DISCOUNT TIRE GROUND LEASE - 20-YEAR ABSOLUTE NNN GROUND LEASE | REGIONAL MALL OUTLOT - LoopNet
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DISCOUNT TIRE GROUND LEASE 20-YEAR ABSOLUTE NNN GROUND LEASE | REGIONAL MALL OUTLOT POCATELLO, ID
Retail Aerial
ALAMEDA
MIDDLE
SCHOOL
W QUINN R
OAD
91
POLE LI
NE ROA
D
26,579
VPD
PINE RIDGE
MALL
91
N UE
AVE
N E
STO
W
LLO
YE
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed 2
or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
Overview
DISCOUNT TIRE
4205 YELLOWSTONE AVE, POCATELLO, ID 83202
$1,430,000 5.25%
PRICE CAP
LAND AREA BLDG SF LEASE TYPE
0.70 Acres 7,400 SF NNN Ground
YEAR BUILT LEASE TERM PARKING
2015 20 Years 28 Spaces
(17 years remaining)
20-year absolute NNN ground lease (17 years left)
No Landlord maintenance or expense responsibilities – ideal
out-of-state investment
7% rental increases every 5 years and six 5-year options
Prominent outlot to Pine Ridge regional mall
Signalized full-access points positioned north and south
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 3
of the information. Buyer must verify the information and bears all risk for any
inaccuracies.
Investment Highlights
Contact the
CAPITAL PACIFIC is pleased to present the opportunity to acquire Discount Tire in Pocatello,
team
ID, a long-term absolute NNN ground lease to an internet-resistant tenant. The property
features a 20-year lease term with six 5-year lease options and scheduled rent increases
JOHN ANDREINI
every five years during the base term and options. The property is prominently positioned
jandreini@capitalpacific.com
on an outlot to Pine Ridge mall, a regionally-drawing shopping mall located within the area’s
PH: 415.274.2715
prime retail corridor.
CA DRE# 01440360
ID LIC.# 42816
DISCOUNT TIRE is one of the largest private companies in the U.S., with an estimated $4.4
billion in revenue (2017). The automotive sector is viewed very favorably by the investment
market due to its internet-resistant nature and strong credit and demand.
THE PROPERTY is located along Yellowstone Avenue, with excellent frontage and visibility
from the street. The recent construction building benefits from being positioned between
two main intersections that provide access to and from Pine Ridge Mall. Additionally, the
property is directly across the street from Walmart Supercenter and is surrounded by
complementary retailers including Lowe’s, Ulta Beauty, TJ Maxx, and Dick’s Sporting Goods.
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
DISCOUNT TIRE HAS OVER 1,000 LOCATIONS inaccuracies.
IN 35 U.S. STATES 4
Zoomed-In Aerial 91
IDAHO
YELLOWSTONE AVENUE
FALLS
NH
ILIN
(49 MILES)
E
ROA
26,579
D
VPD
86
86
H&R BLOCK
GEM PREP
CHARTER
ALLSTATE SCHOOL
CALL CENTER 450 students,
BULLOCK STREET
400 seat call multi-million dollar
center, opened renovation; opens
+/-2014 8/15/2019
DESERET BOOK
The only Latter Day
Saints bookstore
FLANDRO DRIVE
serving the Latter Day
Saints population in POLE LINE
Pocatello/Chubbuck
ROAD
91
W QUINN ROAD 91
W QUINN ROAD
CITIZENS
YELLOWSTONE AVENUE
COMMUNITY
BANK
HEADQUARTERS
New headquarters
12,000 SF building
opened 4/2019 22,500
FBI DATA VPD
CENTER
$100 million
POLE LINE ROAD
Expansion;
500 new jobs ELEMENTARY
SCHOOL
16,500
VPD
91
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.
5
91
Zoomed-Out Aerial 15
BANNOCK
COUNTY
YELLOWSTONE
EVENT ELEMENTARY
CENTER
AVENUE
SCHOOL
ACADEMY
SCHOOL
86 HIGH
SCHOOL GOLF
COURSE
26,579 SCHOOL
VPD W QUINN
ROAD
30 ELEMENTARY
SCHOOL
YELLOWSTONE AVENUE
ELEMENTARY
GOLF SCHOOL
COURSE
MIDDLE
SCHOOL
HIGH
SCHOOL MIDDLE
SCHOOL
ELEMENTARY
SCHOOL
IDAHO ELEMENTARY
31,744
FALLS
SCHOOL
VPD
91 15
(49 MILES)
ELEMENTARY
SCHOOL
ELEMENTARY IDAHO
SCHOOL 30 STATE
ET SCHOOL UNIVERSITY
PORTNEUF
RE
POCATELLO DEMOGRAPHICS ST CITY OF ELEMENTARY
SCHOOL
MEDICAL
CENTER
LD
POCATELLO
U
TOTAL 1-MILE 3-MILES 5-MILES GO
E
ELEMENTARY
SCHOOL MIDDLE
SCHOOL
Population 7,688 50,169 70,096 BANNOCK
STATE
HIGH COUNTY
OF IDAHO
SCHOOL
Average ELEMENTARY
N 4TH
SCHOOL
STEPHENS
Household $54,522 $59,921 $60,377
5T
N
PERFORMING
Income H AV
MIDDLE ARTS CENTER STATE
AV EN
SCHOOL OF IDAHO
EN UE
UE
15
15
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.
