FREDDY'S FROZEN CUSTARD - TACO BELL ACTUAL SUBJECT PROPERTY - FIRST STREET INC. COMMERCIAL REAL ESTATE SERVICES
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Representatice
Actual Subject Property
Offering Memorandum
Taco Bell
Freddy’s Frozen Custard
3264 S Nellis Blvd
Lakewood,
Las CO 89121
Vegas, NV
Ae r i al P hoto Taco Bell
McDonald’s
E. Vegas Valley Dr.
Eastgate silver wood
apartments apartments
bo (321 Units) (296 Units)
ul
de Oasis Meadows
r apartments
hi (384 Units)
gh
w
ay
-
36
,0
00 e. desert inn rd - 10,000 cPD
cp
d
12
7,0
00
CP
Royal links
golf club
D
s. Nel lis blv d - 35, 500 CPD
Chaparral
High School
(3,200 Students)
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. References to square footage or age are
2 approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
Ae r i al P hoto Taco Bell
Va lley
H i g h Sc hoo l
(3 , 0 0 0 Stud e nts) McDonald’s
Eastg ate
apartme n ts
(321 Un i ts)
w il l B e c k l e y
E l e m e n ta ry bo
school ul
de
r e. desert inn rd - 10,000 CPD
hi
gh
w
ay
-
s. Nel lis blv d - 35, 500 CPD
36
,0
00
CP
D
C h apa r r a l
H ig h S c h o o l
(3,200 Students)
127,00 0 CPD
Walgreens
Walgreens
Wi l l i am e
Fe r r o n
El e me n tary Sch o o l
c w w o o d b u ry
m id d l e s c h o o l
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. References to square footage or age are
approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 3
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
Ae r i al P hoto Taco Bell
s.
Ne
ll
is
bl
vd
-3
5,
50
0
CP
D
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. References to square footage or age are
4 approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
Ae r i al P hoto Taco Bell
R e s id e n tia l
Hall Smith
Ele me ntary
Sc h o ol
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. References to square footage or age are
approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 5
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
EX
E X EC UTI VE SUM M A RY
E CUTI Taco Bell
Taco Bell
3264 Nellis Blvd.
Las Vegas, NV 89121
FINANCIAL SUMMARY ANNUALIZED OPERATING DATA
Price $2,342,000 LEASE YEARS ANNUAL RENT CAP RATE
Down Payment 100% $2,342,000 12/9/2015 - 12/31/2020 $117,054.96 5.00%
Cap Rate 5.0% 1/1/2021 - 12/31/2025 $128,760.45 5.50%
Building SF +/- 2,547 SF 1/1/2026 - 12/31/2030 $141,636.49 6.00%
Net Cash Flow 5.0% $117,054.96 1/1/2031 - 12/31/2035 $155,800.13 6.65%
Year Built 2007
Lot Size .79 Acres OPTION YEARS ANNUAL RENT CAP RATE
Option 1 $171,380.14 7.31%
LEASE SUMMARY Option 2 $188,518.15 8.04%
Lease Type Absolute Triple-Net (NNN) Lease Option 3 $207,369.96 8.85%
Tenant SSB South Nellis, LLC Option 4 $228,106.95 9.73%
Lease Guarantor Silver State Bell Restaurant Holdings, LLC, a 62 Unit Operator
Roof & Structure Tenant Responsible BASE RENT $117,054.96
Lease Commencement Date December 9, 2015 $117,054.96
Net Operating Income
Lease Expiration Date December 31, 2035
Total Return 5.00% $117,054.96
Approximate Lease Term Remaining 19+ Years
Renewal Options 4, 5 Year Options
Increases 10% Every 5 Years
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. References to square footage or age are
6 approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
Ae raint
Ten al Ov
P hoto
e rvi ew Taco Bell
Taco Bell Overview Tenant/Guarantor Overview
Taco Bell Corp., a subsidiary of Yum! Brands, Inc., (NYSE: YUM), is the nation’s leading Mexican- SSB South Nellis, LLC, a Nevada limited liability company, is the tenant for the Taco Bell
inspired quick serve restaurant (QSR). Taco Bell serves made-to-order and customizable tacos, restaurant located at 3264 S. Nellis Blvd., in Las Vegas, which is the sole asset of the company.
burritos, and specialties such as the exclusive Doritos Locos Tacos, gourmet inspired Cantina The lease will be guaranteed by Silver State Bell Restaurant Holdings, LLC, a Nevada limited
Bell Menu and lower calorie Fresco Menu. The company encourages customers to “Live Más,” liability company (“SSBRH”), which is the parent company of an enterprise that owns 62 Taco
both through its food and in ways such as its Feed the Beat music program and nonprofit Bell restaurants in Nevada.
organization, the Taco Bell Foundation for Teens. Taco Bell and its more than 350 restaurant
franchise organizations have nearly 6,000 restaurants across the United States that proudly
serve more than 36 million customers every week.
