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Gateway Point Two-Story Single Tenant Office Building | 50,931 SF 10051 5Th Street North, St

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Gateway Point Two-Story Single Tenant Office Building | 50,931 SF 10051 5Th Street North, St Gateway Point Two-Story Single Tenant Office Building | 50,931 SF 10051 5th Street North, St. Petersburg, Florida The Capital Markets Group of Cushman & Wakefield has been retained by the Owner as the exclusive agent for the sale of Gateway Point (the “Property”), a 50,931 rentable square foot (rsf) office building center property located in St. Petersburg, FL.The owner has not established a specific asking price but is a sophisticated, market sensitive seller with expectations of achieving the value that premium assets of this quality command. INVESTMENT HIGHLIGHTS • CREDIT TENANCY – 100% leased to JSA Healthcare Corporation, a subsidiary of DaVita, Inc. (S&P Rated BB). • BELOW MARKET RENT - In-place rent is 4% below market, providing upside upon renewal. • PURCHASE PRICE SIGNIFICANTLY BELOW REPLACEMENT COST. • RECENT CAPITAL IMPROVEMENTS BY LANDLORD AND TENANT - Tenant has significant improvements scheduled including upgrades to restrooms, security systems, reception areas, and the first-floor lobby. • SUPERIOR LOCATION AND VISIBILITY – Ideally located in the Gateway submarket on the Southwest Corner of 4th Street North and Gandy Boulevard and in the immediate vicinity of executive and workforce housing, with over 10k multifamily units within a 3-mile radius, restaurants, and other amenities with visibility from both major roadways. • ABOVE MARKET PARKING RATIO – The Property’s 5.1 per 1,000 sf parking ratio is ideal for dense suburban office users providing a competitive advantage. • STRONG MARKET FUNDAMENTALS – The Tampa Bay market posted over 705,000 sf of positive absorption in 2016, significantly reducing vacancy. Additionally, average asking rates in the MSA have increased 5% in the last twelve months. • EXCEPTIONAL ACCESS – The Property fronts Gandy Boulevard and provides easy access to Interstate 275, Ulmerton Road, and the Howard Frankland Bridge. • HIGH BARRIERS TO ENTRY - Located in the most densely populated county in the state of Florida, a virtual lack of development sites coupled with rising construction costs makes new development non-competitive, which will result in continued rental growth for the existing product. • STRONG ECONOMIC DRIVERS - Tampa Bay’s economy surged over the past year, adding 28,400 jobs. The Tampa MSA unemployment rate fell by 20 basis points over the last twelve months to 4.9%. Job growth, and the attraction of new office and industrial using businesses to the region, remains one of the leading factors for Tampa Bay’s success. • ROADWAY IMPROVEMENTS - The Gandy Express Project, construction of a six-lane elevated roadway is scheduled to be completed in 2017 and will improve traffic flow on Gandy Boulevard and around 4th and 9th Streets, where about 43,000 vehicles a day converge. Offering Summary 3.25 Years LEASE TERM REMAINING 3.73± 50,931 SF ACRES TOTAL SIZE 100% $537,263 OCCUPANCY IN-PLACE NOI 9.1% $5,900,000 CAP RATE ASKING PRICE PROPERTY DESCRIPTION Centrally located in the most densely populated county in the State of Florida, Gateway Point is a two-story suburban office building. The Property is centrally located on the Southwest Corner of 4th Street North and Gandy Boulevard, with visibility from both roads. Built in 1978, the Property has steel frame construction with a brick façade and tinted glass, giving it a distinctive and classic look. The Property has an interior courtyard, providing an abundance of natural light and allowing for both exterior and interior views. The parking ratio of 5.1 spaces per 1,000 sf is above market and includes 20 covered spaces. Gateway Point has been well-maintained and has received several recent capital improvements including a roof replacement. The Property is 100% leased to JSA Medical Group, a subsidiary of DaVita, Inc. PROPERTY POSITIONING Gateway Point is conveniently located within the “Gateway” submarket, centrally located in Pinellas County and equidistant to the Tampa and St. Petersburg CBD’s. This central location just south of Carillon, Tampa Bay’s premier mixed use park, and north of the St. Petersburg CBD is proximate to both executive and workforce housing and allows tenants to draw an employment base from both sides of Tampa Bay while realizing cost savings through economical rental rates and free parking. With its convenient location, Gateway Point is strategically positioned to take advantage of the fast rising rental rates in the CBD as tenants are