DR. TOM’S FOOT & ANKLE€¦ · lead a practice of five employees and grew it to 47 employees before successfully selling the operation in 2008. TENANT PROFILE TENANT TRADE NAME

3 8 0 4 V E S T M I L L R O A DW I N S T O N - S A L E M , N C 2 7 1 0 3

D R . TO M ’ SF OOT & A N K L E

Winston-Salem, North Carolina

Marcus & Millichap is pleased to present the Dr. Tom’s Foot & Ankle Sale-Leaseback in Winston Salem, NC, the second largest city in the Piedmont Triad Region. The seller will sign a 10-year absolute net lease with zero landlord responsibilities. The lease also features a hedge against inflation with two percent or CPI increases annually. The lease is backed by Dr. Tom’s Foot and Ankle Clinic, Professional Association (PA) plus a full term physician guaranty.

The subject property is located within a healthcare heavy area with two hospitals nearby that account for more than 1,600 beds. The Wake Forest Baptist Medical Center is a nationally renowned hospital that was ranked #27 in the United States by US News. The surrounding area has also experienced strong population growth, with a 15 percent rise from 2010 to 2018.

There is significant development going on in Winston-Salem. The Novant Health Rehabilitation Hospital is undergoing a $19 million renovation and the Burke Mill Village, is a $29 million mixed-use project 1.5 miles south.

PREMIER PODIATRY EXPERIENCEIN WINSTON-SALEM, NC HIGH GROWTH MARKET

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of © 2018 Marcus & Millichap. Activity ID# Z0332121

DR. TOM’S FOOT & ANKLE | WINSTON-SALEM, NC

I N V EST M E N T OV E RV I E W

D R . T O M ’ S F O O T & A N K L E W I N S T O N - S A L E M , N O R T H C A R O L I N A

DR. TOM’S FOOT & ANKLE SALE-LEASEBACK IN WINSTON-SALEM, NC

SECOND LARGEST CITY IN THE PIEDMONT TRIAD REGION

• Seller Will Sign a 10-Year Absolute Net Lease at the Close of Escrow | Zero Landlord Responsibilities

• Hedge Against Inflation | Two Percent or CPI Increases Annually and in Four, Five Year Option Periods

• Ideally Located Nearby the Novant Health Forsyth Medical Center (921 Beds) and Wake Forest Baptist Medical Center

• Nearby Interstate-40 | More Than 70,000 Vehicles Per Day (VPD)

• Growing Demographics | 15 Percent Rise in Population From 2010 to 2018

INVESTMENT HIGHLIGHTS

WINSTON-SALEM, NC

REPRESENTATIVE PHOTO

PRICE $1,700,000

CAP RATE 8.27%

NOI $140,595

PRICE PER SQUARE FOOT $235.78

RENT PER SQUARE FOOT $19.50

YEAR BUILT 2005

APPROXIMATE LOT SIZE 0.71 Acres

GROSS LEASEABLE AREA 7,210

TYPE OF OWNERSHIP Fee Simple

LEASE GUARANTOR Physician Guaranty

LEASE TYPE Absolute Net

ROOF AND STRUCTURE Tenant Responsible

F I N A N C I A L O V E R V I E W 3 8 0 4 V E S T M I L L R O A DW I N S T O N - S A L E M , N O R T H C A R O L I N A

A N N U A L I Z E D O P E R A T I N G D A T ABASE RENT ANNUAL RENT MONTHLY RENT INCREASES

YEAR 1 $140,595.00 $11,716.25YEAR 2 $143,406.90 $11,950.58 2%YEAR 3 $146,275.04 $12,189.59 2%YEAR 4 $149,200.54 $12,433.38 2%YEAR 5 $152,184.55 $12,682.05 2%YEAR 6 $155,228.24 $12,935.69 2%YEAR 7 $158,332.81 $13,194.40 2%YEAR 8 $161,499.46 $13,458.29 2%YEAR 9 $164,729.45 $13,727.45 2%

YEAR 10 $168,024.04 $14,002.00 2%



LEASE COMMENCEMENT DATE Close of Escrow

LEASE EXPIRATION DATE 10 Years Following COE

LEASE TERM 10 Years

TERM REMAINING 10 Years

INCREASES 2% or CPI Annually

OPTIONS TO RENEW 4, 5-Year

L E A S E S U M M A RY



Dr. William Tomaszewski, DPM is a top podiatrist within the Piedmont Triad region operating two locations, one is Winston Salem and another in Greensboro. With over 28 years of experience, his expertise lies in Podiatry. Dr. Tomaszewski is affiliated with Novant Health Thomasville Medical Center.

“Dr. Tom,” as he is commonly known, pursued his medical career and received his podiatric medical degree from Ohio College of Podiatric Medicine. A surgical residency program brought him to the Greensboro/Winston-Salem area.

