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Offering Memorandum Highly Passive NN Lease | New York State Location | Dense Retail Corridor Verizon Wireless 1200 Patterson Street | Ogdensburg, New York 13669 Representative Photo
Offering Memorandum
Highly Passive NN Lease | New York State Location | Dense Retail Corridor
Verizon Wireless1200 Patterson Street | Ogdensburg, New York 13669
Representative Photo
Confidentiality and Restricted Use Agreement
In Association With:John Rotunno NY Broker #10301211565
Stan Johnson Company6120 South Yale Avenue | Suite 300Tulsa, Oklahoma 74136 P: 918.494.2690
stanjohnsonco.com
Ken HedrickManaging [email protected]
Jerry HopkinsSenior [email protected]
D. Andrew [email protected]
Scott BriggsAssociate [email protected]
Offered Exclusively by
This Confidential Offering Memorandum (“COM”) is provided by Stan Johnson Company (“SJC”), solely for
your consideration of the opportunity to acquire the commercial property described herein (the “Property”).
This COM may be used only as stated herein and shall not be used for any other purpose, or in any other
manner, without prior written authorization and consent of SJC.
This COM does not constitute or pertain to an offer of a security or an offer of any investment contract. This
COM contains descriptive materials, financial information and other data compiled by SJC for the convenience
of parties who may be interested in the Property. Such information is not all inclusive and is not represented
to include all information that may be material to an evaluation of the acquisition opportunity presented.
SJC has not independently verified any of the information contained herein and makes no representations
or warranties of any kind concerning the accuracy or completeness thereof. All summaries and discussions
of documentation and/or financial information contained herein are qualified in their entirety by reference to
the actual documents and/or financial statements, which upon request may be made available. An interested
party must conduct its own independent investigation and verification of any information the party deems
material to consideration of the opportunity, or otherwise appropriate, without reliance upon SJC.
The Property may be financed or withdrawn from the market without notice, and its owner(s) reserve(s) the
right to negotiate with any number of interested parties at any time. The Property is offered and sold by its
owner(s) as is, where is, and with all faults, without representation or warranty of any kind except for any
customary warranties of title.
BY ACCEPTING THIS COM, YOU AGREE THAT: (1) all information contained herein, and all other information
you have received or may hereafter receive from SJC relating to the Property, whether oral, written or in any
other form (collectively, the “Information”), is strictly confidential; (2) you will not copy or reproduce, and
claim as your own without attribution to SJC, all or any part of this COM or the Information; (3) upon request
by SJC at any time, you will return and/or certify your complete destruction of all copies of this COM and the
Information; (4) for yourself and all your affiliates, officers, employees, representatives, agents and principals,
you hereby release and agree to indemnify and hold harmless SJC all of its affiliates, officers, employees,
representatives, agents and principals, from and with respect to any and all claims and liabilities arising from
or related to the receipt or use of this COM and/or any other Information concerning the Property; (5) you
will not provide this COM or any of the Information to any other party unless you first obtain such party’s
acceptance and approval of all terms, conditions, limitations and agreements set forth herein, as being
applicable to such party as well as to you; and (6) monetary damages alone will not be an adequate remedy
for a violation of these terms and that SJC shall be entitled to equitable relief, including, but not limited to,
injunctive relief and specific performance, in connection with such a violation and shall not be required to post
a bond when obtaining such relief.
Table of Contents
Section 1: About the Investment
The Offering & Investment Highlights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Pricing & Property Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Section 2: About the Tenant
Tenant Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Section 3: About the Property
Lease Abstract & Rent Roll . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Property Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Section 4: About the Location
Location Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Aerial Map . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Demographics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Representative Photo
Section One
About the Investment
Verizon Wireless • Ogdensburg, NY 5
The OfferingStan Johnson Company is pleased to offer for sale to qualified investors the opportunity
to acquire the fee simple interest in the land and the building of a single tenant retail
facility located in Ogdensburg, New York.
