Surgical Dental Investment - 2792 South 5600 West West...

376 East 400 South, Suite 120 l Salt Lake City, Utah 84111Offi ce 801.456.8800 l Fax 801.578.5500

www.mtnwest.com


www.mtnwest.com

CONTACT:CONTACT:

SURGICAL/DENTAL INVESTMENT2792 SOUTH 5600 WEST • WEST VALLEY CITY • UTAH • 84128


FOR SALEFOR SALE

LANCE [email protected]


DAVE [email protected]


C e n t e n n i a lC e n t e n n i a lP a r kP a r k

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Buffet City

Bobby LawrenceKarate

Roxy’s Salon

Carwash

West Valley Family Fitness Center

West Valley Accord Ice Center

The Salty DogCar and Pet Wash

Salon 56La Puente

Honey NailsChicken ExpressBBQ Rotisserie

Thai This -Pho Restaurant

SUPERCENTER

The Nail DistrictHouse of Hookahs

Professional Dental

LIBERTY

TAX

SERVICE

Bonzai TepanyakiP&W Nails

Estilos Hair Salon

Superior Dry CleaningSmokes 4 Less

Tokyo City

PROPOSED

PROPOSED

Chinatown Wok

Veterans AffairsOutpatient Clinic

Fire Station

PROPOSED

PROPOSED

PROPOSED

DEMOGRAPHICS 1 MILE 3 MILES 5 MILES

POPULATION

2013 ESTIMATED POPULATION 8,080 91,357 204,398

2018 PROJECTED POPULATION 8,525 97,312 216,803

HOUSEHOLDS

2013 ESTIMATED HOUSEHOLDS 2,224 24,651 58,419

2018 PROJECTED HOUSEHOLDS 2,358 26,288 62,036

2013 EST. AVERAGE HH INCOME $74,896 $68,449 $62,037

2013 EST. MEDIAN HH INCOME $64,950 $57,492 $52,708

2013 EST. PER CAPITA INCOME $19,808 $18,448 $17,751

PROPERTY FEATURES• NOI: $137,976.48

• CAP RATE: 6.5%

• Sale Price: $2,080,260.78

• Proposed Occupancy Costs are 4% of 2013 total Gross Billings ($2,834,060)

NEARBY TENANTS INCLUDE:


www.mtnwest.com

CONTACT:


FOR SALE



INVESTMENT SUMMARY YEAR NOI NOTESAloha Dental & West Shore Surgical Center July 2014 $137,976.48Suite 2792 2015 $137,976.48Lease Rate: $29.52 PSF NNN 2016 $137,976.484,674 SF Occupied 2017 $137,976.48Lease Expires 10 Years From Close 2018 $137,976.48

July 2019 $144,875.30 5% Increase2020 $152,199.07 5% Increase2021 $159,725.02 5% Increase2022 $167,711.27 5% Increase2023 $176,096.84 5% Increase2024 $184,901.68 5% Increase

Year 1 NOI $137,976.48 Reserves 2%Year 1 Adjusted NOI $135,216.95 Cap Rate 6.50%PSF $445

This is Sale Lease Back Deal

Buyer: Pacific Properties Management LLCSeller: Laramie Holdings LLCBuilding SF:1,224Class:Acres: 0.30Year Built:Clsing Dte: 05/12/2014Comments:

Beans & Brews 2707 South Highland Drive Salt Lake City UT 84106Sold Price: $700,000.00Cap Rate: 6.81%NOI: $47,670.00Price PSF: $571.90Ask Price:% Discount:Ask Cap: 6.50%

Property Type: RetailTenant Type: multiTenantTOM:

ID: 50277

1

Buyer Co: Mountain West RetailAgent 1: Garrett BlomquistPhone: 801-456-8800

Seller Co: CB Richard EllisAgent 1: JR MoorePhone: 801-869-8000

Investment Sale

Buyer: ASSET PRESERVATION INCSeller: AMSOURCE/ARA SARATOGA INCOMEBuilding SF:3,774Class:Acres: 1.00Year Built:2008Clsing Dte:04/02/2012Comments:

Chase Bank 1412 North West Commerce Drive Saratoga Springs UT 84045Sold Price: $1,650,000.00Cap Rate: 5.76%NOI: $95,040.00Price PSF: $437.20Ask Price: $1,727,273.00

