OFFERING MEMORANDUM. Applebee s Mills Civic Parkway West Des Moines, IA. Applebee s, West Des Moines, IA 1

Transcription

1 Applebee s 6190 Mills Civic Parkway West Des Moines, IA OFFERING MEMORANDUM Applebee s, West Des Moines, IA 1

2 2 Offering Memorandum

3 contents exclusively listed by EXECUTIVE SUMMARY financial OVERVIEW tenant overview area OVERVIEW Brianna burgess Associate DIR (310) MOB (858) LIC # (CA) calvin short FVP & Senior Director calvin.short@matthews.com DIR (949) MOB (310) LIC # (CA) adam marek BROKER OF RECORD LIC # S Applebee s, West Des Moines, IA 3

4 investment highlights executive summary LONG TERM ABSOLUTE NNN LEASE Just under 10 years of primary lease term remaining Passive investment with zero landlord responsibility Two, 5-Year options remaining, with attractive rent increases STRONG DEMOGRAPHIC LOCATION Almost 104,000 residents in a 5-mile radius Fantastic population growth in the area, with an expected growth rate of nearly 8% before 2022 Above average household income with an estimated $110,041 in a 5-mile radius EXPERIENCED OPERATOR Sasnak Management Corp. currently operates Applebee s, The Good Egg and Carlos O Kelly s restaurants Sasnak Management was founded in 1975 and employs over 2,500 people Apple Corps LP currently operates about 24 Applebee s restaurants Representative Photo 4 Offering Memorandum

5 financial overview Applebee s 6190 Mills Civic Parkway West Des Moines, IA List Price... $3,300,000 CAP Rate - Current % Gross Leasable Area... ± 4,946 SF Lot Size...± 1.26 Acres Year Built Annualized Operating Data Monthly Rent Annual Rent Rent/SF Cap Rate Current - 11/5/2026 $19, $231, $ % Option 1 $21, $254, $ % Option 2 $22, $266, $ % Tenant Summary Tenant Trade Name Applebee s Type of Ownership Fee Simple Lease Guarantor Lease Type Roof and Structure Term Remaining on Lease Increases Apple Corps LP Absolute NNN Tenant Responsible ± 9 Years 10% in first option; 5% in second option 3,188 adt Mills Civic parkway 44,857 ADT Options Two, 5-Year Options stagecoach dr Applebee s, West Des Moines, IA 5

6 Tenant overview 6 Offering Memorandum

7 Tenant Company Name Parent Company Trade Name Ownership Revenue Net Income Stock Symbol Board Applebee s Neighborhood Grill and Bar Applebee s International, Inc. DineEquity, Inc. Public $ M $ M DIN NYSE No. of Locations ± 2,000 No. of Employees ± 33,543 Headquartered Website Kansas City, Missouri Year Founded 1987 TENANT OVERVIEW Founded in 1975, Sasnak Management Corporation is a family owned and operated company based in Wichita, Kansas. Currently run by Jon and David Rolph, experienced restauranteurs in the Midwest, Sasnak Management operates both Applebee s and Carlos O Kelly s restaurants. Between the two brands, Sasnak Management currently owns and franchises nearly 50 restaurants, in addition to their new local concepts, The Good Egg and HomeGrown, in Wichita. Sasnak Management built it s brand by focusing on quality food, great hospitality, and creating a space where families can enjoy time together. Today, Apple Corps LP operates 24 Applebee s locations in Illinois and Iowa. Applebee s, West Des Moines, IA 7

8 Property overview 8 Offering Memorandum

9 THE OFFERING PARCEL MAP Property Name Applebee s Property Address 6190 Mills Civic Parkway West Des Moines, IA Assessor s Parcel Number Site Description Number of Stories One Year Built 2006 Type of Ownership Fee Simple Gross Leasable Area (GLA) ± 4,946 SF Lot Size ± 1.26 (54, SF) Parking ± 40 Surface Spaces Parking Ratio 2.43 : 1,000 SF Landscaping Professional Topography Generally Level Applebee s, West Des Moines, IA 9

