firestone complete auto care –corporate ground lease

REPRESENTATIVE PHOTO
EXCLUSIVE OFFERING | $2,040,000 – 5.00% CAP
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
214.915.8888
JOE CAPUTO
[email protected]
BOB MOORHEAD
[email protected]
RUSSELL SMITH
[email protected]
Property. Brand new 8,568+ SF of building area on 6.349+ acre site.
Tenant. Bridgestone Retail Operations, LLC (Lease Guarantor) Operates 2,200+ Stores w/ 20,000+ Employees. Lessee is a Subsidiary of Bridgestone
Corporation, the World’s Largest Tire Maker, S&P Rated: BBB+
Lease structure. Brand new, 20-year corporate ground lease with 7, 5-year options. 10% rent bumps every 5-years during primary term and option periods.
Location. Firestone Complete Auto Care is strategically located at the intersection of School Street (13,608 Cars / Day) and Commercial Street (20,544 Cars /
Day). The site also takes advantage of the close proximity to I-495 (89,047 Cars / Day) and I-95 (84,527 Cars / Day), which are arterial commercial thoroughfares
in the Greater Boston region. This accessibility has led to the growth of substantial shopping centers and retailers in the immediate trade area. The subject
property is a northern neighbor to the Mansfield Crossing Shopping Center, a 370,000 square foot center which features over 25 nationally recognized tenants.
Tenants in Mansfield Crossing include the likes of Best Buy, Michaels, Petco, Kohl’s, Sports Authority, Chico’s, Jos A. Bank, LOFT, American Eagle, Claire’s,
Buffalo wild Wings, TGI Fridays, Coldstone Creamery, Qdoba, and many others. The subject property also benefits from close proximity to Home Depot, CVS,
Longhorn Steakhouse, Wendy’s, Subway, Mansfield High School, and Qualters Middle School. Mansfield is located 30-miles south of Boston, MA.
Table of contents | Disclaimer
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
PAGE 1:
COVER
PAGE 2:
TABLE OF CONTENTS | DISCLAIMER
PAGE 3:
INVESTMENT | TENANT | LEASE OVERVIEW
PAGE 4:
SITE PLAN
PAGE 5-8:
AERIAL PHOTOS
PAGE 9:
LOCATION OVERVIEW
PAGE 10-11:
LOCATION MAPS
PAGE 12:
DEMOGRAPHICS
Disclaimer
EXP Realty Advisors, Inc. (“Agent”) has been engaged as an agent for the sale of the
property located at 229-243 School Street, Mansfield, MA by the owner of the Property
(“Seller”). The Property is being offered for sale in an “as-is, where-is” condition and Seller
and Agent make no representations or warranties as to the accuracy of the information
contained in this Offering Memorandum. The enclosed materials include highly confidential
information and are being furnished solely for the purpose of review by prospective
purchasers of the interest described herein. The enclosed materials are being provided
solely to facilitate the prospective investor’s own due diligence for which it shall be fully and
solely responsible. The material contained herein is based on information and sources
deemed to be reliable, but no representation or warranty, express or implied, is being made
by Agent or Seller or any of their respective representatives, affiliates, officers, employees,
shareholders, partners and directors, as to the accuracy or completeness of the information
contained herein. Summaries contained herein of any legal or other documents are not
intended to be comprehensive statements of the terms of such documents, but rather only
outlines of some of the principal provisions contained therein. Neither the Agent nor the
Seller shall have any liability whatsoever for the accuracy or completeness of the
information contained herein or any other written or oral communication or information
transmitted or made available or any action taken or decision made by the recipient with
respect to the Property. Interested parties are to make their own investigations, projections
and conclusions without reliance upon the material contained herein. Seller reserves the
right, at its sole and absolute discretion, to withdraw the Property from being marketed for
sale at any time and for any reason. Seller and Agent each expressly reserves the right, at
their sole and absolute discretion, to reject any and all expressions of interest or offers
regarding the Property and/or to terminate discussions with any entity at any time, with or
without notice. This offering is made subject to omissions, correction of errors, change of
price or other terms, prior sale or withdrawal from the market without notice. Agent is not
authorized to make any representations or agreements on behalf of Seller. Seller shall
have no legal commitment or obligation to any interested party reviewing the enclosed
materials, performing additional investigation and/or making an offer to purchase the
Property unless and until a binding written agreement for the purchase of the Property has
been fully executed, delivered, and approved by Seller and any conditions to Seller’s
obligations hereunder have been satisfied or waived. By taking possession of and
reviewing the information contained herein, the recipient agrees that (a) the enclosed
materials and their contents are of a highly confidential nature and will be held and treated
in the strictest confidence and shall be returned to Agent or Seller promptly upon request;
and (b) the recipient shall not contact employees or tenants of the Property directly or
indirectly regarding any aspect of the enclosed materials or the Property without the prior
written approval of the Seller or Agent; and (c) no portion of the enclosed materials may be
copied or otherwise reproduced without the prior written authorization of Seller and Agent.
