offering memorandum...mckinney is located just 30 miles north of dallas. with its tree-lined...

OFFERING MEMORANDUM

McKinney Medical

4601 MEDICAL CENTER DRIVE | MCKINNEY, TEXAS 75069

searchcommercial.com


page 2

The Property is being offered for sale in an “as-is, where-is” condition and

the Seller and the Representative make no representations or warranties as

to the accuracy of the information contained in this Offering Memorandum.

The enclosed materials include highly confidential information and are

being furnished solely for the purpose of review by prospective Purchasers

of the interest described herein. Neither the enclosed materials, nor any

information contained herein, are to be used for any other purpose, or

made available to any other person without the express written consent

of the Seller. Each recipient, as a prerequisite to receiving the enclosed

information, should be registered with Transwestern as a “Registered

Potential Investor” or as “Buyer’s Representative” for an identified

“Registered Potential Investor”. The use of this Offering Memorandum

and the information provided herein is subject to the terms, provisions and

limitations of the confidentiality agreement furnished by the Agent prior to

delivery of this Offering Memorandum.

The enclosed materials are being provided solely to facilitate the prospective

investor’s own due diligence for which it shall be fully and solely responsible.

The material contained herein is based on information and sources deemed

to be reliable, but no representation or warranty, express or implied, is

being made by the Representative or the Seller or any of their respective

representatives, affiliates, officers, employees, shareholders, partners and

directors, as to the accuracy or completeness of the information contained

herein. Summaries contained herein of any legal or other documents are not

intended to be comprehensive statements of the terms of such documents,

but rather only outlines of some of the principal provisions contained

therein. Neither the Representative or the Seller shall have any liability

whatsoever for the accuracy or completeness of the information contained

herein, or any other written or oral communications, or information

transmitted, or made available, or any action taken, or decision made by

the recipient with respect to the Property. Interested parties are to make

their own investigations, projections and conclusions without reliance upon

the material contained herein. The Seller reserves the right, at its sole and

absolute discretion, to withdraw the Property from being marketed for

sale at any time and for any reason. The Seller and the Representative each

expressly reserve the right, at their sole and absolute discretion, to reject

any and all expressions of interest or offers regarding the Property and/or

to terminate discussions with any entity at any time, with or without notice.

This Offering Memorandum is made subject to omissions, corrections or

errors, change of price or other terms, prior sale or withdrawal from the

market without notice. The Representative is not authorized to make any

representations or agreements on behalf of the Seller.

The Seller shall have no legal commitment or obligation to any interested

party reviewing the enclosed materials, performing additional investigation

and/or making an offer to purchase the Property unless and until a

binding written agreement for the purchase of the Property has been fully

executed,delivered and approved by the Seller and any conditions to the

Seller’s obligations thereunder have been satisfied or waived.

By taking possession of and reviewing the information contained herein,

the recipient agrees that (a) the enclosed materials and their contents are

of a highly confidential nature and will be held and treated in the strictest

confidence and shall be returned to the Representative or the Seller

promptly upon request; and (b) the recipient shall not contact employees

or tenants of the Property directly or indirectly regarding any aspect of

the enclosed materials or the Property without the prior written approval

of the Seller or the Representative; and (c) no portion of the enclosed

materials may be copied or otherwise reproduced without the prior

written authorization of the Seller or the Representative or as otherwise

provided in the Confidentiality and/or Registration Agreement executed

and delivered by the recipient(s) to Search Commercial.

The Seller will be responsible for any commission due to the Representative

in connection with a sale of the Property. Each prospective purchaser

will be responsible for any claims for commissions by any other broker

or agent in connection with a sale of the Property if such claims arise

from acts of such prospective purchaser or its broker/agent. Any Buyer’s

Representative must provide a registration signed by the prospective

investor acknowledging said agent’s authority to act on its behalf.

