GSA LEASED INVESTMENT...FORT MYERS, FL 33916 Jerry Messonnier, SIOR Principal 239.210.7610...

Confidential Offering Memorandum

4220 EXECUTIVE CIRCLE

FORT MYERS, FL 33916

Jerry Messonnier, SIORPrincipal

[email protected]

PrincipalBob Johnston, SIOR

[email protected]

Derek Bornhorst, SIOR, CCIMPrincipal

[email protected]

All information furnished regarding property for sale, rental or financing is from sources deemed reliable, but no warranty or representation is made to the accuracy thereof and same is subject to errors, omissions, change of price, or other conditions prior to sale, lease or financing or withdrawal without notice. No liability of any kind is to be imposed on the broker herein.

6300 Techster Boulevard, Suite 1 | Fort Myers, Florida 33966 | Lee-FL.com

GSA LEASED INVESTMENTU.S. CITIZENSHIP & IMMIGRATION SERVICES

https://lee-fl.com

PrincipalBob Johnston, SIOR

[email protected]

PrincipalDerek Bornhorst, SIOR, CCIM

[email protected]

PrincipalJerry Messonnier, SIOR

[email protected]

Lee & Associates | Naples - Ft. Myers, LLC6300 Techster Boulevard, Suite 1

Fort Myers, Florida 33966www.Lee-FL.com

All information furnished regarding property for sale, rental or financing is from sources deemed reliable, but no warranty or representation is made to the accuracy thereof and same is subject to errors, omissions, change of price, or other conditions prior to sale, lease or financing or withdrawal without notice. No liability of any kind is to be imposed on

the broker herein.

THIS OFFER PRESENTED BY:

GSA LEASED INVESTMENTU.S. CITIZENSHIP &U.S. CITIZENSHIP &

IMMIGRATION SERVICESIMMIGRATION SERVICES4220 EXECUTIVE CIRCLE


Condo Units NOT Included in Sale

FUTUREATTORNEY’S

OFFICE

FUTUREPOTENTIALEXPANSION

Condo Units Included in Sale

NN

17,690 SF OFFICE CONDOFOR SALE

$5,950,0004220 Executive CircleFort Myers, FL 33916

GSA LEASED INVESTMENT SALE

1, 3, 5

, 7, 6

6, 68, 7

0, 72

* Initial operating cost of $108, 086 adjusted annually to % change in cost of living index (CPI-W)

CONDOSUIT

ES

SOLD




OPERATING COST ADJUSTMENT

Beginning with the second year of the Lease and each year thereafter, the Government shall pay annual incremental adjusted rent for changes in costs for cleaning services, supplies, materials, maintenance, trash removal, landscaping, water, sewer charges, heating, electricity, and certain administrative expenses attributable to occupancy.

The amount of adjustment will be determined by multiplying the base rate by the annual percent of change in the Cost of Living Index. The percent change will be computed by comparing the index figure published for the month prior to the Lease Term Commencement Date with the index figure published for the month prior to the Lease Term Commencement Date with the index figure published for the month prior which begins each successive 12-month period. For example, a Lease which commences in June of 2005 would use the index published for May of 2005, and that figure would be compared with the index published for May of 2006, May of 2007, and so on, to determine the percent change. The Cost of Living Index will be measured by the Department of Labor revised Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), U.S. city average, all items, (1982 to 1984 = 100) published by the Bureau of Labor Statistics. Payment will be made with the monthly installment of fixed rent. Rental adjustments will be effective on the anniversary date of the Lease; however, payment of the adjusted rental rate will become due on the first workday of the second month following the publication of the Cost of Living Index for the month prior to the commencement of each 12-month period.

In the event of any decreases in the Cost of Living Index occurring during the term of the occupancy under the Lease, the rental amount will be reduced accordingly. The amount of such reduction swill be determined in the same manner as increases in rent provided under this paragraph.

If the Government exercises and option to extend the Lease term at the same rate as that of the original term, the option price will be based on the adjustment during the original term. Annual adjustments will continue.

LEASE COMMENCEMENT: August 5, 2015

SOURCE: Current Lease

OPERATING EXPENSE ADJUSTMENT BASED ON % CHANGE IN CONSUMER PRICE INDEX (CPI-W)

* July 2019 Not Announced Yet - June 2019 Index is 249.747

SOURCE: https://www.ssa.gov/oact/STATS/cpiw.html

OFFERING PRICE$5,950,000

CAP RATE7.06%

EXECUTIVE SUMMARY

Tenant: U.S. General Services Administration (GSA)Agency: U.S. Citizenship and Immigration ServicesUse: Processing Applications and Location for Performing Allegiance CeremoniesCredit: S&P - AA+Interest: Office CondominiumSuites: 1, 3, 5, 7, 66, 68, 70, 72Parking Allocation: 68 SpacesYear Built (shell): 2008Tenant Improvements (GSA): 2015Leased Property: 17,690 SF within a 63,690 SF Multi-Tenant Office Condo BuildingLease Structure: Modified GrossCommencement Date: August 5, 2015Expiration Date: August 4, 2030Lease Term: 15 YearsFirm Term: 10 YearsNon-Firm Term: 5 YearsCurrent Annual Rent: $539,905NOI: $420,345


