McGrath s Fish House Corvallis, OR Corvallis, OR Absolute Net Single-Tenant Asset along major retail corridor 350 NE Circle Blvd, Corvallis, OR 97330
INVESTMENT CONSIDERATIONS PRICE: $1,610,000 CAP: 7.50% LEASE TYPE.... Absolute NNN LEASABLE SF.... ±6,129 SF PRICE PER SF.... $263 LAND AREA... ±33,106 SF YEAR BUILT... 1993* LEASE EXPIRATION.... 12/31/2021 PARKING.... ±44 SPACES OR 7.18/1,000 SF ADDRESS: 350 NE Circle Blvd, Corvallis, OR 97330 Absolute NNN lease provides zero Landlord responsibility. Long historical tenancy of nearly 24 years. Recognized regional brand with nine locations throughout the Northwest. Interior and exterior remodel slated for 2017-2018 featuring newly updated upholstery and new carpet/exterior paint in the near term. Highly visible hard corner location on main thoroughfare. High traffic counts of 28,762 vehicles per day with frontage on Pacific Highway. Oregon State University (enrollment: 28,886) and dense surrounding retail provide increased draw to the trade area. Dense surrounding residential base of 65,667 within a five-mile radius. Close proximity to Hewlett-Packard campus, the largest Corvallis employer with 4,000+ employees. *Tenant Improvements to be completed in 2017 MCGRATH S FISH HOUSE - CORVALLIS 2
Quick Stats McGrath s Fish House is a successful sit-down seafood restaurant chain with nine total locations throughout three states in the Pacific Northwest. McGrath s has a nearly 40-year history and was founded in 1980 in Salem, Oregon. FOUNDED IN 1980 OREGON STATE 9 TOTAL LOCATIONS (IN OR, WA & ID) MCGRATH S FISH HOUSE Recent Tenant Improvements Replacement/refurbishment of all seat coverings as necessary. Upcoming Tenant Improvements Full exterior painting including siding repair/ replacement as necessary. Repair/Replacement of HVAC units, mechanical and refrigeration systems as necessary. Replacement of interior carpet.
AERIAL SAMARITAN HEALTH SERVICES 1/2 MI 20,400 DAILY SURROUNDING RETAIL Arby s AT&T AutoZone Baja Fresh Mexican Grill Bed Bath & Beyond Big 5 Sporting Goods Bi-Mart Buffalo Wild Wings Burger King Circle 9 Shopping Center Cold Stone Creamery Complete Nutrition Dressbarn Dutch Bros Coffee Firestone Complete Auto Care GameStop Gentle Dental Goodwill Great Clips Grocery Outlet Izzy s Jack in the Box Jiffy Lube Jimmy John s Jo-Ann Fabrics and Crafts KFC Les Schwab Tire Center Market of Choice McDonald s Michaels Natural Grocers Office Max Orange Theory Panda Express Panera Bread Papa Murphy s RadioShack Safeway Shari s Cafe & Pies Sleep Train Sprint Starbucks T.J. Maxx Taco Bell Trader Joe s Ulta Beauty Walmart Neighborhood Market Zoup! 99 MCGRATH S FISH HOUSE TOP EMPLOYERS Oregon State University Hewlett Packard Samaritan Health Services MCGRATH S FISH HOUSE - CORVALLIS 4
Rent Comparables 1 2 Salem 1 Chipotle: $26.40/SF 890 Lancaster Dr. NE, Salem 2 Red Lobster: $22.27/SF 521 Lancaster Dr. NE, Salem 3 3 4 5 6 Muchas Gracias: $41.33/SF 2697 Pacific Blvd SE, Albany McGrath s Fish House: $19.70/SF 350 NE Circle Blvd., Corvallis Panda Express: $33.00/SF 1820 NW 9th, Corvallis Applebee s: $16.48/SF 3026 Gateway St., Springfield 5 Corvallis 4 Albany 7 8 Noodles & Company: $33.00/SF 2820 Gateway St., Springfield Panera: $29.81/SF 2810 Gateway St., Springfield 7 6 8 Eugene MCGRATH S FISH HOUSE - CORVALLIS 5
