2 3 8 1 1 E U R E K A R O A D T A Y L O R, M I C H I G A N 4 8 1 4 0 FAMOUS DAVE S TAYLOR, MI
INVESTMENT OVERVIEW Marcus & Millichap is pleased to present the Famous Dave s Sale-back in Taylor, Michigan, 20 miles south of downtown Detroit. Famous Dave s will sign a 25-year absolute net lease at the close of escrow. The lease will feature 1.5 percent annual increases as well as in all four, five-year options. The guarantor Blue Ribbon Restaurants Novi LLC, operates 5 locations. The parent operator Blue Ribbon Restaurants, operates 18 units throughout the Midwest and is one of the most decorated franchisees in Famous Dave s history. The subject property boasts strong unit level economics, the Taylor location nearly doubles the national average. Famous Dave s is nearby the Detroit Metropolitan Airport (DTW), the 10th largest airport in the United States. The asset benefits from being a pad site to a 238,712 square foot Hobby Lobby anchored center. Located along Eureka Road, this highly trafficked corridor sees more than 40,000 vehicles per day (VPD). The surrounding area also features strong demographics, there are more than 177,000 residents within five miles of the subject property. Additional national tenants in the immediate vicinity include: Taco Bell, Walgreens, Tim Hortons, Wendy s, Starbucks, McDonald s, Best Buy, Hobby Lobby, Panera Bread, Meijer, Cinemark, Target, AutoZone, and many more. 2 This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2018 Marcus & Millichap. Activity ID# Z0331677
INVESTMENT HIGHLIGHTS Famous Dave s Sale-back in Taylor, MI 20 Miles South of Downtown Detroit Rare 25 Year, Absolute Net Commencing at Close of Escrow Zero Landlord Responsibilities Strong Hedge Against Inflation 1.5 Percent Annual Rent Bumps Strong Unit Level s Store Sales Nearly Doubling National Average Ideally Located Eight Miles from Detroit Metropolitan Wayne County Airport (DTW) 34.7 Million Passengers in 2017 Pad Site to 238,712 Square Foot Hobby Lobby Anchored Center Highly Visible Along Eureka Road Corridor More Than 40,000 Vehicles Per Day (VPD) Dense Retail Corridor More Than 1 Million Square Feet of Retail Within a Mile Significant Capital Commitment to More Than $10 Million in Development Permits in Zip Code Strong Demographics More Than 179,000 Residents Within Five Miles Additional National s in Vicinity Include: Taco Bell, Walgreens, Tim Hortons, Wendy s, Starbucks, McDonald s, Best Buy, Cinemark, Target, AutoZone, and Many More
FINANCIAL OVERVIEW 23811 EUREKA ROAD TAYLOR,MICHIGAN 48140 PRICE $5,416,666 CAP RATE 6.00% NOI $325,000 PRICE PER SQUARE FOOT $783.77 4 RENT PER SQUARE FOOT $47.03 YEAR BUILT 2005 APPROXIMATE LOT SIZE 2.83 Acres GROSS LEASEABLE AREA 6,911 TYPE OF OWNERSHIP LEASE GUARANTOR LEASE TYPE ROOF AND STRUCTURE Fee Simple Blue Ribbon Restaurants Novi, LLC Absolute Net Responsible ANNUALIZED OPERATING DATA BASE RENT ANNUAL RENT MONTHLY RENT YEAR 1 $325,000.00 $27,083.33 YEAR 2 $329,875.00 $27,489.58 1.50% YEAR 3 $334,823.13 $27,901.93 1.50% YEAR 4 $339,845.47 $28,320.46 1.50% YEAR 5 $344,943.15 $28,745.26 1.50% YEAR 6 $350,117.30 $29,176.44 1.50% YEAR 7 $355,369.06 $29,614.09 1.50% YEAR 8 $360,699.60 $30,058.30 1.50% YEAR 9 $366,110.09 $30,509.17 1.50% YEAR 10 $371,601.74 $30,966.81 1.50% YEAR 11 $377,175.77 $31,431.31 1.50% YEAR 12 $382,833.40 $31,902.78 1.50% YEAR 13 $388,575.91 $32,381.33 1.50% YEAR 14 $394,404.54 $32,867.05 1.50% YEAR 15 $400,320.61 $33,360.05 1.50% YEAR 16 $406,325.42 $33,860.45 1.50% YEAR 17 $412,420.30 $34,368.36 1.50% YEAR 18 $418,606.61 $34,883.88 1.50% YEAR 19 $424,885.71 $35,407.14 1.50% YEAR 20 $431,258.99 $35,938.25 1.50% YEAR 21 $437,727.88 $36,477.32 1.50% YEAR 22 $444,293.80 $37,024.48 1.50% YEAR 23 $450,958.20 $37,579.85 1.50% YEAR 24 $457,722.58 $38,143.55 1.50% YEAR 25 $464,588.41 $38,715.70 1.50% This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2018 Marcus & Millichap. Activity ID# Z0331677
LEASE SUMMARY LEASE COMMENCEMENT DATE Close of Escrow LEASE EXPIRATION DATE LEASE TERM TERM REMAINING 25 Years Following COE 25 Years 25 Years INCREASES 1.5% Annually OPTIONS TO RENEW 4, 5-Year 5 TELEGRAPH ROAD 46,000 VPD This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2018 Marcus & Millichap. Activity ID# Z0331677
