770 Spirit of Saint Louis Boulevard
- 770 Spirit of Saint Louis Boulevard, Chesterfield, MO 63005
- Property Type:
- Single Tenant
- Cap Rate:
- 6.22% cap
- Square Feet:
- 25,295 sqft
- Lot Size:
- 3.53 acres
- Price Per Square Foot:
- Year Built:
• Located in Highly Sought-After Chesterfield Submarket
• $80 Million Mixed-Use Development Going into Chesterfield
• Great Location with Ease of Access to I-64 to the North
• Affluent St. Louis Suburb with Median Household Income at $113,315
• Significant Tenant Improvement over $300,000 Paid for by APC
• Tenant Buildout Shows Strong Sign of APC Renewing Their Lease
• Extremely Tight Barrier-to-Entry Submarket with 2.1% Vacancy for Industrial and Industrial-Flex Product
• Upside in Rents in a Growing Submarket, 16.8% Rent Growth Y-O-Y
• Just 0.3 Miles from Spirit Airport which has the Ability to Handle Business Jets
Marcus & Millichap is pleased to present the opportunity to acquire the property located at 770 Spirit of St. Louis Boulevard in Chesterfield, Missouri, leased to APC Integrated Services Group, Incorporated. The subject property consists of approximately 25,295 square feet of office and warehouse space and is situated on 3.53 acres of land. The asset features over $300,000 in significant tenant improvements paid for by APC. The buildout represents a strong sign that the tenant plans to renew the lease. For nearly 20 years, APC has been a leading database marketer for vehicle service contracts in the auto industry. APC partners with industry stakeholders including dealers, auto finance companies, and original equipment manufacturers to provide direct marketing to their customers. By sharing in the revenue of each sale, APC creates a no-cost solution for its partners (APC).
The property is situated within an affluent St. Louis suburb, grossing a median household income of $113,315 (U.S. Census Bureau). Investors are currently developing an $80 million mixed-use project in Chesterfield (Multi-Housing News). With easy access to Interstate 64 to the north, the asset is in a great location in the highly sought-after Chesterfield/Highway 40 submarket. The submarket contains around 6.9 million square feet of industrial space. With a vacancy rate of 2.1 percent, the submarket presents an extremely tight barrier-to-entry. Over the last year, the market positively absorbed almost 178,000 square feet, which was 61 percent higher than its 10-year average. Although 920,00 square feet was delivered during the past three years, representing a 15.2 percent expansion of the submarket’s inventory, there are no industrial projects currently under construction. With no supply-side pressures on vacancy or rent in the near-term, average market rents have skyrocketed 16.8 percent since last year (CoStar).
The St. Louis metro is near the geographic center of the United States, within 500 miles of one-third of the U.S. population, and has more than 2.9 million residents. The metro encompasses the city of St. Louis; the Missouri counties of St. Charles, Jefferson, Franklin, St. Louis, Lincoln, Warren and Washington; and the Illinois counties of Madison, St. Clair, Macoupin, Clinton, Monroe, Jersey, Bond and Calhoun. St. Louis is the most populous county with 1 million people. The city of St. Louis, which is located at the confluence of the Mississippi and Missouri rivers, is the only city in the metro with a population of more than 300,000 citizens. As Saint Louis continues to be a desirable industrial market for investors, a recent report ranked Saint Louis as the tenth industrial market to watch in 2019.