Taco EXCLUSIVE Bell (Ground LISTING Lease) Woodbridge, VA Taco Bell (Ground Lease) Woodbridge, VA Under Construction CALKAIN.COM 1
Financial Summary 3308 Old Bridge Rd Woodbridge, VA 22192 Asking Price $2,156,626 Cap Rate 4.15% Net Operating Income (NOI) $89,500 Rent/Month $7,458.33 Rentable Square Feet 2,029+/- SF Land Area 1.3+/- Acres Tenant Name Taco Bell Credit Rating S&P: BB Stock Symbol NYSE: YUM Guarantor Taco Bell of America, LLC Ownership Type Ground Lease Year Built Under Construction Landlord Responsibilities None Rent Schedule Term Increases Annual Rent Monthly Rent Cap Rate Years 1-5 - $89,500.00 $7,458.33 4.15% Years 6-10 10% $98,450.00 $8,204.17 4.56% Years 11-15 10% $108,295.00 $9,024.58 5.02% Years 16-20 10% $119,124.50 $9,927.04 5.52% Years 21-25 (Option 1) 10% $131,036.95 $10,919.75 6.08% Years 26-30 (Option 2) 10% $144,140.65 $12,011.72 6.68% Investment Highlights 20 year absolute NNN ground lease with corporate guaranty and structured rent increases Rent bumps 10% every 5 years including two (2), five (5) year option terms Full service Taco Bell with drive-thru Located near busy Dillingham Square Shopping Center, anchored by Food Lion. Other national retailers include Dollar Tree, Mattress Firm, 7-Eleven, AutoZone, Goddard School, Gold s Gym and more Washington, DC suburb; future job growth over the next ten years is predicted to be 37.46% Average HH income of $120,719 within 1 mile Population counts of 78,930 within 3 miles Store Opening Q1/Q2 2018 Lease Term Remaining 20 Years Rent Commencement February 22, 2018 Lease Expiration February 22, 2038 Increases Options 10% Every 5 Years Two (2), Five (5) Year 2
Tenant Overview About Taco Bell Taco Bell Corp., a subsidiary of Yum! Brands, Inc., (NYSE: YUM), is the nation s leading Mexican-inspired quick service restaurant. Taco Bell serves made-to-order and customizable tacos and burritos, among other choices, and is the first QSR restaurant to offer American Vegetarian Association - certified menu items. Taco Bell and its more than 350 franchise organizations proudly serve over 42 million customers each week through nearly 7,000 restaurants across the nation, as well as through its mobile, desktop and delivery ordering services. As the leading Mexican-inspired quick service restaurant brand, Taco Bell plans to have 8,000 restaurants by the year 2023 which they anticipate will add an estimated 100,000 jobs nationwide. Choices for All Lifestyles Taco Bell understands that consumers dietary and lifestyle needs are unique and highly personalized, and Taco Bell is committed to offering an evolving menu with more relevant options to meet changing lifestyles. At Taco Bell, it s about blending cultural relevance in a unique way. So whether customers are interested in going meatless, looking for menu items that are made without gluten, are high in protein or even if they just want their favorite indulgent item Taco Bell has food for all. About Taco Bell of America, LLC Taco Bell Of America LLC was incorporated in 1997 and is based in Louisville, Kentucky. Taco Bell Of America LLC operates as a subsidiary of Yum! Brands, Inc. 3
Location Overview Distance To: Alexandria, VA Arlington, VA Washington, DC Herndon, VA 22 miles 25 miles 27 miles 30 miles Herndon, VA Arlington, VA Washington, DC 66 495 Alexandria, VA Subject Site Lake Ridge, VA 95 Woodbridge, VA 4
Taco Bell (Ground Lease) Woodbridge, VA 3308 Old Bridge Rd Woodbridge, VA The Glen Dillingham Square Pk wy 24,11 9V PD Smoketown Plaza SC Pr inc ew illi am Potomac Mills 95 I-95 165, 000 VPD Mall with over 225 retailers Subject Site Tackett s Mill Crossing East Shopping Center 5
3308 Old Bridge Rd Woodbridge, VA Taco Bell (Ground Lease) Woodbridge, VA Dominion Middle Ridge Apartment Homes Proposed Relocation Dominion Lake Ridge Homes Smoketown Rd 11,000 VPD Old Bridge Rd 36,000 VPD Subject Site About Dillingham Square Dillingham Square is a 235,400 SF full-service community shopping center located at Old Bridge Road and Dillingham Square in Lake Ridge, Va. with convenient shopping, quality products, personal services and a variety of restaurants and unique stores. The center features Food Lion, Gold s Gym, School & Office Annex, Festival Cleaners, Pineapple Designs Paint Company, BB&T, Michael s Flowers, Pet Nutrition Center, Village Skis & Bikes, Cosmetic & Family Dental Spa, House of Chou, Ariang Hibachi Steak House, Dairy Queen, Message Heights, Salon Plaza Life Champ s Tae Kwon Do Collage and more. 6
Site Plan 7
Dillingham Square Site Plan Taco Bell (Ground Lease) Woodbridge, VA Subject Site 8
Surrounding Retail 9
Demographics Radius 1 Mile 3 Miles 5 Miles Population 2016 Population 17,896 78,930 203,799 2021 Population 18,710 84,325 218,422 2010-2016 Annual Rate 0.27% 0.97% 1.14% 2016-2021 Annual Rate 0.89% 1.33% 1.40% 2016 Male Population 47.7% 48.3% 49.1% 2016 Female Population 52.3% 51.7% 50.9% 2016 Median Age 35.4 35.9 35.1 Households 2016 Total Households 6,532 27,069 66,862 2021 Total Households 6,791 28,749 71,384 2010-2016 Annual Rate 0.21% 0.83% 1.05% 2016-2021 Annual Rate 0.78% 1.21% 1.32% 2016 Average Household Size 2.74 2.91 3.04 Median Household Income 2016 Median Household Income $101,148 $98,316 $97,936 2021 Median Household Income $107,957 $106,062 $105,174 2016-2021 Annual Rate 1.31% 1.53% 1.44% Average Household Income 2016 Average Household Income $120,719 $118,607 $121,903 2021 Average Household Income $131,824 $128,989 $131,020 2016-2021 Annual Rate 1.78% 1.69% 1.45% Per Capita Income 2016 Per Capita Income $44,643 $40,712 $40,019 2021 Per Capita Income $48,459 $44,012 $42,834 2016-2021 Annual Rate 1.65% 1.57% 1.37% 10
