Concentra 1617 N Stoughton Rd Madison WI
OFFERING MEMORANDUM
1617 N STOUGHTON RD, MADISON, WI 53704 LISTED BY
ANDREW FAGUNDO ASSOCIATE
DIR (310) 955-5834 MOB (818) 484-1658 TABLE OF [email protected] LIC # 02062491 (CA) CONTENTS
03 EXECUTIVE OVERVIEW MICHAEL MORENO SENIOR ASSOCIATE
DIR (949) 432-4511 MOB (818) 522-4497 FINANCIAL OVERVIEW 05 [email protected] LIC # 01982943 (CA)
08 TENANT OVERIVEW RAHUL CHHAJED SENIOR ASSOCIATE
DIR (949) 432-4513 10 AREA OVERVIEW MOB (818) 434-1106 [email protected] LIC # 01986299 (CA)
BROKER OF RECORD
KYLE MATTHEWS LIC #9381054-91 (WI)
CONCENTRA 2 MADISON, WI EXECUTIVE OVERVIEW
MATTHEWS™ 3 INVESTMENT HIGHLIGHTS
Property • NN Lease – This investment offers investors a passive income with minimal landlord responsibilities • This is a two-tenant deal consisting of an urgent care in one building and an American traditional bar/restaurant in the other
Concentra • Attractive E-Commerce Resistant Medical Tenant that occupies 5,630 SF • 3 years 5 months left on the lease • Two (2) five (5) year options to extend • Tenant recently extended their lease, showing their commitment and strength of the location
Lazy Oaf Lounge • 5 years 2 months left on the lease • Automatic renewal for a 5-year term unless tenant or landlord give notice after the first one-year renewal and at least 6 months prior to expiration
Location • Property is located 15 minutes north of downtown Madison, which is home to the University of Wisconsin and Wisconsin State Capitol • Strong Location – This property is surrounded by Dane County Regional Airport (served +1.8 million passengers in 2016), Madi- son Area Technical College (home to +40,000 students) and East Towne Mall (840,000 SF mall with 115 stores) • Healthy Demographic – Population includes more than 144,000 residents within a 5-mile radius and the average household income is $73,584 within a 5-mile radius • Stellar Growth Rate – In a 5-mile radius, this market experienced an 8.73% growth rate from 2010-2018 and is projected for an additional 6.00% growth over the next 5 years!
Tenant • 5 years 2 months left on the lease • Automatic renewal for a 5-year term unless tenant or landlord give notice after the first one-year renewal and at least 6 months prior to expiration
CONCENTRA 4 MADISON, WI FINANCIAL OVERVIEW
MATTHEWS™ 5 $1,603,158.54 ±9,421 TENANT SUMMARY LIST PRICE GLA
Tenant Trade Name Concentra Urgent Care 8.78% ±1.50 AC Type of Ownership Fee Simple CAP RATE LOT SIZE Lease Type NN 4/1/2004 (New renewal starts $140,757.32 1947 Lease Commencement Date 4/1/2019) NOI YEAR BUILT Lease Expiration Date 3/31/22 ANNUALIZED OPERATING Term Remaining on Lease 3 Years 5 Months Increases None SUMMARY Options Two (2) Five (5) year options Monthly Rent Annual Rent Rent/SF Concentra Urgent Care $6,568.33 $78,819.96 $14.00 Tenant Trade Name Lazy Oaf Lounge Lazy Oaf Lounge $5,397.78 $64,737.36 $17.08 Type of Ownership Fee Simple 2019 NOI $140,757.32 Lease Type NN 1/1/2014 (New renewal starts Lease Commencement Date NOTES 1/1/2019) Lease Expiration Date 12/31/23 NOI - 2019 is $140,757.32 (Subtract an estimated $2,800 for snow removal. Price is a quote, to be Term Remaining on Lease 5 Years 2 Months verified by buyer) Increases 3% *NOI is based off of 2019 rent, seller will credit buyer if bought before renewal Options Auto 5 year renewal
CONCENTRA 6 MADISON, WI N STOUGHTON RD ±40,000 ADT
City of Arvin
Bear Mountain Blvd ±12,000 ADT
MATTHEWS™ 7 TENANT OVERVIEW
DAVITA 8 ARVIN, CA »» COMPANY NAME »» INDUSTRY »» HEADQUARTERS CONCENTRA HEALTHCARE ADDISON, TX
Concentra Inc., is a national health care company founded in 1979 in Amarillo, Texas. The company is headquartered in Addison, Texas and operates more than 300 Urgent care centers in 36 states. Concentra has more than 900 affiliated primary care physicians and 600 physical therapists. Concentra also provides a range of health improvement solutions to employers, and operates 154 employer onsite medical facilities. The company’s primary focuses are occupational health, physical therapy, health and wellness and urgent care.
