UNITED STATES POST OFFICE - OFFERING MEMORANDUM SINGLE TENANT NET-LEASED SAINT LOUIS, Squarespace
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O F F E R I N G M E M O R A N D U M
U N I T E D S TAT E S P O S T O F F I C E
S I N G L E T E N A N T N E T- L E A S E D
S A I N T L O U I S , M I S S O U R I
TABLE OF CONTENTS
OVERVIEW PAGES 3-5
SAINT LOUIS, MO PAGE 6-8
David Bader
USPS Investment Sales Specialist
Net Leased Properties Group
303.328.2029
david.bader@marcusmillichap.com
www.BaderBrokerage.com
U N I T E D S TAT E S P O S TA L S E R V I C E
S A I N T LO U I S , M I S S O U R I
OFFERING PRICE C A P R AT E
$565,000 7.50%
I N V E S T M E N T
T H E
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M O
L O U I S ,
S A I N T
U S P S
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OFFERING SUMMARY
I N V E S T M E N T
THE OFFERING PROPER T Y DESCRIPTION
Price $565,000 Year Built 1962
T H E
Capitalization Rate 7.50% Building Size 4,198 SF
Net Operating Income $42,379 Lot Size 19,764 SF
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Price/SF $135
M O
L O U I S ,
ANNUALIZED OPER ATING DATA
S A I N T
ANNUAL RENT/ LEASE OPTIONS TERM REMAINING
LOCATION Expenses NOI
RENT SF EXPIRATION REMAINING ON LEASE
8655 Airport Road, Saint Louis, MO 63134 $48,277 $11.50 $5,898 $42,379 6/30/2023 None 4 Years
U S P S
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INVESTMENT HIGHLIGHTS
Lo n g ter m ten a n c y, US P S has b een at t his
l o cati o n si n ce i t o pen ed i n 1962 and has four
ye ars o f ter m a n d n o o p t ion(s) rem aining.
Ab i l i t y to n ego ti ate l o ng ter m lease and
I N V E S T M E N T
e n h an ce th e va l u ati o n .
Le ases a re gu a ra nteed by The United St ates
Po s ta l S er v i ce. Th e USP S is at t he core of t he
$1. 4 tr i l l i o n ma i l i n g i n du sr y in t he count r y.
T H E
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M O
L O U I S ,
Th i s i s th e o n l y USP S l o cat ion in B er keley,
M is so u r i . Th e l o cati o n ser ves a large
p o p ul ati o n w i th i n i t ’s di s t r ic t and has great
access to I -170.
S A I N T
U S P S
Th e USP S i s n o l o n ger bu i ld ing new fac ilt ies,
fo c u si n g i ts ten a n c y o n c ur rent sites.
5
8655 Airport Rd, Saint Louis MO, 63134
Saint Louis, MO
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U S P S S A I N T L O U I S , M O // T H E I N V E S T M E N T
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U S P S S A I N T L O U I S , M O // T H E I N V E S T M E N T
O F F E R I N G S U M M A R Y | S A I N T LO U I S , M O
THE OFFERING LEASE SUMMARY
Property United States Postal Service Tenant United States Postal Service
Property Address 8655 Airport Rd, Saint Louis, MO 63134 Guarantor United States Postal Service
I N V E S T M E N T
Price $565,000 Lease Type Double Net (NN) **
Capitalization Rate 7.50% Roof & Structure Landlord Responsible
Net Operating Income $42,379 Lease Commencement Date 07/1/1962
Lease Expiration Date 6/30/2023
OPER ATING EXPENSES
Term Remaining on Lease 4 Years
T H E
Base Rent $48,277
Renewal Options Remaining None
Repairs & Maintenance $4,198*
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Insurance $1,700
M O
NOI $42,379
**Lessor Maintenance Rider: Tenant is responsible for Utilities and certain
L O U I S ,
maintenance of property. Landlord is responsible for Roof and Structure and
* Estimated certain repairs to the property. Property Tax Reimbursement Rider. No Termination
Option.