being priced out of downtown. The Property is near several restaurants, a grocery store, and in-line retail all of which provide a rich amenity base for tenants. The Property has superior access to the Gandy Bridge, which crosses Tampa Bay and is located near Interstate 275 and the Howard Frankland Bridge, which connects Northern St. Petersburg to Westshore and Tampa International Airport. Gateway Point provides users reasonably priced, high-quality office space in a convenient location. The lack of development sites available coupled with the high cost of new construction provides assurance of the Property’s success well into the future. DEMOGRAPHIC OVERVIEW Located along Florida’s West Coast, Tampa Bay is one of the fastest growing areas of the United States. The four-county metropolitan statistical area (MSA) of Hillsborough, Pinellas, Pasco and Hernando counties is home to 2.9 million people, making it Florida’s largest MSA, the second-largest MSA in the Southeast and the 18th largest MSA in the United States. The Tampa MSA has experienced population growth averaging 1.5% annually over the last 10 years and ranks high in the number of households, effective buying income, and retail activity, not only in Florida and the Southeast but also among all MSA’s in the United States. Realizing a positive 3.1% increase in year-over-year job growth (from December 2015 to December 2016), the state has posted a seasonally adjusted total of 254,400 new jobs. This growth equates to the state producing 77 consecutive months of positive job growth as of December 2016. Florida’s annual job growth rate has exceeded the nation’s rate since May 2012. PINELLAS COUNTY HIGHLIGHTS • More than 34,000 businesses make their home in Pinellas County, a 280-square-mile peninsula between the Gulf of Mexico and Tampa Bay. • Pinellas County leads Florida’s 21-county High Tech Corridor with 34% of medical-technology companies according to research by the University of South Florida. • Forbes magazine named the Tampa Bay area the top location in the state for technology related jobs. • Within the Florida High Tech Corridor, Pinellas County employs 16% of the optics and photonics employees and 29% of aviation and aerospace employees. Cardinal Point at Bayview 52 19 One Tampa City Center ST. PETERSBURG, FLORIDA Suite 3300 75 Tampa, Florida 33602-5813 USA TOLL 589 41 Land O’ Lakes New 5454 Port Richey 5454 5656 5454 PASCO COUNTY 581 PINELLAS HILLSBOROUGH Lutz COUNTY COUNTY 595977 Tarpon d d New Tampa Springs e R Carrollwood wns Blv d y R w East Lak k c e B. Do 75 a H r T n e n Bruc c u Ehrlich Rd Bearss Ave a G 3011 595933 R Honeymoon Palm Fletcher Ave Island ve Gunn d H Harbor wy Curlew Creek Rd TOLL Fowler Ave 589 Tampa Downtown St. Petersburg y Linebaugh Ave y Temple Florida A w 580580 Terrace T Busch Blvd St. Petersburg Beach am Sheldon R Waters Ave Caladesi pa 275 R wy Island er Dr d d t 41 wa 4 Dale Mabry H Hillsborough Ave ans Exp r Edge 92 Clearwater Old 92 Clearwater te Beach Tampa Dr Martin Luther King Jr Blvd Exec. Airport Ve Island Bay d 3011 R Causeway Tampa Columbus Dr 22nd St Clearwater pbell Tampa Brandon o Rd o McMullen–Booth R am ey C International urtn International 4 way Co Airport Tampa TOLL 75 h lric Gulf To Bay Blvd Ba Va rt 19 Bridge 275 618 Kings y lvd Port 6060 d Kennedy B A side Tampa Bay damo Dr d 41 t No ge wy L e d Blv ri it e B h re Davis r d i Belcher R n a Bay Drive la Islands Causeway Blvd Lumsden Dr P St. Petersburg nk in St ra e d F c h International st Sho r t ar Selmon Exp e Largo ow s Airport H t 4 We R Ulmerton Rd Bloomingdale Rd d Roos e 5 d g ev rid South Tampa y B Riverview 99th elt Blv d tth Gan 41 Avenue Nort h h d S t 696999 Boyette Rd Seminole Blv MacDill r Park BlvdGandy Blvd AFB e Fish Hawk e Gateway Point Symmes Rd t Pinellas t N G u Park 275 Balm Riv lf o B 4th S lv 9th St d rtr h 66th St N t ervie h 19 Big Bend Rd 49th St N w Rd 5th Ave N I-375 Treasure 1st Ave N Apollo Balm Rd Island Beach Balm-Picnic Rd St. Petersburg I-175 Tampa Gandy Bou Bay levard North 19th Ave NE way Bay as Pinell Ruskin Sun City St. Petersburg Center Beach 674 GGaan dy EExxprpress PPrrojojecctt R oooo For a complete Offering Memorandum, Wendy Giffin Rick Brugge sev el Director Executive Director t B please visit the website below to ou le +1 813 204 5346 +1 813 223 6300 va download the Confidentiality Agreement. rrdd [email protected] [email protected] www.bit.ly/GatewayPoint2017 Brokers representing purchasers must look to their clients for a commission. No warranty of representation, express or implied, is made as to the accuracy 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 our principals.
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