MATTHEWS™ 9 AREA OVERVIEW
DAVITA 10 ARVIN, CA MADISON, WI
Established on a narrow isthmus of land between Lake Mendota and Lake Monona in central Wisconsin, Madison is a city that blends urban sophistication, charm and DEMOGRAPHICS progressive thinking with natural beauty and small-town ease. As the capital of Wisconsin, Madison is the second largest city in the state, after Milwaukee, and consistently ranks as one of the best places to live, work and raise a family. POPULATION 1 - MILE 3 - MILE 5 - MILE
2023 Projection 4,613 63,411 143,569 Consequently, Madison is growing larger and becoming more diverse, dynamic and cosmopolitan; The city is poised to add over 50 thousand residents in the coming future. 2018 Estimate 4,361 60,334 135,475 Near the central downtown area, the University of Wisconsin – Madison campus brings a college-town atmosphere to the city with its student body of over 40,000 students. With 2010 Census 4,061 58,390 124,409 an ideal location along the shore of Lake Mendota, the university campus, like many city Growth 2018-2023 5.78% 5.10% 5.97% businesses and residences, enjoys attractive lake views as well as access to recreational opportunities such as fishing and boating. HOUSEHOLDS 1 - MILE 3 - MILE 5 - MILE
2023 Projection 2,072 28,796 65,381
2018 Estimate 1,961 27,431 61,682 ECONOMIC DEVELOPMENT 2010 Census 1,838 26,808 56,728 For the past few decades, Madison has experienced steady economic advancement, making Growth 2018-2023 5.66% 4.98% 6.00% it less susceptible to recession. Established businesses and businesses looking to expand or grow have access to a variety of assistance programs offered by the city. Emerging industries are reshaping Madison’s workforce, which has historically attracted many INCOME 1 - MILE 3 - MILE 5 - MILE businesses due to the area’s high level of education. Currently, the economy is evolving 2018 Est. Average $56,325 $70,919 $73,584 from government-based to consumer services and high-tech based, with emphasis in the Household Income health, biotech and advertising fields. GREATER MILWAUKEE GETTING AROUND Situated on Lake Michigan in southeastern Wisconsin 90 miles east of Madison, the Milwaukee metropolitan area is the largest metropolitan GENERAL MITCHELL INTERNATIONAL AIRPORT area in the state. It is a part of the Great Lakes Megalopolis and draws Five miles south of downtown Milwaukee, General Mitchell International commuters from outlying areas such as Madison, Chicago and the Fox Airport is the largest airport in Wisconsin. It is served by nine airlines and is Cities. Encompassing Milwaukee, Waukesha, Washington and Ozaukee open 24 hours a day. The Amtrak Hiawatha train service connects Mitchell to Counties, Metro Milwaukee covers 1,460 square miles by land area. The Chicago and downtown Milwaukee. metro area’s economy has been evolving from that of the goods producing industry to one that is more service based. A majority of its workforce MILWAUKEE INTERMODAL STATION continues to be in manufacturing, although recent job growth has largely been in the service-providing sector. As the gateway into downtown, the Milwaukee Intermodal Station is downtown’s transportation hub. Approximately 1.4 million passengers are served annually Also a commercial and cultural center for Wisconsin, the city of Milwaukee by the station with connections to Amtrak’s Hiawatha Service. is the hub of Greater Milwaukee and the largest city in the state. Six Fortune 500 companies have their international headquarters established in this self-sufficient city: Harley-Davidson, Manpower, Rockwell Automation and Johnson Controls, Northwestern Mutual, and Joy Global. In the MILWAUKEE COUNTY TRANSIT SYSTEM spirit of progress, Milwaukee has recently renovated its downtown area, Servicing 45 million riders each year, the Milwaukee County Transit System creating an area of lakefront parks and museums. These architectural (MCTS) offers a fleet of 410 clean diesel-buses. It is the largest transit system improvements reflect both the city’s cherished old-world traditions and in Wisconsin and the economic engine of the state. modern attitude. With a full complement of culture, performing arts, and recreational amenities, Milwaukee continues to attract businesses and young professionals looking to live in a 21st century city.
