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1 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
Ft. Wright Center
Confidential offering memorandumJLL has been exclusively retained to market for sale the fee-simple interest of the 10,300 square foot retail portion of Fort Wright Center - 1987 Dixie Highway located in Fort Wright, Kentucky (the “property”).
10,300 s.f. retail opportunity
1987 Dixie Highway Fort Wright, KY
June 2018
2 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
JLL has been exclusively retained to market for sale the fee-simple interest of the retail portion of Fort Wright Center - 1987 Dixie Highway located in Fort Wright, Kentucky (the “property”), a part of the Cincinnati metropolitan area.
The offering is a multi-tenant retail building totaling 10,300 square feet, which is currently 100% leased to three tenants. Investors will benefit from stable cash flow and staggered lease rollover. The Property is in a busy retail corridor and is adjacent to an outpatient health center.
The Christ Hospital Outpatient Center serves as a key off-campus site for The Christ Hospital network, a leading health system of the greater Cincinnati area. Over 20 key specialties and services provided include: cardiovascular testing, diabetes & endocrine center, ENT, general surgery, hematology & oncology, obstetrics & gynecology, cardiology, orthopedics & sports medicine, pain management, physical and occupational therapy, podiatry, orthopedics, spine, urgent care, primary care, urology, wound and ostomy care.
The Christ Hospital is a 555-bed, fully integrated, not-for-profit acute care hospital located in the historic Mount Auburn neighborhood in downtown Cincinnati. With over 125 years of history, Christ has remained an active and critical provider of healthcare throughout the Cincinnati area and currently maintains a 10.2 percent overall market share.
The Property - which was constructed in 1995 - is situated off of I-71/I-75, a major thoroughfare into and out of Cincinnati, giving the property substantial visibility (140,000 cars/day).
Address 1987 Dixie HighwayFort Wright, KY 41011
Product Type Retail
Square Footage 10,300
Site Size 0.78 acres
Year Built 1995
Occupancy 100.0%
Number of tenants 3
Parking ratio
5.0/1000 rentable s.f.Available to Tenant through a combination of the fee ownership and easement rights
Zoning Commercial
PROPERTY DETAILS
Introduction
AT
RIU
M
TRAFFIC COUNT - OVER 144,000 CARS PER DAY
DRIVETHRU
DIXIE HIGHWAY
10,300 s.f. parcel included in o�ering
70,700 s.f. Christ Hospital Outpatient Center
38,319 s.f. retail parcel available for sale - o�ered separately
ST. JOHNS
3,07
1 S.
F.
4,12
9 S.
F.
3,10
0 S.
F.
3 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
Property photos
4 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
10 minute drive time
5 minute drive time
20 minute drive time
City of Fort Wright
Total population 85,101 292,695 601,260 5,816
Total households 37,617 121,929 244,548 2,557
Median age 37.8 34.7 35.0 42.5
Average household income $66,900 $63,591 $69,042 $81,874
Total businesses 5,466 14,245 21,376 278
Daytime population 119,707 351,406 479,956 3,953
DEMOGRAPHICS
The Offering
Dixie Highway - SR 42
The economy of the Fort Wright, KY is specialized in Finance & Insurance, Transportation & Warehousing and Information. The largest industries are Healthcare & Social Assistance, Retail Trade and Education Services. The median household income, % of home ownership and median home value are all above the average for the United States.
