PRIME OFFICE UNIT FOR LEASE 2772 Artesia Blvd, Redondo Beach 90278 JOSUE NAJERA BRE #01929085 310.666.6780 josh@equinoxcre.com ISAAC GUANAJUATO BRE #01427659 310.294.3655 isaac@equinoxcre.com 21550 OXNARD ST STE 630 WOODLAND HILLS, CA
PRIME OFFICE PROPERTY FOR LEASE 2772 ARTESIA BLVD, REDONDO BEACH, CA 90278 Confidentiality & Disclaimer All materials and information received or derived from Equinox CRE its directors, officers, agents, advisors, affiliates and/or any third party sources are provided without representation or warranty as to completeness, veracity, or accuracy, condition of the property, compliance or lack of compliance with applicable governmental requirements, developability or suitability, financial performance of the property, projected financial performance of the property for any party s intended use or any and all other matters. Neither Equinox CRE its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy or completeness of the any materials or information provided, derived, or received. Materials and information from any source, whether written or verbal, that may be furnished for review are not a substitute for a party s active conduct of its own due diligence to determine these and other matters of significance to such party. Equinox CRE will not investigate or verify any such matters or conduct due diligence for a party unless otherwise agreed in writing. EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE. Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections and investigations including through appropriate third party independent professionals selected by such party. All financial data should be verified by the party including by obtaining and reading applicable documents and reports and consulting appropriate independent professionals. Equinox CRE makes no warranties and/or representations regarding the veracity, completeness, or relevance of any financial data or assumptions. Equinox CRE does not serve as a financial advisor to any party regarding any proposed transaction. All data and assumptions regarding financial performance, including that used for financial modeling purposes, may differ from actual data or performance. Any estimates of market rents and/or projected rents that may be provided to a party do not necessarily mean that rents can be established at or increased to that level. Parties must evaluate any applicable contractual and governmental limitations as well as market conditions,vacancy factors and other issues in order to determine rents from or for the property. TABLE OF CONTENTS OFFICE UNIT LEASE SUMMARY PROPERTY OVERVIEW LOCATION OVERVIEW LEASE ANALYTICS - REDONDO BEACH OFFICE MARKET LEASE CASH FLOW ANALYSIS - TENANT PROSPECTIVE ADDITIONAL PHOTOS DEMOGRAPHICS ADVISOR BIOS Legal questions should be discussed by the party with an attorney. Tax questions should be discussed by the party with a certified public accountant or tax attorney. Title questions should be discussed by the party with a title officer or attorney. Questions regarding the condition of the property and whether the property complies with applicable governmental requirements should be discussed by the party with appropriate engineers, architects, contractors, other consultants and governmental agencies. All properties and services are marketed by Equinox CRE in compliance with all applicable fair housing and equal opportunity laws. 21550 OXNARD ST STE 630 WOODLAND HILLS, CA 2
OFFICE UNIT LEASE SUMMARY UNIT OVERVIEW The upstairs corner unit of Artesia Center is availabile after a long term tenant occupied the space for the last 15 years. The unit attributes include: a natural flow of light from corner windows, remarkable street visibility on Artesia Blvd, and a turn-key office build-out. Additionally, the space sits against a highly trafficked Redondo Beach through-way. Parking is plentiful, the signage is classically professional, and maintenance is consistent with the buildings recent 2016 renovation: clean & polished. This upstairs corner unit is the only vacant unit at Artesia Center. It is turnkey and Verizon network ready with the current build out designed by an insurance agency franchise. The build out consists of 3 office spaces, meeting room, kitchenette, lobby, and ADA compliant restroom. UNIT & BUILDING DETAILS 91367 EQUINOXCRE.COM Unit Size: Unit Type: 983 sqft Office Sub-Unit Type: Executive Suite Building Size: Building Class: Lot Size: LEASE TERMS Lease Rate: Lease Type: Lease Term: 16,665 sqft A 30,056 sqft $2.35 NNN 3-5 years 3
