OFFERING MEMORANDUM MILLENNIUM MEDICAL 28625 NORTHWESTERN HWY SOUTHFIELD, MICHIGAN SEPTEMBER 2013 PREPARED BY: ROBERT MOON VICE PRESIDENT, BROKERAGE SERVICES FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 34975 WEST TWELVE MILE ROAD FARMINGTON HILLS, MICHIGAN 48331 P 248.324.2000 F 248.848.4141 WWW.FRIEDMANREALESTATE.COM
TABLE OF CONTENTS PROPERTY OVERVIEW 3 PROPERTY INFORMATION 7 PHOTOS 10 SPACE PLANS 13 AERIALS, MAPS & SURVERY 16 This Offering Memorandum (the Memorandum ) has been prepared by Friedman Integrated Real Estate Solutions (the Agent ) on behalf of the Owner for information purposes only and does not purport to contain all the information necessary to reach a purchase decision. The information contained herein has been secured from sources considered to be reliable, however, while we do not doubt its accuracy, the information has not been verified and neither Friedman Integrated Real Estate Solutions nor any of their respective employees or agents make any warranty or representation, expressed or implied, as to the accuracy, completeness or adequacy of any of this information. This Memorandum is subject to errors, omissions, prior sale, withdrawal, change and/or modification without notice. Nothing contained herein should be relied upon as a promise, recommendation, or representation as to the past or future. Each prospective tenant/purchaser is to rely upon its own investigations, projections and conclusions as to the advisability of the transaction described herein. It is recommended that each prospective tenant/purchaser should retain the legal services of a qualified attorney for real estate, tax and other advice relative hereto, and retain such qualified experts for advice on such matters as to, but not limited to, compliance with the Americans With Disabilities Act ( ADA ) and inspection of the property for hazardous (toxic) materials, ground soil contamination and other environmental issues. This Memorandum is the property of Friedman Integrated Real Estate Solutions and may be used only by the parties to whom Friedman Integrated Real Estate Solutions delivered the Memorandum or to whom Friedman Integrated Real Estate Solutions has approved such delivery. By accepting a copy of this Memorandum, the recipient agrees that neither he/she nor any of his/her employees shall use the information for any purpose other than evaluating the specific transaction described herein, or divulge such information to any other party, and shall return the Memorandum to Friedman Integrated Real Estate Solutions immediately upon request. This memorandum, in whole or in part, may not be photocopied, reproduced, or distributed to others without the prior written consent of Agent. Brokers, finders and/or any other party shall not be entitled to any commission or other payment whatsoever in connection with the sale of the property described in this Memorandum without a specific written agreement to which Friedman Integrated Real Estate Solutions is a party. PRESENTED BY: ROBERT MOON Vice President, Brokerage Services P 248.848.4122 F 248.284.4027 Robert.Moon@freg.com FRIEDMAN HEADQUARTERS 34975 West Twelve Mile Road Farmington Hills, MI 48331 P 248.324.2000 F 248.848.4141 www.friedmanrealestate.com FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 2
PROPERTY OVERVIEW
OPPORTUNITY & LOCATION Friedman Integrated Real Estate Solutions ( Agent ) has been retained as exclusive advisor for the sale/lease of the 100 percent fee interest of Millennium Medical, a ± 31,647 rentable square-foot medical building located at 28625 Northwestern Highway, Southfield, Michigan (hereinafter referred to as the Property ). The opportunity presented within this Offering Memorandum is comprised of one (1) Class A office building. The Property is an asset being offered on an As Is Where Is basis with no representations or warranties from the Owner. 28625 Northwestern Highway is a modern two-story office building totaling ± 31,647 gross square feet with 10,801 square feet on the first floor and 20,846 square feel on the second floor. The Property is situated on ± 2.46 acres of land, with parking for 231 vehicles including 16 covered spaces. The building was designed by Kenneth Newman Architects for Oakland Internists in 1989 and DMC as an outpatient medical and diagnostic center. The property has a traffic light directly in front of the building and a drivethru parking lot to Franklin Road and I-696/Franklin Road entrance ramp. Prominent signage is available. The building is expandable up to 45,000 square feet and divisible down to 5,000 square feet. The subject is located in the City of Southfield, in Oakland County which is one of the largest and wealthiest counties in the state. The area immediately surrounding the subject is densely populated by large office The Property will be 100% vacant. The asset offers potential investors the ability to acquire a premier medical office building with the opportunity to enhance value through: Backfilling vacant space with creditworthy tenant(s) Excellent Owner/User Opportunity Engaging area employment and trade/industry Capitalizing on strong area demographics and resident base FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 4
