|
 |
| |
| |
 |
| SugarOak Success Stories |
|
 |
|
 |
|
| Case Study: |
2699 Lee Road |
| Location: |
Chantilly, Virginia |
| Purchase Date: |
September 2000 |
| Size: |
20,000 sq ft |
| Purchase Price: |
$2,600,000 |
Post-Purchase
Investment: |
None |
| Gross Sale Price: |
$3,450,000 |
| Sale Date: |
June 2003 |
|
|
 |
|
 |
|
|
 |
2699 Lee Road was purchased by SugarOak Properties on behalf of a group of investors in a sale/leaseback transaction in September 2000. The Seller/Tenant approached SugarOak about selling and leasing back its headquarters building in the spring of 2000. SugarOak negotiated a favorable purchase price and long-term lease and closed on the purchase of the property on September 19, 2000.
SugarOak’s strategy was to increase the value of the property by taking advantage of additional acreage that came with the purchase and that could be utilized to expand the existing building. SugarOak obtained Fairfax County’s approval to build an additional 31,000 square feet of office space on the property. The cost of designing the addition and obtaining approvals were paid out of the cash flow of the property.
SugarOak did not construct the building addition itself. Rather, once the necessary approvals were obtained, SugarOak sold the property on June 5, 2003 for $3,450,000. In addition to the gain from the sale, distributions from cash flow of approximately $180,000 were paid to the investors during the ownership period of the property. |
|
|
|
|
|
|
|
| Site designed and maintained by: Jack Morris Advertising |
|
|
|