The Property consists of 2.50 acres and a 2,500 square foot build-to-suit cellular
retail sales facility that was constructed specifically for the Tenant with an initial rent
commencement occurring in August 2013. The Property is situated near the intersection
of New York 812 and Patterson Street in the heart of Ogdensburg’s retail district. Area
tenants include Peebles, Walgreens, Monro Muffler, Buster’s Sports Bar, ALDI, Advance
Auto, McDonald’s, Burger King and many more. Average daily traffic counts include
more than 12,000 vehicles per day. Ogdensburg is an international city with much of
its industry supporting exports to Canada as it offer direct access to Canada’s fourth
largest MSA – Ottawa – via the only U.S. Port on the St. Lawrence Seaway and via the
Ogdensburg-Prescott International Bridge. It also offers access to the second largest
MSA – Montreal.
The Tenant’s lease is for a period of ten (10) years, commencing in August 2013, with two
(2) options to extend the lease for a period of five (5) years each. Rent is $75,000 net to
Landlord with responsibilities limited to maintenance of roof, structure and parking.
Cellular Sales of New York LLC, the Tenant, occupies the Property and utilizes it as a
cellular retail sales facility serving the St. Lawrence County Market. Cellular Sales of
New York LLC is an authorized retailer for Verizon Communications, Inc. – a worldwide
leading provider of communications, information and entertainment products. Verizon
Communications, Inc. (NYSE: VZ) hold an investment grade credit rating (S&P: BBB+)
and generated over $127 billion in sales in 2014 yielding it nearly $10 billion in net income.
It also maintains a net worth in excess of $9 billion.
Investment HighlightsLong Term Lease – 10 Year Primary Lease Term, Commenced
in August 2013
Highly Passive NN Lease – Highly passive NN Lease with
Landlord Responsibilities Limited to Maintenance of Roof,
Structure and Parking
Retail Corridor – The Subject Property is well located within
a retail corridor amongst many national tenants including
Walgreens, ALDI, Peebles, Advance Auto and more
Good Demographics – Average Household Incomes in Excess
of $50k+
Port City Location – The Subject Property is well located
within the Ogdensburg market, with direct access to Ottawa
(4th Largest MSA in Canada) and Montreal (2nd Largest MSA
in Canada) – Only Port and Bridge along the Saint Lawrence
Seaway
Leading Communications Provider – Verizon Wireless, Inc.
Sizeable Operator – Cellular Sales is an authorized retailer
for Verizon WIreless, Inc. and it operates over 600 locations
nationwide.
Purchase Price: $1,034,483 Cap Rate: 7.25%
Verizon Wireless • Ogdensburg, NY 6
Pricing Overview
Offering Price: $1,034,483
Offering Cap Rate: 7.25%
Current Rent: $75,000
Tenant: Cellular Sales of New York, LLC (NY)
Property Overview
Building Size: 2,500 SF
Land Area: 2.5 acres
Year Built: 2013
Parcel ID: 406489-059-024-0004-003-001-0000
Interest: Fee Simple
Section Two
About the Tenant
Verizon Wireless • Ogdensburg, NY 8
Tenant OverviewVerizon Communications Inc., (NYSE: VZ) headquartered in New York, is a holding
company that, acting through its subsidiaries,
is one of the world’s leading providers of
communications, information and entertainment
products and services to consumers, businesses
and governmental agencies.
With a presence around the world, Verizon offers
voice, data and video services and solutions
on its wireless and wireline networks that are
designed to meet customers’ demand for
mobility, reliable network connectivity, security
and control. Cellular Sales is a management
company that operates authorized wireless
phone stores for Verizon Wireless throughout
the United States. Cellular Sales is an exclusive
retailer for Verizon Wireless products and
services. Since 1993, when the company was
founded in Knoxville, TN as a retailer for Cellular
One, Cellular Sales has experienced more than
22 consecutive years of positive growth. For
the past five years, Inc. Magazine has named
Cellular Sales one of the nation’s fastest growing
retail companies in the country. This year, Inc.