IMMIGRATION SERVICESIMMIGRATION SERVICES4220 EXECUTIVE CIRCLEFORT MYERS, FL 33916

LEASE ABSTRACT

U.S. General Services Administration (GSA)

U.S. Citizenship and Immigration Services (USCIS)

GS-04P-LFL60274

Processing Applications and Location for Performing

Allegiance Ceremonies

Lee County

S&P: AA+

Modified Gross

Tenant Pays Actual Adjustment to the

Base Year Tax Annually

Tenant Pays CPI-Based Adjustment the Base

Operating Expense Annually

August 5, 2015

August 4, 2030

15 Years

10 Years

6.5 Years

5 Years

11.5 Years

63,960

17,690

28%

Tenant:

Agency:

Lease Number:

Use:

Areas of Responsibility:

Credit:

Lease Structure:

Taxes:

Operating Expenses:

Commencement:

Expiration:

Lease Term:

Firm Term:

Firm Term Remaining:

Non-Firm Term:

Total Term Remaining:

Total Building SF:

SF Leased:

% of Total Building:



2018 OPERATING STATEMENT

$305,210

$89,790

$113,795

$31,110

$539,905

Shell Rent:

Tenant Improvements Rent:

Operating Costs - 2018:

Building Specific Amorized Capital:

Total Annual Rent

$34,996

$26,186

$13,327

$8,500

$13,512

$10,655

$6,675

$113,851

$420,345

Utilities:

Janitorial:

Property Taxes:

Management Fees:

Maintenance & Repairs:

Landscaping & Misc:

Insurance:

Total Expenses

NOI:

EXPENSES

GSA LEASED INVESTMENT

U.S. CITIZENSHIP &U.S. CITIZENSHIP &IMMIGRATION SERVICESIMMIGRATION SERVICES

4220 EXECUTIVE CIRCLEFORT MYERS, FL 33916

WHY INVEST IN A GSA LEASED PROPERTY?

For net lease investors in particular, this is a key question as cap rates have dropped on core assets. To generate additional yield, some investors are moving from vanilla single-tenant office, retail and industrial deals and exploring government assets as a potentially lucrative investment opportunity.

Most government building trade at below 6 percent cap rate and the highest-quality net lease deals trade at a 5 percent cap rate.

Advantages Challenges

Strong Credit Tenancy Full Service Gross Lease Structure

High Lease Renewal Rate Early Termination Rights

Specialized Facilities Lack of Product

Higher Returns Lengthy Lease Renewal Process

Consolidation / Downsizing

Secondary / Tertiary Locations

SOURCES:https://www.nreionline.com/net-lease/making-money-uncle-sams-space

https://www.capitolmarkets.com/investment/gsa-leased-properties-why-invest/




INFO ABOUT U.S. CITIZENSHIP AND IMMIGRATION SERVICES

U.S. Citizenship and Immigration Services administers the nation’s immigration system, safeguarding its integrity and promise by efficiently and fairly adjudicating requests for immigration benefits while protecting Americans, securing the homeland, and honoring our values.

U.S. Citizenship and Immigration Services is the government agency that oversees lawful immigration to the United States. We are 19,000 government employees and contractors working at more than 200 offices across the world.

On March 1, 2003, U.S. Citizenship and Immigration Services assumed responsibility for the immigration service functions of the federal government. The Homeland Security Act of 2002 (Pub. L. No. 107–296, 116 Stat. 2135) dismantled the Immigration and Naturalization Service (INS) and separated the agency into three components within the Department of Homeland Security (DHS).

The Homeland Security Act created U.S. Citizenship and Immigration Services to enhance the security and efficiency of national immigration services by focusing exclusively on the administration of benefit applications. The law also formed Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP) to oversee immigration enforcement and border security.

U.S. Citizenship and Immigration Services benefits from a legacy of more than 100 years of federal immigration and naturalization administration. The U.S. Citizenship and Immigration Services History Office website provides information about our agency’s history, presents research from the Office’s historians, and makes selected historical documents available electronically.

SOURCE: https://www.uscis.gov/aboutus




WHY IMMIGRATION DID NOT SHUT DOWN DURING MOST RECENT GOVERNMENT SHUTDOWN

While a partial government shutdown is bound to cause serious disruption across the nine federal departments and many other agencies affected, the immigration system carries on more or less as usual. The reasoning behind this is that most immigration-related agencies are funded directly by user fees, and don’t depend on Congress (or taxpayers) for their budget.