DISCLOSURE

DARRYL COTHRON O 972.810.4295C [email protected]

DANE THOMSON O 972.810.4302C 214.682.9005 [email protected]

SEARCH COMMERCIAL16818 North Dallas Parkway Suite 200Dallas, Texas 75248

CALL FOR DETAILED INFORMATION


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White RockWhite RockLakeLake

GrapevineGrapevineLakeLake

MountainMountain

Creek LakeCreek Lake

NorthNorthLakeLake

AddisonAddisonAirportAirport

Dallas/Fort WorthDallas/Fort WorthInternationalInternational

AirportAirport Dallas Love FieldAirport

Dallas Love FieldAirport

HIGHLANDPARK

HIGHLANDPARK

ALLENALLEN

PLANOPLANO

CARROLLTONCARROLLTON

LEWISVILLELEWISVILLE

FLOWER MOUNDFLOWER MOUND

GRAPEVINEGRAPEVINE

FARMERSFARMERSBRANCHBRANCH

RICHARDSONRICHARDSON

GARLANDGARLAND

MESQUITEMESQUITE

OAK CLIFFOAK CLIFF

ADDISONADDISON

ARLINGTONARLINGTON GRAND PRAIRIEGRAND PRAIRIE

IRVINGIRVING

HURSTHURST

COPPELLCOPPELL

THE COLONYTHE COLONY

HIGHLANDHIGHLANDVILLAGEVILLAGE

CBDCBD

LewisvilleLewisvilleLakeLake

McKINNEYMcKINNEYCORINTHCORINTH

FRISCOFRISCO

Sam Rayburn Tollway

Sam Rayburn Tollway

LITTLELITTLEELMELM

PROSPERPROSPER

EULESSEULESS

DENTONDENTON

DALLASDALLAS

Lake RayLake RayHubbardHubbard

Dallas North TollwayDallas North Tollway

SOUTHLAKESOUTHLAKE

COLLEYVILLECOLLEYVILLEWATAUGAWATAUGA

KELLERKELLER

FORTWORTHFORTWORTH

TROPHYCLUBTROPHYCLUB

McKinneyMedical

N

Triple Net Rents

5:1,000 parking

Directly adjacent to Medical City McKinney

Superior access to Highway 75 and Sam Rayburn Tollway

Existing high-end interior finishes and fixtures available

Available suites ranging from 2,400 sf to 5,300 sf

Recent common area renovations

PROMENADE MEDICAL/OFFICE/RETAIL CENTER FOR SALE400 North Coit Road · Richardson, TX 75080

88,331 Square feet

71% occupied

(8) individual buildings

Centrally located on Coit Rd. with easy access to major freeways

Anchored by Walmart Neighborhood Grocery Store

Mix-use: retail, office & medical users

Highly visible

Plush landscaping in courtyard

Parking: 4/1000 100% surface free

Value-add opportunity

COIT ROAD

N

Investment Highlights


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FLOOR PLAN

BEHAVIOR4,100 USF4,374 RSF

Leased

Vacant


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TENANTDavita Healthcare Partners

NET RENTABLE AREA:9,285 square feet

PERCENT OF PROPERTY:27.3% of building

LEASE EXPIRATION:July 31, 2032

AT THE PROPERTY SINCE:2017

FOUNDED IN: 1992

SUITES OCCUPIED:Suite G

COMPANY HIGHLIGHTS:• An American managed care provider that operates practices in several states and 9 countries. The

company is a subsidiary of DaVita Inc. with approximately 70,800 employees and serves more than 1.7 million patients.

CURRENT TENANT INFORMATION

(NYSE) DVA


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TENANTBehavior Network



LEASE EXPIRATION:December 31, 2026


FOUNDED IN: 2014

SUITES OCCUPIED:Suites E, F, H and I

COMPANY HIGHLIGHTS:• Behavior Network was founded on the principle of providing effective evidence-based Applied

Behavior Analysis (ABA) practices for individuals across the lifespan from children to adults. Clients typically visit with severe behaviors; they may have a diagnosis that includes Autism, Aspergers, Intellectual Disability or Mental Illness. It’s recognize that it is challenging to navigate behavioral health services alone; that is why Bahavior Network specializes in working with individuals and their families in forming collaborative relationships with local agencies and professionals that will meet their unique needs.


