INVESTMENT SUMMARY: HMX Realty Advisors is pleased to offer for sale a Zero Cash Flow CVS Pharmacy located in Springfield, MO, a major medical and educational hub. This fee simple property is offered with a zero cash flow structure with pay down re-advance available. Loan to value is 52% allowing a 1,929,000 pay down re-advance.
The property is ideal for a 1031 exchange. The Zero Cash Flow structure allows a 1031 Exchange buyer the ability to acquire the asset for virtually all cash ($3,700,000) and have the debt re-advanced to $1,929,000 immediately post-closing. The mortgage proceeds from the re-advanced loan are not subject to capital gains or income tax, however, HMX Realty Advisors is not qualified to give legal or tax advice.
The property is a 13,225-sf building on 2.34 acres of land, and is leased for 13+ years to CVS, an investment grade company on an absolute bond triple-net lease with no landlord responsibilities whatsoever. The existing debt self-liquidates over the next 11 years and has an interest rate of 4.7% with a 3-year rent holiday starting Februart 1st, 2036.
AREA SUMMARY: The property is located at the signalized intersection of W. Republic Road and S. Farm Road in Springfield, MO, just south of the exit and on ramp to US Route 60, one of the connecting loop roads around Springfield. Also known as the “Queen of the Ozarks”, Springfield is the third largest city in the state of Missouri and home to three universities. The economy is based on health care, manufacturing, retail, education, and tourism, and serves as the headquarters for several firms including Bass Pro Shops and O’Reilly Auto Parts.
Area retailers include CVS, Walmart Neighborhood Market, Walgreens, Sonic, Dollar Tree, Planet Fitness, local eateries, gas/convenience store, banks and farmer’s market.
The property is supported by strong local demographics, with over 60,000 people located within a 3-mile radius with an average household income exceeding $86,000. The population is projected to continue to increase.