Site Plan SITE PLAN KEY PYLON SIGN NE Circle Blvd 8,362 DAILY PARCEL OUTLINES: NOT A PART: SUBJECT: INGRESS/EGRESS: Pacific Hwy W 20,400 DAILY MCGRATH S FISH HOUSE - CORVALLIS 6
Pacific Hwy W 20,400 DAILY Site Plan SITE PLAN KEY PARCEL OUTLINE: LEASABLE AREA: LAND AREA: ±6,129 SF ±33,106 SF INGRESS/EGRESS: PYLON SIGN NE Circle Blvd 8,362 DAILY Site Plan Not To Scale MCGRATH S FISH HOUSE - CORVALLIS 7
Financial Summary PRICE $1,610,000 Capitalization Rate: 7.50% Price Per Foot: 6,129 Square Feet $263 NET OPERATING INCOME SUMMARY SCHEDULED INCOME Per SF Scheduled Rent: 10/1/2017 $19.67 $120,580 Equals: Effective Gross Income $19.67 $120,580 Less: OPERATING EXPENSES Per SF CAMS NNN Property Taxes NNN Insurance NNN Total Operating Expenses NNN - Equals: NET OPERATING INCOME $120,580 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. Buyer must verify the information and bears all risk for any inaccuracies. MCGRATH S FISH HOUSE - CORVALLIS 8
Rent Roll Rent Roll TENANT INFO TERM RENT SUMMARY Tenant Name Size Date Monthly Rent Percent Increase Annual Rent PSF Cap Rate McGrath's Fish House 6,129 1/1/2017 $10,048 $120,580 $19.67 7.50% Occupancy Date : 1/1/1994 Lease Expiration : 12/31/2021 Lease Notes Comments: Absolute NNN Lease with one, five-year option. Zero Landlord responsibilities. Option 1 1/1/2022 $10,048 0.0% $120,580 $19.67 7.49% Current Totals: 6,129 $10,048 $120,580 $19.67 7.50% 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. Buyer must verify the information and bears all risk for any inaccuracies. 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. Buyer must verify the information and bears all risk for any inaccuracies. MCGRATH S FISH HOUSE - CORVALLIS 9
Lease Abstract INSURANCE PREMISES/TERM TENANT McGrath s Fish House, Inc SQUARE FEET ±6,129 SF LEASE TYPE Absolute NNN COMMENCEMENT January 1, 1994 EXPIRATION December 31, 2021 OPTIONS 1, 5-Year Option. Tenant is responsible to maintain Comprehensive Public Liability and Property Damage Insurance, Fire and Extended Coverage Insurance and Liquor Insurance with specified limits per lease, naming Landlord as an additional insured. PROPERTY TAXES Tenant is responsible for payment of 100% of Property Taxes to the Premises. UTILITIES Tenant is responsible for payment of all 100% of utilities and services benefitting the Premises. TENANT S MAINTENANCE BASE RENT INITIAL TERM MONTHLY ANNUALLY 1/1/17-12/31/21 $10,048 $120,580 OPTIONS MONTHLY ANNUALLY 1/1/22-12/31/26 $10,048 $120,580 Tenant to maintain the Premises in good condition and repair including, plate and window glass, foundations, roof, exterior walls, furnace, air conditioner, floor coverings, store front, entrances and all window and door moldings; electrical and plumbing facilities; and Tenant s monument sign, parking lot, irrigation system, landscaping, exterior lighting, sidewalks. LANDLORD S MAINTENANCE Landlord has no responsibility or obligation to maintain or repair the Premises. ASSIGNMENT/SUBLET Tenant shall not assign/sublet without the prior written consent and approval of Landlord. The assignment/sublet will be subject to the rent escalation provisions of paragraph 5.1(d) of the Lease unless the assignment or subletting is to an entity owned or controlled by John McGrath or members of his immediate family, or to any individual in such group. FIRST RIGHT TO PURCHASE Landlord must provide Tenant with prior written notice of their intent to sell the Subject Property and upon what terms; Tenant then has 30 days in which they must respond. MCGRATH S FISH HOUSE - CORVALLIS 10