PROPERTY DESCRIPTION PROPERTY OVERVIEW Artesia Center has recently been renovated to reflect a modern and spacious workplace for tenants and professional services and retail center for clients and customers. Redondo Beach has been and maintains a reputation of having highly sought after real estate. As new businesses and developments come in this proves to be a limitation. Access and visibility are a staple for Artesia Center and its tenants. Being adjacent to hotels and a living community also bolster its appeal. The new tenant, occupying one of the two corner units, will capitalize on this visibility with 3 signage opportunities: On the Marque as well as front and side facing walls on the building. 4
Best Western Redondo Beach Galleria Inn South Bay Galleria TC: 35,505 TC: 67,204 Breakwater Village LOCATION OVERVIEW Artesia Center is located in North Redondo are of Rendondo Beach. It lands between the 405 Freeway to east and PCH more over to the west. The property is directly adjacent to the South Bay Galeria, Best Western Redondo Beach Galleria Inn, and the Breakwater Village Luxury living community. Traffic counts are highest in the Redondo Beach area counting a daily traffic count (TC) of 35,505 on Artesia Blvd & 67,204 Hawthorne Blvd, per a 2015 MPSI estimate. 5
LEASE ANALYTICS FOR THE REDONDO BEACH OFFICE MARKET 6
LEASE CASHFLOW ANALYSIS FRO M A TE NA NT P ER SP ECTIVE LEASE TERMS Lease Start: 2/1/2017 Free Rent: None Lease End: 1/31/2022 Service Type: Triple Net (NNN) Term: 5 Years Operating Exp: $6.84 / RSF (3% inflation) Starting Rent: $2.30 / RSF Improvements: None Rent Increases: 3% Annual Steps KEY METRICS RSF Proposal Effective Rent / Yr: $3.04 Concessions Value: $0.00 CASH FLOW METRICS Total RSF Present Value (2/1/2017 @ 6%): $154,096 Total Cash Flow: $177,815 Average Cash Flow / Yr: $35,563 $36.59 Year 1 Cash Flow: $33,492 $34.46 HEAD COUNT (10) Per Head Square Feet: 97 RSF Present Value: $15,410 Total Cash Flow: $17,782 Average Cash Flow / Yr: $3,556 Year 1 Cash Flow: $3,349 5 YR CASHFLOW Year 1 Year 2 Year 3 Year 4 Year 5 Total Base Rent 26,827 26,827 26,827 26,827 26,827 134,136 Escalations - 805 1,634 2,488 3,367 8,293 Total Base Rent 26,827 27,632 28,461 29,315 30,194 142,429 Real Estate Taxes 6,665 6,865 7,071 7,283 7,502 35,386 Total Recoveries 6,665 6,865 7,071 7,283 7,502 35,386 Total Rent 33,492 34,497 35,532 36,598 37,696 177,815 Cash Flow 33,492 34,497 35,532 36,598 37,696 177,815 Cumulative Cash Flow 33,492 67,989 103,521 140,119 177,815 177,815 7
ADDITIONAL PHOTOS PERSONAL OFFICE 8
ADDITIONAL PHOTOS CONFERENCE ROOM 9
DEMOGRAPHICS 10
ADVISOR BIOS As an entrepreneur and private investor, I have dealt with leasing space and purchasing commercial property. Strategy drives success in business and the same stands for CRE investing. I am thrilled to have co-launched a firm that puts clients before commission and strategic consulting before "sign popping" sales. Also, having consulted with the world's largest CRE intelligence company, I have come to appreciate data and its integral place in strategic investing. ISAAC GUANAJUATO MANAGING DIRECTOR Having started my commercial real estate career as an investment sales consultant at Century 21 Commercial Beverly Hills, I recognized the need to step away from the "big box" blanket approach as serviced my clients. We needed a more focused way of approaching new opportunities. At Equinox CRE we open the big box and put creativity, direct market contact, and critical localized market analysis to the test. Client to client strategy is our goal and a goal I now reach every day. JOSH NAJERA LEASING & SALES DIRECTOR Having been a highly awarded agent with ReMax for over a decade, it was time to give the quality of my service its own name. With our team at Equinox CRE I can give my clients the closeness and one and one attention required. From lunch meetings to long phone conversations, I am here for my clients. With my team and this company we can consult not just sell. Owners & investors deserve our attention and we are blessed in having the opportunity to provide it. ZACK SAAB PRINCIPAL BROKER 11