Capital Markets | Private Capital Group
15 YEAR TERM
1665 WHITE BEAR AVE | SAINT PAUL, MN
TABLE OF CONTENTS
Executive Summary…………………….......... 3
Aerial …………………………………....……. 4
Site Plan ………………………………………. 5
Lease Summary………………………………. 6
Submarket …………………………………….. 7
Market …………………………..…………..... 8
FOR MORE INFORMATION PLEASE CONTACT:
Jeff Budish
952 924 4842
jeff.budish@cbre.com
Bob Bower
408 453 7435
bob.bower@cbre.com
For more information visit our website at:
www.cbremarketplace.com/WalgreensStPaul
Jim Leary
952 924 4601
jim.leary@cbre.com
WALGREENS ST PAUL | EXECUTIVE SUMMARY | AERIAL | SITE PLAN | LEASE SUMMARY | SUBMARKET | MARKET
OFFERING SUMMARY
PROPERTY:
Walgreens White Bear Ave
ADDRESS:
1665 White Bear Ave
Saint Paul, MN 55106
COUNTY:
Ramsey
PID:
222922110154
RENTABLE AREA:
14,490 SF
LAND AREA:
1.25 Acres
YEAR BUILT:
2003
PARKING:
57 Spaces
OCCUPANCY:
100%
WALGREENS SF:
14,490 SF
LEASE TYPE:
TRIPLE NET
EXPIRATION:
1/31/2029
INCOME:
$384,000 ($26.50 PSF)
CAP RATE:
6.2%
ASKING PRICE:
$6,195,000 ($427 PSF)
DEBT:
None
3-MILE RADIUS DEMOGRAPHICS
POPULATION:
121,424
MEDIAN HH INCOME:
$44,149
WHITE BEAR AVE:
18,800
LARPENTEUR AVE:
8,100
TOTAL VPD:
26,900
THE OFFERING
INVESTMENT HIGHLIGHTS
CBRE is pleased to offer qualified investors the
opportunity to acquire this Triple Net Walgreens
property in Saint Paul, Minnesota. Pricing for
the property is based on a 6.2% Cap rate and is
listed at a price of $6,195,000.
• Walgreens corporate guarantee (NYSE: WAG).
SALE TERMS
• Triple Net Walgreens lease structure leaves zero
Walgreens is being offered on an “as-is” basis
with ownership making no representation or
warranties with respect to the accuracy or
completeness of the offering memorandum or
any and all documents delivered to any
acquisition prospect for the purpose of
performing due diligence. The property is being
offered free and clear of existing debt. An offer
due date may be established at the discretion of
the seller as conditions warrant.
• 15 years remaining on Walgreens Lease allows
for easy financing.
• Over 120,000 people within 3 miles.
management responsibility.
• Infill, neighborhood location with few alternative
location options.
• Debt-free terms allow potential investors the
opportunity to take advantage of the current
favorable debt conditions.
WALGREENS ST PAUL | EXECUTIVE SUMMARY | AERIAL | SITE PLAN | LEASE SUMMARY | SUBMARKET | MARKET
WALGREENS ST PAUL | EXECUTIVE SUMMARY | AERIAL | SITE PLAN | LEASE SUMMARY | SUBMARKET | MARKET
WALGREENS ST PAUL | EXECUTIVE SUMMARY | AERIAL | SITE PLAN | LEASE SUMMARY | SUBMARKET | MARKET
LEASE TERMS
RENT START DATE:
Jan 2004
LEASE TERM:
25 YEARS
TERM EXPIRATION:
Jan 2029
INCOME:
$384,000 ($26.50 PSF)
RENT INCREASES:
None
OPTIONS:
(2) 25 YEAR OPTIONS
LANDLORD RESPONSIBILITIES:
NONE. FULLY TRIPLE NET.
