offering memorandum walgreens€¦ · rent commencement date: august 2004 lease expiration date:...

OFFERING MEMORANDUM

JON RUEVice President+1 970 372 [email protected]

BRAD BENJAMINNet Lease Property Group+1 214 252 [email protected]

WALGREENS12 N. ABE STREETSan Angelo, TX 76903

Local Contact

Capital Markets | Investment Properties

CONTACT US


12 North Abe Street San Angelo, TX 76903This offering represents the opportunity to own a fee simple interest in a property leased to the Walgreens, corporation. Built in 2003, this 14,450 SF freestanding building is strategically located at the signalized intersection of Abe Street and Harris Avenue with multiple ingress and egress access points. This 24 hour location features a drive thru and is located less than one mile west of the Shannon West Texas Memorial Hospital. Walgreens (NYSE: WAB) is the number one drug store in the United States with over 7,850 stores and over 8,100 locations.

TENANT SUMMARY

Price: $5,550,000

CAP: 6%

NOI: $330,000

Building SF: 14,450

Year Built: 2003

Lot Size: 1.71 Acres

Type of Ownership: Fee Simple

Tenant: Walgreens

NYSE Symbol: WBA

S & P Rating: BBB

Lease Type: NNN

Landlord Responsibilities: None

Lease Term: 25 Years

Rent Commencement Date: August 2004

Lease Expiration Date: August 2029 Term

Remaining on Lease: 11 Years Renewal

Options: Ten - 5 Year Options

LOCATION DESCRIPTION

The city of San Angelo serves as the county seat for Tom Green County in West Central Texas. According to the US Census the 2012 estimated population of 95,887. San Angelo is home to Angelo State University, historic Fort Concho and Goodfellow Air Force Base. San Angelo has consistently been ranked by many publications and rankings as one of the best small cities for business and employment. In 2013, it ranked fourth in the nation in Forbes Magazine’s “Best Cities For Jobs” rankings.

HIGHLIGHTS - Long term absolute NNN lease structure

- Walgreens - S&P Investment grade credit

- +10 years remaining on term

- 24 hour store

- Strong store sales

- Very strong likelihood of Renewal

W A L G R E E N S

PROPERTY OVERVIEW

W A L G R E E N S

2

Walgreens Boots Alliance, Inc. operates as a pharmacy-led health and wellbeing company. The company operates through

three segments: Retail Pharmacy USA, Retail Pharmacy International, and Pharmaceutical Wholesale. The Retail Pharmacy

USA segment sells prescription drugs and an assortment of general merchandise, including non-prescription drugs, beauty

products, photo finishing, seasonal merchandise, greeting cards, and convenience foods through its retail drugstores and

convenient care clinics. It also provides specialty pharmacy services; and manages in-store clinics under the brand Healthcare

Clinic. As of January 31, 2017, this segment operated 8,175 retail stores under the Walgreens and Duane Reade brands in

the United States; and 7 specialty pharmacy locations, as well as managed approximately 400 Healthcare Clinics. Walgreens

Boots Alliance, Inc. was founded in 1901 and is based in Deerfield, Illinois.

The Walgreen Company is the largest drug retailing chain in the United States. The company is publicly traded on the NASDAQ (Symbol: WBA) with a

market capitalization in excess of $64 billion. Both Walgreen Co. and Walgreens Boots Alliance, Inc. are investment grade rated each with a Standard

& Poor’s rating of BBB. In October 2016 Walgreens Boots Alliance received the United Nations Foundation Global Leadership Award for its commitment

to the UN’s Sustainable Development Goals.

