Oquendo Business Park ±4,916 Sf Single-Tenant Office Building for Sale Rare Single-Tenant Nnn Leased Investment Property

5915 Edmond Street, Ste 105-120 / Las Vegas, Nevada 89118 OFFERING SUMMARY OQUENDO BUSINESS PARK ±4,916 SF SINGLE-TENANT OFFICE BUILDING FOR SALE RARE SINGLE-TENANT NNN LEASED INVESTMENT PROPERTY

OFFERING SUMMARY INVESTMENT SUMMARY

Cushman & Wakefield, as exclusive listing broker, is pleased to offer for sale ASKING PRICE: $1,180,000 the ±4,916sf single-tenant NNN leased office investment property located within the Oquendo Business Park in the southwest area of Las Vegas. The Property Size: ±4,916 SF ($240/SF) property is 100% occupied by DEZMOTIF STUDIOS, an award winning local architecture, interior design, and branding firm, on an initial 5-year lease with In-Place NOI $92,514 over 3 years remaining. The offering is a commercial condominium portion of (1/19): a larger +7,350sf single-story office building within the 5- building Oquendo Business Park and represents approximately 2/3 of the entire building. Property Actual Cap Rate: 7.84% enjoys a strategic location with nearby access to both I-15 (at Russell) and Occupancy: 100% I-215 (at Decatur) and is in close proximity to the Las Vegas “Strip”, new NFL Raiders stadium, and numerous commercial, retail, and restaurant amenities Number of One (1) – 3y+ Remaining Lease throughout the south and southwest portion of Las Vegas. Tenants: Term

The building features modern exterior finishes with either courtyard or parking Stories: One (1) Story lot entrances, and aesthetics that include accent pop-out architectural features and metal window awnings. The tenant has made significant investment in its Site Size: N/A – Commercial Condo tenant-improvements providing further connectivity to the property and the Four (4) Exclusive Covered – Parking: property interior is fully built-out with upscale design throughout providing a Non-Exclusive Surface large executive office with private restroom, four private offices, restrooms, open bullpen area with ten (10) built-in workstations, design studio, exhibit Office and Professional (C-P) – Zoning: area, executive conference room, and elegant reception lobby. This oppor- Clark County tunity provides a rare high-quality leased investment for investors at this price range and provides a new debt opportunity with seasoned occupancy that is Year Built: 2006 expected to provide a stable cash flow opportunity for a passive investment buyer, family trust, or other private capital buyer. Parcel Numbers 163-36-611-018 through 021

