Medical Office Building Northeast Florida 8614 Baymeadows Way, Jacksonville, FL 32256

INVESTMENT OPPORTUNITY Medical Office Building Northeast Florida 8614 Baymeadows Way, Jacksonville, FL 32256

Investment Details

>>12 Month NOI: $301,482 >>Lease Type: NNN >>Lease Expiration: 7 years from date of purchase >>Offering Type: Fee simple

Property Overview

>>Freestanding Medical Office Building in Jacksonville, Florida >>Parcel ID: 152690-4000 >>Land size: 5.03 acres >>Building size: 16,905± SF >>Zoning: IBP >>Location: 8614 Baymeadows Way, Jacksonville >>Parking area with 96± total spaces >>170,024 population within a 5 mile radius >>Built 1986

CHUCK DIEBEL JOHN LINING FOR ADDITIONAL INFORMATION COLLIERS INTERNATIONAL | NORTHEAST FLORIDA Executive Vice President Senior Vice President 76 S. Laura Street | Suite 1500 | Jacksonville, FL 32202 CLICK HERE [email protected] [email protected] Please to complete PH +1 904 358 1206 +1 904 861 1112 +1 904 861 1121 our Confidentiality Agreement www.colliers.com/jacksonville 7203 Confidentiality & Disclaimer Statement Northeast Florida

This Offering Memorandum contains select information pertaining to the business and affairs of the site located at 8614 Baymeadows Way, Jacksonville, FL 32256. It has been prepared by Colliers International. 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 Colliers International. The material is based in part upon information supplied by the Seller and in part upon financial information obtained by Colliers International 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 or 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 from Colliers International, 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 Colliers International 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 at 8614 Baymeadows Way, Jacksonville, FL 32256 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 herein or in 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 Colliers International 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.

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 2 7203 Northeast Florida

TABLE OF CONTENTS

I. Offering Summary...... 4 COLLIERS TEAM Primary Contacts

II. Demographic Snapshot...... 8 CHUCK DIEBEL Executive Vice President [email protected] +1 904 861 1112 III. Area Maps...... 9

JOHN LINING Senior Vice President [email protected] IV. Tenant Information...... 11 +1 904 861 1121

V. Market Overview...... 12

VI. About Colliers...... 15

This document has been prepared by COLLIERS INTERNATIONAL | Northeast Florida for advertising and general information only. COLLIERS INTERNATIONAL makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. COLLIERS INTERNATIONAL excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. COLLIERS INTERNATIONAL is a worldwide affiliation of independently owned and operated companies. This publication is the copyrighted property of COLLIERS INTERNATIONAL and /or its licensor(s). © 2018. All rights reserved. 7203 Offering Summary Northeast Florida

INVESTMENT HIGHLIGHTS LOCATION HIGHLIGHTS >>Baptist NNN Lease through 7 years after purchase >>Near the corner of Baymeadows Road and Philips Highway >>Offering type: Fee Simple >>372± feet of frontage on Baymeadows Way >>12 Month NOI $301,482 >>Traffic Count: 31,000± AADT on Baymeadows Road and Baymeadows Way >>Lease requires some owner management >>Numerous retail, office and residential in the surrounding area >>Close to I-95/Baymeadows Rd

BAPTIST PRIMARY CARE RENT SCHEDULE Monthly Annual

Months 1-12 $22,373.50 $268,487.00

Months 13-24 $22,932.84 $275,194.08

Months 25-36 $23,506.16 $282,073.92

Months 37-48 $24,093.81 $289,125.72

Months 49-60 $24,696.16 $296,353.92

Months 61-72 $25,313.56 $303,762.72

Months 73-84 $25,946.40 $311,356.80

SUITE 101 RENT SCHEDULE Monthly Annual

Through 3/31/2020* $2,749.65 $32,995.75

*Discussions in process for co-terminus extension of this lease

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 4 7203 Site Plan Northeast Florida

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 5 Floor Plan Northeast Florida

SUITE 100

SUITE 101

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 6 Interior Photos Northeast Florida

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 7 8614 Baymeadows Way, Jacksonville 32256

