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1 OFFERING MEMORANDUM Absolute Triple Net (NNN) Lease Investment Opportunity 7485 SW 17th Rd | Gainesville, FL 32607 Image Rendering EXCLUSIVELY MARKETED BY: 2 KAVEH EBRAHIMI CHRIS NAYLON Lic. # 01896322 Lic. # 01839132 310.853.1426 | DIRECT 310.438.5525 | DIRECT [email protected] [email protected] 2701 Ocean Park Boulevard, Suite 140 Santa Monica, CA 90405 844.4.SIG.NN ZACH MARTIN ANDREW ACKERMAN Lic. # 02044335 Lic. # BK3369953 www.SIGnnn.com 310.626.1852 | DIRECT 770.626.0445 | DIRECT In Cooperation with SIG Real Estate Services FL LLC – Lic. # CQ1055229 [email protected] [email protected] © 2018 Sands Investment Group (SIG). The information contained in this ‘Offering Memorandum,’ has been obtained from sources believed to be reliable. Sands Investment Group does not doubt its accuracy, however, Sands Investment Group makes no guarantee, representation or warranty about the accuracy contained herein. It is the responsibility of each individual to conduct thorough due diligence on any and all information that is passed on about the property to determine it’s accuracy and completeness. Any and all projections, market assumptions and cash flow analysis are used to help determine a potential overview on the property, however there is no guarantee or assurance these projections, market assumptions and cash flow analysis are subject to change with property and market conditions. Sands Investment Group encourages all potential interested buyers to seek advice from your tax, financial and legal advisors before making any real estate purchase and transaction. TABLE OF CONTENTS 3 North Florida Regional Medical Center at Markets West | 7485 SW 17th Rd | Gainesville, FL 32607 Investment Overview Investment Summary Investment Highlights Property Overview Location Map Aerial Map Retail Map Site Plan Area Overview City Overview Demographics Tenant Overview Tenant Profile Lease Abstract Lease Summary Rent Roll Image Rendering INVESTMENT SUMMARY 4 Sands Investment Group is Pleased to Offer Exclusively For Sale a Brand New Construction of the 6,051 SF North Florida Regional Medical Center Located at 7485 SW 17th Road in Gainesville, Florida. This 10 Year Absolute Triple Net (NNN) Lease is Situated in Markets West, a New 16.5 Acre Mixed-Use Development and Will Be Delivered in January 2019. OFFERING SUMMARY PRICE $3,246,000 CAP 5.50% NOI $178,530 PRICE PER SF $536.44 YEARS REMAINING 10 Years LEASE GUARANTY Corporate PROPERTY SUMMARY ADDRESS 7485 SW 17tH Road Gainesville, FL 32607 COUNTY AlacHua BUILDING AREA 6,051 SF LAND AREA 0.94 AC BUILT 2019 Image Rendering Surrounding Area Will Include 309 Residential Homesites,5248 HIGHLIGHTS Apartments and a 74 Bed Assisted Living Facility; a 1-Mile Radius Encompasses Over 5,500 High-Income Homes; a New East-West Road Will Connect Tower Road to SW 24th Ave, Making the Area High Traffic and Highly Desirable With Over Brand New Construction in Markets West, a Newly 35,000 Annual Average Daily Traffic - Construction For the Developed Master Planned Community Which Will Residential Areas is Expected in Early 2019 Include a Dollar General, Future Business Park, Multiple Restaurants and Future Retail Developments Located in One of the Most Densely Populated Residential Districts in Gainesville Ten Year Absolute Triple Net (NNN) Lease With Two (2), Five (5) Year Renewal Options and 3% Annual Rent Increases Beginning in Year 6 Gainesville is Known For the University of Florida, the Nation’s Fifth-Largest University Campus by Enrollment With Over 55,000 Students Strong Guarantee From North Florida Regional Medical Centers, Inc. With an Annual Revenue Over $400 Million Gainesville is the Largest City in Alachua County - as Well as the Most Populous City in North Central Florida 9.5% Population Growth Within a 1 to 5 Mile Radius Between 2010 and 2018 Neighboring Tenants Include: CVS, Starbucks, Zaxby’s, Applebee’s, Chick-fil-A, Walgreens, Olive Garden, Wells Fargo Bank and Home Depot 6 North Florida Regional Medical Center at Markets West | 7485 SW 17th Rd | Gainesville, FL 32607 NEWBERRY SQUARE 7 TOWER CENTER Clear Lake Nature Park Split Rock Conservation Area Kanapaha Veterans 125 Acre, 1 Million SF Memorial Park Mixed-Use Development 8 MARKETS WEST 9 Join North Florida Regional Medical Center at Markets West! A new 16.5 acre mixed-use development located in one of the most densely populated residential districts in Gainesville. With over 5,500 homes within a 1-mile radius and above average income, Markets West lies within one of Gainesville’s strongest trade areas. Retail, Office, and Medical Offices sites are available for Sale, Lease, or Build-to-Suit and is located at a new full-motion access point and part of a 135-acre master development, including 309 residential homesites, 248 apartments, and a 74 bed assisted living facility. A new east-west road will offer combined traffic counts above 35,000 AADT. CITY OVERVIEW 10 Gainesville | Alachua County | Florida GAINESVILLE, FLORIDA UNIVERISTY OF FLORIDA ICHETUCKNEE SPRINGS STATE PARK Gainesville, FL Economy Contemporary Life Gainesville is the county seat and the largest city