% Discount:Ask Cap: 5.50%

Property Type: RetailTenant Type: multiTenantTOM: 3 mons

ID: 44557

2

Seller Co: Commerce Real EstateSolutionsAgent 1: Kip PaulPhone: 801-322-2000

Investment Sale

INVESTMENT COMPARABLES


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CONTACT:


FOR SALE



Buyer: Investment Property Exchange Services Inc dba CVSSeller: PRP Investors ProvoBuilding SF:14,651Class:Acres: 0.67Year Built:Clsing Dte:04/03/2014Comments:

CVS - Provo 1273 North University Avenue Provo UT 84604Sold Price: $4,650,000.00Cap Rate: 5.27%NOI: $245,055.00Price PSF: $317.38Ask Price:% Discount:Ask Cap: 0.00%

Property Type: RetailTenant Type: sTenantTOM:

ID: 50028

4

Seller Co: Mountain West RetailAgent 1: Scott BradyPhone: 801-456-8800Agent 2: Joe CooleyPhone: 801-456-8800

Investment Sale

Buyer: Robert A. PlumbSeller: M. Elizabeth Gardiner TrustBuilding SF: 1,865Class:Acres: 0.31Year Built: 1984Clsing Dte: 04/20/2012Comments:

Red Moose Coffee 1693 South 900 East Salt Lake City

Region: NE

UT 84105Sold Price: $350,000.00Cap Rate: 6.86%NOI: $24,010.00Price PSF: $187.67Ask Price:% Discount:Ask Cap:


ID: 44575

7

Buyer Co: Mountain West RetailAgent 1: Chris HatchPhone: 801-456-8800Buyer Co: NAI WESTAgent 1: Bryce BlanchardPhone: 801-578-5555

Seller Co: Commerce Real EstateSolutionsAgent 1: Mark JensenPhone: 801-377-2400

Investment Sale

Buyer: Sprigeralli Holdings, LLCSeller: Baldez / Johnson Building SF: 171Class:Acres: 0.19Year Built: 1996Clsing Dte: 01/21/2014Comments:

Java Express 3042 East 3300 South Salt Lake City UT 84109Sold Price: $277,500.00Cap Rate: 5.50%NOI: $15,262.50Price PSF: $1,622.81Ask Price: $300,000.00


Property Type: RetailTenant Type: multiTenantTOM: 6 mons

ID: 49554

5

Buyer Co: Logical MoveAgent 1: Tim SleeperPhone: 801-871-5644

Seller Co: Mountain West RetailAgent 1: Chris HatchPhone: 801-456-8800Agent 2: Rob SweeneyPhone: 801-456-8800

Investment Sale

Buyer: Greenwood Family InvestmentsSeller: Thackeray Family HoldingsBuilding SF:7,836Class:Acres: 1.14Year Built: 1997Clsing Dte: 05/16/2012Comments:

Sweet Tomatoes - 10060 South State Street 10060 South State Street Sandy UT 84070Sold Price: $2,020,000.00Cap Rate: 6.06%NOI: $122,412.00Price PSF: $257.78Ask Price: $2,130,000.00


Property Type: RetailTenant Type: sTenantTOM: 00:00:00

ID: 44995

8

Buyer Co: Knight RealtyAgent 1: Spencer KnightPhone: 801-364-1945

Seller Co: Commerce Real EstateSolutionsAgent 1: Kip PaulPhone: 801-322-2000

Investment Sale

Buyer: Rinker Community Property Trust dba CVSSeller: PRP Investors Herriman, LLCBuilding SF:15,300Class:Acres: 1.70Year Built:Clsing Dte:04/10/2014Comments:

CVS - Herriman 4968 West 13400 South Herriman UT 84096Sold Price: $3,250,000.00Cap Rate: 5.08%NOI: $165,100.00Price PSF: $212.42Ask Price:% Discount:Ask Cap: 0.00%


ID: 50066

3

Seller Co: Mountain West RetailAgent 1: Joe CooleyPhone: 801-456-8800Agent 2: Scott BradyPhone: 801-456-8800

Investment Sale

Buyer: YJ LeeSeller: CottonwoodBuilding SF: 13,560Class:Acres: 1.39Year Built:Clsing Dte: 12/31/2012Comments:

Millcreek Walgreens 4517 South 900 East Salt Lake City UT 84105Sold Price: $7,743,000.00Cap Rate: 5.85%NOI: $452,965.50Price PSF: $571.02Ask Price:% Discount:Ask Cap: 0.00%

