Walgreens - Durham, NC - SIGWalgreens Boots Alliance is the largest retail pharmacy, health and...

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710 Fayetteville Street | Durham, NC 27707

OFFERING MEMORANDUMAbsolute Triple Net (NNN) Lease Investment Opportunity

2EXCLUSIVELY MARKETED BY:

© 2019 The information contained in this ‘Offering Memorandum,’ has been obtained from sources believed to be reliable. We do not doubt its accuracy,however, we make no guarantee, representation or warranty about the accuracy contained herein. It is the responsibility of each individual to conductthorough due diligence on any and all information that is passed on about the property to determine it’s accuracy and completeness. Any and all projections,market assumptions and cash flow analysis are used to help determine a potential overview on the property, however there is no guarantee or assurancethese projections, market assumptions and cash flow analysis are subject to change with property and market conditions. We encourage all potentialinterested buyers to seek advice from your tax, financial and legal advisors before making any real estate purchase and transaction.

CHRIS SANDSNC Lic. # 300021

310.870.3282 | [email protected]

CLIFTON MCCRORYLic. # 99847


In Cooperation with Sands Investment Group North Carolina, LLC - Lic. # 29362

615 College Street, Suite 900Charlotte, NC 28202

844.4.SIG.NNN

www.SIGnnn.com

3TABLE OF CONTENTS

Area OverviewCity OverviewDemographics

Investment OverviewInvestment SummaryInvestment Highlights

Property OverviewLocation MapRetail Maps

Lease AbstractRent Roll

Actual Property Image

Walgreens | 710 Fayetteville Street | Durham, NC 27707

Tenant OverviewWalgreens Boot Alliance

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INVESTMENTOVERVIEW

5INVESTMENT SUMMARY

OFFERING SUMMARYPRICE $4,488,050CAP 6.00%NOI $269,283PRICE PER SF $547.78YEARS REMAINING 6+ Years

PROPERTY SUMMARYADDRESS 710 Fayetteville Street

Durham, NC 27707 COUNTY DurhamBUILDING AREA 9,804 SFLAND AREA 1.23 AcresBUILT 2000

Sands Investment Group is Pleased to Present For Sale the Walgreens Located at 710 Fayetteville Street in Durham,North Carolina. This is an Absolute NNN Lease Structure With Zero Landlord Responsibilities Located in the Heart ofDurham. This Investment is Approximately 9,804 SF on 1.23 Acres of Land.


6HIGHLIGHTS

Absolute Triple Net (NNN) Lease InvestmentOpportunity With Zero Landlord Responsibilities

Less Than 1-Mile From North Carolina Central UniversityWith Over 10,000 Students and Faculty

Over 100,000 Combined Vehicles Per DayAlong Durham Freeway and Fayetteville Street

Strong Demographics – Population of Approximately102,755 Within a 3-Mile Radius

Outstanding Location in the Heart of Durham

Walking Distance of Over 5.4 Million SF of Office Space(Average Occupancy of 99.2%) and Over 4,750 Multi-Family Units (Average Occupancy of 94.3%)

Select Neighboring Tenants Include: FoodWorld, Leone International Foods, KFC andDaVita Durham Dialysis Less Than 3-Miles From Duke University With Over

38,000 Students and Faculty

Immediate Proximity to the Durham Bulls Athletic ParkWith Over 10,000 Person Capacity

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PROPERTYOVERVIEW

8


9

Fayetteville St

v

Leone International Foods

Mc Bail Bonding

E Lakewood Ave

Durham Freeway

Old Fayette

ville S

t

10

Durham Freeway

Fayette

ville St

Durham Bulls Athletic Park

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AREAOVERVIEW

12CITY OVERVIEW

Durham, NC Economy Contemporary LifeDurham County has evolved into an exceptional centerfor technology. Leading industry clusters here include thelife sciences, advanced healthcare, software, informationtechnology, transportation components, financial servicesand electronics,. Durham is home to approx. 95 percentof the 170+ companies located in Research TrianglePark. Healthcare has also become Durham’s largestemployment cluster, which is why the city’s nickname isthe City of Medicine. Nearly one in three people in thecity work in a health-related field, and more than 300medical and health- related companies, medical practices,pharmaceutical research organizations, and three majorhospitals are located in the area, with a combined payrollexceeding $1.2 billion.

Cultural events showcase Durham’s rich character anddiversity. In 2008, Durham opened a new 2,800-seatperforming arts center that has greatly expanded thecity’s growing cultural arts offerings to include Broadwayproductions and live performances. The city is also hometo the Durham Performing Arts Center, which is the ninthmost successful performing arts center in the U.S. and11th globally, according to Pollster Magazine. The city ishome to the beautiful Eno River State Park, which is a4,200-acre park with woodlands for hiking & camping,and canoeing & fishing areas. The city is also home to theMuseum of Life and Science, which is a science museumfeaturing an array of largely hands-on exhibits intendedto spark curiosity and wonder.

DUKE UNIVERSITY HOSPITAL DURHAM PREFORMING ARTS CENTERDURHAM, NC

Durham is the county seat of Durham County, withportions of the city extending into Wake and OrangeCounties. The city’s 2017 estimated population was267,743 residents. The city is positioned at the core ofthe four county Raleigh-Durham-Chapel Hill metropolitanarea, which has about 2,117,103 residents making it thestate’s fourth-fastest-growing metro area. Durham ishome to the famous Research Triangle Park, which is theleading and largest high technology research and sciencepark in North America. The city is also home to manygreat schools including Duke and North Carolina CentralUniversities. The city occupies a prime location in theheart of North Carolina and is a nexus for learning,creativity, research, and industry.

