Cvs ground lease WITH TWO-LANE PHARMACY DRIVE-THRU - LoopNet
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cvs ground lease
WITH TWO-LANE PHARMACY DRIVE-THRU
[ REPRESENTATIVE PHOTO ]
New Construction 25-year Ground lease located at
signalized hard corner in dense retail trade area in Miami
p [ www.CapitalPacific.com ]
10660 Southwest 40th, Miami, FL 33165 or Ma
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m ent highl BRAND NEW 25-YEAR NNN GROUND LEASE WITH CORPORATE
s t i GUARANTY IN DENSELY POPULATED NEIGHBORHOOD OF MIAMI
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PRICE: $18,750,000 The subject property (currently under construction with completion
estimated to be mid-September 2017) is strategically located at the
CAP: 4.00% signalized hard corner intersection of SW 40th Street and 107th
Avenue, which benefits from high traffic counts and excellent roadway
visibility. The subject property is located within the thriving Miami-
BUILDING SF. . . . . . . . . . . . 15,089 SF Fort Lauderdale-West Palm Beach MSA, which is the eighth largest
metropolitan statistical area in the United States, and the second
LOT SIZE . . . . . . . . . . . . . . . 103,742 SF
largest in the Southeastern U.S.
CURRENT RENT. . . . . . . . . $7.23/SF
Easily accessible from the Ronald Reagan Turnpike (a major north/
south corridor which runs parallel with Interstate 95 to the East), the
subject property is situated amongst numerous free standing and
multi-tenant retail properties on SW 40th Street, known locally as Bird
Road.
This CVS is a brand new facility, which includes a two-lane pharmacy
drive-thru, and very favorable lease terms to the Landlord including
extension options with rent increases, and a corporate guaranty from
CVS Health Corporation.
Listing Team Contact Info
chris kostanecki chris peters Listed in conjunction with FL Licensed Broker:
ck@capitalpacific.com | (415) 274-2701 cpeters@capitalpacific.com | (415) 274-2703 Andrew T. Knight | New England Commercial Brokerage
CA BRE# 01002010 CA BRE# 01339983 Andrew@NECBrokerage.com | (860) 648-1600
jack navarra Capital Pacific collaborates.
zeb ripple jnavarra@capitalpacific.com | (415) 274-2705 Click Here to meet the rest of
zripple@capitalpacific.com | (415) 274-2702 our San Francisco team.
CA BRE# 01909630
CA BRE# 01242540 CVS PHARMACY | 2
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
core characteristics
Formerly a Pep Boys Automotive Center, this 2.4 acre site benefits from its proximity
LOCATION HIGHLIGHTS
• The subject property and two-lane pharmacy drive-thru are
to dense surrounding residential neighborhoods, excellent demographics, and a
easily accessible at the corner of a signalized intersection,
prominent retail location on highly coveted Bird Road / SW 40th Street. CVS ground-
boasting a combined traffic count of over 88,000 vehicles
leases the entire parcel (rent commencement is scheduled for September 17, 2017),
per day.
but subleases a portion of the eastern side of the parcel to Wendy’s, which is currently
constructing a new restaurant adjacent to the CVS. The addition of Wendy’s to the • Densely populated location, with over 488,773 residents
footprint of the parcel has two important benefits: bringing more customer traffic within a 5-mile radius, and an average household income of
and visibility to the site, while simultaneously lowering CVS’s occupancy costs. In $71,424 (well above the national average).
addition to the location strengths, CVS is the dominant pharmacy brand in the
eastern United States, with an investment grade credit rating of Baa1 (Moody’s) and • Just a 23 minute drive from the Miami International Airport
BBB+ (Standard & Poor’s), and a long-term lease and full corporate guaranty, making (the primary airport serving the Miami area), and a 30
this property an enticing and generational investment opportunity. minute drive from downtown Miami.
• Florida International University, the largest university in
LEASE HIGHLIGHTS
South Florida with over 46,000 undergraduate students, is
• 25-year NNN Ground Lease.
just 8 minutes north of the subject property.
