5701 Coldwater Road Offering Memorandum 5701 Coldwater Road, Fort Wayne, IN 46802

Transcription

1 Offering Memorandum, Fort Wayne, IN

2 EXCLUSIVELY MARKETED BY TABLE OF CONTENTS EXECUTIVE SUMMARY KYLE GULOCK Executive Vice President, Partner LIC # MATT KRAMER Senior Associate LIC # Kidder Mathews 1925 Century Park East Suite 2350 Los Angeles, CA kiddermathews.com PROPERTY OVERVIEW FINANCIAL ANALYSIS LOCATION OVERVIEW This information supplied herein is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied as to its accuracy. Prospective Buyer or Tenant should conduct an independent investigation and verification of all matters deemed to be material, including, but not limited to, statements of income and expenses. Consult your attorney, accountant, or other professional advisor. TENANT OVERVIEW 2

3 Executive Summary Kidder Mathews is pleased to present an Exclusive Investment Offering for a single-tenant restaurant building located at, Fort Wayne, IN ( Property ). The Property is currently leased to Wendy s Properties, LLC ( Tenant ). This opportunity consists of a Wendy s that has 17+ years remaining on the lease term, located in a shopping center anchored by Walmart Supercenter. Fort Wayne is the secondmost populous city in Indiana known for its great city life and architecture. provides an investor the opportunity to acquire a 3,047 square foot building on 34,848 square feet of land in an area with strong demographics. $1,936,500 OFFERING PRICE 5.00% CAP RATE $96,825 NET OPERATING INCOME $62,000 FIVE-MILE AVG HOUSEHOLD INCOME 185,000+ FIVE-MILE POPULATION 3

4 Executive Summary PRICE $1,936,500 NET OPERATING INCOME $96,825 BUILDING SIZE 3,047 SF LAND SIZE 34,848 SF TENANT Wendy s Properties, LLC LEASE TYPE Corporate Guarantee RENT INCREASES 10% every 5 years LEASE TERM REMAINING 17+ years 4

5 01 Property Overview Amenities Map Regional Map Property Photos 5

6 Property Overview 5701 COLDWATER ROAD FORT WAYNE, IN BUILDING SIZE LAND SIZE 3,047 SF 34,848 SF APN OPTION TERMS LOCATION PROPERTY OWNERSHIP RIGHTS ACCESS TENANCY Two (2) 5 year options Outparcel to Walmart Supercenter shopping center Fee simple interest (land & building), subject to a Lease Agreement with two-5 year Options to Renew Ingress/egress on Coldwater Leased & occupied by Wendy s Properties, LLC INVESTMENT HIGHLIGHTS Located in a densely residential area with a population of over 185,000 with an average income of $62,000 within 5 miles Surrounded by national and regional retailers including, Walmart Supercenter, Hobby Lobby, Dick s Sporting Goods, Party City, Petco, and JoAnn Fabrics Located in a signalized corner between two major thoroughfares, S Clinton Street and E Jefferson Boulevard One full access point available on Coldwater and cross access with shopping center tenants 6

7 Amenities Map Stoney Creek Dr Washington Center Rd Elnora Dr 5701 COLDWATER ROAD Stratton Rd Coldwater Rd N Camden Dr 7

8 Regional Map CHICAGO, IL 139 MILES DETROIT, MI 140 MILES SUBJECT PROPERTY TOLEDO, OH 90 MILES CLEVELAND, OH 179 MILES SPRINGFIELD, IL 292 MILES INDIANAPOLIS, IN 100 MILES COLUMBUS, OH 139 MILES CINCINNATI, OH 180 MILES 8

9 Property Photos 9

10 02 Financial Analysis Investment Offering Summary 10

11 Investment Offering Summary Offering Price $1,936,500 Cap Rate 5.00% Tenant Wendy s Properties, LLC Lease Term Remaining 17+ Years Net Operating Income $96,825 Rent Increases 10% increase Square Footage Occupied 3,047 SF Option Terms Tenant has two (2) options to extend the lease for five (5) year periods RENT DURING BASE TERM CURRENT TERM % INCREASE MONTHLY TOTAL ANNUAL TOTAL 1 $8,069 $96,825 2 $8,069 $96,825 3 $8,069 $96,825 4 $8,069 $96,825 5 $8,069 $96, % $8,876 $106,508 7 $8,876 $106,508 8 $8,876 $106,508 9 $8,876 $106, $8,876 $106, % $9,763 $117, $9,763 $117, $9,763 $117, $9,763 $117, $9,763 $117, % $10,740 $128, $10,740 $128, $10,740 $128, $10,740 $128, $10,740 $128,874 11

12 03 Location Overview Fort Wayne, IN 12

13 Location Overview FORT WAYNE, INDIANA With its low cost of living and quiet neighborhoods, Fort Wayne, Indiana, is an excellent place to buy a house, start a career, launch a business and raise children. As a midsize metropolitan area in the heart of the Midwest, residents in Fort Wayne have access to the amenities one would expect to find in a large metropolis, like excellent entertainment options and a thriving arts scene. Residents also encounter many of the quirks that come with living in a small town, such as the yearly BuskerFest devoted to street performers, and the annual bed race that takes place during the Three Rivers Festival. Fort Wayne has fared better than many of its Rust Belt region counterparts after losing many manufacturing jobs in the 1980s. Advanced manufacturing continues to play a large role in the region. Major investments in the economy have been made by manufacturers like General Motors and BAE Systems. Fort Wayne is undergoing a long-term revitalization with new living options and economic development projects centered downtown and the riverfront area. Older neighborhoods are also just beginning to see a return of younger residents wanting to live closer to downtown rather than in the suburbs, and small shops, trendy restaurants and breweries are beginning to follow them. Even still, Fort Wayne is a community deeply rooted in tradition. Residents work to preserve the region s history, from preserving the oldest Native American structure in the U.S. to maintaining its reputation as one of the most religious places in the country. Fort Wayne has more than 360 churches, while the farmland northeast of the city proper is home to many Amish communities who maintain a plain lifestyle free of many technological advancements. Source: Tim Zink for U.S.News 13

14 Location Overview FORT WAYNE, INDIANA EDUCATION 261,169 POPULATION (2017) 4.0% POPULATION CHANGE ( ) 12.6% No high school diploma High school diploma or GED/alt. credential Some college, no degree $44,592 MEDIAN INCOME (2017) 34.9 MEDIAN AGE (2017) 41.1% ETHNIC COMPOSITION 17.8% College degree SQUARE MILES 28.5% 14

15 04 Tenant Overview Wendy s 15

16 Tenant Overview Lessee Wendy s Headquarters Dublin, OH Locations 6,500+ Website Wendy s is a fast food restaurant chain founded by Dave Thomas on November 15, 1969, in Columbus,Ohio. The company moved its headquarters to Dublin, Ohio, in The chain is known for its square hamburger patties which hang over the edge of a circular bun as its signature item. Their burgers are all made from fresh ground beef and never frozen. As of 2016, Wendy s was the world s third largest hamburger fast food chain with 6,500+ locations, following Burger King and McDonald s. At the start of 2017 there were a total of 6,537 locations, including 330 that are company-owned. 6,207 restaurants are franchised, and 77% of them are located in North America. Wendy s menu consists primarily of hamburgers, chicken sandwiches, French fries and beverages, including the signature Frosty, which is a soft-serve frozen dairy dessert. 16

17 KYLE GULOCK Executive Vice President, Partner LIC # MATT KRAMER Senior Associate LIC # Kidder Mathews 1925 Century Park East, Suite 2350 Los Angeles, CA kiddermathews.com 17