park plaza shopping center

park plaza shopping center A Neighborhood shopping center 1507 West 38th Street, Erie, PA 16508 For more info on this opportunity please contact: dave lucas dlucas@capitalpacific.com (415) 274-7390 CA BRE #: 01389761 Chris peters cpeters@capitalpacific.com (415) 274-2703 CA BRE# 01339983 JOSEPH CACCAMO jcaccamo@capitalpacific.com [415] 274-7394 CA BRE#: 01191110 chris kostanecki ck@capitalpacific.com (415) 274-2701 CA BRE# 01002010 Capital Pacific collaborates. Click here to meet the rest of our San Francisco team. In conjunction with PA Licensed Broker: Transitional Resource Specialists, Donna Martinek (412) 298-6229 dmfm2012@gmail.com

High Yield Neighborhood Shopping Center in infill location in Erie, PA. Investment Highlights Capital Pacific is pleased to offer for sale a neighborhood strip retail center in an infill location in Erie, PA. The center is 93% occupied with an excellent mix of local, regional, and national tenants, most of which have been at the center long term. The rents at the center are at or below market and the asset is priced well below replacement cost, offering an investor a secure asset at an excellent return. PRICE: $1,900,000 CAP: 10.85% RENTABLE SF... 39,825 SF PRICE PER SF... $47.71 LAND AREA... 3 Acres YEAR BUILT... 1960 Investment and lease highlights Park Plaza is located in the heart of Erie, PA on West 38th Street, a major east/west arterial through the city The center has excellent visibility and access with signalized left turn access and seven total curb cuts into the center The shopping center has an ample parking field with 169 spaces (estimated parking ratio of 4.22/1000) and additional unstriped parking in the rear of the center The tenant mix for the center is an excellent combination of daily needs (Dollar General) and destination retail (Valu Home, Curves, Pizza, Realty) The anchor tenant in the center, Valu Home Center, has been at the location since 1988 and recently exercised a five year option to renew until 2020 High barrier to entry location in Erie The Asset is priced significantly below replacement cost and at an attractive yield of 10%. Available financing may allow an investor to achieve cash-on-cash of over 15% Two remaining vacancies in the center with good leasing activity representing immediate upside for an investor park plaza 2

Income & Expense Current Price: $1,900,000 PROPOSED LOAN SCENARIO: Capitalization Rate: 10.85% Loan Amount $1,235,000 Price Per Square Foot: $47.71 Interest Rate 4.75% Down Payment 35% $665,000 Amortization 25 Year Loan Amount 65% $1,235,000 Term 7 Year Total Leased (SF): 97.20% 38,710 Lender Type Bank Total Vacant (SF): 2.80% 1,116 Debt Service $84,491 Total Rentable Area (SF): 39,825 Monthly Debt Service $7,041 INCOME PSF Pre-Tax Cash Flow $121,657 Scheduled Rent $6.04 $233,619 Debt Coverage Ratio 2.44 RET Recovery $0.80 $30,950 Cash on Cash 18.29% INS Recovery $0.06 $2,451 Principal Paydown (Year 1) $26,399 CAM Recovery $0.95 $36,922 Total Return $148,056 EFFECTIVE GROSS INCOME $303,942 Yield 22.26% Market Vacancy Reserve (3%)* ($9,118) ADJUSTED GROSS INCOME $294,824 EXPENSES Real Estate Taxes -$1.17 ($46,790) Property Insurance -$0.08 ($3,206) Liability Insurance -$0.05 ($1,958) Rent Loss Insurance -$0.01 ($248) Landscape Care -$0.05 ($2,113) Rubbish Removal -$0.02 ($720) Snow Removal -$0.36 ($14,200) Cleaning (Common) -$0.10 ($4,127) Concrete Repairs (Common) -$0.01 ($300) Electric Utilites (Common) -$0.15 ($5,907) Electric Repairs (Common) -$0.02 ($700) General Repairs (Common) -$0.10 ($4,000) Miscellaneous (Common) -$0.01 ($300) Plumbing Repairs (Common) -$0.06 ($2,400) Painting (Common) -$0.03 ($1,286) Powerwashing (Common) -$0.01 ($420) Striping -$0.01 ($515) TOTAL OPERATING EXPENSES -$2.24 ($88,675) NET OPERATING INCOME $206,149 PSF * Vacancy reserve is 3% plus exisitng 2.8% of actual vacancy - total is 5.8% vacancy CASH FLOW & PROPOSED LOAN TERMS 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. park plaza 3

