NET LEASE INVESTMENT OFFERING
CVS (Ground Lease) 401 SE Main Street, Simpsonville, SC 29681 (Greenville MSA)
TABLE OF CONTENTS
TABLE OF CONTENTS I. Executive Profile
II. Location Overview
III. Market & Tenant Overview
Executive Summary
Photographs
Demographic Report
Investment Highlights
Aerial
Market Overview
Property Overview
Site Plan
Tenant Overview
Maps
NET LEASE INVESTMENT OFFERING
DISCLAIMER STATEMENT
DISCLAIMER STATEMENT:
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.
NET LEASE INVESTMENT OFFERING
EXECUTIVE SUMMARY
EXECUTIVE SUMMARY:
The Boulder Group is pleased to exclusively market for sale a single tenant CVS ground lease property located in the Greenville MSA. The CVS is well located along Main Street at a signalized intersection. There are approximately 18 years remaining on the CVS ground lease that expires in January 2033 and features 10% rental escalations in each renewal option period. CVS is a publicly traded company (NYSE: CVS) with a market capitalization in excess of $114 billion and is an investment grade rated tenant (S&P: BBB+).
The 1.89 acre CVS property is strategically located at a signalized intersection along Main Street. Main Street experiences traffic volume of 16,700 vehicles per day and feeds into Interstate 385 (57,400 VPD) which is located less than one mile from the property. The surrounding trade area features many national retailers including Walmart, Target, Lowe’s, Home Depot, Kohl’s, Publix, Bi-Lo, T.J. Maxx and Regal Cinemas. The Hillcrest Memorial Hospital (90,000 patients annually) is located less than one mile south of the CVS property. Additionally, Hillcrest High School and Bryson Middle School are located nearby.
CVS has approximately 18 years remaining on their ground lease that expires January 31, 2033. The lease features five 5-year renewal options with 10% rental escalations in each. CVS is an investment grade tenant with a Standard and Poor’s rating of BBB+. CVS is publicly traded on the New York Stock Exchange (CVS) with a market capitalization in excess of $114 billion
NET LEASE INVESTMENT OFFERING
INVESTMENT HIGHLIGHTS
INVESTMENT HIGHLIGHTS:
• Located in the Greenville MSA • Long term ground lease with approximately 18 years remaining • Investment grade tenant (S&P: BBB+) • 10% rental escalations in each renewal option • Positioned at a signalized intersection • No landlord responsibilities • Hillcrest Memorial Hospital which has over 90,000 patients annually is located less than one mile from the property • Notable retailers located in the immediate vicinity include Walmart, Target, Lowe’s, Home Depot, Kohl’s, Publix, Bi-Lo, T.J. Maxx and Regal Cinemas • Over 89,000 people living within five miles of the property • Average annual household incomes in excess of $77,000 annually within a three mile radius • Less than one miles from Interstate 385 (57,400 VPD)
NET LEASE INVESTMENT OFFERING
PROPERTY OVERVIEW
PROPERTY OVERVIEW:
NET LEASE INVESTMENT OFFERING
Price:
$3,061,224
Cap Rate:
4.90%
Net Operating Income:
$150,000
Lease Commencement Date:
July 15, 2006
Lease Expiration Date:
January 31, 2033
Tenant:
CVS
Credit Rating:
BBB+
Rental Escalations:
10% in Each Option
Renewal Options:
Five 5-Year
Year Built:
2006
Lease Type:
Ground Lease
Building Size:
12,900 SF
Land Size:
1.90 Acres
PHOTOGRAPHS
NET LEASE INVESTMENT OFFERING
AERIAL
Hillcrest High School
MAIN
STRE
ET (1 6,7
00 V PD)
0 ,40
(57
NET LEASE INVESTMENT OFFERING
D)
VP
SITE PLAN
SE MAIN ST
ER W F NWO OD DR
NET LEASE INVESTMENT OFFERING
MAPS
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MAPS
LAKE MICHIGAN
NET LEASE INVESTMENT OFFERING
DEMOGRAPHIC REPORT
DEMOGRAPHIC REPORT:
NET LEASE INVESTMENT OFFERING
Population
3-Mile
5-Mile
7-Mile
Total Population
36,896
89,636
139,759
Total Households
13,804
33,532
51,811
Income
3-Mile
5-Mile
7-Mile
Median Household Income
$63,200
$63,214
$64,351
Average Household Income
$74,672
$77,699
$82,160
MARKET OVERVIEW
MARKET OVERVIEW:
Simpsonville is a city located in Greenville County, South Carolina. Simpsonville is part of the Greenville Metropolitan Statistical Area and is part of the “Golden Strip”, which is noted for having low unemployment due to a diversity of industries including Para-Chem, Kemet, and Milliken.
Greenville is the largest city in the Greenville MSA. The MSA had a population of 850,965 in 2013, making it the largest in South Carolina. Additionally, Greenville is the largest city in the Greenville-Spartanburg-Anderson Combined Statistical Area. According to GSA Business Market Facts, the CSA had a population of 1,438,550 as of 2013. Greenville is located approximately halfway between Atlanta, Georgia and Charlotte, North Carolina along Interstate 85, and its metropolitan area also includes Interstates 185 and 385. Greenville has gained recognition in various national publications such as CNN Money, which ranked Greenville as one of the “Top 10 Fastest Growing Cities in the U.S.” Bloomberg named Greenville the 3rd Strongest Job Market, 2010; and Forbes named Greenville the 13th Best City for Young Professionals. Additionally, the state of South Carolina has been ranked within the top 10 fastest-growing states and economies by the U.S. Commerce Department. Greenville is the North American headquarters for Hubbell Lighting, PerceptIS, and Michelin, and has offices for BMW.
NET LEASE INVESTMENT OFFERING
TENANT OVERVIEW
TENANT OVERVIEW:
CVS is engaged in the retail drugstore business. The Company operates 7,600 locations in 45 states and Puerto Rico. CVS is the nation’s second-largest drugstore chain and the third-largest pharmacy benefits manager. As a retail division of CVS Caremark, CVS retail locations sell prescription drugs and a wide variety of general merchandise including over-the-counter medication, beauty products and cosmetics, film and photo finishing services, seasonal merchandise and convenience foods. CVS also offers healthcare services through their MinuteClinic locations, most of which are located within their stores. CVS is headquartered in Woonsocket, Rhode Island and was founded in 1963. CVS is a publicly traded company on the New York Stock Exchange, CVS, with a market capitalization in excess of $114 billion. CVS is an investment grade rated tenant with a Standard & Poor’s rating of BBB+. Website: Number of Locations: Stock Symbol: Standard & Poor’s Rating: Market Capitalization: Employees:
NET LEASE INVESTMENT OFFERING
www.cvs.com 7,600 CVS : NYSE BBB+ $114 billion 130,000
Randy Blankstein President 847.562.0003 randy@bouldergroup.com
Jimmy Goodman Partner 847.562.8500 jimmy@bouldergroup.com
666 Dundee Road, Suite 1801 Northbrook, IL 60062 www.bouldergroup.com