Durham | Durham County | North Carolina

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Population

Average Household Income

$55,661 $67,011 $84,031

DEMOGRAPHICS

3-MILE102,755

5-MILE207,974

10-MILE385,841

3-MILE 5-MILE 10-MILE

Fayetteville Street(19,029 VPD)

Durham Freeway(82,000 VPD)


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TENANTOVERVIEW

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COMPANY TYPENYSE: WBA

# OF LOCATIONS18,500+

FOUNDED1901

HEADQUARTERSDeerfield, IL

TENANT PROFILE

WEBSITEwalgreens.com

Walgreens Boots Alliance (Nasdaq: WBA) is the first global pharmacy-led, health andwellbeing enterprise. The company's heritage of trusted health care services throughcommunity pharmacy care and pharmaceutical wholesaling dates back more than 100 years.

Walgreens Boots Alliance is the largest retail pharmacy, health and daily living destination across the U.S. and Europe. Walgreens Boots Alliance andthe companies in which it has equity method investments together have a presence in more than 25 countries and employ more than 415,000people. The company is a global leader in pharmacy-led, health and wellbeing retail and, together with its equity method investments, has more than18,500 stores in 11 countries as well as one of the largest global pharmaceutical wholesale and distribution networks, with more than 390distribution centers delivering to more than 230,000 pharmacies, doctors, health centers and hospitals each year in more than 20 countries. Inaddition, Walgreens Boots Alliance is one of the world’s largest purchasers of prescription drugs and many other health and wellbeing products.

The company’s portfolio of retail and business brands includes Walgreens, Duane Reade, Boots and Alliance Healthcare, as well as increasinglyglobal health and beauty product brands, such as No7, Soap & Glory, Liz Earle, Sleek MakeUP and Botanics. Walgreens Boots Alliance is proud to bea force for good, leveraging many decades of experience and its international scale, to care for people and the planet through numerous socialresponsibility and sustainability initiatives that have an impact on the health and wellbeing of millions of people.Walgreens Boots Alliance is includedin Fortune magazine’s 2019 list of the World’s Most Admired Companies and ranked first in the food and drugstore category. This is the 26thconsecutive year that Walgreens Boots Alliance or its predecessor company, Walgreen Co., has been named to the list.

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LEASEABSTRACT

17LEASE SUMMARYTENANT Walgreens

PREMISES A Building of Approximately 9,804 SF

LEASE COMMENCEMENT July 8, 2005

LEASE EXPIRATION June 30, 2025

LEASE TERM 6+ Years Remaining

RENEWAL OPTIONS 4 x 5 Year Options

RENT INCREASES 5% at Every 5 Years and At Options

LEASE TYPE Absolute Triple Net (NNN) Lease

USE Pharmacy

PROPERTY TAXES Tenant’s Responsibility

INSURANCE Tenant’s Responsibility

COMMON AREA Tenant’s Responsibility

ROOF & STRUCTURE Tenant’s Responsibility

REPAIRS & MAINTENANCE Tenant’s Responsibility

HVAC Tenant’s Responsibility

UTILITIES Tenant’s Responsibility

RIGHT OF FIRST REFUSAL No Actual Property Image

18RENT ROLL

TENANT NAME

SQUAREFOOTAGE

ANNUALBASE RENT

RENT PER SF

RENTALINCREASE

LEASEBEGIN

LEASE END OPTIONS

Walgreens 9,804 SF $269,283 $27.47 5% Every 5 Years and At Options 07/08/2005 06/30/2025 4 x 5 Years


Actual Property Images

19CONFIDENTIALITY AGREEMENTThe information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended to bereviewed only by the party receiving it and should not be made available to any other person or entity without written consent.

This Offering Memorandum has been prepared to provide summary, unverified information to prospective purchasers, and toestablish only a preliminary level of interest in the subject property.

The information contained herein is not a substitute for a thorough due diligence investigation, and makes no warranty orrepresentation, with respect to the income or expenses for the subject property, the future projected financial performance of theproperty, the size and square footage of the property and improvements, the presence or absence of contaminating substances,PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or thefinancial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of thesubject property.

The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, wehave not verified, and will not verify, any of the information contained herein, nor have we conducted any investigation regardingthese matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the informationprovided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

By receipt of this Memorandum, you agree that this Memorandum and its contents are of confidential nature, that you will holdand treat it in the strictest confidence and that you will not disclose its contents in any manner detrimental to the interest of theOwner. You also agree that by accepting this Memorandum you agree to release and hold us harmless from any kind of claim,cost, expense, or liability arising out of your investigation and/or purchase of this property.

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EXCLUSIVELY MARKETED BY:

CHRIS SANDSNC Lic. # 300021


CLIFTON MCCRORYLic. # 99847



615 College Street, Suite 900Charlotte, NC 28202

844.4.SIG.NNN

www.SIGnnn.com

In Cooperation With: Sands Investment Group North Carolina, LLC - Lic. # 29362

Walgreens - Durham, NC - SIGWalgreens Boots Alliance is the largest retail pharmacy, health and...

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