WALGREENS. Delaware, Ohio

WALGREENS

NON-ENDORSEMENT

AND DISCLAIMER NOTICE

NON-ENDORSEMENTS

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DISCLAIMER

THIS IS A BROKER PRICE OPINION OR COMPARATIVE MARKET ANALYSIS OF VALUE AND SHOULD NOT BE CONSIDERED AN APPRAISAL. This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express

WALGREENS

19 LONDON ROAD, DELAWARE, OH 43015

Dan Yozwiak

First Vice President, Investments Yozwiak Fenn Group

Columbus Office Office (614) 360-9036

[email protected] License: OH: SAL.2008003600

EXCLUSIVELY LISTED BY

O F F I C E S N A T I O N W I D E A N D T H R O U G H O U T C A N A D A

TENANT OVERVIEW

Walgreens Boots Alliance is the first global pharmacy-led, health and wellbeing enterprise in the world, created through the combination of Walgreens and Alliance Boots in December 2014. This transaction brought together two leading companies creating a global leader in pharmacy-led, health and wellbeing retail with over 13,100 stores in 11 countries, the largest global pharmaceutical wholesale and distribution network with over 350 distribution centers delivering to more than 200,000 pharmacies, doctors, health centers and hospitals each year in 19 countries and the world’s largest purchaser of prescription drugs and many other health and wellbeing products.

INVESTMENT AND OFFERING HIGHLIGHTS

$2,875,000

8.00%

WALGREENS

►

New Lease Extension Signed Through 2026

►

Landlord Only Responsible for Roof and Structure

Columbus, OH MSA

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Excellent Traffic Counts of 19,943+ VPD

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5 Minutes from Ohio Wesleyan University- 1,600+

Students

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Delaware County is the second fastest growing

county in Ohio

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Avg. HHI $78,934 Within a 5-Mile Radius

Located on a Hard Corner at a Signalized

Intersection

PRICE SF

$198.41

Gross Leasable Area

14,490 SF

INVESTMENT OVERVIEW

Marcus & Millichap is pleased to present for purchase the fee simple interest in a Walgreens located at 19

London Road in Delaware, OH. There are just under 8 years remaining on a newly extended NN lease through

2026 with minimal landlord responsibilities. The landlord is only responsible for roof and structure. There are

eight, five-year options to renew. The lease is corporately backed by Walgreens Boots Alliance, a Standard &

Poor’s BBB investment grade credit tenant.

Walgreens sits on 1.69 acres and is strategically located at a hard corner, signalized intersection. The property

has excellent traffic counts of 19,943 vehicles per day on London Road and South Sandusky Street. The

subject property is surrounded by multiple national retailers such as McDonald’s, Wendy’s, Advanced Auto

Parts, CVS, Dollar General, and Pizza Hut. The nearest competing Walgreens is almost ten miles away.

The subject is located less than 5 minutes from Ohio Wesleyan University, a private liberal arts college, home

to 1,600+ students. Ohio Wesleyan University is one of the top liberal arts colleges in the United States. The

area around Walgreens will experience an estimated population growth of over 9% by 2019. In addition to

Delaware’s growing population, the average household income is nearly $79,000.

Delaware is the county seat of Delaware County and part of the Columbus, Ohio MSA. It is the second fastest

growing county in Ohio. The city is famous for The Little Brown Jug, an internationally famous harness race

which is part of the Triple Crown of harness racing for Pacers. The Delaware downtown is a vibrant epicenter of

the city. It boasts The Strand Theatre, the longest continually run movie theater in Ohio, nearly 20 restaurants,

most with outdoor eating spaces. Quaint boutiques, antique shops, bookstores, yoga and dance studios are

located amid floral shops, a record shop, cycling store, pre-prohibition style bar, micro breweries and a wide

selection of specialty ice cream parlors, coffee shops, commercial banks, salons and spa.

