VALLE DEL SOL 2080 FOR SALE NWC DOBSON ROAD & WARNER ROAD 2080 NORTH DOBSON ROAD CHANDLER, ARIZONA ANCHORED BY: LISTED BY:

Transcription

1 FOR SALE NWC DOBSON ROAD & WARNER ROAD 2080 NORTH DOBSON ROAD CHANDLER, ARIZONA ANCHORED BY: LISTED BY: JUDI BUTTERWORTH LACEY EYMAN VALLE DEL SOL 2080

2 DISCLAIMER All materials and information received or derived from ORION Investment Real Estate its directors, officers, agents, advisors, affiliates and/or any third party sources are provided without representation or warranty as to completeness, veracity, or accuracy, condition of the property, compliance or lack of compliance with applicable governmental requirements, developability or suitability, financial performance of the property, projected financial performance of the property for any party s intended use or any and all other matters. Neither ORION Investment Real Estate its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy or completeness of the any materials or information provided, derived, or received. Materials and information from any source, whether written or verbal, that may be furnished for review are not a substitute for a party s active conduct of its own due diligence to determine these and other matters of significance to such party. ORION Investment Real Estate will not investigate or verify any such matters or conduct due diligence for a party unless otherwise agreed in writing. EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE. Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections and investigations including through appropriate third party independent professionals selected by such party. All financial data should be verified by the party including by obtaining and reading applicable documents and reports and consulting appropriate independent professionals. ORION Investment Real Estate makes no warranties and/ or representations regarding the veracity, completeness, or relevance of any financial data or assumptions. ORION Investment Real Estate does not serve as a financial advisor to any party regarding any proposed transaction. All data and assumptions regarding financial performance, including that used for financial modeling purposes, may differ from actual data or performance. Any estimates of market rents and/or projected rents that may be provided to a party do not necessarily mean that rents can be established at or increased to that level. Parties must evaluate any applicable contractual and governmental limitations as well as market conditions,vacancy factors and other issues in order to determine rents from or for the property. Legal questions should be discussed by the party with an attorney. Tax questions should be discussed by the party with a certified public accountant or tax attorney. Title questions should be discussed by the party with a title officer or attorney. Questions regarding the condition of the property and whether the property complies with applicable governmental requirements should be discussed by the party with appropriate engineers, architects, contractors, other consultants and governmental agencies. All properties and services are marketed by ORION Investment Real Estate in compliance with all applicable fair housing and equal opportunity laws. ORION Investment Real Estate 7328 East Stetson Drive Scottsdale, AZ

3 HIGHLIGHTS Anchored by a Premiere LA Fitness - New 20 Year Lease Signed, 1,300 Visits Per Day 100% Occupied Signalized Intersection: Dobson & Warner (61,000 VPD) Easy Access, Ingress/Egress Attractive Design, 2004 Construction Additional Retail at the Center Includes Starbucks Coffee, Jack in the Box, and more OFFERING SUMMARY SALE PRICE $1,687,000 PRICE PER SF $ CAP RATE 6.35% NOI $107,132 OCCUPANCY 100% BUILDING SIZE 5,113 SF LOT SIZE.99 Acres YEAR BUILT 2004 ZONING C-2 CROSS STREETS Dobson & Warner TRAFFIC COUNT 61,000 VPD PROPERTY SUMMARY The subject property is part of a six building retail development at the northwest corner of Dobson Road and Warner Road. The building is fully leased and the entire center has one small vacancy in a newly redeveloped building. The intersection has minimal vacancy, too, and the entire trade area is very stable and desirable. LA Fitness and Lee Lee International Market (100% leased center) both draw thousands of customers each day to the intersection. In addition, the intersection also has a Walgreens, CVS Drugstore, Jack in the Box, Starbucks and McDonald's all significant traffic generators. LA Fitness, in particular, is a very strong anchor. They are the largest super club on the West Coast, and this club is one of the strongest in Arizona. The surrounding higher incomes and high-quality area employers make this area of Chandler very popular. 3