Massachusetts Broker of Record:
George F. Gamache
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Investment overview
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
PRICE:
$2,040,000
CAP RATE:
5.00%
NET OPERATING INCOME:
$102,000
TOTAL BUILDING AREA:
8,568+ Square Feet
LAND AREA:
6.34+ Acres
YEAR BUILT:
2015
OWNERSHIP:
Fee Simple Interest
OCCUPANCY:
100%
Tenant overview
Tenant: Bridgestone Retail Operations, LLC, a Delaware limited liability company
DBA: Firestone Complete Auto Care
Lease overview
Lease Term:
20 Years with 7, 5-year options to extend
Projected Rent Commencement:
April 2015
Projected Lease Expiration:
April 2035
Lease Type:
Ground Lease – Absolute NNN
Rent Increases:
10% Every 5 Years In Primary Term & Options
Annual Rent Yrs 1-5:
$102,000
Option 3 | Yrs 31-35:
$180,699
Annual Rent Yrs 6-10:
$112,200
Option 4 | Yrs 36-40:
$198,769
Annual Rent Yrs 11-15: $123,420
Option 5 | Yrs 41-45:
$218,646
Annual Rent Yrs 16-20: $135,762
Option 6 | Yrs 46-50:
$240,510
Option 1 | Yrs 21-25:
$149,338
Option 7 | Yrs 51-55:
$264,561
Option 2 | Yrs 26-30:
$164,272
Right of First Refusal:
Yes*
* Subject to and not limiting Tenant's rights to renew or extend as set forth in this Lease, if any, beginning on
the thirty-sixth (36th) full calendar month after the Rent Commencement Date and continuing during Tenant's
occupancy under this Lease, or any extension or renewal thereof, Tenant shall have a right of first refusal to
purchase the Premises.
BRIDGESTONE RETAIL OPERATIONS, LLC dba FIRESTONE COMPLETE AUTO CARE | www.firestonecompleteautocare.com
Automotive service is the largest part of Bridgestone Retail Operations, LLC's business, accounting for approximately 50 percent of sales with tire and financial
services making up the rest. Bridgestone Firestone North American Tire manufactures Bridgestone, Firestone, and Dayton truck tires along with tires for virtually
every wheeled vehicle made. Harvey S. Firestone (1868-1938) founded The Firestone Tire & Rubber Company in Akron, Ohio, in August 1900, and started
marketing solid rubber tires for carriage wheels. Firestone joined the retail store arena offering basic car service and tire sales in the mid-1920s when the original
Firestone Service Centers were opened. In the late 1970s the company, in an effort to re-focus its business solely on automotive service and tire sales, began to
phase out the sale of all non-auto related merchandise. Shortly thereafter, in 1981, the Firestone Master Care Car Service concept was introduced and established
as a premier brand of quality service being delivered to customers in a consistent and distinctive manner. Bridgestone Corporation,
founded
in 1931 in Kurume,
SUBJECT
PROPERTY
Japan, purchased Firestone in 1988, transforming the company into the world's largest manufacturer of tires and other rubber products.
Bridgestone
and Firestone
PRIOR TO
PANDA EXPRESS
EXPANSION
operations in the Americas were consolidated in 1990 as Bridgestone/Firestone, Inc. Bridgestone/Firestone, Inc. initiated a series of changes to its corporate
structure in December 2001, reorganizing its operations in the Americas under a holding company, Bridgestone Americas Holding, Inc., and several operating
subsidiaries. The largest of these operating subsidiary companies is Bridgestone Retail Operations, LLC. In 2001 Bridgestone/Firestone also announced its
majority ownership stake in Morgan Tire & Auto, Inc. (MTA), then the nation's second largest independent retailer of tires. Responsibility for MTA was shifted to
Bridgestone Retail Operations, LLC following the reorganization of Bridgestone/Firestone. Today, Bridgestone Retail Operations, LLC and its subsidiaries employ
approximately 22,000 teammates in North America. Bridgestone Retail Operations, LLC consists of more than 2,200 company-owned consumer and commercial
stores in the United States as well as the company's own credit card operations. The store channels include Firestone Complete Auto Care, Morgan Tire / Tires
Plus, Expert Tire, Commercial & Farm, and Mark Morris.
3
Site plan
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
4
Aerial photo
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
Mansfield High School
Qualters Middle School
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Aerial photo
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
6
Aerial photo
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
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Aerial photo
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
School Street (13,608 Cars / Day)
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Location overview
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
IMMEDIATE TRADE AREA
Firestone Complete Auto Care is strategically located at the intersection of
School Street (13,608 Cars / Day) and Commercial Street (20,544 Cars / Day).
The site also takes advantage of the close proximity to I-495 (89,047 Cars /
Day) and I-95 (84,527 Cars / Day), which are arterial commercial thoroughfares
in the Greater Boston region. This accessibility has led to the growth of
substantial shopping centers and retailers in the immediate trade area.
