the blair center - loopnet€¦ · the blair center annual property operating data 5600 us highway...

The Blair Center

5600 US Highway 98 North, Lakeland, Fl 33809

Jack Strollo, CCIM, CPM

Vice President, Broker

863-683-3425

[email protected]

BK698301

100 S Kentucky Ave, Suite 290Lakeland, FL 33801(863) 683-3425 (p)(863) 683-1066 (f)www.resbroadway.com

LARGE PYLON SIGN●

CLOSE TO I-4●

MULTI TENANT | FIVE UNITS ●

EXCELLENT FOROWNER/OCCUPANT

●

41,500 VPD●

Property DescriptionThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809

Jack Strollo, CCIM, CPM863-683-3425

Property Details

Property: The Blair Center is a 7,400 sf officebuilding, built in 1989. The interior was originallydesigned for eight independent units, but is currentlyconfigured as five. The building sits on .58 of anacre, with excellent exposure to 98N. Roof wasreplaced in 2004, the water is public and the waste ison-site septic. Retention is underground vaulted,allowing for a 3.15 parking ratio on this small lot.Lakeland Electric is the utility provider. Property hastwo current tenants, occupying appx 25% of theproperty. Large monument sign allows for excellentvisibility for tenants. Perfect for an owner occupantwho wants rental income. North Lakeland has alwaysbeen limited on office space, and this property hasupside potential, as it has been under managed, and an increase rental rates is needed to get to market. Allincluded proforma material are projections for a new owner.

Location: Site is located just two miles north of I-4, on busy US Hwy 98 N, which is a fix lane road in thisarea. There are over 41,500 VPD passing this site. Site is level and high. Easy access with right in/right out.Rear parking area is stabilized, but not paved. The population of the Lakeland-Winter Haven MSA, whichincludes all of Polk County, has grown by 33.4% since 2000 reaching a population of approximately 645,000people. The population is projected to continue growing at an annual rate of 1.5% over the next five years asthe area continues to gain ground as a key transport and logistics hub for Florida. The City of Lakeland islocated in the Lakeland-Winter Haven MSA, which incorporates all of Polk County, the 8th largest county inFlorida. Lakeland is 32 miles east of Tampa, the18th largest MSA in the US, and 54 miles from Orlando, the26th largest MSA in the US. Incorporated in 1885, Lakeland is the largest city in the MSA with just over100,000 residents. Lakeland is strategically positioned in the heart of the I-4 corridor “SuperRegion”, which iscomprised of Lakeland-Winter Haven MSA, Tampa-St. Petersburg-Clearwater MSA, and Orlando MSA.Within a 100-mile radius reside 8.6 million people and a workforce of 3.4 million. Within the same 100-mileradius, Polk County has access to 500,000 students at three major research universities, numerous colleges,community colleges and technical schools. According to the BLA, 1n 2015, U.S. employment grew 2.0%.Among mid-sized metros, the highest percentage growth is found in Lakeland-FL (4.2%).

List Price: $750,000

page 2 of 13

Property PhotosThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


The Blair Center

Reception Monument Sign

Foyer Offices

Front Parking Rear Access

page 3 of 13

Floorplan

Regional MapThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


page 5 of 13

Location MapThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


page 6 of 13

Aerial MapThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


page 7 of 13

Real Estate Investment DetailsThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


Analysis

Analysis Date September 2016

Property

Property The Blair Center

Property Address 5600 US Highway 98 NorthLakeland, Fl 33809

Year Built 1989

Financial Information

Down Payment $187,500

Closing Costs $4,000

LT Capital Gain 15.00%

Federal Tax Rate 35.0%

Discount Rate 4.00%

Purchase Information

Property Type Office

Purchase Price $750,000

Fair Market Value $750,000

Tenants 5

Total Rentable Sq. Ft. 7,400

Resale Valuation 3.0% (annual appreciation)

Resale Expenses 8.0%

Loans

Type Debt Term Amortization Rate Payment LO Costs

Balloon $562,500 6 years 20 years 5.0% $3,712 $5,625

Refinance $469,434 20 years 20 years 6.0% $3,363 $4,694

Income & Expenses

Gross Operating Income $93,236

Monthly GOI $7,770

Total Annual Expenses ($35,730)

Monthly Expenses ($2,977)

Contact Information

Jack Strollo, CCIM, CPM

863-683-3425

[email protected]

BK698301

The calculations and data presented are deemed to be accurate, but not guaranteed. They are intended for the purpose of illustrative projectionsand analysis. The information provided is not intended to replace or serve as substitute for any legal, accounting, investment, real estate, tax orother professional advice, consultation or service. The user of this software should consult with a professional in the respective legal, accounting,tax or other professional area before making any decisions.

