Dollar General • Absolute NNN
Transcription
Dollar General • Absolute NNN
PHOTO Representative Photo (Not Actual Store) Dollar General • Absolute NNN Calabash (Myrtle Beach MSA), NC *Listed as a Limited Nonresident Commercial Real Estate Licensee #LC 470 in affiliation with NC Broker Charles Neil #190508 of Divaris Real Estate. Disclaimer | Confidentiality This Offering Memorandum has been prepared by District Real Estate Advisors for use by a limited number of parties and does not purport to provide a necessarily accurate summary of the Property or any of the documents related thereto, nor does it claim to be all-inclusive or to contain all the information which prospective investors may need or desire. All projections have been developed by District Real Estate Advisors and designated sources and are based upon assumptions relating to the general economy, competition and other factors beyond the control of the Seller, and are, therefore, subject to variation. No representation is made by District Real Estate Advisors as to the accuracy or completeness of the information contained herein, and nothing contained herein is, or shall be relied on as, a promise or representation as to the future performance of the Property. Although the information contained herein is believed to be correct, the Seller and its employees disclaim any responsibility for inaccuracies and expect prospective purchasers to exercise independent due diligence in verifying all such information. Further to this, District Real Estate Advisors and its employees disclaim any and all liability for representations and warranties, expressed and implied, contained herein, or for omissions from the Memorandum or any other written or oral communication transmitted or made available to the recipient. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to District Real Estate Advisors. The information contained in the following offering memorandum is proprietary and strictly confidential. This offering memorandum has been prepared to provide summary, unverified financial and physical information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. The Offering Memorandum does not constitute a representation that there has been no change in the business or affairs of the Property or Seller since the date of preparation of the Offering Memorandum. Analysis and verification of the information contained in the Offering Memorandum are solely the responsibility of the prospective purchaser. District Real Estate Advisors makes no warranty or representation with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this offering memorandum has been obtained from sources we believe to be reliable; however, District Real Estate Advisors has not verified, and will not verify, any of the information contained herein, nor has District Real Estate Advisors conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property. This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Table of Contents Property Information Overview & Highlights 4 Area Overview5 Tenant Overview6 Location Map & Demographics7 Aerial8 Site Plan9 Contact10 This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. *Representative Photo (not actual store) Lease Abstract 89 Hickman Road Calabash, NC 28467 Investment Highlights • Absolute NNN • Brand New 15 Year Lease • Myrtle Beach MSA • Strong Traffic on US-17 at 22,000 ADT • Population is 17,000+ in 5 Mile Radius • Corporate Guarantee • S&P Credit Rating: BBB• Ideal Investor/1031 Exchange Property Property Overview Brand new 2016 construction, ideally located on a 4.06 acre parcel, directly on Hickman Road and US-17. Traffic is strong at 22,000 ADT as US-17 serves as the main connector (from destinations North) heading to Myrtle Beach and (from destinations South) heading to Wilmington. The property is surrounded by multiple top notch residential developments and there are more than 20 award winning golf courses within 5 miles. The Ocean Ridge Plantation, which offers 90 holes of championship golf, is southeastern North Carolina’s most exclusive and luxurious golf and beach community. The area is growing quickly and the property is also within the Myrtle Beach MSA, which in 2014 was the 2nd fastest growing MSA in the nation. Price $1,872,000 CAP 6.30% NOI $117,927 (years 1-15) Options 5 x 5 year options 10% Rent Increases in Each Building Size 9,100 +/- square feet Land Area 4.06 +/- acres Construction Completion 6/8/16* Lease Commencement Date 6/8/16* Lease End Date 6/30/2031* Tenant/Guaranty Dollar General (NYSE: