4327 GOLDEN CENTER DRIVE Placerville, CA ±7,500 SF FULLY LEASED SINGLE TENANT MEDICAL/OFFICE INVESTMENT OFFERING MEMORANDUM TOM CONWELL Managing Director 916 569 2380 [email protected] CA RE License #01394155 • Offered at $1,395,000 A ±7,500 square foot stand alone building on ±0.75 • Cap Rate: 8% (On 2019 Income) acres of land and is zoned Community Commercial (CC) which allows for multiple uses. A bus stop is • Total Square Footage: ±7,500 conveniently located close to the front door of this • 100% Occupancy - Single Tenant investment. El Dorado County Community Health Center • Excellent Location Adjacent to various medical This offering provides an investor the opportunity buildings, and Senior Housing Project’s, to own a free standing medical building that can neighborhood retail center, Walmart and Panda be converted into multiple uses such as Assisted Express Living, Day Care, etc in one of California’s • Excellent Visibility and close to Missouri Flat desirable foothill communities. Road with easy access to Highway 50 • Property can be easily repurposed for multiple HIGHLIGHTS Given the lease expiration of October 31, 2021 with uses a one year option to renew, the investor has the THE OFFERING opportunity to repurpose this investment to satisfy the high demand in this area to cater to the senior Offering Price: $1,395,000 citizen demographic in this area. Address: 4327 Golden Center Drive Placerville, Ca. 95667 Located on a corner lot along Golden Center Drive Occupancy: 100% - Single Tenant which connects to Missouri Flat Road, a main Location: El Dorado County arterial to US Highway 50. Property Type: Office-Medical Zoning: Community Commercial Built: 1988 Building Size: ±7,500 square feet APN #: 327-212-008 SUMMARY Tenant: El Dorado County Community Health Services GALLERY PHOTO GALLERY 4327 Golden Center Drive, Placerville, CA. 3 PHOTO GALLERY 4327 Golden Center Drive, Placerville, CA. 4 EXECUTIVE SUMMARY ±43 Miles to Sacramento ±23 Miles to Folsom Herbert C. Green Middle School Gold Country Retirement Community Gold Country Retirement Center SITE Marshall Pediatrics Orthodontist Office El Dorado County Office of Education Dental Office 4327 Golden Center Drive, Placerville, CA. 5 PROPERTY DESCRIPTION CONSTRUCTION SUMMARY Construction Type: Wood frame walls and truss roof. Exterior: Wood siding. Foundation: Reinforced concrete slab on grade. Roofing: Concrete tile roofing system along with membrane HVAC: HVAC system consists of split package units with condenser located on the roof of building and air handlers. Fire & Life Safety: Full fire sprinkler system throughout the interior of the building, monitored by a fire life safety system alarm panel Interior Finishes: The common area, hallways and exam rooms are finished with hard surface VCT tile flooring throughout. TENANT EDCHC is a primary care center that serves El Dorado County and provides a full range of family practice services. The center’s focus is to provide exceptional health care for every age. The center’s focus is to provide exceptional health care for all at every age. They accepts most private insurances, Medi-Cal, Medicare, CoveredCa, the under- insured and those without insurance. The services in their center also include patient advocacy, pharmacy program with patient assistance program for medi- cations, dental, podiatry, behavioral health, and referrals to collaborative orga- nizations within the community. EDCHC is a Federally Qualified Health Center 501(c)(3) and served over 11,000 patients in 2016. The health center receives some HHS funding and has Federal Public Health Service (PHS) deemed status with respect to certain health or health-related claims, including medical mal- practice claims. 4327 Golden Center Drive, Placerville, CA. 6 Floor Plan 4327 Golden Center Drive, Placerville, CA. 7 FINANCIAL OVERVIEW FINANCIAL ANALYSIS 100% Occupied ±7,500 SF Total Rentable Square Feet ±7,500 SF Gross Rental Income (1/1/2020) [3] $132,000 [3] Expense Reimbursements $0 Effective Gross Income (EGI) $132,000 Estimated Operating Expenses Alarm Monitoring (Signal Service) $ 1,308 Property Insurance (Allstate) $ 2,129 Maintenance & Repair $ 369 Real Estate Taxes (1.07% - $1,395,000) $14,926.50 Total Operating Expenses $ 18,732 Net Operating Income $113,267 Cap Rate 8% Sales Price $1,395,000 Noted & Assumptions: 1. Lease expires on 10/31/2021 with one, one year option to renew 2. Rental increases of 2.5% annually on November 1. Tenant currently pays $11,838 per month 3. Gross Rnetal Income for year ending 2019 4327 Golden Center Drive, Placerville, CA. 8 LOCATION DESCRIPTION AREA OVERVIEW PLACERVILLE The subject property is located in the western portion of the town of Placerville, in El Dorado County at the south side of Highway 50. The