Demographic Snapshot Northeast Florida

Jacksonville

Estimated Average Household Income St Johns River $70,333

$74,948 SITE $81,175

1 MILE

3 MILE

5 MILE

Demographics Snapshot 1-Mile 3-Mile 5-Mile Population Estimate 2018 6,194 70,688 170,024 Average Age 33.4 35.7 37.4 Households Estimate 2018 2,772 31,836 73,206 2018 Avg. Household Income $70,333 $74,948 $81,175 Source: Esri Source: ©2018 Esri. COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 8 7203 October 31, 2018

SITE

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 9 7203 Area Overview Northeast Florida

Baymeadows Road

Philips Hwy Prominence Office Park SITE

Freedom Crossing Trail

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 10 7203 Tenant Information Northeast Florida

BAPTIST PRIMARY CARE - INTERNAL MEDICINE GROUP Baptist Primary Care is the region’s largest primary care network with more than 100 physicians, including family physicians, pediatricians & internists. Baptist physicians create a personalized, comprehensive strategy for their patients’ health & wellness during all stages of life, from newborns to seniors. Baptist Primary Care has been in the forefront in North Florida for obtaining accreditation for its innovative model of patient centered medical home care that leverages teamwork and technology to provide high-quality care that is personalized, coordinated, convenient and focused on a long-term healing relationship.

BAPTIST PRIMARY CARE - INTERNAL MEDICAL GROUP LEASE SUMMARY Lease Expiration: Seven years from date of sale Lease Type: NNN Current Rent: $268,482 Net Rentable SF: 15,430± SF

DR. RANDALL A. RIEGLER, M.D. Randall Riegler is a board certified otolaryngologist with 36 years of experience. DR. RANDALL A. RIEGLER, M.D. LEASE SUMMARY Lease Expiration: 3/31/2020* Lease Type: NNN Current Rent: $32,995.75 Net Rentable SF: 1,475± SF

*Discussion in process for co-terminus extension of this lease

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 11 7203 Jacksonville Market Overview Northeast Florida Jacksonville Metro Key Industries The Jacksonville MSA, the largest city in area in the continental United States, port is the 14th largest in the United States and handles shipments from around the covers 875 square miles in the northeastern part of Florida, along the St. Johns globe. River. It’s easy to see why so many people are moving to the Jacksonville area each year. Owing to its prime location and outstanding connectivity to interstate highways, the Jacksonville’s cost of living index is 92 out of a national average of 100, due in city is headquarters to myriad companies such as: CSX, Winn Dixie/BiLo, Crowley large part to relatively low housing costs. Residents enjoy low prices for grocery Maritime, Stein Mart, EverBank Financial, Fidelity National Financial, Florida Blue, items, utilities, transportation, health care, and miscellaneous goods and services, and PSS World Medical/McKesson. all of which enhance a quality lifestyle. Jacksonville’s moderate year-round climate Many large employers, both manufacturing and non-manufacturing, have established affords residents an environment in which they can continually enjoy outdoor strong footholds in Jacksonville. Recent years have brought major announcements opportunities for exercise, recreation or relaxation, making them more-productive, from companies like Fidelity Investments, Deutsche Bank, Merrill Lynch, Washington happier and healthier employees. Mutual, Bridgestone Firestone, Fidelity National Financial and many others. The Jacksonville’s vision for the future is clear — to be a place where businesses will result is an open market of thriving competition that recruits more new business to thrive while preserving the area’s natural resources and pristine surroundings. the Jacksonville community on a daily basis. Forward thinking companies see a great future here because of the area’s perfect More than 30,000 new jobs have been created by companies expanding or relocating combination of low cost of living and high quality of life. The ideal blend of business to Jacksonville since 2000. The continual influx of new business into Jacksonville is and pleasure. driven by the positive economic climate the city boasts. Jacksonville’s deep-water

JAX FACTS Jacksonville Metro Population 1,489,388 Labor Force 762,465 # of Public Schools 335 Total Number of Households 573,316 Unemployment Rate 4.1% # of K-12 Students 240,000 Average Household Income $76,601 New Home Price (based on 2,400 SF) $263,502 # of Colleges & Universities 20 Median Age 38.8 Apartment Rent (based on 950 SF, 2 BR) $1,084 # of Approx. College Enrollment 63,000

