5855 N. 51ST AVE GLENDALE, ARIZONA OFFERING MEMORANDUM

Transcription

1 5855 N. 51ST AVE GLENDALE, ARIZONA OFFERING MEMORANDUM

2 Confidentiality Agreement NON-ENDORSEMENT NOTICE: Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers. ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT THE MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

3 TABLE OF CONTENTS PROPERTY DESCRIPTION PROPERTY OVERVIEW & PRICING SUMMARY... 5 PARCEL DISTRIBUTION... 6 LOCAL MAP... 7 AERIAL MAP... 8 SALE & LEASE COMPARABLES SOLD COMPARABLES MAP SOLD SET ANALYSIS SOLD LAND COMPARABLES MAP SOLD LAND SET ANALYSIS... 13

4 Glendale, Arizona PROPERTY DESCRIPTION

5 PROPERTY DESCRIPTION & PRICING Address Property Type Rentable Square Feet (RSF) Lot Size 5855 N. 51st Ave. Glendale, AZ Industrial 78,301 SF 3.65 AC Year Built 1952 Type of Ownership Fee Simple Floor Area Ratio (FAR) 0.62 Zoning Street Frontage Cross Street Power Fire Protection Docks & Drive Ins Parking M-2 City of Glendale 51st Avenue Montebello Avenue & 51st Avenue 600a/ v 3 phase Wet Sprinklers 6 Dock High & 2 Grade Level Doors 1.10/1,000 SF Offering Price $1,460,000 Price Per Square Foot $18.65 MARKET HIGHLIGHTS PHOENIX INDUSTRIAL MARKET HIGHLIGHTS: The Phoenix Industrial market ended the second quarter 2016 with a vacancy rate of 10.4% Net absorption for the overall Phoenix Industrial market was positive with 970,884 SF in the second quarter 2016 The average quoted asking rental rate for available Industrial space was $6.80 SF per year at the end of the second quarter 2016 up from the previous quarter at $ $6.72 PSF Total Industrial inventory in the Phoenix market area amounted to 315,032,799 SF in 10,034 buildings as of the end of the second quarter 2016 During the second quarter 2016, nine buildings totaling 1,042,031 SF were completed in the Phoenix market area and 18 buildings totaling 2,092,983 SF completed in the first quarter In 2015 deliveries totaled 5,426,183 SF and 7,234,772 SF delivered in This totals 15,795,969 SF of new construction since 2014 BUILDING SUMMARY Marcus & Millichap has been retained as the exclusive agent and advisor for the disposition of the Industrial Warehouse formally known as The Big Tin Shed. The subject property located at 5855 N. 51st Avenue consists of +/- 78,301 square feet and is situated on +/ acres. This single story Industrial Warehouse is located within the city of Glendale and ideally situated immediately south of the six-way intersection of Grand Avenue, 51st Avenue and Bethany Home Road. Additionally, the property benefits from direct ingress/egress via the signalized intersection of 51st Avenue and Montebello Avenue. The property is zoned M-2 Heavy industrial allowing for numerous heavy use requirements. The building has 17 to 24 ceiling clear height, is equipped with 600a/ v 3 Phase electrical service, evaporative cooled warehouse, air conditioned office area. Located within the Grand Avenue Sub-market with a Q overall vacancy of 3.8%, this asset is a value add investment opportunity with significant upside potential. Additionally, this asset is priced substantially below replacement cost and current industrial property comparables in the market. THE GRAND AVENUE SUB-MARKET: The overall Grand Avenue Industrial Sub-market consists of 593 buildings totaling 13,371,071 SF Through Q overall vacancy is 3.8%, with an average asking rent of $5.24 PSF Overall Warehouse vacancy through Q is 493,145 SF or 3.7% Average overall industrial Warehouse quoted lease rate are presently $5.17psf THE PHOENIX WAREHOUSE MARKET: Warehouse space consists of 8,892 buildings totaling 281,966,523 SF Overall vacancy for Warehouse Space is 9.9% through Q with an average asking price of $6.02 PSF Since 2012 the overall asking rents for Warehouse Space have increased nearly 10.5% Since 2009 overall vacancy consistently dropped year over year from a 15.7% to its present 9.9%

