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Andrew D. Ragsdale

Stan Johnson Company

Office Phone: 918-494-2690

 

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Published on: Wednesday, March 11, 2015 11:51:33 AM
Updated on: Friday, March 13, 2015 12:05:53 AM
Purchase with B2B
Purchase with B2B
 Purchase with Business to Business
Quick Glance

Listing ID: CL-Arizona-41015

Status: Accepting Offers

Financing: No Financing Available

Occupancy: 100%

Year Build: 2008

 

Building Size: 1,064,834 SqFt

Lot Size: 25 Acre

No of Stories: 1

No of Parking: 0

Business Available for Sale: No

Is Net Lease Investment: No

Property On Ground Lease: No

Building Status: Existing

 Details

Offer to Millionaire Club: No

Listing Summary: FedEx Ground Package System, Inc. (“FedEx Ground”) is the leading North American provider of small-package ground delivery services and one of the four segment offerings which comprise the world’s largest commerce provider, FedEx Corporation (NYSE: FDX).

Acquisition Option Selected: Traditional Purchase

Cap Rate (%): 6.2

Commission Split (%): 0

Complete Details


Year Build: 2008

Building Size: 1,064,834 SqFt.

No of Stories: 1

Total Lot Area: 24.50 Acre

No of Parking: 0

No of Total Units: 1

Property Current Status: Normal Sale

Building Status: Existing

Heating and Cooling: Not Specified

Building Class: Not Specified

Property on Ground Lease?: No

Net Lease Investment?: No

Business Price Included?: No

Roofing: Metal

Occupancy: 100%

Full Description


FedEx Ground provides low-cost, day-certain service to every business address in the United States and Canada, as well as residential delivery to nearly 100% of U.S. residences through its FedEx Home Delivery service. FedEx Ground operates a multiple hub-and-spoke sorting and distribution system consisting of 528 facilities, including 33 hubs, in the United States and Canada. FedEx Ground conducts its operations primarily with approximately 35,640 owneroperated vehicles and approximately 38,100 company-owned trailers. With average daily package volume above 6.9 million, FedEx Ground is the highest volume and highest yielding of the four FedEx Corp. segments which accounts for more than $11 billion in annual revenues and more than half of the Company’s operating income. While margins for FedEx Freight and FedEx Express have dipped in recent years (currently 2.1% and 4.2% respectively), FedEx Ground’s current operating margin is 16.8%. Revenue growth over the past year for FedEx Ground was 15.5% while the other two segments experienced minimal growth.

Additional Properties


Features
  • Fifteen (15) Year Initial Base Lease Term Commenced in September 2008 – Approximately Eight and a half (8.5) Years’ Primary Term Remaining
  • Highly Passive Lease Structure with Landlord Responsibilities Limited to Repair and Replacement of Roof and Structure
  • The Property is situated near Interstate 10 which Provides Access to All of the Phoenix MSA and Surrounding Areas Via Its Intermodal Facilities
  • Property was Builtto-Suit for the Tenant with Increasing Service to this Particular Region in Mind
  • Market Leader in LTL Freight Services Across All Lengths of Haul and One of Four Segments Which Comprise the World’s Largest Commerce Provider – FedEx Corp.
  • FedEx Corp Guaranteed Lease – S&P: BBB Credit Rated, $45 Billion in Revenue, $1.67 Billion Net Income and $11.6 Billion Net Tangible Assets
  • The Property is Located with Direct Proximity to Multiple Dense Industrial Parks that Make Up the Tolleson Industrial Submarket – A Market with More Than 30 Million Square Feet of Industrial Use Property

Attached Documents


 Download | OFFERING MEMORANDUM ( 3,157.52KB)

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