OFFERING MEMORANDUM - LoopNet · 2020. 2. 10. · Broker of Record. Bang Realty - Naples Inc. LIC N° BK3327646. TERESA CORDOVA. 213.225.7228. ... This information has been secured

KIDDER.COM

OFFERING MEMORANDUM

9628 ROSEDALE HWY | BAKERSFIELD, CA

JASON GRIBIN

213.225.7245 [email protected] N° 01819611

JORDAN UTTAL

213.225.7246 [email protected] N° 01512755

BRIAN BROCKMAN

Broker of RecordBang Realty - Naples IncLIC N° BK3327646

TERESA CORDOVA

[email protected] N° 02104073

http://www.kidder.com/



The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Kidder Mathews and should not be made available to any other person or entity without the written consent of Kidder Mathews.

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. Kidder Mathews 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, PCB’s 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, Kidder Mathews has not verified, and will not verify, any of the information contained herein, nor has Kidder Mathews 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.

This information has been secured from sources we believe to be reliable. We make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Recipient of this report must verify the information and bears all risk for any inaccuracies.

KIDDER.COM

JORDAN UTTAL


EXCLUSIVELY LISTED BY

01EXECUTIVE SUMMARY

The OfferingInvestment HighlightsOffering Summary

02PROPERTY OVERVIEW

9628 Rosedale Hwy, Bakersfield, CA

03TENANT OVERVIEW

CVS Health

JASON GRIBIN


TERESA CORDOVA


TABLE OF CONTENTS

http://www.kidder.com


39628 ROSEDALE HWY OFFERING MEMORANDUM KIDDER MATHEWS

THE OFFERING

Kidder Mathews is pleased to exclusively offer for sale a well located CVS Pharmacy store in Bakersfield, California, totaling ±14,744 square feet of retail space. The Property is leased on an absolute triple net basis, with CVS responsible for all repairs and maintenance.

EXECUTIVE SUMMARY

OFFERING SUMMARY

Address Price Cap

9628 Rosedale Hwy $9,756,995 6.15%

INVESTMENT HIGHLIGHTS

Corporate Credit

CVS Health Corporation (S&P: BBB+, NYSE: CVS) together with its subsidiaries is one of the largest pharmacy health providers in the United States operating more than 9,700 retail drugstores in the United States, Puerto Rico and Brazil. CVS has the strongest credit profile amongst the three largest drug stores (S&P Ratings for Walgreens and Rite Aid are BBB and B respectively).

Absolute NNN

CVS pays for all operating expenses such as Taxes, Insurance, Maintenance, roof and structure. No Landlord responsibilities - Ideal for 1031 or out of state investors.

Prototype Store Format

All properties are prototype store format with a drive-thru and located on a signalized intersection.

Long Term Investment

There are approximately 16 years remaining on the initial 26-year original lease term. CVS has two 5 year options at 90% of prior rent, then eight 5 year options at FMV, along with a rent holiday for the last three years of the lease.

Free & Clear

Property delivered free & clear, allowing investors to take advantage of attractive new financing options.

REPRESENTATIVE PHOTO

REPRESENTATIVE PHOTO

9628 ROSEDALE HWY OFFERING MEMORANDUM KIDDER MATHEWS 4


02THE PROPERTY

9628 ROSEDALE HWY, BAKERSFIELD, CA

KEY FACTS

Address 9628 Rosedale HwyBakersfield, CA 93311

Tenant CVS/Caremark

Lease Guarantor Corporate

Lease Type Absolute NNN

Lease Begin December 17, 2010

Initial Term Expiration January 31, 2036

Term Remaining ±16 years

NOI $600,430.44

Total SF 14,744 SF

Lot Size 1.28 AC

Year Built 2010

Options Two, 5-year at 90% of prior rentEight, 5-year at FMV

Rent Holiday Last 3 years of initial lease term

RENT SCHEDULE

Lease Term Monthly rent

Current - Jan 31, 2033 $50,035.87

Feb 1, 2033 - Jan 31, 2036 Rent holiday

9628 ROSEDALE HWY

$9,756,995

PRICE

6.15%

CAP RATE

ACTUAL PROPERTY PHOTOS 9628 ROSEDALE HWY OFFERING MEMORANDUM KIDDER MATHEWS 6


BAKERSFIELD, CA

Bakersfield is a growing, vibrant community that is home to approximately 380,000 residents and making it the 52nd-most populous city in the United States of America and the 9th-most populous city in California.