DG) Lease Type NNN *Projected This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Area Overview Calabash is a coastal community located in Brunswick County North Carolina, on the southernmost edge of the state. Brunswick County has a population of 118,836 had a 10.6% population growth rate between 2010 and 2014. This ranked 50 out of the top 100 counties on a nationwide list. It is famous for its Calabash Seafood and is known as “The Seafood Capital of the World”. Just 25 miles north of Myrtle Beach, Calabash is part of the Myrtle Beach MSA. In 2014, Myrtle Beach MSA area ranked as the 2nd fastest-growing MSA in the nation with a one year population increase of more than 12,000 people. Myrtle Beach is considered the #1 Family Beach in America and is one of the most popular destinations on the East Coast. The metro area had 417,668 residents which was an increase of 41,000 since 2010. The surrounding Calabash area enjoys year round moderate temperatures and is known for its golf, beaches, fishing and comfortable lifestyle. It has been voted on e of the Top 50 Golf Communities in the US and there are over 20 golf courses within 5 miles. There are several award winning gated communities in the immediate area of the property. The Brunswick Plantation and Golf Resort is directly across the street with over 1,000 homes and 1,800 homeowners. Carolina Shores sits just South and has over 1,200 properties. The Ocean Ridge Plantation, which offers 90 holes of championship golf, is southeastern North Carolina’s most exclusive and luxurious golf and beach community. Living Southern and Where to Retire named is “One of the Top 100 Communities in America”. This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Tenant Profile • Ranked #159 on the Fortune 500 • “Investment Grade” S&P Credit Rating: BBB• Full Year - Net Sales Increased 7.7%, Same-Store Sales Increased 2.8% • Fourth Quarter - Net Sales Increased 7.0%, Same-Store Increased 2.2% • Gross Profit Rate was 31% of sales in 2015, compated to 30.7% in 2014 • Net Income was $1.17 Billion for Fiscal Year 2015, compared to net income of $1.07 Billion in 2014 Dollar General is the largest “small box” discount retailer in the United States. Headquartered in Goodlettsville, TN, the company was established in 1939. As of January 29, 2016, there are 12,483 stores with more than 100,000 employees, located across 43 states. Dollar General has more retail locations than any retailer in America. The Dollar General store format has typically been in rural and suburban markets, now they are expanding into more densely populated areas. Opening over 650 stores in 2013. The Dollar General strategy is to deliver a hassle-free experience to consumers, by providing a carefully edited assortment of the most popular brands in both retail and consumer products. The company launched a successful IPO in 2009 (NYSE: DG). In March, 2014 Dollar General reported records sales, operating profit and net income. For the first quarter 2015 same store sales increased 3.7%, Net Sales increased 8.8% to $4.92 Billion. Over $600 million of capital was returned to shareholders through shares repurchased and dividends paid in the quarter. Gross profit as a percentage of sales was 30.5% in the 2015 first quarter. This was an increase of 45 basis points from 2014 first quarter. In March 2015, Dollar General reported fourth quarter results for fiscal year 2015 and net income was $376 million, compared with $355 million in 2014 fourth quarter. It was also the 26th consecutive year that DG delivered positive same-store sales growth. Net Sales increased to $5.29 Billion in fourth quarter compared to $4.94 Billion in 2014 fourth quarter. This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. LOCATION MAP & DEMOGRAPHICS Demographics Snapshot Population 1 mile 3 mile 5 mile 1,557 9,579 17,365 Avg. HH Income $60,941 $58,240 $61,592 Average Daily Traffic (ADT) US-17 (Hickman Road) US-17 (The Farm @ Brunswick) 22,000 ADT 16,000 ADT This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Aerial This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Site Plan This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Tim Bulman 617.448.5616 [email protected] Christopher Mearn 617.595.1544 [email protected] Greg Feroli 617.943.2272 [email protected] *Listed as a Limited Nonresident Commercial Real Estate Licensee #LC 470 in affiliation with NC Broker Charles Neil #190508 of Divaris Real Estate. District Real Estate Advisors 867 Boylston Street | Floor 5 Boston, MA 02116 Office: 857.284.7971