OFFERING MEMORANDUM PRECISION TUNE 4630 J.F.K BLVD NORTH LITTLE ROCK, AR 72116
CONTENTS 03 04 06 10 EXECUTIVE SUMMARY FINANCIAL OVERVIEW TENANT OVERVIEW AREA OVERVIEW LISTED BY Avery Barry Associate AVERY.BARRY@MATTHEWS.COM DIR 949.873.0295 MOB 949.769.1821 LIC # 02036379 (CA) Cortland Lioi Associate CORTLAND.LIOI@MATTHEWS.COM DIR 949.945.6007 MOB 949.981.9070 LIC # 02042182 (CA) Wesley Connolly Senior Associate WESLEY.CONNOLLY@MATTHEWS.COM DIR 949.432.4512 MOB 707.477.7185 LIC # 01962332 (CA) BROKER OF RECORD Jessica Dearnley BROKER OF RECORD LIC # PB00069947 (AR)
3 EXECUTIVE OVERVIEW INVESTMENT HIGHLIGHTS LONG TERM LEASE WITH RENT INCREASES Precision Tune just recently signed a brand new 10-Year Lease with 2, 5-year options PROPERTY DETAILS: Absolute NNN Lease Tenant takes care of all landlord responsibilities including tax, insurance, maintenance, roof and structure Growing Cash Flow There are 1.50% rental increases annually Excellent hedge against inflation! Lease guaranteed by Icahn Automotive Group who has 1,900 auto service concepts under its umbrella LOCATION: Strategically located along major retail strip littered with National tenants with over 29,000 VPD Located directly across from a large shopping center Situated in the heart of the largest city in Arkansas TENANT: Precision Tune was recently acquired by Carl Icahn There are currently 330 independently owned and operated Precision Tune locations With the recent acquisition, Precision Tune has gained favor among the investment community
4 FINANCIAL OVERVIEW EXECUTIVE SUMMARY FINANCIAL HIGHLIGHTS Property Name Precision Tune Auto Care Property Street 4630 J.F.K Blvd City, State, Zip North Little Rock, AR 72116 GLA ±3,240 SF Lot Size 0.44 AC (±19,166 SF) LIST PRICE $938,466 CAP RATE 6.00% TERM REMAINING ±10 YEARS Year Built 1998
5 TENANT SUMMARY ANNUALIZED OPERATING DATA Monthly Rent Annual Rent Cap Rate 2/1/2018 1/31/2019 $4,692 $56,308 6.00% 2/1/2019 1/31/2020 $4,762 $57,152 6.09% 2/1/2020 1/31/2021 $4,834 $58,009 6.18% 2/1/2021 1/31/2022 $4,906 $58,880 6.27% 2/1/2022 1/31/2023 $4,980 $59,763 6.36% *Above financials cover the first 5 years Tenant Trade Name Precision Tune Auto Care Type of Ownership Fee Simple Lease Guarantor Corporate Lease Type NNN Roof & Structure Tenant Responsible Original Lease Term 10 years Rent Commencement Date 2/1/2018 Lease Expiration Date 1/31/2028 Term Remaining ±10 years Increases 1.5% Annually Options Two, 5-Year Options
6 Tenant overview
PRECISION TUNE AUTO CARE Precision Tune was established in 1975 in by Bill Childs in Beaumont, Texas. The trusted brand has developed its brand over 40 years providing a one-stop shop for maintenance service and repairs for vehicles. Precision Tune Auto Care has serviced 2.5 million vehicles each year, focusing on personal safety and environmental health the company is established with 330 facilities in 8 countries. COMPANY TRADE NAME PRECISION AUTO CARE, INC (PACI) HEADQUARTERED LEESBURG, VA GEOGRAPHIC REACH 8 COUNTRIES WEBSITE WWW.PRECISIONTUNE.COM # OF LOCATIONS ±330 YEAR FOUNDED 1975 7
PARCEL MAP the offering Property Name Property Address Precision Tune 4630 J.F.K Blvd North Little Rock, AR Oceanside Blvd ± 31,792 College Blvd ± 40,116 Site Description Number of Stories One Year Built 1998 GLA ±3,240 SF Lot Size ± 0.44 Acres (±19,166 SF) Type of Ownership Fee Simple 8
surrounding tenants 9
10 10 AREA OVERVIEW DEMOGRAPHICS NORTH LITTLE ROCK North Little Rock is a city in Pulaski County just across the Arkansas River from Little Rock. The city s downtown is in the Argenta Historic District which attracts visitors from all over. Argenta is filled with local businesses and restaurants. The River Rail Streetcar runs through downtown, providing an entertaining way to experience the area while seeing historic sites. It is home to a minor league baseball team, the Arkansas Travelers and the Verizon Arena, the main entertainment venue for the metropolitan area. POPULATION 1 Mile 3 Mile 5 Mile 2023 Projection 9,676 56,253 101,351 2018 Estimate 9,739 56,346 100,292 HOUSEHOLDS 1 Mile 3 Mile 5 Mile 2023 Projection 4,375 23,971 44,526 2018 Estimate 4,391 23,986 43,902 INCOME 1 Mile 3 Mile 5 Mile 2017 Est. Average Household Income $81,199.24 $66,701.02 $69,240.63
