SINGLE-TENANT OFFERING

DAVITA KIDNEY CARE MADISON, OH

15-YR. NNN LEASE, 10% RENT INCREASES STATE OF THE ART CLINIC
EXPIRING DECEMBER 2029 EVERY FIVE YEARS BUILT IN 2014

Jay Patel , Executive Vice President | +1 760 930 7927 | jpatel@colliers.com | Lic. No. 01512624
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Offering Summary
LEASE TYPE NNN (Parking, Roof, HVAC subject to Lessee Reimbursement)

OWNERSHIP TYPE Fee Simple

LEASE SUMMARY
TENANT DaVita

REMAINING LEASE TERM 10 years

RENT COMMENCEMENT December 10, 2014

RENT EXPIRATION December 9, 2029

INCREASES 10% every five years

6800 NORTH RIDGE RD. OPTIONS Two, 5-year options
MADISON, OH

TERM ANNUAL MONTHLY

$2,108,497

RENT SUMMARY
YEAR 1 - 5 $134,177.10 $11,181.43

7.00% CAP RATE

YEAR 6 - 10 $147,594.81 $12,299.57

YEAR 11 - 15 $162,354.29 $13,529.52

OPTION 1 $178,589.72 $14,882.48

OPTION 2 $196,448.69 $16,370.72

RENTABLE BLDG AREA LOT SIZE

6,349 SF 1.97 Acres

YEAR BUILT NOI

2014 $147,595
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Investment Highlights
The DaVita Madison is a 2014 build-to-suit, state-of-the-art medical SECURE INCOME STREAM
facility that is 100% leased to DaVita via new 15-year lease term, with
9.5 years remaining on the lease. The lease is corporately guaranteed by • New 15-year lease term
DaVita and includes 10% rent increases every five years. • 10% rent increases every five years during lease term and option periods

This location provides kidney dialysis services and consists of 6,350 • 2015 built-to-suit for DaVita
square feet housing 12 patient stations plus 1 private station located
• DaVita has an S&P investment grade rating of BBB-
in a separate room. The clinic is located just south of Macon Road, a
major east-west retail corridor. The clinic is located off US Highway 20,
a main east-west retail corridor that provides direct access to downtown
Cleveland. The clinic is also located near the UH Geneva Medical Center.
Furthermore, the population within a 5-mile radius of the facility exceeds RESISTANT TO E-COMMERCE
25K residents and average household income exceeds $70K.
• The government has provided healthcare coverage for end stage renal disease
(ESRD) since 1972 under the Medicare ESRD Program

• Given the nature of the product, healthcare related real estate has been the least
affected by the demand of e-commerce

• DaVita is one the fastest growing corporation on the Fortune 500 list and is one
of Berkshire Hathaway’s top holdings

PROXIMITY
• Over 25,000 residents within 5-mile radius and the average household
income exceeds $70K.

• The facility has excellent visibility from US Highway 20 and is near the
UH Geneva Medical Center

• Near a variety of national retailers such as Verizon Wireless, Rite Aid

O’Reily’s Auto Parts, Family Dollar, Burger King, McDonald’s and Arby’s
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Floor Plan
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Site Plan
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Tenant Overview

DaVita HealthCare Partners INC (NYSE: DVA), a Fortune 500 company, is a leading provider of kidney care
in the United States, delivering dialysis services and education to patients with chronic kidney disease and CLINICS

2,382
end stage renal disease.

DaVota is headquartered in Denver, CO. As of March 31, 2017, DaVita operated or provided administrative ser-
vices at 2,382 outpatient dialysis centers located in the United States serving approximately 189,400 patients.
The company also operated 162 outpatient dialysis centers located in 11 countries outside the United States.

For the fiscal year ended December 31, 2016, revenues were $14.7 billion and net income was $880 million.

DaVita is rated BBB- by Moody’s Investor Services.

