NET LEASED MEDICAL OFFICE BUILDING FOR SALE IN EL PASO, TX
Executive Summary – 12249 Rojas Drive El Paso, Texas
12249 Rojas Drive in El Paso, Texas is a 7500 SF Medical office building leased to a Fortune 500 Medical Company called DaVita www.davita.com. DaVita’s new El Paso Dialysis Unit should complete development (rent commencement on c of o) on July 1, 2011. This property is conveniently located for dialysis patients in close proximity to the new Sierra Providence Hospital http://www.sphn.com/en-US/Pages/default.aspx . This site is Davita’s 11th dialysis unit in El Paso, Texas. This new unit has been opened to fight the growing kidney failure epidemic that Texas owns (largely driven from Texan’s eating habits). I would anticipate that this won’t be the last new unit in El Paso for Davita due to El Paso’s explosive growth spurred by the Government’s recent BRAC investment into El Paso’s Military. My opinion is that Military growth is the single most impacting “basic employment” category. (Go to http://kwcommercialsa.com/blog/?p=459 to see my opinion of basic employment’s impact on other Texas cities). See the bottom of this summary for Links to information on the great things happening in El Paso, Texas!
If you like investing in single user NNN assets (less “brain damage” than dealing with vacancy issues on multi-tenant assets) why wouldn’t you choose to place your hard earned money into an investment leased by a group that is providing a service that extends lives? The patrons of these facilities might skip a burger at the NNN asset that you are considering down the street from this one, but would they skip their dialysis treatment? Current rental rate approximates $21.50/SF NNN in based year rent. The is fixed for the first five years, bumping to $23.22/SF for years 6-10 and $25.07/SF for years 11-15. The lease contains three (3) five (5) year renewal options with a very high likelihood of extension due to the significant investment in this facility by Tenant and its excellent location. Base year NOI is $161,250.00. Year 11 NOI is $188,025.00. List Price of $2,150,000.00 is based on a 7.5% capitalization rate (cap rate) on the base year “ACTUAL”NOI.
DaVita Inc., a FORTUNE 500® company, is a leading provider of kidney care in the United States, delivering dialysis services and education to patients with chronic kidney failure and end stage renal disease. As of March 31, 2011, DaVita operated or provided administrative services at 1,642 dialysis facilities, serving approximately 128,000 patients. DaVita develops, participates in and donates to numerous programs dedicated to transforming communities and creating positive, sustainable change for children, families and our environment. The company’s leadership development initiatives and corporate social responsibility efforts have been recognized by Fortune, Modern Healthcare, Newsweek, and WorldBlu, among others.
El Paso, Texas Links
Link LeGrand CCIM
Licensed in Texas
Keller Williams Legacy
1102 E. Sonterra Blvd. #106
San Antonio, TX 78258