4 4

5 BIRDS EYE VIEW SUBJECT 5

6 E/SEC DOBSON & WARNER NEC DOBSON & WARNER 6

7 SITE PLAN (NEW 20 YEAR LEASE) (SOLD AT 5 CAP) 7

8 LOCATION MAPS 8

9 PARCEL MAP DOBSON ROAD 22,700 VPD WARNER ROAD 38,300 VPD 9

10 AERIAL MAP 10

11 RENT ROLL+FINANCIAL ANALYSIS Unit Tenant Name Unit Sqft Current Lease Term Annual PSF Monthly Rent Annual Rent Rental Increases Date Amount April 2018 Year Forward Lease Type 80-1 One Stop Nutrition 1,200 01/01/18 to 12/31/23 $26.00 $2, $31,200 01/01/21 $ 2, $31,200 NNN 01/01/23 $ 2, Notes/Options: Two 5-year option: Option 1 starts at $30 psf; Option 2 is at Fair Market Rent 80-2 Best Nails & Spa, LLC (Nails) 1,600 01/01/18 to 12/31/28 $20.00 $2, $32,000 10/01/18 $ 2, $32,373 NNN 10/01/19 $ 2, /01/20 $ 2, /01/21 $ 2, /01/22 $ 2, /01/23 $ 3, /01/24 $ 3, /01/25 $ 3, Notes/Options: Two 5-year options to renew with 2% annual increases 10/01/26 $ 3, Serve N Save Pharmacy 1,052 09/01/15 to 08/31/18 $19.50 $1, $19,725 $20,070 NNN Notes/Options: One 3-year option with 3% annual increases Glacier Snow 1,261 03/12/15 to 03/21/20 $18.04 $1, $22,748 03/01/18 $ 1, $23,488 NNN 03/01/19 $ 2, Notes/Options: One 5-year option with 3% annual increases. Totals/Averages 5,113 $21.24 $8, $105,673 $107,132 NNN Occupied 5,113 Vacant 0 INCOME/EXPENSES April 2018 Year Forward Scheduled Rental Revenue $107,132 CAM Recapture ($7.50 psf) $38,348 Scheduled Gross Income $145,479 CAM Recapture ($7.50 psf) ($38,348) Net Operating Income $107,132 Based on Purchase Price of $1,687, % CAP Rate 11

12 TENANT PROFILES GLACIER SNOW Glacier Snow Sweets & Treats, is a family owned and operated business in Chandler, Arizona that specializes in making a wonderful, unique frozen delight called Snow Cream! They feature their own Taiwanese-style shaved snow, made from frozen cylinders of milk mixtures that are shaved into ribbons of light and fluffy snow. Shaved snow is not shaved ice. It's not ice cream, nor is it frozen yogurt. It's lighter than an ice cream but creamier than shaved ice. ONE STOP NUTRITION One Stop Nutrition is a popular nutrition chain, with several Arizona locations, including some in Texas and Nevada. For years, One Stop Nutrition has established itself as the low cost leader on health food products and nutritional supplements. One Stop Nutrition offers all-natural fruit nutritional shakes, gourmet coffee, free internet access, flat screen TV viewing, tanning, and much more. Whether it s after a workout or stopping by in between classes, One Stop Nutrition offers a fun and relaxed environment to obtain all your health needs SNS PHARMACY SNS Pharmacy is a senior friendly pharmacy that compounds (manufactures) and delivers medication with excellent service to meet clients needs. They also service assisted living facilities helping to reduce the caregivers' time and work with bubble packing, medication administration records, and onsite immunizations. SNS accepts all major insurances, processes electronic prescriptions, and works in many categories. 12