in The city of Gainesville heavily promoted solar power by Gainesville is home to numerous outdoor activities. The Alachua County Florida. The city is also the principal city creating the first feed-in-tariff (FIT) in the U.S. The FIT city is home to the Devil's Millhopper Geological State of the Gainesville-Florida Metropolitan Statistical allows small businesses and homeowners to supply Park, which is a lush park where visitors can hike to view Area (MSA), which has an estimated population of electricity into the municipal power grid and paid a small waterfalls, thick foliage & a 120-ft. cavity. The city 277,163 residents. The population of Gainesville in the premium for the generated solar electricity. This increase is also home to the Kanapaha Botanical Gardens, which 2017 US Census was estimated to be 132,249 in solar installations put Gainesville at #5 in the world, in were established in 1978 when the society leased 33 residents. Gainesville is also the largest city in the region solar installed per-capita, beating Japan, France, China acres for a public botanical garden. The city is also near of North Central Florida. It is also a component of the and all of the US. The sports drink Gatorade was the Ichetucknee Springs State Park, which is a National Gainesville-Lake City Combined Statistical Area, which invented in Gainesville in the 1960s as a means of Natural Landmark and flows through shaded hammocks has an estimated population of 337,925 residents. refreshing the UF football team. UF still receives a share and wetlands into the Santa Fe River. The city also Gainesville is famous for being the home to of the profits from the beverage, which helps the city’s contain the Florida Museum of Natural history which the University of Florida, which is the nation's fifth- economy. The University of Florida is also a huge explores the natural & human heritage of Florida, the largest university campus by enrollment, as well as to economical help to the city. The school had about Caribbean & Latin America. Santa Fe College. 52,367 students enrolled in 2017. DEMOGRAPHICS 11 North Florida Regional Medical Center at Markets West | 7485 SW 17th Rd | Gainesville, FL 32607 Population 3-MILE 5-MILE 10-MILE 55,957 130,640 222,285 Average Household Income 3-MILE 5-MILE 10-MILE $71,606 $69,146 $64,812 TENANT PROFILE 12 North Florida Regional Medical Center (NFRMC) is a 432-bed, full-service medical and surgical acute care center serving the North Central Florida area. In 2017, the Gainesville- based community hospital, and its services, grew substantially. This includes the addition of two new full-service, 24/7 Freestanding Emergency Rooms, the achievement of a leading Stroke program in the Hospital Corporation of America (HCA) as measured by a DNV-GL certification, and the introduction of advanced cardiovascular technology, including the Transcatheter Aortic Valve Replacement (TAVR). North Florida Regional remains a leader in delivering quality, award-winning healthcare to the Gainesville community and its surrounding areas. NFRMC is a part of North Florida Regional Healthcare, a healthcare system that also includes a number of other outstanding medical programs dedicated to quality healing. North Florida Regional Medical Center operates as a member and subsidiary of HCA Holdings, Inc. At its founding in 1968, Nashville-based HCA was one of the nation's first hospital companies. Today, HCA is the nation's leading provider of healthcare services, and is a company comprised of locally-managed facilities that includes 177 hospitals and 119 freestanding surgery centers in 20 states and England, and employing approximately 240,000 people. Approximately four to five percent of all inpatient care delivered in the country today is provided by HCA facilities. COMPANY TYPE FOUNDED # OF HCA LOCATIONS # OF NFRMC LOCATIONS NFRMC HEADQUARTERS WEBSITE Private 1968 296+ 20 Gainesville, FL nfrmc.com LEASE SUMMARY 13 TENANT North Florida Regional Medical Center, Inc. PREMISES A Building of Approximately 6,051 SF LEASE COMMENCEMENT Est. January 15, 2019 LEASE EXPIRATION 10 Years From Commencement LEASE TERM 10 Years RENEWAL OPTIONS 2 x 5 Years RENT INCREASES 3% Annually Beginning in Year 6 LEASE TYPE Absolute Triple Net (NNN) PERMITTED USE Medical Office PROPERTY TAXES Tenant’s Responsibility INSURANCE Tenant’s Responsibility COMMON AREA Tenant’s Responsibility ROOF & STRUCTURE Tenant’s Responsibility REPAIRS & MAINTENANCE Tenant’s Responsibility HVAC Tenant’s Responsibility UTILITIES Tenant’s Responsibility Image Rendering RENT ROLL 14 North Florida Regional Medical Center at Markets West | 7485 SW 17th Rd | Gainesville, FL 32607 Image Renderings SIZE ANNUAL RENT LEASE TERM TENANT SQUARE % OF ANNUAL RENT RENTAL INCREASE LEASE LEASE OPTIONS NAME FOOTAGE TOTAL BASE RENT PER SF INCREASE DATES BEGIN END North Florida Annually Beginning Est 10 Years From 6,051 SF 100% $178,504.56 $29.50 3% 2 x 5 Years Regional MC in Year 6 01/15/2019 Commencement CONFIDENTIALITY AGREEMENT 15 The information contained in the following Offering Memorandum is proprietary and strictly confidential.
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