single tenant investment opportunity recent lease … · 2017-10-17 · single tenant investment...

SINGLE TENANT INVESTMENT OPPORTUNITY

Recent Lease Extension | Densely Populated Area & Growing

1705 Annapolis Ln., Plymouth, MN 55441

FOR MORE INFORMATION PLEASE CONTACT AGENTS:

Doug Passon Robert Bender James Camarata, BOR

Managing Partner Managing Partner Integrity Lake Minnetonka Holdings, LLC

Direct: 248.254.3407 Direct: 248.254.3406 MN License #40194993

[email protected] [email protected]

CLICK HERE TO EMAIL US:

mailto:[email protected]?subject=Home%20Depot%20-%20Plymouth,%20MN





Doug Passon Robert Bender

Managing Partner Managing Partner

Direct: 248.254.3407 Direct: 248.254.3406



DISCLOSURE :

All materials and information received or derived from Fortis Net Lease (hereinafter collectively referred to as “FNL”), its directors, officers, agents, advisors,

affiliates and/or any third party sources are provided without representation or warranty by FNL its directors, officers, agents, advisors, or affiliates as to

completeness, veracity, or accuracy, condition of the property, compliance or lack of compliance with applicable governmental requirements, suitabil-

ity, financial performance of the property, projected financial performance of the property for any party’s intended use or any and all other matters.

Neither FNL its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy or completeness of

the any materials or information provided, derived, or received. Materials and information from any source, whether written or verbal, that may be fur-

nished for review are not a substitute for a party’s active conduct of its own due diligence to determine these and other matters of significance to such

party. FNL will not investigate or verify any such matters or conduct due diligence for a party unless otherwise agreed in writing.

ALL PARTIES SHALL CONDUCT THEIR OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE:

Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections and inves-

tigations including through appropriate third party independent professionals selected by such party.

All financial data should be verified by the party including by obtaining and reading applicable documents and reports and consulting appropriate inde-

pendent professionals. FNL makes no warranties and/or representations regarding the veracity, completeness, or relevance of any financial data or as-

sumptions. FNL does not serve as a financial advisor to any party regarding any proposed transaction. All data and assumptions regarding financial per-

formance, including that used for financial modeling purposes, may differ from actual data or performance. Any estimates of market rents and/or project-

ed rents that may be provided to a party do not necessarily mean that rents can be established at or increased to that level. Parties must evaluate any

applicable contractual and governmental limitations as well as market conditions, vacancy factors and other issues in order to determine rents from or for

the property.

Legal questions should be discussed by the party with an attorney. Tax questions should be discussed by the party with a certified public accountant or

tax attorney. Title questions should be discussed by the party with a title officer or attorney. Questions regarding the condition of the property and whether

the property complies with applicable governmental requirements should be discussed by the party with appropriate engineers, architects, contractors,

other consultants and governmental agencies. All properties and services are marketed by FNL in compliance with all applicable fair housing and equal

opportunity laws.








Direct: 248.254.3407 Direct: 248.254.3406



INVESTMENT SUMMARY

List Price: $24,047,100

Current NOI: $1,202,355

Initial Cap Rate: 5.0% | Avg. Cap: 5.70%

Land Acreage: 11.42 Acres

Year Built: 1997

Building Size: 111,847 SF

LEASE SUMMARY

Lease Type: NNN

Taxes/CAM/Insurance: Tenant Responsibility

Structure/Parking: Tenant Responsibility

Roof: Tenant Responsibility***

Original Lease Term: 20 Years

Rent Commencement: May 6, 1996

Rent Expiration: August 31, 2031

Recent Extension: 13 Years, 7 Months

Term Remaining: 15+ Years

Rent Increases: Variable Every 5 Years

Option Periods: Four, Five Year Options

Tenant: Home Depot USA, Inc.

PROPERTY IMAGES

Google Aerial Map: Click HERE

Google Street View: Click HERE

Drone Video: Click HERE

*** Landlord will reimburse Tenant 80% of the unamortized cost of the roof

or roof system during the last five years of the initial Lease term or any time

during the Option Term should it need to be replaced.

