1

Investment Off ering presented by

Kimi Smith

tel +1 850 433 0577cell +1 850 525 5247fax +1 850 433 5042ksmith@naihalford.com

Investment Offering1301 North Palafox Street Pensacola, Fl. 32501

John Griffi ng SIOR CRE

cell +1 850 450 5126 jgriffi ng@naihalford.com

Perfect for Institutional Investor, TIC Funds, 1031 Buyers

Significant Lease Bumps Bring Tremendous Upside Over Hold Period

Triple A Credit Backed Lease

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The AssetInvestment Opportunity

1301 N. Palafox Street, Pensacola, FL 32501

Property Description:

NAI Halford is pleased to off er to qualifi ed investors the opportunity to acquire a fully leased offi ce/laboratory building, currently occupied by the State of Florida, Department of Law Enforcement.

Th e property being off ered was a former large school building that was completely renovated into an offi ce/laboratory facility for the current tenant, FDLE. Th e renovation program was all encompassing and was specifi cally designed for State utilization. Th e property has been leased to the State of Florida for a period of twenty-fi ve (25) years. Current lease will expire 09/30/2019.

Th e subject site consists of one full block of land located in the City of Pensacola.

Rent roll and property fi nancials will be provided to qualifi ed investors upon request. Interested parties will be required to sign a Confi dentiality Agreement.

Financial Summary:

Net Operating Income: $747,920

3

The AssetInvestment Opportunity

Property Description continued:

This building is a unique facility as to the overall design and construction features. The original structure was completely gutted including the majority of the partition walls, resulting in an exterior shell of the building. With the removal of most of the interior walls, steel was installed for support, as the interior was totally reconfigured for FDLE.

The interior of the building consists of sheetrock walls over metal studs, carpet and vinyl flooring, dropped acoustical ceiling, and has flush solid core wooden doors set in metal framing. The interior ceiling height is approximately 9’ in most areas, although the individual floor heights are slightly over 13’.

The exterior was also totally renovated and the renovation was in keeping with the original appearance of the school. As a result, the exterior is unusual but aesthetically attractive and is in good condition.

The first floor contains 19,355 SF and includes three restrooms, lounge area, and a total of 173 rooms. The second floor contains 16,100 SF SF that includes 40 rooms and two restrooms. The third floor containing 10,500 SF, includes 42 rooms and three restrooms. The total gross area of the building is 45,955 SF.

As the subject building was specifically designed for use by the FDLE, the building has several unusual features including a large double garage area (used for car analysis), firing range, several laboratories, large vault area, a security system, closed circuit television system and other specialty type features. The building has significant interior cabinetry, including storage cabinets, countertops, cases, lab facilities, etc.

The building is centrally heated and air-conditioned and has a wet pipe sprinkler system. It is served by one elevator, plus several interior stairways.

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1301 North Palafox Street

Property Summary

Property Details:

Price: $9,349,000Building Size: 45,955 SFLot Size: 104,980 SF 2.41 AcresProperty Type: Office/Laboratory BuildingProperty Use Type: InvestmentCap Rate: 8%Occupancy: 100%Building Class ATenancy: Single TenantYear Built: 1921Effective Year: 1985Parcel ID #: 000S009010001163Tax Account #: 132454000

Rent roll and property financials will be provided to qualified investors upon request.

Confi dentiality Agreement must be signed and returned by interested party.

52Overview

Address1301 North Palafox Street

Pensacola, FL 32501

Property PID#000S009010001163

Property DescriptionThe State of Florida: Department of Law En-

forcement (FDLE) Building is located at 1301

North Palafox Street in Pensacola, Florida. The

45,955+/- Square Foot facility consists of a

three-story offi ce and crime lab building in the

North Hill preservation district.

The site encompasses the entire block with

Lee Street to the North, N. Palafox Street to

the East, Lloyd Street to the South, and Spring

Street to the West. This is one (1) of only seven

(7) FDLE crime laboratories in the State.

Renovation

The property being offered was a former large

school building that was completely renovated

into an offi ce/lab facility to the detailed specifi -

cations of current tenant, FDLE.

PropertySummary

FOR SALE

$9,349,000NOI: $747,920 8% CAP

PHO

TOS

2 The Building

2.41 AC Parcel

Parcel Dimensions: 401 x 202.20

Commercial Zoning- PR 1AAA

Established landscaping

Topograpghy- Level

Takes an entire City Block

Convenient to all Financial, Legal and Judicial Institutions.

Perimeter of Downtown Business Core

Minutes to Interstate

2 Land Summary

Site Description

Th e subject site consists of one full block of land, located in the City of Pensacola.

Quick access to Judicial and Governmental Institutions.

LOCATIO

N2 Location Information

Attorney General

Judicial Building

Federal Building

2 Executive Summary

Key Highlights:The city of Pensacola is locat-ed in the upper northwesternpanhandle of Florida. Primaryeconomic drivers for Pensacolaare military and tourism. Ourarea is commonly known as the“Cradle of Naval Aviation,” withthe Pensacola Naval Air Station, the National Flight Academy andthe Naval Aviation Museum situ-ated along Pensacola Bay.

Pensacola is home to multiplehospitals and healthcare provid-ers. Sacred Heart Hospital, a 550bed teaching hospital was votedone of the top 5% in the nation, Sacred Hearts Women and Chil-dren’s Hospital, Baptist Hospital, who last year teamed with heMayo Clinic, West Florida Hos-pital, Veterans AdministrationClinic and Naval Hospital.

Pensacola is also home to nu-merous colleges and universi-ties, including the University of West Florida, Troy University,Pensacola State College, andLiberty Bible College. Greater Pensacola has a lowerthan average tax rate and thecost of living is 1.3% lower thanthe national average.

AboutPensacola, FL.

• Class A Building • State Lease Tenant• The building was completely renovated to current

tenant Florida Department of Law Enforcementsspecifi cations

• 100% Occupied• Conveniently located to the Downtown Business Core.

24 West Chase Street Pensacola, FL 32502 Statetel +1 850 433 0577fax +1 850 433 5042www.naihalford.com

Disclaimer

10

Investment Off ering presented by Kimi Smith

tel +1 850 433 0577cell +1 850 525 5247fax +1 850 433 5042

ksmith@naihalford.com

John Griffi ng SIOR CRE

cell +1 850 450 5126 jgriffi ng@naihalford.com

NO WARRANTY OR REPRESENTATION, EXPRESS OR IMPLIED, IS MADE AS TO THE ACCURACY OF THE INFORMATIONCONTAINED HEREIN, AND THE SAME IS SUBMITTED SUBJECT TO ERRORS, OMISSIONS, CHANGE OF PRICE, RENTALOR OTHER CONDITIONS, PRIOR SALE, LEASE OR FINANCING, OR WITHDRAWAL WITHOUT NOTICE, AND OF ANYSPECIAL LISTING CONDITIONS IMPOSED BY OUR PRINCIPALS NO WARRANTIES OR REPRESENTATIONS ARE MADEAS TO THE CONDITION OF THE PROPERTY OR ANY HAZARDS CONTAINED THEREIN ARE ANY TO BE IMPLIED.