PATIENTS SERVED
https://www.davita.com/
189,400

REVENUES

$14.7 B
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Amenities Aerial

WALTER GREEN COMMONS

16,271 CPD

MADSION PLAZA NORTH

RIDGE
SHOPPING CENTER ROAD

9,800 CPD

HUBBARD RD
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Marketing Aerial

LAKE HEALTH

UNIVERSITY HOSPITALS

20
20 84

CLEVELAND CLINIC

UNIVERSITY HOSPITALS

90

84

45
90
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Cleveland Market

1 MILE 3 MILES 5 MILES

POPULATION
The Cleveland metropolitan statistical area (MSA) is located along Total 1,205 16,421 25,585
the southern shores of Lake Erie. Counties within the MSA include HOUSEHOLDS
Cuyahoga, Geauga, Lake, Lorain, and Medina and have a population of
Total 555 7,132 11,043
approximately 2,073,482 residents. Cleveland is part of the Industrial
Occupied 93.5% 91.4% 91.2%

2019
Heartland. The industrial heartland spans, from east to west, upstate
New York, western Pennsylvania, and Ohio, and then it continues up Vacant 9.5% 9.7% 10.3%
the shores of Lake Michigan into Michigan and Illinois before brushing INCOME
the southeastern edges of Wisconsin. This region has been and, in Average Household Income $66,226 $68,046 $70,246
many cases, continues to be reliant on manufacturing for its economic AGE
vitality. The landscape helps tell the story: Plumes of steam dissipating Median Age 44 37.6 38.9
overhead, barges laden with coal or grain or oil chugging up river,
steel ladders clinging to building exteriors, these reflections of the
industrial heartland exist in the area’s yesterday and in its today, and
they will likely exist into the foreseeable future.
1 MILE 3 MILES 5 MILES
Over the past 19 years Cleveland’s population has declined by 3.5%, POPULATION
but is expected to increase by 0.2% over the next five years. The Total 1,203 16,525 25,686
median and average household incomes stand at $54,092 and $76,968, HOUSEHOLDS
respectively. The median age of Cleveland’s population (42.2) is Total 558 7,239 11,195
2024

higher than the statewide median age (40.1). Demand for Cleveland’s Occupied 93.6% 91.2% 91.1%
142.2 million SF of retail space is high as evident by a 95.6% Vacant 6.4% 8.8% 8.9%
occupancy rate. To meet the demand, there is nearly 65,683 SF of
AGE
retail space under construction within the Cleveland metropolitan area.
Median Age 38.9 44.0 43.9
(costar)
CONFIDENTIALITY DISCLAIMER
The information contained herein, including an pro forma income and expense information (collectively, the “Information”) is based upon assumption and
projections and has been compiled or modeled from sources we consider reliable and is based on the best available information at the time the brochure
was issued. However, the Information is subject to change and is not guaranteed as to completeness or accuracy. While we have no reason to believe
that the Information set forth in this brochure, underwriting, cash flows, valuation, and other financial information (or any Information that is subsequently
provided or made available to you) contains any material inaccuracies, no representations or warranties, express or implied, are made with respect to the
accuracy or completeness of the Information. Independent estimates of pro forma income and expenses should be developed before any decision is made
on whether to invest in the Property. Summaries of any documents are not intended to be comprehensive or all-inclusive, but rather only outline some
of the provisions contained therein and are qualified in their entirety by the actual document to which they relate. You understand that the Information is
confidential and is furnished solely for the purpose of your review in connection with a potential investment in the Property. You further understand that
the Information is not to be used for any purpose or made available to any other person without express written consent of Colliers International. This
offering is subject to prior placement and withdrawal, cancellation, or modification without notice. This publication is the copyrighted property of Colliers
International and/or its licensor(s). ©2020. All rights reserved.

JAY PATEL
Executive Vice President
Lic. No. 01512624
+1 760 930 7927

Broker of Record
John B. Gartner
OH License No. 388235

Colliers International
5901 Priestly Dr, Suite 100 Carlsbad, CA 92008
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