Dr. Tom is certified in foot surgery by the American Board of Podiatric Surgery. He is also accredited by the American College of Foot Surgeons and is also an active member of the North Carolina Podiatric Medical Society.

Dr. William Tomaszewski has a proven track record of success. In the late 1990s, Dr. Tomaszewski lead a practice of five employees and grew it to 47 employees before successfully selling the operation in 2008.

T E N A N T P R O F I L ETENANT TRADE NAME Dr. Tom’s Foot & Ankle

OWNERSHIP Private

TENANT Dr. Tom’s Foot & Ankle

LEASE GUARANTOR Physician Guaranty

NUMBER OF LOCATIONS 2

HEADQUARTERED Greensboro, NC

T E N A N T O V E R V I E W



Winston-Salem is in Forsyth County, North Carolina. It is the second largest municipality in the Piedmont Triad region and the fifth largest city in the state. Winston-Salem is home to the tallest office building in the region, 100 North Main Street, formerly the Wachovia Building, and is now known locally as the Wells Fargo Center. In 2012, the city was listed among the “The 10 best places to retire” in the U.S. by CBS MoneyWatch.

Winston-Salem is called the “Twin City” for its dual heritage and “City of the Arts and Innovation” for its dedication to fine arts, theater, and technological research. “Camel City” is a reference to the city’s historic involvement in the tobacco industry related to locally-based R. J. Reynolds Tobacco Company’s Camel cigarettes. Many locals refer to the city as “Winston” in informal speech. “The Dash” is referenced from the hyphen between Winston and Salem and was popularized by the nickname of the local minor league baseball team, the Winston-Salem Dash.

ECONOMY

Although traditionally associated with the textile and tobacco industries, Winston-Salem is transforming itself to be a leader in the nanotech, high-tech and bio-tech fields. Medical research is a fast-growing local industry, and Wake Forest Baptist Medical Center is the largest employer in Winston-Salem. A portion of downtown Winston-Salem has been designated as the Wake Forest Innovation Quarter for biomedical and information technology research and development

ART AND CULTURE IN WINSTON-SALEM

Winston-Salem is replete with historical attractions. Reynolda Village, which includes Reynolda Gardens and the Reynolda House Museum of American Art, is a good example. The museum is housed in the former home of tobacco baron R.J. Reynolds. Built in the early twentieth century, the structure contains one of the premiere public collections of American art in the South. The Museum of Early Southern Decorative Arts (MESDA) is dedicated to the original decorative arts of America’s early South. Featured are the paintings, textiles, and furniture made and used in regional southern states up until the early 19th century. The Old Salem Children’s Museum is geared towards visitors under the age of ten and features a child-size early-Salem house, a secret tunnel, and old costumes which children can try on.

A B O U T W I N STO N - S A L E M

Top Employers # of Employees

1 Wake Forest Baptist Medical Center 11,7502 Novant Health 8,145

3 Winston-Salem/Forsyth County Schools 6,692

4 City/County Government 4,6895 Reynolds American, Inc. 3,0006 Wells Fargo 2,8007 Hanesbrands Inc. 2,2518 BB&T 2,2009 Wake Forest University 1,68010 Lowe's Foods 1,500



1-Mile 3-Mile 5-Mile 1-Mile 3-Mile 5-Mile 1-Mile 3-Mile 5-Mile

2010 Population 6,108 57,936 138,261 2010 Households 2,907 26,741 57,783 2018 Average HH Income $41,140 $80,387 $77,212

2018 Population 6,581 60,314 148,149 2018 Households 3,121 27,825 61,956 2018 Median HH Income $32,537 $53,444 $51,780

2023 Population 6,858 62,502 154,091 2023 Households 3,253 28,837 64,535 2018 Per Capita Income $19,510 $37,085 $32,290

DR. TOM’S FOOT AND ANKLE | WINSTON-SALEM, NC

MARCUS & MILLICHAP HEREBY ADVISES ALL PROSPECTIVE PURCHASERS OF NET LEASED PROPERTY AS FOLLOWS:

The i n f o rma t i on con t a i ned i n t h i s Ma r ke t i ng B rochu re has been ob t a i ned f r om sou rces we be l i e ve t o be r e l i ab l e. Howeve r, Ma rcus & M i l l i c hap has no t and w i l l no t ve r i f y an y o f t h i s i n f o rma t i on , no r has Ma rcus & M i l l i c hap conduc ted any i n ves t i ga t i on r ega rd i ng t hese ma t t e r s . Ma rcus & M i l l i c hap makes no gua ran t ee, wa r r an t y o r r ep resen t a t i on wha t soeve r abou t t he accu racy o r comp le t eness o f an y i n f o rma t i on p ro v i ded .