subject’s immediate market is characterized as a commercial area with supporting residential areas nearby. The overall condition and appeal of the neighborhood is considered above average. EL DORADO COUNTY DEMOGRAPHICS Population, 2017 estimate 185,015 Median Age 45.5 Median Household Income $80,582 Placerville Median Property Value (2014-2018) $437,200 Missouri Flat Road Owner Occupied Housing (2014-2018) 76.6% Bachelor’s Degree or Higher Age 25+ (2014-2018) 33.7% Data Source: US Census Bureau & Center for Economic Development at CSU, Chico Forni Road 4327 Golden Center Drive, Placerville, CA. 9 LOCATION DESCRIPTION AREA OVERVIEW GREATER SACRAMENTO Sacramento is the capital city of the U.S. state of California and the seat of Sacramento County. Located at the confluence of the Sacramento River and the American River in Northern California’s Sacramento Valley, Sacramento’s estimated 2018 population of 501,334 makes it the sixth-largest city in California and the ninth largest capital in the United States. Sacramento is the seat of the California Legislature and the Governor of California, making it the state’s political center and a hub for lobbying and think tanks. Sacramento is also the cultural and economic core of the Sacramento metropolitan area, which had 2010 population of 2,414,783, making it the fifth largest in California. Sacramento is the fastest-growing major city in California, owing to its status as a notable financial center on the West Coast and as a major educational hub, home of Sacramento State University and University of California, Davis. Similarly, Sacramento is a major center for the California healthcare industry, as the seat of Sutter Health, the world-renowned UC Davis Medical Center, and the UC Davis School of Medicine, and notable tourist destination in California, as the site of The California Museum, the Crocker Art Museum, California Hall of Fame, the California State Capitol Museum, and the Old Sacramento State Historic Park. Sacramento is known for its evolving contemporary culture, dubbed the most “hipster city” in California. In 2002, the Harvard University Civil Rights Project conducted for Time magazine named Sacramento “America’s Most Diverse City”. The Sacramento metropolitan area is the fifth largest in California after the Los Angeles metropolitan area, the San Francisco Bay Area, the Inland Empire, and the San Diego metropolitan area, and is the 27th largest in the United States. SACRAMENTO UNEMPLOYMENT SACRAMENTO HOUSING The unemployment rate in the Sacramen- April 2019 wrapped up with a 13.5% to-Roseville-Arden-Arcade MSA was 3.5% increase in total sales from March, in April 2019, down from a revised 4.2% 2019. Compared to the same month in March 2019, and below the year-ago last year, the current figure is down estimate of 3.6%. This compares with an 6.1%. The median sales price in- unadjusted unemployment rate of 3.9% for creased 5.5%. The current figure is up California and 3.3% for the nation during 4.1% from April, 2018. the same period. The unemployment rate was 3.5% in El Dorado County. TOP SACRAMENTO EMPLOYERS (2012) Sutter Health State of California Elk Grove Unified School District Sacramento County Sacramento City Unified School District UC Davis Health San Juan Unified School District Dignity Health/Catholic Healcare West City of Sacramento Intel Kaiser Permanente Data Source: Wikipedia, State of California, Sacramento Association of Realtors 4327 Golden Center Drive, Placerville, CA. 10 TERMS OF OFFERING Newmark Cornish & Carey (“Broker”) on behalf of the Owner of the property referenced herein (“Property”) present this Confidential Offering Memorandum (“Memorandum”) to assist the recipient(s) (“You” or “Your”) in evaluating the Property and it is intended for Your use only. This Memorandum contains brief, OFFERING PROCESS: selected information pertaining to the Property and should not be considered all-inclusive or permanent. The information in this Memorandum has been Offers should be delivered obtained from sources believed to be reliable, but has not been verified and is not guaranteed. You should independently verify each item of information and to the office of the Exclusive have the same reviewed by Your tax advisor and/or legal counsel. Assumptions, projections, estimates and/or opinions are provided as examples only and all Listing Broker, Newmark information is subject to changes, errors, omissions and/or withdrawal without notice. Broker and Owner assume no responsibility for and make no warranty Cornish & Carey, by fax at as to the accuracy or completeness of any information in this Memorandum. Broker and Owner expressly disclaim any implied or expressed warranties of (916) 920-0854, or by merchantability, fitness for a particular purpose or