OFFERING MEMORANDUM 7211-7351 Galilee Drive, Roseville, California EXCLUSIVE LISTING AGENTS: Joe Curtis, Managing Director 916.367.6354 jcurtis@newmarkccarey.com CA RE License #01338980 Louis Jones, Managing Director 916.367.6350 ljones@newmarkccarey.com CA RE License #01009324 www.newmarkccarey.com 3005 Douglas Blvd., Suite 130, Roseville, CA 95661 DISCLAIMER: Procuring broker shall only be entitled to a commission, calculated in accordance with the rates approved by our principal only if such procuring broker executes a brokerage agreement acceptable to us and our principal and the conditions as set forth in the brokerage agreement are fully and unconditionally satisfied. Although all information furnished regarding property for sale, rental, or financing is from sources deemed reliable, such information has not been verified and no express representation is made nor is any to be implied as to the accuracy thereof and it is submitted subject to errors, omissions, change of price, rental or other conditions, prior sale, lease or financing, or withdrawal without notice and to any special conditions imposed by our principal.
THE OFFERING Newmark Cornish & Carey is pleased to present the opportunity to acquire 7211-7351 Galilee Drive, Roseville, CA. The Project consists of four (4) multitenant buildings located on two (2) parcels totaling ±5.5 acres. The Project, constructed in 2007, is currently leased to 45 tenants ranging in size from ±765 square feet to ±3,063 square feet. INVESTMENT HIGHLIGHTS n 99% Leased n Priced Below Replacement Cost n Gross Lease Structure Currently, all of the leases within the Project are on a Gross lease basis. This offers an investor at the time of renewal the opportunity of a modified Gross lease, meaning the new owner can begin to charge a CAM charge to cover landscaping, sewer, water and trash. n Unique Property The Project offers suites ranging from ±765 square feet up to ±3,063 square feet of flex spaces. Currently, in the Roseville / Rocklin submarket, this is the only project that offers suites in this size range. n Roseville / Rocklin Submarket The Roseville / Rocklin Submarket is one of the most desirable areas in the Sacramento MSA. Roseville and Rocklin have median household income over $80,000 per year and employers such as Hewlett Packard, Sutter Health, Oracle, TSI, and Ace Hardware. n Rent Growth Opportunity With most of the leases expiring within the next two years, this offers investors the ability to annually increase cash flow. n Stabilized Investment The Project contains approximately 45 tenants with a diverse mix of business types. This allows spreading the risk of another downturn over 45 tenants and different areas of business. n Location The Business Center is located in the upscale city of Roseville in a highly desired area. Currently, no other projects exist within 20 miles that offers the product type and size ranges offered. n Superior Construction The project was constructed with no expense spared. The buildings have been well maintained and have no deferred maintenance. Pride of Ownership really stands out in this project. The buildings are concrete-tilt up with concrete common areas. PAGE 2
OFFERING SUMMARY Offering Price: $13,500,000 Cap Rate: 5.7% Address: 7211, 7251, 7311, 7351 Galilee Road Roseville, California 95678 County: Placer Property Type: Retail / Office / Warehouse SITE Year Built: 2007 Total Project Size: ±103,170 SF APN # s 017-410-063 017-410-064 Total Land: (Two Parcels) 2.9 Acres 2.6 Acres Zoning: Light Industrial (Per city of Roseville) Construction Type Concrete Tilt-Up PAGE 3
INCOME AND EXPENSES MONTHLY YEARLY PER SQUARE FOOT INCOME VARIOUS TENANTS $88,592 $1,063,104 $0.86 EXPENSES INSURANCE $9,722 LANDSCAPING $12,917 REPAIRS & MAINTENANCE $20,000 MANAGEMENT $30,579 PROFESSIONAL FEES $1,975 TELEPHONE $1,303 UTILITIES $24,189 TRASH $32,083 TAXES $156,000 TOTAL EXPENSES $294,768 NET INCOME $774,336 CAP RATE 5.7% PAGE 4
SITE PLAN PAGE 5
LOCATION MAPS 70 Blue Oaks Blvd 80 SITE ROSEVILLE 505 INDUSTRIAL AREA WEST GRANITE BAY FOLSOM DIAMOND SPRINGS 50 SACRAMENTO 113 INDUSTRIAL AREA EAST PLACERVILLE DAVIS 80 ELK GROVE Fai rw r Ro se vil 49 le Galilee FAIRFIELD 99 SITE y Pleasant Grove Blvd 5 88 RIO VISTA 680 Pleasant Grove Blvd LODI Diamond Oaks Golf Course ing ash W BENICIA STOCKTON BRENTWOOD 4 d Blv ANTIOCH ton 4 MARTINEZ CONCORD Pk w JACKSON WALNUT GROVE ay D Foothills Blvd Hewlett-Packaard Ind Complex Industrial Ave WOODLAND CITRUS HEIGHTS RIO LINDA 49 Washington Blvd 5 EJO ND AUBURN 65 Ple Gro asant ve B lvd 99 Sierra View Country Club PAGE 6