• There are nine (9) five (5) year extension options with 5% rental increases every
five (5) years during the option periods. • The Kendall Regional Medical Center is located one mile
• The lease is guaranteed by CVS Health Corporation. to the west of CVS, and has received numerous prestigious
awards, including being recognized as one of the nation’s
top 100 hospitals.
488,000+ Residents with an average HouseHold income • Situated down the road from the Concord Shopping Plaza,
which is home to numerous national chains and local stores
exceeding $71K within a 5-mile radius including The Home Depot, Winn-Dixie, Big Lots, Dollar Tree,
McDonald’s, and GNC.
[ REPRESENTATIVE PHOTO ] CVS PHARMACY | 3
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
aerial
BENEFITTING FROM COMBINED TRAFFIC COUNTS IN EXCESS OF 88,000 VPD
West Bird Center Concord Shopping Plaza
SW 107th Avenue
MIAMI
CITY CENTER
Ronald Reagan Turnpike
H&R BLOCK
36,000 DAILY
School House
Academy
976 SW 40th Street
976 SW 40th Street
SW 40th Street
52,000 DAILY
Royal Palm
Elementary HOUSING
(488,773 RESIDENTS
WITHIN 5 MILES)
SW 107th Avenue
Pinecrest
Cove
Preparatory
Academy
Ronald Reagan Turnpike
Tropical
Elementary
Riviera
Middle School
CVS PHARMACY | 4
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
Major Development Aerial LOCATED IN CLOSE PROXIMITY TO SEVERAL OF MIAMI’S
MAJOR DEVELOPMENTS, HOSPITALS, AND UNIVERSITIES
DOLPHIN MIAMI
MALL INTERNATIONAL INTERNATIONAL
MALL
826 LINKS
836 Dolphin Expres
sw ay
836 Dolphin Expressway
MALL OF THE
AMERICAS
EAST CORAL
GABLES EAST LITTLE
HAVANA
ALAMEDA
41 SW 8th Street
41 SW 8th Street GRANADA
GRANADA
Palmetto Expressway
GOLF COURSE
BILTMORE
GOLF COURSE
ay
eHighw
S Dixi
1
SW 40th Street 976 COCONUT
GROVE
Ronald Reagan Turnpike
SW 107th Ave
DINNER KEY
MARINA
GROVE KEY
MARINA
CORAL REEF
YACHT CLUB
1
874 826 MIAMI
CITY CENTER
CVS PHARMACY | 5
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
miami-dade Economy GREAT FOR BUSINESS (2016 DATA)
#2 INTERNATIONAL BANKING CENTER IN THE U.S.
Miami is located on the Atlantic coast in southeastern Florida and is the county #2 MOST CONNECTED CITY IN THE U.S. (FDI)
seat of Miami-Dade County. The 42nd largest city in the United States, with a #3 TOP EMERGING TECH HUB (MASHABLE)
population of 453,579, it is the 8th largest metro area with 5.5 million residents.
#3 JOB GROWTH IN FINANCIAL SERVICES (HEADLIGHT DATA)
The city is a major center and leader in finance, commerce, culture, media, #8 MOST BUSINESS FRIENDLY CITY (FDI)
entertainment, the arts, and international trade. Downtown Miami and South
NO PERSONAL INCOME TAX & LOW CORPORATE INCOME TAX
Florida are home to the largest concentration of international banks in the
United States, and many large national and international companies. The Civic LOWER COST OF LIVING THAN COMPARABLE GLOBAL
Center is a major center for hospitals, research institutes, medical centers, and BUSINESS CENTERS
biotechnology industries.
For over 20 years, the Port of Miami, known as the “Cruise Capital of the World,” FORTUNE 1000 COMPANIES
has been the number one cruise passenger port in the world. The port has an #103 WORLD FUEL SERVICES (ENERGY)
annual economic impact of $27 billion, and supports approximately 207,000
#260 LENNAR (ENGINEERING & CONSTRUCTION)
jobs through combined commercial trade and cruise business.
