OFFERNG MEMORANDUM 258 W Morton Ave Jacksonville, IL 62650 Representative Photo
Exclusively Listed By Chuck Evans Senior Associate chuck.evans@matthews.com DIR (310) 919-5841 MOB (925) 323-2263 LIC # 01963473 (CA) Broker of Record Pat Weibel LIC # 471018266 (IL) Representative Photo
Investment Highlights Fixed rental increases every 4 years New lease term commencing at close of escrow Zero landlord responsibilities tenant pays all expenses directly A short 1 mile away from Illinois College Close proximity to national retailers such as McDonald s, The Home Depot, Goodwill, Walmart Supercenter and Dunham s Sports to name a few 3
Financial Overview Representative Photo FINANCIAL SUMMARY TENANT SUMMARY List Price $391,000 ANNUALIZED OPERATING DATA Cap Rate 6.75% Term Remaining ±8 Years Monthly Rent Annual Rent Rent/SF Cap Rate Years 1-4 $2,200.00 $26,400.00 $17.60 6.75% Years 4-8 $2,310.00 $27,720.00 $18.48 7.09% Option 1 $2,425.50 $29,106.00 $19.40 7.44% Option 2 $2,546.78 $30,561.30 $20.37 7.82% Option 3 $2,674.11 $32,089.37 $21.39 8.21% Option 4 $2,807.82 $33,693.83 $22.46 8.62% Tenant Trade Name Type of Ownership Lease Guarantor Lease Type Roof and Structure Original Lease Term Lease Commencement Date Lease Expiration Date Term Remaining on Lease Increases Options Little Caesars Fee Simple Franchisee NNN Tenant Responsibility 8 Years COE 8 Years from COE ±8 Years 5% Every 4 Years Four, 4-Year Options 4
Tenant Overview Company Trade Name Little Caesars Enterprises Inc. Headquartered Detroit, Michigan No. of Locations ±5,463 No. of Employees ±90,000 Year Founded 1959 TENANT OVERVIEW Little Caesars Enterprises, Inc. is the third-largest pizza chain in the United States with annual sales of $1.78 billion. The company was founded in 1959 and is based in Detroit, Michigan. Known for its quick, convenient, and friendly service, and Little Caesars remains a value leader in the industry. GEOGRAPHIC OUTREACH Little Caesars sold its first franchise in 1962 and, by 1987, had restaurants in all 50 states. Between 2008 2015, Little Caesars was the fastest-growing pizza chain in the United States. By 1987, the company was operating across the Northern United States, purchasing the Mother s Pizza chain out of receivership in Canada, the United States, and the United Kingdom in 1989. As of 2018, the company is present in Canada (some Canadian cities had locations since 1969), Puerto Rico, US Virgin Islands, Guam, Honduras, Costa Rica, the Dominican Republic, Mexico, Panama, Peru, Turkey, Jordan, Egypt, Guatemala, Kuwait, Saudi Arabia, El Salvador, Jamaica, Bahrain, Australia, Trinidad and Tobago and Chile. STRATEGY Little Caesars Pizza is recognized among the value leaders in the foodservice industry. The company is famous for its advertising catchphrase, Pizza! Pizza! which was introduced in 1979. The phrase refers to two pizzas being offered for the comparable price of a single pizza from competitors. Both the Little Caesars character and the tagline have extremely strong positive brand perceptions. As the fastest-growing pizza chain in the US, new market expansion and continued development within existing markets will continue to be drivers of Little Caesars global strategy. Little Caesars International franchisees are multi-unit developers, with most franchisees developing the full market or territories in which they operate. Only multi-unit franchise development opportunities are available in International markets at this time. COMMUNITY OUTREACH The Little Caesars Love Kitchen is a kitchen on wheels that serves pizza to those in need. Since its creation in 1985, it has traveled to 48 states and 4 Canadian provinces and responded to several disasters, including the September 11 terrorist attacks. Former Presidents Bill Clinton and George H.W. Bush recognized the Love Kitchen by awarding Little Caesars with The President s Volunteer Action Award Citation. 5
Surrounding Tenants W Morton Ave ±21,000 ADT 6
Area Overview Jacksonville, Illinois Sitting just outside of Springfield, the capital of Illinois, Jacksonville is a vibrant city with a strong community. It is the seat of Morgan County the principal city in the Jacksonville Metropolitan Statistical Area, and is home to nearly 20,000 people. With employment below the state average, Jacksonville has a healthy economy. Most residents are employed in production and sales occupations, and future job growth in the city is projected to be 35.26% over the next 10 years. Jacksonville is home to the Eli Bridge Company, a manufacturer of ferris wheels and other amusement rides. Reynolds Group Holdings and Nestle Beverage Co. also have facilities in Jacksonville. Demographics POPULATION 1 - MILE 3 - MILE 5 - MILE 2018 Estimate 8,961 21,636 23,727 HOUSEHOLDS 1 - MILE 3 - MILE 5 - MILE 2018 Estimate 3,652 9,012 9,486 INCOME 1 - MILE 3 - MILE 5 - MILE 2018 Est. Average Household Income $55,254 $59,620 $60,450 7
Springfield, Illinois Springfield is the Capital of Illinois and the county seat of Sangamon County. The hometown of Abraham Lincoln has so much to offer. From live music to drive-in movies, shopping, and outdoor adventure there is something to do for everyone. Downtown Springfield s notable structure is the State Capitol dome that is decorated with stained glass and statues of historical figures. Springfield is about an hour and a half north of St. Louis, MO and about 3 hours south of Chicago, IL. 8
Springfield Economy Springfield s economy is largely influenced by the healthcare, government, educational institutions, agriculture and dairy farming; trade, transportation, and manufacturing industries. The cost of living in Springfield is 14.6% below the national average. The area is rich in natural resources including stone, lime, zinc, barium, coal, marble sand, gravel, and lead. Springfield is an agribusiness center, home to the Springfield regional stockyards, one of the largest stockyards and feeder cattle facilities in the country. Springfield is also a regional hub for retailing and financial services and is a common tourist destination. The healthcare industry employs more than 15 percent of the total workforce and has an economic impact of more than $3 billion. Top Employers 9
CONFIDENTIALITY & DISCLAIMER STATEMENT This Offering Memorandum contains select information pertaining to the business and affairs of Little Caesars located at 258 W Morton Ave. Jacksonville, IL 62650( Property ). It has been prepared by Matthews Retail Advisors. 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 Retail Advisors. 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 Retail Advisors 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 Retail Advisors 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.
OFFERNG MEMORANDUM 258 W Morton Ave Jacksonville, IL 62650 Exclusively Listed By Chuck Evans Senior Associate chuck.evans@matthews.com DIR (310) 919-5841 MOB (925) 323-2263 LIC # 01963473 (CA) Broker of Record Pat Weibel LIC # 471018266 (IL) Representative Photo