1927 E Crocus Dr Phoenix, AZ 85022

* **9.74% Day-One Cap Rate -- Exceptional Yield in a Single-Family Asset**
* **Absolute NNN Structure -- Tenant Reimburses Property Taxes and Insurance**
* **Contractual Rental Growth Built Into the Initial 5-Year Lease Term**
* **Forward Yield Increases to Approximately 10.43% by Year 5**
* **Newly Executed Lease Provides Contractual Income Through 2030**
* **Personal Guarantee Supports the Tenant's Lease Obligations**
* **More Than $40,000 in Recent Renovations and Capital Improvements**
* **Predictable Income Stream Secured by Phoenix Real Estate**
* **Built-In Upside Without Renovation, Repositioning, or Intensive Management**
* **Rare Combination of Double-Digit Forward Yield and Residential Real Estate** ABSOLUTE NNN SINGLE-TENANT INVESTMENT
5-Year Lease | Built-In Rental Growth | 9.74% Year 1 Cap Rate POSITIONING
Bond-Like Income Secured by Real Estate
Absolute Triple NNN lease structure Newly executed 5-year lease commencing January 1, 2026 Personal guarantee Two additional 5-year renewal options Monthly base rent increases by $100 each year Tenant's first right of refusal ASKING PRICE: $695,000
EXECUTIVE SUMMARY
Gerchick Real Estate is pleased to present a fully stabilized, single-tenant Absolute NNN investment secured by a newly executed 5-year lease. In addition to base rent, the tenant reimburses the landlord for property taxes and insurance, creating a predictable and largely passive income stream. This investment offers: Immediate cash flow Contractual annual rent growth Minimal landlord responsibility Personal guarantee Long-term renewal potential Strong initial and forward yields The property's value is driven by its contractual income stream. This is not an owner-occupant comparable-sale opportunity--it is a yield-focused real estate acquisition. FINANCIAL OVERVIEW
Year 1 Income
Base Rent: $5,200 per month
NNN Reimbursements: $440.25 per month
Total Monthly Income: $5,640.25 Total Annual Income: $67,683 Year 1 Cap Rate
Purchase Price: $695,000 $67,683 ÷ $695,000 = 9.74% YEAR 1 CAP RATE: 9.74%
FORWARD YIELD GROWTH
Lease Year Annual Income Yield on Original Purchase Price
Year 1 $67,683 9.74%
Year 2 $68,883 9.91%
Year 3 $70,083 10.08%
Year 4 $71,283 10.26%
Year 5 $72,483 10.43%
By Year 5, the annual yield increases to approximately 10.43% based on the original $695,000 purchase price. FIVE-YEAR CASH-FLOW PROJECTION
Assuming an all-cash purchase at $695,000: Lease Year Projected Gross Income
Year 1 $67,683
Year 2 $68,883
Year 3 $70,083
Year 4 $71,283
Year 5 $72,483
Total $350,415
TOTAL PROJECTED FIVE-YEAR GROSS INCOME: $350,415
The projected five-year gross income equals approximately 50.42% of the purchase price, providing investors with the potential to recover more than half of the original acquisition cost through gross income during the initial lease term alone. LEASE ABSTRACT
Lease commencement: January 1, 2026 Initial lease term: 5 years Renewal options: Two additional 5-year terms Base-rent increases: $100 per month annually Guarantee: Personal guarantee First right of refusal: Provided to tenant Property taxes: Reimbursed by tenant Property insurance: Reimbursed by tenant Lease structure: Absolute NNN INVESTMENT THESIS
Why This Asset Performs
Attractive 9.74% initial cap rate Contractual annual rent increases Forward yield exceeding 10% beginning in Year 3 Personal guarantee helps reduce investment risk Minimal ongoing management burden Annual increases provide a hedge against inflation Strong Phoenix location Potential for future cap-rate compression Contractual income secured by underlying real estate Two additional 5-year renewal options This structure may appeal to private investors, 1031 exchange buyers, family offices, and yield-focused purchasers seeking stable real estate income without the management demands of a traditional residential rental. BUYER REQUIREMENTS
The Seller recognizes that traditional residential appraisal methodology may not fully reflect the value of the property's contractual income stream. All offers must: Be submitted as an all-cash purchase; or Waive the appraisal contingency; and Include acceptable proof of funds This is an income-driven acquisition.
DISCLAIMER
All information contained herein has been obtained from sources deemed reliable but is not guaranteed. Buyer shall independently verify all information, including but not limited to lease terms, rental income, reimbursements, expenses, property condition, zoning, square footage, and all other material facts.