#394 RYDER SYSTEM (TRANSPORTATION)
Miami International Airport is one of the world’s busiest airports with 105 #502 MAS TEC (ENGINEERING & CONSTRUCTION)
airlines serving 160 destinations. MIA generates business revenue of $33.7
billion annually, and welcomes 70% of all international visitors to Florida.
#574 WATSO (WHOLESALES)
Passenger and cargo traffic are trending upward, and MIA served a record 44.35
million passengers in 2015.
HOME TO GLOBAL MULTINATIONALS
Due to its proximity to Latin America, Miami serves as the headquarters of Latin
American operations for more than 1,100 multinational corporations. Among
Miami’s top corporate headquarters are Fedex Latin America, Medtronic Latin
America, Telefonica, UPS Latin America & Caribbean, and Univision. Miami is
also home to 74 consulates, a multicultural workforce drawn from more than
100 countries, and is the second largest international banking center in the U.S.
CVS PHARMACY | 6
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
miami-dade Economy (continued)
INTERNATIONAL BUSINESS
1,000+ MULTINATIONAL COMPANIES
PORTMIAMI
74 CONSULATES (3RD LARGEST FLORIDA’S LARGEST CONTAINER PORT
CONSULAR CORPS IN U.S.) 8.61 million tons of sea cargo per year // 4.9 million cruise passengers
per year on 18 cruise brands // $28 billion economic impact on the local
33 BI-NATIONAL CHAMBERS OF economy // 207,000 jobs supported in South Florida
COMMERCE
18 TRADE OFFICES
MIAMI INTERNATIONAL AIRPORT
#2 LARGEST INTERNATIONAL BANKING PRIMARY AIRPORT SERVING THE MIAMI AREA
CENTER (30+ INTERNATIONAL BANKS)
#1 for international freight and #2 for international passengers in the
$106.8 BILLION IN TRADE U.S. // 52 domestic and 96 international non-stop flights // More direct
flights to Latin America and the Caribbean than any other U.S. airport
$58.6 BILLION IN EXPORTS
$48.2 BILLION IN IMPORTS
CVS PHARMACY | 7
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
MIAMI WORLDCENTER RENDERING
miami-dade In The News
The Miami Worldcenter, scheduled to be completed in fall 2018,
will be a 10- block mixed-use development, which will include
world-class retail, hospitality, residential, and commercial uses.
The $2 billion development will have up to 450,000 square feet of
retail, 2,000 residential units, 1,700 hotel rooms, 500,000 square feet
of expo space, and 100,000 square feet of parks and public spaces.
Construction of Miami Worldcenter’s first phase, which includes
high-street retail, a 60-story Paramount luxury condominium, and a
Class A rental apartment building, began in 2016. The latest addition
to the Miami Worldcenter project is a 45-story tower with 600,000
square feet of Class A office space.
One Thousand Museum by Zaha Hadid Architects is a high-rise
residential condominium under construction in Miami. The 62-story
building is expected to rise over 700 feet (210 m) when completed
in 2018, making it one of the tallest buildings in Miami. The building
is considered ultra-luxury, containing about 83 large units priced
ONE THOUSAND MUSEUM RENDERING
at about double the cost per square foot of nearby condominium
towers, with amenities possibly including a rooftop helipad.
One Thousand Museum’s unique exoskeleton permits expansive
interiors uninterrupted by columns and broad terraces spanning a
jaw-dropping 40 feet that jut from the tower’s corners, giving the
building a serrated edge. The exoskeleton is comprised of thousands
of pieces of lightweight concrete reinforced with glass fiber, shipped
weekly from Dubai.
Amazon will be opening a new 800,000+ SF Fulfilment Center at
Miami-Opa-Locka Executive Airport. The company expects to create
over 1,000 full-time jobs where associates will engage with Amazon
Robotics in a highly technological workplace. The new fulfillment
center will bring Amazon’s workforce in the Sunshine State to more
than 7,500.
