SAVE MART CENTER A HIGH-PERFORMING, GROCERY-ANCHORED RETAIL CENTER LOCATED IN NORTHERN CALIFORNIA
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SAVE MART CENTER
A HIGH-PERFORMING, GROCERY-ANCHORED RETAIL CENTER
LOCATED IN NORTHERN CALIFORNIA
Holliday Fenoglio Fowler, L.P., acting by and through Holliday GP Corp., a real estate broker licensed with the California Department of Real Estate, California License Number 01385740.
SAVE MART CENTER LATHROP, CALIFORNIA
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MAJOR TENANTS INCLUDE:
TENANT SIZE (SF) LEASE EXP.
SAVE MART SUPERMARKETS 48,316 October 2025
CHASE BANK 4,200 February 2021
STARBUCKS COFFEE
1,702 February 2026
(W/ DRIVE-THRU)
BASKIN ROBBINS 1,350 July 2020
PROPERTY SUMMARY
15010 Harlan Road
ADDRESS
Lathrop, California 95330
% LEASED 100.0% INVESTMENT OVERVIEW
SQUARE FEET 80,640
HFF has been exclusively retained by Ownership to offer qualified investors the exciting
OFFERING PRICE $16,400,000
opportunity to acquire the fee simple interest in Save Mart Center (the “Property” or “Center”),
IN-PLACE NOI $1,141,951
an 80,640 SF grocery-anchored shopping center located in Lathrop, California. The Property is
LEVERAGED CASH ON
11.0% 100% leased and anchored by Save Mart Supermarkets with sales over $457/SF and a lease
CASH RETURN
REQUIRED EQUITY $5,740,000 term extending through 2025. The Property is located in a trade area with over 86,000 residents
CAP RATE 7.0% within a 5-mile radius and average household incomes exceeding $75,000. The Center offers a
SITE AREA ±9.98 Acres complementary mix of national and regional tenants including Chase Bank, Starbucks Coffee,
Baskin Robbins, Papa Murphy’s, and Mikasa Japanese Bistro. Save Mart Center is prominently
PARKING RATIO 5.74 / 1,000 SF
positioned with great visibility exposing it to nearly 95,000 vehicles per day via Interstate-5 and
YEAR BUILT 2005
over 20,000 vehicles via the surrounding arteries of Harlan Rd. and W. Lathrop Rd.
Debt Assumptions: 65.0% LTV; 4.50% Interest Rate; Interest Only Amortization
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CALIFORNIA GROCERY-ANCHORED RETAIL CENTER
INVESTMENT HIGHLIGHTS
G RO CERY-ANCHO R ED SH OPPI N G CEN T ER ST RO N G GRO C E RY STO RE SA L E S
IN CALIFO RNIA’S C EN T RAL VAL L EY W I T H GROW T H
Grocery-anchored by Save Mart Supermarkets ($4.5B Save Mart Supermarkets generates sales of over $22.1M
sales/213 stores) on a long-term lease through 2025, (±$458 PSF) and shows positive sales growth (±20%
providing a consistent, “daily needs” draw to the property. over the past four years) with a strong health ratio
under 3.0%.
SAVE MART SUPERMARKETS PERFORMANCE (YEAR ENDING JUNE-2017)
PROPERTY SF ANNUAL SALES SALES/SF ANNUAL + NNN RENT TOTAL RENT $/SF HEALTH RATIO
SAVE MART CENTER 48,316 $22,118,654 $457.79 $599,019 $12.40 2.71%
SAVE MART SUPERMARKETS SALES GROWTH AT SAVE MART CENTER
YE JUN-17 YE JUN-16 YE JUN-15 YE JUN-14 YE JUN-13 4YR. SALES GROWTH ANNUAL GROWTH
$457.79 $450.04 $424.94 $398.03 $380.90 20.19% 5.05%
RANKING FOR THE RANKING FOR
#91 #21 #34 #5
RANKING FOR TOP 50 LARGEST U.S. THE TOP 50
RANKING FOR TOP FASTEST GROWING
AMERICA’S LARGEST GROCERY CHAINS RETAIL CHAINS GROCERY CHAINS
PRIVATE COMPANIES (PROGRESSIVE
(THE BALANCE 2013)
(FORBES 2016) GROCER 2016) (CHAIN STORE
GUIDE 2010)
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SAVE MART CENTER LATHROP, CALIFORNIA
INVESTMENT HIGHLIGHTS (CONTINUED)
DIVERS E S HO P T EN AN T M I X
The Center offers a strong mix of national, regional, and local tenants including
Starbucks Coffee, Chase Bank, H&R Block, Baskin Robbins, Papa Murphy’s, and La
Hacienda Taqueria.
POSITIVE INCOME GROWTH FROM BELOW MARKET RENTS
Several tenants at the shopping center are paying below market rents with a strong
operating history. Rollover and mark-to-market of these rents is projected to grow
NOI nearly 20% over the hold period.
ATTRACTIVE IN- PL ACE CASH FLOW W I T H
STRO NG TENAN T DEM AN D
The Property is 100% leased with a strong operating history, demonstrating strong
tenant demand and offering investors attractive in-place cash flow.
EXCELLENT VIS I BI L I T Y, LOCAT I ON AN D ACCESS
Save Mart Center is ideally located right off of Interstate-5 and provides pylon
signage to the highway exposing the Property to nearly 95,000 vehicles per day.
Harlan Rd. and Lathrop Rd. provide further visibility to over 20,000 vehicles on a
daily basis.