Headquarters Irvine, CA
Founded 1962
Stock Symbol NYSE: YUM
Locations ~6,000
Employees ~175,000
Website www.tacobell.com
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. References to square footage or age are
approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 7
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
P
Aerr
operty Des cription
i al P hoto Taco Bell
Investment Highlights
• Absolute Triple Net (NNN) Lease with no Landlord Responsibilities
• 19+ Years Remaining
• Strong Franchisee - Guarantor is a 62-Unit Operator
• Visible to 45,000+ Cars per day From the Intersection of S. Nellis Blvd and
E. Desert Inn Rd.
• Located in the Densely Populated Las Vegas MSA - 462,700+ Residents
within a 5-Mile Radius
• Rental Increases Every Five Years
• Large .79 Acre Lot
• Walking Distance from Over 1,000 Apartment Homes
• Close Proximity to Chaparral High School (3,200 Students), Las Vegas High
School (3,000 Students) and Valley High School (3,000 Students)
Investment Overview
Taco Bell is located at the intersection of S. Nellis Blvd and E. Desert Inn Rd. The subject is an approximate 2,547-square-foot single tenant building on +/- .79 acres of land.
There are 19+ years remaining on the absolute triple-net (NNN) lease with no Landlord responsibilities. The lease guarantor is a 62 unit operator. Taco Bell Corp., a subsidiary of
Yum! Brands, Inc., (NYSE: YUM), is the nation’s leading Mexican-inspired quick serve restaurant (QSR).
Taco Bell is visible to 45,000+ cars per day from the intersection of S. Nellis Blvd and E. Desert Inn Rd. The property is ideally situated within the densely populated Las Vegas
MSA, with over 462,700 residents and 165,00 households within a five mile radius. Tenants in the area include AutoZone, Albertsons, CVS/pharmacy, Smart & Final, Family
Dollar, Big Lots, Regal Cinemas, Cinemark, Smith’s and more. Las Vegas High School, Chaparral High School and Valley High School, totaling more than 9,000 students, are
a short drive away from the property. The restaurant is one mile from access to Boulder Highway (35,000 cars per day) and one and a half miles from access to Interstate-515
(127,000 cars per day).
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. References to square footage or age are
8 approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
R
Aeegional
r i al P hoto
Ma p Taco Bell
MAP
Williams-Sonoma
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. References to square footage or age are
approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 9
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263
Lo
Aecrai al
l Map
P hoto Taco Bell
MAP
Williams-Sonoma
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. References to square footage or age are
10 approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263Ae r i al P hoto Taco Bell
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. References to square footage or age are
approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 11
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263Lo cation
M ark o v ervi
et Over ew
v iew Taco Bell
Las Vegas MSA
Metro
The Las Vegas metro is composed of Clark County and The Nevada Test and Training Range along with Nellis and Quality of Life
boasts a population of more than 2 million. Henderson, Creech Air Force Bases employ more than 10,000 military
With approximately 320 days of sunshine annually and an
North Las Vegas, Spring Valley and Las Vegas were among personnel and 4,000 civilians. Nellis AFB contains the most
average temperature of 80 degrees, residents and visitors
the fastest-growing cities in the United States over the last squadrons of any Air Force installation. Nellis’ primary role
alike have plenty to do besides enjoy the resorts and casinos
decade. Las Vegas is the most populated city in the metro, is warfare training, and the base is the home of the United
in Clark County.
with approximately 606,200 persons. States Air Force Warfare Center, Air Combat Command.
Water sports enthusiasts can take advantage of various
activities at Lake Mead and the Colorado River, including
The Las Vegas Metro is: Economy boating, fishing, water skiing and sailing. Red Rock Canyon
270 miles from Los Angeles Tourism and gaming remain the significant drivers for the Conservation Area, located less than 20 miles from the
Las Vegas economy. Economic diversification and growth Strip, offers outstanding hiking and mountain-climbing
285 miles from Phoenix
in the professional and business services sector, mainly in opportunities. Just 40 miles northwest of Las Vegas is the
450 miles from Reno housing-related professions, fueled considerable payroll Las Vegas Ranger District, which encompasses the 316,000-
570 miles from San Francisco expansion prior to the recession. Over the next five years, acre Toiyaba National Forest. The area has 52 miles of
this trend is expected to resume, as jobs in the professional hiking trails, 150 campsites and snow skiing at Lee Canyon.
and business services sector grow by 3 percent annually. The Smith Center for the performing arts in downtown Las
Employers All 10 of the nation’s largest hotels are located in Las Vegas. Vegas is a cultural complex that contains three theaters for the
Resorts and casinos continue to dominate the list of largest The Linq Promenade offers visitors open-air shops and arts, as well as an outdoor park that can be used for concerts.
private employers in the county, including Wynn Las Vegas, restaurants in a 200,000-square-foot area, highlighted by The Center is part of a larger downtown redevelopment
MGM Grand and Caesars Palace. the High Roller, a 550-foot observation wheel. Along with project that includes housing, shops, museums, restaurants
tourism and gaming, conventions also play an integral part and galleries.