6
Surrounding Retail
7
Income & Expense
PRICE $1,430,000
Capitalization Rate: 5.25%
Lot Size (SF): 30,492
STABILIZED INCOME PSF
Scheduled Rent $2.27 $75,000
Effective Gross Income $2.27 $75,000
LESS PSF
Taxes NNN $0.00
Insurance NNN $0.00
Total Operating Expenses NNN $0.00
NET OPERATING INCOME $75,000
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.
8
Rent Roll
TENANT INFO LEASE TERMS RENT SUMMARY
CURRENT MONTHLY YEARLY MONTHLY YEARLY
TENANT NAME SQ. FT.
RENT RENT RENT RENT/FT RENT/FT
Discount Tire Co. 30,492 10/28/2015 3/31/2036 $75,000 $6,250 $75,000 $0.20 $2.46
Ground Lease Increase 4/1/2021 3/31/2026 $6,688 $80,250 $0.22 $2.63
Increase 4/1/2026 3/31/2031 $7,156 $85,868 $0.23 $2.82
7% increases every
5 years
Increase 4/1/2031 3/31/2036 $7,657 $91,878 $0.25 $3.01
Option 1 4/1/2036 3/31/2041 $8,192 $98,310 $0.27 $3.22
Option 2 4/1/2041 3/31/2046 $8,766 $105,191 $0.29 $3.45
Option 3 4/1/2046 3/31/2051 $9,380 $112,555 $0.31 $3.69
Option 4 4/1/2051 3/31/2056 $10,036 $120,434 $0.33 $3.95
Option 5 4/1/2056 3/31/2061 $10,739 $128,864 $0.35 $4.23
Option 6 4/1/2061 3/31/2066 $11,490 $137,884 $0.38 $4.52
TOTALS: 30,492 $75,000 $6,250 $75,000 $0.20 $2.46
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.
9
Lease Abstract
EXPENSES TAXES
Tenant is responsible for direct payment of all property
taxes to the taxing authority.
TENANT Discount Tire UTILITIES
LEASABLE AREA 0.70 Acres (30,492 SF)
Tenant is responsible for direct payment to the
LEASE TYPE NNN Ground Lease
appropriate billing authority of all utilities and services
LEASE TERM 20-Years
furnished or used at the Property.
OPTIONS Six 5-year Options
TENANT’S INSURANCE
Tenant shall maintain the following policies throughout
RENT the term: (a) Hazard Insurance and (b) Liability Insurance
– not less than One Million Dollars ($1,000,000) per
occurance and Two Million Dollars ($2,000,000)
BASE RENT
in aggregate, with an umbrella liability policy in the
DATE RANGE MONTHLY RENT ANNUAL RENT amount of Five Million ($5,000,000) per occurrence
10/28/2015 - 3/31/2036 $6,250 $75,000 and Ten Million ($10,000,000) in aggregate. Self
4/1/2021 - 3/31/2026 $6,688 $80,250 Insurance – the liability insurance and all obligations
4/1/2026 - 3/31/2031 $7,156 $85,868 of Tenant to maintain liability insurance will be deemed
4/1/2031 - 3/31/2036 $7,657 $91,878 satisfied by Tenant’s program of self-insurance, so
long as such Tenant’s net worth remains no less than
OPTION RENTS One Hundred Million Dollars ($100,000,000).
DATE RANGE MONTHLY RENT ANNUAL RENT
#1. 4/1/2036 - 3/31/2041 $8,192 $98,310 LANDLORD’S INSURANCE
#2. 4/1/2041 - 3/31/2046 $8,766 $105,191 None.
#3. 4/1/2046 - 3/31/2051 $9,380 $112,555
#4. 4/1/2051 - 3/31/2056 $10,036 $120,434
#5. 4/1/2056 - 3/31/2061 $10,739 $128,864 TENANT’S OBLIGATIONS
#6. 4/1/2061 - 3/31/2066 $11,490 $137,884
Tenant is responsible for all property maintenance,
repair and replacement.