As t he Buye r o f a ne t l e a sed p rope r t y, i t i s t he Buye r ’s r e spons i b i l i t y t o i ndependen t l y con f i rm t he accu racy and comp le t eness o f a l l ma te r i a l i n f o rma t i on be fo re comp le t i ng any pu r chase. Th i s Ma rke t i ng B rochu re i s no t a subs t i t u t e f o r you r t ho rough due d i l i gence i n ves t i ga t i on o f t h i s i n ves tmen t oppo r t un i t y. Ma rcus & M i l l i c hap e xp ress l y den i e s any ob l i ga t i on t o conduc t a due d i l i gence e xam ina t i on o f t h i s P rope r t y f o r Buye r.

Any p ro j ec t i ons , op i n i ons , a s sump t i ons o r e s t ima tes used i n t h i s Ma r ke t i ng B rochu re a r e f o r e xamp le on l y and do no t r ep resen t t he cu r r en t o r f u t u r e pe r f o rmance o f t h i s p rope r t y. The va l ue o f a ne t l e a sed p rope r t y t o you depends on f ac to r s t ha t shou l d be e va l ua t ed by you and you r t a x , f i n anc i a l and l ega l adv i so r s .

Buye r and Buye r ’s t a x , f i n anc i a l , l ega l , and cons t r uc t i on adv i so r s shou l d conduc t a ca re f u l , i ndependen t i n ves t i ga t i on o f an y ne t l e a sed p rope r t y t o de t e rm ine t o you r sa t i s f ac t i on w i t h t he su i t ab i l i t y o f t he p rope r t y f o r you r needs .

L i ke a l l r ea l e s t a t e i n ves tmen t s , t h i s i n ves tmen t ca r r i e s s i gn i f i c an t r i s k s . Buye r and Buye r ’s l ega l and f i n anc i a l adv i so r s mus t r eques t and ca re f u l l y r e v i ew a l l l ega l and f i n anc i a l documen t s r e l a t ed t o t he p rope r t y and t enan t . Wh i l e t he t enan t ’s pas t pe r f o rmance a t t h i s o r o t he r l oca t i ons i s an impo r t an t cons i de r a t i on , i t i s no t a gua r an t ee o f f u t u r e success . S im i l a r l y, t he l ease r a t e f o r some p rope r t i e s , i n c l ud i ng new l y -cons t r uc t ed f ac i l i t i e s o r new l y - acqu i r ed l oca t i ons , may be se t based on a t enan t ’s p ro j ec t ed sa l e s w i t h l i t t l e o r no r eco rd o f ac t ua l pe r f o rmance, o r compa rab l e r en t s f o r t he a r ea . Re tu r ns a r e no t gua r an t eed ; t he t enan t and any gua r an to r s may f a i l t o pay t he l ease r en t o r p rope r t y t a xes , o r may f a i l t o comp l y w i t h o t he r ma te r i a l t e rms o f t he l ease ; cash f l ow may be i n t e r r up t ed i n pa r t o r i n who l e due t o ma rke t , econom ic, env i r onmen ta l o r o t he r cond i t i ons . Rega rd l e s s o f t enan t h i s t o r y and l ease gua r an t ees , Buye r i s r e spons i b l e f o r conduc t i ng h i s /he r own i n ves t i ga t i on o f a l l ma t t e r s a f f ec t i ng t he i n t r i n s i c v a l ue o f t he p rope r t y and t he va l ue o f an y l ong- t e rm l ease, i n c l ud i ng t he l i k e l i hood o f l oca t i ng a r ep l acemen t t enan t i f t he cu r r en t t enan t shou l d de f au l t o r abandon t he p rope r t y, and t he l ease t e rms t ha t Buye r may be ab l e t o nego t i a t e w i t h a po ten t i a l r ep l acemen t t enan t cons i de r i ng t he l oca t i on o f t he p rope r t y, and Buye r ’s l ega l ab i l i t y t o make a l t e r na t e use o f t he p rope r t y.

By accep t i ng t h i s Ma r ke t i ng B rochu re you ag ree t o r e l ease Ma rcus & M i l l i c hap Rea l E s t a t e I n ves tmen t Se r v i ces and ho l d i t ha rm less f r om any k i nd o f c l a im , cos t , e xpense, o r l i ab i l i t y a r i s i ng ou t o f you r i n ves t i ga t i on and /o r pu r chase o f t h i s ne t l e a sed p rope r t y.


B R O K E R O F R E C O R D : BENJAMIN YELM | MM RE IS NORTH CAROLINA | L ICENSE: 303785

3 8 0 4 V E S T M I L L R O A DW I N S T O N - S A L E M , N C 2 7 1 0 3

D R .TO M ’ SF OOT & A N K L E

Winston-Salem, North Carolina

Documents

DR. TOM’S FOOT & ANKLE€¦ · lead a practice of five employees and grew it to 47 employees before successfully selling the operation in 2008. TENANT PROFILE TENANT TRADE NAME