LONE STAR CIRCUITS (WYLIE, TX)

SINGLE TENANT

901 HENSLEY LANE, WYLIE, TX 75098
Price :
$ 6,500,000
Cap Rate :
8.24%
NOI :
$ 535,681
Lot Size :
6.32 acres
Year Built :
2001
Property Area :
104,062 sqft
Status :
AVAILABLE
MARKETING PACKAGE

By downloading the Marketing Package (“Offering Memorandum”) you hereby agree to the CONFIDENTIALITY AND BUYER REGISTRATION AGREEMENT.

 

Investment Highlights

  • Fully Leased Single-Tenant Warehouse with Over 12 Years Remaining on an Absolute Net Lease with Zero Landlord Responsibilities
  • 2.00% Annual Rental Increases Beginning Year 3 of the Lease and Three 5-Year Renewal Options with 7.50% Bumps When Exercised
  • Attractive Class B Single-Tenant lndustrial Manufacturing Warehouse Composed of Tilt Wall Construction and Three Grade-Level Doors
  • The Property is Situated on 6.32 Acres Providing Ample Amount of Parking and Outside Storage Area
  • Subject Asset is Proximate to Highway 78, Highway 205 and President George Bush Turnpike
  • Below-Average Submarket Vacancy Rate Due to Strong Demand and Lack of Supply, Due to Land Constraints and High Land Costs

 

Investment Overview

Marcus & Millichap is pleased to present the opportunity to acquire the property located at 901 Hensley Lane in Wylie, Texas, leased to Lone Star Circuits. The subject property consists of approximately 104,062 square feet of space and is situated on 6.32 acres of land, providing an ample amount of parking and outside storage. The asset is an attractive Class B industrial manufacturing warehouse composed of tilt wall construction and three grade-level doors. Fully leased, the single-tenant warehouse has over 12 years remaining on an absolute net lease with zero landlord responsibilities. Annual rental increases of 2 percent begin December 2021 (year 3 of the lease) and there are three 5-year renewal options with 7.50 percent rental bumps, when exercised. The subject asset is proximate to Highway 78, Highway 205, and President George Bush Turnpike. Strong demand and lack of supply, due to land constraints and high land costs, cause the submarket to maintain a below-average vacancy rate while industrial rental rates increase annually.

The subject property in Wylie, Texas, is classified as an industrial building within the Plano Industrial Submarket. The submarket’s location in the heart of the affluent northern Dallas suburbs also makes it ideal for tenants seeking space for last-mile distribution. Leasing activity in the submarket remains strong, with vacancies trending below the metro average for the past few years. Due to rising land costs, rents are some of the highest in the metro, and rent growth has performed well this cycle. Plano industrial has been heavily traded this cycle, with inventory turnover routinely eclipsing 10 percent annually. In the long run, the submarket stands to benefit from the continuing emergence of e-commerce and, more specifically, last-mile distribution operations because due to its close proximity to some of the most affluent and fastest growing suburbs in the Metroplex. Reported prices on flex sales are coming in higher than the metro average for that cohort, while sales on warehouse and distribution facilities are more in line with their respective metro average marks. (CoStar)

The Dallas/Fort Worth metroplex is the fourth-most populous metro in the nation with an aggregate of more than 7.1 million residents. It is composed of 13 counties stretching nearly 10,000 square miles. The city of Dallas houses 1.3 million people, followed by Fort Worth with 800,000 residents. Strong job growth continually draws new residents to the region. To accommodate the additional traffic, the region’s transportation network is evolving. Traffic flow is improved as freeways are expanded and miles are being added to tollways and turnpikes. The growth of the transportation network is vital to supporting commuters to the metros numerous corporations and growing industries. Dallas/Fort Worth’s population growth in recent years ranks among the highest in the U.S. for a major metro. The Metroplex is home to 21 Fortune 500 companies and many regional headquarters, drawing workers and residents. The area’s extensive network of rail and highways, along with the International Inland Port of Dallas, ensure its status as a distribution hub.

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2020 Marcus & Millichap. All rights reserved. (Activity ID: ZAB0060296)

Exclusive Listing

Adam Abushagur
(972) 755-5223
Lic # TX : 661916
Sam Martin
(972) 755-5198
Lic # TX : 707514

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