“Jacksonville “#2 Most “Hottest City for “#2 City to Invest named one of “Best City for “Top 10 Best Cities Up-and-Coming Tech Jobs” in Housing” World’s Top Intermodal Access” to Live in 2017” City in America” Jacksonville is #9 10 Best Value Global Trade Magazine Trulia Forbes Destinations” Time December 2016 Time April 2017 Lonely Planet October 2017 October 2017 June 2017 October 2017

Source: JaxUSA.org

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 12 7203 Market Overview Northeast Florida Jacksonville Metro Overview TOP EMPLOYERS NAS Jacksonville 17,000 FAST FACTS Duval County School Board 13,000 • Home to three Fortune 500 company headquarters and more than 80 national or divisional Baptist Health 10,500 headquarters Bank of America Merrill Lynch 8,000 • No corporate franchise tax and no state personal income tax Florida Blue 6,700 • Young, dynamic workforce with median age lower than the Florida average Mayo Clinic 6,000 • Home to two of Newsweek’s “America’s Top 40 High Schools” Southeastern Grocers 5,700 • Clay, Flagler, Nassau and St. Johns Counties have competitive ‘A’ and ‘B’ rated school districts Citi 4,500 • Excellent quality of life and favorable cost of living with the largest urban park system in the nation JPMorgan Chase 3,900 • Home to the Jacksonville Jaguars, one of only 32 NFL franchises in the nation CSX Corporation 3,600 • World-class health care system, home to one of the only three Mayo Clinic campuses UF Health 3,600 Wells Fargo 3,500 DID YOU KNOW? St. Vincent’s Healthcare 3,000 • The St. Johns River is the longest river in the state of Florida and one of the few in the country AT&T 2,600 that flows south to north. Black Knight Financial 2,400 • Jacksonville is the city where “The Blues” was first, officially, performed. The word was used to describe a performance in LaVilla on April 16, 1910 UPS 2,300 • Today the annual Springing the Blues festival in Jacksonville Beach is one of the longest-running Johnson&Johnson Vision Care 2,000 and largest blues festivals in the country. Deutsche Bank 1,800 • Kona Skate Park is the oldest outdoor skate park in the U.S., and it may be the oldest one in the Memorial Hospital 1,800 world. Flagler Hospital 1,800 • Friendship Fountain in the city’s St. Johns River Park was the world’s tallest and biggest fountain Aetna 1,700 when it was completed in 1965. It was capable of shooting 17,000 gallons of water per minute up to 10 stories high. Orange Park Medical Center 1,640 • The highest point in the city is only 40 feet above sea level. Brooks Rehabilitaion 1,600 • Treaty Oak, a Southern live oak tree in downtown’s Jessie Ball duPont Park, is estimated to One Call Care Management 1,500 be 250 years old and is believed to be the oldest living thing in Jax, even predating the city’s Fanatics 1,500 founding. EverBank 1,400 • In spite of Florida’s status as a hurricane hotspot, Jacksonville has only been directly hit by one hurricane since 1871. VyStar Credit Union 1,300 Source: JaxUSA.org Amazon 1000±

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 13 7203 Market Overview - Key Industries Northeast Florida

FINANCIAL SERVICES Our strategic business location and easy access to global financial hubs like New York and London, make this a smart, low-cost choice for divisional or company headquarters. Internationally known financial services companies recognize that Jacksonville has a wealth of young and experienced talent with a broad range of financial services expertise. Financial Services companies benefit from our region’s excellence in financial services support, investment banking, mortgage sales and service and software development. (Source: JAXUSA)

HEALTH & LIFE SCIENCES With more than 20 hospitals and a rapidly growing bioscience community, Northeast Florida’s world-class health care system and related industries are the life-line of the region. Five of the top ten private companies provide or are affiliated with health care, including one of only three Mayo Clinics in the nation and the largest private employer, Baptist Health. Medical device manufacturing, clinical trials, translational research and oncology are just a few of the specialties in the area. According to Center for Global Health and Healthcare Diplomacy, one in every six employees in the region works in the health care and bioscience sectors, bringing total employment to nearly 94,000 people with an annual economic impact of $23.6 billion.

