net lease fedex property for sale
TRANSCRIPT
FEDEX OFFICE 226 E Capitol StreetJackson, MS 39201
NET LEASE INVESTMENT OFFERING
TABLE OF CONTENTS
I. Executive Profile Executive Summary
Investment Highlights
Property Overview
II. Location Overview Photographs
Aerials
Maps
III. Market & Tenant Overview Demographic Report
Market Overview
Tenant Overview
TABLE OF CONTENTS
NET LEASE INVESTMENT OFFERING
The information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from The Boulder Group and should not be made available to any other person or entity without the written consent of The Boulder Group.
This Offering Memorandum has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. The Boulder Group has not made any investigation, and makes no warranty or representation.
The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, The Boulder Group has not verified, and will not verify, any of the information contained herein, nor has The Boulder Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.
DISCLAIMERSTATEMENT:
DISCLAIMER STATEMENT
NET LEASE INVESTMENT OFFERING
NET LEASE INVESTMENT OFFERING
EXECUTIVESUMMARY:
The Boulder Group is pleased to exclusively market for sale a single tenant net leased FedEx Office property located in Jackson, Mississippi. The FedEx Office property is a relocation of a store in the downtown Jackson business district. The business district hosts one-third of the Jackson MSA office market and most of the area’s government facilities. The property is located on Capitol Street, the primary east-west thoroughfare downtown that was recently reconstructed to provide for 2-way traffic.
The 1,869 square foot building was completely renovated in 2016 to accommodate the new FedEx Office. Downtown Jackson has experienced $700 million in development since 2007, and there are more than $160 million of projects currently underway.
FedEx recently executed a 10 year lease that features a 10% rental escalation in the sixth lease year and three 5-year renewal option periods.
FedEx is a publicly traded company on the New York Stock Exchange (FDX), with a market capitalization of $47 Billion. FedEx is an investment grade company with a Standard & Poor’s rating of BBB.
EXECUTIVE SUMMARY
NET LEASE INVESTMENT OFFERING
INVESTMENT HIGHLIGHTS:
•
• New ten year lease with three 5-year renewal options
• 10% rental escalation in sixth year of primary term
• Relocation of an existing FedEx Office location
• In the center of a primary business and commerce area
• Newly renovated building outfitted specifically for tenant
• Strategic location on Capitol Street, the primary downtown east-west thoroughfare recently reconstructed to provide for 2-way traffic
• Approximately 40,600 people living within a three mile radius of the property
INVESTMENT HIGHLIGHTS
NET LEASE INVESTMENT OFFERING
PROPERTY OVERVIEW:
PROPERTY OVERVIEW
Price: $504,333
Cap Rate: 6.30%
Rent Schedule: NOI Escalation Date
$31,773 (Year 1-5)$34,950 6/1/2021 (Year 6-10)*$34,950 6/1/2026 (Option 1)$38,445 6/1/2031 (Option 2)$38,445 6/1/2036 (Option 3)
Renewal Options: Three 5-year options
Lease Commencement Date: May 31, 2016
Lease Expiration Date: May 30, 2026
Tenant: FedEx Office & Print Services, Inc.
Year Built: 1968
Renovated: 2016
Lease Type: NN (Roof, Structure, HVAC)
Rentable Square Feet: 1,869 SF
Land Size: 2,240 SF
*Tenant has the option to terminate the Lease no earlier than the last day of the 7th Lease Year. If Tenant exercises its right to terminate early, Tenant shall pay the Landlord the sum of $32,000 as an early termination fee.
NET LEASE INVESTMENT OFFERING
PHOTOGRAPHS
NET LEASE INVESTMENT OFFERING
AERIALS
E C A P I TA L S T R E E T ( 8 , 8 0 0 V P D )
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NET LEASE INVESTMENT OFFERING
AERIALS
E C A P I TA L S T R E E T ( 8 , 8 0 0 V P D )
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C AP I TOL
NET LEASE INVESTMENT OFFERING
MAPS
NET LEASE INVESTMENT OFFERING
MAPS
DEMOGRAPHICREPORT:
DEMOGRAPHIC REPORT
Population 5-Mile 10-Mile 15-Mile
Total Population 120,486 296,414 408,415
Total Households 44,845 112,710 180,575
Income 5-Mile 10-Mile 15-Mile
Average Household Income $45,033 $58,381 $67,312
MARKET OVERVIEW
MARKETOVERVIEW:
Jackson, MSJackson is the capital and largest city in Mississippi. The city is named after General Andrew Jackson, who was honored for his role in the Battle of New Orleans during the War of 1812 and later served as U.S. President. It is on the Pearl River, which drains into the Gulf of Mexico, and it is part of the Jackson Prairie region of the state. The Jackson metropolitan area has a population of 539,057 people according to the 2010 census.
Jackson is a major distribution center with a prime location equal distance between Memphis and New Orleans, north-south, and between Dallas and Atlanta, east-west. As a major distribution center, efficient transportation facilities are a must. Seven major air carriers -- American Eagle, Continental, Delta, Northwest Airlines and US Airways Express -- provide service in the Jackson International Airport and Hawkins Field. Amtrak provides daily passenger service to Chicago and New Orleans. The Illinois Central Gulf Railroad and scores of major truck lines provide freight service to all parts of the country. Jackson has a state-of-the-art convention center, the Jackson Convention Complex (JCC) in downtown Jackson. JCC offers conferencing technology, a 380-seat theatre, and more than 110,000 square feet of prime meeting and exhibit space. The complex is near Jackson’s arts district, hotels, entertainment and restaurants.
Jackson boasts two regional shopping malls, numerous multi-store centers, and a wide array of antiques, gifts and crafts shops. Eleven hospitals, including the nationally renowned University of Mississippi Medical Center, provide diagnoses and treatment for thousands of patients in the region.
TENANT OVERVIEW
FedEx CorporationFedEx Corporation (NYSE: FDX) is a logistics services company, based in the United States with headquarters in Memphis, Tennessee. FedEx provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce and business services. FedEx offers integrated business applications through operating companies under the respected FedEx brand. FedEx provides delivery for more than 12 million shipments each business day. FedEx has over 640 aircrafts that serve more than 375 airports worldwide in to the ground fleet of over 100,000 motorized vehicles for express, ground, freight and expedited delivery service.
FedEx OfficeFedEx Office is a subsidiary of FedEx Corporation that provides reliable service and access to printing and shipping. Services include copying and digital printing, professional finishing, signs, computer rental, and corporate print solutions. FedEx Office also offer FedEx Express and FedEx Ground shipping, Hold at FedEx Location, and packing services.
Website: www.fedex.comStock Symbol: FDX : NYSEStandard & Poor’s Rating: BBBMarket Capitalization: $47 BillionEmployees: Over 400,0002015 Revenue: $47 Billion
TENANT OVERVIEW:
666 Dundee Road, Suite 1801Northbrook, IL 60062
www.bouldergroup.com
Randy [email protected]
John FeeneyVice [email protected]