Offering Memorandum - Matthews Real Estate Investment Services

Representative Photo
FAMILY DOLLAR
719 BEDFORD STREET, JOHNSTOWN, PA 15905
OFFERING MEMORANDUM
™
R E T A I L
A D V I S O R S
C O N FID EN T I A L I T Y & DI SCL A IMER STATEMEN T
This Offering Memorandum contains select information pertaining to the business and affairs of Family Dollar located at 719 Bedford
St, Johnstown, PA 15905 (“Property”). It has been prepared by Matthews Retail Advisors . This Offering Memorandum may not be
all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering
Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is
not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews
Retail Advisors . The material is based in part upon information supplied by the Seller and in part upon financial information
obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty,
express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal
liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and
form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.
By acknowledging your receipt of this Offering Memorandum for the Property, you agree:
1. The Offering Memorandum and its contents are confidential;
2. You wi ll hold it and treat it in t he strictest of confidence; and
3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents
in any fashion or manner detrimental to the interest of the Seller.
Owner and Matthews Retail Advisors expressly reserve the right, at their sole discretion, to reject any and all expressions
of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering
Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of
the Property has been fully executed and delivered.
If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such
negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.
A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information
provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed
Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims
against Seller or Matthews Retail Advisors or any of their affiliates or any of their respective officers, Directors, shareholders,
owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the
marketing or sale of the Property.
This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that
there has been no change in the state of affairs of the Property since the date this Offering Memorandum.
Matthews Retail Advisors
Table of Contents
PRICING & FINANCIAL ANALYSIS
Investment Highlights.................................................................... 2
Executive Summary.........................................................................3
Company Overview ........................................................................4
PROPERTY DESCRIPTION
Physical Description........................................................................7
Birds Eye............................................................................................ 8
Regional Map.................................................................................... 9
Tenant Map......................................................................................10
DEMOGRAPHICS
City Overview | Johnstown, PA................................................... 14
Demographics Report...................................................................15
EXC LU S IVE LY LI STED BY:
Josh Bishop
Senior Associate
DIRECT +1.310.919.5823
MOBILE +1.315.730.6228
[email protected]
License No. 01940394
Chad Kurz
Managing Partner
DIRECT +1.310.919.5850
MOBILE +1.310.480.2937
[email protected]
License No. 01911198
David B. Zacharia
Broker of Record
License No. RM422281
DZ Net Lease Realty, LLC
License No. RB067686
Matthews Retail Advisors
Representative Photo
Pricing & Financial
Analysis
™
™
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Investment Highlights
• Building Completely Renovated In 2006
• Strong 9.50% Return On A Stable Investment
• Proven Location; Family Dollar Extended Their
Lease For An Additonal 5-Years With No Landlord
Incentives
• Cheap Rent Per Square Foot: $9.37/SF
• Rent-To-Sales Ratio: 5.81%; W/ Increasing Store
Sales
• Two (2) - Five (5) Year Options W/ 10% Rent Increases
Rep Photo
• Located On A Hard Signalized Corner
• Traffic Counts In Excess Of 15,000 Vehicles Per
Day
• + 8,135 Residents Within A 1-Mile Radius
• + 43,075 Residents Within A 3-Mile Radius
• + 63,809 Residents Within A 5-Mile Radius
• Average Household Income Ideal For Family
Dollar
• Family Dollar Was Recently Acquired By Dollar
Tree; Now The Nation’s Largest Discount Retailer
P. 2
Matthews Retail Advisors
OFFERING MEMORANDUM | Family Dollar
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Executive Summary
FAMILY DOLLAR
719 BEDFORD ST
JOHNSTOWN, PA 15902
List Price............................................................................................... $810,530
CAP Rate - Current���������������������������������������������������������������������������������� 9.50%
Gross Leasable Area������������������������������������������������������������������������� 8,219 SF
Lot Size .....................................................................± 0.61 Acres ( 26,601 SF)
Year Renovated������������������������������������������������������������������������������������������ 2006
Annualized Operating Data
Monthly Rent
Annual Rent
Rent/SF CAP Rate
Current - 2/28/2019
$6,416.67
$77,000.04
$9.37
9.50%
Option 1 - 2/28/2024
$7,058.34
$84,700.04
$10.31
10.45%
Option 2 - 2/28/2029
$7,764.17
$93,170.05
$11.34
11.50%
Tenant Summary
Tenant Trade Name
Family Dollar Stores, Inc.
