CSRA 2700 S. LAS VEGAS, DST

Location: 2700 S. Las Vegas Boulevard, Las Vegas, NV 89109

PROPERTY DETAILS

STRUCTURE: Net lease

  • OPTIONS: Four extensions of five years
  • LOCATION: North end of the Las Vegas Strip
  • LEASE: 22-year lease with 15 years remaining

The property is 100% leased by Nevada CVS Pharmacy, LLC and guaranteed by CVS Caremark Corporation (NYSE:CVS), the largest provider of prescriptions and related healthcare services in the U.S.

Las Vegas Boulevard, Las Vegas, NV

Located at the north end of the Las Vegas Strip, on the ground floor of Sky Las Vegas, a 45-story high-rise luxury condo development, the property is surrounded by new development activity, including the SLS Las Vegas.

INVESTMENT HIGHLIGHTS

The property is 100% leased by Nevada CVS Pharmacy, LLC and guaranteed by CVS Caremark Corporation (NYSE:CVS), the largest provider of prescriptions and related healthcare services in the U.S. Located at the north end of the Las Vegas Strip, on the ground floor of Sky Las Vegas, a 45-story high-rise luxury condo development, the property is surrounded by new development activity, including the SLS Las Vegas currently under construction on the site of the former Sahara Hotel & Casino.

This 1,600-room boutique resort is estimated to cost $300 million and is scheduled to open in 2014. The property is also close to Resorts World Las Vegas, currently under construction, and the previous site of the Stardust Hotel and Casino. The project is estimated at $2 to $7 billion and is scheduled to open in 2016. The Asian-themed resort will feature: 3,500 rooms, a 175,000-square-foot casino, multiple luxury dining options, 250,000 square feet of retail space and 500,000 square feet of convention space, providing tens of thousands of jobs to the local residents.

PROPERTY DETAILS

  • LEASE: 22-year lease with 15 years remaining (expires June 2029)
  • STRUCTURE: Net lease
  • OPTIONS: Four extensions of five years, each with rent bumps
  • INVESTMENT GRADE TENANT: Lease is guaranteed by CVS Caremark Corporation, which has an investment grade credit rating
  • LOCATION: North end of the Las Vegas Strip

CVS CAREMARK CORPORATION

The guarantor of the lease is CVS Caremark Corporation, the largest provider of prescriptions and related health care services in the US. CVS Caremark is listed on the New York Stock Exchange (NYSE:CVS) and has investment grade credit ratings of BBB+ by Standard & Poor’s and Baa1 by Moody’s.

As of September 30, 2013, CVS Caremark’s retail pharmacy segment operated a total of 7,601 retail drugstores in 42 states. CVS Caremark’s net revenue for the nine months ended September 30, 2013 was $93.979 billion, an increase of 2.4% over the prior year’s comparable period. Net income for the nine months ended September 30, 2013 was $3.331 billion.

ABOUT CAPITAL SQUARE

Capital Square 1031, LLC specializes in the creation and management of real estate investment programs for Section 1031 exchange investors and other investors using the Delaware Statutory Trust structure. Louis J. Rogers, founder and chief executive offi cer of Capital Square, has been involved in the creation and management of more than 100 investment offerings totaling over $3 billion, including DSTs, tenant-in-common offerings, numerous real estate funds, and multiple publicly registered non-traded real estate investment trusts.