Market Overview Woodbridge, VA Woodbridge, Virginia is in Prince William County whose population has grown steadily due to the combined effects of migrant growth as well as natural growth. The County is the second largest and fourth fastest growing county in the state of Virginia by population. Population increased by 43% from 280,813 in 2000 to 402,002 in 2010. Moreover, continued growth is anticipated and the County s population is expected to approach 660,000 residents by 2040. Prince William County has created a pro-business climate by expanding its targeted industry sectors, using fast-track permitting for targeted industries, competitive real estate and personal property tax rates, aggressive tax depreciation schedules and unique local financing opportunities. These, combined with business incentives offered by the Commonwealth of Virginia, make Prince William County a strong competitor for new business in both national and international markets. Prince William County Rankings and Ratings #8 among Counties nationwide for job growth from 2000 2011 by CNN Money (2012) Among wealthiest zip codes in Washington DC metro area. Zip codes located in Dumfries, Haymarket and Manassas have been listed among the Greater Washington Area s Top 50 Wealthiest Zip Codes. 11
About Calkain Who Are We? Calkain Companies LLC is a national commercial real estate firm that provides consulting and brokerage services to both private and institutional clientele with an expertise on triple net lease investments. We pride ourselves on being a world class leader by providing our clients a full array of commercial real estate investment brokerage and asset management solutions, including advisory, research, estate planning and wealth management. We have built solid relationships throughout our decades of experience and innovation, implementing long-term allocation within the context of each client s particular risk tolerance and identifying how best to acquire and dispose of income producing properties for each entities specific set of investment criterion. At Calkain, our foresight and past performance are leading the net lease investment industry. Our History Like most success stories, Calkain was formulated from humble beginnings. Jonathan W. Hipp, President and CEO, took the initiative to build upon his decades of experience and performance and left a large international brokerage firm to become an independent and innovative leader within the triple net lease investment community. Armed with a sole employee and a single office, the firm has grown exponentially since its infancy in 2005. $11.5 Billion in Closed Transactions With the growth in staff, seasoned professionals have been attracted to Calkain s model of innovation, entrepreneurship and the fostering of long-lasting and meaningful relationships. Industry experts have joined Calkain in the hopes of implementing the skills they have honed in complementary aspects of real estate investment. Through a tremendous endeavor, tireless hours have been committed to continually prove that Calkain is America s Net Lease Company. Its countless accolades received from the world s leading business publications, including Forbes, Fortune and the New York Times have confirmed that Calkain is a true leader in triple net lease investing services. Client Testimonial USRA has worked with Calkain on numerous occasions. They have always been meticulous in their work ethic, providing superior service and extremely prompt attention to our needs. I highly recommend them. - Jack Genende, Partner U.S. Realty Advisors, LLC. (USRA) $350 Million in Active Listings CALKAIN.COM 12
Contact Us Corporate Headquarters Washington, DC 12930 Worldgate Drive Suite 150 Herndon, VA 20170 T: (703) 787-4714 F: (703) 787-4783 Fort Lauderdale 200 SW 1st Avenue Suite 880 Fort Lauderdale, FL 33301 T: (813) 282-6000 Atlanta 111 Village Parkway, Building 2 Suite 202 Marietta, GA 30067 T: (404) 900-5629 Boston 101 Federal Street Suite 1900 Boston, MA 02110 T: (617) 261-8584 CALKAIN.COM DISCLAIMER: The information contained in this document is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Calkain and its subsidiaries, and should not be made available to any other person or entity without the written consent of Calkain. This document has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property(s). The information contained herein is not a substitute for a thorough due diligence investigation. Calkain and its subsidiaries have not made any investigation, and make no warranty or representation, with respect to the income or expenses for the subject property(s), the future projected financial performance of the property, the size and square footage of the property(s) and improvements, the presence or absence of contaminating substances, PCB s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant s plans or intentions to continue its occupancy of the subject property(s). The information contained in this document has been obtained from sources we believe to be reliable; however neither Calkain and its subsidiaries nor the Seller have verified, and will not verify, any of the information contained herein, nor has Calkain and its subsidiaries or the Seller conducted any investigation regarding these matters and make no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.