Little Rock, AR Little Rock, Arkansas sits on the banks of the Arkansas River in Pulaski County. With a population of nearly 200,000 people, it s the largest city in Arkansas. Little Rock is a major cultural, economic, government and transportation center within Arkansas and the South. The list of focal points around the city includes the Clinton Presidential Center & Park, neighboring world headquarters of Heifer International with its Heifer Village, and the Central Arkansas Nature Center. The city includes cultural institutions such as the Arkansas Arts Center, the Arkansas Repertory Theatre, and the Arkansas Symphony Orchestra, in addition to the hiking, boating, and other outdoor recreational opportunities The Arkansas Repertory Theatre is the state s largest nonprofit professional theatre company. A member of the League of Resident Theatres (LORTD), The Rep has produced more than 300 productions, including 40 world premieres, in its historic building located in downtown Little Rock. History & Business Little Rock s history is also available to residents and visitors in a variety of ways; history museums, historic districts or neighborhoods like the Quapaw Quarter, and historic sites like Little Rock Central High School. The Historic Arkansas Museum is a regional history museum focusing primarily on the frontier time period. The MacArthur Museum of Arkansas Military History opened in 2001, the last remaining structure of the original Little Rock Arsenal and one of the oldest buildings in central Arkansas, it was also the birthplace of General Douglas MacArthur who would go on to be the supreme commander of US forces in the South Pacific during World War II. The city is the headquarters of Dillard s, Windstream Communications, Acxiom, Stephens Inc., University of Arkansas for Medical Sciences, Heifer International, the Clinton Foundation, and the Rose Law Firm. University of Arkansas for Medical Sciences and its healthcare partners Arkansas Children s Hospital and the Central Arkansas Veterans Healthcare System have a total economic impact in Arkansas of about $5 billion per year. Other large corporations, including Dassault Falcon Jet and LM Wind Power have large operations in the city. State government is also a large employer, with most offices being located in downtown Little Rock. 11
CONFIDENTIALITY & DISCLAIMER STATEMENT This Offering Memorandum contains select information pertaining to the business and affairs of Precision Auto Care located at 4630 J.F.K. Blvd, North Little Rock, AR 72116 ( Property ). It has been prepared by Matthews Real Estate Investment Services. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence. By acknowledging your receipt of this Offering Memorandum for the Property, you agree: 1. The Offering Memorandum and its contents are confidential; 2. You will hold it and treat it in the strictest of confidence; and 3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller. Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered. If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum. A prospective purchaser s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property. This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.
LISTED BY Avery Barry Associate AVERY.BARRY@MATTHEWS.COM DIR 949.873.0295 MOB 949.769.1821 LIC # 02036379 (CA) Cortland Lioi Associate CORTLAND.LIOI@MATTHEWS.COM DIR 949.945.6007 MOB 949.981.9070 LIC # 02042182 (CA) Wesley Connolly Senior Associate WESLEY.CONNOLLY@MATTHEWS.COM DIR 949.432.4512 MOB 707.477.7185 LIC # 01962332 (CA) BROKER OF RECORD OFFERING MEMORANDUM Jessica Dearnley BROKER OF RECORD LIC # PB00069947 (AR) PRECISION TUNE 4630 J.F.K BLVD NORTH LITTLE ROCK, AR 72116