Office Investment Sales

INVESTMENT SUMMARY PACKAGE FOR:
30500 Bruce Industrial Parkway
Solon, Ohio 44139
Submitted By:
Bob Garber, SIOR
Principal
216.525.1467 Office
216.390.9684 Cell
Matthew Beesley, SIOR
Principal
216.525.1466 Office
216.387.3775 Cell
3 Summit Park Drive, Suite 200 • Cleveland, Ohio 44131 • 216-520-1200
CONFIDENTIALITY AGREEMENT
The following “Investment Property Information” is being supplied to the Prospective Investor
on a confidential basis and pursuant to the Confidentiality Agreement which was supplied and
executed prior to submission of the enclosed information.
CONFIDENTIALITY AGREEMENT
This Confidentiality Agreement (this “Agreement”) is made and entered into this ___ day
of ___________, 20__ by and between Bruce Industrial Associates, LLC (“Seller”) and ______
__________________________________________ (“Purchaser”).
W I T N E S S E T H:
WHEREAS, Seller desires to consider a business arrangement or transaction; and
WHEREAS, Purchaser requires certain confidential information concerning Seller for
the purpose of evaluating such business arrangement or transaction; and
WHEREAS, Seller is agreeable to supplying certain information to Purchaser subject to
the terms and conditions hereof.
NOW,THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, it is agreed as follows:
Purchaser shall hold in confidence, unless compelled to disclose by judicial order or by other
requirements of law, all information received from Seller in connection with the proposed transaction,
except to the extent such information can be shown to have been (a) previously known on a nonconfidential basis by Purchaser, (b) developed independently by Purchaser, (c) in the public domain
through no fault of Purchaser, or (d) later lawfully acquired by Purchaser from sources other than Seller;
provided that Purchaser may disclose such information to its directors, officers, employees, accountants,
legal counsel, and agents in connection with the proposed transaction, so long as such persons are
informed by Purchaser of the confidential nature of such information and are directed to treat such
information confidentially. In this regard, Purchaser shall limit distribution of such information solely to
those persons who, in Purchaser’s sole discretion, must be involved in the analysis of the transaction. If
the transaction is not consummated, Purchaser agrees that it will, at the direction of Seller, either return
such information to Seller or destroy the same. Purchaser further agrees that it will, at the direction of
Seller, permanently delete all computer files and destroy such analyses, compilations, studies or
documents prepared by Purchaser, which contain or otherwise reflect such information.
Purchaser acknowledges and agrees that Seller would suffer irreparable loss and damage if
Purchaser should breach or violate any of the provisions contained in this Agreement. Purchaser
further acknowledges and agrees that each of the terms contained herein is reasonably
necessary to protect and preserve the business and the assets of Seller. Purchaser therefore
agrees and consents that in addition to any other remedies available to Seller shall be entitled to
injunctive relief to remedy a breach or contemplated breach by Purchaser of any of the terms of
this Agreement.
This Agreement shall be and is for the express benefit of Seller and any successors and assigns
thereto.
Confidentiality Agreement
Page 2
Purchaser acknowledges that Owner nor Broker make, nor have either of them made, any
representation or warranty to you as the accuracy or completeness of the Property Evaluation Materials.
You agree that Owner and Broker will not have any liability as a result of your use of the Evaluation
Material and that you will perform your own studies and are responsible for such due diligence
investigations and inspections of the Property, including investigation of any environmental conditions, on
which you intend to rely and as you deem necessary or desirable to make your investment decision.
1)The provisions of this Agreement are severable and if any one or more provisions may be
determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions to
the extent enforceable shall nevertheless be binding and enforceable.
2)The waiver by one party of a breach of any provision of this Agreement by the other party shall
not operate or be construed as a waiver of any subsequent breach of the same or any other
provision by the other party.
3)This Agreement shall be governed by and construed in accordance with the laws of the State of
Ohio.
IN WITNESS WHEREOF, the parties have executed this Confidentiality Agreement the day and
year first above written.
