Factory Stores at Batesville

Transcription

1 Value Add Investment Opportunity Factory Stores at Batesville Batesville, Mississippi PREPARED BY: René Brochier, Vice President CA License No This document has been prepared by Colliers International for advertising and general information only. Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of Colliers International and/or its licensor(s) All rights reserved.

2 INVESTMENT HIGHLIGHTS Priced Well Below Replacement Costs Below Market Rents Upside Through the Leasing and Development of the Out Parcels Strong Regional Growth Property in Very Good Condition INVESTMENT OVERVIEW The Subject Property is currently 70.49% occupied, with upside far beyond 29.51% of the leasable area. A real positive at the center is that Its Fashion has expanded into a 10,000 square foot unit up from the 3,000 square feet it previously occupied. The owner has spent approximately $80,000 in tenant improvement costs for them. Lastly, with an improving economy nearly all tenants are seeing higher sale volumes over previous years. INVESTMENT SUMMARY Price...$6,250,000 Price Per Square Foot (GLA)...$45.24 Gross Leasable Area (GLA)...138,219 Year Built Lot Size Acres Parking...Ample CAP Rate Current % Net Operating Income Current...$419,590 CAP Rate Potential % Net Operating Income Potential...$730,965 (Assumes 95% Occupancy) PROPERTY DESCRIPTION Colliers International is pleased to bring to market this 138,219± square foot regional shopping center/outlet mall located in Batesville, Mississippi. The Subject Property offers investors the ability to acquire a 70.49% occupied center priced on current income numbers. The Factory Stores at Batesville is located directly at the intersection of Interstate 55 and four-lane Highway 6, approximately 65 miles south of Memphis, Tennessee. The Subject Property draws from a diverse mix of both local and regional consumers. Bargain hunters from Tennessee, Mississippi and beyond flock to the center on the weekends, while steady local foot traffic keeps the center busy throughout the day. The Subject Property is being offered at a 6.71% cap rate. The total land area consisted in the offering is 14.3 acres. At $45 per square feet of leasable area, the property is priced at least $65 per square foot below replacement cost. The Subject Property is ideally suited for the more active investor that wants to know his/her tenants and is interested in developing relationships in the South, locally and regionally. The Subject Property comes with two undeveloped out parcels allowing for up to 10,000-15,000 square feet of additional space. With regional population growth, the Subject Property is seeing more and more visitors each year translating to more sales for Tenants at the shopping center. 325 Lakewood Drive, Batesville, Mississippi colliers international p. 2

3 THE OFFERING Property...Factory Stores at Batesville Property Address Lakewood Drive Batesville, MS Assessor s Parcel Number (APN) Zoning...1 SITE DESCRIPTION Number of Stories...1 Year Built Gross Leasable Area (GLA)...138,219 SF Lot Size Acres Type of Ownership...Fee Simple Parking...Ample Parking Ratio...Ample Landscaping...Poured Concrete on Footers Topography...Steel CONSTRUCTION Foundation...Block Framing...Asphalt Exterior...Smooth Built-Up Parking Surface...Minimal Roof...Flat MECHANICAL HVAC Rear Mounted Fire Protection...Sprinkler Utilities...Tenant and Landlord Paid INTERIOR DETAIL Walls Drywall Ceilings...Dropped Ceilings Floor Coverings...Various Restrooms...2 Public + Unit Restrooms 325 Lakewood Drive, Batesville, Mississippi colliers international p. 3

