19+ YEARS REMAINING ON ABSOLUTE NET LEASE · NET LEASED RETAIL M M JOSEPH BLATNER / (503) 200-2029...

www.MarcusMillichap.comNET LEASED RETAILO F M A R C U S & M I L L I C H A P

JOSEPH BLATNER / (503) 200-2029 [email protected]

SCOTT LOGAN / (503) 200-2023 [email protected]

:: NetLeasedRetail.com

WALGREENSRoseburg , OR

1236 NW Garden Valley Blvd, Roseburg, OR 97471

19+ YEARS REMAINING ON ABSOLUTE NET LEASE

WALGREENS - ROSEBURG, OR :: 2

LEGAL DISCLAIMER

Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows:The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided. As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Marcus & Millichap expressly denies any obligation to conduct a due diligence examination of this Property for Buyer. Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs. Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal

and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the property.

By accepting this Marketing Brochure you agree to release Marcus & Millichap Real Estate Investment Services and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.

The information contained in this Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure 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. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap 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.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.


INVESTMENT OVERVIEW

NET OPERATING INCOME . . . $565,000

LEASE TYPE . . . Absolute NNN Lease

ORIGINAL FIRM TERM . . . 25 Years

LEASE COMMENCEMENT . . . 9/1/2011

LEASE EXPIRATION DATE . . . 8/31/2086

GUARANTOR . . . Walgreens Boots Alliance

YEAR BUILT . . . 2011

LOT SIZE . . . 1.01 Acres

BUILDING SIZE . . . 14,550 SF PRICE

$10,425,000

S I N G L E T E N A N T

ABSOLUTE NET LEASE R O S E B U R G , O R

CAP

5.42%


Developed in 2011 as a build-to-suit for

Walgreens, the property is located on a

corner lot on NW Garden Valley Blvd, a busy

arterial traveling through Roseburg with traffic

counts of 16,900 vehicles daily.

The property has two points of ingress/egress,

NW Garden Valley Blvd & NW Stewart Pkwy.

: : EXCELLENT ACCESS & VISIBILITY

:: ACROSS FROM FRED MEYER

INVESTMENT DETAILS

BUSY NW GARDEN VALLEY BLVD

CORNER LOCATION

SURROUNDED BY

BIG BOX RETAILERS

Walgreens Shares an intersection with Roseburg Valley Mall (Marshalls, Jo-Ann Fabrics, Maurices), Staples, and Bi-Mart and sits just one block north of Fred Meyer.

Walgrens shares access points with Carl’s Jr & Aspen Dental. Other area retailers include Walmart Supercenter, Starbucks, JC Penney, Ross & Petco.

There are 19+ years remaining firm term on

the 75 year absolute net lease, which allows

for a passive investment with no landlord

responsibilities.

:: CONSISTENT YEARLY INCREASE IN SALES

19+ YEAR FIRM TERM ABSOLUTE NET LEASE


R E N T R O L L

Walgreens 14,550 SF 9/1/2011 8/31/2086 $565,000 Absolute Net

TENANT INFO

NAME SQUARE FEET

LEASE TERMS

COMMENCEMENT EXPIRATION

CURRENT RENT

ANNUAL BASE RENT TYPE

LEASE

: : B B B S & P C R E D I T R AT I N G

CORPORATE GUARANTEE

Lease backed by Walgreens Boots Alliance, Inc.

The company has been ranked #1 by Fortune

Magazine on their list of the world’s most

admired companies. The company’s net worth is

$30.86 Billion.

$30.86 Billion net worth


LEASE ABSTRACT

Tenant: Walgreen Co.Address: 1236 NW Garden Valley Boulevard, Roseburg, OR 97471.Date of Lease: January 5, 2010.Rent Commencement: September 1, 2011.Lease Expiration: August 31, 2086.Termination Options: Tenant shall have the right and option, at Tenant’s election, to terminate

the lease effective as of 8/31/2036 with 12 months notice to landlord.Renewal Options: No.Rent/Month: Fixed rent of $47,083.33 per month.Percentage Rent: 2% of tenant’s gross sales made by tenant in the operation of the tenant’s

store in any lease year, except gross sales from the sale of food items, if any, and prescription items, if any, plus .5% of such gross sales of food items, if any, and prescription items, if any.