U.S. Citizenship and Immigration Services (USCIS)

USCIS made clear in its official statement that the shutdown “does not affect USCIS’s fee-funded activities. Our offices will remain open, and all individuals should attend interviews and appointments as scheduled. Common forms will continue to be processed by USCIS officials.”

SOURCE: https://www.boundless.com/blog/latest-government-shutdown-wont-disrupt-immigration-system/




TampaTampa

Sarasota

Miami

Port St LucieSarasota

Naples

Miami

Port St Lucie

Fort MyersFort Myers

NN

SUBJECTSUBJECT

Calo

osah

atch

ee R

iver

Calo

osah

atch

ee R

iver

SUBJECTSUBJECT

Colonial BlvdColonial Blvd

Metro Pkw

yM

etro Pkwy

Vero

nica

S S

hoem

aker

Blv

d

Vero

nica

S S

hoem

aker

Blv

d

Winkler AveWinkler Ave

Ford StFord St

Ex ecut ive Cir

Ex ecut ive Cir

N

SUBJECTSUBJECT

Ford StFord St

Plaza Dr

Plaza Dr

Executive CirExecutive Cir

N


VACANT



Ford StFord StNN

17,690 SF OFFICE CONDO FOR SALE$5,950,000

4220 Executive Circle, Fort Myers, FL 33916


Brand new 15-year Lease executed in 2019. Interior improvements to be completein early 2020.

CONDO

SUIT

ES1,

3, 5

, 7, 6

6, 6

8, 7

0, 7

2

SOLD

EXTERIOR PHOTOS




INTERIOR PHOTOS




Colonial Business Center

Colonial Business Center is located one block North of Colonial Boulevard. This central location provides easy access to US 41, Metro Parkway, Colonial Boulevard, and Interstate 75.

Property Owner Executive Circle Business Center, LLCProperty Address 4220 Executive Circle, Fort Myers, FL 33916 Building Area 63,960 square feetLand Area 5.44± acresZoning IL (Light Industrial)Year Built 2008Total Parking 188± spacesConstruction Concrete Tilt-UpClear Height Clear Span Building with 18’ to 20‘ Eave Heights

The subject property is a 17,690 square foot office condo within the Colonial Business Center, a 63,960 square foot flex-office condominium project located in Fort Myers, Florida.



SUBJECTSUBJECT

Ford StFord St

Plaza Dr

Plaza Dr

Executive CirExecutive Cir

N

Colonial Business CenterColonial Business Center

CONFIDENTIAL MEMORANDUM AND DISCLAIMER

Lee & Associates | Naples - Ft. Myers (“Agent”) has been engaged as exclusive agent for the sale of 4220 Executive Circle, Suites 1, 3, 5, 7, 66, 68, 70, & 72, Fort Myers, Florida (the “Property”), by Executive Circle Business Center, LLC (“Seller”). The Property is being offered for sale in an “as-is, where-is” condition and Seller and Agent make no representations or warranties as to the accuracies of the information contained in this Offering Memorandum. The enclosed materials include highly confidential information and are being furnished solely for the purpose of review by prospective purchasers of the interest described herein. Neither the enclosed materials nor any information contained herein is to be used for any other purpose or made available to any other person without the express written consent of the Seller. Seller reserves the right, at its sole and absolute discretion, to withdraw the Property from being marketed for sale at any time and for any reason. Seller and Agent each expressly reserves the right, at their sole and absolute discretion, to reject any and all expressions of interest or offers regarding the Property and/or to terminate discussions with any entity at any time, with or without notice. This offering is made subject to omissions, correction of errors, change of price or other terms, prior sale or withdrawal from the market without notice. Agent is not authorized to make any representations or agreements on behalf of Seller. Seller shall have no legal commitment or obligation to any interested party reviewing the enclosed materials, performing additional investigation and/or making an offer to purchase the Property unless and until a binding written agreement for the purchase of the Property has been fully executed, delivered, and approved by Seller and any conditions to Seller’s obligations thereunder have been satisfied or waived.


VACANT



Ford StFord StNN

17,690 SF OFFICE CONDO FOR SALE$5,950,000

4220 Executive Circle, Fort Myers, FL 33916


Brand new 15-year Lease executed in 2019. Interior improvements to be completein early 2020.

CONDO

SUIT

ES1,

3, 5

, 7, 6

6, 6

8, 7

0, 7

2

SOLD

Pensacola

TallahasseeJacksonville

Orlando

Tampa

Fort Myers

MiamiNaples



Thank you for reviewing!

? ? Questions ? ?

Please contact Jerry Messonnier, SIOR:

(239) 210-7610or

[email protected]

GSA LEASED INVESTMENT...FORT MYERS, FL 33916 Jerry Messonnier, SIOR Principal 239.210.7610...

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Transcript of GSA LEASED INVESTMENT...FORT MYERS, FL 33916 Jerry Messonnier, SIOR Principal 239.210.7610...