One Enterprise Center

Transcription

1 One Enterprise Center Jacksonville, Northbank CBD, FL St Johns River Prepared by For Sale John F. Bell Managing Director D: M:

2 Northbank CBD SHARED PARKING GARAGE SHOPPING CENTER PROPERTY OVERVIEW ONE ENTERPRISE CENTER 2

3 The Opportunity One Enterprise Center is a 317,571 SF Downtown Jacksonville landmark office tower, universally considered one of the top office buildings in the Jacksonville CBD. The distinctive glass panel exterior design features a dramatic marble lobby and a glass atrium dome with the tower directly connected to a 354 room Omni Hotel. The office and hotel share a parking garage providing One Enterprise Center with one of the CBD s best available parking ratios at 2.3/1000. Competitive advantages include spectacular unobstructed water views, a location at the center of Downtown s amenity base, steps from the Times Union Center for the Performing Arts and Jacksonville Landing s retail and restaurants, as well as the St Johns River waterfront. Downtown Jacksonville s renaissance coincides with increased office demand in the CBD, exemplified by notable large users such as CSX Corp. that is expected to move into 120,000 SF, leaving few suitable contiguous options for large tenants to locate in the CBD. One Enterprise Center s contiguous vacancy, coupled with its prestigious reputation, signage opportunity, and amenity base provide a competitive advantage in luring large tenants interested in leasing Downtown. VALUE ADD INVESTMENT SIGNIFICANT UPSIDE Class A Office Tower Transwestern has been retained on an exclusive basis to arrange the sale of the One Enterprise Center office tower. Price Address One Enterprise Center Unpriced 225 Water Street City, State Jacksonville, Florida Year Built 1985 Total Area Type Total Land Area 317,571 SF Class A CBD Office Tower 1.15 Acres Parking 2.3/1,000 Occupancy 51.2% Stories 22 levels ICONIC OFFICE TOWER ONE ENTERPRISE CENTER 3

4 Investment Highlights Meaningful Cash Flow Upside / High IRR Rare opportunity to acquire a trophy landmark with value add characteristics. One Enterprise Center s vacancy is perfectly positioned to experience an expedited lease up with its competitive advantages once the market is aware of new committed and stable ownership. Iconic Local Landmark Widely recognized as one of the top two office towers in the Jacksonville CBD, One Enterprise Center has a well earned reputation as a prestigious business address. Prime Signage Naming Rights Signage Opportunity Lures Large Users Available building signage and naming rights are highly attractive to prospective large users. Competitive Market Share Advantages Unobstructed water views, one of the best parking ratios in CBD, adjacent Omni Hotel, and center of amenity base allow new stable ownership to achieve the superior market share the asset is accustomed to commanding. Stable Existing Cash Minimal near term leasing rollover, solid cash flow while focusing on lease up of space under new committed ownership. Strengthening Office Market Vacancy improved to 12%, when excluding the property's vacancy and 120K CSX lease would drop vacancy below 10%. Rents growing and poised to exceed historical highs. Capital Repositioning Ownership replaced cooling tower in 2016 and has begun an elevator modernization program enhancing operations. Lobby is in excellent condition and provides prospective tenants with an impressive first impression. CONCOURSE TOWERS 4

5 Adjacent to Omni Hotel connected by a dramatic glass topped atrium. Shared Atrium SKYWAY STATION Not Part of Offering SHOPPING CENTER SHARED PARKING GARAGE EXECUTIVE SUMMARY ONE ENTERPRISE CENTER 5

6 VIRTUAL TOUR I-95 SKYWAY STATION St Johns River SHOPPING CENTER CLICK HERE FOR VIRTUAL TOUR

7 High Profile Location Attracts Tenants Downtown Northbank location Core of CBD. Conveniently located across from a Skyway elevated transportation station. Easy and convenient access to entire region at convergence of I-10 and I-95 Expressways. Central location and convenient commute to all of surrounding Jacksonville, attractive to tenants. Highly recognized property with direct views of St Johns River, another competitive advantage. Main & Main Location: Northbank CBD Located at prominent intersection of Water and Hogan Streets ONE ENTERPRISE CENTER ONE ENTERPRISE CENTER EXECUTIVE SUMMARY ONE ENTERPRISE CENTER 7

8 Office Market Strengthening Fundamentals VACANCY INVENTORY AVG RENT 12.0% 7.6% Jacksonville CBD Northbank 48.8% One Enterprise Center Total: 11,627,031 SF Class A: 5,533,469 SF CBD Northbank Total A & B Property is one of top 2 Buildings in CBD $21.04/SF FS Class A CBD Northbank Consistent Rent Growth GROWTH Landlord s Market OPPORTUNITY Submarket: The Property is located in the Northbank market, epicenter of the CBD markets, and the location of choice for premier corporate and legal firms attracted by the concentration of finance and government offices. The market s residential and amenity base is also evolving, enhancing the already important market s attractiveness. Rent Growth: Class A rents have continued to grow as prime space becomes leased at competitors. The $21.04/SF class A rent exceeds the Property s projected market rent of $20/SF, providing One Enterprise Center a highly competitive rate to capture superior market share. Tight and Improving Vacancy: Northbank vacancy is currently at 12% overall and 12.5% for Class A space. The impending 120,000 SF CSX lease in Northbank will reduce class A vacancy by 2.1% and deducting the Property s 155,000 SF (2.8%) of vacancy and CSX absorption reduces overall vacancy at competitors to only 7.6%. Class A rents poised to blow through historical highs Increased demand with few options for large users Historical peak and low submarket stats Historical Peak and Low Submarket Rents Current Low Low Date Peak Peak Date North Bank Class A $21.09 $ Q3 $ Q2 North Bank Class B $17.18 $ Q2 $ Q2 North Bank Overall $19.72 $ Q3 $ Q3 Improving Market Vacancy & Rising Rents One Enterprise Center is positioned to be first choice for large users EXECUTIVE SUMMARY ONE ENTERPRISE CENTER 8

9 Investment Contact John F. Bell Managing Director D: M: SE 2 nd Street Suite 3100 Miami, Florida, Disclaimer: The information contained in this Offering Memorandum has been obtained from sources believed to be reliable. While we do not doubt its accuracy, we have not verified it and make no guaranty, warranty or representation about it, nor does owner. It is the responsibility of each prospective purchaser to independently verify its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example purposes only and do not represent the current or future performance of the property. Each prospective purchaser is to rely upon its own investigation, evaluation and judgment as to the value and condition of the property, the information contained in the Offering Memorandum, and advisability of purchasing the property. This Offering may be rescinded or altered and the property may be sold, leased or withdrawn from the market without notice. Brokers are not authorized to make any representations or agreements on behalf of the property owner or bind the property owner to any agreement for sale of the property. EXECUTIVE SUMMARY ONE ENTERPRISE CENTER 9