CreditRATING

$64 Billion MARKET CAPITALIZATION

SERVING OVER

8 MILLIONCUSTOMERS PER DAY

FOUNDED

1901HEADQUARTERD IN

Deerfield, IL81,000+LOCATIONS

W A L G R E E N S

TENANT OVERVIEW W A L G R E E N SW A L G R E E N S

3

Location -12 North Abe Street, San Angelo, TX

WALGREENS

W A L G R E E N S

AERIAL MAP

4


W A L G R E E N S

NEARBY BUSINESSES

5

WALGREENS

N. A

BE STR

EET


W. HARRIS AVENUE

N. K

OEN

IGH

EIM STREET

W A L G R E E N S

SITE MAP

6

DEMOGRAPHIC BRIEF

12 N ABE ST

1 MILE 3 MILES 5 MILES 10 MILES

2018 Population - Current Year Estimate 7,214 65,220 97,728 109,941

2023 Population - Five Year Projection 7,403 67,371 101,837 114,885

2010 Population - Census 6,869 61,661 90,841 100,362


2010-2018 Annual Population Growth Rate 0.60% 0.68% 0.89% 1.11%


2018 Households - Current Year Estimate 3,020 24,062 37,360 42,099

2023 Households - Five Year Projection 3,090 24,774 38,849 43,909

2010 Households - Census 2,915 23,043 35,169 38,794


2010-2018 Annual Household Growth Rate 0.43% 0.53% 0.74% 1.00%


2018 Average Household Size 2.20 2.55 2.48 2.49

2018 Average Household Income $52,909 $54,280 $63,234 $66,738


2018 Median Household Income $35,820 $39,786 $45,715 $48,076


2018 Per Capita Income $23,520 $20,935 $25,042 $26,395


2018 Housing Units 3 ,446 26 ,528 40 ,330 45 ,463

2018 Vacant Housing Units 426 12.4% 2,466 9.3% 2,970 7.4% 3,364 7.4%

2018 Occupied Housing Units 3,020 87.6% 24,063 90.7% 37,360 92.6% 42,099 92.6%

2018 Owner Occupied Housing Units 1,412 41.0% 12,896 48.6% 20,117 49.9% 23,615 51.9%

2018 Renter Occupied Housing Units 1,608 46.7% 11,167 42.1% 17,243 42.8% 18,484 40.7%

2018 Population 25 and Over 5 ,142 40 ,484 62 ,274 71 ,230

HS and Associates Degrees 2,943 57.2% 24,983 61.7% 37,702 60.5% 42,866 60.2%

Bachelor's Degree or Higher 856 16.6% 6,738 16.6% 13,935 22.4% 16,721 23.5%

2018 Businesses 879 2,429 3,432 3,695

2018 Employees 10,695 35,433 52,531 55,042

©2018 CBRE. This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are forexample only and do not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the propertyfor your needs. Source: Esri Page 1 ProjectID:363655

POPULAT ION

HOUSEHOLDS

HOUSEHOLD INCOME

HOUS ING UN ITS

EDUCAT ION

PLACE OF WORK

W A L G R E E N S

DEMOGRAPHIC REPORT

7

DEMOGRAPHIC BRIEF

12 N ABE ST

NAME LATITUDE LONGITUDE

12 N ABE ST 31.462317 -100.444311

©2018 CBRE. This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are forexample only and do not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the propertyfor your needs. Source: Esri ProjectID:363655

W A L G R E E N S

DEMOGRAPHIC REPORT

8

9 Walgreens

AFFILIATED BUSINESS DISCLOSURE AND CONFIDENTIALITY AGREEMENT

CBRE, Inc. operates within a global family of companies with many subsidiaries and related entities (each an “Affiliate”) engaging in a broad range of commercial real estate businesses including, but not limited to, brokerage services, property and facilities management, valuation, investment fund management and development. At times different Affiliates, including CBRE Global Investors, Inc. or Trammell Crow Company, may have or represent clients who have competing interests in the same transaction. For example, Affiliates or their clients may have or express an interest in the property described in this Memorandum (the “Property”), and may be the successful bidder for the Property. Your receipt of this Memorandum constitutes your acknowledgement of that possibility and your agreement that neither CBRE, Inc. nor any Affiliate has an obligation to disclose to you such Affiliates’ interest or involvement in the sale or purchase of the Property. In all instances, however, CBRE, Inc. and its Affiliates will act in the best interest of their respective client(s), at arms’ length, not in concert, or in a manner detrimental to any third party. CBRE, Inc. and its Affiliates will conduct their respective businesses in a manner consistent with the law and all fiduciary duties owed to their respective client(s).