Geoffrey West Senior Director Capital Markets Investment Property Sales & Acquisitions +1 702 688 6936 View and Download more information here: [email protected] 5915edmond.cushwakesites.com LAS VEGAS MARKET OVERIEW At a population of over 2.2 million people, Las Vegas has established itself as a legitimate major market over the past decade. Although the recent challenges in Las Vegas were well publicized, the robust economy has continued to persevere and has experienced continued organic growth but still significantly lags peak pricing in most sectors resulting in a healthy economic environment. Final numbers for year-end 2017 reflect continued strong market momentum with the following performance statistics: • Visitor Volume 42.2M -1.7% • Hotel Occupancy 88.6% -0.5% • Convention Attendance 6.65M 5.3% • Average Daily Rate (ADR) $129.41 2.7% • Revenue Per Available Room (RevPAR) $114.59 2.0% • Gaming Revenue $9.98B 2.7% Major developments are ongoing with the post-recession openings of the SLS Las Vegas, The Cromwell, The Linq/High INVESTMENT HIGHLIGHTS Roller, and in 2016-2017 alone Las Vegas saw the completion of over $1.6B in resort, gaming and amenity projects. During High-Quality Investment Opportunity - Well located sin- 2018-2019 in the Resort Corridor there are still over $2.5B of gle-tenant office property in business park environment with projects in-process including Park MGM/NoMad rebrand, Palms modern aesthetics, high-quality buildout throughout, desirable Casino Resort renovation, and numerous hotel convention courtyard entry, and seasoned tenant occupier with over 3 center expansions. Looking further ahead to 2020-2021 there years remaining on 5-year lease are over $14B of projects in-process or planned which include Convenient Southwest Las Vegas Location - Convenient loca- the $3B The Drew Las Vegas (Marriott/Witkoff), first phase of tion in southwest portion of Las Vegas conveniently situated $4B 3,500 room Resorts World Las Vegas project, the target- between Green Valley and Summerlin markets with close prox- ed completion of the $1.9B Las Vegas Raider NFL stadium, imity to Las Vegas “Strip”, regional I-215/I-15 access, and future and over $1.4B expansion/renovation of Las Vegas Convention NFL Raiders Stadium Center, with all of these projects expected to create significant positive long-term economic impact. Leased Investment Opportunity Below Replacement Cost - At asking price of $240/sf, property is positioned at significant Nevada is now a recovered and growing market, but through- discount to replacement cost of $275-$300/sf and well-be- out this recovery with organic and sustainable growth. Tourism low similar competing properties while providing a seasoned has increased, visitor volume exceeds two of three prior record leased superior investment opportunity for small cap private years, convention activity is up significantly, and the LVCVA is investors at a favorable in-place 7.8% cap rate and ability to actively seeking new ways to promote Las Vegas. With pro- obtain new debt and enhance cash-on-cash returns further jections indicating continued job gains, Nevada and Las Vegas appear to be on a continued path to sustained growth and its Seasoned Single-Tenant Occupancy - Existing tenant, DEZMO- new future. TIF STUDIOS, is an award winning local architecture, design, and branding firm, that has such upscale restaurant and hospi- OFFICE MARKET OVERVIEW tality projects to its credit as Gordon Ramsay Burgr at Planet The Las Vegas Office market (60.4M SF) has continued a Hollywood, Martorano’s at Paris Las Vegas, Palace Station ho- trend of reduced vacancy rates and increasing lease rates with tel tower remodel, Alder & Birch Steakhouse, Eatwell @ Crom- current vacancy of 11.7% for the market overall and significantly well, and numerous others in Las Vegas and other markets lower at 7.7% for the Southwest submarket where the property Potential Strategic Exit Opportunity - Existing tenant provides is located. Key statistics are summarized below: natural strategic buyer for future exit opportunity as tenant already has significant investment in existing tenant improve- LAS VEGAS OFFICE MARKET SUMMARY - 2Q 2018 ments and purchase would likely result in immediate decrease to occupancy cost over existing lease and provide further Market Vacancy-Las Vegas Office 11.7% ownership benefits through depreciation, amortization, and Market Vacancy-Class B 12.0% favorable SBA financing Submarket Vacancy-Southwest 7.7% Robust Las Vegas Economy - The broader Las Vegas economy continues to improve with unemployment improving to Average Market Asking Rent (Gross) $1.61 4.9% as of Aug-2018 from a peak of almost 15% in 2010, visitor Average Submarket Asking Rent (Gross) $1.62 volumes up down slightly but exceeding record volumes from two of the past three record years, the Las Vegas Case-Shiller Average Submarket Asking Rent-Class B N/A housing index has recovered from a low of 90 in March 2012 to 186 in July 2018 but remains well below 2006 peak of 235, and Market Inventory-Existing SF (M) 60.35 gaming/tourism metrics are all showing continued improve- Submarket Inventory-Existing SF (M) 11.46 ment with over $10B of ongoing and expected Strip/Resort Corridor developments in the next 2-4 years Market Inventory-Class B (M) 42.45

