Shadowwood Square. Offering Summary. Best-In-Class Community Shopping Center. Located at West Boca s Dominant Retail Intersection

Transcription

1 Offering Summary Shadowwood Square BOCA RATON, PALM BEACH COUNTY, FLORIDA Best-In-Class Community Shopping Center Located at West Boca s Dominant Retail Intersection Strong, Diverse and Seasoned Tenancy Attractive CAGR Huge Near Term Mark-To-Market Rental Rate Opportunities

2 TM Shadowwood Square Boca Raton, Palm Beach County, Florida Cushman & Wakefield s Retail Investment Advisors is pleased to offer for sale Shadowwood Square, a 254,942 sf community shopping center located in Boca Raton, Florida. Originally developed in the mid-1980 s, the Property is 97% leased and anchored by Bed Bath & Beyond, Old Navy, Regal Cinemas, Stein Mart, and Walgreens, along with a shadow Best Buy. Situated at the intersection of Glades Road and US Highway 441 (SR 7), the Property is located at West Boca s main retail intersection. The Property includes four prime outparcels. This offering represents the unique opportunity to acquire a dominant, institutional-quality community shopping center that benefits from an irreplaceable location in one of South Florida s most desirable trade areas and offers a secure income stream with significant growth potential based on below market anchor and outparcel rental rates. Location Original Year Built PROPERTY SUMMARY 9789 Glades Road Boca Raton, FL Acres GLA Occupancy 97% Anchors Outparcels 254,942 SF BED BATH & BEYOND (shadow) Best-in-Class Retail Offering Prime Location West Boca s Main & Main Retail Intersection High Traffic ,500 VPD Strong Leasing Momentum Bed Bath & Beyond extended their lease for 10 years through January 2026 Regal Cinemas renovated their premises in 2014 (resulting in a ±80% increase in sales) and recently extended their lease for 5 years through January 2024 Walgreen s has been operating at the property since the early 1980 s and recently relocated to a freestanding location on the site under a long term ground lease Offering Highlights Demographics of Choice (3-Mile Radius) Boca Raton is one of South Florida s most coveted trade areas for retail investment 95,888 residents Average Household Income of $94,047 Significant Daytime Employment in immediate vicinity -- 36,492 High Quality Tenant Line-Up National/Regional tenants represent 76.3% of GLA Seasoned tenant roster with 74.3% of the GLA occupied by tenants with +10 years of tenure Bed Bath & Beyond s sales are above average for the chain Regal Cinemas is West Boca s dominant theater Secure Income Stream Credit tenants represent 66.0% of revenue 4 outparcels subject to ground leases represent 16.3% of revenue Stein Mart occupies their space at a significantly below market rental rate under a lease that expires without renewal options in November 2027 McDonald s and SunTrust occupy prime outparcels at significantly below market rents under leases that expires without renewal options in 2022 Immediate opportunity to recapture European Auto Centre outparcel and replace with a credit tenant that has already executed a ground lease at a significant rent increase Attractive CAGR of 3.46% over 10 years

3 NEIGHBORHOOD DEMOGRAPHICS 1-MILE 3-MILE 5-MILE RADIUS RADIUS RADIUS 9,623 95, , % 1.2% 2.9% 2017 Population Projected Population Growth 2017 Households Average HH Income % Owner Occupied Housing Units 3,683 39,478 80,186 $91,355 $94,047 $106, % 78.9% 74.3% Median Age Daytime Employee Count ,419 36,492 89,281 LOCATION HIGHLIGHTS Prime Location 105,500VPD Demographics of Choice Prime location at West Boca s dominant retail intersection -- Glades Road and US Highway 441/ SR7 at the signalized intersection of Glades Road and US Highway 441 $94,047 Average 95,888 Residents Excellent co-tenancy at intersection with Publix, Home Depot, Fresh Market, Dick s Sporting Goods, LA Fitness, Burlington Coat, PetSmart, Ulta, and DSW, to name a few Superb access with signalized entrance from Glades Road and dedicated median cut along US Highway 441 (3-Mile Radius) Household Income Surrounded by affluent master planned gated communities Daytime employment of 36,492

4 Shadowwood Square Tenancy & Financial Highlight TENANCY MAJOR TENANTS SF % OF GLA 44, % 41, % 36, % 17, % 17, % 13, % Total Major Tenants 170, % SHOP TENANTS CINEMAS National Tenants (11)* 23, % Local (9) 20, % Available (1) 7, % Total Shop Tenants 50, % OUTPARCEL TENANTS 16, % 3, % 3, % 10, % Total Outparcels 33, % Total GLA 254, % *National Tenants include: Boston Market, Citibank, Darque Tan, Einstein s, Eyebrow Design, Hair Cuttery, Lime Fresh Mexican Grill, SBA Properties, Sprint, Starbucks & Tutti Frutti. Tenancy Highlights Dynamic anchor lineup combing soft goods, entertainment, necessities, and homegoods National/Regional tenants represent 76.1% of revenue Seasoned Tenant Roster with 74.3% of GLA covered by tenants with +10 years of tenure Bed Bath & Beyond s sales are above average for the chain Regal Cinemas is the dominant theater in West Boca, completing an interior renovation in 2014 that resulted in a ±80% increase in sales Strong leasing momentum with two key anchors recently executing extensions: Bed Bath & Beyond (10 years) and Regal Cinemas (5 years) Financial Highlights Credit Tenants account for 66.0% of Revenue 4 outparcels subject to ground leases represent 15.8% of revenue Attractive CAGR of 3.38% over 10-year hold fueled by near term mark-to-market rental rate opportunities SERVICE 17.9% THEATER 18.1% SOFT GOODS 21.6% LOCAL 23.7% MEDICAL 2.1% TENANT COMPOSITION BASED ON GLA RESTAURANT 8.2% NATIONAL VS. LOCAL TENANCY BASED ON GLA NATIONAL 76.3% Stein Mart occupies their space at a significantly below market rental rate under a lease that expires without renewal options in November 2027 McDonald s and SunTrust occupy prime outparcels at significantly below market rents under leases that expire without renewal options in 2022 Immediate opportunity to recapture European Auto Centre outparcel and replace with a credit tenant that has already executed a ground lease at a significant rent increase RETAIL 31.9%

5 Shadowwood Square

6 Investment Contacts MARK GILBERT Executive Vice President Miami FL ADAM FEINSTEIN Executive Director Miami FL MITCHELL HALPERN Director Miami, FL AZAM MALIK SPENCER KINSELLA SCOTT QUICK KHAMBREL ROACH Financial Analyst Miami FL Financial Analyst Miami FL Financial Analyst Miami, FL Financial Analyst Miami, FL GABY ROKAW KRISTEN VARGAS VILA Senior Marketing Specialist Miami FL Marketing Specialist Miami FL RETAIL INVESTMENT ADVISORS San Francisco CA Phoenix AZ Dallas TX Chicago IL Atlanta GA Miami FL East Rutherford NJ Manhattan NY 333 SE 2ND AVE SUITE 3900 MIAMI FL CWRETAILINVESTMENTADVISORS.COM