UNIVERSITY HEIGHTS BUSINESS PARK, SAN ANTONIO, TX
For Sale
$13,500,000
CLICK TO DOWNLOAD
PROPERTY INFORMATION
Price: $13,500,000
Cap Rate: 7.08%
Property Type: Flex/Industrial
Occupancy: 100% Leased
Leasable Area: 68,400 SF
Land Area: 6.06 Acres
CONTACT
Ty Underwood
SLJ Company, LLC
(214) 520-8818 ext. 4
HIGHLIGHTS
-
100% leased multi-tenant flex/industrial asset priced below replacement cost and located in the coveted Northwest Submarket of San Antonio, Texas
-
Constructed in 2000, the Property boasts a dedicated tenant base with an average tenant tenure of 9.8 years and a WALT of over 5.4 years.
-
Average rents at the Property are $13.97 per square foot triple net compared to competing properties with asking rent ranging from $16.95 to $19.50 per square foot triple net. Retail rents in the submarket average over $21 per square foot triple net.
-
Parallel positioning along De Zavala Road with prominent signage and over 33,000 vehicles per day passing directly in front of the Property.
-
The Northwest Submarket has few comparable competing flex/industrial properties, so tenants have limited options for the type of space the Property offers. Also, most tenants at the Property have small, fenced areas in the truck court which is unique in the submarket and particularly this location.
-
More than $84,000 Annual Average Household Income and $226,000+ Median Home Value within a one-mile radius.
-
Located just one-third of a mile west of IH-10 and under two miles from the IH-10 and Loop 1604 intersection.
-
Dynamic location near millions of square feet of retail including The Rim, 3,500+ apartment units, UTSA, South Texas Medical Center, La Cantera Golf Course and Resort, just to name a few.
PROPERTY DESCRIPTION
University Heights Business Park (the “Property”) is a 68,400 square foot multi-tenant flex/industrial asset located in the booming Northwest Submarket of San Antonio, Texas. Positioned along De Zavala Road just one-third of a mile west of IH-10, University Heights Business Park benefits from prominent visibility and exposure to over 33,000 vehicles per day passing directly in front of the Property.
Built in 2000, the Property consists of two, single-story flex/industrial buildings that are 100% leased to a diverse and dedicated tenant base with an average tenant tenure of 9.8 years and a WALT of over 5.4 years. The Property is anchored by U.S. Geological Survey and U.S. Fish & Wildlife Service who have over 6.5 years of remaining lease term and more than 24 years of tenancy at the Property demonstrating long term commitment to the location. Also, most tenants at the Property have small, fenced areas in the truck court which is unique in the submarket and particularly this location.
Average rents at the Property are $13.97 per square foot triple net compared to competing properties with asking rent ranging from $16.95 to $19.50 per square foot triple net. Also, retail rents in the submarket average over $21 per square foot triple net. Over 84% of existing tenants have built in rent escalations and only one tenant has a fixed renewal option creating the opportunity to increase rents to market as leases expire. With an ideal average suite size of 6,218 square feet, University Heights Business Park offers high demand flex/industrial space that rarely becomes available in this sought-after submarket.
As a testament to the submarket, flex vacancy rates average 6.3% with rent growth of 6.7% in 2023, according to CoStar. Also, there is no available land zoned to build similar flex/industrial product thus maintaining a favorable supply/demand balance for the foreseeable future. Median home values are over $226,000 and average annual household income exceeds $84,000 within a one-mile radius of the Property.
Overall, University Heights Business Park offers the rare combination of a high-quality multi-tenant flex/industrial property priced below replacement cost and positioned in the affluent Northwest Submarket of San Antonio where there are few competing properties, low vacancy, and rapid rent growth.