The subject property is a northern neighbor to the Mansfield Crossing
Shopping Center, a 370,000 square foot center which features over 25
nationally recognized tenants. Tenants in Mansfield Crossing include the likes
of Best Buy, Michaels, Petco, Kohl’s, Sports Authority, Chico’s, Jos A. Bank,
LOFT, American Eagle, Claire’s, Buffalo wild Wings, TGI Fridays, Coldstone
Creamery, Qdoba, and many others. The subject property also benefits from
close proximity to Home Depot, CVS, Longhorn Steakhouse, Wendy’s,
Subway, Mansfield High School, and Qualters Middle School.
MANSFIELD / BOSTON MASSACHUSETTS
Mansfield is a town in Bristol County, Massachusetts, As of the 2010 Census,
the town population was 23,184. Mansfield is in the south-southwest suburbs of
Boston and is also close to Providence, Rhode Island.
Boston is the capital and largest city of the Commonwealth of Massachusetts.
Boston also serves as county seat of Suffolk County. The largest city in New
England, the city proper, covering 48 square miles, had an estimated
population of 645,966 in 2014, making it the 24th largest city in the United
States. The city is the anchor of a substantially larger metropolitan area called
Greater Boston, home to 4.5 million people and the tenth-largest metropolitan
area in the country. Greater Boston as a commuting region is home to 7.6
million people, making it the sixth-largest Combined Statistical Area in the
United States.
The area's many colleges and universities make Boston an international center
of higher education and medicine, and the city is considered to be a world
leader in innovation for a variety of reasons. Boston's economic base also
includes finance, professional and business services, and government
activities. The city has one of the highest costs of living in the United States,
though it remains high on world livability rankings.
A global city, Boston is placed among the top 30 most economically powerful
cities in the world. Encompassing $363 billion, the Greater Boston metropolitan
area has the sixth-largest economy in the country and 12th-largest in the world.
Boston's colleges and universities have a significant effect on the regional
economy. Boston attracts more than 350,000 college students from around the
world, who contribute more than $4.8 billion annually to the city's economy. The
area's schools are major employers and attract industries to the city and
surrounding region. The city is home to a number of technology companies and
is a hub for biotechnology, with the Milken Institute rating Boston as the top life
sciences cluster in the country. Boston receives the highest absolute amount of
annual funding from the National Institutes of Health of all cities in the United
States.
Tourism comprises a large part of Boston's economy, with 21.2 million
domestic and international visitors spending $8.3 billion in 2011. Because of
Boston's status as a state capital and the regional home of federal agencies,
law and government are another major component of the city's economy. The
city is a major seaport along the United States' East Coast and the oldest
continuously operated industrial and fishing port in the Western Hemisphere.
Other important industries are financial services, especially mutual funds and
insurance. Boston-based Fidelity Investments helped popularize the mutual
fund in the 1980s and has made Boston one of the top financial cities in the
United States. The city is home to the headquarters of Santander Bank, and
Boston is a center for venture capital firms. State Street Corporation, which
specializes in asset management and custody services, is based in the city.
Boston is a printing and publishing center — Houghton Mifflin is headquartered
within the city, along with Bedford-St. Martin's Press and Beacon Press.
Pearson PLC publishing units also employ several hundred people in Boston.
The city is home to three major convention centers—the Hynes Convention
Center in the Back Bay, and the Seaport World Trade Center and Boston
Convention and Exhibition Center on the South Boston waterfront.
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Location map
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
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Location map
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
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Demographics
FIRESTONE COMPLETE AUTO CARE – CORPORATE GROUND LEASE
229-243 School Street, Mansfield, MA (GREATER BOSTON)
Demographic snapshot
Radius
1 Mile
3 Mile
5 Mile
2019 Projection
2,561
27,894
74,678
2014 Estimate
2,552
27,507
73,336
2010 Census
2,569
27,027
71,609
Growth 2014-2019
0.35%
1.41%
1.83%
Growth 2010-2014
-0.66%
1.78%
2.41%
2019 Projection
986
10,303
27,130
2014 Estimate
982
10,162
26,599
2010 Census
991
10,008
25,927
Growth 2014 - 2019
0.41%
1.39%
2.00%
Growth 2010 - 2014
-0.86%
1.55%
2.20%
684
7,545
20,290
Population:
Households:
Owner Occupied
299
2,617
6,309
2014 Avg Household Income
Renter Occupied
$104,551
$106,332
$106,574
2014 Med Household Income
$91,666
$83,406
$86,857
<$25,000
112
1,310
3,314
$25,000 - $50,000
177
1,621
4,403
$50,000 - $75,000
125
1,786
4,096
$75,000 - $100,000
117
1,081
3,134
$100,000 - $125,000
153
1,261
3,420
BOSTON, MA
2014 Households by Household Inc:
$125,000 - $150,000
88
893
2,372
$150,000 - $200,000
139
1,163
3,254
73
1,046
2,606
$200,000+
XFINITY CONCERT CENTER, MANSFIELD, MA
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