WALGREENS CORPORATE INFORMATION
WALGREENS STORE COUNT ACTIVITY
(SEPT 2012 – AUG 2013)
OPENINGS:
338
RELOCATED:
48
CLOSINGS:
WALGREENS FINANCIAL
(WALGREENS 10K REPORT OCT, 2012)
2012
2011
2010
2009
NET SALES:
$71,633
$72,184
$67,420
$63,335
90
GROSS PROFIT:
$20,342
$20,492
$18,976
$17,613
NET OPENINGS:
200
NET EARNINGS:
$2,127
$2,714
$2,091
$2,006
MN LOCATIONS:
153
LOCATIONS:
8,585
WALGREENS ST PAUL | EXECUTIVE SUMMARY | AERIAL | SITE PLAN | LEASE SUMMARY | SUBMARKET | MARKET
SAINT PAUL GREATER EAST SIDE RETAIL SUBMARKET
The Saint Paul retail market is becoming increasingly dense as the larger
Twin Cities population is trending toward urbanization. With its highly
educated workforce, low crime rates, and low unemployment, Saint Paul
prides itself on being a great place for families. However, Saint Paul is
best understood by individually looking at its neighborhoods.
Bordering the suburb of Maplewood, the Greater
East Side neighborhood lays as a family-friendly
residential area. With the new 3M headquarters
nearby and other major business hubs, the Greater
East Side houses employees and their families in a
quiet location.
White Bear Avenue acts as the neighborhood’s
main street and commercial center. A thriving
school system in the Greater East Side makes the
neighborhood an ideal location to raise a family.
The tree-lined neighborhood of the Greater East
Side gives the area life and a personality in itself.
DEMOGRAPHICS
1-MILE
3-MILE
5-MILE
POPULATION:
15,601
121,424
254,895
GROWTH 2013-2018
4.61%
3.90%
3.95%
HOUSEHOLDS
5,679
44,672
97,229
GROWTH 2013-2018
4.50%
4.17%
4.15%
MEDIAN HH INCOME:
$44,235
$44,149
$45,525
MEDIAN AGE:
32.41
32.27
33.36
WALGREENS ST PAUL | EXECUTIVE SUMMARY | AERIAL | SITE PLAN | LEASE SUMMARY | SUBMARKET | MARKET
Minneapolis/St. Paul, collectively referred to as the Twin Cities, is the
nation’s 16th largest MSA with approximately 3.3 million residents in
a 13 county area. Approximately 62% of Minnesota residents live
within this area - evidence of its importance as an economic engine
and cultural center of the state of Minnesota. The region grew 8%
between 2000 and April 2010, according to the US Census Bureau.
4.9
%
%
7.7
VS.
MINNEAPOLIS
METRO AREA
UNEMPLOYMENT RATE
NATIONAL
UNEMPLOYMENT RATE
Source: July 2013, United States Department of Labor
Fortune 500 Companies
Revenue in Billions
UnitedHealth Group (17)
$110.6
KEY INDUSTRIES
Target (36)
$73.3
Best Buy (61)
$45.1
HEADQUARTERS & BUSINESS SERVICES - A solid foundation for business
success; the region includes a wide range of professional and creative
service partners too.
CHS (69)
$40.6
Supervalu (86)
$36.1
3M (101)
$29.9
US Bancorp (132)
$22.2
General
Mills (169) ECONOMY
TOP
PERFORMING
$16.7
Medtronic (172)
$16.5
Land O’Lakes (194)
$14.1
Ecolab (229)
$11.8
C.H. Robinson Worldwide (237)
$11.4
Mosaic (246)
$11.1
Ameriprise Financial (263)
$10.3
Xcel Energy (266)
$10.1
Thrivent Financial for Lutherans (325)
$8.0
St. Jude Medical (457)
$5.5
Nash-Finch (500)
$4.8
HEALTH & LIFE SCIENCES - More than 600 companies and the 2nd
highest concentration of medical jobs. In 2010, more than 2,500
registered patents.
FOOD & AGRICULTURE - Minneapolis/St. Paul ranked 6th as the largest
agricultural exporter in the U.S., with soybeans, corn and feeding grains
leading the way.
INNOVATION & TECHNOLOGY - Four key areas include research and
development center, software and IT, advanced manufacturing, and
energy and renewables.
FINANCIAL SERVICES - Banking, insurance, securities, investment and
more. One of the highest concentrations of talent and banks in a major
metropolitan area.
