MOMENTUM BEHAVIOR SERVICES

221 2nd Ave SW, Byron, MN 55920
$2,784,916

Cap Rate
7.75%
Price Per SF
$154
Gross SQFT
18,030
Year Built
1996/R 2008
Occupancy
100%
Term Remaining
±11 YRS
NOI
$215,831
Property Type
Healthcare

INVESTMENT HIGHLIGHTS

  • ABSOLUTE NNN LEASE: The site features an absolute NNN lease with no landlord responsibilities. This provides investors with stable cash flow without intensive management
    responsibilities or the risks of high capital expenditure costs during the life of the lease.
  • LONG-TERM LEASE: This property features a secure long-term lease with ±11 years remaining, providing a reliable stream of rental income for the future landlord. It’s being offered at an attractive cap rate with annual rental increases, making it a great option for long-term investment. The length of the lease not only adds stability but also enhances the property’s appeal to lenders, facilitating easier access to financing for potential buyers.
  • ANNUAL RENT INCREASES: The lease features 2% annual rent increases, providing investors with a hedge against inflation and consistent rent growth.
  • BILLION DOLLAR MARKET FOR AUTISM THERAPY: The global autism spectrum disorder therapeutics market size is estimated to be valued at USD 2.4 billion in 2025. The market is projected to grow at a CAGR of 7.6% to $3.8 Billion by 2032, according to Statista.
  • MINNESOTA’S STATE MANDATED AUTISM COVERAGE: Minnesota, known for its comprehensive autism resources, is one of the few states mandating private insurers to cover ABA and related therapies. With a strong focus on early intervention programs and advanced treatments, it’s a standout market for autism care investments.
  • SUPPORTIVE REGULATORY ENVIRONMENT: Minnesota’s supportive regulatory environment and healthy Medicaid reimbursement structure for Autism Therapy facilities and services provides a stable foundation for medical office operations.
  • UNIQUE BUILD-OUT: The tenant has specifically built out this property to provide specialized ABA for children with Autism. This means the site has several unique features, such as
    a mock dental office, to simulate real life situations for children and help them better develop their social skills. This unique build-out makes the location even stickier and harder to replace for the tenant.
  • MEDICAL OFFICE – HEDGE AGAINST ECONOMIC DOWNTURNS: Healthcare real estate has emerged as a highly sought after investment due to its unique ability to thrive in challenging economic conditions. Its strong demand, stable tenant base, and resistance to economic downturns make it an attractive option for investors seeking a more reliable investment.
  • CONVENIENT HIGHWAY ACCESS IN ROCHESTER MSA: The site sits directly off of Highway 14 W, which features vehicle counts of over 18,000 vehicles per day. With easy access to Rochester and a prime location in the Rochester MSA, the property is well positioned to serve not only the local community, but many neighboring cities and towns as well.

Broker of Record

  • Kurt Sauer
  • License No. 40841922 (MN)
  • (866) 889-0550
  • Matthews Real Estate Investment Services, Inc
  • 701 Xenia Ave S,
    Ste 485 Minneapolis MN 55416
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