09-26: Walgreen's, Jackson Pediatric Center, REO, MOB, Apartments, Hooters

1. Walgreen’s in Dallas, TX: 13,905 SF built-to-suit double drive-thru pharmacy built in 1996 on 1.84 ac lot at a signalized intersection in a growing and high income area (AHI of $87K/yr in 1 mile). Well performing store with reported sales of $2.45M in 2012 (actual sales are about $7.35M). 2 miles to nearest CVS and 4 miles to nearest Walgreen’s.  17 yrs NNN- lease with 3 yrs left. NOI $227K/yr. $2.7M. 8.25% cap.  Note: it’s Transmercial’s opinion that the chance of lease renewal is high due to strong sales.
2. Jackson Pediatric Center in Jackson, TN: 5305 SF attractive medical building completed in 2009 in a high income area with an AHI of $91K/yr in 1 mile.  Part of a medical park complex and adjacent to 154-bed Regional Hospital of Jackson. Close to major power centers, Hwy-45 and I-40. 15 yrs absolute NNN lease with 1 yrs left to a regional tenant with nine locations. NOI $81K/yr with a 5% rent increase upon renewal. $780K. 10.50% cap.
3. REO in Indianapolis, IN: 153-unit attractive lender-owned multifamily complex on over 13 acres of land in a fast growing and upper middle-class area. Over $375K in recent capital improvements. Close to parks and shopping centers. 92% occupied. NOI $360K/yr. $4M. 9% cap.
4. MOB in Scottsdale, AZ: 24,541 SF Class-B medical complex with high-end build out in Phoenix suburbs. Close to Scottsdale HLTHC Osborn Medical Center and 95-bed Banner Behavioral Health Hospital. 97% leased to long term tenants. NOI $368K/yr. $4.7M. 7.83% cap.
5. MOB in Phoenix, AZ: 11,170 SF well maintained medical building on 1 ac lot a busy corridor. Close to The Surgical Hospital of Phoenix, Phoenix Baptist Hospital and I-17. 100% leased to six medical tenants and two cell tower tenants. NOI $122K/yr. $1.525M. 8% cap.
6. Strip Center in San Jose, CA: 6,706 SF well maintained strip center at a corner location in high income Silicon Valley with an AHI of $121K/yr in 3 miles. Near Hwy-85. 100% NNN leased to five tenants. NOI $130K/yr. $2.125M. 6.14% cap.
7. Apartments in Sacramento, CA: 28-unit apartment complex on .80 ac lot close to schools, parks and shopping centers. Amenities include: controlled access, central heat/air and laundry facilities. NOI $114K/yr. $1.375M. 8.31% cap.
8. Office Building in Kennewick, WA: 15,394 SF Class-B office building completed in 2011 on .82 ac lot at a main retail artery. Close to Columbia Center Mall and Hwy-240. 100% NNN leased. Pro forma NOI $206K/yr. $2.35M. 8.80% cap.
9. Shopping Center in Euclid, OH: 46,679 SF shopping center in Cleveland suburbs. Renovated in 2010 & anchored by Dollar Tree, Dots Fashion and Citi Trends. NNN leased. NOI $344K/yr. $3.626M. 9.50% cap.
10. Hooters in Tacoma, WA: 8,250 SF well maintained Hooters restaurant on .98 ac lot in Seattle suburbs. $413K building improvements completed in 2012. Off/on ramp of I-5. Close to Tacoma Mall with 150 stores. New 10 yrs NNN lease. NOI $184K/yr with 2% annual rent increases. $2.65M. 7% cap.

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