Prime Summerlin Office Property Goes to Market for $14,000,000

Las Vegas, NV (I-Newswire) June 22, 2011 - Las Vegas, Nevada – June 22, 2011 – Fortis Commercial Advisors, a boutique Las Vegas commercial real estate firm, today announced the listing for sale of 1650 Spring Gate Lane, an approximately 42,765 sf prime office property located in the Trails Village South development in Summerlin. The property houses the west coast headquarters of Catalyst Rx, a leading pharmacy benefits management (PBM) firm based out of Rockville, Maryland. According to Dean Jalili, managing partner of Fortis Commercial Advisors, Catalyst Rx occupies approximately 90% of the usable space within the property on a long term lease. “We see this as an excellent opportunity for an investor to acquire an irreplaceable asset in the heart of Summerlin primarily leased to a highly stable tenant for several years.” The property sits on approximately 3.02 acres of land directly in close proximity to the performing arts center, dense existing housing and neighborhood services. Built in 2007, the highly upgraded facility includes a common area entrance and reception area, key card entries throughout the building and covered parking. The additional 10% of the property is leased to Preferred Dental and the Loomis Company.

The major tenant, Catalyst Rx, is owned by Catalyst Health Solutions which is traded on the New York Stock exchange under the ticker symbol CHSI. The corporation has seen its value double since October 2010 as its stock price has soared from a low of $31.40 per share to $67.00 per share. Most investors attribute this to the March purchase of Walgreen's PBM service in a $525 million cash deal that was punctuated by Catalyst Rx beating out PBM industry monster Express Scripts for the purchase. The deal is expected to significantly increase Catalyst Rx's market share.

The location of the asset has significant barriers to entry as it is part of the Summerlin master planned community, a +/- 22,500 acre development by the Howard Hughes Corporation. The Trails Village which is home to this asset, was one of the first Villages to be developed within the Summerlin master plan and, as such, has very little available land for future development. Summerlin is seen as the premier master planned community in Vegas and the gold standard for master planned communities nationwide, having received a long list of prestigious planning awards since its inception and ground breaking in 1990.

“We are continuing to see that there is a strong demand for quality real estate assets with stable tenants from investors who are not willing to chase riskier distressed deals” says Dean Jalili who goes on to add “it's generally a market of fish or foul. Either you're buying trophies like this property that will continue to provide stable cash flow for years to come or playing in the distressed space which carries far more significant risk.” The asking price of $14,000,000 represents a 7.19% cap rate on current valuation with built in increases in the tenants' leases. The property also has an existing loan of approximately $8,500,000 that may be assumed by a purchaser.

Fortis Commercial Advisors represents private and institutional investors with commercial real estate needs in Las Vegas, Nevada. For additional information regarding Fortis Commercial Advisors, interested parties may visit www.FortisAdvisors.com.

About Fortis:
Fortis is available daily to talk about purchase or lease of Las Vegas commercial real estate.

Company Contact Information
Fortis
Dean Jalili
10100 W. Charleston Blvd., #160
89135
Phone : 702-982-8968