TENANT OVERVIEW Famous Dave s of America is a chain of barbecue restaurants serving pork ribs, chicken, beef brisket, and several flavors of barbecue sauce. Dave Anderson, an Ojibwe who served as the head of the federal Bureau of Indian Affairs from 2004 to 2005, started the first Famous Dave s restaurant near Hayward, Wisconsin in 1994. The restaurant chain grew throughout the Midwestern United States and Puerto Rico. It has 152 locations in 33 U.S. states as of 2018. Ten Restaurant of the Year and three Franchisee of the Year awards later, Blue Ribbon Restaurants is one of the most awarded franchisees in Famous Dave s history. But even more beloved than their company awards are the awards hey win within their communities. These come from the heart and soul of their Famous Fans. Without them, they wouldn t be Cleveland s Best BBQ (Cleveland Hot List 2008-2017). The love of their surrounding communities has allowed the flame to endure for more than 13 years. Today, Blue Ribbon Restaurants owns and operates 18 Famous Dave s throughout Michigan, Ohio, Maryland, Illinois, and Virginia. Our mission: Be Famous. Be Real. Kick Butt. Have Fun. TENANT PROFILE TENANT TRADE NAME Famous Dave s OWNERSHIP Private TENANT Famous Dave s 6 LEASE GUARANTOR NUMBER OF LOCATIONS HEADQUARTERED Blue Ribbon Restaurants Novi, LLC 5 Locations Walled Lake, Michigan This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2018 Marcus & Millichap. Activity ID# Z0331677
ABOUT TAYLOR Taylor is a city in Wayne County, Michigan. Originally known as Taylor Township, its residents voted to incorporate it as the City of Taylor in May 1968. It is the 17th most populous city in Michigan. Taylor is a member of the Downriver Community. It is home to Southland Shopping Center, Wallside Windows Factory, Taylor Sportsplex, Taylor Meadows Golf Course, Lakes of Taylor Golf Course, Beaumont (Oakwood Heritage) Hospital, the Michigan State Police Metro South Post and Wayne County Community College Downriver Campus. It is the birthplace of Hungry Howie s Pizza. Taylor s large municipal park, Heritage Park, features ball diamonds, soccer fields, pavilions, barbeque grills, picnic tables, restrooms, a playground, historic buildings, shops, a catch-and-release fishing pond, a 1/3-mile walking path and path system, an old-growth nature area, park benches, a picnic area, a playground and a petting farm. It is home to the Taylor South Little League, the Junior League World Series and the Taylor Soccer Club. The Detroit Waza of the Professional Arena Soccer League play their home games at the Taylor Sportsplex. Steve Avery, a major league baseball player, was raised in Taylor and graduated from John F. Kennedy High School. Taylor is also the birthplace and home of Joe C., sidekick of Kid Rock, who died in 2000. The Southland Shopping Center, a regional shopping mall with over 100 stores, was opened in 1970 at Eureka Road and Pardee Road. Macy s, JCPenney, Best Buy, Forever 21, Shoe Carnival, and Ulta stores serve as anchors. In addition to Southland Center, the city also features a Walmart superstore, Target superstore, Meijer superstore, Kohl s, Burlington Coat Factory, Dick s Sporting Goods, Jo-Ann, Bed, Bath, and Beyond, Kmart, Kroger, and two Home Depot locations, among many others. In 2014, it was announced that the 80-acre property located at Eureka Road and I-75 which previously held the Gibraltar Trade Center would be redeveloped into a Menards as well as six other retail big box stores. 7 This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2018 Marcus & Millichap. Activity ID# Z0331677
94 275 Wayne 12 Detroit Metropolitan Wayne County Airport Romulus 275 Inkster 94 SITE 24 5 MILE RADIUS 3 MILE RADIUS Taylor 24 1 MILE 75 24 94 39 Allen Park 75 Melvindale 85 Lincoln Park 75 Wyandotte Southgate Riverview Hennepin Point River Rouge Ecorse United States Zug Island Canada LaSalle Fighting Island 20 3 Huron Charter Twp Woodhaven Brownstown Charter Twp Trenton Gross Ile 85 20 24 1-Mile 75 275 3-Mile 5-Mile 1-Mile 3-Mile 5-Mile 1-Mile 3-Mile 5-Mile 2018 Average HH Amherstburg 2010 Population 4,999 51,066 184,457 2010 Households 2,102 20,301 73,868 $51,426 $61,283 $67,799 Income 2018 Population 4,973 49,438 179,074 2018 Households 2,090 19,699 71,793 2023 Population 4,947 48,903 177,236 2023 Households 2,079 19,498 71,066 2018 Median HH Income 2018 Per Capita Income 10 $41,800 $44,842 $54,010 $21,613 $24,419 $27,181
MARCUS & MILLICHAP HEREBY ADVISES ALL PROSPECTIVE PURCHASERS OF NET LEASED PROPERTY AS FOLLOWS: The information contained in this ing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided. As the Buyer of a net leased property, it is the Buyer s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This ing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Marcus & Millichap expressly denies any obligation to conduct a due diligence examination of this Property for Buyer. Any projections, opinions, assumptions or estimates used in this ing Brochure are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs. Like all real estate investments, this investment carries significant risks. Buyer and Buyer s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer s legal ability to make alternate use of the property. By accepting this ing Brochure you agree to release Marcus & Millichap Real Estate Services and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.
FAMOUS DAVE S TAYLOR, MI 2 3 8 1 1 E U R E K A R O A D T A Y L O R, M I C H I G A N 4 8 1 4 0 BROKER OF RECORD: STEVE CHABEN MARCUS & MILLICHAP MICHIGAN LICENSE: 6502387903