This property consisting of a 4,425 square foot medical office building in the city of Compton on 16,000 square feet of land was purchased on May 25, 2017 for $350,000. Prior to the close of escrow, we negotiated and executed a new 10-year lease with a federally funded childcare provider, which has a net worth in excess of $50,000,000.
The complete repositioning of the Property was completed in the summer of 2019, at a cost of approximately $450,000, as called for in our lease. The tenant opened for business in late 2019. In July 2020, we completed the off-market purchase of the adjacent 3,424 square foot vacant land parcel, at a price of $125,000. Prior to purchasing this parcel, we executed a lease amendment, which allowed us to increase our NOI on this investment by over 15%. With nearly all investor equity returned, the property continues to provide our partners with continuing cash flow.