Magazine listed Cellular Sales at No. 61 on its list
of the nation’s fastest growing retail companies
according to gross dollars of growth. With more
than 550 stores in locations across the South,
Midwest and mid-Atlantic regions and over
4,600 employees the prospects are positive for
this growth company. Inc. Magazine estimates
that 2014 revenue was $1.27 billion.
Verizon Communications Inc. was formed in June
2000, with the merger of Bell Atlantic Corp.
and GTE Corp. Verizon began trading on the
New York Stock Exchange (NYSE) under the VZ
symbol in July 2000. It also began trading on
the NASDAQ exchange under the same symbol
on March 10, 2010. Verizon Communications was
added to the Dow Jones Industrial Average in
2004. Verizon has a highly skilled, diverse and
dedicated workforce of approximately 177,300
employees as of December 31, 2014.
Tenant Profile
Tenant: Cellular Sales of New York, LLC (NY)
Parent: Cellular Sales of Knoxville, Inc.
Brand: Verizon Communications, Inc.
Tenant Business: Telecommunications
Headquarters: New York, NY
Traded As: NYSE: VZ
Credit Rating: S&P: BBB+/Stable
Total Revenue (FY2014): $127.079 billion
Net Income (FY2014): $9.625 billion
Net Worth (3/31/2015): $9.339 billion
Number of Employees: 177,300 (as of 12/31/2014)
Website: www.verizon.com
Representative Photo
Section Three
About the Property
Verizon Wireless • Ogdensburg, NY 10
Lease Abstract
Tenant: Cellular Sales of New York, LLC (NY)
Trade Name: Verizon Wireless
Occupancy: 100%
Address: 1200 Patterson Street, Ogdensburg, NY 13669
Lease Execution: April 26, 2013
Rent Commencement: August 1, 2013
Current Expiration: July 31, 2023
Initial Term: Ten (10) Years
Renewal Options: Two (2), Five (5) Year
Renewal Notice: 180 Days
Term Remaining: 7.1 Years
Expense Structure: NN Lease - Roof, Structure & Parking
Taxes: Tenant pays as Additional Rent the Real Estate Taxes assessed against the Premises and Building.
Utilities: Tenant pays directly and reimburses Landlord if billed.
LL Maintenance: Landlord agrees to maintain the exterior of the Building, including the structure, roof, foundation, sidewalks and façade of the Building.
Estoppel Period: Twenty (20) Days
Rent RollPERIOD LEASE YR. BEGIN END NOTICE ANNUAL $/SF
Initial Term Years 1 - 5 8/1/2013 7/31/2018 $75,000.00 $30.00
Initial Term Years 6 - 10 8/1/2018 7/31/2023 2/1/2023 $75,000.00 $30.00
1st Option Years 11 - 15 8/1/2023 7/31/2028 2/2/2028 $75,000.00 $30.00
2nd Option Years 16 - 20 8/1/2028 7/31/2033 $75,000.00 $30.00
Verizon Wireless • Ogdensburg, NY 11
Property Overview
Interest: Fee Simple
Address: 1200 Patterson Street
City, State, Zip: Ogdensburg
County: Saint Lawrence
Town: Oswegatchie
Parcel ID: 406489-059-024-0004-003-001-0000
Year Built: 2013
Type: Retail - Freestanding
No. of Buildings: One
Stories: One
Land Area (Acres): 2.500
Land Area (SF): 108,900
Total RBA: 2,500
Frontage: 78' on Patterson Street
Section Four
About the Location
Location OverviewOgdensburg is a city in St. Lawrence County, New York. The population was
11,128 at the 2010 census. Ogdensburg has become a cross-border shipping
center due to Canadians ordering goods on the internet and having them
delivered to package receiving companies in Ogdensburg, and then driving
to Ogdensburg to bring the items into Canada themselves.
The Port of Ogdensburg is the only U.S. port on the St. Lawrence Seaway.