This information has been secured from sources we believe to be reliable but we make no representations or CVS PHARMACY | 8
warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears
all risk for any inaccuracies.
income & expense
PRICE $18,750,000
Capitalization Rate: 4.00%
Building Size (SF): 15,089
Lot Size (SF): 103,742
STABILIZED INCOME Per Square Foot
Scheduled Rent $7.23 $750,000
Effective Gross Income $7.23 $750,000
LESS Per Square Foot
Taxes NNN $0.00
Insurance NNN $0.00
Total Operating Expenses NNN $0.00
EQUALS NET OPERATING INCOME $750,000
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed
or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
[ REPRESENTATIVE PHOTO ]
CVS PHARMACY | 9
rent roll
TENANT INFO LEASE TERMS RENT SUMMARY
Current Monthly Yearly Monthly Yearly
Tenant Name Sq. Ft. Term
Rent Rent Rent Rent/FT Rent/FT
CVS 103,742 09/17/17 09/30/42 $750,000 $62,500 $750,000 $0.60 $7.23
Option 1 10/01/42 09/30/47 $65,625 $787,500 $0.63 $7.59
Option 2 10/01/47 09/30/52 $68,906 $826,875 $0.66 $7.97
Option 3 10/01/52 09/30/57 $72,352 $868,219 $0.70 $8.37
Option 4 10/01/57 09/30/62 $75,969 $911,630 $0.73 $8.79
Option 5 10/01/62 09/30/67 $79,768 $957,211 $0.77 $9.23
Option 6 10/01/67 09/30/72 $83,756 $1,005,072 $0.81 $9.69
Option 7 10/01/72 09/30/77 $87,944 $1,055,325 $0.85 $10.17
Option 8 10/01/77 09/30/82 $92,341 $1,108,092 $0.89 $10.68
Option 9 10/01/82 09/30/87 $96,958 $1,163,496 $0.93 $11.22
Totals: 103,742 $750,000 $62,500 $750,000 $0.60 $7.23
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any
inaccuracies.
CVS PHARMACY | 10
[ REPRESENTATIVE PHOTO ]RENT
lease abstract CVS Rent is due on the 5th day of each month. If Tenant doesn’t perform rent obligations within an
applicable cure period, Landlord can attempt to cure this breach, with 108% of sums expended
by Landlord to be payable by Tenant as “Additional Rent” within ten (10) days of written de-
mand.
TAXES
Tenant to pay all taxes throughout the Lease Term, beginning on the earlier of the Vacation
Date or the Rent Commencement Date.
UTILITIES
Tenant to pay all utility expenses pertaining to the property beginning on the earlier of the
Vacation Date or the Rent Commencement Date.
REPAIRS, ALTERATIONS, IMPROVEMENTS, & REPLACEMENTS
PREMISES/TERM
Tenant shall obtain the necessary permits for construction at its own cost and expense. Land-
SQUARE FEET 103,742 SF lord’s approval is not necessary for any improvements to be made, provided they are in compli-
LEASE TYPE NNN GROUND LEASE ance with applicable building codes and ordinances, and free of liens.
RENT COMMENCEMENT 9/17/17
Tenant has right to install and maintain satellite dishes.
LEASE EXPIRATION 9/30/42
OPTIONS NINE 5-YEAR OPTIONS Tenant may, at any time and from time to time, make alterations, changes, replacements, im-
provements and additions to the premises, provided they are of equal or greater function and
value.
BASE RENT Tenant is responsible for maintaining in good repair all buildings, improvements, drives, signs
Date Monthly Payment Annual Payment and landscaping.
9/17/2017 - 9/30/2042 $62,500 $750,000 SIGNS
Tenant has right to install, maintain and replace signs and advertising matter, and shall obtain
permits when necessary.
