NNN Real Estate Investment Offering - unitedeq.netunitedeq.net/UEC_Infineon_OM.pdf · NNN Real...
Transcript of NNN Real Estate Investment Offering - unitedeq.netunitedeq.net/UEC_Infineon_OM.pdf · NNN Real...
NNN Real Estate Investment Offering10+ Year Remaining Base Lease with annual bumps
R SF,
19401 VICTOR PARKWAY, LIVONIA, MI 48152
Offered by:Arnold Kramer, Senior Vice President Steven Kramer, Vice President
United Equities Corp. United Equities Corp.
875 N Michigan Ave, #3100 875 N Michigan Ave, #3100
Chicago, IL 60611 Chicago, IL 60611
Direct: 312-523-7222 Direct: 312-208-0493
Tel: 312-787-2212, Ext 88 Tel: 312-787-2212, Ext 33
Fax: 312-803-9652 Fax: 312-803-9652
Email: [email protected] Email: [email protected]
Infineon Offering Memorandum Page - 2 -
19401 VICTOR PARKWAY, LIVONIA, MI 48152
INFINEON TECHNOLOGIES - INVESTMENT OVERVIEW
United Equities is pleased to offer to qualified principals and their brokering intermediariesthe opportunity to invest in 100% fee simple ownership in the property located at 19401Victor Parkway, Livonia, MI 48152. The 46,297 square foot property is 100% leased toInfineon North America, the US operating unit of Infineon Technologies AG, on a 10-yearand 6-month lease that commenced on December 17th, 2012 and runs to June 30, 2023.
19401 Victor Parkway is designed to the standards of LEED Silver certification. Locatedwithin the commercial corridor of Livonia, MI, the lease boasts a world-class tenant withannual escalations. The property is strategically located to provide mission critical marketaccess to Detroit’s automotive industry, and the property will serve as the North AmericanHeadquarters of Infineon’s Automotive unit, consisting of administrative and sales offices,as well as engineering, research, and development laboratories. Infineon is the world’ssecond largest supplier of semiconductors to the automotive industry.
Infineon Technologies is one of the world’s leading producers of semiconductors andsystem solutions. Infineon Technologies focuses on the three central challenges facingmodern society: Energy Efficiency, Mobility and Security and offers semiconductors andsystem solutions for automotive and industrial electronics and chip card and securityapplications. Infineon operates in 4 basic segments described as: Automotive, IndustrialPower Control, Power Management & Multimarket, and Chip Card & Security. In thefiscal year ending September 30, 2012, Infineon Technologies AG reported €3.9 Billion inrevenues. Infineon is listed on the Frankfurt Stock Exchange (ticker symbol: IFX) and inthe USA OTC market under ticker symbol (IFNNY). Infineon Technologies employs closeto 26,000 people worldwide.
19401 Victor Parkway offers an investor long-term, stable and NNN passive incomethrough a well-positioned tenant in an essential location.
Broker participation is invited.
Infineon Offering Memorandum Page - 3 -
LEASE SUMMARY & OWNERSHIP OFFERING
SITE DESCRIPTION
Number of Stories 2
Year Built 2012
Rentable Square Feet 46,297
Lot Size 4 Acres
Type of Ownership Fee Simple
Parking 232 Cars
Landscaping Decorative
Topography Level
LEED SILVER CERTIFICATION PENDING
CONSTRUCTION
Foundation Concrete Slab
Structural Framing Steel
Exterior Masonry, Steel, and Glass
Parking Surface Asphalt
Roof Flat
100% Ownership:Price: $11,069,536
Entry Rent: $787,044Average AnnualRent: $886,259
Average Cap Rate: 8.01%
Entry Cap Rate: 7.11%
Year 10 Cap Rate: 8.99%
LEASEProperty Type: STNL
Lease Type: NNN
Taxes: Tenant Pays Direct
Insurance: Tenant Pays Direct
Management: Tenant Pays Direct
Maintenance: Tenant Pays LL
$ per Square Foot $239.10RentCommencement: 12/17/2012
Base Lease Expiry 6/30/2023
Lease Term: 10.5 years
Options (3) 5-year options
Infineon Offering Memorandum Page - 4 -
FINANCIAL SUMMARY of LEASE
Square Feet46,297
Rental Rate byCalendar Year Period
Annual LeaseRate:Rent ($) Per SF
