Veterans Administration Midtown Phoenix Clinic
Asking Price: $9,650,000.00 just reduced to $9,350,000.00
2.5% Commission to Buyers Broker
Cap Rate Year 1: 7.5 CAP RATE First Year
Cap Rate January 2022: 8.61 CAP RATE with VA Increase of Base Rent on December 2021
Seller to provide a one year revenue guarantee on the 5.11% vacant space to allow for lease up of vacant space.
Camelback Medical Plaza, located in the heart of Phoenix, Arizona. The property is 94.89% occupied and anchored by the Department of Veterans Affairs which occupies approximately 62% of the property under a 10-year lease (5 years firm) which commenced in Early 2017. This lease includes a significant increase in VA rent revenues on December 2021 of 24.44%
Vacant space is revenue guaranteed by seller for 12 months following closing to allow for lease up.
In addition to the VA the property has a diverse mix of healthcare providers and healthcare related professionals. Over $1 million in capital improvements has been invested in the property, including a remodeled new roof with Warranty in 2019, Elevator cab remodel 2020,common area remodel, sprinkler system, heat pumps, seal coated and restriped parking lot, elevators, security cameras, boiler, recirculation pump, fire alarm system, main electrical feed exterior lighting and several new HVAC units.
The surrounding area is experiencing a resurgence of infill housing, hotels, eateries, shopping and entertainment venues withadditional apartment housing coming up in the area. Camelback Medical Plaza is poised to benefit from the increased activity occurring in the adjacent neighborhoods. METRO light rail transit is immediately south of the Property, with two station locations within 1/2 a mile located at 7thAvenue/Camelback and 19th Avenue/Camelback.