Lee & Associates is pleased to exclusively offer to qualified investors, the fee simple interest (land & building) in an office/ warehouse distribution property located in Tulsa, Oklahoma (the “Property”). The property consists of a 33,000-square-foot industrial building that sits on an approximately 2.53-acre parcel.
The property is a 33,000-square-foot concrete tilt-up office/warehouse distribution building with a 24’-27’ clear ceiling height and approximately 6,650 square feet of high-quality office area. The subject property was built by Fleming Building Co. as a custom build-to-suit for South Central Pool Supply (SCP) in 2003. Exterior features include an attractive mission-style parapet wall with a stone cap and 4” granite walkway pavers. The configuration of the property features a mix of office buildout and warehouse, offering an owner long-term flexibility for various operations and uses, and features easy loading access for deliveries, as well as storage space for inventory. Additionally, the site offers a concrete parking/truck court with 43 parking spaces.
The subject property is 100% leased to two Fortune 500 tenants, SCP Distributors a wholly owned subsidiary of POOLCORP (NASDAQ: POOL) & Anixter (NYSE: AXE). Anixter was founded in 1957 and is a leading global distributor of Network & Security Solutions, Electrical & Electronic Solutions and Utility Power Solutions. With more than 9,300 employees and 65,000 products in stock, Anixter has the largest and broadest wire and cable product offering in the world. The company reported net sales of $8.4 billion in 2018, seeing a net income of $156.3 million (see page 12 for more detail).
SCP Distributors is a wholly owned subsidiary of POOLCORP, the world’s largest wholesale distributor of swimming pool and related outdoor living products operating more than 360 sales centers in North America, Europe, South America, and Australia. With more than 4,000 employees, POOLCORP distributes more than 180,000 national brand and private label products from over 2,200 vendors to roughly 120,000 wholesale customers worldwide (see page 11 for more detail).
SCP has operated successfully at this location for over 15 years, extending their lease twice for an additional ten years. Anixter has operated at this location since February 2004 and has renewed their lease for two (2) additional five-year terms, reflecting their commitment to the location. Both leases feature annual rent increases of 2.5%, providing an investor with solid rent growth.
The subject property is centrally located between the on/off ramps at East 51st Street South and South 129th Ave, just a couple of blocks from SR-51/US-64 and 1 mile from US Highway 169, offering quick access to downtown Tulsa (11 miles northwest) and Tulsa International Airport (10 miles north), the global maintenance headquarters for American Airlines.
The subject property is located in Tulsa, the second-largest city in the state of Oklahoma and the 45th-most populous city in the United States. Tulsa has diversified to capitalize on its status as a regional hub and has seen new growth in emerging industries finance, aviation, technology, and media. Amazon is constructing a 640,000-square-foot fulfillment center that is expected to open this year. Additionally, tourism is a growing industry in Tulsa. In 2017, the city saw nearly 21 million visitors, generating $8.9 billion in travel spending.