Property Type: RetailTenant Type: multiTenantTOM:

ID: 46845

6

Seller Co: Cottonwood CapitalAgent 1: Ryan HeathPhone: 801-278-0700

Investment Sale


www.mtnwest.com


FOR SALE

CONTACT: LANCE [email protected]


WEST SHORES SURGICAL CENTER• In August 2011, Aloha Dental decided to build a Level II, Ambulatory Surgical

Center within its building. We decided to build the surgical center because when we had surgery days, we would only see 30-40% of our patients show up to the surgery center. The common response from the parents of the patients was that the surgery center we were going to was too far away…it was a day trip…they couldn’t take a day off. Since we built our own surgery center, we have had a 96% appointment rate. Very rarely do patients miss or cancel. Most appointments are rescheduled due to the patients eating before their surgery time which is an automatic reschedule.

• Building the surgery center was a major undertaking to fi ll out all the regula-tory paperwork (at least 500 + pages, application only), memorizing the 1,700 federal regulations (1,400 of them are mandatory regulations) to follow, get-ting the State of Utah to provide letters of exemption for a surgical center that would be under 2 operating rooms, getting approvals from the city council and planning/zoning commission of the city and county, getting an exemp-tion from the fi re marshal to allow our dental suction to go undergrown verses going above and thru a zone valve, and the 2 other inspectors that tested the plumbing and mechanical systems prior to opening.

• The surgery center went through a grueling credentialing process with the Joint Commissions, the nation’s most stringent credentialing agency. Most business take 2-4 years to get credentialed with the Joint Commissions, but West Shores Surgical Center did it in 8 ½ months from its fi rst patient and received its coveted “Gold Standard Award”!

• The closest surgery center is 7 1/2 miles away to our location (8900 South Redwood Road). We are the only Ambulatory Surgical Center on the North West part of salt lake county. We have two other pediatric offi ces using our surgery center for the same reasons we had with the other surgery center be-ing so far away.

PRACTICE INFORMATION• The practice opened in the summer of 2008. Its original plan was to bring in

general, pediatric dentistry, and orthodontics. The original owner got cancer and left the practice by the summer of 2010. In 2011, an oral surgeon was added to the staff of Aloha Dental.

• The practice averages 165-175 new patients per month (38% are existing pa-tient referrals). The average practice will only receive 30-35 new patients.

• Aloha Dental will perform anywhere between 4,500-5,000 procedures per month with all our doctors and hygiene department combined.

• The patient base of the practice is 11,492.

• Aloha Dental has a total of 11 dental chairs.- 3 pedo open bay chairs.- 3 ortho chairs.- 2 hygiene chairs.- 3 restorative treatment rooms.

OWNERSHIP OF THE BUILDING:• Dr. Greg Biddulph (general dentist, 10 years of experience).

• Jason Mandelaris (pediatric dental specialist, 6 years of experience).

• Kase Peery (business manager, 20 years of experience in dental consulting, brokering of practices, business appraisals and owner in 14 dental practices since 1997.

GROSS RECEIPTS OF ALOHA DENTAL / WEST SHORES SURGICAL CENTER (2013)• Aloha Dental - $2,624,521

• West Shores Surgical Center - $209,539

• Total = $2,834,060

CURRENT MONTHLY DEBT SERVICE:• Aloha Dental & West Shores Surgical Center - $8,411.11 (4%) of collections.

• Building Mortgage - $6,319.99 (3%) of collections.

• Total = $14,731.10 (7%) of collections.

WHAT DEBT WILL BE RETIRED WITH THE SALE OF THE BUILDING:• Approx. $899,313.20 as of May 14, 2014 (which would retire the building

debt).

BREAKDOWN OF COSTS TO BUILD THE PRACTICE AND SURGERY CENTER:• Aloha Dental: $630,000.

• $300,000 Equipment.

• $330,000 TI’s.

• West Shores Surgical Center: $425,000

• $74,000 Equipment.

• $351,000 TI’s.

COST TO DUPLICATE OUR CURRENT SITUATION:• It would not make sense to move in any way. The costs to do so are cost

prohibitive. Plus, we are in a very, very good location.

• Aloha Dental - $750-800 K.

• West Shores Surgical Center – $550-600 K. (probably would not do it again because of the major headache it is to put it together with the risk of not get-ting credentialed. If you are not credentialed, you just built yourself a half million dollar VIP room.

Surgical Dental Investment - 2792 South 5600 West West...

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