4 SITE MAP 325 Lakewood Drive, Batesville, Mississippi colliers international p. 4

5 Income & Expenses Gross Leasable Area (GLA) 138,219 SF CURRENT PER SF Base Rent Occupied Space 97,424 $ 721, $ 7.41 Vacant Space at Market Rents 40,795 $ 367, $ 9.00 GROSS POTENTIAL RENT $ 1,089, ATM Income $ 2, $ 0.02 Vending Income $ 1, $ 0.01 Reimbursable Expenses $ 22, $ 0.16 GROSS POTENTIAL INCOME $ 1,115, Vacancy/Collection Allowance (29.51%) $ 367, $ 9.00 EFFECTIVE GROSS INCOME $ 748, Real Estate Taxes $ 113, $ 0.82 Insurance $ 21, $ 0.16 Advertising & Marketing $ 30, $ 0.22 CAM Utilities $ 42, Repairs & Maintenance $ 10, Contract Services $ 13, Payroll $ 72, Janitorial Supplies $ 2, Telephone $ 4, Security $ 11, Accounting $ 1, Office Supplies $ Postage & Printing $ Legal Fees $ 2, Bank Charges $ TOTAL CAM $ 163, $ 1.18 TOTAL EXPENSES $ 328, $ 2.38 NET OPERATING INCOME $ 419, Lakewood Drive, Batesville, Mississippi colliers international p. 5

6 TENANT SUMMARY Suite Tenant GLA (Leaseable) % of GLA Lease Commence Year Opening Lease Expiration Annual Rent Rent/SF (Rounded) Options % Rent 23 Affordable Hearing % 11/01/ /31/2012 $ 4, $ None 43 A+ Store 2, % 06/01/ /31/2014 $ 14, $ 5.93 None 29 Vacant 2, % $ - $ Bass 6, % 07/01/ /30/2013 $ 58, $ 9.00 None 26 Bobbie's Home Décor 2, % 03/01/ Mo-to-Mo $ 6, $ 2.05 None 27 Bon Worth 2, % 07/01/ /30/2013 $ 32, $ None 9% Dress Barn 11, % 11/01/ /31/2014 $ 106, $ x5yr. 10% Vacant 5, % $ - $ Vacant 4, % $ - $ - 15 Vacant 1, % $ - $ It's Fashion 10, % 02/01/ /31/2016 $ 55, $ x5yr. 44 Kitchen Collection 3, % 01/01/ /31/2013 $ 36, $ None L/HB/P (Hanes) 5, % 08/01/ /31/2012 $ 13, $ 2.69 None 3% Vacant (Restaurant) 7, % $ - $ Vacant 4, % $ - $ - 14 Perfumes & Jewelry 2, % 02/01/ /30/2013 $ 6, $ 2.67 None 12 Promises/Praise 3, % 01/01/ /31/2013 $ 29, $ 7.92 none 10% 7-9 Rack Room Shoes 6, % 03/01/ /28/2016 $ 54, $ x5yr. 5% 5-6 Rue 21 5, % 01/01/ /31/2015 $ 52, $ x5yr. 30 Treasures 2, % 04/01/ /31/2014 $ 10, $ x1yr. 22 Vacant % $ - $ - 4 Vacant 3, % $ - $ VF Factory Stores 24, % 09/01/ /31/2013 $ 146, $ x5yr. 19 Van Heusen 4, % 07/01/ /30/2013 $ 48, $ None 25 Vitamin World 1, % 07/01/ /31/2015 $ 17, $ None 13 Vacant 3, % $ - $ - 28 Vacant 2, % $ - $ Step "N" Style 4, % 09/01/ /31/2014 $ 28, $ x5yr Vacant 6, % $ - $ - TOTAL VACANT 40, % $ - TOTAL OCCUPIED 97, % $ 721, TOTAL 138, % $ 721, Lakewood Drive, Batesville, Mississippi colliers international p. 6