page 8 of 13

Annual Property Operating DataThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


Description Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Rental Income $103,596 $106,704 $109,905 $113,202 $116,598 $120,096 $123,699 $127,410 $131,232 $135,169

GROSS SCHEDULED INCOME $103,596 $106,704 $109,905 $113,202 $116,598 $120,096 $123,699 $127,410 $131,232 $135,169

Turnover Vacancy ($10,360) ($10,670) ($10,990) ($11,320) ($11,660) ($12,010) ($12,370) ($12,741) ($13,123) ($13,517)

GROSS OPERATING INCOME $93,236 $96,033 $98,914 $101,882 $104,938 $108,087 $111,329 $114,669 $118,109 $121,652

Expenses

Property Management Fee ($5,180) ($5,335) ($5,495) ($5,660) ($5,830) ($6,005) ($6,185) ($6,371) ($6,562) ($6,758)

Accounting ($300) ($300) ($300) ($300) ($300) ($300) ($300) ($300) ($300) ($300)

Building Insurance ($4,200) ($4,326) ($4,456) ($4,589) ($4,727) ($4,869) ($5,015) ($5,165) ($5,320) ($5,480)

General Supplies ($100) ($103) ($106) ($109) ($113) ($116) ($119) ($123) ($127) ($130)

Legal ($200) ($206) ($212) ($219) ($225) ($232) ($239) ($246) ($253) ($261)

Maintenance ($3,500) ($3,605) ($3,713) ($3,825) ($3,939) ($4,057) ($4,179) ($4,305) ($4,434) ($4,567)

Repairs ($3,500) ($3,605) ($3,713) ($3,825) ($3,939) ($4,057) ($4,179) ($4,305) ($4,434) ($4,567)

Taxes - Real Estate ($15,250) ($15,708) ($16,179) ($16,664) ($17,164) ($17,679) ($18,209) ($18,756) ($19,318) ($19,898)

Utilities ($3,500) ($3,605) ($3,713) ($3,825) ($3,939) ($4,057) ($4,179) ($4,305) ($4,434) ($4,567)

TOTAL OPERATING EXPENSES ($35,730) ($36,793) ($37,887) ($39,015) ($40,177) ($41,373) ($42,605) ($43,874) ($45,181) ($46,528)

NET OPERATING INCOME $57,507 $59,241 $61,027 $62,867 $64,762 $66,714 $68,724 $70,795 $72,928 $75,125

page 9 of 13

Annual Property Operating DataThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


Description Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20

Rental Income $139,224 $143,401 $147,703 $152,134 $156,698 $161,399 $166,241 $171,228 $176,365 $181,656

GROSS SCHEDULED INCOME $139,224 $143,401 $147,703 $152,134 $156,698 $161,399 $166,241 $171,228 $176,365 $181,656

Turnover Vacancy ($13,922) ($14,340) ($14,770) ($15,213) ($15,670) ($16,140) ($16,624) ($17,123) ($17,637) ($18,166)

GROSS OPERATING INCOME $125,302 $129,061 $132,933 $136,921 $141,028 $145,259 $149,617 $154,106 $158,729 $163,491

Expenses

Property Management Fee ($6,961) ($7,170) ($7,385) ($7,607) ($7,835) ($8,070) ($8,312) ($8,561) ($8,818) ($9,083)

Accounting ($300) ($300) ($300) ($300) ($300) ($300) ($300) ($300) ($300) ($300)

Building Insurance ($5,644) ($5,814) ($5,988) ($6,168) ($6,353) ($6,543) ($6,740) ($6,942) ($7,150) ($7,365)

General Supplies ($134) ($138) ($143) ($147) ($151) ($156) ($160) ($165) ($170) ($175)

Legal ($269) ($277) ($285) ($294) ($303) ($312) ($321) ($331) ($340) ($351)

Maintenance ($4,704) ($4,845) ($4,990) ($5,140) ($5,294) ($5,453) ($5,616) ($5,785) ($5,959) ($6,137)

Repairs ($4,704) ($4,845) ($4,990) ($5,140) ($5,294) ($5,453) ($5,616) ($5,785) ($5,959) ($6,137)

Taxes - Real Estate ($20,495) ($21,110) ($21,743) ($22,395) ($23,067) ($23,759) ($24,472) ($25,206) ($25,962) ($26,741)

Utilities ($4,704) ($4,845) ($4,990) ($5,140) ($5,294) ($5,453) ($5,616) ($5,785) ($5,959) ($6,137)

TOTAL OPERATING EXPENSES ($47,915) ($49,343) ($50,814) ($52,330) ($53,891) ($55,498) ($57,154) ($58,860) ($60,617) ($62,426)