Back-office operations have become increasingly prevalent
in the metro over the past few years. Factors such as a in the local economy. Since 2001, convention attendance
low cost of living allow major companies to affordably has exceeded 4.4 million delegates annually, providing
a significant boost to the local economy. The Las Vegas
Market Highlights
staff call centers and fill data-entry positions. Office-using
employment growth will outpace the national average this Convention Center is one of the largest in the world. Increasing population
year. Population-serving sectors of the economy, such as Population growth in Las Vegas will dramatically outpace
Distribution centers and light manufacturing facilities have education, healthcare and retail sales, have grown in that of the nation over
popped up throughout the metro. Ocean Spray and Levi importance over the past two decades due to the population Large tourism industry
Strauss, both Fortune 500 companies, operate regional nearly tripling in size. These sectors will continue to have
a major roll as population growth continues to exceed the Intel Corp., Motorola Inc., Honeywell and others have large
distribution centers in Las Vegas. OfficeMax, Zappos,
national annual average. Phoenix operations.
Sysco Foods, Pepsi Bottling, and Fellowes Manufacturing
also maintain local facilities. As the national recovery The economic growth in Las Vegas depends heavily on Strong employment growth
strengthens and the need for industrial space mounts, Las tourism, medical services, business information technology Job creation over the next five years will occur almost twice
Vegas’ proximity to other major metros, more affordable and green energy. The metro’s low tax structure and as fast as the national rate.
land costs, and an available labor pool will draw additional
affordable cost of living will continue to attract residents,
distributors.
tourists and businesses to the area.
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. References to square footage or age are
12 approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263D
Memograph i cv summa
ark et Over iew ry Taco Bell
Population 1-Miles 3-Miles 5-Miles 2014 Income 1-Miles 3-Miles 5-Miles
2020 Projection 32,981 212,028 484,812 $200,000 or More 0.96% 1.35% 1.52%
2015 Estimate 31,775 199,518 462,757 $150,000 - $199,999 1.03% 1.87% 1.82%
Growth 2015 - 2020 3.80% 6.27% 4.77% $100,000 - $149,999 4.99% 8.39% 7.46%
2000 Census 29,208 162,759 392,519 $75,000 - $99,999 7.94% 10.80% 9.42%
2010 Census 29,539 189,836 439,748 $50,000 - $74,999 18.82% 19.88% 18.06%
Growth 2000 - 2010 1.13% 16.64% 12.03% $35,000 - $49,999 19.74% 18.32% 17.29%
$25,000 - $34,999 15.67% 13.01% 13.82%
$15,000 - $24,999 15.66% 13.66% 14.76%
Households 1-Miles 3-Miles 5-Miles $10,000 - $14,999 7.25% 5.61% 6.72%
2020 Projections 13,796 74,850 173,591 Under $9,999 7.94% 7.11% 9.14%
2015 Estimate 13,185 70,276 165,067 2015 Est. Average Household Income $47,661 $55,952 $53,461
Growth 2015 - 2020 4.63% 6.51% 5.16% 2015 Est. Median Household Income $37,586 $43,353 $39,585
2000 Census 12,426 60,477 146,596 2015 Est. Per Capita Income $19,790 $19,745 $19,233
2010 Census 12,232 66,911 156,936
2015 Occupied Units 14,662 77,203 186,435
Owner Occupied 5,548 37,893 70,688
Renter Occupied 7,637 32,383 94,379
2015 Estimated Daytime Population 2,219 27,681 122,750
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. References to square footage or age are
approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 13
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2013 Marcus & Millichap ACT ID W0070263Confidentiality Agreement The information contained in the following offering memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and it should not be made available to any other person or entity without the written consent of Marcus & Millichap. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to Marcus & Millichap. This offering memorandum has been prepared to provide summary, unverified financial and physical information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with local, 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. The information contained in this offering memorandum has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes 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. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property. ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT THE MARCUS & MILLICHAP AGENT FOR MORE DETAILS.
Net Leased Disclaimer Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows: By accepting this Marketing Brochure, you agree to treat the information contained herein regarding the lease terms as confidential and proprietary and to only use such information to evaluate a potential purchase of this net leased property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided. As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all mate- rial information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Marcus & Millichap expressly denies any obligation to conduct a due diligence examination of this Property for Buyer. Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs. Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the property. By accepting this Marketing Brochure you agree to release Marcus & Millichap Real Estate Investment Services as well as the Property Owner and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.
exclusively listed
Exclusively listed by:
Scott Ruble Perry White OFFICES NATIONWIDE
Net Lease advisory group Broker of Record www.marcusmillichap.com
Tel: (602) 687-6845 License: B.0034578.CORP
Fax: (602) 687-6710
scott.ruble@marcusmillichap.com
License: NV S.0172059You can also read