7 LEASING PLAN ,070 SF 5,000 SF ,050 SF 6,480 SF ,250 SF 2,920 SF 2,700 SF 2,250 SF 2,070 SF 6,750 SF 3,150 SF 2,430 SF 11,550 SF 5,000 SF 4,550 SF 4,050 SF 5,040 SF 51 24,399 SF ,200 SF 14 2,250 SF 13 3,150 SF 12 3,780 SF 11 4,050 SF ,100 SF 7 6 5,500 SF 5 4 3,200 SF ,000 SF 1 Available Leased 1. It s Fashion Metro 2. It s Fashion Metro 3. It s Fashion Metro 4. AVAILABLE - 3,200 SF 5. RUE RUE Rack Room Shoes 8. Rack Room Shoes 9. Rack Room Shoes 10. AVAILABLE 11. AVAILABLE 12. Promise & Praise - 4, AVAILABLE - 3,150 SF 14. Perfume & Jewelry 15. AVAILABLE - 1,200 SF 16. AVAILABLE - 5,000 SF 17. AVAILABLE 18. AVAILABLE - 2,070 SF 19. Van Heusen 20. Bass 21. Bass 22. AVAILABLE SF 23. Affordable Hearing 24. Office 25. Vitamin World 26. Bobbies Home Decor 27. Bonworth 28. AVAILABLE - 2,700 SF 29. AVAILABLE - 2,250 SF 30. Treasures 31. AVAILABLE 32. AVAILABLE 33. Step n Style 34. Step n Style 35. AVAILABLE 36. AVAILABLE - 5,040 SF - 4,550 SF 37. L eggs/hanes/bali / Playtex 38. L eggs/hanes/bali / Playtex 39. Dress Barn 40. Dress Barn 41. Dress Barn 42. Dress Barn 43. A+ Store 44. Kitchen Collection 45. AVAILABLE 46. AVAILABLE - 6,750 SF 47. AVAILABLE 48. VF Outlet Stores 49. VF Outlet Stores 50. VF Outlet Stores 51. VF Outlet Stores 52. VF Outlet Stores 53. VF Outlet Stores 54. VF Outlet Stores 55. VF Outlet Stores 56. VF Outlet Stores 325 Lakewood Drive, Batesville, Mississippi colliers international p. 7

8 RETAIL AERIAL 325 Lakewood Drive, Batesville, Mississippi colliers international p. 8

9 STREET MAP SUBJECT 325 Lakewood Drive, Batesville, Mississippi colliers international p. 9

10 LOCATION MAP SUBJECT 325 Lakewood Drive, Batesville, Mississippi colliers international p. 10

11 Demographics 15 MILE RING SQ/MI 30 MILE RING SQ/MI 45 MILE RING SQ/MI POPULATION 1990 Total Population 28, , , Total Population 32, , , Total Population 33, , , Total Population 33, , ,240 % Population Change % 13.74% 15.80% % Population Change % 7.71% 12.62% % Population Change %.65% 2.44% HOUSEHOLDS 1990 Total Households 9,694 38,331 93, Total Households 11,845 46, , Total Households 12,524 51, , Total Households 12,794 54, ,882 % Households Change % 20.64% 21.35% % Households Change % 11.66% 15.15% % Households Change % 5.13% 5.14% 2011 RACE 2011 White Population 17,232 81, , Black Population 15,331 51, , American Indian/Alaska Native Asian/Hawaiian/Pacific Islander 75 1,216 2, Other Population (Incl 2+ Races) 517 2,453 8, Hispanic Population 467 2,395 9, Non-Hispanic Population 32, , ,199 INCOME 2011 Per Capita Income $16,454 $18,922 $19, Median Household Income $36,230 $36,415 $38, Average Household Income $43,657 $50,164 $54, Household Income < $10,000 1,275 6,230 15, Household Income $10,000-$14,999 1,197 4,609 10, Household Income $15,000-$19, ,840 9, Household Income $20,000-$24, ,430 8, Household Income $25,000-$29, ,556 8, Household Income $30,000-$34, ,152 7, Household Income $35,000-$39,999 1,040 3,537 8, Household Income $40,000-$44, ,626 6, Household Income $45,000-$49, ,543 6, Household Income $50,000-$59,999 1,101 4,290 10, Household Income $60,000-$74,999 1,062 4,485 10, Household Income $75,000-$99, ,691 13, Household Income $100,000-$124, ,398 7, Household Income $125,000-$149, , Household Income $150,000-$199, , Household Income $200,000-$249, Household Income $250,000-$499, , Household Income $500, Average Household Size Total Daytime Population 27, , , Total Daytime Work Population 10,532 40, , Lakewood Drive, Batesville, Mississippi colliers international p. 11

12 325 Lakewood Drive, Batesville, Mississippi colliers international p. 12