BRUCE INDUSTRIAL ASSOCIATES, LLC
By: _________________________________
(Name)
By: __________________________________
(Name)
Its: _________________________________
(Title)
Its: __________________________________
(Title)
TABLE OF CONTENTS
1.
Executive Summary
2.
Property Description
3.
Financial Information
4.
Market Overview
5.
General Tenant Description
6.
Auditor Information
7.
Solon:
Zoning Information
City Information
8.
Offering Procedure
SECTION 1 – EXECUTIVE SUMMARY
EXECUTIVE SUMMARY
PROPERTY OVERVIEW
On behalf of the Owner, CRESCO Real Estate is offering for sale 30500
Bruce Industrial Parkway in Solon, Ohio. This 152,250 square foot facility
on 20.73 acres is located in the premier industrial submarket in Greater
Cleveland. The building has been substantially renovated over the past
five (5) years.
PROPERTY HIGHLIGHTS
Address:
MSA:
Year Built:
Total SF:
Available SF:
Acreage:
30500 Bruce Industrial Pkwy.
Cleveland
1985/1996
152,250
None
20.73 Acres
Number of Tenants:
Ceiling Height:
Sprinkler System:
Docks:
Drive-Ins:
Parking:
2
17’
Wet
11
2
450 Cars
CLEVELAND/SOLON
MARKET HIGHLIGHTS
• The Solon industrial market is regarded as the premier submarket in Greater Cleveland.
• Northern Ohio is the 15th largest metro market in the United States.
• Over 110,000 firms make up northeast Ohio’s diverse industrial base.
• Aggressive City, County and State Incentive Programs.
• Located midway between New York and Chicago, Cleveland is in the center of America’s
largest concentration of industrial and consumer goods.
• Logistics Today ranks the region 4th in the United States in logistics infrastructure.
• The industrial vacancy rate is under 8%.
• Northeast Ohio has always been, and continues to be, a great business environment.
• With its convenient, central location; a rich 150 year history of innovation and production;
a diverse workforce of over 2 million; its world class transportation infrastructure; and
high quality of life, the region continues to attract a large number of internationally
competitive companies and industries.
EXECUTIVE SUMMARY – PAGE 2
CONSOLIDATED FINANCIAL
HIGHLIGHTS
Projected NOI (2013):
$683,411
Total Square Feet:
152,250
Current Occupancy:
100%
Asking Sale Price:
$7,350,000
CAP Rate:
9.3%
INVESTMENT OFFERING
30500 Bruce Industrial Parkway • Solon, Ohio 44139
•
•
•
•
•
•
•
•
•
•
N
Current Two (2) Tenant Property
100% Occupancy Rate
152,250 Total Square Feet on 20.73 Acres
Additional Land for Expansion or Sale
All Masonry Construction (1985-1996)
Abundant Parking - 450 Cars
Docks and Drive-Ins
High End Facility Accommodating Uses For
Office, Manufacturing and Warehouse
Located in one of Cleveland’s Most Affluent
and Stable Suburbs
Excellent Freeway Access
2013 Projected NOI: $683,411
Asking Sale Price: $7,350,000
Cap Rate: 9.3%
For a complete Investment Summary Package,
please call at your earliest convenience.
Bob Garber, SIOR
Principal
216.525.1467
bgarber@crescorealestate.com
Matthew E. Beesley, SIOR
Principal
216.525.1466
mbeesley@crescorealestate.com
Information herein is not guaranteed. It is obtained from reliable sources, but is
subject to errors, omissions, changes and withdrawal without notice.