5 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
• Conveniently located with easy access to I-75 at Highland Pike and Dixie Highway
• High visibility on I-71/I-75 with 140,000 cars per day
• Fort Wright, located in Northern Kentucky, is part of the Cincinnati MSA with a total population of 2.2 million in fifteen counties across Ohio, Kentucky and Indiana
• The Cincinnati MSA including Fort Wright/Kenton County is ranked 24th largest in the USA
Location Highlights
Cincinnati
Covington
Delhi
Erlanger
Fort Thomas
Reading
Norwood
Newport
Forest Park Springdale
Sharonville Loveland
Montgomery
Sycamore
Blue Ash
Aurora
LudlowLawrenceburg
Harrison
Saint Bernard
Batavia
Milford
Bellevue
Woodlawn
Greenhills
Greendale
Lincoln Heights
Ross
Mount HealthyWyoming
Highland Heights
Cheviot
The Village of Indian Hill
Crescent Springs
Lockland
Elsmere
Crestview Hills Amelia
Villa Hills
Golf Manor
Fort Wright
North College Hill
Amberley Village
Newtown
Mariemont
Kenwood
Edgewood
Silverton
Deer ParkMadeira
Dayton
SouthgateFort Mitchell
Cold Spring
SR 126
RR
SR 562
I 275
I 74
SR 32
US 52
SR 450
SR 32
SR 4
US 127
US 27 Truck
US 42
US 52
KY 17
SR 125
KY 18
KY 237
KY 842
KY 236
IN 56
US 27
US 50
5 mi May 31 2018 © Stepmap, 123map • Data: OpenStreetMap, License ODbL 1.0
Crescent Springs
Villa Hills
Fort Wright
Fort Mitchell
West Pike Street
Madison Avenue
Mad
ison
Pike
Dixie Highway
Deco
urse
y Av
enue
Win
ston
Ave
nue
James Avenue
Kyles Lane
Ande
rson
Roa
d
Collins Road
Amsterdam Road
Dolwick Drive
Buttermilk Pike
River Road
Highland Pike Decoursey Ave
Crescent Sprin
gs Pike
Howard Litzler Drive
Slee
py H
ollo
w R
oad
Scott BoulevardGreenup Street
Wallace Avenue
George Huser Drive
Anderson Road
Park
Roa
d
Bromley–Crescent Springs Road
1500 yd May 31 2018 © Stepmap, 123map • Data: OpenStreetMap, License ODbL 1.0
SITE
6 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
Financial summary
INCOME BASE RENTAL INCOME SF Per SF Annualized PPG Architectural Finishes 3,100 $13.06 $40,486 Mortenson Family Dental Holdings 3,071 $14.13 $43,393 The Pilates Body Barre Limited Liability 4,129 $11.00 $45,419 TOTAL BASE RENTAL INCOME 10,300 $129,298 CAM REIMBURSEMENT INCOME Pro-Rata PPG Architectural Finishes 30.10% $10,128 Mortenson Family Dental Holdings 29.82% $10,033 The Pilates Body Barre Limited Liability 40.09% $- TOTAL CAM REIMBURSEMENT INCOME $20,160 TOTAL INCOME $149,459 OPERATING EXPENSES COMMON AREA EXPENSE TOTAL COMMON AREA EXPENSE $1.28 $13,192 REAL ESTATE TAX & INSURANCE Real Estate Tax $1.81 $18,636 Insurance $0.18 $1,822 TOTAL REAL ESTATE TAX & INS $1.99 $20,458 TOTAL OPERATING EXPENSES $3.27 $33,649 NET OPERATING INCOME $115,809
RENT ROLL
Tenant Lease Type
SF Leased Lease Start Lease End Term/
Months Monthly Rent Annual Rent Annual Rent Per S.F.
Annual CAM per S.F.
Mortenson Family Dental Holdings, Inc. Office 3,071 11/1/2013 10/31/2024 132 $3,616.10 $43,393.23 $14.13 3.26
PPG Architectural Finishes Retail 3,100 3/1/1995 1/31/2020 299 $3,373.83 $40,485.96 $13.06 3.36
The Pilates Body Barre Limited Liability Retail 4,129 4/1/2018 7/31/2023 64 $4,473.08 $45,419.00 $11.00 Gross
$11,463.01 $129,298.19
7 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
PPG Architectural Finishes - www.ppg.com
PPG Paints is a respected leader in the paint industry. PPG Paints’ deep product line, superior technical support, and individualized customer service, including timely delivery and state-of-the-art color matching provides PPG Paints with a unique advantage compared to its competition. PPG Paints’ national network consisting of over 3,000 locations including independent dealers and company-owned stores ensures adequate inventories and consistent service coast-to-coast. PPG Paints is a business unit of PPG Industries which is headquartered in Pittsburgh and operates in nearly 70 countries around the world with sales in 2017 totaling $14.8 billion, a 3% increase from the previous year.
