712 Brown Street

Description

List price to be opening bid at online only auction. Online auction to be conducted on Auctioneers website. Bidding begins Wednesday, April 23rd and ends Monday, April 28, 2025 at 12:00PM. Exclusive Investment Opportunity off Rt. 50 in Salisbury! 712 Brown St. and tax ID #05-020018 Salisbury, MD 21804. A prime chance to acquire a fully leased building in Salisbury, MD. Both tenant leases have been recently renewed, featuring 5-year and 7-year terms, with each including a 3% annual rent increase beginning in year two. Zoning: City of Salisbury Light Industrial. Property: The property is located at 712 Brown Street Salisbury Maryland fronting on Naylor Street and Brown Street. It is comprised of two contiguous parcels totaling approximately 84,728 sq. ft. or 1.95 acres fronting on Naylor Street and Brown Street. The property is described in the Tax Records of Wicomico County as Map 104 Parcels 1420 Tax ID 05-019990 & Parcel 1421 Tax ID 05-02218. The property has a rear access connecting Brown Street and Naylor Street which is a perpetual easement granted by the railway in exchange for a one-time payment. The approximate 84,391 sq. ft total described is the sum of the two 1420 and 1421 parcels being 34,000 sq. ft and 58,302 sq. ft. respectively and totaling (92,302 sq. ft. " 7,574 = 84,728 sq. ft.). Features include: Large parking lot (Approximately 40+/- spaces) Very close to major transportation routes including Rt. 50 & Rt. 13 Building includes drive-through overhead doors. Lease information:Patriot Auto Recycling: 712 Brown St, Salisbury, MD 21804 (warehouse, approximately 11,300 sq ft) Term: 5 years, from April 1, 2025 (Commencement Date) to March 31, 2030. Purpose: Tenant will use the property solely for automotive repair. Base Rent: From April 1, 2025, to December 31, 2025, Tenant shall pay a flat rate of $4,000. per month. Starting January 1, 2026, rent reverts to $5.75 per sq. ft. for 11,300 sq ft. ($5,414/month or $64,968/year), subject to the annual escalation below. Annual Escalation: Rent increases by 3% each January 1st starting January 1, 2027. Payment Schedule: April 1, 2025 - December 31, 2025: $4,000/month (9 months, total $36,000). January 1, 2026 - December 31, 2026: $5,414/month (12 months, total $64,968). Year 2 (January 1, 2027 - December 31, 2027): $5,576.42/month ($66,917.04/year). Year 3 (January 1, 2028 - December 31, 2028): $5,743.71/month ($68,924.55/year). Year 4 (January 1, 2029 - December 31, 2029): $5,916.02/month ($70,992.29/year). Year 5 (January 1, 2030 - March 31, 2030): $6,093.50/month (3 months, total $18,280.50; lease ends March 31, 2030).Fin Tec Inc: 406 Naylor St, Salisbury, Maryland 21804 (warehouse with approximately 8,580 +/- Sq. Ft.) Term: 7 years, commencing on April 1st, 2025 and ending on March 31st, 2032. Base Rent: From April 1, 2025, when the lease begins, the rent shall be calculated at a rate of $5.75 per sq. ft. for 8,580 sq. ft., resulting in a monthly rent of $4,113.50 and an annual rent of $49,362.00. Annual Escalation: Rent increases by 3% each April 1st starting April 1, 2026, and every April 1st thereafter during the term of the lease, which expires on March 31, 2032. Payment Schedule: Year 1 (April 1, 2025 - March 31, 2026): $4,113.50 per month ($49,362.00 annually) Year 2 (April 1, 2026 - March 31, 2027): $4,236.91 per month ($50,842.86 annually) Year 3 (April 1, 2027 - March 31, 2028): $4,363.99 per month ($52,367.75 annually) Year 4 (April 1, 2028 - March 31, 2029): $4,494.91 per month ($53,938.78 annually) Year 5 (April 1, 2029 - March 31, 2030): $4,629.75 per month ($55,557.04 annually) Year 6 (April 1, 2030 - March 31, 2031): $4,768.65 per month ($57,223.62 annually) Year 7 (April 1, 2031 - March 31, 2032): $4,911.71 per month ($58,940.33 annually)