Area Intel & Demos 2016 HOUSEHOLD INCOMES 1-Mile 3-Miles 5-Miles Median $34,958 $36,982 $43,432 Average $57,705 $61,734 $68,192 84.9 Miles 1 Hr 30 Mins Salem Portland 39.6 Miles 45 mins POPULATION 1-Mile 3-Miles 5-Miles 2010 9,517 45,968 62,602 2016 9,985 47,285 64,674 2021 10,399 48,872 66,936 47.1 Miles 48 Mins 129 Miles 2 Hr 48 Mins Bend Eugene 5 Miles 3 Miles McGrath s Fish House 1 Mile Oregon State University MCGRATH S FISH HOUSE - CORVALLIS 11
Corvallis & Oregon State University ABOUT CORVALLIS Corvallis is located in the heart of the Willamette Valley, 85 miles south of Portland. The Willamette Valley is known for its wineries, parks, natural areas, and outdoor recreational activities. Consistently ranked among the best college towns in the nation, Corvallis is home to Oregon State University, the 3rd largest university in Oregon. Corvallis boasts a strong commitment to environmental-awareness, ranking #1 on the Environmental Protection Agency s national list of Green Power Communities. LEADING EMPLOYERS The Property is surrounded in close proximity by Corvallis three leading employers, totaling more than 14,000 employees. COMPANY ± EMPLOYEES Oregon State University 10,430 Samaritan Health Services 2,632 Hewlett-Packard Company 1,550 Corvallis Clinic 620 Corvallis School District 550 City of Corvallis 427 CH2M Hill 400 OREGON STATE UNIVERSITY The Princeton Review placed Oregon State in the top 125 colleges in the western U.S., and one of the top green schools in 2015. OSU received a green rating score of 98, which took into account its formal sustainability committee, available transportation alternatives, and the availability of sustainability-focused degrees offered at OSU. With more than 200 undergraduate and 100 graduate degree programs offered, OSU offers a wide range of educational opportunities ranging from business to engineering. With a record $336 million in external research funding in 2016, Oregon State receives more research funding than all other public higher educational institutions in Oregon combined. There are over 30 intramural sports teams and more than 300 groups, clubs, and student government offered at OSU. The OSU Beavers have 17 varsity athletic teams that compete in the NCAA Division I Pac-12 Conference. #4 BEST COLLEGE TOWN FORBES 1858 FOUNDED 19,362 PORTLAND CORVALLIS 85 MI, 1.5 HRS 24,977 OSU TOTAL FALL ENROLLMENT 30,354 2006 2011 2016 OSU HAS NEARLY DOUBLED ENROLLMENT SINCE 2000 Source: David Bassett - Bassett Studios - corvallisimages.com/above/ MCGRATH S FISH HOUSE - CORVALLIS 12
KEVIN ADATTO kadatto@capitalpacific.com (503) 675-7726 MICHAEL HORWITZ mhorwitz@capitalpacific.com (503) 675-8381 SEAN MACK smack@capitalpacific.com (503) 675-8378 SCOTT FRANK sfrank@capitalpacific.com (503) 675-8383 PETER DUNN pdunn@capitalpacific.com (503) 607-0197 SEAN TUFTS stufts@capitalpacific.com (206) 693-3352 DAVID GELLNER dgellner@capitalpacific.com (206) 693-3349 [ Copyright 2017 Capital Pacific LLC ]