COMPETING AVAILABLE FOR LEASE PROPERTIES – SOUTHWEST SUBMARKET – OCTOBER 2018

Building Name Class Address Year Total Asking Rents / Parking CAM/SF/MO Built RSF Lease Type Ratio SUBJECT - 5915 Edmond Street B 5915 Edmond Street 2006 4,916 $1.54 NNN N/A $0.28 2200 Pama Lane B 2200 East Pama Lane 2007 5,005 $1.30 - $1.35 NNN 4.5:1,000 $0.30 Palm Court Business Center B 6871 S. Eastern Avenue, Suite 2006 5,130 $1.25 NNN Ample $0.30 103-104 Durango Trails B 5175 South Durango Drive 2005 6,072 $1.35 - $1.50 NNN 6:1000 $0.38 Durango Trails B 5155 South Durango Drive 2006 4,000 $1.35 NNN N/A $0.39 Durango Village B 6064 South Durango Drive 5,500 $1.30 N/A $0.32 145 E. Warm Springs Road B 145 East Warm Springs Road 2005 6,000 $1.35 NNN 5:1000 N/A The Park at Warm Springs B 127 East Warm Springs Road 2009 6,000 $1.45 NNN 5:1000 $0.30 The Park at Warm Springs B 175 East Warm Springs Road 2005 4,135 $1.35 NNN 5:1,000 $0.34 AVERAGES 5,230 $1.25-$1.50 NNN $0.30-$0.39 RENT ROLL - RENTS AS OF 1/1/19

Suite Rent SF Occ SF Lease Start Lease Actual Rent/ Actual Rent/ 2018 Budgeted CAM $/ Date Expiration Month SF/Mo Monthly CAM SF/Mo 105-120 - DEZMOTIF STUDIOS 4,916 4,916 12/7/2016 12/31/2021 $7,562 $1.54 $1,376.50 $0.28 Totals/Averages 4,916 100% $7,562 $1.54 $1,376.50 $0.28

PRO-FORMA ANALYSIS TENANT PROFILE

FY 2019 PRO-FORMA DEZMOTIF STUDIOS (www.dezmotif.com) Income Amount $/SF/YR is an award winning Gross Scheduled Rent $90,748 $18.46 local architecture, CAM Reimbursement $19,195 $3.90 design, and branding firm, that has numerous upscale restaurant and hospi- Effective Rental Income $109,943 $22.36 tality projects to its credit in Las Vegas, Washington, Expenses and other major markets. Projects include design and CAM-Real Estate Taxes $3,949 $0.80 branding for celebrity chef restaurants within hotel/casino resort properties, hotel room remodels, and design CAM-Comm HOA $10,955 $2.23 and branding to create iconic new dining experiences. CAM-Property Insurance $1,040 $0.21 The Company was founded in 2015 by principals Michael CAM-Utilities $748 $0.15 Biermann and Kelly Akosua Kena and have occupied the property since late 2016. Tenant contributed $42,000 Cap Ex/Reserves-Unreimbursed $737 $0.15 towards its original $76,000 tenant improvement and Total Operating Expenses 16% $17,429 $3.55 the lease is personally guaranteed by both company Net Operating Income $92,514 $18.82 principals.

LEASE ABSTRACT

Lease Type: Office NNN Lease Landlord: P Holdings LLC, a Nevada limited liability company Tenant: Dez Motif, a Nevada corporation Rentable Area: 4,916sf Date of Lease: 12/7/2016 Adj Month: 13th full calendar month after Commencement Date Base Rent Inc: 3% annually on first day of Adjustment Month Comm Date: 12/7/2016 Term: 60 months from first day of first full month following Commencement Date Exp Date: 12/31/21 Guaranty: Kelly Akosua Kena and Michael Biermann Sec Dep: $7,128.20 Maint & Repair: Tenant responsible to repair and replace interior of the premises including HVAC units Addl Rent: Property Operating Costs (includes repair/replacement/maintenance, any impositions, condo assoc assessments, insurance, landlord billed utilities, etc plus 15% admin fee on Property Operating Costs) Utilities: Tenant responsible for gas, heat, electric, power, trash, telephone, etc. Tenant’s Work Allowance: $37,500 Total TI Buildout Cost: $76,000 ($42,000 tenant paid)

RECENT OFFICE INVESTMENT SALE COMPARABLES

Property Name/Address Year % Sale Submarket Product Sq Ft Sale Price PSF Actual Built Leased Date Class Cap Rate 6970 Obannon Drive 2002 100% 9/18/17 West Las Vegas B 4,820 $1,000,000 $207 N/A 6145 S Rainbow Blvd Bldg 2 2006 100% 3/6/18 Southwest Las Vegas B 4,918 $1,245,000 $253 N/A Trop Canyon Plaza 2004 100% 9/13/18 Southwest Las Vegas B 3,602 $790,000 $219 7.00% 9670 W Tropicana Ave, Unit 115-125 Shea at Shadow Crest 2007 100% 6/25/18 South Las Vegas B 7,500 $1,485,000 $198 N/A 1840 E Warm Springs Rd Totals/Averages 2005 100% 5,210 $1,130,000 $217