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CALIFORNIA GROCERY-ANCHORED RETAIL CENTER
LOCATION MAP
SMF
SAVE MART
CENTER
OAK
SFO
MAJOR AIRPORTS:
SJC
OAKLAND INT’L
57 Miles
AIRPORT (OAK)
SACRAMENTO INT’L
62 Miles
AIRPORT (SAC)
SAN JOSE INT’L
70 Miles
AIRPORT (SJC)
SAN FRANCISCO
76 Miles
INT’L AIRPORT (SFO)
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SAVE MART CENTER LATHROP, CALIFORNIA
DEMOGRAPHICS
LOGISTICS
SAVE MART CENTER 3-MILE 5-MILE CENTER
2022 POPULATION PROJECTION 40,212 91,702
2017 POPULATION ESTIMATE 37,111 86,283
POPULATION % GROWTH (2017-2022) 8.4% 6.3%
2017 EST. AVERAGE HOUSEHOLD INCOME $79,758 $75,176
LATHROP
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CALIFORNIA GROCERY-ANCHORED RETAIL CENTER
INVESTMENT HIGHLIGHTS (CONTINUED)
ST R O N G DEMO G RAP HICS I N ST I T UT I ON AL LY M AN AGED ASSET UN E N C UM BE RE D ASS E T
WI T H A N EXPANDED DRAW
The Property has been meticulously maintained The Property is being delivered free and clear of
Over 86,000 resident located within a 5-mile by institutional ownership significantly reducing existing financing, providing the opportunity to
radius of the Property with average household the need for future capital expenditures. take advantage of the historically low interest rate
incomes exceeding $75,000. environment and enhanced leveraged returns.
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SAVE MART CENTER LATHROP, CALIFORNIA
INVESTMENT OVERVIEW
STE TENANT SF % NRA LEASE EXP.
A1 Advance America 900 1.1% Dec-19
A2 Eyebrow Masters 900 1.1% Oct-20
A3 Chase Bank 4,200 5.2% Feb-21
B1 Cigarette City 1,000 1.2% Oct-22
B2 La Hacienda Taqueria 1,000 1.2% May-18
B3 Metro PCS 1,000 1.2% Sep-22
B4 H&R Block 1,000 1.2% Apr-19
C1 Mikasa Japanese Bistro 2,257 2.8% Feb-22
C2 Huan Nguyen, DDS 1,476 1.8% Mar-22
C3 Lathrop Beauty Salon 1,120 1.4% Apr-18
C4 Exclusive Wireless 1,470 1.8% Sep-19
C5 Global Nails 1,120 1.4% Jan-18
C6 Boost Mobile 1,400 1.7% Nov-22
C7 MX Donuts 1,120 1.4% Sep-22
C8 Papa Murphy's 2,030 2.5% Mar-19
MJR1 Save Mart Supermarkets 48,316 59.9% Oct-25
PAD A1 Starbucks Coffee 1,702 2.1% Feb-26
PAD A2 China Wok Express 1,200 1.5% Dec-20
PAD A3 Milano Pizza 1,500 1.9% Oct-20
PAD A4 Dollar One Only Store 1,929 2.4% Mar-19
PAD
Rasoi 2,650 3.3% Oct-22
B1/B2
PAD B3 Baskin Robbins 1,350 1.7% Jul-20
TOTAL AVAILABLE SF 0 0.0%
TOTAL OCCUPIED SF 80,640 100.0%
TOTAL OVERALL SF 80,640
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CALIFORNIA GROCERY-ANCHORED RETAIL CENTER
Sales
SITE PLAN ±$1,420/SF
PA
HRU
-T
VE
D
I
DR
A4
A
A3
A2
RD
A1
B1
PAD B
N
RLA B2
HA B3
C8
SHOPS C
C7
C6
C5
C4
C3
C2
C1
Approx. $46M
B4
A3
A2
B3
B2
A1
B1
in Deposits
(Avg. 35%+ Growth
Per Annum)
SHOPS A SHOPS B
Sales ±$455/SF
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SAVE MART CENTER A HIGH-PERFORMING, GROCERY-ANCHORED RETAIL CENTER
LOCATED IN NORTHERN CALIFORNIA
INVESTMENT SALES ADVISORS
GLEB LVOVICH BRYAN LEY ERIC KATHREIN
949.798.4115 310.407.2120 415.510.6961
glvovich@hfflp.com bley@hfflp.com ekathrein@hfflp.com
CA RE Lic. #01496699 CA RE Lic. #01458927 CA RE Lic. #01896107
ASSOCIATE DEBT GUIDANCE MARKET & LEASING EXPERTS
MARK DEGIORGIO PETER SMYSLOWSKI DOUGLAS CORDS BRYAN CIFRANIC
949.798.4138 415.276.6950 Commercial Retail Associates, Inc. Commercial Retail Associates, Inc.
mdegiorgio@hfflp.com psmyslowski@hfflp.com 559.650.1307 559.650.1316
CA RE Lic. #02026853 CA RE Lic. #01301231 dcords@retailassociates.com bcifranic@retailassociates.com
CA RE Lic. #01264420 CA RE Lic. #01809130
www.hfflp.com
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©2017 Holliday Fenoglio Fowler, L.P., HFF Real Estate Limited (collectively, “HFF”), HFF Securities L.P. and HFF Securities Limited (collectively, “HFFS”) are owned by HFF, Inc. (NYSE: HF). HFF and its affiliates operate out of 24 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate
industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment sales, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.You can also read