13 CHANDLER, AZ Chandler, Arizona went from a population of 9,531 people in 1960 to 255,635 people in It is known as the Innovation and Technology Hub of the Southwest. Chandler boasts a strong, high tech employment base that attracts and retains high quality employees many of whom make the community their home. The average household income is over $80,000 due to the many sources of higher paying jobs located in the city: Intel, Wells Fargo, General Motors IT Innovation Center, Avnet, Infusionsoft, Microchip Technology, Orbital and many more. These employers are able to take advantage of several nearby colleges and universities that supply young, talented graduates like Arizona State University. In fact, 92% of Chandler adults have a high school diploma and at least 75% have some college. Chandler attracts new residents because it offers a superb lifestyle for both singles and families. In 2016, Chandler received the following awards: #2 Best Places to Raise a Family, #3 Most Prosperous Large Cities, #6 Best Cities for Women in Tech and many more. Chandler is home to Chandler Fashion Center which features many internationally known brands including Nordstrom, Pottery Barn and Coach. The mall trade area offers a wide choice of dining experiences like Benihana, Kona Grill and at least 30 more sit-down restaurant options. Aside from brilliant, art, shopping and dining, Chandler has many other fun activities to offer. Overall, Arizona is a golfer s paradise, but nowhere is this more evident than in the beautiful city of Chandler. With a total of 7 golf clubs totally 153 holes and averaging 5,725 yards each, Chandler is known as one of the leading cities for golf in the state. Nestled in the East Valley of Phoenix Metro, Chandler is surrounded by beautiful mountain ranges in every direction that light up bright red at sunrise and sunset, adding to the drama of an intense game. Additionally, Chandler has many parks recreation centers, libraries, indoor trampoline parks, aquatic park and more fur the entire family! 13

14 CHANDLER, AZ LOCATION INFORMATION Located in Chandler, AZ, part of the booming SE Valley of the Phoenix Metro Area. Surrounded by the other growing communities of Tempe, Mesa and Gilbert. Major high-tech growth area in Maricopa County. One mile east of Loop 101, 2.5 miles south of State Route 60 (Superstition Freeway), and 2.25 miles north of Loop 202. Two miles north of Chandler Fashion Center-- home to Nordstrom, Macy s, Harkins Theatres, Dillard's and multiple restaurants. More than 500,000 sq. ft. of power retail projects are at the mall as well. Close proximity to Banner Health Cardon Children s Hospital (3,500 employees), Mesa Community College (40,000 students), new Fiesta corporate campus with 1200 employees projected and existing major campuses for Intel and for NXP (Motorola). DEMOGRAPHIC HIGHLIGHTS Densely populated, affluent, and highly educated population. Median age in 3 miles is 35.8 years and the average household size for the same area is 2.54 people. Almost 60% of the housing units in a 3 mile radius are single-family higher than most of the Valley. There are over 165,653 employees in a 5 mile radius. Very busy intersection with one of the most successful LA Fitness clubs in the state along with a Lee Lee Supermarket, Walgreen s and CVS Drugs. Lee Lee Market was named the Best International Market 2017 by Phoenix New Times and brings thousands of people to the intersection every day seeking items from over 30 different regions of the world. Intersection has several national restaurants including a newly renovated Starbucks with a drive-through, Jack in the Box, McDonald's, Biscuit s Café and additional sit-down restaurants. 14

15 SOLD COMPS SUBJECT PROPERTY VALLE DEL SOL North Dobson Road Chandler, AZ OCOTILLO VILLAGE- SHOPS A 4050 South Alma School Road Chandler, AZ PRICE $1,687,000 PRICE/ SF $ CAP RATE 6.35% YEAR BUILT 2004 PRICE $2,050,000 PRICE/ SF $ CAP RATE 6.52% YEAR BUILT 2016 SOLD: N/A SOLD: 05/22/ ARROWHEAD RETAIL 3 SHOPS North 75th Avenue Peoria, AZ PRICE $8,400,000 PRICE/ SF $ CAP RATE 6.24% YEAR BUILT 2017 SURPRISE VILLAGE MARKETPLACE West Bell Road Surprise, AZ PRICE $4,500,000 PRICE/ SF $ CAP RATE 6.58% YEAR BUILT 2008 SOLD: 10/02/2017 SOLD: 03/30/