CONCENTRA 12 MADISON, WI POINTS OF INTEREST
MILWAUKEE ART MUSEUM HARLEY-DAVIDSON MUSEUM MILLER PARK From its origins in Milwaukee’s first art gallery, the Located on the Milwaukee riverfront, the Harley- Named after the Miller Brewing Company, Miller Milwaukee Art Museum has become an icon for the Davidson Museum chronicles the history of Park is the homefield of the Milwaukee Brewers. city. It is one of the largest museums in the country, the Harley-Davidson back to the oldest known The grand, brick structure is one of the largest showcasing 30,000 works of art to over 400,000 motorcycle. The 20-acre museum campus houses construction projects in Wisconsin history with an visitors a year. more than 450 motorcycles and artifacts. impressive retractable roof.
GREAT LAKES DISTILLERY PABST MANSION MILWAUKEE COUNTY ZOO For those of legal drinking age, the Great Lakes Once home to Captain Frederick Pabst, founder Spanning 200 wooded acres, the Milwaukee Distillery in the heart of Milwaukee offers small batch of the Pabst Brewing Company, Pabst Mansion is County Zoo houses over 2,000 mammals, birds, products made with old world methods. This world a house museum that preserves the legacy of the fish, amphibians and reptiles in specialized habitats. class artisan distillery is committed to providing Pabst family. In 1979, the mansion was placed on the The zoo’s objective is to inspire public support and quality spirits that exhibit craftsmanship. National Register of Historic Places. participation in global conservation of animal species.
HISTORIC THIRD WARD MILWAUKEE PUBLIC MARKET MILWAUKEE RIVERWALK Three blocks south of downtown Milwaukee, the Bursting with high quality selections of artisan The Milwaukee RiverWalk winds through the Historic Third Ward is known as Milwaukee’s Arts products and freshly-made prepared foods, the city, tying together three distinct riverfront and Fashion District. The area offers the city’s most Milwaukee Public Market is Milwaukee’s most neighborhoods. Permanent and changing art dynamic array of restaurants, spas, theaters, galleries unique downtown food destination. It is located in exhibitions create a unique outdoor gallery that and shopping, all in a historic warehouse setting. the vibrant Historic Third Ward neighborhood. unifies Downtown, Beerline B., and the Historic Third Ward. MATTHEWS™ 13 CONFIDENTIALITY AGREEMENT & DISCLAIMER This Offering Memorandum contains select information pertaining to the business and affairs of Concentra located in 1617 N Stoughton Rd Madison, WI 53704 (“Property”). It has been prepared by Matthews Real Estate Investment Services. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.
By acknowledging your receipt of this Offering Memorandum for the Property, you agree:
1 . The Offering Memorandum and its contents are confidential; 2. You will hold it and treat it in the strictest of confidence; and 3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.
Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.
If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.
A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided hereinorin connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.
This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.
CONCENTRA 14 MADISON, WI LISTED BY
ANDREW FAGUNDO ASSOCIATE
DIR (310) 955-5834 MOB (818) 484-1658 [email protected] LIC # 02062491 (CA)
MICHAEL MORENO SENIOR ASSOCIATE
DIR (949) 432-4511 MOB (818) 522-4497 [email protected] LIC # 01982943 (CA)
RAHUL CHHAJED SENIOR ASSOCIATE
DIR (949) 432-4513 MOB (818) 434-1106 OFFERING MEMORANDUM [email protected] LIC # 01986299 (CA)
1617 N STOUGHTON RD, MADISON, WI 53704 MATTHEWS™ 15