INVESTMENT HIGHLIGHTS

111,847 SF Home Depot located on 11.42 Acres

Recently Extended Lease Term with 15+ Years Remaining

300 Surface Parking Spaces | 625 Feet of Frontage on Annapolis Lane

Four, Five Year Options | Variable Rent Increases During Initial Term &

Options

LOCATION HIGHLIGHTS

Located at the Intersection of Water Tower Circle & Annapolis Lane

Just off the Exit of I-494 (95k+ VPD) & County Road 6 (12k+VPD)

Average Household Income Exceeds $109,000 Within a 3 Mile Radius

5 Mile Population Exceeds 162,000 Residents | 5.47% Growth Within I Mile

Median Home Value Exceeds $293,000 Within a 3 Mile Radius

Located Near Major Retail Tenants Including Walgreens, Discount Tire,

Michael’s, Starbuck’s, McDonalds, Burger King, Cub Foods, Best Buy &

Target

Year

Monthly

Rent

Annual

Rent

Rent

Increase

%

Increase

9/1/2016 - 8/31/2021 $100,196.00 $1,202,355 78,300 6.51%

9/1/2021 - 8/31/2026 $106,721.00 $1,280,648 78,288 6.11%

9/1/2026 - 8/31/2031 $113,245.00 $1,358,941 78,294 5.76%

9/1/2031 - 8/31/2036 $119,769.50 $1,437,234 78,293 5.45%

9/1/2036 - 8/31/2041 $126,293.90 $1,515,527 78,293 5.17%

9/1/2041 - 8/31/2046 $132,818.31 $1,593,820 78,293 4.91%

9/1/2046 - 8/31/2051 $139,342.72 $1,672,113


https://goo.gl/maps/iBRSPwBRksw

https://goo.gl/maps/H6Hu8AYD5cC2

https://vimeo.com/190651131







Direct: 248.254.3407 Direct: 248.254.3406



INVESTMENT OVERVIEW

Fortis Net Lease is proud to present the Home Depot located at 1705 Annapolis Lane in Plymouth, MN. The 20 year NNN lease was recently ex-

tended by 13 years and 7 months. The expiration date for the extended term is August 31, 2031 and there are four, five year options with varia-

ble rent increases during the initial term and options.

The subject property is located at the intersection of Water Tower Circle & Annapolis Lane. It is just off the exit of I-494 (95k+ VPD) & County

Road 6 (12k+VPD). The average household income within three miles of the property is over $109,000 and the median home value exceeds

$293,000. The population within five miles exceeds 162,000 residents and has a 5.47% growth rate within one mile. The subject property is sur-

rounded by retail tenants including: Walgreens, Discount Tire, Michael’s, Starbuck’s, McDonalds, Burger King, Cub Foods, Best Buy & Target.

TENANT OVERVIEW

Home Depot’s vision of one-stop shopping for the do-it-yourselfer came to fruition when they opened the first two Home Depot stores on June

22, 1979, in Atlanta, Georgia. The first stores, at around 60,000 square feet each, were cavernous warehouses that dwarfed the competition and

stocked 25,000 products, much more than the average hardware store at that time. Home Depot stores sell various building materials, home

improvement products, and lawn and garden products, as well as provide installation, home maintenance, and professional service programs

to do-it-yourself, do-it-for-me (DIFM), and professional customers. The company offers installation programs that include flooring, cabinets, coun-

tertops, water heaters, and sheds; and professional installation in various categories sold through its in-home sales programs, such as roofing, sid-

ing, windows, cabinet refacing, furnaces, and central air systems, as well as acts as a contractor to provide installation services to its DIFM cus-

tomers through third-party installers. It primarily serves home owners; and renovators/remodelers, general contractors, repairmen, installers, small

business owners, and tradesmen.

Today, The Home Depot is the world’s largest home improvement retailer with nearly 400,000 orange-blooded associates and more than 2,200

stores in the U.S., Canada and Mexico. The typical store today averages 105,000 square feet of indoor retail space, interconnected with an e-

commerce business that offers more than one million products for the DIY customer, professional contractors, and the industry’s largest installa-

tion business for the Do-It-For-Me customer.








Direct: 248.254.3407 Direct: 248.254.3406



LOCATION OVERVIEW

Plymouth, MN

Plymouth is the seventh largest city in the U.S. state of Minnesota. Located 15 miles west of

downtown Minneapolis in Hennepin County, the city is the third largest suburb of Minneapolis–

Saint Paul, which is the sixteenth largest metropolitan area in the United States, with about 3.52

million residents. The population was 70,576 at the 2010 Census.

