GSA net leased property for sale by NetLease

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									                 NET LEASED INVESTMENT OFFERING

GSA – Social Security Administration
       353 West Alto Road
            Kokomo, IN


                                      TABLE OF CONTENTS


1)     Confidentiality & Disclaimer

2)     Executive Summary

3)     Property Overview

4)     Financial Overview

5)     Maps

6)     Aerial

7)     Tenant Profile

8)     Demographic Comparison Report

9)     Location Overview

10) Contact Information
                                                                                 CONFIDENTIALITY & DISCLAIMER
                                            NET LEASED INVESTMENT OFFERING

                                       CONFIDENTIALITY & DISCLAIMER

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be
reviewed only by the party receiving it from The Boulder Group and should not be made available to any other person or entity
without the written consent of The Boulder Group. This Marketing Brochure has been prepared to provide summary,
unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property.
The information contained herein is not a substitute for a thorough due diligence investigation. The Boulder Group has not
made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject
property, the future projected financial performance of the property, the size and square footage of the property and
improvements, the presence or absence of contaminating substances, PCB's or asbestos, the compliance with State and
Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of
any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in
this Marketing Brochure has been obtained from sources we believe to be reliable; however, The Boulder Group has not
verified, and will not verify, any of the information contained herein, nor has The Boulder Group conducted any investigation
regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the
information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

                                                                                               EXECUTIVE SUMMARY
                                           NET LEASED INVESTMENT OFFERING

                                              EXECUTIVE SUMMARY

The Boulder Group is pleased to exclusively market for sale a GSA property with the Social Security Administration. The
property was recently constructed in 2008 and is located in Kokomo, Indiana. This 9,684 square foot property is located just
west of US Route 31, which is the primary north-south thoroughfare connecting Kokomo to Indianapolis. The three top
manufacturers in the area include the DaimlerChrysler Corporation, employing close to 6,800 people, Delphi Delco
Electronics Systems, employing nearly 5,300 people, and Haynes International, comprised of a workforce reaching 750. In
2010, The National Association of Home Builders has declared Kokomo as “the most affordable” smaller housing market in
the U.S. In Kokomo, families with incomes of $61,400 could afford 96 percent of the homes sold.
The property is located on East Alto Road, which is a major thoroughfare connecting the residential neighborhoods of west
Kokomo with the main commercial district along Highway 31. The property is located next to a Lowe’s Home Improvement
Center. Other major retailers in the area include a Marsh, Walgreens, Keybank, McDonalds and a Ford dealership.
The property was a built-to-suit for the Social Security Administration with the United States Government guaranteeing the
original ten year lease. The lease commenced in May 2008 and expires in April 2018. The lease is modified gross with
adjusting operating expenses by CPI as well as a base year for taxes. The United States Government is rated AAA by Standard
and Poors.

Investment Highlights
     United States of America government guarantees the lease
     Tenant is rated AAA by Standard & Poors
     Property is newly constructed in 2008
     In 2010, The National Association of Home Builders has declared Kokomo as “the most affordable”
     smaller housing market in the U.S.
     GSA renewal probability was 89.5% in 2009

                                                             PROPERTY OVERVIEW

                   PROPERTY OVERVIEW

Price:                              $2,278,000
Cap Rate:                           8.35%
Net Operating Income:               $190,175
Renewal Options:                    None
Lease Commencement Date:            May 1, 2008
Lease Expiration Date:              April 30, 2018
Tenant:                             GSA – Social Security Administration
Credit Rating:                      AAA
Year Built                          2008
Lease Type:                         Modified Gross
Rentable Square Feet:               9,684
Land Acreage:                       1.04


                                                             FINANCIAL OVERVIEW

                      FINANCIAL OVERVIEW

Gross Annual Income:                           $267,145
Operating Expenses

     Cleaning Services:                         $13,079

     Supplies:                                   $1,360

     Snow Removal                                $9,721

     Maintenance:                                $1,309

     Trash Removal:                                  $976

     Landscaping:                                $2,947

     Water/Sewer:                                $2,648

     Heating:                                    $2,795

     Electricity:                               $10,548

     Pest Control / Association Fees             $1,210
     / Fire Life Safety:
Total Operating Expense (1)
     Management Fee:
           (2)                                  $24,155
     Taxes :
Net Operating Income

1.   Operating Expenses are adjusted annually by CPI, and any such increase
     shall be paid for by the Government.
   The Government pays for all real estate taxes over a base year amount of
2. $30,000.