PROPERTY STRENGTHS Extremely desirable location for medical tenants Close proximity to major expressway and area amenities Flexibility to lease to a single tenant or subdivide Established employment, trade & industry within immediate area Location allows for easy access by the close proximity to all freeways Strong area demographics and resident base TRANSACTION SUMMARY Asking Price: $5,000,000 Size: ± 31,647 RSF Occupancy: 0 % TRANSACTION GUIDELINES The Property is being offered on an As Is / Where Is basis with no representations or warranties. Source of capital must accompany all offers in the form of a proof of funds document that can be verified. All offers must be presented in writing to the Agent and must include the following: Price; Source of capital and details of any approvals, if required; Outline of proposed schedule of due diligence and closing; Description of any due diligences requirements; The amount of earnest money deposit; minimum of 5% of the purchase price is required. The prospective purchaser will be selected by the Owner with sole and absolute discretion on the basis of a variety of factors, including but not limited to: Offer price; Financial strength; Level of discretion to invest funds; Ability to close in a timely fashion; Experience in closing similar transactions; Number and list of contingencies, if any; Level of property due diligence completed and thoroughness of property underwriting FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 5
PROPERTY FLYER AGENT REPRESENTATION ROBERT MOON Vice President, Brokerage Services Friedman Integrated Real Estate Solutions 34975 W. Twelve Mile Road Suite 200 Farmington Hills, Michigan 48331 Direct Dial: 248.848.4122 Direct Fax: 248.284.4027 Robert.Moon@freg.com DISPOSITION TIME LINE The time line and process for disposition is as follows: Following distribution of this Offering Memorandum, the Agent will be available to answer any questions related to the offering. Additionally, the Agent will be conducting tours of the Property by appointment only. Prospective purchasers will be able to schedule property visits to perform site inspections or other due diligence prior to the offer deadline. A date for all offers/bids for the Property will be provided by the Agent at its sole and absolute discretion. Prospective purchasers will be given advance notice of the due date for all offers/bid submissions. Offers may be presented at any time. Seller reserves the right to accept an offer prior to the bid deadline. FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 6
PROPERTY INFORMATION
SITE AND IMPROVEMENT ANALYSIS SITE SUMMARY CONSTRUCTION DETAILS Gross Site Area ± 2.46 Acres Primary Road Frontage Northwestern Highway Access Drives on Northwestern Hwy and Franklin Rd Shape Irregular Utilities Electric DTE Energy Gas Consumers Energy Domestic Water City of Southfield Sewer City of Southfield Solid Waste City of Southfield IMPROVEMENT SUMMARY Gross Building Area ± 31,647 sf Occupied SF 0 Construction Concrete Block, Steel Parking Areas Asphalt paved surface lot Built 1989 Parking Spaces 231 Spaces; 16 covered Parking Ratio 7.3 / 1,000 sf Foundation Exterior Walls Windows Roof Interior Finishes Floors Walls Ceilings Lighting HVAC Electrical Plumbing Elevators Rest Rooms Sprinklers Poured concrete slab on grade Concrete with EIFS exterior Reflective glass in metal framing Single membrane rubber flat roof Carpet and tile Painted or vinyl covered drywall Suspended ceiling tiles in a metal grid system Recessed and fluorescent lighting Roof-top units. Split systems Up to code Up to code 1 in Main Lobby Men s and Women s restrooms are located on each floor Building is sprinklered for fire suppression FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 8
GENERAL BUILDING INFORMATION Address: Millennium Medical Building 28625 Northwestern Highway Southfield, Michigan Location: Northwestern Highway, south of 12 Mile Road, at Franklin Road Year Built: 1989 Building Style: Square Feet: Zoned: Two story, freestanding medical building on slab ± 31,647 square feet B-3, General Business Parcel ID#: 24-18-276-041 Land Area: ± 2.46 acres Parking Spots: 231 lined parking spaces, plus 16 covered spaces 2012 Taxes: $84,494.18 Elevator: Construction: Yes Steel frame & masonry walls and stucco exterior insulation finish Roof-top HVAC units Tinted glass with metal frames EPOM (Rubber) single-membrane Offering Price: $4,000,000 Lease Rate: $15.00/SF Net, Net, Net FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 9
PHOTOS
EXTERIOR AND INTERIOR PHOTOS Waiting Room Garage Waiting Room Stairway FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 12
SPACE PLANS
FIRST FLOOR PLAN FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 14
SECOND FLOOR PLAN FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 15
AERIALS, MAPS & SURVEY
AERIAL PHOTOGRAPHY Northwestern Highway Franklin Road FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 17
AERIAL PHOTOGRAPHY #2 FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 18
LOCATION MAP FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 19
SURVEY FRIEDMAN INTEGRATED REAL ESTATE SOLUTIONS 20