Rent Roll Trade Name Suite Sq. Ft. Percent of GLA Lease Start Lease Expiration Monthly Base Rent Monthly Rent/SF Annual Rent/SF Annual Rent CAM Recovery Dolgencorp, Inc. A-1 8,880 22.30% 6/24/2002 9/24/2018 $5,833.33 $0.66 $7.88 $69,999.96 $8,409.80 Curves, Inc. A-2 2,562 6.43% 9/29/2003 12/31/2014 $928.00 $0.36 $4.35 $11,136.00 $2,754.46 Suncapsule A-3 1,736 4.36% 8/1/1994 7/31/2017 $1,510.90 $0.87 $10.45 $18,130.85 $1,941.88 Vacant (Rear facing) A-4 1,116 2.80% $0.00 $0.00 $0.00 $0.00 $0.00 Valu Home Center A-5 18,982 47.66% 9/1/1988 9/30/2020 $6,673.54 $0.35 $4.22 $80,082.50 $18,981.96 Barbato's Pizzeria A-6 & A-7 2,058 5.17% 8/1/2002 7/31/2017 $1,543.50 $0.75 $9.00 $18,522.00 $2,278.32 Redinger Realty A-8 2,314 5.81% 1/1/1987 1/31/2016 $1,218.09 $0.53 $6.32 $14,617.11 $0.00 Increase 2/1/2015 1/31/2016 CPI George Boyd Barber A-9 368 0.92% 2/11/2009 3/31/2017 $554.20 $1.51 $18.07 $6,650.43 $552.00 Chinese Restaurant A-10 1,810 4.54% 7/1/2015 6/30/2020 $1,206.67 $0.67 $8.00 $14,480.00 $2,003.77 Current Totals: 39,825 100.00% Monthly Rent $33,948.24 Annual Rent $233,618.85 Occupied 38,710 97.20% Total CAM $36,922.19 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. park plaza 4

832 PARK PLAZA PITTSBURG COMMONS 5 290 5 W 12th Street W 12th Street 290 79 832 Redinger Realty George Boyd 20 W 26th Street McDowell Intermediate High School 20 ni tta ra ter ad MILLCREEK MALL Glenwood Elementary E 38th Street 18,000 DAILY 290 et h ac 79 S Pe re St 8 19 505 att W 832 E 12th Street 20 W 38th Street o ar E Lake Road Central Tech High School Grover Cleveland Elementary Ridgefield Elementary 290 State Street W Lake Road Chestnut Hill Elementary sb urg James S. Wilson Middle School Ro ad PEACH STREET SQUARE ERIE MARKETPLACE 90 hway 90 Perry Hig 90 79 PITTSBURG park plaza 5

Site Plan W 39th Street Washington Avenue CHINESE RESTARUANT NEW LEASE AT $8/SF NET GEORGE BOYD AVAILABLE REDINGER REALTY W 38th Street Washington Avenue park plaza 6

Photos nearly fully Leased park plaza 7

Photos established neighborhood shopping center park plaza 8

Regional Map Park Plaza erie cleveland 1 Hour 45 Minutes 100 Miles Traffic counts of 18,000 vpd on West 38th Street 2 Hours 130 Miles Pittsburgh park plaza 9

Location & Demos Erie, PA overview Erie is the Commonwealth of Pennsylvania s primary access point to Lake Erie, the Great Lakes, and the Saint Lawrence Seaway. Erie is the corporate headquarters of GE Transportation, Plastek Industries, Inc., and Erie Insurance Group. Lord Corporation was founded and has major operations in Erie. Over 10% of the nation s plastics are manufactured or finished in Erie-based plastics plants. Erie is an emerging center for biofuels and environmental research, producing over 45 million gallons of biofuel a year. Population 1-Mile 3-Mile 5-Mile 2010 17,454 98,614 156,285 2013 17,725 98,548 156,860 2018 18,018 98,428 157,470 2013 Household incomes 1-Mile 3-Mile 5-Mile Average $52,991 $52,236 $54,045 Median $41,286 $37,178 $38,749 Tourism plays an increasingly important role in the local economy with over 4 million people visiting Presque Isle State Park and other attractions. Canadian shoppers frequent the Millcreek Mall and Peach Street stores and attractions mostly because of Pennsylvania s tax exemption on clothing. The city government is encouraging development through Commonwealth programs that encourage residents, universities and businesses to contribute toward the community s economic health. Top Employers in Erie Employer # of Employees* General Electric Company 5,300 Erie Insurance Group 4,300 Hamot Medical Center 3,400 Saint Vincent Health Center 3,000 *Approximate park plaza 10

A unique HUMAN RESULTS-DRIVEN client experience [ www.capitalpacific.com ] The capital pacific experience - our daily commitment to our clients dave lucas dlucas@capitalpacific.com (415) 274-7390 CA BRE #: 01389761 chris kostanecki ck@capitalpacific.com (415) 274-2701 CA BRE#: 01002010 JOSEPH CACCAMO jcaccamo@capitalpacific.com [415] 274-7394 CA BRE#: 01191110 zeb ripple zripple@capitalpacific.com (415) 274-2702 CA BRE#: 01242540 In conjunction with PA Licensed Broker: Donna Martinek, Transitional Resource Specialists (412) 298-6229 dmfm2012@gmail.com Copyright 2014 [Capital Pacific Real Estate Brokerage Company]