Markets
- Within 150-200 miles of Blacksburg VA, including western NC and eastern TN, but excluding the state of WV.
- Secondary and tertiary markets. >20,000 population within five miles. County seats preferred.
- Positive population growth, diverse employment base, steady trend in HH incomes.
Price Range
$500,000 – $7.0 million
Age
2005 or newer
Property Profile
Freestanding building, single-tenant occupancy or owner-occupied. NNN lease.
Preferred Tenant Type
- Retail: auto parts, consumer electronics, dollar stores
- Office: medical, government, bank, finance, regional or national headquarters
- Restaurant: strong brand, corporate endorsement preferred; franchisee lease accepted subject to financial review
Underwriting
- Current valuation parameters for income-producing properties require a minimum 7% cap rate.
- Higher valuation will be given to tenants with investment grade credit, i.e. S&P BBB- or higher.
- It will save all partiers time and effort if the lease or an abstract can be made available prior to LOI.
Typical Due Diligence Deliveries
- 3-year historical operating statements
- Lease & lease amendments; gross sales reports; tenant financials
- Current survey, title policy if available;
- Available 3rd party reports; e.g. environmental, structural/condition report, etc.
- Any contracts to be assumed
- If mortgage is to be assumed, copies of the Note, covenants and defeasance agreement, if any.
Closing
Typically a 30-day due diligence period; 30-45 day closing period.
Brokerage Fees
Seller responsible for commissions by prior agreement with broker.
Submissions
Please send information for acquisitions to acquisitions@parkrealty.com (PDF files preferred), or call Jared Alcorn at 540-808-4745.