478.1
$
BILLION
2013 REVENUE
MINNESOTA FORTUNE 500
COMPANIES
WALGREENS ST PAUL | AFFILIATED BUSINESS DISCLOSURE AND CONFIDENTIALITY AGREEMENT
CBRE, Inc. operates within a global family of
companies with many subsidiaries and/or related
entities (each an “Affiliate”) engaging in a broad
range of commercial real estate businesses
including, but not limited to, brokerage services,
property and facilities management, valuation,
investment fund management and development. At
times different Affiliates may represent various clients
with competing interests in the same transaction. For
example, this Memorandum may be received by our
Affiliates, including CBRE Investors, Inc. or Trammell
Crow Company. Those, or other, Affiliates may
express an interest in the property described in this
Memorandum (the “Property”) may submit an offer
to purchase the Property and may be the successful
bidder for the Property. You hereby acknowledge
that possibility and agree that neither CBRE, Inc. nor
any involved Affiliate will have any obligation to
disclose to you the involvement of any Affiliate in the
sale or purchase of the Property. In all instances,
however, CBRE, Inc. will act in the best interest of the
client(s) it represents in the transaction described in
this Memorandum and will not act in concert with or
otherwise conduct its business in a way that benefits
any Affiliate to the detriment of any other offeror or
prospective offeror, but rather will conduct its
business in a manner consistent with the law and any
fiduciary duties owed to the client(s) it represents in
the transaction described in this Memorandum.
This is a confidential Memorandum intended solely
for your limited use and benefit in determining
whether you desire to express further interest in the
acquisition of the Property.
This Memorandum contains selected information
pertaining to the Property and does not purport to be
all-inclusive or to contain all or part of the
information which prospective investors may require
to evaluate a purchase of real property. All financial
projections and information are provided for general
reference purposes only and are based on
assumptions relating to the general economy,
market conditions, competition and other factors
beyond the control of the Owner and CBRE, Inc.
Therefore, all projections, assumptions and other
information provided and made herein are subject to
material variation. All references to acreages, square
footages,
and
other
measurements
are
approximations. Additional information and an
opportunity to inspect the Property will be made
available to interested and qualified prospective
purchasers.
In
this
Memorandum,
certain
documents, including leases and other materials, are
described in summary form. These summaries do
not purport to be complete nor necessarily accurate
descriptions of the full agreements referenced.
Interested parties are expected to review all such
summaries and other documents of whatever nature
independently and not rely on the contents of this
Memorandum in any manner.
The Owner expressly reserved the right, at its sole
discretion, to reject any or all expressions of interest
or offers to purchase the Property, and/or to
terminate discussions with any entity at any time with
or without notice which may arise as a result of
review of this Memorandum. The Owner shall have
no legal commitment or obligation to any entity
reviewing this Memorandum or making an offer to
purchase the Property unless and until written
agreement(s) for the purchase of the Property have
been fully executed, delivered and approved by the
Owner and any conditions to the Owner’s
obligations therein have been satisfied or waived.
By receipt of this Memorandum, you agree that this
Memorandum and its contents are of a confidential
nature, that you will hold and treat it in the strictest
confidence and that you will not disclose this
Memorandum or any of its contents to any other
entity without the prior written authorization of the
Owner or CBRE, Inc. You also agree that you will not
use this Memorandum or any of its contents in any
manner detrimental to the interest of the Owner or
CBRE, Inc.
If after reviewing this Memorandum, you have no
further interest in purchasing the Property, kindly
return this Memorandum to CBRE, Inc.
Neither the Owner or CBRE, Inc, nor any of their
respective
directors,
officers,
Affiliates
or
representatives make any representation or
warranty, expressed or implied, as to the accuracy or
completeness of this Memorandum or any of its
contents, and no legal commitment or obligation
shall arise by reason of your receipt of this
Memorandum or use of its contents; and you are to
rely solely on your investigations and inspections of
the Property in evaluating a possible purchase of the
real property.
© 2013 CBRE, Inc. The information contained in this document has been obtained from sources believed reliable. While CBRE, Inc. does not doubt its accuracy, CBRE, Inc. has not verified it and makes no guarantee, warranty or representation about it. It is your responsibility to independently
confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this transaction to you depends on tax and other factors which should be evaluated by
your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs.
Capital Markets | Private Capital Group
CBRE| EXCLUSIVE AGENTS
:: Jeff Budish
952 924 4842
jeff.budish@cbre.com
:: Bob Bower
408 453 7435
bob.bower@cbre.com
:: Jim Leary
952 924 4601
jim.leary@cbre.com