OneBeacon, Select Comfort and Tonka Water are companies that are headquartered in

Plymouth. Additional employers include: Wayzata Public Schools, Aimia, Medtronic, St. Jude

Medical, Prudential, City of Plymouth, Honeywell, Nilfisk-Advance and US Foods.

Plymouth was named Money magazine’s number one Best Place to Live in 2008 for cities with

populations of 50,000 to 300,000. The city stayed in the top dozen when the magazine repeat-

ed the rankings in 2010.

Many major highways run through or are close to Plymouth, making it readily accessible to all

within the metropolitan area. Interstate 494 runs through Plymouth as does Hwy. 55. Hwy. 169 is

on the city’s eastern border and I-394 is within four miles from the center of Plymouth.

Plymouth residents also enjoy beautiful natural amenities, including more than a half a dozen

sizable water bodies. Medicine Lake, the second largest lake in Hennepin County, is located in

Plymouth. It is a magnet for anglers and boaters. Plymouth voters have gone to the polls twice

to authorize the City of Plymouth to issue bonds to buy open space for preservation and parks.

Plymouth has extensive trails and parks; picturesque open spaces; strong neighborhoods; di-

verse recreation programs; highly regarded school districts; a variety of local businesses; near-

by shopping and entertainment districts; and easy access to downtown Minneapolis and its

wide array of cultural and sports venues.








Direct: 248.254.3407 Direct: 248.254.3406










Direct: 248.254.3407 Direct: 248.254.3406



Water Tower Circle








Direct: 248.254.3407 Direct: 248.254.3406



An

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Subject

Property

Water Tower Circle

12,700+ VPD

County Road 6






Doug Passon Robert Bender James Camarata, BOR

Managing Partner Managing Partner Integrity Lake Minnetonka Holdings, LLC

Direct: 248.254.3407 Direct: 248.254.3406 MN License #40194993



Ridgedale

Center Mall








Direct: 248.254.3407 Direct: 248.254.3406










Direct: 248.254.3407 Direct: 248.254.3406



Population: 1 Mile 3 Mile 5 Mile

2021 Projection 3,087 63,057 171,485

2016 Estimate 2,927 59,933 162,705

2010 Census 2,720 56,363 151,508

Growth 2016-2021 5.47% 5.21% 5.40%

Growth 2010-2016 7.61% 6.33% 7.39%

2016 Population Hispanic Origin 67 1,730 5,528

2016 Population by Race:

White 2,527 50,775 136,960

Black 193 3,609 11,109

Am. Indian & Alaskan 10 234 602

Asian 125 3,999 10,147

Hawaiian & Pacific Island 1 16 70

Other 71 1,300 3,817

U.S. Armed Forces: 0 4 21

Households:

2021 Projection 1,369 26,935 72,621

2016 Estimate 1,298 25,575 68,869

2010 Census 1,209 23,998 64,195

Growth 2016 - 2021 5.47% 5.32% 5.45%

Growth 2010 - 2016 7.36% 6.57% 7.28%

Owner Occupied 1,002 17,283 47,623

Renter Occupied 296 8,292 21,245

2016 Avg Household Income $86,729 $109,335 $104,450

2016 Med Household Income $60,366 $79,479 $76,967

2016 Households by Household Inc:

<$25,000 187 3,267 9,144

$25,000 - $50,000 299 4,797 13,103

$50,000 - $75,000 283 4,121 11,461

$75,000 - $100,000 156 3,360 9,239

$100,000 - $125,000 112 2,354 6,665

$125,000 - $150,000 85 1,746 4,690

$150,000 - $200,000 85 2,402 6,389

$200,000+ 91 3,527 8,179

Population 1 Mile 3 Mile 5 Mile

2016 Total Population: 2,927 59,933 162,705

2021 Population: 3,087 63,057 171,485

Pop Growth 2016-2021: 5.47% 5.21% 5.40%

Average Age: 41.30 40.40 40.20

Households

2016 Total Households: 1,298 25,575 68,869

HH Growth 2016-2021: 5.47% 5.32% 5.45%

Median Household Inc: $60,366 $79,479 $76,967

Avg Household Size: 2.30 2.30 2.30

2016 Avg HH Vehicles: 2.00 2.00 2.00

Housing

Median Home Value: $223,830 $293,644 $272,565

Median Year Built: 1980 1982 1978


OUR TEAM

DOUG PASSON ROB BENDER BRYAN BENDER MIKE CARTER MARV DELAURA MIKE JAWORKSI

Managing Partner Managing Partner Associate Director Senior Associate Senior Associate Senior Associate