LOGISTICS We are America’s Logistics Center – one of the only centrally located East Coast regions offering all four pillars of logistics: rail, air, maritime and highway. This means the entire Southeastern market – more than 50 million consumers – is accessible within eight hours. Three major railroads—CSX, Norfolk Southern and Florida East Coast Railway—use Jacksonville as a railroad hub/interchange. Three major interstates—I-95, I-10 and I-75—connect the area with every part of the country. And, our deep-water port has three public marine terminals. This makes Northeast Florida’s seven-county region ideal for international trade, and logistics and supply chain management investments and employment.

AVIATION & AERO SPACE The aviation industry has “taken flight” in the Jacksonville region. Companies like Boeing, Embraer, Northrop Grumman, Flightstar and others, value Northeast Florida’s location because of its global accessibility. The region offers cost-effective assets for profitable company margins as aviation industry wages in the region are well below those of the U.S. overall. More than 9,000 workers are employed in the aviation industry and 100+ aviation-related defense contractors operate in the region. Cecil Commerce Center, site of former Naval Air Station Cecil Field, is the largest aviation industrial park in the Southeast. It also is the only licensed commercial Space Port on the East Coast.

ADVANCED MANUFACTURING Northeast Florida is one of the largest manufacturing regions in the state. Competitive local assets including JAXPORT, three major rail lines, low electricity costs and ample available land for large facilities and operations provide the necessary infrastructure for innovative advanced manufacturing companies such as Saft America and Vistakon Johnson & Johnson Vision Care Inc. Our well-trained workforce is growing and will continue to outpace the U.S. average over the next decade, especially in areas of maintenance, repair and overhaul (MRO) and device manufacturing.

INFORMATION TECHNOLOGY Independent software developers, corporate IT operations and telecommunications infrastructure for major financial firms, health-care providers, insurers and global logistics companies comprise Northeast Florida’s large information technology industry. Our talent pool is growing more rapidly than the U.S. average. Information technology employs more than 12,000 in the region in diverse occupations including computer programming, software design and computer facilities management. It is easy to see why Forbes magazine continually ranks our region as one of the Fastest Growing Sectors for High-Tech Jobs.

COLLIERS INTERNATIONAL | NORTHEAST FLORIDA P. 14 7203 About Colliers

Colliers International is a leader in global real estate services, defined by our spirit of enterprise. Through a culture of service excellence, and a shared sense of initiative, we have integrated the resources of real estate specialists worldwide to accelerate the success of our clients. Colliers International delivers real estate services globally through 15,800 specialized professionals in over 485 offices in 63 countries. Colliers provides advice for clients on over $75 billion in transactions annually and manages in excess of one billion square feet with revenue reaching $2.1 billion. Colliers professionals bring an intimate knowledge of local, regional and global office markets to every real estate assignment. Our brokers are experts at identifying creative ways to match commercial property environments with our client’s business needs. This depth of knowledge is built on years of cultivated relationships with tenants, landlords, investors, government agencies and lending institutions. Whether you want to sell, relocate, renew, build, expand, or buy, Colliers real estate specialists have the market knowledge and industry relationships that can help you capitalize on market conditions and maximize value. By combining our core values with our market and negotiation expertise, we have established a proven formula for success that is evident in the volume of transactions we have completed.

15,400 2B 554 PROFESSIONALS SF UNDER OFFICES MANAGEMENT

69 $2.7B $116B COUNTRIES IN REVENUE TRANSACTION VALUE

CHUCK DIEBEL JOHN LINING COLLIERS INTERNATIONAL | NORTHEAST FLORIDA Executive Vice President Senior Vice President 76 S. Laura Street | Suite 1500 | Jacksonville, FL 32202 [email protected] [email protected] MAIN +1 904 358 1206 | FAX +1 904 353 4949 +1 904 861 1112 +1 904 861 1121 www.colliers.com/jacksonville

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