Suite # 1987
SF occupied 3,100
Lease start date Feb. 2010
Lease expiration date Jan. 2020
CAM Pro-rata 30.10%
Lease rate $13.06/s.f. NNN
TENANT DETAILS
Mortenson Family Dental - www.mortensonfamilydentistry.com
Mortenson Family Dental has been serving patients for over 35 years. What started as a single practice in Middletown, KY has grown to over 30 Mortenson Family Dental locations throughout Kentucky and Southern Indiana. Mortenson Family Dental offers a wide range of services including: general dentistry, orthodontics, cosmetic dentistry, and kids dentistry.
Suite # 1983
SF occupied 3,071
Lease start date Nov. 2013
Lease expiration date Oct. 2024
CAM Pro-rata 29.82%
Lease rate $14.13/s.f. NNN
TENANT DETAILS
Suite # 1985
SF occupied 4,129
Lease start date April 2018
Lease expiration date July 2023
CAM Pro-rata 40.09%
Lease rate $11.00/s.f. Gross
Pilates Body Barre - www.pilatesbodybarre.com
Pilates Body Barre offers three main types of classes: Reformer Pilates, Barre and Yoga classes in a clean, chic, and supportive environment. Mats and small sweat towels are provided to cleints and complimentary water stations are available to fill water bottles.
Pilates Body Barre is committed to offering a clean, calm, private space for clients, top of the line equipment and instructors, and a variety of classes that are innovative to keep clients fully engaged.
TENANT
Tenant summary
8 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
Sale comps
2030 Northside Drive, Hebron, KY 4104810,000 s.f. Retail - Storefront (Strip Center)
Sale Price $1,200,000 ($120/p.s.f.)
SF occupied 10,000 s.f.
% Leased at sale 100%
# Tenants 5
Year built 2004
2111 North Bend Road, Hebron, KY 41048 6,000 s.f. Retail - Storefront (Strip Center)
Sale Price $1,050,000 ($191/p.s.f.)
SF occupied 6,000 s.f.
% Leased at sale 100%
# Tenants 4
Year built 2007
8731 Bankers Street, Florence, KY 4104210,600 s.f. Retail - Freestanding
Sale Price $1,280,000 ($120/p.s.f.)
SF occupied 10,600; 1.45 AC
% Leased at sale 86.8%
# Tenants 4
Year built 1990
Sale date: 11/1/2016Buyer: 237 Plaza LLCSeller: 237 Group LLC
Sale date: 11/15/2017Buyer: Tolson Investments, LLCSeller: Glenwood Land LLC
Sale date: 9/1/2015Buyer: SC Florence Real Estate LLCSeller: Special Tee Golf of Florida, Inc.
9 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
Lease comps
2091 North Bend Road, Hebron, KY 41048
Asking Rent $13.50 / s.f. NNN
SF occupied 3,010 s.f.
Total s.f. available 17,341 s.f.
Tenancy Multi
Year built 2004
Tenant: Community First Urgent CareLease Term: 1/1/2017 - 12/31/2021
2404-2440 High Street - High Street Center, Crescent Springs, KY 41017
Asking Rent $14.55 / s.f. NNN
SF occupied 3,690 s.f.
Total s.f. available 40,000 s.f.