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TENANTMcKinney Care Pharmacy



LEASE EXPIRATION:June 30, 2023


FOUNDED IN: 2016

SUITES OCCUPIED:Suite B

COMPANY HIGHLIGHTS:• Specialty compounding pharmacy


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45 fortune 1,000headquarters

22fortune 500

headquarters

155headquarters that employ at least

1,000 employees

MARKET OVERVIEW OVERVIEWDallas / Fort Worth (“DFW”) is the largest metropolitan area in Texas and the fastest growing metropolitan area in the United States, with over 7,117,800 people, more than 25% of the entire population of Texas. The Metroplex has showed more growth than other cities adding some 1.6M people since 2000. DFW added approximately 146,000 residents in 2010, more than any other metropolitan area in the United States.

TRANSPORTATIONDFW’s location within the central time zone, transportation infrastructure, young and educated labor force, diverse economy and pro-business local governments foster a prosperous economic environment that provide an outstanding base for future growth. The Metroplex is roughly equidistant from the four largest metropolitan areas in North America: New York, Los Angeles, Chicago, and Mexico City. The Metroplex’s success as a “World-class” leader in transportation is a result of its excellent airports, interstate highway system and emerging rail routes. DFW is at the confluence of the three-nation North American Free Trade Agreement (NAFTA) and, as such, 70% - or some $375B - of exports to Mexico are routed directly though DFW annually.

INDUSTRYThe Dallas/Fort Worth economy consists of a diverse mix of companies and industries with recent increases in service, insurance and high-tech related industries, as well as those maintaining a major distribution network. DFW boasts the largest concentration of corporations in the U.S. with 269 corporate headquarters, including global corporations like Toyota, Liberty Mutual, Comerica, FedEx, Fluor, ATT, and Essilor International.

COST & QUALITY OF LIFEThe Dallas/Fort Worth region is one of the most affordable in the country, a competitive advantage for companies as they seek both to keep labor costs low and to recruit the best workers. Employees in DFW enjoy a higher standard of living, with consistently lower costs for housing, groceries, transportation, and health care compared with workers in other major U.S. business centers. The region’s relatively low housing prices provide the strongest edge for companies that operate here, coming in more than 25% lower than the national average and more than 50% lower than many other major metropolitan areas. DFW residents have access to a broad range of cultural educational and recreational facilities. DFW claims two major arts districts, the Ft. Worth Cultural District, and The Dallas Arts District home to the Dallas Museum of Art, Horton H. Myerson Symphony, The Windspear Opera House, and the Nasher Sculpture Garden. The Dallas arts District is the largest urban arts district in the country and features more Pritzker Prize winners on a single block than any other place in the world.

MARKET OVERVIEW

4TH largest Metro

8TH richest metro

area by median income

6TH largest

economy in the U.S.


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MCKINNEY, TEXASMcKinney is located just 30 miles north of Dallas. with its tree-lined streets, historic downtown and tight-knit community giving this fast-growing city a friendly, small-town feel despite the city’s population of nearly 190,000 in January 2019. Home to one of the state’s largest historic districts, McKinney’s charm and comfortable pace is quite different from the metroplex’s urban sprawl. These attributes prompted Money Magazine to select McKinney as is #1 Best Place to Live in America in 2014.

McKinney, the county seat of Collin County, Texas, is a thriving city with a high level of commercial and residential activity, while maintaining a small town feel. McKinney is located just 18 miles north of the Dallas city limits and 30 miles east of the DFW International Airport. With major north-south and east-west highways, McKinney is well positioned on the path of growth and provides easy access to all of its many amenities.

