors to confirm with their own CPA)
  • 300+ Locations – The tenant, Action Behavior Centers, operates more than 300 locations across Texas, Arizona, Colorado, Illinois, North Carolina, and Minnesota, making them one of the largest and fastest-growing providers of autism therapy in the country.
  • Private Equity Backed: Action Behavior Centers is backed by Charlesbank Capital Partners, who acquired the business in 2022 at an $840M valuation. Their investment is a culmination of a multi-year evaluation of many ABA providers. Their diligence validated ABC’s position as a leading ABA provider with strong clinical outcomes, a unique culture that supports clinician retention, and a data-driven management team.

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Location

Agents

Broker of Record

Matthew M. Fitzgerald

License # 478027547 (IL)
Matthews Real Estate Investment Services, Inc
1600 West End, Ste. 1500 Nashville, TN 37203