Tenancy Multi
Year built 1980
Tenant: AvailableLease Term: 10/1/2016 - 9/30/2019
8544-8550 US 42 Highway - Pleasant Valley Commons, Florence, KY 41042
Asking Rent $13.95 / s.f. NNN
SF occupied 3,000 s.f.
Total s.f. available 17,450 s.f.
Tenancy Multi
Year built 2010
Tenant: Embrace Dental CareLease Term: 7/1/2016 - 6/30/2019
10 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
The Greater Cincinnati market consists of fifteen counties located over a three-state area in Ohio, Kentucky, and Indiana. The region’s central location provides easy access to 2.2+ million people in the area, 25 of the largest metro regions, and more than half of all U.S. manufacturing establishments. Notably, Cincinnati and The Property are located within 600 miles and one-day drive of 54% of the nation’s total population and purchasing power.
Located in the heart of the Midwest, Cincinnati is well-connected business hub and has seen success in blending its culture, rich heritage and arts with social and economic initiatives that create an exceptional quality of life. Its robust, diverse economy shelters the region from the highs and lows of the national economy.
Named by KPMG as the least costly location to do business among all large U.S. cities, it is no surprise that Cincinnati is home to more Fortune companies per capita than New York, LA or Chicago. Two Foreign Trade Zones and the number one-ranked city for tax friendliness attract new businesses on a regular basis.
Greater Cincinnati has a legacy of producing startups that become some of the world’s most successful companies. From P&G, the world’s largest consumer products company, to The Kroger Co., a leading grocery chain, the region understands how to help young businesses thrive. In fact, more than 450 foreign-owned firms from over 20 countries employing over 45,000 people chose to locate in Greater Cincinnati to grow their businesses.
This year alone, online retail giant Amazon will invest 1.49 billion dollars and will bring over 2,000 jobs to the Cincinnati Metropolitan Area when they move their primary cargo hub to the Cincinnati International Airport, located in Hebron, KY. Businesses further fuel growth by tapping into the large, talented workforce that is boosted by 200,000 graduates annually from 300 colleges and universities in a 200-mile radius. Major Fortune 500 companies are beneficiaries of this deep talent pool and business-friendly environments
Cincinnati offers a quality of life that transcends other cities of it’s size. It is frequently listed as one of the top places to live and work with a cost of living 7.1 percent below the national average. With its growing and diversified economy, low cost of living, historical and cultural attractions and strategic geographic location, Cincinnati delivers one of the highest qualities of life in the county
CINCINNATI MSA DEMOGRAPHICS
Regional Economy
2.2 M2017Total
Populaton
$80KAverage
HouseholdIncomes
18Colleges
&Universities
9Fortune
500Companies
38.2Median
Age
11 | Fort Wright Center - 1987 Dixie Highway, Fort Wright, KY
Cincinnati has a diverse concentration of organizations in key industry clusters, including aerospace, consumer goods, financial services, biotechnology, advanced energy, marketing and branding, automotive and IT services. The region’s strength in these industries serve as a competitive advantage for companies in those fields. Cincinnati’s central location and access to key logistics corridors also offer companies of all sizes exceptional access to customers and suppliers across the globe.
LOCATIONThe property is located in the City of Fort Wright in the center of the northern half of Kenton County in Kentucky. The area was originally the site of one of the American Civil War fortifications built for the defense of Cincinnati. Fort Wright was incorporated in 1941 and named for Major General Horatio Gouverneur Wright, a Union Army engineer. The city is situated on a hillside with scenic views of Cincinnati and has ready access to urban amenities while retaining suburban charm and warmth.
AIRLocated only 12 miles from the Central Business District, Cincinnati/ Northern Kentucky International Airport (CVG) is one of the top facilities in the country in terms of passenger service and convenience. The airport offers a variety of travel and shipping options with more than 80 daily non-stop flights to North America and Europe. A major node for domestic travel, CVG is a 90-minute flight from more than 40 percent of the purchasing power in the U.S. In 2015, CVG was ranked the second best North American regional airport for the fifth year in a row. It also earned the title of sixth best regional airport in the world and fourth best airport staff in North America.
