Greater Michigan Oral Surgeons & Dental Implant Center
$3,428,571
Key Information
Cap Rate
7%
$ per SF
$386
Tot. SF
7,616
Lot Size
1.37 Acres
Year Built
1984
Term Remaining
9.83 YRS
Type
Healthcare
Occupancy
100%
NOI
$240,000
Highlights
Long Term Net Lease: This property is secured by a ten-year NNN lease, with extremely minimal landlord responsibilities. It’s a great choice for investors looking for dependable income without the hassle of day-to-day management.
Three Percent Annual Rental Increases: The lease features three percent (3%) annual rental escalators, giving investors a hedge against inflation and consistent, predictable rent growth.
8.02% Average Cap Rate Over the Base Lease Term: The lease structure and 3 percent annual rent increases result in an average cap rate of approximately 8.02 percent over the base term of the lease, providing investors with an attractive blended yield and enhanced cash flow growth over time.
Proven Industry with E-Commerce Resistance: Healthcare and dental operators are not subject to the same competitive pressures faced by traditional retail tenants. Oral surgery is a highly specialized, procedure-based service that cannot be replicated online and must be performed in a licensed clinical setting. More than twelve million oral surgery procedures are performed annually in the United States, including approximately five million wisdom tooth extractions each year. These essential services create durable demand and provide long-term stability that is largely insulated from e-commerce disruption.
Demographic and Procedure Driven Growth: Oral surgery demand is being driven by long term demographic and healthcare trends, including an aging population, rising utilization of dental implants, and increased prevalence of oral disease. These factors support sustained procedure volumes and long term demand for oral surgery services independent of economic cycles.
Broad, Scaled Market with Long Term Demand: The U.S. surgical dentistry market generates approximately $15 billion in annual revenue, underscoring the depth and durability of the sector. More broadly, the global dental market is projected to grow from approximately $44.7 billion in 2026 to over $118 billion by 2034, reflecting the significant scale and continued expansion of the overall dental services market.