OPTION PERIODS
9, 5-Year Option Periods:
Date Monthly Payment Annual Payment
10/01/2042 – 9/30/2047 $65,625 $787,500
10/01/2047 – 9/30/2052 $68,906 $826,875
10/01/2052 – 9/30/2057 $72,352 $868,219
10/01/2057 – 9/30/2062 $75,969 $911,630
10/01/2062 – 9/30/2067 $79,768 $957,211
10/01/2067 – 9/30/2072 $83,756 $1,005,072
10/01/2072 – 9/30/2077 $87,944 $1,055,325
10/01/2077 – 9/30/2082 $92,341 $1,108,092
10/01/2082 – 9/30/2087 $96,958 $1,163,496
CVS PHARMACY | 11
This information has been secured from sources we believe to be reliable but we make no representations or warranties,
expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any [ REPRESENTATIVE PHOTO ]
inaccuracies.lease abstract CVS (Continued)
ACCESS TO PREMISES EXCLUSIVE
Landlord may show Premises to potential buyers, mortgagees If Landlord or affiliates of Landlord hold or acquire interest
and potential mortgagees during business hours and if in land adjacent to the Premises or at same intersection as
notice is given to tenant. Landlord does not have access to Premises during the term, then Landlord agrees to not allow
pharmacy, Minute Clinic, or an area with protected health any of those spaces to be used as a health and beauty aids
information. store, a greeting card and gift store, a store offering one-
hour or on-site photo processing, a candy or vitamin store,
ASSIGNMENT a pharmacy mail order facility, a drug store, a pharmacy
Tenant may assign, transfer, license or sublease the Lease. prescription department, a retail health center, a store that
Tenant shall remain primarily liable under the Lease if sells alcoholic beverages, and/or a discount, 99 cents store or
assignment is exercised. “dollar” store which sells general merchandise.
LEASEHOLD MORTGAGES If Landlord violates provisions on exclusive use, and doesn’t
cure the violation within sixty (60) days of receiving notice
Tenant has right to mortgage its leasehold interest, without from Tenant, then Tenant may terminate Lease upon ten (10)
consent of the Landlord, but shall not affect the fee, days written notice, or pay Landlord a 50% reduced rent.
revisionary interest or other interest of Landlord with one
leasehold mortgage. RIGHT OF FIRST REFUSAL
LEASEHOLD MORTGAGES If Landlord shall receive a bona fide offer to purchase the
Land from a third party and Landlord desires to accept such
Tenant has right to mortgage its leasehold interest, without offer, Tenant shall have a fifteen (15) day Right of First Refusal
consent of the Landlord, but shall not affect the fee, in which to indicate its interest in acquiring the Land at the
revisionary interest or other interest of Landlord with one same price and terms as said offer.
leasehold mortgage.
INSURANCE
This information has been secured from sources we believe to be reliable but we
Tenant shall pay for and carry $3,000,000 of Commercial make no representations or warranties, expressed or implied, as to the accuracy
General Liability insurance coverage, and should include of the information. Buyer must verify the information and bears all risk for any
inaccuracies.
Landlord and Fee Mortgagee as additionally insured.
Tenant to pay for and carry Causes of Loss-Special Form
insurance Policy.
Tenant to pay for and carry $1,000,000 of business automobile
liability insurance on Tenant’s vehicles.
Tenant shall maintain workers’ comp and employer liability
insurance, and the policy(ies) must include Employers’
Liability with a limit of $100,000 each accident.
[ REPRESENTATIVE PHOTO ]
CVS PHARMACY | 12site plan
976 SW 40th Street 52,000 DAILY
PYLON
SIGN
36,000 DAILY
SITE PLAN KEY
PARCEL OUTLINE:
RENTABLE AREA: 103,742 SF
WENDY’S
INGRESS/EGRESS:
SW 107th Avenue
NOTE: CVS HAS SUBLEASED A
PORTION OF THE PARCEL TO
WENDY’S
This site plan is a rendering that has been created based on sources we believe to be reliable, however we make no representations or warranties,
expressed or implied, as to the accuracy of the rendering. Buyer must verify the information and bears all risk for any inaccuracies.