6 PARCEL DISTRIBUTION # NO Parcel Numbers: (Subject) (Subject) Address/Location 5855 N. 51st Ave, Glendale, AZ Located in front of subject site by signal light entry A Located immediately in front of subject N. 51st Ave, Glendale, AZ N. 51st St. Ave, Glendale, AZ Located at NEC of subject adjacent to # Located Immediately NW of Subject Located on Backside of Subject at RR Track Land Size & Acres 141,482 SF (3.25 Acres) 5,515 SF (.127 Acres) 12,056 SF (.277 Acres) 87,033 SF (2.0 Acres) 947,510 SF (21.75 Acres) 21,780 SF (.50 Acres) 9,547 SF (.219 Acres) 20,962 SF (.481 Acres) B Rail 584,592 SF (13.42 Acres) Owner Seller Last Sale Date Sterling Real Estate Investment, LLC Sterling Real Estate Investment LLC 10/3/2014 M-2 Sterling Real Estate Investment, LLC Crow-Farnsworth-Paul #1 LTD Partnership (Tax-Lien Sterling RE) Habanero Nova LLC Sterling Real Estate Investment LLC (Previous Owner - Habanero Nova LLC) 4/26/2016 M-2 Crow-Farnsworth-Paul #1 LTD Partnership 6/12/1986 M-2 First Citizens Bank & Trust Company, A North Carolina Corporation 5/29/2013 M-2 BNSF Railway Company Federal Compress & Warehouse Company, Inc. 8/31/2006 M-2 BNSF Railway Co/Santa Fe Pacific Railway Co Department of Transportation 4/25/2015 M-2 BNSF Railway Co/Santa Fe Pacific Railway Co Federal Compress & Wearhouse Company, Inc. 8/31/2006 M-2 BN Leasing Corporation Sterling Real Estate Investment LLC 10/3/2014 M-2 Atchison Topeka & Santa Fe N/A 12/25/1993 M-2 Zoning

7 LOCAL MAP

8 AERIAL MAP W BETHANY HOME ROAD W MONTEBELLO AVENUE GRAND AVENUE N 51ST AVENUE W CAMELBACK ROAD

9 Glendale, Arizona SALE COMPARABLES

10 SOLD PROPERTIES - COMPARABLES MAP 1.) 6112 N. 56th Ave. 2.) N. 51st Ave. 3.) 4932 W. Pasadena Ave.

11 COMPETITIVE SET ANALYSIS - SOLD PROPERTIES N. 51st Ave. - Glendale, AZ Subject Property Offering Price - $1,460,000 Bldg SF - 78,301 Price per SF - $18.65 Land Area Acres/159,053 SF Year Built Zoning - I-2 Ceiling Height - 16 Parking Ratio /1,000 spaces 4932 W. Pasadena Ave. - Glendale, AZ Purchase Price - $1,950,000 Bldg SF - 50,000 Price per SF - $39.00 Land Area Acres/217,800 SF Price per SF land - $8.95 Year Built Zoning - M-2 Ceiling Height - 15 Parking Ratio - 1.9/1,000 spaces Sold Date - 3/9/ N. 51st Ave. - Glendale, AZ Purchase Price - $1,300,000 Bldg SF - 86,852 Price per SF - $14.97 Land Area Acres/201,247 SF Price per SF land - $6.46 Year Built Zoning - M-2 Ceiling Height Parking Ratio - 0.6/1,000 spaces Sold Date - 3/3/ N. 56th Ave. - Glendale, AZ Purchase Price - $5,700,000 Bldg SF - 120,000 Price per SF - $47.50 Land Area Acres/849,420 SF Price per SF land - $6.71 Year Built Zoning - M-1 Ceiling Height - 25 Parking Ratio - N/A Sold Date - 6/3/2015 PROPERTY DESCRIPTION

12 SOLD LAND - COMPARABLES MAP PROPERTY DESCRIPTION 1.) 6362 W. Orangewood Ave. 2.) 3333 W. Indian School Rd. 3.) 1001 S. 65th Ave. 4.) Buckeye Rd. & 55th Ave. 5.) 4805 W. Jefferson St. 6.) 2425 W. McDowell Rd. 7.) 3301 W. Cocopah St. 8.) 3643 E. Anne St.

13 COMPETITIVE SET ANALYSIS - SOLD LAND Property Address Property City Zip Code Sale Date Zoning Sale Price Land Area (AC) Land Area (SF) 6362 W Orangewood Ave Glendale /13/2016 M-1, Glendale $235, $1.63 NEC 55th Ave & Buckeye Phoenix /16/2015 A-1 $700, ,952 $ W Indian School Rd Phoenix /21/2015 C-3 $525, ,132 $2.05 S 36th St Phoenix /16/2015 I-1 $1,488, ,460 $ W McDowell Rd Phoenix /29/2015 A-1, Phoenix $475, ,438 $ W Cocopah St Phoenix /19/2014 A-1, Phoenix $315, ,809 $ W Jefferson St Phoenix /5/2014 A-2 $1,825, ,723 $ S 65th Avenue Phoenix /24/2014 A-1 $824, ,283 $ E Anne St Phoenix /9/2014 A-1 $1,337, ,141 $7.95 Price PSF Land PROPERTY DESCRIPTION

14 Bob Kaplan Senior Associate National Office and Industrial Properties Group th Street, Suite 1800 Denver, CO Phone: (303) Fax: (303) Brandon Kramer Senior Associate National Office and Industrial Properties Group th Street, Suite 1800 Denver, CO Phone: (303) Fax: (303) Mike Myrick Director National Office and Industrial Properties Group 2398 E. Camelback Rd., Suite 550 Phoenix, AZ Phone: (602) Fax: (602) Cliff Denton Director National Office and Industrial Properties Group 2398 E. Camelback Rd., Suite 550 Phoenix, AZ Phone: (602) Fax: (602)