10 area overview 10 Offering Memorandum

11 WEST DES MOINES, IA West Des Moines, Iowa is located at the crossroads of interstates 35 and 80 and is part of Polk, Dallas, Warren, and Madison counties. The City has been recognized by several national publications and a metro-wide publication as a great place to live and conduct business. It has grown from an 1893 railroad town known as Valley Junction with a population of 500 to a hub of commerce and premier living. West Des Moines is the second-largest city in the Des Moines metropolitan area and the tenth-largest city in Iowa. It ranked 94th in Money magazine s list of the 100 Best Places to Live and Launch in 2008, 77th and 57th on the 100 Best Places to Live in 2014 and 2015, respectively, and 18th on the Hipster Cities of West Des Moines remains one of the fastest growing communities in Iowa with a network of amenities to provide its citizens with a high quality of life. demographics POPULATION 1 Mile 3 Mile 5 Mile 2022 Projection 7,180 50, , Estimate 6,561 47, , Census 5,128 39,152 87, Census 4,624 30,005 66,049 POPULATION GROWTH 1 Mile 3 Mile 5 Mile Percent Change: 2017 to % 8.00% 7.55% Percent Change: 2010 to % 20.06% 18.63% Percent Change: 2000 to % 30.48% 32.26% HOUSEHOLDS 1 Mile 3 Mile 5 Mile 2022 Projection 3,212 21,209 45, Estimate 2,921 19,621 42, Census 2,273 16,318 35, Census 1,728 12,377 27,197 HOUSEHOLD GROWTH 1 Mile 3 Mile 5 Mile Percent Change: 2017 to % 8.09% 7.31% Percent Change: 2010 to % 20.24% 17.75% Percent Change: 2000 to % 31.84% 31.59% INCOME 1 Mile 3 Mile 5 Mile 2017 Estimated Average Household Income $123,223 $107,939 $110,041 Applebee s, West Des Moines, IA 11

12 surrounding tenants E Armstrong St 12 Offering Memorandum

13 surrounding area JORDAN CREEK TOWN CENTER Jordan Creek Town Center is a super-regional shopping mall and lifestyle located next to the Applebee s. It is the largest shopping complex in the state of Iowa with a total gross leasable area of 1,340,000 square feet. It is also the fourth largest shopping complex in the Midwest, and the 23rd largest shopping complex in the United States. Its developer, General Growth Properties, has referred to Jordan Creek as a retail resort that combines elements of enclosed malls with outdoor and non-retail components. As of May 2008, there are more than 150 minor stores and 3 major stores including Dillard s, Scheels All Sports, and Younkers. DES MOINES INTERNATIONAL AIRPORT Des Moines International Airport is a civil-military public airport 6 miles from West Des Moines, in Polk County, Iowa, United States. It has 19 connections to major airline hubs. This airport is in the National Plan of Integrated Airport Systems for , which called it a primary commercial service airport. In 2016, a record 2.48 million passengers used the airport, up 5 percent from The airport hosts the Des Moines Air National Guard Base and 132nd Wing (132 WG) of the Iowa Air National Guard. DRAKE UNIVERSITY Drake University is a private, co-educational university located in Des Moines, Iowa, United States. The institution offers a number of undergraduate and graduate programs, as well as professional programs in business, law and pharmacy. Drake s law school is among the twenty-five oldest in the country. The university is an 8 minute drive to West Des Moines and hosts over 5,000 undergraduate and graduate students. Applebee s, West Des Moines, IA 13

14

15 CONFIDENTIALITY & DISCLAIMER STATEMENT This Offering Memorandum contains select information pertaining to the business and affairs of Applebee s located at 6190 Mills Civic Parkway, West Des Moines, IA ( Property ). It has been prepared by Matthews Real Estate Investment Services. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence. By acknowledging your receipt of this Offering Memorandum for the Property, you agree: 1. The Offering Memorandum and its contents are confidential; 2. You will hold it and treat it in the strictest of confidence; and 3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller. Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered. If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum. A prospective purchaser s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property. This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.

16 exclusively listed by Brianna burgess Associate DIR (310) MOB (858) LIC # (CA) calvin short FVP & Senior Director calvin.short@matthews.com DIR ( MOB (310) LIC # (CA) adam marek BROKER OF RECORD LIC # S Applebee s 6190 Mills Civic Parkway West Des Moines, IA 16 Offering Memorandum