CVS PHARMACY | 13[ REPRESENTATIVE PHOTOs ]
tenant overview
ABOUT CVS PHARMACY
CVS Health Corporation, together with its subsidiaries, provides
TOTAL RETAIL LOCATIONS
integrated pharmacy health care services in the United States,
BBB+
9,700 +
Puerto Rico, and Brazil. The company’s Retail Pharmacy segment
sells prescription drugs, over-the-counter drugs, beauty products TOTAL EMPLOYEES
and cosmetics, seasonal merchandise, greeting cards, and 243,000
#1 convenience foods, as well as provides photo finishing services. Investment Grade
2016 NET INCOME Standard & Poor’s
CVS Pharmacies fill 20% of all retail prescriptions in the U.S., and $5.32 BILLION
pharmacies account for 2/3 of CVS’s revenue.
DRUGSTORECHAIN
IN THE U.S. As of December 31, 2016, CVS had more than 9,700 retail drugstores,
1,100 MinuteClinic locations, 35 specialty pharmacies, 12 specialty
CVS is the #1 Drug Store Chain
#7
mail order pharmacies, and 5 mail order pharmacies.
CVS is the #1 drug store chain in the U.S. by both store count and
FORTUNE 500
prescription revenue. The company is ranked 7th on the 2017 in the U.S. by Store Count and
Fortune 500 List, and #45 on the World’s Most Admired Companies
COMPANY
List. It was recently ranked the Top Drug Store Chain for Food Prescription Revenue
Shopping by Goldman Sachs/Condé Nast.
This information has been secured from sources we believe to be reliable but we make no representations or
warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and
bears all risk for any inaccuracies.
CVS PHARMACY | 14CVS LOCATION
demographics & map
POPULATION
1-Mile 3-Mile 5-Mile
2010 22,810 194,986 474,600 52,000 DAILY
2017 23,104 200,454 488,773
2021 23,807 208,692 509,132
2017 HOUSEHOLD INCOMES
1-Mile 3-Mile 5-Mile REGIONAL MAP
Average $61,981 $65,371 $71,424
Median $44,605 $46,837 $51,401
ORLANDO
TOP EMPLOYERS IN MIAMI-DADE, FL
Miami-Dade Public Schools TAMPA
Miami-Dade County
Federal Government 3 HRS 34 MIN
245 MILES
Florida State Government
This information has been secured from sources we believe to be reliable but we make no representations or warranties, 3 HRS 58 MIN
expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any
inaccuracies.
277 MILES
FORT
LAUDERDALE 45 MIN
41 MILES
MIAMI
CVS PHARMACY | 15A unique HUMAN
RESULTS-DRIVEN THE CAPITAL PACIFIC EXPERIENCE - OUR DAILY COMMITMENT TO OUR CLIENTS
client experience [ www.CapitalPacific.com ]
[ REPRESENTATIVE PHOTO ]
CHRIS KOSTANECKI CHRIS PETERS Capital Pacific collaborates. Click Here to
ck@capitalpacific.com | (415) 274-2701 cpeters@capitalpacific.com | (415) 274-2703 meet the rest of our San Francisco team.
CA BRE# 01002010 CA BRE# 01339983
DAVE LUCAS JOHN ANDREINI
ZEB RIPPLE JACK NAVARRA
zripple@capitalpacific.com | (415) 274-2702 jnavarra@capitalpacific.com | (415) 274-2705 JOE CACCAMO RICK SANNER
CA BRE# 01242540 CA BRE# 01909630 ZANDY SMITH AARON SUSMAN
Listed in conjunction with FL Licensed Broker:
Andrew T. Knight | New England Commercial Brokerage Andrew@NECBrokerage.com | (860) 648-1600 [ Copyright © 2017 Capital Pacific ]You can also read