16 SOLD COMPS 4 OCOTILLO VILLAGE- 5 SHOPS B 1155 West Ocotillo Road Chandler, AZ DESERT SKY FESTIVAL 7427 West Thomas Road Phoenix, AZ PRICE $6,000,000 PRICE/ SF $ CAP RATE 6.10% YEAR BUILT 2016 PRICE $3,340,000 PRICE/ SF $ CAP RATE 6.55% YEAR BUILT 1995 SOLD: 05/15/2017 SOLD: 05/16/ GATEWAY VILLAGE - PAD C West McDowell Road Avondale, AZ PRICE $6,650,000 PRICE/ SF $ CAP RATE 5.62% YEAR BUILT 2016 SOLD: 04/17/

17 SOLD COMPS PROPERTY PRICE PRICE/SF CAP RATE YEAR BUILT SOLD DATE SUBJECT PROPERTY: VALLE DEL SOL $1,687,000 $ % 2004 ON MARKET 1/ OCOTILLO VILLAGE - SHOPS A $2,050,000 $ % /22/2017 2/ ARROWHEAD RETAIL SHOPS $8,400,000 $ % /02/2017 3/ SURPRISE VILLAGE MARKET $4,500,000 $ % /30/2017 4/ OCOTILLO VILLAGE - SHOPS B $6,000,000 $ % /15/2017 5/ DESERT SKY FESTIVAL $3,340,000 $ % /16/2017 6/ GATEWAY VILLAGE - PAD C $6,650,000 $ % /17/2017 AVERAGES: $5,156,667 $ %

18 FOR SALE COMPS SUBJECT PROPERTY VALLE DEL SOL 2080 North Dobson Road Chandler, AZ THE VILLAGE AT SUPERSTITION SPRINGS East Baseline Road Mesa, AZ PRICE $1,687,000 PRICE/ SF $ CAP RATE 6.35% YEAR BUILT 2004 PRICE $3,750,000 PRICE/ SF $ CAP RATE 6.50% YEAR BUILT 2006 ON MARKET ON MARKET: 42 Days 2 VISTANCIA 3 MARKETPLACE North Vista Road Peoria, AZ PRICE $2,022,000 PRICE/ SF $ CAP RATE 6.30% YEAR BUILT 2007 ON MARKET: 48 Days UNION HILLS SQUARE 8280 Union Hills Drive Glendale, AZ PRICE $5,200,000 PRICE/ SF $ CAP RATE 6.60% YEAR BUILT 2004 ON MARKET: 34 Days 18

19 FOR SALE COMPS PROPERTY PRICE PRICE/SF CAP RATE YEAR BUILT SOLD DATE SUBJECT PROPERTY: VALLE DEL SOL $1,687,000 $ % 2004 ON MARKET 1/ THE VILLAGE AT SUPERSTITION SPRINGS $3,750,000 $ % Days 2/ VISTANCIA MARKETPLACE $2,022,000 $ % Days 3/ UNION HILLS SQUARE $5,200,000 $ % Days AVERAGES: $3,657,333 $ %

20 DEMOGRAPHICS DEMOGRAPHIC HIGHLIGHTS POPULATION 355,415 *5 Mile Radius AVERAGE HOUSEHOLD INCOME $80,819 *5 Mile Radius AVERAGE HOUSE SIZE 2.58 *5 Mile Radius 2017 SUMMARY TWO MILE THREE MILE FIVE MILE POPULATION 63, , ,415 AVG HOUSEHOLD SIZE MEDIAN AGE AVG HOUSEHOLD INCOME $80,305 $80,358 $80,819 TOTAL EMPLOYEES 18,584 54, ,653 20

21 VALLE DEL SOL NORTH DOBSON ROAD CHANDLER, ARIZONA LISTED BY: JUDI BUTTERWORTH LACEY EYMAN