Tucker Medical Center | 4445 Cowan Rd, Tucker, GA 30084
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TUCKER MEDICAL CENTER 4445 COWAN RD | TUCKER, GA 8.25% 10-YEAR $57,824 CAP RATE LEASE NOI 1 | OFFERING MEMORANDUM CONTENTS 03 EXECUTIVE OVERVIEW 06 FINANCIAL OVERVIEW 08 TENANT OVERVIEW 10 AREA OVERVIEW LISTED BY: RYAN BURKE Associate D: (949) 226-8385 M: (847) 361-4181 E: [email protected] License No. 02100941 (CA) RAHUL CHHAJED Associate Vice President & Director D: (949) 432-4513 M: (818) 434-1106 E: [email protected] License No. 01986299 (CA) MICHAEL MORENO Associate Vice President & Director D: (949) 432-4511 M: (818) 522-4497 E: [email protected] License No. 01982943 (CA) KYLE MATTHEWS Broker of Record License No. 67120 (GA) ™ EXECUTIVE SECTION OVERVIEW 01 3 PROPERTY HIGHLIGHTS • Easy Access: This easily accessible property experiences excellent visibility, demonstrating the revitalization of the medical care setting, which is ideal from a location and viability standpoint • Continuous Rent Growth: Attractive annual increases of 2.5% provide a favorable hedge against inflation to LIST PRICE ensure the growth of your investment dollars year after year $700,897 • Development Opportunity: This real estate sits on 2.31 acres of land in the heart of Tucker, Georgia, allowing for considerable development opportunities • High Yield Investment: Achieve a healthy cashflow and return on your investment dollars with an attractive year-one 8.25% cap rate. LOCATION HIGHLIGHTS • Downtown Tucker: Nestled among multiple strip centers, service centers, and national tenants such as UPS, Wendy’s, Publix, and Staples, this location is perfectly located for the primary care services it provides TOTAL NOI $57,824 • Growing Market: With an explosive population growth of 12%+ in the last decade, this location and surrounding areas have continued to tread on and adapt unused retail space accordingly • Redevelopment Activity: Emory Healthcare has signed on to 224,000 SF of Northlake Mall’s current redevelopment project, roughly 3 miles West of this location TENANT HIGHLIGHTS • 60-Year History: This medical practice has been at this location since the early 1960s. Taken over by the current physician in 1992, this practice currently enjoys its 7th decade at this location CAP RATE • Essential Practice: The Georgia COVID-19 Pandemic Business Safety Act provides healthcare to remain in 8.25% operation as an essential provider, securing operations against potential pandemic restrictions • Fresh 10-Year Lease: This tenant has recently executed a fresh 10-year lease, which will provide a safe place to park capital for a long-term investment | 4 COFER CROSSING SHOPPING MALL LAWRENCEVILLE HWY ± 22,000 VPD HUGH HOWELL RD ± 25,500 VPD COWAN RD SUBJECT PROPERTY 5 | FINANCIAL SECTION OVERVIEW 02 | 6 INVESTMENT SUMMARY ANNUALIZED OPERATING DATA List Price $700,897 LEASE YEARS MONTHLY RENT ANNUAL RENT CAP RATE NOI $57,824 Year 1 * $4,819 $57,824.00 8.25% CAP Rate 8.25% Year 2 * $4,964 $59,572.40 8.50% Price/SF $249.07 Year 3 * $5,114 $61,364.51 8.76% GLA ±2,814 SF Year 4 * $5,267 $63,201.42 9.02% Year Built 1963 Year 5 * $5,424 $65,084.26 9.29% Year 6 * $5,585 $67,014.16 9.56% TENANT SUMMARY Year 7 * $5,749 $68,992.32 9.84% Tenant Name Dr. John Oprysko Year 8 * $5,918 $71,019.93 10.13% Type of Ownership Fee Simple Year 9 * $6,092 $73,098.23 10.43% Lease Type Modified Gross Year 10 * $6,269 $75,228.48 10.73% Guarantor Dr. John Oprysko * Estimated with expenses constant (Roof/Structure) Landlord Responsible Original Lease Term 10 Years DEBT QUOTE Lease Commencement Date 12/1/20 Lease Expiration Date 11/30/30 Loan quote provided by Matthews™ based on market conditions at this time. Actual rates and After 12/1/2021, either party shall terms will vary based on market conditions at closing. Lease Termination have the right to terminate the lease upon 150 day written notice. LTV: 65% Jesse Lillard Rate: 3.95% Term Remaining 10 Years [email protected] Amortization: 25 Increases CPI > 2.5% Options None 7 | TENANT SECTION OVERVIEW 03 | 8 TUCKER MEDICAL CENTER Tucker Medical Center specializes in Emergency Medicine and Family Medicine with one physician. Dr. John Oprysko, DO is a Specialist in Tucker, GA and has over 33 years of experience in the medical field. He graduated from New York College Of Osteopathic Medicine and New York Institute Of Technology medical school in 1988. He specializes in the community’s needs and has built up a reliable client-base at this location over the last 30 years. 