The details contained within the Lease Abstract are provided as a courtesy to the recipient for
purposes of evaluating the Property’s suitability. While every effort is made to accurately reflect LANDLORD’S OBLIGATIONS
the terms of the lease document(s), many of the items represented herein have been paraphrased,
may have changed since the time of publication, or are potentially in error. Capital Pacific and its
employees explicitly disclaim any responsibility for inaccuracies and it is the duty of the recipient None.
to exercise an independent due diligence investigation in verifying all such information, including, 10
but not limited to, the actual lease document(s).Site Plan 91 YELLOWSTONE AVENUE
7,400 0.70 28
PYLON
SIGN
BLDG SF ACRES SPACES
86 91 86
31,744
VPD
YELLOWSTONE AVENUE
26,579
VPD
PINE RIDGE
MALL POLE LINE ROAD
POLE LINE ROAD
91 PARKING FOR
W QUINN ROAD PINE RIDGE MALL
This site plan is a rendering that has been created based on sources we believe to be reliable. 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.
11Tenant Overview
Discount Tire, founded in 1960 in Ann Arbor, Michigan,
is the world’s largest tire and wheel retailer. It is an
automotive retail store that provides wheel and tire
repair and maintenance services. The company employs
over 18,655 people across it’s 1,000+ locations and is
headquartered in Scottsdale, Arizona.
Discount Tire is heavily involved in motorsports, serving
as a primary sponsor of the No. 2 Ford Fusion driven by
Brad Keselowski in the Monster Energy NASCAR Cup
Series. Discount Tire also sponsors the NASCAR Xfinity
Series and Monster Energy AMA Supercross. Discount
Tire is #95 on Forbe’s America’s Largest Private
Companies 2018.
1,000+ LOCATIONS
IN 35 STATES
$4.4 Billion
2018 REVENUE
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.
This
Buyerinformation
must verifyhas
warranties,
thebeen secured and
information frombears
sources we for
all risk believe
any to be reliable but we make no representations or
inaccuracies.expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears 12
all risk for any inaccuracies.Demographics
RIGBY
POPULATION
1-MILE 3-MILES 5-MILES IDAHO FALLS
ATOMIC CITY (49 MILES)
2010 7,156 47,899 66,972
SHELLEY
2018 7,668 50,169 70,096
2023 8,033 51,534 71,864
BLACK FOOT
2018 HH INCOME
1-MILE 3-MILES 5-MILES ABERDEEN
Average $54,522 $59,921 $60,377
POCATELLO
AMERICAN FALLS
TOP EMPLOYERS
EMPLOYER MCCAMMON
ROCKLAND
Idaho State University
School District 25
Portneuf Medical Center
Northwest BEC Corporation
THE AVERAGE HOUSEHOLD
ON Semiconductor
INCOME WITHIN A 5-MILE RADIUS
IS OVER $60K
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 13
bears all risk for any inaccuracies.Location Overview
POCATELLO,
IDAHO
IDAHO STATE UNIVERSITY
POCATELLO, located in southeast Idaho at the ABOUT THE THE U.S FEDERAL BUREAU OF
foothills of the Rocky Mountains, is the 5th largest city ECONOMY INVESTIGATIONS recently built a new data
in the state. A small portion of the city is on the Fort center in Pocatello, with plans to open in early
Hall Indian Reservation, in the southeastern part of 2019 . The data center is part of an initiative
the state. Pocatello is an important agricultural center to consolidate operations into three enterprise data centers. The
supported by irrigation from the nearby Snake River. new center plans to bring at least 500 jobs to the area. Other major
Key crops in the region include potatoes, wheat, corn, employers include ON Semiconductor, a supplier of semiconductors
and hay, among others. that employs about 700 people, and Pocatello School District with
about 1,700 employees.
Pocatello is the home of Idaho State University, a
public research university offering more than 250 86,979 This information has been secured from sources
we believe to be reliable but we make no
programs to its 12,800+ student population. The main representations or warranties, expressed or
implied, as to the accuracy of the information.
campus is located in Pocatello, with satellite campuses POCATELLO MSA
in Meridian, Idaho Falls and Twin Falls. POPULATION 14
(ESTIMATED)We’d love to hear
from you.
JOHN ANDREINI
jandreini@capitalpacific.com
PH: 415.274.2715
CA DRE# 01440360
ID LIC.# 42816
CAPITAL PACIFIC COLLABORATES.
CLICK HERE TO MEET OUR
SAN FRANCISCO TEAM:
ZEB RIPPLE CHRIS KOSTANECKI CHRIS PETERS
JOHN ANDREINI JOE CACCAMO DAVE LUCAS
ZANDY SMITH RICK SANNER JACK NAVARRA
Copyright © 2019 Capital Pacific Partners JUSTIN SHARP JUSTIN STARK SAMANTHA TULLIO
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 CAPITALPACIFIC.COM
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