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Single-Tenant Office Medical

Fresenius Medical Care (Absolute NNN)

2319 N Kansas Ave, Liberal, KS 67901

Listing Price: $7,962,740

Cap Rate
5.50%
Tenant Name
FMS Midwest Dialysis Centers, LLC
Years Remaining On Lease
16.5
Guarantor
Corporate Guarantee
Rentable SF
18,258
Lease Type
Absolute Net
Rent Per Square Feet
$23.99

Investment Overview

RARE 20-YEAR ORIGINAL LEASE TERM WITH ANNUAL CPI INCREASES 20-year (17-years remaining) Absolute NNN lease with annual CPI rent increases (1% floor, 2% max). There are an additional three, 5-Year Renewal Option Periods. ABSOLUTE NNN LEASE Unlike the standard dialysis center leases with significant Landlord responsibilities (such as roof, structure, parking lot and HVAC replacement), the Subject Property has an absolute NNN lease structure that provides an investor with a long-term, passive income stream with no landlord maintenance responsibilities whatsoever. (See Market Lease Comparison) WELL-ESTABLISHED LOCATION IN CLOSE PROXIMITY TO SOUTHWEST MEDICAL CENTER(2) Fresenius has a 38-year operational history at this location. The Subject Property is situated in close proximity to Southwest Medical Center (101-Beds) and Seward County Community College (2,492 students, 460 faculty and staff). As one of the largest employers in Liberal, Southwest Medical Center (SWMC) provides services to approximately 91,000 residents across five states including Kansas, Oklahoma, Colorado, Texas and New Mexico. The Healthcare services sector employed about 407,286 people and accounted for $31.7 Billion in total sales or about 8.2 percent of the state total of $387 Billion in sales in 2019. The hospital sector had an estimated total impact on income throughout all businesses and industries of $12.3 Billion in Kansas. The average household income within a 1-mile radius is $90,205. INVESTMENT GRADE LEASE GUARANTOR(1) Fresenius Medical Care Holdings, Inc., the Guarantor under the Lease, has been rated “BBB/Stable” by S&P and carries a rating of “Baa3/Stable” from Moody’s, which are both Investment Grade according to each agency’s credit rating scales. This information must be verified by Buyer.

Investment Highlights

  • RARE 20-YEAR ORIGINAL LEASE TERM WITH ANNUAL CPI INCREASES
  • ABSOLUTE NNN LEASE
  • INVESTMENT GRADE LEASE GUARANTOR

Exclusively Listed By

Broker of Record

  • Colby Haugness

    First Vice President Investments

    (816) 410-1010

    License(s) KS: 00241410

    Kansas

Single-Tenant Office Medical

Fresenius Medical Care (Absolute NNN)

Listing Price: $7,962,740

Cap Rate
5.50%
Tenant Name
FMS Midwest Dialysis Centers, LLC
Years Remaining On Lease
16.5
Guarantor
Corporate Guarantee
Rentable SF
18,258
Lease Type
Absolute Net
Rent Per Square Feet
$23.99

Investment Highlights

  • RARE 20-YEAR ORIGINAL LEASE TERM WITH ANNUAL CPI INCREASES
  • ABSOLUTE NNN LEASE
  • INVESTMENT GRADE LEASE GUARANTOR

Investment Overview

RARE 20-YEAR ORIGINAL LEASE TERM WITH ANNUAL CPI INCREASES 20-year (17-years remaining) Absolute NNN lease with annual CPI rent increases (1% floor, 2% max). There are an additional three, 5-Year Renewal Option Periods. ABSOLUTE NNN LEASE Unlike the standard dialysis center leases with significant Landlord responsibilities (such as roof, structure, parking lot and HVAC replacement), the Subject Property has an absolute NNN lease structure that provides an investor with a long-term, passive income stream with no landlord maintenance responsibilities whatsoever. (See Market Lease Comparison) WELL-ESTABLISHED LOCATION IN CLOSE PROXIMITY TO SOUTHWEST MEDICAL CENTER(2) Fresenius has a 38-year operational history at this location. The Subject Property is situated in close proximity to Southwest Medical Center (101-Beds) and Seward County Community College (2,492 students, 460 faculty and staff). As one of the largest employers in Liberal, Southwest Medical Center (SWMC) provides services to approximately 91,000 residents across five states including Kansas, Oklahoma, Colorado, Texas and New Mexico. The Healthcare services sector employed about 407,286 people and accounted for $31.7 Billion in total sales or about 8.2 percent of the state total of $387 Billion in sales in 2019. The hospital sector had an estimated total impact on income throughout all businesses and industries of $12.3 Billion in Kansas. The average household income within a 1-mile radius is $90,205. INVESTMENT GRADE LEASE GUARANTOR(1) Fresenius Medical Care Holdings, Inc., the Guarantor under the Lease, has been rated “BBB/Stable” by S&P and carries a rating of “Baa3/Stable” from Moody’s, which are both Investment Grade according to each agency’s credit rating scales. This information must be verified by Buyer.

Exclusively Listed By

Broker of Record

  • Colby Haugness

    First Vice President Investments

    (816) 410-1010

    License(s): KS: 00241410

    Kansas

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