NNN One Ridgmar Centre, LLC

Available for §1031 exchange w llc investment

Offering Purchase Price: $27,350,000

Offering Price Per SF: $160.37

  • Purchase Date: 3rd Quarter 2007
  • Offering LTV: 56.67%
  • Offering Price Cap Rate: 5.55%
  • 1st Year Cash Flow: 6.25%

One Ridgmar Centre is a ten-story, multi-tenant office building totaling nearly 171,000 square feet in Fort Worth, Texas. The property is approximately 30 miles from the Dallas/Fort Worth International Airport and enjoys convenient access to Interstate 30 and the 1.2 million-square-foot Ridgmar Mall.

Available for §1031 exchange w llc investment

Built in 1986, One Ridgmar Centre is clad in white marble, granite paneling, and features an on-site deli, banking facilities, and a pass card security system.

Property Summary

One Ridgmar Centre is a ten-story, multi-tenant office building totaling nearly 171,000 square feet in Fort Worth, Texas. The property is approximately 30 miles from the Dallas/Fort Worth International Airport and enjoys convenient access to Interstate 30 and the 1.2 million-square-foot Ridgmar Mall. Built in 1986, One Ridgmar Centre is clad in white marble, granite paneling, and features an on-site deli, banking facilities, and a pass card security system. A five-story, 552-space parking deck, along with 64 surface spaces, offers ample parking to tenants and visitors. One Ridgmar Centre is 94 percent occupied by numerous tenants, including Computer Sciences Corporation, General Motors Acceptance Corporation, Approach Resources, Inc. and Principal Life Insurance Company.

Property Information

  • Address: 6500 West Freeway (Interstate 30) Fort Worth, TX 76116
  • Building Type: Office
  • Year Built: 1986
  • Total SF: 170,545
  • % Leased: 94%

TIC Offering

  • Offering Size: $11,850,000
  • Price Per 1% Ownership: $118,500 equity and $155,000 assumed debt
  • Minimum Investment per SPE: 3.00% = $355,500 equity and $465,000 assumed debt for a total purchase price of $820,500
  • Suitability: Accredited Investors Only

LLC Offering

  • Offering Size: $592,500
  • Price Per Unit: $5,000
  • Minimum Investment: $25,000
  • Suitability: Accredited investors only

Business Plan

  • Preserve the capital investment.
  • Realize income through the acquisition, operation and sale of the
    property.
  • Make monthly distributions, which may be partially tax-deferred as a result of depreciation and amortization expenses.
  • Within approximately eight years, profitably sell the property based on the value added through effective management and operation of the property.
  • There is no guarantee that the business plan will be successfully executed, that the property’s value will be enhanced, or that the property will be sold within the planned time period.
  • There is a large dependence on a single tenant, Computer Sciences Corporation (“CSC”) that leases 80,656 square feet of office space, for approximately 47 percent of the property. 
  • Unless extended, the leases representing approximately 92 percent of the property will expire within the next five calendar years. In addition leases representing approximately 55 percent of the property contain early termination options. 

Major Tenants (17 Total Tenants)

Computer Sciences Corporation
www.csc.com
Square Feet: 61,837 Lease Expiration: 06/2011*
Square Feet: 18,819 Lease Expiration: 09/2009*

Computer Sciences Corporation (“CSC”) operates in the information technology (“I/T”) and professional services industry worldwide. CSC offers I/T and business process outsourcing, and I/T and professional services. Its I/T and professional services include systems integration, consulting, and other professional services. CSC offers its services to various customers in the aerospace/defense, automotive, chemical and energy, consumer goods, financial services, healthcare, manufacturing, retail/distribution, telecommunications, and utilities industries primarily in the North American, European and Asia Pacific regions. Founded in 1959, CSC is headquartered in El Segundo, California and has approximately 77,000 employees in eighty countries worldwide. In fiscal year 2006, CSC reported record major business awards of $12.1 billion from continuing operations. Revenue from continuing operations for the fourth quarter was $3.88 billion, up 3% over last year s comparable quarter.

General Motors Acceptance Corporation
www.gmacfs.com
Square Feet: 15,116 Lease Expiration: 02/2008

Founded in 1919 as a wholly owned subsidiary of General Motors Corporation, General Motors Acceptance Corporation (“GMAC”) was established to provide GM dealers with the automotive financing necessary for the dealers to acquire and maintain vehicle inventories and to provide customers the means by which to finance vehicle purchases through GM dealers. In 2006, General Motors Corporation sold a 51 percent controlling interest in GMAC to a consortium of investors led by Cerberus Capital Management, L.P., a private investment firm, and including Citigroup Inc., Aozora Bank Ltd. and a subsidiary of The PNC Financial Services Group, Inc. GMAC has extended more than $1.3 trillion in credit to finance upwards of 158 million vehicles. Currently, GMAC operates throughout forty companies and employs approximately 34,000 employees worldwide. GMAC posted record earnings in 2005, generating nearly $2.4 billion in net income on net revenues of $19.2 billion, and holds more than $300 billion in assets.

Approach Resources Inc.
Square Feet: 12,859 Lease Expiration: 10/2012

Approach Resources Inc. (“Approach Resources”) takes a different approach to natural gas and oil exploration, development and production. Specializing in finding and exploiting unconventional reservoirs, Approach Resources operates primarily in West Texas’ Ozona Northeast field and is also developing its operations in Western Kentucky and Northern New Mexico. Approach Resources’ unconventional designation results from a focus on developing natural gas reserves in tight gas sands and shale areas, necessitating a reliance on advanced completion, fracturing and drilling techniques. Approach Resources has proved reserves of approximately 149 billion cubic feet equivalent to a reserve life index of approximately 19 years.

Location Information

Established in 1849, Fort Worth, Texas was founded as a military outpost on the Trinity River to protect westward moving settlers from frequent Indian attacks. Today, it is the fifth-largest city in Texas and the eighteenth-largest city in the United States. Fort Worth has traditionally been a diverse center of manufacturing, with industries ranging from clothing and food products to aviation equipment and plastics. Over the last three years, the Fort Worth/Arlington metropolitan area has created over 27,000 new jobs, reducing the unemployment rate to 3.8 percent, the lowest level in the past six years, and significantly less than the national average.

Office Market

  • The West Fort Worth submarket is comprised of 6,400,000 square feet and is currently 91.1% occupied, outperforming the current occupancy for the Dallas/Fort Worth submarket of 84%.
  • The short-term forecast calls for overall positive growth in office workers through year-end 2008. Total net absorption is forecasted to be positive 170,000 square feet.
Economic Trends
  • Over the last three years the Fort Worth/Arlington metro area has created over 27,000 new jobs, reducing the unemployment rate to 3.8%, the lowest level in the last six years. This is below the national unemployment rate for April 2007 of 4.5%.
  • Fort Worth grew by 30,201, or 4.8%, from July 2005 to July 2006, the sixth largest percentage gain in the country and the highest for a city with a population of over 500,000. Numerically, this was the third largest amount, trailing only Phoenix and San Antonio.

ABOUT Triple Net Properties, LLC

Triple Net Properties, LLC has time-tested experience in real estate syndications, acquisitions, development, construction, leasing and property management. Triple Net currently manages a growing portfolio of over 34 million square feet of property in 28 states valued at more than $4.6 billion. Although past performance is no guarantee of future results, Triple Net Properties, LLC has an unparalleled track record and has acquired 249 properties to date. Triple Net and affiliates have sold 90 properties for over $2.0 billion since 2000.

Triple Net Properties, LLC is a wholly-owned subsidiary of NNN Realty Advisors, Inc., a nationwide commercial real estate asset management and services firm.