Fresenius Medical Care
701 East Lauchwood Drive, Laurinburg, North Carolina 28352
Total Price: $2,942,000
Cap Rate: 6.26%
This free-standing Fresenius Medical Care dialysis clinic is located in the diverse economic market of Laurinburg, North Carolina. Scotland Memorial Hospital was founded in 1946 and has grown to a 104 bed acute care facility.
East Lauchwood Drive, Laurinburg, North Carolina
The property is situated on a corner location with close proximity to Scotland Memorial Hospital and Interstate 74. The site is located within the medical area of Laurinburg while surrounding tenants include dental and family physician offices etc.
This free-standing Fresenius Medical Care dialysis clinic is located in the diverse economic market of Laurinburg, North Carolina. The property is situated on a corner location with close proximity to Scotland Memorial Hospital and Interstate 74. The site is located within the medical area of Laurinburg while surrounding tenants include dental and family physician offices, Scotland County Neurology, Eaton Park Hospice, Scotland Memorial Hospital and several other medical tenants. Scotland Memorial Hospital was founded in 1946 and has grown to a 104 bed acute care facility. Today, Scotland Health Care System is a community owned and controlled organization and consists of several care facilities and clinics within Laurinburg and Scotland county.
- Tenant:Bio-Medical Applications of North Carolina, Inc.
- Lease Guarantor:Fresenius Medical Care Holdings, Inc.
- Cap Rate:6.26%
- Annual Rent:$184,164
- Gross Leasable Area:10,625 sq. ft.
- Minimum Investment: $150,000
- Rent Increases: 14% on 11/1/16
- Renewal Options: 3 5-year options
- Lease Term: 10/25/2002 – 10/31/2023
- Lot Size: 63,461 sq. ft. (1.46 Acres)
- Year Built: 2003
- Lease Type: NN
- Fresenius Medical Holdings, Inc., a subsidiary of Fresenius Medical Care Ag & Co KGAA – the world’s largest dialysis operator
- 1,832 clinics in North America
- Net income of $621 million*
- Annual revenues of $8.03 billion and a net worth of $7.95 billion*
- Located in Laurinburg, NC, a diverse economic city
- Corner location with close proximity to Interstate 74
- Located within the medical area of Laurinburg with several medical tenants including Scotland Memorial Hospital, a 104 bed acute care facility
- Long-term net lease – 11 years remain on initial term
- 14% rent increase November 1, 2016
- 6.60% Average cap rate over remaining lease term**
- About the Parent Company
Fresenius Medical Care Ag & Co KGAA (NYSE: FMS) is the world’s largest integrated provider of products and services for individuals undergoing dialysis because of chronic kidney failure, a condition that affects more than two million individuals worldwide and is expected to grow to more than three million by 2020. Through over 2,900 kidney dialysis clinics in North America, Europe, Latin America, Asia-Pacific and Africa, they provide treatment to more than 230,000 patients. FMS is, also, the world’s pre-eminent provider of dialysis products such as hemodialysis machines, dialyzers and related disposable products. Fresenius Medical Care’s 2011 revenues were $12.79 billion, resulting in a net income of $1.07 billion. As of December 31, 2011 FMS had total shareholder’s equity of $7.90 billion.
About the Lease Guarantor
Fresenius Medical Care Holdings, Inc. (FMCH), which guarantees the lease, conducts business under the trade name Fresenius Medical Care North America. FMCH is a wholly owned subsidiary of Fresenius Medical Care and was responsible for 60% of FMS’s revenues in 2011.
- Headquartered in Waltham, Massachusetts, FMCH employs 45,000 people and is the leading provider of kidney dialysis services and renal care products in North Americ.
- FMCH have more than 1,800 kidney dialysis clinics and care for nearly 142,000 patients in the United States.
- FMCH is composed of two divisions. Fresenius Medical Services, which provides ongoing dialysis treatment for patients through their network of national facilities, and The Renal Therapies Group, which manufactures and distributes a variety of dialysis products and equipment.
Founded in 1970, AEI is one of America’s oldest sponsors of net lease real estate investment programs and a leader in the TIC- 1031 exchange industry. AEI is a national source of high quality, commercial real estate for property owners engaged in 1031 tax-deferred property exchanges. AEI has specialized in developing, evaluating and purchasing these types of properties for more than 35 years and offers a portfolio of name-brand, net leased commercial retail properties.
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- Accounting and distribution of rental income
- Year-end 1099 forms for tax reporting
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- Monitoring lease compliance, tax and insurance payments, and property maintenance by the tenant