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Office Medical

Southway Professional Building

205 E Southway Blvd, Kokomo, IN 46902

Listing Price: $2,600,000

Cap Rate
8.78%
Rentable SF
26,436
Occupancy
77.2%
Year Built
1974
Lot Size
2.40 acres

Investment Overview

Marcus and Millichap is pleased to exclusively represent the Southway Professional Office Building, 205-217 E Southway Blvd., Kokomo, Indiana. The subject property is a Class B, two story masonry, multi-tenant office building (26,436SF GLA) situated on 2.40 acres. Built in 1974 and renovated in 2012, the subject property benefits from ample parking (130 Regular/12ADA), monument sign and building signage visible from E Southway Blvd. (4,274 VPD). The building features multiple walk-in entry points for first floor tenants and clients, along with an elevator and staircase to access the second floor. The property has been very well maintained and the pride of ownership is apparent. Anchored by Medical office tenants: Ascension St. Joseph (Physical Therapy), SRT Orthotics and Prosthetics as well as Psychotherapy Associates of Kokomo. (Medical Office Tenants Occupy 41% GLA) The Medical tenants present an opportunity to reset terms, rents and expiration dates at lease expiration. The State of Indiana Division of Family Services operates their Howard county location from this address. A new 10 year lease commenced 8/1/2022. The largest tenant in the building, the Division of Family Services occupies 29.55% of the GLA. Rounding out the tenant mix is Ameriprise Financial, (tenant since 2017), this tenant just renewed their lease for an additional 3 years 7/1/2022. In addition, the second floor has 6,000SF grey shell space ready to finish for additional GLA and income. The area benefits from an educated talent pool from top institutions including IU Kokomo (Enrollment: 3,016) and Indiana Wesleyan University (Enrollment: 12,437). This location has ease of access to IN-931 (21,852 VPD) and U.S.-31 (22,277 VPD) allowing quick travel time of just 1 hour to Indianapolis, IN, 1.5 hours to Ft. Wayne and 3 hours to Chicago. The subject property benefits from a multitude of national retailers nearby located at the Kokomo Town Center Shopping Mall, Maplecrest Plaza Shopping Mall and Southway Plaza-Kokomo Shopping Mall, all just a short drive from the subject property. The area enjoys and AHHI of $69,076 (5-mile radius) and a population of 65,434 (5-mile radius) while located in the Kokomo, IN MSA (Population: 83,658). The city of Kokomo has been a community of innovation and entrepreneurship. As the primary economic development organization for Kokomo and Howard County, the Greater Kokomo Economic Development Alliance strives to create a thriving economic climate for the community’s citizens and businesses. Large employers in the Kokomo area include Fiat Chrysler Automobiles, APTIV, General Motors, UAW, Haynes International, BorgWarner, Bona Vista Industries and Community Howard Regional Health.

Investment Highlights

  • 41% GLA Leased to Medical Tenants – Ascension/St. Joseph Hospital-Physical Therapy, Psychotherapy Associates, LLC, and SRT Prosthetics & Orthotics, LLC
  • 30% GLA With New 10 Yr. Lease - State of Indiana Division of Family Resources | Lease Commenced 8/1/2022|Rent Increases in Years 4 & 10
  • Well Maintained | 2 Story Masonry Building |RBA: 26,436 | Lot Size: 2.40 Acres | Built 1974 | Renovated 2017
  • Near Term Lease Expirations Provide New Owner the Control of Lease Renewals
  • 77.21% Occupancy with 6,000SF Second Floor Space in Grey Shell condition Ready to Finish Adding GLA and Income
  • Indianapolis, IN CSA (Population: 2,111,040 ; Rank 33rd) | Kokomo, IN MSA (Population: 83,658) |Population (5-Miles): 65,434 | AHHI (5-Miles): $69,076

Exclusively Listed By

Financing By

Office Medical

Southway Professional Building

Listing Price: $2,600,000

Cap Rate
8.78%
Rentable SF
26,436
Occupancy
77.2%
Year Built
1974
Lot Size
2.40 acres

Investment Highlights

  • 41% GLA Leased to Medical Tenants – Ascension/St. Joseph Hospital-Physical Therapy, Psychotherapy Associates, LLC, and SRT Prosthetics & Orthotics, LLC
  • 30% GLA With New 10 Yr. Lease - State of Indiana Division of Family Resources | Lease Commenced 8/1/2022|Rent Increases in Years 4 & 10
  • Well Maintained | 2 Story Masonry Building |RBA: 26,436 | Lot Size: 2.40 Acres | Built 1974 | Renovated 2017
  • Near Term Lease Expirations Provide New Owner the Control of Lease Renewals
  • 77.21% Occupancy with 6,000SF Second Floor Space in Grey Shell condition Ready to Finish Adding GLA and Income
  • Indianapolis, IN CSA (Population: 2,111,040 ; Rank 33rd) | Kokomo, IN MSA (Population: 83,658) |Population (5-Miles): 65,434 | AHHI (5-Miles): $69,076

Investment Overview

Marcus and Millichap is pleased to exclusively represent the Southway Professional Office Building, 205-217 E Southway Blvd., Kokomo, Indiana. The subject property is a Class B, two story masonry, multi-tenant office building (26,436SF GLA) situated on 2.40 acres. Built in 1974 and renovated in 2012, the subject property benefits from ample parking (130 Regular/12ADA), monument sign and building signage visible from E Southway Blvd. (4,274 VPD). The building features multiple walk-in entry points for first floor tenants and clients, along with an elevator and staircase to access the second floor. The property has been very well maintained and the pride of ownership is apparent. Anchored by Medical office tenants: Ascension St. Joseph (Physical Therapy), SRT Orthotics and Prosthetics as well as Psychotherapy Associates of Kokomo. (Medical Office Tenants Occupy 41% GLA) The Medical tenants present an opportunity to reset terms, rents and expiration dates at lease expiration. The State of Indiana Division of Family Services operates their Howard county location from this address. A new 10 year lease commenced 8/1/2022. The largest tenant in the building, the Division of Family Services occupies 29.55% of the GLA. Rounding out the tenant mix is Ameriprise Financial, (tenant since 2017), this tenant just renewed their lease for an additional 3 years 7/1/2022. In addition, the second floor has 6,000SF grey shell space ready to finish for additional GLA and income. The area benefits from an educated talent pool from top institutions including IU Kokomo (Enrollment: 3,016) and Indiana Wesleyan University (Enrollment: 12,437). This location has ease of access to IN-931 (21,852 VPD) and U.S.-31 (22,277 VPD) allowing quick travel time of just 1 hour to Indianapolis, IN, 1.5 hours to Ft. Wayne and 3 hours to Chicago. The subject property benefits from a multitude of national retailers nearby located at the Kokomo Town Center Shopping Mall, Maplecrest Plaza Shopping Mall and Southway Plaza-Kokomo Shopping Mall, all just a short drive from the subject property. The area enjoys and AHHI of $69,076 (5-mile radius) and a population of 65,434 (5-mile radius) while located in the Kokomo, IN MSA (Population: 83,658). The city of Kokomo has been a community of innovation and entrepreneurship. As the primary economic development organization for Kokomo and Howard County, the Greater Kokomo Economic Development Alliance strives to create a thriving economic climate for the community’s citizens and businesses. Large employers in the Kokomo area include Fiat Chrysler Automobiles, APTIV, General Motors, UAW, Haynes International, BorgWarner, Bona Vista Industries and Community Howard Regional Health.

Exclusively Listed By

Financing By

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