PetSuites | Houston, TX - Offering Memorandum Brand New Store 19 Years Remaining on a - The Schueler Group
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PetSuites | Houston, TX
6525 Louetta Road | Spring, TX 77379
Offering
Memorandum
Brand New
Store
19 Years
Remaining on a
NNN Lease
Highly desired
and developing
Representative Photo
area
To learn more about our services visit: www.schuelergroup.com
Confidentiality Agreement All information furnished is from sources deemed reliable but is subject to errors, omissions and changes prior to sale and withdrawal without notice. Schueler Group and all of its subsidiaries makes 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 performance of the property. As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Schueler Group expressly denies any obligation to conduct a due diligence examination of this Property for Buyer. 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. 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 Schueler Group 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. CONFIDENTIALITY AND DISCLAIMER The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Schueler Group and should not be made available to any other person or entity without the written consent. This Marketing Brochure has been prepared to provide a summary, unverified 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. Schueler Group 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, 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. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Schueler Group has not verified, and will not verify, any of the information contained herein, nor has Schueler Group 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. Offering Presented By: Jackie Slaght Michael Schueler Office: 513-932-6010 Office: 513-932-6010 jslaght@hsabh.com mschueler@hsabh.com
Investment
Opportunity
Retail Size:
10,900 SF
Land:
1.875 Acres
Construction
completed August
2020
Representative Photo
Price: $5,520,000 Cap Rate: 5.75%
LEASE HIGHLIGHTS TENANT INFORMATION
Rent Commenced: When the store opened, • PetSuites of America, LLC operates a total of 40 pet resorts across 14 states. Of
in August 2020 the 40 pet resorts, 18 were developed as the PetSuites Pet Resort & Spa brand and
are located across the states of Ohio Kentucky, Indiana, Georgia, and North Carolina.
First Lease Term: 20 Years The other 22 pet resorts were acquisitions of other pet resorts.
Renewal Lease Term: Five- Five-year Options • PetSuites Pet Resort & Spa is a pet hotel and resort facility that provides canine and
feline services including daycare, overnight, and extended stay boarding. PetSuites
Rent Increases: 10% Increases every five also provides exercise and recreation and full service pet bathing and grooming.
years
• PetSuites of America, LLC is a wholly owned subsidiary of National Veterinary Associates
Lease Type: NNN (NVA™). NVA is the largest private owner of freestanding veterinary hospitals in
the United States. NVA operates 505 companion animal veterinary hospitals and
• Seller includes a 1 yr. warranty boarding facilities in United States, Canada, Australia, and New Zealand.
Additional Property
Photos
PetSuites- Spring, TX
Representative Photo
6525 Louetta Road | Spring, TX 77379
Lease Summary
Tenant Pet Suites of America, LLC
Guarantor National Veterinary Associates, Inc.
Doing Business As PetSuites
Space Size 10,900 SF Gross
Pro-Rata Share 100%
Lot Size 1.875 Acres
Lease Commencement August 2020
Rent Commencement August 2020
Lease Expiration 20 years after Opening date
Primary Lease Term 19 Years
Term Remaining 19 Years
Rent Increases (Primary) 10% Bumps every 5 years
Renewal Options 5- 5 year options
Rent Schedule Rent Increases (Options) 10% Bumps
Lease Type NNN
Lease Years Monthly Rent Annual Rent Rent/SF % Increase Landlord Obligations None
1-5 $26,446.47 $317,357.64 $29.12 - Roof Tenant Responsible
6-10 $29,091.12 $349,093.40 $32.03 10% Parking Lot Tenant Responsible
10-15 $32,000.23 $384,002.74 $35.23 10% HVAC Tenant Responsible
16-20 $35,200.25 $422,403.02 $38.75 10% CAM Tenant Responsible
Option 1 $38,720.28 $464,643.32 $42.63 10% Taxes Tenant Responsible
Option 2 $42,592.30 $511,107.65 $46.89 10% Insurance Tenant Responsible
Option 3 $46,851.53 $562,218.42 $51.58 10% ROFR None
Option 4 $51,536.69 $618,440.26 $56.74 10%
Financial Reporting Tenant to provide Income Statement and
Option 5 $56,690.36 $680,284.29 $62.41 10% Balance Sheet within 120 days of each
Note: Rent increases based on CPI every 5 years. Assumed to be 10% Fiscal Year End
Site Plan
Tenant
Information
Company PetSuites of America, LLC
Type Private
Founded 2000
Locations 40
Area Served 14 States and Growing
Headquarters Erlanger, Kentucky
Industry Pet Boarding
# of employees Approx. 120
Website www.petsuitesofamerica.com
PetSuites is a leader in the pet boarding industry. They have been in business
for 20 years and are one of the first national chains.
They provide state-of-the-art pet grooming and pet boarding facilities for
daycare, overnight and extended stays. Each facility includes large indoor/
outdoor play areas, the cleanest spacious rooms in the industry and specially
designed heating and air conditioning systems that ensure a comfortable and
healthy environment for the pet’s comfort.
The primary business for PetSuites is pet daycare and pet boarding with
secondary profits coming from spa treatments, grooming and high margin toy
and food items.
PetSuites employs over 120 pet care professionals who care and create
customizable and personal experiences that make each pet feel comfortable
and at home.
In March 2015 Nationals Veterinary Associates (NVA), Inc. purchased
PetSuites. NVA is the largest private owner of freestanding veterinary hospitals
in the US.