PROPER T Y DESCRIPTION
S A I N T
Year Built 1962
Building Size 4,198 SF
U S P S
Lot Size 19,764 SF
Type of Ownership Fee Simple
RENT ROLL
YEAR ANNUAL RENT MONTHLY RENT RENT/SF
7/01/2018 - 06/30/2023 $48,277 $4,023 $11.50
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TENANT OVERVIEW
UNITED STATES POSTAL SERVICE
The United States Postal Service traces back to 1775 to the Second Conti-
nental Congress when Benjamin Franklin was appointed the first Postmas-
ter General. The Post Office Department was created in 1792 from Frank-
I N V E S T M E N T
lin’s operation, and elevated to the cabinet-level department in 1872, then
transformed in 1971 to the U.S. Postal Service as an independent agency.
The Postal Services has grown and changed with American over the past
two centuries and is continually embracing new technology to better serve
the growing population.
The U.S. Postal Service is the core of the $1.4 trillion mailing industry that
employs over 617,000, making it the third largest employer in the country.
T H E
The Postal Service processes and delivers around 47 percent of the world’s
mail. The Postal Service does not receive tax dollars for operating expenses
and relies on the sale of postage, products and services to fund its opera-
tions. The Postal Service has the country’s largest retail network — larger
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than McDonald’s, Starbucks and Walmart combined, domestically.
M O
The Postal Service has more than 227,000 vehicles, one of the largest ci-
L O U I S ,
vilian fleets in the world. Part of this fleet is currently in the process of
being replaced with next generation vehicles to incorporate the automo-
tive industry’s advances in ergonomics, safety features, fuel efficiency, low
emissions and design flexibility.
S A I N T
The Postal Service can and does compete with the private sector and
it collaborates with it, too. UPS and FedEx pay the Postal Service to
deliver hundreds of millions of their ground packages to residences taking
advantage of the Postal Service’s expansive delivery network. The Postal
U S P S
Service pays UPS and FedEx for air transportation, taking advantage of their
comprehensive air networks.
The Postal Service is the only organization in the country that has the
resources, network infrastructure and logistical capability to regu-
larly deliver to every residential and business address in the nation.
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Map
Saint Louis, MO MSA
Regional
U S P S S A I N T L O U I S , M O // T H E I N V E S T M E N T
10U S P S S A I N T L O U I S , M O // T H E I N V E S T M E N T 11
SUMMARY OF TERMS
INTEREST OFFERED
Marcus & Millichap is marketing for sale to qualified investors an opportunity to acquire 100% fee simple Interest in the subject property. Seller shall
assign to purchaser all leases encumbering the property at Closing.
I N V E S T M E N T
OFFERING PROCESS
The property is being offered on an open bid basis. Prospective purchasers will be notified if a call for offers or best and final date is set; however,
Seller intends to review offers as they are submitted and will respond promptly to all offers. Please contact the listing brokers to discuss submitting
a Letter of Intent to purchase.
FINANCING
T H E
The property is being offered free & clear of any existing debt and prospective purchasers shall be afforded the opportunity to obtain a new financing
for acquisition. Prospective purchasers are encouraged to submit proof of funds, expected loan terms, and a preliminary approval from lender with
a Letter of Intent. Marcus & Millichap Capital Corp. has also sourced potential lenders for this acquisition and the listing brokers can provide terms
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upon request.
M O
CO O P E R AT I V E B R O K E R A G E CO M M I S S I O N
Marcus & Millichap is offering a cooperative brokerage commission equal to 50% of the gross commission by seller to brokers that represent purchas-
L O U I S ,
ers that were not directly contacted by the listing brokers and that successfully close on the property at terms acceptable to seller.
P R O P E R T Y TO U R S
Prospective purchasers are encouraged to visit the subject property prior to submitting a Letter of Intent; however, all property tours must be
S A I N T
arranged with the listing broker or landlord only. Under no circumstances should any prospective purchaser or related entity contact the tenant,
on-site management, or employees. Recipients of this offering memorandum acknowledge that such contact may damage the tenant’s operations
which may impair the financial results. The landlord/seller reserves the right to seek legal redress for any damage that may occur from such interfer-
ence with their relationship with tenant.
