SLEEP NUMBER

2257 Commerce Drive, Rochester, MN 55901
$2,339,000

Cap Rate
5.90%
Year Built
2018
Leasable Area
3,000 SF
NOI
$138,000

Broker of Record

  • Mark Hulsey
  • License No. 40169559 (MN)
  • (651) 256-7404
  • RE/MAX Results Commercial
  • 2100 Ford Parkway,
    Suite 201, Saint Paul, MN 55116

INVESTMENT SECURITY

  • Relocation Store– Sleep Number relocated from the Apache Mall (±3.5 miles away)
  • New Construction site (2018) with a corporately guaranteed, 10-year lease with a 10% rent bump after Year 5 and a 20% rent bump at the first option period
  • Rapidly Developing Area– six of the parcels immediately north of the subject property are currently in development; the 15-acre lot just north of Costco as well as two, ±3-acre lots behind Costco; a brand new West Bank across the street; 17 parcels across ±18 acres about ¾ of a mile north of the site; and at least six (6) hotel complexes are in development in the downtown Rochester area (±3 miles from subject property)

IDEAL LOCATION

  • Site is out parceled to a Costco and next door to an ALDI, along with other national tenants in the same shopping center: McDonald’s, Sherwin-Williams, Goodwill, Associated Bank, MainStay Suites, Comfort Inn & Suites, Staybridge Suites, and Kwik Trip
  • Across the street from CineMagic Hollywood Movie Theatre (12 Theatres), Spectrum, West Bank, Wells Fargo, and Rooster’s Barn & Grill.Less than ¾ of a mile from Highway 14, which boasts ±23,500 VPD; Less than 2 miles from Highway 52, which boasts ±63,000 VPD
  • Affluent Area – the Average Household Income exceeds $86,000 in the 3-mile radius
  • Strong Growth – population has grown over 15.50% within the 1-mile radius since 2010 and is expected to grow an additional ±6% by 2024
  • Over 55,000 residents within the 3-mile radius
  • Less than 1 mile from the Rochester Technology Campus – a 490-acre compass with 34 buildings and ±2.56MM SF of NRA
  • About 2.5 miles from the Mayo Clinic Hospital, Saint Marys Campus– a 1,265-bed hospital and includes the nation’s largest intensive care unit
  • Mayo Clinic has been ranked the #1 hospital in the country for the third consecutive year (U.S. News & World Report)
  • Mayo Clinic in Rochester has more #1 rankings in medical specialty areas than any other U.S. medical center (U.S. News & World Report)
  • Approximately 80,000 patients per year, including ±303,300 total patient days in 2018
  • Generated over ±$5.15B in patient revenue in 2018
  • Site is about ½ a mile from the Mayo Clinic Laboratories
  • About 3.5 miles from Apache Mall (where Sleep Number relocated from) – Rochester’s largest enclosed shopping mall, encompassing ±82 tenants across 750,000 SF
  • About 9 miles from Rochester International Airport – 366,542 passengers in 2018, a record year for the airport