Type of Ownership
Fee Simple
Lease Guarantor
Corporate
Lease Type
Roof and Structure
Original Lease Term
Rent Commencement Date
Lease Expiration Date
Term Remaining on Lease
Increases
Options
Family Dollar | OFFERING MEMORANDUM
NN
Landlord Responsible
7 Years
March 2007
February 28, 2019
3.25 Years
10% In Options
Two (2) - Five (5) Year Options
Matthews Retail Advisors
P. 3
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Company Overview
Property Name
Property Type
Parent Company Trade Name
Ownership
Revenue
Net Income
Family Dollar
Family Dollar Stores, Inc. operates a chain of self-service retail discount stores
Net Leased Discount Store
primarily for low- and middle-income consumers in the United States. Its
Dollar Tree. Inc.
merchandise assortment includes consumables, such as household chemicals,
Public
paper products, food products, health and beauty aids, hardware and
$10.49B
$284.5M
Stock Symbol
DLTR
Board
NYSE
automotive supplies, pet food and supplies, and tobacco; and home products
comprising blankets, sheets, towels, housewares, giftware, and home décor
products. The company also provides apparel and accessories consisting of
No. of Locations
± 13,000
men’s and women’s clothing products, boys’ and girls’ clothing products,
No. of Employees
± 65,000
infants’ clothing products, shoes, and ashion accessories; and seasonal and
Matthews, NC
electronic products, such as toys, stationery and school supplies, and seasonal
www.familydollar.com
goods, as well as personal electronics, including pre-paid cellular phones and
Headquartered
Web Site
Year Founded
P. 4
Matthews Retail Advisors
1959
services.
OFFERING MEMORANDUM | Family Dollar
PROPERTY DESCRIPTION
™
PRICING AND FINANCIAL ANALYSIS
P. 6
Matthews Retail Advisors
PROPERTY DESCRIPTION
DEMOGRAPHICS
OFFERING MEMORANDUM | Family Dollar
Representative Photo
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Physical Description
THE OFFERING
Property Name................................................................................... Family Dollar
Property Address........................................................................... 719 Bedford St
Johnstown, PA 15902
SITE DESCRIPTION
Number of Stories���������������������������������������������������������������������������������������������One
Year Renovated����������������������������������������������������������������������������������������������� 2006
Gross Leasable Area (GLA)���������������������������������������������������������������������8,219 SF
Lot Size...........................................................................± 0.61 Acres ( 26,601 SF)
Type of Ownership................................................................................Fee Simple
PLandscaping.......................................................................................Professional
Topography.................................................................................... Generally Level
CONSTRUCTION
Foundation........................................................................................Concrete Slab
Exterior..................................................................................Brick/ Painted Stucco
Parking Surface.............................................................................................Asphalt
Representative Photo
Roof.................................................................................................................. Pitches
Family Dollar | OFFERING MEMORANDUM
Matthews Retail Advisors
P. 7
PROPERTY DESCRIPTION
PRICING AND FINANCIAL ANALYSIS
DEMOGRAPHICS
Birds Eye
Traffic Counts
Bedford St & Heron Pl
P. 8
Matthews Retail Advisors
+13,838 VPD
OFFERING MEMORANDUM | Family Dollar
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Regional Map
Local Map
Family Dollar | OFFERING MEMORANDUM
Matthews Retail Advisors
P. 9
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Tenant Map
Grandview
Cemetary
P. 10
Matthews Retail Advisors
OFFERING MEMORANDUM | Family Dollar
PRICING AND FINANCIAL ANALYSIS
Family Dollar | OFFERING MEMORANDUM
PROPERTY DESCRIPTION
DEMOGRAPHICS
Matthews Retail Advisors
P. 11
Representative Photo
PRICING AND FINANCIAL ANALYSIS
P. 12
Matthews Retail Advisors
PROPERTY DESCRIPTION
DEMOGRAPHICS
OFFERING MEMORANDUM | Family Dollar
Representative Photo
Demographics
™
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
City Overview | Johnstown, PA
Johnstown is a city in Cambria County, Pennsylvania, located 3 miles southwest of Altoona and 67 miles east of Pittsburgh. The population was 20,978
at the 2010 census and estimated to be 20,402 in 2013. It is the principal
city of the Johnstown, Pennsylvania, Metropolitan Statistical Area.
