Office•Office Building•For Sale
Cypress Business Center
8301 Cypress Plaza Dr, Jacksonville, Florida 32256
Opportunity to purchase Cypress Business Center (the “Property” or “Asset”), a five-building office complex located in the dynamic Butler/Baymeadows office submarket of the Jacksonville Metropolitan Area. The Property represents a unique and rare investment opportunity, combining a well-located and highly functional office asset in a high growth market, with a significant value-add component through the lease-up of approximately 45% of the rentable area, in addition to the ability to push rents $1 to $2 higher to market standards.
The Property totals 120,682 square feet, which is 54.4% occupied and has recently executed a five-year, 43,000 square foot lease with Fanatics Inc., a sports paraphernalia and technology company experiencing exponential growth in the last several years with their east coast operations based in Jacksonville. The immediate surrounding area is well supported with highway access, retail amenities, and single-family home communities offering convenience and ease of access for its tenants. Additionally, the Property features an above-market 5.55 per 1,000 rsf parking ratio, further enhancing the desirability of the Property.
Cypress Business Center is ideally situated in the Cypress Business Park on the south side of Jacksonville, approximately nine miles southeast of downtown Jacksonville with connectivity along both US-1 (Philips Highway) and Interstate 95.
- EXCEPTIONAL VALUE-ADD OPPORTUNITY - Cypress Business Center is 54.4% occupied, offering the ability to lease-up the remaining premises in an office market that is 91% occupied, resulting in substantial upside potential that will yield highly attractive annual returns. Additionally, a new owner will be able to make improvements to the facade in order to enhance the curb appeal of the Property, and potentially push rents higher by $1 to $2 PSF, closer to its competitive set.
- FANATICS INC. LEASE - A five-year lease was recently executed with Fanatics Inc. in building five, totaling 42,708 square feet. Fanatics Inc. is a major sports paraphernalia and technology company capitalized by private equity, and has experienced exponential growth over the last several years. The recently executed lease provides a reliable cash flow upon purchase, offering stability for a new owner as they focus on its value-add and remaining lease-up strategy.
- EASY FREEWAY ACCESS WITH SUPPORTING RETAIL AMENITIES - Cypress Business Center is well-situated adjacent to Phillips Highway (US-1) and within blocks of Interstate 95, offering easy freeway access for its tenants that supplies connectivity to nearly all areas of the Jacksonville Metro. Additionally, the Asset is located in the center of the Butler / Baymeadows office sub-market, that is well-amenitized with retailers and dining options for the local employee base.
- FUNCTIONAL OFFICE ASSET WITH MINIMAL CAPITAL NEEDS - Cypress Business Center offers large floor plans and suites that are easily divisible or may be easily consolidated, offering flexibility and multiple lease-up strategies for a new owner. In addition, the Asset is in good working condition with minimal deferred maintenance needs, allowing a new owner to focus immediately on its value-add and asset management strategies upon acquisition.
- AMPLE PARKING - Cypress Business Center offers 670 surface parking spaces for its tenants yielding a 5.55 per 1,000 rsf parking ratio. This rate is well-above market standards and is a superb amenity to offer prospective tenants for varying lease-up strategies.
- ATTRACTIVE BASIS - Cypress Business Center may be purchased at a highly attractive basis, well below replacement cost, offering a new owner a strategic advantage when compared to other properties in the submarket.
12/5/2019 9:59:36 PM
12/10/2019 8:46:29 PM