3 Summit Park Drive, Suite 200 • Cleveland, Ohio 44131 • 216-520-1200
30500 BRUCE INDUSTRIAL PARKWAY
SOLON, OHIO 44139
Highlighted area reflects approximate parcel
30500 BRUCE INDUSTRIAL PARKWAY
SOLON, OHIO 44139
Highlighted area reflects approximate parcel
SAMPLE PHOTOS OF
DATAVANTAGE/MICROS
ENTRANCE AND LOBBY AREA
HALLWAY/PRODUCT DISPLAY
SAMPLE PHOTOS OF
DATAVANTAGE/MICROS
PRIVATE AND OPEN OFFICE AREA
SAMPLE PHOTOS OF
DATAVANTAGE/MICROS
LUNCH ROOM AND BREAK AREA
WAREHOUSE AREA
SAMPLE PHOTOS OF EUCLID
UNIVERSAL/IMPERIAL ELECTRIC COMPANY
OPEN AREA
OFFICE AREA
SAMPLE PHOTOS OF EUCLID
UNIVERSAL/IMPERIAL ELECTRIC COMPANY
WORK SHOP AREA
SAMPLE PHOTOS OF EUCLID
UNIVERSAL/IMPERIAL ELECTRIC COMPANY
WORK SHOP AREA
DELIVERY DOCK
SECTION 2 – PROPERTY DESCRIPTION
PROPERTY DESCRIPTION
Address:
30500 Bruce Industrial Parkway
Solon, Ohio 44139
Property Type:
Office / Warehouse / Manufacturing
Zoning:
I-2 Industrial Manufacturing
Gross Building Size:
152,250 square feet
Acreage:
20.73 acres*
Year Built:
1985/1996
Parking Spaces:
±450
Sprinklered:
Wet system (100%)
Ceiling Height:
17’
Roof:
EPDM
Construction Type:
Brick/Block
Docks:
Eleven (11)
Drive-Ins:
Two (2)
* There are approximately 3.9 acres of this parcel that are not being utilized for the current
building or parking and is separately platted.
The information contained herein is not guaranteed.
reliable sources, it is subject to errors and/or omissions.
Although obtained from
30500 Bruce Industrial Parkway
Solon, Ohio 44139
3 Summit Park Drive • Suite 200 • Cleveland, Ohio 44131
216.520.1200 • Fax: 216.520.1828 • www.crescorealestate.com
Information herein is not guaranteed. It is obtained from reliable sources
but is subject to errors, omissions, changes and withdrawal without notice
SECTION 3 – FINANCIAL INFORMATION
30500 BRUCE INDUSTRIAL PARKWAY
2013 BUDGET
RECEIPTS
BUDGET
BASE COMMERCIAL RENT
TENANT REIMBURSEMENTS:
INSURANCE
COMMON AREA MAINTENANCE
REAL ESTATE TAXES
UTILITIES
OTHER BILLED INCOME
TOTAL CASH RECEIPTS
$691,106
$10,014
$160,088
$144,875
$4,080
$$1,010,163
EXPENSES
OPERATING EXPENSES:
UTILITIES
ELECTRIC
WATER/SEWER
GAS
CONTRACT SERVICES:
SECURITY
BUILDING STAFF
OTHER CONTRACT SERVICES
MATERIALS AND SUPPLIES
REPAIRS
TOTAL OPERATING EXPENSES
$7,214
$9,660
$459
$370
$12,480
$44,913
$1,800
$34,500
$111,396
ADMINISTRATIVE EXPENSES
MANAGEMENT
OTHER ADMINISTRATIVE
TOTAL ADMINISTRATIVE EXPENSES
$36,000
$3,600
$39,600
TOTAL OPER. & ADMIN. EXP'S
$150,996
REAL ESTATE TAXES & INSURANCE
REAL ESTATE TAXES
INSURANCE
TOTAL R.E. TAXES AND INSURANCE
$165,742
$10,014
$175,756
TOTAL OPER., ADMIN., R.E. & INS.
$326,752
INCOME FROM OPERATIONS
$683,411
The information contained herein is not guaranteed. Although obtained from reliable sources, it is subject to errors and/or omissions.