The Ogdensburg–Prescott International Bridge, northeast of the city, links
the United States and Canada, with a direct highway from Prescott to
Ottawa, the capital of, and the fourth largest MSA in, Canada.
St. Lawrence County, a delightfully rural mix of farms, forests and small
towns, is the largest county in New York State and the fifth largest United
States county east of the Mississippi River. The beautiful St. Lawrence River
forms the boundary between St. Lawrence county and its neighboring
counties in Ontario, Canada. The northern gateway to the fabulous
Thousand Islands area is found in St. Lawrence’s river Towns of Morristown
and Hammond.
Acco Corp. chose to locate its eastern North America distribution center in
Ogdensburg, and the Cives Corp. distributes structural steel throughout the
Northeastern U.S. from its facility in the Village of Gouverneur. St. Lawrence
County is conveniently located close to Ottawa, Ontario (Canada’s
capital city), and to Montreal, Quebec (North America’s French-speaking
metropolis).
St. Lawrence County is also home to SUNY Potsdam and its Crane School
of Music, Clarkson University, St. Lawrence University, SUNY Canton
Technical College, SUNY College of Environmental Science and Forestry’s
Ranger School, and Wadhams Hall and Seminary.
Ogdensburg Armory Ogdensburg Lighthouse Ogdensburg-Prescott International Bridge
Northern Equipment
Claxton-Hepburn Medical Center
Ogdensburg City School
District
John F Kennedy School
NW Technical
School
Madill Elementary
Ogdensburg International
Airport
Stat
e Hw
y 37
(11,9
66 V
PD)
State Hwy 68 (6,658 VPD)
Howland Pump & Supply
Ogdensburg Water Treatment
Rishe’s Auto
Ogdensburg Police Dept.
Ogdensburg Public Library
Ogdensburg Business Center
Ogdensburg Cinemas
Ogdensburg Journal
Lockwood Civic Center
United Helpers
Demographics1200 Patterson St. | Ogdensburg, NY 0-1 mi. 0-3 mi. 0-5 mi.
Population
2000 Population 7,168 13,545 15,091
2010 Population 6,827 12,374 13,849
2015 Population 6,897 12,363 13,854
2020 Population 6,963 12,347 13,847
2010-2015 Annual Rate 0.19% -0.02% 0.01%
Households
2000 Households 2,841 4,630 5,130
2010 Households 2,766 4,552 5,100
2015 Total Households 2,818 4,549 5,107
2020 Total Households 2,850 4,546 5,110
2010-2015 Annual Rate 0.36% -0.01% 0.03%
Race and Ethnicity
2015 White Alone 96.5% 89.0% 89.0%
2015 Black Alone 0.6% 6.6% 6.6%
2015 American Indian/Alaska Native Alone 0.7% 0.8% 0.7%
2015 Asian Alone 0.7% 0.8% 0.8%
2015 Pacific Islander Alone 0.0% 0.0% 0.0%
2015 Other Race 0.1% 1.5% 1.5%
2015 Two or More Races 1.5% 1.4% 1.4%
2015 Hispanic Origin (Any Race) 1.0% 3.4% 3.4%
2015 Median Household Income $37,209 $37,648 $38,711
2015 Average Household Income $48,879 $50,241 $51,813
Verizon Wireless • Ogdensburg, NY 16
going beyond
The information contained herein was obtained from sources believed reliable, however, Stan Johnson Company makes no guaranties, warranties or representations as to the completeness thereof. The presentation of this property for sale, rent or exchange is submitted subject to errors, omissions, change of price or conditions, or withdrawal without notices.
Ken HedrickManaging [email protected]
Jerry HopkinsSenior [email protected]
D. Andrew [email protected]
Scott BriggsAssociate [email protected]
Stan Johnson Company6120 South Yale Avenue | Suite 300Tulsa, Oklahoma 74136 P: 918.494.2690
stanjohnsonco.com
In Association With:John Rotunno NY Broker #10301211565