The property is situated on the corner of Rosedale Hwy and Calloway Drive near national/credit tenants such as: Target, Michaels, Kohl’s, Krispy Kreme, Dollar Tree, Smart & Final, Chilli’s, Tractor Supply Co., The Shops at the Promenade, and more.

Bakersfield is a city near the southern end of the San Joaquin Valley in Kern County, California. It is roughly equidistant between Fresno and Los Angeles, 110 mi (180 km) to the north and south respectively. The city’s population was 347,483 at the 2010 census, making it the 9th largest city in California and the 51st largest city in the United States. Bakersfield’s historic and primary industries have related to Kern County’s two main industries, oil and agriculture. Kern County in 2013 was the most oil productive county in the US. Kern County is a part of the highly productive San Joaquin Valley, and ranks in the top five most productive agricultural counties in the nation. The city serves as the home for both corporate and regional headquarters of companies engaged in these industries. The population in 2016 was already up over 8% from the census data taken in 2010. Based on the past growth of this city, the population is only expected to continue to grow and will soon hit the next milestone of 400,000 residents.

2,146# OF BUILDINGS

23.6M SFTOTAL INVENTORY

93K SFYTD NET ABSORPTION

1.1M SFNET DELIVERIES (2014–2018)

6.1%TOTAL VACANCY

RETAIL MARKET STATISTICS

1-mile 3-mile 5-milePopulation

2019 Estimate 8,999 85,838 208,471

2024 Projections 9,317 89,177 217,302

Growth 2019–2024 0.70% 0.80% 0.80%

Households

2019 Estimate 3,306 30,636 76,773

2019 Avg HH Income $107,588 $120,917 $102,027

Avg Daytime Demos 8,779 57,688 153,456

DEMOGRAPHICS


03TENANT

OVERVIEWCVS HEALTH

CVS HEALTH

CVS Pharmacy is a publicly traded company on the New York Stock Exchange (Symbol: CVS) with a market capitalization in excess of $80 billion. CVS is an investment grade rated tenant with a Standard & Poor’s rating of BBB+. The company has launched assertive growth plans in recent quarters. CVS is currently the only integrated pharmacy healthcare company with the capability to have an influence on consumers, payors, and providers with innovative resolutions. They have a profound outlook of their diverse needs through their unique integrated model, and are bringing them innovative solutions that help increase access to quality care, deliver better health outcomes and lower overall health care costs.

TENANT OVERVIEW

MARKET LEADING TENANT

CVS Health Corporation is engaged in the retail drugstore business. The company operates 9,800+ locations in 49 states, the District of Columbia, Puerto Rico and Brazil. CVS Pharmacy is the nation’s drugstore chain and total prescription revenue. CVS is headquartered in Woonsocket, Rhode Island and was founded in 1963.

COMPANY OVERVIEW

CVS HEALTH COMPANYPARENT COMPANY

CVSNYSE

BBB+ / STABLECREDIT RATING (S&P)

$184.7BTOTAL REVENUE (2017)

203,000TOTAL EMPLOYEES

WOONSOCKET, RIHEADQUARTERS

VIEW WEBSITE

In December of 2017, CVS announced it would buy Aetna for more than $69 billion. This acquisition would combine CVS’ drugstores and pharmacy benefits manager platform with Aetna’s insurance business. This merger brings together two complementary businesses with unique capabilities, the goal being to reshape the consumer health care experience, putting people at the center of health care delivery to ensure they have access to high-quality, more affordable care.

9628 ROSEDALE HWY OFFERING MEMORANDUM KIDDER MATHEWS 9

https://www.cvs.com/

KIDDER.COM

EXCLUSIVELY REPRESENTED BY

JORDAN UTTAL


JASON GRIBIN


TERESA CORDOVA




OFFERING MEMORANDUM - LoopNet · 2020. 2. 10. · Broker of Record. Bang Realty - Naples Inc. LIC N° BK3327646. TERESA CORDOVA. 213.225.7228. ... This information has been secured

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