Lease Guarantor
Information
Parent Company National Veterinary Associates, Inc. (NVA)
Type Private
Founded 1996
Locations 500+
Area Served 41 States and 4 Countries
Headquarters Agoura Hills, California
Industry Veterinary Services
# of employees +5,500
Website www.nva.com
National Veterinary Associates (NVA™) is the largest private owner of freestanding veterinary hospitals
in the United States.
NVA owns over companion animal veterinary hospitals and boarding facilities in the United States
and Canada. We have over 5,500 veterinary professionals that improve the well-being of patients by
providing progressive and compassionate veterinary care for over 5 million patients a year. Our 900
veterinarians provide a full range of medical and surgical services.
NVA was founded in 1996 by Stanley Creighton, DVM with an emphasis on supporting local medical
standards as established by individual hospitals and practitioners. He believed that veterinary medicine
is best practiced when veterinarians craft their own hospital and community specific strategies for high
quality patient care and client services.
The vision continues at NVA as we make available the tools and resources for hospitals to achieve
their medical goals while avoiding any single standardized national plan that might not be the best
fit for an individual hospital. The tools and resources include our national medical database, training
and education for staff, and any emerging nationally published research and standards. Managing
veterinarians decide what level of medicine they would like their hospital to achieve, and NVA will
support them in getting there.
Industry
Information
The Pet
Industry
Over 114% growth in the last is a $103.6
10 years! Billion
Industry
Pet
Boarding/
Grooming
is a $8.2
Billion
Industry
The Pet Grooming and Boarding industry has proven to be one of the few established
industries to post consistently strong gains over the past decade. It nearly doubled in size
and grew amid a recession and global pandemic.
2020 brought record highs in animal adoption; with more than three million new pets being
purchased or adopted over the year.
The Pet Grooming and Boarding industry has nearly doubled over the past decade. Demand
for pet grooming, boarding, training and walking is at an all-time high due to rising pet
ownership, improved disposable income and changing consumer preferences.
Pet parents have been purchasing a greater range of high-value services for their pets,
contributing to industry revenue growth.
The humanization of pets continues to be a driving factor for the pet industry. More than
ever before pet owners are:
Feeding their pets organic or grain-free options.
Giving their pets vitamins/other supplements.
Purchasing treats for their pets.
Millennials (Gen Y), in particular, are taking the humanization of their pets to the next
level. Gen Y dog owners are more likely to:
Pay for any pet service (day care, boarding, pet sitting at home)
Own designer items for their pet and hold parties for their dog
Buy gifts for more occasions, spending more per gift and getting more gifts in total
Sources: American Pet Products Association, IBIS World
Community
Information
COMMUNITY SUMMARY
Spring is a census-designated place
within the extraterritorial jurisdiction of
Houston in Harris County, Texas.
Located in the northern area of Harris
County known as The Woodlands–
Sugar Land metropolitan area. The
population was 54,298 at the 2010
census.
While the name “Spring” is popularly
applied to a large area of northern
Harris County . The original town
of Spring, now known as Old Town
Spring, is located at the intersection of
Spring-Cypress and Hardy roads.
Wikipedia- Spring TX
Spring (Houston), TX
COUNTY HIGHLIGHTS STATS AND RANKINGS
Harris County, Texas has no State or Local Individual Income Tax or State and Local Harris County is the 3rd Most Populous County in the U.S.
Corporate Tax 20 Fortune 500 Companies have Headquarters in Harris County.
A low overall cost of living, 8% below the national average, coupled with a 67% Population Growth since 1990
diverse economic base and top educational facilities, makes Harris County a great
community in which to live, work, play, and invest. Unlimited opportunities with low costs, multiple industry sectors,
intermodal logistics network and a well-educated workforce.
7% Lower average utility cost compared to the U.S.
Top of the line health care at world-renowned medical facilities
Quality of life is enhanced by the 795 total parks within the boundaries of Harris such as the distinguished M.D. Anderson Cancer Center, the No. 1
County, 158 of the parks are managed by the county. Abundant miles of walk/run/ cancer hospital in the world.
hike and bike trails open the door to Harris County’s wildlife and natural biodiversity.
-Harris County Economic Development
-Harris County Economic DevelopmentDemographics
Visibility on Louetta Road
2.20 Miles to North Freeway (Freeway #45)
8 Miles to Sam Houston Highway
20 Miles to Downtown Houston
Population 1 mile 5 miles 10 miles
2025 Projection 14,201 305,332 1,032,989
2020 Estimate 13,654 290,920 978,034
2010 Census 11,849 236,128 789,998
Growth 2020-2025 4.01% 4.95% 5.62%
Households 1 mile 5 miles 10 miles
2025 Projection 5,147 111,504 360,026
2020 Estimate 4,940 106,141 340,355
2010 Census 4,226 85,515 272,916
Growth 2020-2025 4.19% 5.05% 5.78%
2020 Est. by Single-Class Race 13,654 290,920 978,034
White Alone 10,576 201,645 684,703
Black or African American Alone 1,379 50,269 181,010
Asian Alone 1,236 29,484 80,738
Am. Indian and Alaskan 99 2,248 9,155
Hawaiian and Pacific Island 17 375 1,402
Other Race 346 6,900 21,026
2020 Est. Median Age 38.60 36.10 34.80
2020 Est. Average Household Income $108,879 $99,391 $92,866You can also read
