Staples Retail NNN
For Sale
Contact for pricing
Pending
1600 N Milwaukee Ave, Vernon Hills, IL 60061
Fee-simple retail NNN asset with Staples on an NN lease and about 13.6 years of primary term remaining.
Property Size19,150 SF
Days on Market186
Property Features for 1600 N Milwaukee Ave
General Information
Standard status
Pending
Size
19,150 SF
Property subtype
RETAIL
Listing Agency:
JLL | Miami
(305) 704-1403
Listed By:
Alex Sharrin · License #475170243
(305) 913-5545
Source:
Moodyscre
Added: Mar 12
Changed: Sep 4
Last Checked: Sep 13 at 9:46AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of JLL | Miami
Investment Insights
Based on property information with market context.
Jones Lang LaSalle Americas, Inc. (JLL) is pleased to offer the fee simple interest in a Staples retail property known as the Staples at 1600 N Milwaukee Avenue in Vernon Hills, Illinois. The property comprises approximately 19,150 square feet and is operated by Staples under an NN lease.
The lease has approximately 13.6 years remaining in the primary term and includes one five-year option with a 10% rent increase. The offering remarks also indicate a significant mark-to-market opportunity, citing rents 47% below market.
This is a straightforward NNN retail investment opportunity centered on the existing leased Staples location, presented for acquisition on a fee simple basis.
The lease has approximately 13.6 years remaining in the primary term and includes one five-year option with a 10% rent increase. The offering remarks also indicate a significant mark-to-market opportunity, citing rents 47% below market.
This is a straightforward NNN retail investment opportunity centered on the existing leased Staples location, presented for acquisition on a fee simple basis.
Key Highlights
- Fee‑simple retail NNN asset with Staples at 1600 N Milwaukee Avenue in Vernon Hills, IL
- Staples is operating on an NNN lease with about 13.6 years of primary term remaining
- Lease includes one 5‑year option with a 10% rent increase
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$195,847
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.11%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,916,940
$3.9M
Cap Rate 7%
$2,797,814
$2.8M
Cap Rate 9%
$2,176,078
$2.2M
Market Conditions
NOI Build-Up for 19,150 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$287.3K $15.00/SF
− Vacancy
−$7.5K −$0.39/SF
EGI
$279.8K $14.61/SF
− OpEx
−$83.9K −$4.38/SF
NOI
$195.8K $10.23/SF
Area
Lake County, IL
Vacancy
2.60%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,916,940
Cap Rate 7%
$2,797,814
Cap Rate 9%
$2,176,078
Alternative Uses
Best Use
Retail
$2.80M
$2.45M – $3.26M
NOI $195,847 @ 7.0% cap · market cap 5.11%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$6.61M
$5.79M – $7.71M
NOI $462,814 @ 7.0% cap · market cap 12.08%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,085
Businesses Nearby
214k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Groceries 54%
Dining 18%
Shops & Services 11%
Home Improvements & Furnishings 10%
Trader Joe's
Groceries
49,700 visits/mo
0.1 miles
Mariano's
Groceries
37,048 visits/mo
0.2 miles
Aldi
Groceries
27,788 visits/mo
0.3 miles
Lowe's
Home Improvements & Furnishings
19,679 visits/mo
0.1 miles
Starbucks
Dining
12,506 visits/mo
0.1 miles
Demographics for 60061, IL
27,581
Population
11,649
Households
2.4
Avg Household Size
41
Median Age
66%
College-Educated
96%
High-School Grad
8.4 sq mi
ZIP Area
3,283
Density / Sq Mi
$121,588
Median Household Income
$60,647
Median Earnings
$1,862
Median Rent
$390,300
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
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Frequently Asked Questions
What type of property is this?
NNN property - Fee-simple retail NNN asset with Staples on an NN lease and about 13.6 years of primary term remaining.
Where is this nnn property located?
The property is located at 1600 N Milwaukee Ave Vernon Hills, IL.
What is the asking price?
The asking price for this property is $3,830,000.
What are key features of this property?
This property features: Fee‑simple retail NNN asset with Staples at 1600 N Milwaukee Avenue in Vernon Hills, IL; Staples is operating on an NNN lease with about 13.6 years of primary term remaining; Lease includes one 5‑year option with a 10% rent increase