LEASE AND OFFERING SUMMARY

THE OFFERING

Property Walgreens

Property Address 19 London Road Delaware, OH 43015

Price $2,875,000

Capitalization Rate 8.00%

Price/SF $198.41

ANNUALIZED OPERATING INFORMATION

Net Operating Income $230,000

PROPERTY DESCRIPTION

Year Built 2001

Gross Leasable Area 14,490 SF

Zoning Commercial

Type of Ownership Fee Simple

Acres 1.69 Acres

Parking 64 Spaces

LEASE SUMMARY

Property Subtype Net Leased Drug Store

Tenant Walgreens

Rent Increases None

Guarantor Corporate Guarantee

Lease Type Double Net

Lease Commencement 05/01/2001

Lease Expiration 09/30/2026

Term Remaining on Lease (Years) ~8 Years Renewal Options Eight, 5-Year options Landlord Responsibility Roof and Structure

Tenant Responsibility All Else

Right of First Refusal/Offer Yes, 10 Days of Bona Fide Offer

MARKET OVERVIEW

Delaware, OH

Downtown Delaware, OH

Part of the Columbus metro area, Delaware is Ohio’s fastest growing county. Located at the intersection of US 23 and US 36, 20 miles north of Columbus along the Olentangy River. Delaware offers a quickly growing workforce and easy access to John Glenn International Airport just 30 minutes away. Delaware gives a small-town feel with the economic and business development resources of a larger city.

Delaware has recently seen tremendous economic growth in the past five years with a projected job growth of 10.6% in the coming year. This makes Delaware a very attractive market for new business developments. The median home price in Delaware is well below the national level, channeling more expendable income to local retailers and entertainment.

Greater Columbus is home to multiple Fortune 500 companies and many regional operations, drawing a variety of other employers and residents. DELAWARE’S TOP EMPLOYERS (By Employee Number)

1) Ohio Health (Grady Hospital) – 1,500 Employees 2) Delaware County – 1,091 Employees

3) Kroger Great Lakes Distribution – 1,086 Employees 4) Delaware City Schools – 646 Employees

5) Ohio Weslyan University – 576 Employees

6) Advance Auto Parts Distribution – 406 Employees 7) Vertiv – 347 Employees

8) PPG Industries – 330 Employees 9) City of Delaware – 301 Employees 10) Domtar/AHP - 290 Employees

OhioHealth Grady Memorial Hospital is the top employer in the area. Just seven minutes from the subject property, this hospital consistently receives top honors for high care standards. A recent expansion of their surgical wing added four new operating rooms, 21 private patient rooms, and a renovated Intensive Care Unit.

MARKET OVERVIEW

Ohio Weslyan University

Ohio Wesleyan University is a private liberal arts college in Delaware, Ohio with over 1,600 students. It was founded in 1842 as a nonsectarian institution, and is a member of the Ohio Five – a consortium of Ohio liberal arts colleges. Ohio Wesleyan has always admitted students irrespective of religion or race. The 200-acre site is 27 miles north of Columbus, Ohio. It includes the main academic and residential campus, the Perkins Observatory, and the Kraus Wilderness Preserve. In 2010, Ohio Wesleyan had the eleventh highest percentage of international students among liberal arts colleges for the seventeenth straight year. OWU offers 39 degree programs and has 21 NCAA Division III varsity sports teams.

OWU has strong community ties with the City of Delaware. Students participate in Delaware’s community through a variety of educa-tional, social, and cultural programs. The student-led Columbus Initiative, founded in 1989, is an experiential learning partnership between OWU and Columbus public schools. More than 150 Ohio Wesleyan students from this program tutor and mentor underprivi-leged pupils from Columbus.

The Ohio Wesleyan Ambassadors Program (ISAP) promotes cultural diversity and ethnic awareness within the local community, and exposes international students to American culture through the community. The program’s ambassadors visit local schools to give pre-sentations and participate in events for local non-profit community organizations.

POPULATION 1 MILES 3 MILES 5 MILES

2019 Projection 8,768 39,822 49,344

2014 Estimate 8,729 36,827 45,188

2010 Census 8,428 35,241 42,997

2000 Census 8,591 27,078 31,637

HOUSEHOLDS 1 MILE 3 MILES 5 MILES

2019 Projection 3,247 15,452 18,907

2014 Estimate 3,191 14,154 17,192

2010 Census 3,070 13,546 16,372

2000 Census 2,975 10,266 12,017

DAYTIME POPULATION 1 MILE 3 MILES 5 MILES

2014 5,364 13,657 16,164

2014 HOUSING STATS 1 MILE 3 MILES 5 MILES

Owner Occupied Housing

Units 45.27% 63.16% 66.78% Renter Occupied Housing

Units 54.73% 36.84% 33.22% Vacant Housing Units 5.76% 4.10% 4.11%

INCOME 1 MILE 3 MILES 5 MILES

Dan Yozwiak

First Vice President, Investments Yozwiak Fenn Group

Columbus Office Office (614) 360-9036

[email protected] License: OH: SAL.2008003600 P R E S E N T E D B Y