406 Hartman Lane, O'Fallon, IL, 62269
HSHS Administration Center
Key Information
Highlights
• Investment-Grade Healthcare Tenant | S&P A+ Credit Rating: Hospital Sisters Health System (HSHS) carries an A+ investment-grade credit rating from S&P Global Ratings and operates 14 hospitals with a significant presence throughout Illinois and Wisconsin.
• 2% Annual Rental Increases: The lease provides for 2% annual rent growth, delivering consistent contractual NOI growth throughout the remaining lease term.
• Redeveloped in 2021: The property was fully redeveloped in 2021 for HSHS, providing investors with a modern administrative facility and limiting near-term capital requirements.
• 11.35% Going-In Cap Rate | Near-Term Optionality: Offered at an 11.35% cap rate with approximately two years of lease term remaining, the investment provides an attractive combination of substantial current yield, contractual rent growth, and near-term flexibility for investors.
• Established Retail Corridor: The surrounding trade area features a strong concentration of national retailers and restaurants, including Walmart, Home Depot, CVS, Starbucks, Culver’s, Denny’s, and Hardee’s, reinforcing the property’s established commercial location.
• Affluent Demographics: The property benefits from a strong surrounding consumer base, with average household incomes exceeding $107,932 within the immediate trade area.
Photos