AVAILABLE VACANT OFFICE PROPERTIES SUMMARY

Year Built Submarket Class Sq Ft Sale Price PSF Actual Cap Rate Existing Properties 2003-2008 Various B 4,290-9,175 $1,200,000-$2,285,000 $228-$266 N/A New Construction 2018-2019 Various B 3,631-10,000 $640,000-$2,450,000 $170-$250 (plus $70/sf TI) N/A 5915 Edmond Street, Ste 105-120 / Las Vegas, Nevada 89118 OFFERING SUMMARY OQUENDO BUSINESS PARK ±4,916 SF SINGLE-TENANT OFFICE BUILDING FOR SALE RARE SINGLE-TENANT NNN LEASED INVESTMENT PROPERTY

THE LAKES 595 15 LAS VEGAS Flamingo Rd Flamingo Rd Desert Springs 215 BRACKEN SPRING Hospital VALLEY Univ. Nevada Las Vegas

Tropicana Ave Las Vegas Blvd

Paradise Rd

Hacienda Ave Spring Valley Hospital 5915 EDMOND STREET the “Strip” Russell Rd Fort Apache Rd 3 MI 2 MI 1 MI Oquendo Rd Eastern Ave EdmondSt McCarran 215 Intl. Airport Southern Hills Hospital SOVANA BOULDER Durango Dr JUNCTION 215

Dignity 215 Health

Warm Springs Rd Buffalo Dr Jones Blvd

RHODES Bermuda Rd Decatur Blvd

RANCH Rainbow Blvd Las Vegas Blvd Dean Martin Dr Windmill Ln Valley View Blvd 160 15

SITE PLAN BUILDING FLOORPLAN LAS VEGAS, NV. 89118 DEZMOTIF STUDIOS 5915 EDMOND STREET, SUITE 120 TENANT IMPROVEMENT UNDEVELOPED SITE

DEZMOTIF STUDIOS

5915 Edmond Street, Suite 102 Las Vegas, NV 89118 - USA P: 702.260.0226

EXISTING ROOF ACCESS

EXISTING CURRENT TENANT SPACE EXISTING EXISTING EXISTING SUBJECT

DRAWINGS AND SPECIFICATIONS REMAIN THE PROPERTY OF THE DESIGN PROFESSIONAL. COPIES OF THE DRAWINGS AND SPECIFICATIONS RETAINED BY THE CLIENT MAY BE UTILIZED ONLY FOR HIS OR HER USE AND FOR OCCUPYING THE PROJECT FOR WHICH THEY WERE PREPARED, AND NOT FOR THE CONSTRUCTION OF ANY OTHER PROJECT.

JOB NUMBER: 17020 TENANT

IMPROVEMENT OQUENDO ROAD ISSUED / REVISED NO: DESCRIPTION DATE

PERMIT 8/4/17 PONDEROSA WAY

PATH OF TRAVEL FOR EXISTING STREET ACCESS EDMOND STREET

SITE PLAN N 1 SCALE: 1" = 20'-0" EXISTING NOTE: EXISTING SITE, EXISTING BUILDINGS, EXISTING LANDSCAPING. NO SITE WORK SITE PLAN

DEZMOTIF STUDIOS TENANT IMPROVEMENT Geoffrey West A-1.00 6725 Via Austi Pkwy. Senior Director Suite 275 Capital Markets Las Vegas, NV 89119 Investment Property Sales & Acquisitions View and Download more information here: Main +1 702 796 7900 +1 702 688 6936 Fax +1 702 796 7920 [email protected] 5915edmond.cushwakesites.com cushmanwakefield.com Cushman & Wakefield Copyright 2018. No warranty or representation, express or implied, is made to the accuracy or completeness of the information contained herein, and same is submitted subject to errors, omissions, change of price, rental or other conditions, withdrawal without notice, and to any special listing conditions imposed by the property owner(s). As applicable, we make no representation as to the condition of the property (or properties) in question.