Real Estate Taxes: Tenant billed directly for taxes.Repairs /Maintenance: Tenant maintains the premises and makes all necessary repairs and

replacements, whether interior or exterior, to all or parts of the same at tenant’s sole cost and expense.

Tenant may, at any time, from time to time, discontinue the operation of its business in the leased premises, assign their interest in the lease and/or sublease to another tenant, without landlord’s consent. Any assignment can be only to a corporation or other entity which is subsidiary to or affiliated with tenant, or to a corporation or other entity resulting from any consolidation, reorganization or merger to which tenant, or any of its parent, subsidiaries or affiliates, may be a party. Any sublease can be to any person, firm, corporation or other entity, other than a corporation or other entity described under allowable entities for an assignment.

Right of First Refusal: Yes. Tenant has 45 days to respond to seller’s notice of an offer.Estoppel Certificate: Tenant has 30 days to return an estoppel certificate upon landlord’s request.

Tenant Assignment and Subletting:

Tenant will maintain the following insurance for the premises: • Tenant shall carry special form coverage insurance

covering the building and the other improvements on the leased premises to the extent of not less than 100% replacement value.

• Tenant shall carry public liability and property damage insurance with respect to the operation of the leased premises. Such public liability insurance shall cover liability and property damage for death or bodily injury in any one accident, mishap or casualty in a combined single limit sum of not less than $2M.

• Tenant may self-insure or carry a blanket policy. Tenant may deduct and retain the amounts of said premiums in any lease year from percentage rents for such lease year.


B I R D ’ S E Y E V I E W


W C A R T W R I G H T R D

336

NW GARD

EN VALLEY BLVD

STEWART P

ARKWAY

S I T E P L A N

Shared access with both Carl’s Jr &

Aspen Dental16,900 CARS DAILY*

* COSTAR 2015

C A R L’S J R G R E E N B U R R I TO

R O D E O S T E A K H O U S E

A S P E N D E N TA L

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:: SIGNALIZED INTERSECTION

HIGHER TRAFFIC

CORNER LOCATION

ROSEBURG VALLEY MALL

Parcel outline not exact, buyer must verify


A E R I A L

N

5NW STEWART PARKWAY

NW STEWART PARKWAY

NW STEWART PARKWAY

STEWART PARK

CHARLES S GARDNER PARK

PARK LAKE

ROSEBURG VALLEY MALL

NW GARDEN VALLEY BLVD

McDonald’s

BURGER KING

Jimmy John’s

WALGREEN’S----------------

1236 NW GARDEN VALLEY BLVD, ROSEBURG, OR

16,900 CARS D

AILY*

Parcel outline not exact, buyer must verify


HOUSEHOLD INCOME

2015 AVERAGE

2015 MEDIAN

POPULATION

2010

2016

2021

D E M O S

:: WITHIN 1-MILE RADIUS

$ 6 4 , 0 0 0 + A V G

H O U S E H O L D

I N C O M E S

< 1 Mile

5 Miles >

1 Mile 3 Miles 5 Miles

$64,754 $54,606 $55,802

$46,440 $41,332 $42,276

1 Mile 3 Miles 5 Miles

14,938 27,414 34,663

4,876 27,091 34,285

5,035 27,713 35,363

Company Name # of Employees

Mercy Medical Center Inc 1,000

Douglas County 783

Peacehealth 781

Roseburg Vamc 700

Umpqua Holdings Corporation 499

Worksource Training Center 451

Walmart 210

Costco Wholesale Corporation 204

Lithia Chrysler Jeep Dodge 170

Sunrise Shop & Save 161

Douglas County Forest Products 155

Roseburg High School 152

MAJOR AREA EMPLOYERS

WALGREENS

0. 7 miles away


R E T I R E M E N T C O M M U N I T I E S

:: 65+ YEARS OF AGE

2 9 % O F T H E

S U R R O U N D I N G

1-MILE POPULATION

WALGREENS

65+

This Walgreens location is surrounded by

a number of assisted living and retirement

communities and is just 0.7 miles from

Mercy Medical Center, a 174-bed hospital

with over 1,000 employees.