Your receipt of this Memorandum constitutes your acknowledgement that (i) it is a confidential Memorandum solely for your limited use and benefit in determining whether you desire to express further interest in the acquisition of the Property, (ii) you will hold it in the strictest confidence, (iii) you will not disclose it or its contents to any third party without the prior

written authorization of the owner of the Property (“Owner”) or CBRE, Inc., and (iv) you will not use any part of this Memorandum in any manner detrimental to the Owner or CBRE, Inc.

If after reviewing this Memorandum, you have no further interest in purchasing the Property, kindly return it to CBRE, Inc.

This Memorandum contains select information pertaining to the Property and the Owner, and does not purport to be all-inclusive or contain all or part of the information which prospective investors may require to evaluate a purchase of the Property. The information contained in this Memorandum has been obtained from sources believed to be reliable, but has not been verified for accuracy, completeness, or fitness for any particular purpose. All information is presented “as is” without representation or warranty of any kind. Such information includes estimates based on forward-looking assumptions relating to the general economy, market conditions, competition and other factors which are subject to uncertainty and may not represent the current or future performance of the Property. All references to acreages, square footages, and other measurements are approximations. This Memorandum describes certain documents, including leases and other materials, in summary form. These summaries may not be complete nor accurate descriptions of the full agreements referenced. Additional information and an opportunity to inspect the Property may be made available to qualified prospective purchasers. You are advised to independently verify the accuracy and completeness of all summaries and

information contained herein, to consult with independent legal and financial advisors, and carefully investigate the economics of this transaction and Property’s suitability for your needs. ANY RELIANCE ON THE CONTENT OF THIS MEMORANDUM IS SOLELY AT YOUR OWN RISK.

The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property, and/or to terminate discussions at any time with or without notice to you. All offers, counteroffers, and negotiations shall be non-binding and neither CBRE, Inc. nor the Owner shall have any legal commitment or obligation except as set forth in a fully executed, definitive purchase and sale agreement delivered by the Owner.

© 2018 CBRE, Inc. All Rights Reserved.

OFFERING MEMORANDUM

JON RUEVice President

+1 970 372 [email protected]

WALGREENS1520 W. 4TH STREETPueblo, CO 81004

HIGHLIGHTS

• Long Term Absolute NNN Lease Structure

• Walgreens S & P Invesment Grade Credit

• 10 Plus Years Remain of Firm Term


1520 W. 4th Street Pueblo, CO 81004This offering represents the opportunity to own a fee simple interest in a property leased to the Walgreens, corporation. Built in 2003, this 14,900 SF freestanding building is strategically located at the signalized intersection of W Abriendo Ave and W 4th Street/Lincoln Street. Located just south of the Arkansas River this site sits in the Pueblo South suburb of the city. Walgreens (NYSE: WBA) is the number one drug store in the United States with over 7,850 stores and over 8,100 locations.

TENANT SUMMARY

Price: $5,716,666

Price/SF: $413

NOI: $343,000

CAP: 6%

Building SF: 13,813

Year Built: 2003

Lot Size: 1.42 Acres

Type of Ownership: Fee Simple

Tenant: Walgreens

NYSE Symbol: WBA

S & P Rating: BBB

Lease Type: NNN

Landlord Responsibilities: None

Lease Term: 25 Years

Rent Commencement Date: July 1, 2004

Lease Expiration Date: June 30, 2029

Renewal Options: Ten - 5 Year Options

LOCATION DESCRIPTION

Pueblo Colorado is a Home Rule Municipality and County Seat for Pueblo County, the most populous county in the State of Colorado. According to the 2010 US Census, Pueblo had a population of 106,595. Located in Southern Colorado Pueblo is approximately 43 miles from Colorado Springs and 112 miles from Denver. Pueblo is one of the largest steel producing cities in the United States. The current city of Pueblo represents the combination of four towns, Pueblo, South Pueblo, Central Pueblo and Bessemer.