CVG is home to DHL’s global hub connecting businesses in the region to more than 100 DHL service centers and five international gateways in the U.S. Notably, DHL’s global hub processes more than two million international shipments monthly to the U.S., Canada, Mexico and Latin America. CVG is also home to Amazon’s primary cargo hub which just brought over 2000 jobs to the area. The Property is conveniently located 8.4 miles from CVG.
HIGHWAYCincinnati is well-connected to all major regional markets via multiple interstates; 20 major metro areas are located within 400 miles and are served by one-day truck driving time, with access to 30 additional markets by second day service. Three interstate highway systems (I-75, I-74, and I-71) and two interstate corridors (I-275 and I-471) serve the Cincinnati region and provide access to all geographic directions. I-75, the major Midwest route from Michigan to Florida, is vital to the region’s highway structure with almost 150,000 vehicles per pay pass through Cincinnati. Trucking is also a key factor to Cincinnati’s success as a distribution point with more than 900 interstate motor freight carriers and 29 freight forwarders. The Property is located 0.3 miles from Interstates 71 and 75.
Regional Economy
FOR MORE INFORMATION CONTACT:Rusty MyersExecutive Vice [email protected]+1 513 252 2158
Giorgio KarrasVice [email protected]+1 513 719 3720
Kevin ThobeVice [email protected]+1 513 252 2189
Jones Lang LaSalle312 Walnut StreetSuite 3030Cincinnati, OH 45202
jll.com
Ft. Wright Center1987 Dixie Highway Fort Wright, KY
DISCLAIMERThe information contained in this Offering Memorandum is confidential and is provided for the sole purpose of allowing persons to evaluate whether there is interest in proceeding with further discussions with the owner regarding a possible transaction with respect to 1987 Dixie Highway located in Ft. Wright, Kentucky (the “Property”). The information contained herein shall not be photocopied or disclosed to any other party and shall not be used for any other purpose. If the person receiving this Offering Memorandum does not choose to pursue such a transaction, this Offering Memorandum shall be returned to Jones Lang LaSalle (“JLL”).
Neither the owner, nor JLL, nor any of their officers, directors, employees or agents, assume any responsibility or make any representations or warranties, whether express or implied, by operation of law or otherwise, with respect to the Property or this Offering Memorandum or any information or statements (including financial statements and projections) contained herein or relating hereto, including the accuracy or completeness of such information or statements and the condition, quality or fitness of the Property. Such information and statements have in many circumstances been obtained from outside sources, have not been tested or verified and may be subject to errors or omissions. Projections, in particular, are based on various assumptions and subjective determinations as to which no guaranty or assurance can be given. With-out limiting the foregoing, in the event this Offering Memorandum contains information relating any hazardous, toxic or dangerous materials in relation to the Property, such information shall in no way be construed as creating any warranties or representations, express or implied, by operation of law or otherwise, by any party, as to the existence or non-existence or nature of such materials in, under, on or around the Property. Potential investors are urged to perform their own examination and inspection of the Property and information relating to same, and shall rely solely on such examination and investigation and not on this Offering Memorandum or any information or materials contained herein or otherwise provided.
The only party authorized to represent the owner of the Portfolio is JLL, and the owner shall not be obligated to pay any fees or commissions to any other advisor, broker or representative. Any party entering into a transaction with the owner shall be obligated to pay any fees or commissions due any advisors, brokers or representatives, other than JLL, dealing with such party. This Offering Memorandum is provided subject to prior sale or lease, change of price or terms and other changes to the materials, statements and information contained herein or relating to the Property, and is subject to withdrawal, all without notice or any liability. In no event shall the delivery or receipt of this Offering Memorandum be deemed to create any legal obligation to enter into any transaction with respect to the Property, and only a definitive agreement.