The City’s estimated population as of the beginning of 2019 was nearly 190,000 people, and is listed as one of the nation’s fastest growing cities. CNN’s Money Magazine’s list of best places to live in the United States ranked McKinney in the top five for each of the last six years, including being ranked number one in 2014. In 2004, McKinney was awarded the Community Economic Development Award (CEDA) by the Texas Economic Development Council, which recognizes communities for exceptional contributions to economic development through creativity, leadership and partnership in the achievement of business retention, business recruitment and community development.

Beautiful tree-lined streets, diverse residential neighborhoods, outstanding educational opportunities, a robust business environment, a charming historic downtown and a strong sense of community make McKinney stand out among the North Dallas suburbs. McKinney’s mix of traditional values and contemporary vision make it a desirable place to live, work and play.

SUBMARKET OVERVIEW

SUBJECT SITE

FRISCO ROAD

MCKINNEY RANCH PARKWAY

121

COUNTRY CLUB ROAD

MED

ICAL

CEN

TER

DR.

75

Newly constructed Apartment Complex

N


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MEDICAL CITY MCKINNEYMedical City McKinney has built its name on providing area residents with exceptional healthcare that is both professional and personal. The highly-skilled physicians and staff members are focused on providing patients with the most advanced and comprehensive healthcare available today...and for generations to come.

MCM’s ongoing commitment to providing the community with all-inclusive specialty services is clearly evidenced in a number of ways including:

• New psychiatric wing under construction

• Full-service 24/7 emergency department

• Outpatient services including ambulatory surgery, women’s imaging services, general imaging services (64-slice CT, MRI, nuclear imaging, etc.), sleep lab and rehabilitation therapies

• Cardiovascular services including cardiac catheterization and interventional lab, open heart surgery, electrophysiology and vascular surgery

• Orthopedic services including total and partial joint replacement program, foot and ankle and sports medicine services

• Neurosciences including neurosurgery, stroke care, pain management, Parkinson’s and Alzheimer’s care

• Labor and delivery suites, Level III Neonatal Intensive Care Unit (NICU) and maternal fetal medicine

MARKET OVERVIEW


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1 Mile 3 Mile 5 Mile

Population:

2024 Projection 6,525 83,716 230,064

2019 Estimate 5,804 74,272 202,873

2010 Census 4,787 59,871 154,254

Growth 2019-2024 12.42% 12.72% 13.40%

Growth 2010-2019 21.25% 24.05% 31.52%

2019 Population Hispanic Origin 1,313 15,376 34,611

2017 Population by Race:

White 4,719 58,619 154,207

Black 587 7,378 20,932

Am. Indian & Alaskan 75 802 1,834

Asian 250 5,540 20,307

Hawaiian & Pacific Island 11 70 205

Other 161 1,863 5,387

U.S. Armed Forces: 10 16 131

Households:

2024 Projection 2,646 29,685 79,587

2019 Estimate 2,358 26,336 70,127

2010 Census 1,965 21,131 52,692

Growth 2019 - 2024 12.21% 12.72% 13.49%

Growth 2010 - 2019 20.00% 24.63% 33.09%

Owner Occupied 1,144 17,751 49,451

Renter Occupied 1,215 8,586 20,676

2019 Avg Household Income $88,619 $104,860 $112,340

2019 Med Household Income $71,882 $76,997 $89,326

2019 Households by Household Inc:

<$25,000 456 3,437 6,836

$25,000 - $50,000 406 4,808 10,674

$50,000 - $75,000 365 4,677 12,043

$75,000 - $100,000 473 3,092 9,617

$100,000 - $125,000 219 2,787 8,921

$125,000 - $150,000 91 1,679 5,657

$150,000 - $200,000 173 2,967 8,057

$200,000+ 175 2,891 8,323

AREA DEMOGRAPHICS


McKinney Medical

DARRYL COTHRON C [email protected]

DANE THOMSON C 214.682.9005 [email protected]

SEARCH COMMERCIAL16818 North Dallas Parkway Suite 200Dallas, Texas 75248

offering memorandum...mckinney is located just 30 miles north of dallas. with its tree-lined...

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