Walgreens - Sapulpa, OK

SAPULPA, OK

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WALGREENS

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. © 2015 Vitorino Group

PRICING & FINANCIAL ANALYSIS

Offering Summary

Price $4,085,000

Cap Rate 5.75%

Net Operating Income $235,000

Year Built 2002

Gross Leasable Area 15,000 SF

Lot Size 1.77 Acres

LeaSe Summary

Lease Term 15 Years

Lease Commencement 5/1/2002

Lease Expiration 10/31/2027

Remaining Term 11.5 Years

Lease Type NNN

Roof & Structure Tenant

Increases Option Period Only

Options 1 x 5 Year

Options to Purchase None

AnnuAlized OperAting dAtA

Year(s) Commencement Annual Increase

1-15 5/1/2002 $207,000 -

Option '16-25 3/1/2015 $235,000 13.53%

Option '26-30 11/1/2027 $260,000 10.64%

net Operating incOme $235,000

Walgreens950 E Taft Avenue Sapulpa, OK 74066

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TENANT INFORMATION

The Walgreen Company (Walgreens) is the largest drug retailing chain in the United States. As of May 31, 2014, the company operated 8,217 stores in all 50 states, the District of Columbia, Puerto Rico and the U.S. Virgin Islands. It was founded in Chicago, Illinois, in 1901. The Walgreens headquarters office is in the Chicago suburb of Deerfield, Illinois. As of 2009, Walgreens employed 5,200 people at its headquarters. In 1987, Walgreens employed about 1,100 people at its headquarters, which was at the time in an unincorporated area on the west side of Deerfield. As of 2000, headquarters was still in an unincorporated area in West Deerfield Township. In the summer of 2014 a corporate relocation to Switzerland was considered as part of a merger with Alliance Boots, a European drugstore chain. On August 5, 2014, Walgreens announced that they would not be relocating their headquarters.

cOmpany Summary

Company Walgreens Boots Alliance, Inc.

Ownership Public

Rating BBB

Agency Standard & Poor’s

Ticker Symbol WBA

Exchange NASDAQ

Market Cap $89.49 Billion

Revenue $112.92 Billion

Years In Business 113 Years

Number of Locations 8,173

Headquarters Deerfield, IL

Website www.walgreens.com

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INVESTMENT HIGHLIGHTS

• Close Proximity to Two of the City’s Medical Facilities, Xpress Wellness Urgent Care and St. John Sapulpa Hospital

• Located Approximately 13 Miles from Downtown Tulsa

• Property is Positioned on the Southwest Corner of East Taft Avenue and South Division Street

• Absolute NNN Lease

• Recent Lease Extension – Tenant Extended Lease for Additional 10 Years in March 2015

• Rare Rent Escalation in Option Period

• Superior Visibility - Traffic Counts Along E. Taft Avenue Exceed 19,000 Vehicles Per Day and Traffic Counts Along South Division Street Exceed 13,000 Vehichles Per Day

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AERIAL MAP

St. John Hospital

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LOCAL MAP

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REGIONAL MAP

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MARKET SUMMARY

TULSA, OK

Tulsa is nestled in the northeastern quadrant of Oklahoma, right in the heart of “Green Country.” Tulsa, one of “America’s Most Livable Communities,” is known as the Mecca for arts in Oklahoma. Art deco masterpieces are prevalent in many of our downtown buildings and churches. Spectacular works of art dot the trails of our beautiful River Parks. From the Tulsa Ballet and Tulsa Opera, to Broadway plays and musicals at the Performing Arts Center, to the Philbrook and the largest collection of Western American art at the Gilcrease, Tulsa’s rich cultural legacy greatly enhances our citizen’s quality of life.

Though the oil industry has historically dominated Tulsa’s economy, efforts in economic diversification have created a base in the sectors of aerospace, finance, technology, telecommunications, high tech, and manufacturing. The Tulsa International

Airport (TUL) and the Tulsa Port of Catoosa, the nation’s most inland seaport, connect the region with international trade and transportation. An American Airlines maintenance base at Tulsa International Airport is the city’s largest employer and the largest maintenance facility in the world, serving as the airline’s global maintenance and engineering headquarters, while the Tulsa Port of Catoosa and the Tulsa International Airport house extensive industrial parks.

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DEMOGRAPHIC SUMMARY

Geography: 5 Miles

Demographic data © 2015 esri

PoPulation

In the identified area, the current year population is 33,198. The rate of change since 2000 was 10.5%. The five-year projection for the population in the area is 34,249 representing a change of 3.06% from 2015 to 2020. Currently, the population is 49.2% male and 50.8% female. The median age in this area is 40.1, compared to U.S. median age of 37.9.