(248)254.3410 (248) 254.3410 (248) 254.3410 (248) 254.3410 (248) 254.3410 (248) 254.3410

PAT HAMMOND FRANK ROGERS KYLE CARSON BEN SCHULTZ FORTIS NET LEASE Senior Associate Senior Associate Business Development Business Development 30445 Northwestern Highway, Suite 345

(248) 254.3410 (248) 419.3741 (248) 254.3410 (248) 254.3410 Farmington Hills, MI 48334

This information is deemed confidential and privileged and may contain inside information. If you are not the intended receiver do not read, copy or distribute this offering memorandum, instead delete or destroy it and contact one

of our representatives. This information is believe to be accurate but is not represented or warranted by Fortis Net Lease or any of our agents or contractors.

MORE THAN $4 BILLION IN SALES Fortis Net Lease is a national investment real estate brokerage firm specializing in the acquisition and disposition of investment real es-

tate. We help developers, franchisees, private investors and institutional funds accomplish their short and long term investment goals.

The principals of Fortis Net Lease have successfully sold hundreds of properties in over three dozen states with a total transaction vol-

ume topping $4 billion.

Fortis Net Lease specializes in the acquisition and disposition of the following:

· Net leased single tenant properties (Pharmacies, Auto Parts, Dollar Stores, Banks, QSR, Office/Industrial, Medical, Junior/Big Box, etc.)

· Portfolios & Corporate Sale-Leaseback Transactions (Burger King, Arby’s, Tutor Time, Taco Bell, Wendy’s, etc.)

· Multi-Tenant Retail Centers & Medical Office (Anchored or Unanchored - 5,000 - 1,000,000 SF)

The advisors at Fortis Net Lease create long term relationships with our investors by delivering superior services and unparalleled re-

sults. When you hire Fortis Net Lease as your exclusive representative you will experience the individual attention and professionalism

that you will not receive at other large brokerage firms.

OUR AGENTS

DOUG PASSON ROB BENDER BRYAN BENDER DENO BISTOLARIDES BRANDON HANNA RICHARD LUDWIG

Managing Partner Managing Partner Managing Director Managing Director Managing Director Senior Director

(248) 254.3407 (248) 254.3406 (248) 419.3810 (248) 419.3882 (248) 419.3285 (248) 419.3638

MARVIN DELAURA MIKE CARTER PAT HAMMOND MIKE JAWORSKI DANTE HARGIS MATT WEBER Senior Director Senior Associate Senior Associate Senior Associate Senior Associate Senior Associate

(248) 419.3811 (248) 419.3812 (248) 419.3808 (248) 419.3807 (248) 419.3886 (248) 419.3884

JOSEPH WERNER MIKE GAGGO FRANK ROGERS BEN SCHULTZ KYLE CARSON ABRAHAM LEON Senior Associate Associate Associate Associate Associate Associate

(732) 779.6537 (248) 419.3286 (248) 419.3741 (248) 254.3409 (248) 419.3271 (248) 419.3625

DANNY SAMONA BRENT HANNA BRANDON KASSAB VINCE PIPIA ALEC MANOOGIAN JACK WARDLOW Associate Associate Associate Associate Analyst Analyst

(248) 419.3627 (248) 419.3284 (248) 419.3629 (586) 405.9656 (248) 807.3629 (248) 953.3508

DAN MILLER ANDREW BENDER TRACEY SENSING AMY JONES FORTIS NET LEASE

Analyst Analyst Coordinator Office Manager 30445 Northwestern Hwy., Ste. 275

(586) 202.7168 (248) 419. 3657 (248) 419.3888 (248) 419.3631 Farmington Hills, MI 48334

single tenant investment opportunity recent lease … · 2017-10-17 · single tenant investment...

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