NET OPERATING INCOME $77,387 $79,718 $82,118 $84,591 $87,138 $89,761 $92,463 $95,246 $98,112 $101,064

page 10 of 13

Internal Rate of Return AnalysisThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


BEFORE TAX IRR

Time Future Cash Flows

Initial Investment ($195,125)

End of Year 1 $12,960 End of Year 11 $37,029





End of Year 6 ($18,191) End of Year 16 $49,403




End of Year 10 $34,766 End of Year 20* $1,132,961

IRR = 15.52% * ($60,706 + $1,072,255)

AFTER TAX IRR

Time Future Cash Flows

Initial Investment ($195,125)






End of Year 6 ($18,283) End of Year 16 $29,279




End of Year 10 $22,173 End of Year 20* $960,376

IRR = 12.27% * ($34,257 + $926,119)

page 11 of 13

DemographicsThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


POPULATION 1 MILE 3 MILE 5 MILE

Male 5,723 (48.03 %) 23,854 (47.68 %) 50,580 (48.11 %)

Female 54,552 (51.97 %) 54,552 (52.32 %) 54,552 (51.89 %)

Total Population 11,916 50,030 105,132

AGE BREAKDOWN 1 MILE 3 MILE 5 MILE

Ages 0-4 659 (5.53 %) 2,880 (5.76 %) 6,608 (6.29 %)

Ages 5-9 750 (6.29 %) 3,501 (7.00 %) 7,996 (7.61 %)

Ages 10-14 640 (5.37 %) 3,226 (6.45 %) 7,347 (7.61 %)

Ages 15-19 603 (5.06 %) 3,068 (6.13 %) 7,014 (6.67 %)

Ages 20-24 632 (5.30 %) 2,934 (5.86 %) 6,768 (6.44 %)

Ages 25-29 710 (5.96 %) 2,859 (5.71 %) 6,447 (6.13 %)

Ages 30-34 819 (6.87 %) 2,810 (5.62 %) 6,106 (5.81 %)

Ages 35-39 817 (6.86 %) 2,755 (5.51 %) 5,839 (5.55 %)

Ages 40-44 788 (6.61 %) 2,809 (5.61 %) 5,916 (5.63 %)

Ages 45-49 762 (6.39 %) 2,875 (5.75 %) 6,167 (5.87 %)

Ages 50-54 748 (6.28 %) 2,853 (5.70 %) 6,127 (5.83 %)

Ages 55-59 730 (6.13 %) 2,798 (5.59 %) 5,937 (5.65 %)

Ages 60-64 682 (5.72 %) 2,649 (5.29 %) 5,481 (5.21 %)

Ages 65-69 616 (5.17 %) 2,474 (4.95 %) 4,985 (4.74 %)

Ages 70-74 522 (4.38 %) 2,347 (4.69 %) 4,435 (4.22 %)

Ages 75-79 448 (3.76 %) 2,175 (4.35 %) 3,845 (3.66 %)

Ages 80-84 376 (3.16 %) 1,873 (3.74 %) 3,097 (2.95 %)

Ages 85+ 614 (5.15 %) 3,144 (6.28 %) 5,017 (4.77 %)

page 12 of 13

DemographicsThe Blair Center5600 US Highway 98 NorthLakeland, Fl 33809


HOUSEHOLD INCOME 1 MILE 3 MILE 5 MILE

Median Income $49,562 $49,562 $44,617

Less than $10,000 232 1,121 2,597

$10,000 -$14,999 403 1,296 2,481

$15,000 - $19,999 298 1,191 2,876

$20,000 -$24,999 519 1,379 2,834

$25,000 - $29,999 312 1,067 2,332

$30,000 - $34,999 201 1,131 2,194

$35,000 - $39,999 242 1,483 2,353

$40,000 - $44,999 294 1,231 2,367

$45,000 - $49,999 262 1,240 1,919

$50,000 - $59,999 585 1,991 3,681

$60,000 - $74,999 708 2,496 5,065

$75,000 - $99,999 531 2,147 4,703

$100,000 - $124,999 365 1,295 2,437

$125,000 - $149,999 137 449 906

$150,000 - $199,999 92 384 765

Greater than $200,000 99 197 388

HOUSING 1 MILE 3 MILE 5 MILE

Housing Units 6,026 23,326 47,498

Occupied Units 5,284 20,605 41,108

Owner Occupied Units 2,752 13,441 27,074

Renter Occupied Units 2,532 7,164 14,034

Vacant Units 742 2,721 6,390

RACE DEMOGRAPHICS 1 MILE 3 MILE 5 MILE

Population Non Hispanic White 9,628 39,048 76,182

Population Black 1,371 7,145 21,385

Population Am In/Ak Nat 4 27 92

page 13 of 13

the blair center - loopnet€¦ · the blair center annual property operating data 5600 us highway...

Documents