U S P S
12CONFIDENTIALITY & DISCLAIMER
NON-DISCLOSURE NOTICE NET LEASE DISCLAIMER
The information contained in the following Marketing Brochure is proprietary and Marcus & Millichap hereby advises all prospective purchasers of Net Leased property
strictly confidential. It is intended to be reviewed only by the party receiving it from as follows:
Marcus & Millichap and should not be made available to any other person or entity
without the written consent of Marcus & Millichap. This Marketing Brochure has been The information contained in this Marketing Brochure has been obtained from sources
prepared to provide summary, unverified information to prospective purchasers, and we believe to be reliable. However, Marcus & Millichap has not and will not verify any
I N V E S T M E N T
to establish only a preliminary level of interest in the subject property. The information of this information, nor has Marcus & Millichap conducted any investigation regarding
contained herein is not a substitute for a thorough due diligence investigation. Marcus these matters. Marcus & Millichap makes no guarantee, warranty or representation
& Millichap has not made any investigation, and makes no warranty or representation, whatsoever about the accuracy or completeness of any information provided.
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 As the Buyer of a net leased property, it is the Buyer’s responsibility to independently
improvements, the presence or absence of contaminating substances, PCB’s or asbestos, confi rm the accuracy and completeness of all mate- rial information before completing
the compliance with State and Federal regulations, the physical condition of the any purchase. This Marketing Brochure is not a substitute for your thorough due
improvements thereon, or the financial condition or business prospects of any tenant, diligence investigation of this investment opportunity. Marcus & Millichap expressly
T H E
or any tenant’s plans or intentions to continue its occupancy of the subject property. denies any obligation to conduct a due diligence examination of this Property for Buyer.
The information contained in this Marketing Brochure has been obtained from sources
we believe to be reliable; however, Marcus & Millichap has not verified, and will not Any projections, opinions, assumptions or estimates used in this Marketing Brochure
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verify, any of the information contained herein, nor has Marcus & Millichap conducted are for example only and do not represent the current or future performance of this
any investigation regarding these matters and makes no warranty or representation property. The value of a net leased property to you depends on factors that should be
M O
whatsoever regarding the accuracy or completeness of the information provided. All evaluated by you and your tax, financial and legal advisors.
potential buyers must take appropriate measures to verify all of the information set
L O U I S ,
forth herein. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a
careful, independent investigation of any net leased property to determine to your
satisfaction with the suitability of the property for your needs.
NON-ENDORSEMENT NOTICE
Marcus & Millichap Real Estate Investment Services, Inc. (“M&M”) is not affiliated with,
Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s
sponsored by, or endorsed by any commercial tenant or lessee identified in this market-
S A I N T
legal and financial advisors must request and carefully review all legal and financial
ing package. The presence of any corporation’s logo or name is not intended to indicate
documents related to the property and tenant. While the tenant’s past performance
or imply affiliation with, or sponsorship or endorsement by, said corporation of M&M, its
at this or other locations is an important consideration, it is not a guarantee of future
affiliates or subsidiaries, or any agent, product, service, or commercial listing of M&M,
success. Similarly, the lease rate for some properties, including newly-constructed
and is solely included for the purpose of providing tenant lessee information about this
U S P S
facilities or newly-acquired locations, may be set based on a tenant’s projected sales
with little or no record of actual performance, or comparable rents for the area. Returns
are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or
DO NOT CONTACT TENANT property taxes, or may fail to comply with other material terms of the lease; cash flow
All property showing are by appointment with the listing broker or landlord only. Un- may be interrupted in part or in whole due to market, economic, environmental or other
der no circumstances, should any prospective purchaser or related entity contact the conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for
tenant or any of the employees at these stores. Recipients of this offering memoran- conducting his her own investigation of all matters affecting the intrinsic value of the
dum acknowledge that such contact may damage the tenant’s operation which would property and the value of any long-term lease, including the likelihood of locating a
impair the financial results. Landlord reserves the right to seek legal redress for any replacement tenant if the current tenant should default or abandon the property, and
damage that may occur from such interference with landlord’s relationship with tenant. the lease terms that Buyer may be able to negotiate with a potential replacement tenant
considering the location of the property, and Buyer’s legal ability to make alternate use
of the property.
By accepting this Marketing Brochure you agree to release Marcus & Millichap Real
Estate Investment Services and hold it harmless from any kind of claim, cost, expense,
or liability arising out of your investigation and/or purchase of this net leased property. 13T HE
I N V E STM E N T
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USPS SAINT LOUIS, MISSOURI
E X C L U S I V E LY L I S T E D B Y
David Bader
USPS Investment Sales Specialist
Net Leased Properties Group
(303) 328-2029
david.bader@marcusmillichap.com
www.BaderBrokerage.comYou can also read