  Sports Center




                                                                                               TENANT PROFILE
                                       NET LEASED INVESTMENT OFFERING

                                             TENANT PROFILE

The General Services Administration (GSA) is an independent agency of the United States government,
established in 1949 to help manage and support the basic functioning of federal agencies. The GSA supplies
products and communications for U.S. government offices, provides transportation and office space to federal
employees, and develops government-wide cost-minimizing policies, and other management tasks. GSA’s
mission is to use expertise to provide innovative solutions for our customers in support of their missions and by
so doing foster an effective, sustainable, and transparent government for the American people. GSA oversees
the business of the U.S. federal government. GSA’s acquisition solutions supplies federal purchasers with cost-
effective high-quality products and services from commercial vendors.

GSA employs about 12,000 federal workers and has an annual operating budget of roughly $26.3 billion,
approximately 1% of which is appropriated from taxpayer dollars. GSA oversees $66 billion of procurement
annually. It contributes to the management of about $500 billion in U.S. The GSA owns and leases over 354
million square feet of space in 8,600 buildings in more than 2,200 communities nationwide.

The United States Social Security Administration (SSA) is an independent agency of the United States federal
government that administers Social Security, a social insurance program consisting of retirement, disability,
and survivors' benefits. To qualify for these benefits, most American workers pay Social Security taxes on their
earnings; future benefits are based on the employees' contributions.

SSA is headquartered in Woodlawn, Maryland, just to the west of Baltimore, at what is known as Central Office.
The agency includes 10 regional offices, 8 processing centers, approximately 1,300 field offices, and 37
Teleservice Centers. As of 2007, about 62,000 people were employed by the SSA. Social Security is currently
the largest social welfare program in the U.S., constituting 37% of government expenditure and 7% of GDP.

                                                  DEMOGRAPHIC COMPARISON REPORT
                           NET LEASED INVESTMENT OFFERING


Population                                   1-mile          3-mile    5-mile

Total Population                             5,863           35,542   63,863
Total Households                             2,628           15,556    27,421


Median Household Income                    $51,889          $56,274   $54,470
Average Household Income                   $62,149          $66,681   $64,574

                                                                                          LOCATION OVERVIEW
                                        NET LEASED INVESTMENT OFFERING

                                         LOCATION OVERVIEW

                                                          Kokomo, the county seat of Howard County, is located
                                                          approximately 51 miles north of Indianapolis, and sits a
                                                          mere 160 miles from both downtown Chicago, Illinois and
                                                          Cincinnati, Ohio. The city is the 13th most populous in the
                                                          State of Indiana. The Howard County/Kokomo region
is ideally positioned in the Midwest and the state for shopping, recreational activities, business endeavors and
cultural events.

Several prominent resources have recently recognized Kokomo’s strong business sector. In 2005 and 2006, the
DaimlerChrysler Kokomo Transmission Plant was acknowledged as the number one company throughout the
continent in transmission manufacturing productivity by Harbour Report. The three top manufacturers in the area
include the DaimlerChrysler Corporation, employing close to 6,800 people, Delphi Delco Electronics Systems,
employing nearly 5,300 people, and Haynes International, comprised of a workforce reaching 750. In addition,
about 3,000 businesses reside in Howard County. Leading industries include automotive parts and accessories,
specialized electronic components, injection molding, and medical instruments.

Indiana University, Purdue University and Ivy Tech State College are located in Kokomo, offering two- and four-year
degrees, as well as some graduate studies. In addition, several more top-rate colleges and universities are within an
easy driving distance from the community.

A major roadway traversing through Kokomo, U.S. Route 31 has become one of the state's most congested
roadways. In Howard County, there are currently 15 traffic signals on US 31. US 31 connects Indianapolis, Kokomo,
and South Bend. In the next decade, Kokomo will see a new interstate-style roadway on the east side of city limits. It
will have interchanges at SR 26, Boulevard, Markland Avenue, Touby Pike, as well as where the current US 31 meets
the new US 31. There will be similar changes to areas near South Bend and Indianapolis. The construction in Howard
County will cost roughly $340 million. Construction started on the County Road 200 South Bridge on November 1,
2008 and construction will continue for the next 6 years.

                                                    CONTACT INFORMATION


              666 Dundee Road | Suite 1801
                  Northbrook, IL 60062

Randy Blankstein                 Jimmy Goodman
President                        Partner
847.562.0003                     847.562.8500


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