HouseHolds There are currently 12,647 households in your selected geography. The number of households has changed by 12.58% since 2000. It is estimated that the number of households in your area will be 13,068 five years from now, which represents a change of 3.22% from the current year. The average household size in your area is 2.58 persons.

income In 2015, the median household income for your selected geography is $48,097, compare this to the Entire US average which is currently $53,217. It is estimated that the median household income in your area will be $54,527 five years from now, which represents a change of 11.79% from the current year.

The current year per capita income in your area is $24,239, compare this to the Entire US average, which is $28,597. The current year average household income in your area is $63,000, compare this to the Entire US average which is $74,699.

Race and etHnicity The current year racial makeup of your selected area is as follows: 77.2% White, 2.7% Black, 10.3% Native American and 1.0% Asian/Pacific Islander. Compare these to Entire US averages which are: 71.60% White, 12.70% Black, 0.18% Native American and 5.02% Asian/Pacific Islander.

People of Hispanic origin are counted independently of race. People of Hispanic origin make up 5.4% of the current year population in your selected area. Compare this to the Entire US average of 17.6%.

Housing In 2015, there were 9,403 owner occupied housing units in your area and there were 3,245 renter occupied housing units in your area. Median home value in the area is $137,767, compared to a median home value of $200,006 for the U.S.

emPloyment In 2015, there are 14,854 employees in your selected area, this is also known as the daytime population. Currently 59.5% of employees are employed in white-collar occupations in this geography, and 24.9% are employed in blue-collar occupations. In 2015, unemployment in this area is 7.4%.

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DEMOGRAPHIC STATISTICS

pOpulAtiOn 1-Mile 3-Miles 5-Miles

2000 Population 6,790 19,251 29,703

2010 Population 6,409 19,070 31,343

2015 Population 6,634 19,452 33,198

2020 Population 6,768 19,697 34,249

traffic cOuntS

HOuseHOlds 1-Mile 3-Miles 5-Miles

2000 Households 2,723 7,313 11,055

2010 Households 2,602 7,381 11,923

2015 Households 2,703 7,562 12,647

2020 Households 2,767 7,674 13,068

2015 Daytime Population 2,943 8,346 14,854

2015 Average Household Size 2.37 2.52 2.58

2010 Owner Occupied Housing Units 56.0% 62.6% 67.3%

2010 Renter Occupied Housing Units 32.4% 27.4% 22.8%

2010 Vacant 11.6% 10.0% 10.0%



2015 Vacant 11.8% 9.9% 8.6%



2020 Vacant 12.2% 10.1% 8.2%

incOMe 1-Mile 3-Miles 5-Miles

$ 0 - $14,999 17.9% 14.5% 11.7%

$ 15,000 - $24,999 17.1% 14.1% 11.9%

$ 25,000 - $34,999 16.4% 13.9% 11.6%

$ 35,000 - $49,999 14.4% 16.9% 16.4%

$ 50,000 - $74,999 16.9% 17.7% 19.2%

$ 75,000 - $99,999 7.7% 11.1% 12.8%

$100,000 - $149,999 8.0% 8.8% 10.4%

$150,000 - $199,999 1.3% 1.9% 3.7%

$200,000+ 0.5% 1.1% 2.4%

2015 Median Household Income $33,907 $40,327 $48,097

2015 Per Capita Income $19,198 $21,012 $24,239

2015 Average Household Income $46,122 $53,064 $63,000

19,500

13,223

The information contained in the following offering memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Vitorino Group and it should not be made available to any other person or entity without the written consent of Vitorino Group. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to Vitorino Group.

This offering memorandum has been prepared to provide summary, unverified financial and physical information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Vitorino Group has not made any investigation, and makes no warranty or representation with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this offering memorandum has been obtained from sources we believe to be reliable; however, Vitorino Group has not verified, and will not verify, any of the information contained herein, nor has Vitorino Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT THE VITORINO GROUP AGENT FOR MORE DETAILS.

CONFIDENTIALITY AGREEMENT

Vitorino Group hereby advises all prospective purchasers of Net Leased property as follows:

The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, the Vitorino Group has not and will not verify any of this information, nor has the Vitorino Group conducted any investigation regarding these matters. The Vitorino Group makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.

As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. The Vitorino Group expressly denies any obligation to conduct a due diligence examination of this Property for Buyer.

Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs.

Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the property.

By accepting this Marketing Brochure you agree to release The Vitorino Group and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.

Net Lease Disclaimer

469.844.8880 | VITORINOGROUP.COM

Exclusively listed by:

Vice PresidentLISTING BROKERTel: (499) 844-8889 [email protected] License: TX #609364

Michael AustryNAI American RealtyBROKER OF RECORDTel: (903) [email protected]: OK #044702

Jerry Brewer

exclusively listed

Walgreens - Sapulpa, OK

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