CSRA Columbus Fitness, DST
100% leased to Fitness & Sports Clubs, LLC, d.b.a. “LA Fitness,” through December 29, 2027. Rent will increase by 10% on December 29, 2017. Annual rent will increase 10% at the start of each 10-year option period. Triple net lease structure protects investor distributions from future inflation and expense increases.
LA Fitness has very little competition from other fitness clubs in the immediate area- ranked No. 1 in Club Industry’s “Top 100 Clubs” 2014 list, with more than 630 locations and 2013 estimated revenue of $1.7 billion. The U.S. health club industry is large and growing, with total revenues of approximately $22 billion in 2012. The industry has more than doubled in revenue and participation over the past 20 years and is one of the few sectors of the U.S. economy that grew throughout the past two recessions.
Desirable location in an affluent suburb of Columbus – the state capital, largest city in Ohio and home of Ohio State University. Excellent local demographics with approximately 41,500 residents within a three-mile radius of the gym, and an average household income of $152,605.
Consider the Risks An investment in the Interests involves substantial investment and tax risks, including, without limitation, the following risks:
- There are various risks associated with owning, financing, operating, and leasing commercial properties in Ohio.
- The Interests do not represent a diversified investment.
- Beneficial Owners must completely rely on the Master Tenant to collect the rent and operate, manage, lease, and maintain the Property.
- The Beneficial Owners have no voting rights with respect to the management or operations of the Trust or in connection with the sale of the property.
- There are various conflicts of interest among the Trust, the Sponsor, the Signatory Trustee, and their Affiliates.
- The Interests are illiquid.
- There are tax risks associated with an investment in the Interests.
- There are risks related to competition from properties similar to and near the property.
- There may be environmental risks related to the property.
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LocationPowell (Columbus), OH
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Overview
Approximately 53,206 rentable square feet, a two-story fitness facility