HIGHLIGHTS - Long term absolute NNN lease structure

- Walgreens - S&P Investment grade credit

- 10 plus years remaining on term

2

W A L G R E E N S

PROPERTY OVERVIEW

W A L G R E E N S

3

Walgreens Boots Alliance, Inc. operates as a pharmacy-led health and wellbeing company. The company operates through

three segments: Retail Pharmacy USA, Retail Pharmacy International, and Pharmaceutical Wholesale. The Retail Pharmacy

USA segment sells prescription drugs and an assortment of general merchandise, including non-prescription drugs, beauty

products, photo finishing, seasonal merchandise, greeting cards, and convenience foods through its retail drugstores and

convenient care clinics. It also provides specialty pharmacy services; and manages in-store clinics under the brand Healthcare

Clinic. As of January 31, 2017, this segment operated 8,175 retail stores under the Walgreens and Duane Reade brands in

the United States; and 7 specialty pharmacy locations, as well as managed approximately 400 Healthcare Clinics. Walgreens

Boots Alliance, Inc. was founded in 1901 and is based in Deerfield, Illinois.

The Walgreen Company is the largest drug retailing chain in the United States. The company is publicly traded on the NASDAQ (Symbol: WBA) with a

market capitalization in excess of $64 billion. Both Walgreen Co. and Walgreens Boots Alliance, Inc. are investment grade rated each with a Standard

& Poor’s rating of BBB. In October 2016 Walgreens Boots Alliance received the United Nations Foundation Global Leadership Award for its commitment

to the UN’s Sustainable Development Goals.

CreditRATING

$64 Billion MARKET CAPITALIZATION

SERVING OVER

8 MILLIONCUSTOMERS PER DAY

FOUNDED

1901HEADQUARTERD IN

Deerfield, IL81,000+LOCATIONS

W A L G R E E N S

TENANT OVERVIEW W A L G R E E N SW A L G R E E N S

WALGREENS

Location -1520 W. 4th Street, Pueblo, CO

4

W A L G R E E N S

AERIAL MAP


MidtownShopping

CenterHoneybaked Ham

W 4

th S

treet

5

W A L G R E E N S

NEARBY BUSINESSES


WALGREENS

W. 4TH

STREE

T

W. ABRIEN

DO AVE. GALE

AVE.

WILSO

N AVE.

LINCOLN

ST.

6

W A L G R E E N S

SITE MAP

DEMOGRAPHIC BRIEF

1520 W 4TH ST

1 MILE 3 MILES 5 MILES 10 MILES

2018 Population - Current Year Estimate 9,248 76,061 117,214 150,969

2023 Population - Five Year Projection 9,542 78,509 121,472 156,654





2018 Households - Current Year Estimate 4,097 31,618 47,372 59,630

2023 Households - Five Year Projection 4,238 32,597 49,029 61,775





2018 Average Household Size 2.06 2.32 2.39 2.46







2018 Housing Units 4 ,561 34 ,904 51 ,562 64 ,367

2018 Vacant Housing Units 464 10.2% 3,286 9.4% 4,190 8.1% 4,737 7.4%

2018 Occupied Housing Units 4,097 89.8% 31,617 90.6% 47,372 91.9% 59,630 92.6%

2018 Owner Occupied Housing Units 1,974 43.3% 16,884 48.4% 27,190 52.7% 36,745 57.1%

2018 Renter Occupied Housing Units 2,123 46.5% 14,733 42.2% 20,182 39.1% 22,885 35.6%

2018 Population 25 and Over 6 ,676 52 ,123 79 ,733 102 ,468

HS and Associates Degrees 4,302 64.4% 35,430 68.0% 53,192 66.7% 68,410 66.8%

Bachelor's Degree or Higher 1,397 20.9% 8,702 16.7% 16,072 20.2% 22,341 21.8%

2018 Businesses 713 2,906 4,090 4,966

2018 Employees 6,419 40,701 57,359 66,493

©2018 CBRE. This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are forexample only and do not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the propertyfor your needs. Source: Esri Page 1 ProjectID:363113