30500 BRUCE INDUSTRIAL PARKWAY
2012 ACTUALS
RECEIPTS
BUDGET
BASE COMMERCIAL RENT
TENANT REIMBURSEMENTS:
INSURANCE
COMMON AREA MAINTENANCE
REAL ESTATE TAXES
UTILITIES
OTHER BILLED INCOME
TOTAL CASH RECEIPTS
$688,511
$9,592
$159,494
$147,461
$4,742
$ 2,097
$1,011,897
EXPENSES
OPERATING EXPENSES:
UTILITIES
ELECTRIC
WATER/SEWER
GAS
CONTRACT SERVICES:
SECURITY
BUILDING STAFF
OTHER CONTRACT SERVICES
MATERIALS AND SUPPLIES
REPAIRS
TOTAL OPERATING EXPENSES
$8,246
$5,085
$ 421
$181
$13,816
$24,071
$1,662
$51,229
$104,711
ADMINISTRATIVE EXPENSES
MANAGEMENT
OTHER ADMINISTRATIVE
TOTAL ADMINISTRATIVE EXPENSES
$36,000
$3,600
$39,600
TOTAL OPER. & ADMIN. EXP'S
$144,311
REAL ESTATE TAXES & INSURANCE
REAL ESTATE TAXES
INSURANCE
TOTAL R.E. TAXES AND INSURANCE
$162,492
$11,220
$173,712
TOTAL OPER., ADMIN., R.E. & INS.
$318,023
INCOME FROM OPERATIONS
$693,874
The information contained herein is not guaranteed. Although obtained from reliable sources, it is subject to errors and/or omissions.
The information contained herein is not guaranteed. Although obtained from reliable sources, it is subject to errors and/or omissions.
Rent roll is for illustrative purposes only as a point-in-time analysis.
* See comment notes.
30500 Bruce Industrial Parkway
Solon, Ohio 44139
3 Summit Park Drive • Suite 200 • Cleveland, Ohio 44131
216.520.1200 • Fax: 216.520.1828 • www.crescorealestate.com
Information herein is not guaranteed. It is obtained from reliable sources
but is subject to errors, omissions, changes and withdrawal without notice
MORTGAGE INFORMATION
It is the Seller’s desire to have a new Buyer assume the existing first mortgage loan at 30500
Bruce Industrial Parkway.
The property has a current loan through Prudential Mortgage Capital Company LLC with an
existing loan balance of approximately $4,043,244.00 as of August, 2013.
The terms and conditions to the loan are as follows:
Loan Term:
Ten (10) years commencing on July 1, 2004
Amortization
Schedule:
27.5 years (Due 8/1/2014)
Interest Rate:
5.95% (fixed)
Constant:
7.396%
Assumption Fee:
1% assumption fee and reimbursement of
Lender’s out-of-pocket costs to be paid for by the
Buyer.
Loan documents to be furnished upon request.
SECTION 4 – MARKET OVERVIEW
INSERT MARKETBEAT AND COSTAR INDUSTRIAL REPORT
SECTION 5 – GENERAL TENANT DESCRIPTION
SECTION 6 – AUDITOR INFORMATION
SECTION 7 – ZONING AND CITY INFORMATION
SECTION 8 – OFFERING PROCEDURE
OFFERING PROCEDURE
OFFERING
PROCEDURE:
CONTACT
INFORMATION:
Offers can be faxed, mailed or E-mailed, to the attention of Bob
Garber or Matt Beesley at the address below. Ownership will provide
updates through their broker on the final due date for offers, as well as
any changes or updates to the information on the offering or on the
status of the property. Building tours can be coordinated by
contacting either Bob Garber or Matt Beesley. Additional due
diligence and other materials are available upon request.
Bob Garber, SIOR
Principal
3 Summit Park Drive
Suite 200
Cleveland, Ohio 44131
T: (216)525.1467
F: (216) 520.1828
bgarber@crescorealestate.com
Matthew E. Beesley, SIOR
Principal
3 Summit Park Drive
Suite 200
Cleveland, Ohio 44131
T: (216)525.1466
F: (216) 520.1828
mbeesley@crescorealestate.com