Mercy Medical Center


R O S E B U R G , O R

ROSEBURG

MEDFORD

EUGENE

O R E G O N

C A L I F O R N I A

SALEM

BEND

COOS BAY

Roseburg, the county seat of Douglas County Oregon, is situated at the heart of the Hundred Valleys of the Umpqua in scenic, Southwestern Oregon. On Interstate 5, it is 67 miles south of the state’s second largest city, Eugene, and 123 miles north of the California border. Roseburg is also about 80 miles inland from the Pacific coastal communities Reedsport and Coos Bay.

: : PROXIMITY TO UMPQUA RIVER & CRATER LAKE

Roseburg is located near the confluence of the north and south forks of the Umpqua River and the borders of the Umpqua National Forest which covers an area of 983,129 acres in Douglas, Lane, and Jackson counties, and borders Crater Lake National Park. Crater Lake, the deepest lake in the United States, is less than 100 miles to the East. A new National Park Service report shows that 614,712 recreational visitors made a trip to Crater Lake National Park in 2015 and spent $52,185,000 in communities near the park. That spending supported 887 jobs in the local area and had a cumulative benefit to the local economy of $71,212,400.

: : W I N E C O U N T RY

Roseburg is becoming a wine destination as well. In the Land of Umpqua you will find they can grow just about every varietal as their climate is considered similar to that of Italy and France. There are now over 25 wineries in the area.

A B O U T

R oseburg , O R


T E N A N T O V E R V I E W

: : 2 0 1 4 M E R G E R

Walgreens Boots Alliance was created through the combination of Walgreens and Alliance Boots in December 2014. This transaction brought together two leading companies with iconic brands, complementary geographic footprints, shared values and a heritage of trusted healthcare services through pharmaceutical wholesaling and community pharmacy care, dating back more than 100 years.

: : G L O B A L D I S T R I B U T I O N N E T W O R K

The Company has an unmatched supply chain and procurement expertise, offering customers innovative solutions and optimal efficiencies. As a global leader in pharmacy-led, health and well being retail, and together with the companies in which it has equity method investments, the company has over 13,200 stores in 11 countries as well as one of the largest global pharmaceutical wholesale and distribution networks with over 390 distribution centers delivering to more than 230,000 pharmacies, doctors, health centers and hospitals each year in more than 20 countries.

: : R E TA I L & B U S I N E S S B R A N D S

Walgreens Boots Alliance operates a portfolio of retail and business brands including Walgreens, Duane Reade, Boots and Alliance Healthcare, as well as increasingly global health and beauty product brands such as No7, Botanics, Liz Earle and Soap & Glory. The company has a diversified and robust profit pool across the USA, Europe and key emerging markets creating a unique platform for growth in developed and emerging markets.

BBB S&P CREDIT RATING

RANKED #1BY FORTUNE MAGAZINE

Walgreens Boots Alliance ranks No. 1 for 24th consecutive

year in the Food and Drug Stores industry of Fortune

magazine’s 2017 list of the World’s Most Admired Companies.

Company Name: Walgreens Boots Alliance, Inc.

Ownership: Public

Ticker Symbol (Nasdaq): WBA

Credit Rating: S&P BBB

Sales Volume: $103.44 Billion

Net Worth: $30.86 Billion

Credit Rating (S&P’s): BBB

Number of Locations: 8,200+

Number of Employees: 245,000

Headquarters: Deerfield, IL

Year Found: 1901

#1

www.MarcusMillichap.comNET LEASED RETAILO F M A R C U S & M I L L I C H A P

JOSEPH BLATNER / (503) 200-2029 / [email protected] LOGAN / (503) 200-2023/ [email protected]:: NetLeasedRetail.com

WALGREENSRoseburg , OR

19+ YEARS REMAINING ON ABSOLUTE NET LEASE · NET LEASED RETAIL M M JOSEPH BLATNER / (503) 200-2029...

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Transcript of 19+ YEARS REMAINING ON ABSOLUTE NET LEASE · NET LEASED RETAIL M M JOSEPH BLATNER / (503) 200-2029...