Jeffrey Weil / January 7, 2026
November Capital Facilitates Sale of Brand-New Chipotle Net Lease Investment in Waukegan, Illinois at a 5.10% Cap Rate Acquired by California 1031 Exchange Investor
WAUKEGAN, ILLINOIS — November Capital is pleased to announce the successful sale of a brand-new construction net lease Chipotle Mexican Grill located in Waukegan, Illinois. The transaction was led by November Capital President Jeffrey Weil. The property traded at a 5.10% cap rate, reflecting continued investor demand for high-quality, single-tenant net lease assets with strong real estate fundamentals, even amid a higher interest rate environment.
The buyer was a 1031 exchange investor seeking long-term, passive income and capital preservation. In a market where exchange buyers are increasingly selective, the combination of new construction, lease term, and tenant credit made this asset a compelling replacement option for proceeds coming out of a higher-management or lower-credit property.
“For 1031 exchange investors, certainty matters—both in the real estate and in the lease structure,” said Jeffrey Weil, President of November Capital. “New construction assets with long-term, absolute NNN leases and built-in rent growth continue to attract capital because they offer predictable income with minimal operational risk, even in a higher-rate environment.”
The property is located along one of the busiest retail corridors in Waukegan, benefiting from excellent visibility, strong traffic counts, and dense surrounding retail. These characteristics, combined with Chipotle’s category-leading brand and resilient operating model, positioned the asset as a core net lease investment for long-term capital.
A primary driver of investor interest was the 17-year absolute NNN lease, which delivers truly passive ownership. Under an absolute NNN structure, the tenant is responsible for taxes, insurance, maintenance, and capital expenditures—effectively insulating ownership from rising operating costs and ongoing management obligations.
The lease also features contractual rental escalations every five years, providing built-in income growth and a long-term hedge against inflation. For 1031 exchange investors focused on preserving purchasing power while locking in predictable cash flow, this combination of lease term, tenant credit, and rent growth remains highly attractive.
The property was developed by a prominent Midwest real estate developer, whose disciplined site selection and execution resulted in a best-in-class net lease asset. The new construction quality, long-term lease security, and institutional-grade development standards contributed to strong buyer confidence and competitive pricing.
November Capital specializes exclusively in single-tenant net lease investment sales nationwide, advising developers, owners, and investors with a focus on institutional execution and long-term value creation. The firm combines deep market knowledge, rigorous underwriting, and a national investor network to deliver efficient outcomes—particularly for new construction assets where lease structure and real estate fundamentals drive pricing.
Despite broader capital market headwinds, this transaction underscores the depth of demand from 1031 exchange capital for well-located, new construction net lease properties backed by durable tenants and structured with long-term, inflation-protected income streams.
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Jeffrey Weil is the President of November Capital. Jeffrey is a net lease investment property expert. He previously served as Vice President at a national net lease real estate firm. He received his bachelor’s degree from the University of Michigan Ann Arbor and a law degree from the Chicago Kent College of Law where he graduated with honors. He is a licensed attorney in the state of Illinois.