Johnstown is home to two High Schools and three Colleges. The University of Pittsburgh at Johnstown and Pennsylvania Highlands Community
College attract thousands of students to their contiguous campuses in
Richland. Cambria-Rowe Business College, located in the Moxham section
of Johnstown, offers concentrated career training and has continuously
served Johnstown since 1891. The Pasquerilla Performing Arts Center, a
concert/theatrical venue at the University of Pittsburgh at Johnstown, attracts high-quality performers.
Vision 2025 is a community-based effort that has created a vision around
bettering our community through a strategic focus around three core areas: a vibrant local economy, life-sustaining landscapes,
and a strong sense of community, all guided by an inclusive
good governance model.
Visioning is the first step in seeing where to go and deciding how to get there. It’s working in large places such
as Pittsburgh and in smaller Pennsylvania communities
such as Media. Now is the time for Johnstown.
P. 14
Matthews Retail Advisors
OFFERING MEMORANDUM | Family Dollar
PRICING AND FINANCIAL ANALYSIS
DEMOGRAPHICS
PROPERTY DESCRIPTION
Demographics Report
Family Dollar | OFFERING MEMORANDUM
Population
2020 Projection
2015 Estimate
2010 Census
2000 Census
1-Mile
7,784
8,135
8,627
10,026
3-Mile
41,609
43,075
45,114
49,818
5-Mile
61,955
63,809
66,421
71,831
Households
2020 Projection
2015 Estimate
2010 Census
2000 Census
3,560
3,711
3,922
4,538
19,176
19,735
20,490
21,933
28,010
28,678
29,591
31,030
Income
$0 - $15,000
$15,000 - $24,999
$25,000 - $34,999
$35,000 - $49,999
$50,000 - $74,999
$75,000 - $99,999
$100,000 - $124,999
$125,000 - $149,999
$150,000 - $199,999
$200,000 - $249,999
$250,000 - $499,999
$500,000+
2015 Est. Average Household Income
2015 Est. Median Household Income
34.36%
15.31%
13.20%
11.95%
15.38%
5.21%
1.80%
1.14%
1.08%
0.38%
0.16%
0.03%
$35,875
$25,248
19.05%
14.18%
12.74%
15.72%
18.00%
9.27%
4.91%
2.36%
1.80%
0.76%
0.91%
0.30%
$52,292
$38,848
18.24%
13.69%
12.69%
15.69%
17.61%
9.77%
5.48%
2.60%
2.02%
0.87%
1.01%
0.33%
$54,392
$40,137
Matthews Retail Advisors
P. 15
FAMILY DOLLAR
719 Bedford Street
Johnstown, PA 15902
OFFERING MEMORANDUM
Josh Bishop
Senior Associate
DIRECT +1.310.919.5823
MOBILE +1.315.730.6228
[email protected]
License No. 01940394
™
Chad Kurz
Managing Partner
DIRECT +1.310.919.5850
MOBILE +1.310.480.2937
[email protected]
License No. 01911198
David B. Zacharia
Broker of Record
License No. RM422281
DZ Net Lease Realty, LLC
License No. RB067686
Matthews Retail Advisors | 841 Apollo Street, Suite 150 | El Segundo, CA 90245 | www.Matthews.com