Monthy BaseRental Rate
Rent From Period
AnnualizedCap Rate (%)
Jan 1, 2013 - Dec 31, 2013 $17.00 $ 65,587.00 $787,044 7.11%
Jan 1, 2014 - Dec 31, 2014 $17.25 $ 67,516.00 $798,618 7.21%
Jan 1, 2015 - Dec 31, 2015 $17.75 $ 69,446.00 $821,772 7.42%
Jan 1, 2016 - Dec 31, 2016 $18.25 $ 71,375.00 $844,926 7.63%
Jan 1, 2017 - Dec 31, 2017 $18.75 $ 73,304.00 $868,074 7.84%
Jan 1, 2018 - Dec 31, 2018 $19.25 $ 75,233.00 $891,222 8.05%
Jan 1, 2019 - Dec 31, 2019 $19.75 $ 77,162.00 $914,370 8.26%
Jan 1, 2020 - Dec 31, 2020 $20.25 $ 79,091.00 $937,518 8.47%
Jan 1, 2021 - Dec 31, 2021 $20.75 $ 81,020.00 $960,666 8.68%
Jan 1, 2022 - Dec 31, 2022 $21.25 $ 82,949.00 $983,814 8.89%
Jan 1, 2023 - Jun 30, 2023 $21.75 $ 82,949.00 $497,694 8.99%
Total
$ 9,305,718.00
Square Feet46,297
Rental Rate by“Lease Year” Period
Lease Rate:Annual Rent($) Per SF
Monthy BaseRental Rate
Rent From Period
AnnualizedCap Rate (%)
Jan 1, 2013 - June 30, 2013 $17.00 $ 65,587.00 $393,522 7.11%
July 1, 2013 - June 30, 2014 $17.00 $ 65,587.00 $787,044 7.11%
July 1, 2014 - June 30, 2015 $17.50 $ 67,516.00 $810,192 7.32%
July 1, 2015 - June 30, 2016 $18.00 $ 69,446.00 $833,352 7.53%
July 1, 2016 - June 30, 2017 $18.50 $ 71,375.00 $856,500 7.74%
July 1, 2017 - June 30, 2018 $19.00 $ 73,304.00 $879,648 7.95%
July 1, 2018 - June 30, 2019 $19.50 $ 75,233.00 $902,796 8.16%
July 1, 2019 - June 30, 2020 $20.00 $ 77,162.00 $925,944 8.36%
July 1, 2020 - June 30, 2021 $20.50 $ 79,091.00 $949,092 8.57%
July 1, 2021 - June 30, 2022 $21.00 $ 81,020.00 $972,240 8.78%
July 1, 2022 - June 30, 2023 $21.50 $ 82,949.00 $995,388 8.99%
Total
$9,305,718
Infineon Offering Memorandum Page - 5 -
FINANCIAL SUMMARY of LEASE (continued)
Square Feet
46,297Option
#Rental Rate by "Bump"
Schedule per Option Period
LeaseRate:AnnualRent($) PerSF
MonthyBase
RentalRate Rent From
Period
Annualized CapRate (%)
1 July 1, 2023 - June 30, 2024 $22.14 $ 85,437 $1,025,244 9.26%
1 July 1, 2024 - June 30, 2025 $22.81 $ 88,000 $1,056,000 9.54%
1 July 1, 2025 - June 30, 2026 $23.49 $ 90,640 $1,087,680 9.83%
1 July 1, 2026 - June 30, 2027 $24.20 $ 93,360 $1,120,320 10.12%
1 July 1, 2027 - June 30, 2028 $24.92 $ 96,160 $1,153,920 10.42%
Square Feet
46,297Option
#Rental Rate by "Bump"
Schedule per Option Period
LeaseRate:AnnualRent($) PerSF
MonthyBase
RentalRate Rent From
Period
Annualized CapRate (%)
2 July 1, 2028 - June 30, 2029 $25.67 $ 99,045 $1,188,540 10.74%
2 July 1, 2029 - June 30, 2030 $26.44 $ 102,017 $1,224,204 11.06%
2 July 1, 2030 - June 30, 2031 $27.24 $ 105,077 $1,260,924 11.39%
2 July 1, 2031 - June 30, 2032 $28.05 $ 108,229 $1,298,748 11.73%
2 July 1, 2032 - June 30, 2033 $28.89 $ 111,476 $1,337,712 12.08%
Square Feet
46,297Option
#Rental Rate by "Bump"
Schedule per Option Period
LeaseRate:AnnualRent($) PerSF
MonthyBase
RentalRate Rent From
Period
Annualized CapRate (%)
3 July 1, 2033 - June 30, 2034 $29.76 $ 114,821 $1,377,852 12.45%
3 July 1, 2034 - June 30, 2035 $30.65 $ 118,265 $1,419,180 12.82%
3 July 1, 2035 - June 30, 2036 $31.57 $ 121,813 $1,461,756 13.21%
3 July 1, 2036 - June 30, 2037 $32.52 $ 125,467 $1,505,604 13.60%
3 July 1, 2037 - June 30, 2038 $33.50 $ 129,232 $1,550,784 14.01%
Infineon Offering Memorandum Page - 6 -
INFINEON TECHNOLOGIES FINANCIAL PROFILE
Infineon Offering Memorandum Page - 7 -
DEMOGRAPHICS and AREA DESCRIPTION1-mile Demographic Summary:
3-mile Demographic Summary:
5-mile Demographic Summary:
Infineon Offering Memorandum Page - 8 -
Infineon Offering Memorandum Page - 9 -
Offered by:
Arnold Kramer, Senior Vice President Steven Kramer, Vice President
United Equities Corp. United Equities Corp.
875 N Michigan Ave, #3100 875 N Michigan Ave, #3100
Chicago, IL 60611 Chicago, IL 60611
Direct: 312-523-7222 Direct: 312-208-0493
Tel: 312-787-2212, Ext 88 Tel: 312-787-2212, Ext 33
Fax: 312-803-9652 Fax: 312-803-9652
Email: [email protected] Email:[email protected]