For Sale: Call for Offers – June 26 – $8M Value-Add Medical Office Building

Cropped Listing 1Mission Health Center – 22032 El Paseo, Rancho Santa Margarita, CA

  • Leasing Upside
  • Strong Tenant Commitment
  • Ease of Management
  • Strategic Location
  • Amenity Rich Area
  • Strong Historical Occupancy
  • Easy Access & High Visibility
  • Separately Metered First Floor Suites
  • NNN Leased

The Southern California Capital Markets Group of Avison Young, as exclusive advisor, is pleased to present the rare opportunity to purchase the fee interest in a two-story, elevator-served medical office building located in the dynamic and affluent submarket of Rancho Santa Margarita. The Mission Health Center (MHC) is conveniently located near the exclusive and affluent neighborhoods of Dove Canyon and Coto de Caza. The area (within a 5-mile radius) boasts an average household income of $123,615, with over half of the population exceeding 40 years of age.

Constructed in 2001, MHC is 77% leased to a diverse group of medical and dental related tenants. The largest tenant, Mission Hospital Regional Medical Center, occupies 34% of the building, while the balance of the building is leased to five tenants with suites ranging in size from 1,104 RSF to 2,875 SF, providing a stable investment with little management required. Moreover, 78% of the occupied area has been leased to tenants for 12 or more years and MHC has maintained an average occupancy of approximately 92% since construction was completed.

Property Features

  • Address:  22032 El Paseo Rancho Santa Margarita (Orange County), CA
  • Year Built:  2001  Total Net Rentable Area:  ±23,280
  • Lot Size:  ±1.577 acres
  • Occupancy:  77%
  • Number of Tenants:  Six (6)

Offering Summary

  • Asking Price:  $8,000,000
  • NOI:  $458,496 (Sept 2014 Annualized) $546,023 (Year 1 Pro Forma)
  • Cap Rate:  5.73% (Sept 2014 Annualized at 77% Occupancy) 6.86% (Year 1 Pro Forma at 84% Economic Occupancy) 7.70% (Year 2 Pro Forma at 93% Economic Occupancy)

Contact Information

Dan Vittone,

SIOR Principal – Capital Markets Group

949.757.1570

dan.vittone@avisonyoung.com  

Alan Pekarcik, SIOR

Principal – Capital Markets Group

949.757.1595
alan.pekarcik@avisonyoung.com 

 

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