POPULAT ION

HOUSEHOLDS

HOUSEHOLD INCOME

HOUS ING UN ITS

EDUCAT ION

PLACE OF WORK

7

W A L G R E E N S

DEMOGRAPHIC REPORT

DEMOGRAPHIC BRIEF

1520 W 4TH ST

NAME LATITUDE LONGITUDE

1520 W 4TH ST 38.265543 -104.6278215

©2018 CBRE. This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are forexample only and do not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the propertyfor your needs. Source: Esri ProjectID:363113

8

W A L G R E E N S

DEMOGRAPHIC REPORT

9 Walgreens

AFFILIATED BUSINESS DISCLOSURE AND CONFIDENTIALITY AGREEMENT

CBRE, Inc. operates within a global family of companies with many subsidiaries and related entities (each an “Affiliate”) engaging in a broad range of commercial real estate businesses including, but not limited to, brokerage services, property and facilities management, valuation, investment fund management and development. At times different Affiliates, including CBRE Global Investors, Inc. or Trammell Crow Company, may have or represent clients who have competing interests in the same transaction. For example, Affiliates or their clients may have or express an interest in the property described in this Memorandum (the “Property”), and may be the successful bidder for the Property. Your receipt of this Memorandum constitutes your acknowledgement of that possibility and your agreement that neither CBRE, Inc. nor any Affiliate has an obligation to disclose to you such Affiliates’ interest or involvement in the sale or purchase of the Property. In all instances, however, CBRE, Inc. and its Affiliates will act in the best interest of their respective client(s), at arms’ length, not in concert, or in a manner detrimental to any third party. CBRE, Inc. and its Affiliates will conduct their respective businesses in a manner consistent with the law and all fiduciary duties owed to their respective client(s).

Your receipt of this Memorandum constitutes your acknowledgement that (i) it is a confidential Memorandum solely for your limited use and benefit in determining whether you desire to express further interest in the acquisition of the Property, (ii) you will hold it in the strictest confidence, (iii) you will not disclose it or its contents to any third party without the prior

written authorization of the owner of the Property (“Owner”) or CBRE, Inc., and (iv) you will not use any part of this Memorandum in any manner detrimental to the Owner or CBRE, Inc.

If after reviewing this Memorandum, you have no further interest in purchasing the Property, kindly return it to CBRE, Inc.

This Memorandum contains select information pertaining to the Property and the Owner, and does not purport to be all-inclusive or contain all or part of the information which prospective investors may require to evaluate a purchase of the Property. The information contained in this Memorandum has been obtained from sources believed to be reliable, but has not been verified for accuracy, completeness, or fitness for any particular purpose. All information is presented “as is” without representation or warranty of any kind. Such information includes estimates based on forward-looking assumptions relating to the general economy, market conditions, competition and other factors which are subject to uncertainty and may not represent the current or future performance of the Property. All references to acreages, square footages, and other measurements are approximations. This Memorandum describes certain documents, including leases and other materials, in summary form. These summaries may not be complete nor accurate descriptions of the full agreements referenced. Additional information and an opportunity to inspect the Property may be made available to qualified prospective purchasers. You are advised to independently verify the accuracy and completeness of all summaries and

information contained herein, to consult with independent legal and financial advisors, and carefully investigate the economics of this transaction and Property’s suitability for your needs. ANY RELIANCE ON THE CONTENT OF THIS MEMORANDUM IS SOLELY AT YOUR OWN RISK.

The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property, and/or to terminate discussions at any time with or without notice to you. All offers, counteroffers, and negotiations shall be non-binding and neither CBRE, Inc. nor the Owner shall have any legal commitment or obligation except as set forth in a fully executed, definitive purchase and sale agreement delivered by the Owner.

© 2018 CBRE, Inc. All Rights Reserved.

offering memorandum walgreens€¦ · rent commencement date: august 2004 lease expiration date:...

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