9 | AREA SECTION OVERVIEW 04 TUCKER, GA Located in Georgia’s DeKalb County, Tucker is about 15 miles northeast of downtown Atlanta. It is one of the largest and oldest unincorporated communities in the state. Outdoor events held on Main Street are a central part of the community for numerous residents and organizations. Tucker is the home of Discover DeKalb, which markets and promotes all of DeKalb’s attractions to visitors. The city of Tucker epitomizes the phrase “location, location, location”. Situated along Interstate 285 and Highway 78, Tucker covers 20 square miles of the area both inside and outside the Perimeter. With access to public transportation and less than a half-hour’s drive from the world’s busiest airport, Tucker is a convenient destination for business travelers and out-of-town executives. Tucker is home to a variety of acclaimed shops and restaurants, award-winning public schools, and one of the most diverse business climates in Georgia. While known for its charming, historic Main Street, Tucker boasts multiple industrial areas that are home to major international corporations like Siemens, Ricoh, and PepsiCo. A premier “live, work, play” city, Tucker offers its workforce sundry housing options ranging from newly constructed single-family homes and townhomes to spacious one-acre lots. | 10 SUBJECT PROPERTY ATLANTA ± 10 MILES 11 | ATLANTA, GA Atlanta is the capital of and the most populous city in the U.S. state of Georgia, the cultural and economic center of the Atlanta metropolitan area, and the ninth-largest metropolitan area in the United States. Atlanta has a diversified economy with healthy concentrations in transportation/logistics, media, information technology, entertainment, tourism, financial services, government, and education and healthcare. Atlanta is home to 30 headquarters of Fortune 500/1000 companies. In fiscal year 2019, these 30 companies generated an aggregate revenue of $438 billion. Atlanta is an “alpha-” or “world city”, exerting a significant impact upon commerce, finance, research, technology, education, media, art, and entertainment. It ranks 36th among world cities and 8th in the nation with a gross domestic product of $270 billion. Atlanta’s economy is considered diverse, with dominant sectors including logistics, professional and business services, media operations, and information technology. Atlanta is home to professional franchises for three major team sports: the Atlanta Braves of Major League Baseball, the Atlanta Hawks of the National Basketball Association, and the Atlanta Falcons of the National Football League. Due to the more than 30 colleges and universities located in the city, Atlanta is considered a center for higher education. #2 MOVING DESTINATION IN THE NATION - Penske, “Annual Top Moving Destinations List, 2020” #2 METRO AREA FOR BUSINESS CLIMATE - Business Facilities, “2020 Metro Rankings Report” #3 CITY FOR REAL ESTATE CONDITIONS - Site Selection Group, “2020 Tech City Ranking Report” | 12 Population households income 2020 2025 2020 2025 2020 ESTIMATE PROJECTION ESTIMATE PROJECTION AVG. HOUSEHOLD INCOME 1-MILE 6,475 6,648 2,565 2,632 $81,780 3-MILE 87,586 91,266 34,088 35,458 $81,884 5-MILE 262,558 274,487 96,087 100,265 $76,313 *SUBJECT PROPERTY DEMOGRAPHICS 13 | #8 BEST CITY IN THE SOUTH - Southern Living, “The South’s Best Cities, 2020” ATLANTA TOURISM Atlanta is the most-visited destination in the state of Georgia. Atlanta offers lots of tourist attractions such as the Georgia Aquarium, the World of Coca-Cola, the Atlanta Botanical Garden, and many more. Atlanta also hosts several annual food, film, and music festivals each season. Atlanta is known for its fabulous shopping malls. Shopping centers ATLANTA BRAVES such as Lenox Square with 250 stores, Perimeter Mall with 158 stores, and Cumberland Mall with 143 stores all make (Major League Baseball) Atlanta a shopaholic’s paradise. Atlanta is also home to five professional sports teams: Atlanta Hawks, Atlanta Falcons, Atlanta United FC, Atlanta Braves, and Atlanta Thrashers. Over 50 million people visit Atlanta annually. ATLANTA FALCONS (National Football League) ATLANTA HAWKS (National Basketball Association) ATLANTA EVENTS Atlanta celebrates various events and festivals each year. Food festivals include the Beer, Bourbon, and BBQ Festival in the spring, the Atlanta Food and Wine Festival in the summer, the Atlanta Greek Festival in the fall, and the Oysterfest in the winter. Music and film festivals include the Shaky Knees Music Festival in the spring, the Tunes from the Tombs at Historic Oakland Cemetery in the summer, the Imagine Music Festival in the fall, and the Atlanta Jewish Film Festival ATLANTA THRASHERS in the winter. (National Hockey League) | 14 MUSEUMS & ART A MLK JR. NATIONAL HISTORIC PARK B ATLANTA HISTORY CENTER C FOX THEATRE D NATIONAL CENTER FOR HUMAN RIGHTS H E FERNBANK MUSEUM F DELTA FLIGHT MUSEUM D G JIMMY CARTER LIBRARY AND MUSEUM E H HIGH MUSEUM OF ART A B TO DO J I A PIEDMONT PARK H CHATTAHOOCHEE RIVER C NATIONAL RECREATION AREA K B ATLANTA BOTANICAL GARDEN I MERCEDES BENZ STADIUM B C ATLANTA BELTLINE J SKYVIEW ATLANTA D H F D CENTENNIAL OLYMPIC PARK A E TRUIST PARK C B E H F STONE MOUNTAIN PARK D F C G ATLANTA ZOO I E D G SHOPPING J A ATLANTA HAWKS A CUMBERLAND MALL I BUCKHEAD STATION G (National Basketball Association) B ROSWELL-WIEUCA CENTER J PHIPPS PLAZA C BRIARCLIFF SHOPPING CENTER K LENOX SQUARE D BUFORD HIGHWAY FARMERS MARKET F E EDGEWOOD RETAIL DISTRICT F ATLANTIC STATION G THE DISTRICT AT HOWELL MILL H TOCO HILLS SHOPPING CENTER 15 | GLOBAL HEADQUARTERS ATLANTA ECONOMY Metro Atlanta is recognized as an international gateway and the economic engine of the Southeast.