SHOPPES AT MAKEFIELD 93-95 Makefield Road Yardley, PA 19067 - OFFERING MEMORANDUM - LoopNet
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SHOPPES AT MAKEFIELD 93-95 Makefield Road Yardley, PA 19067 OFFERING MEMORANDUM
TABLE OF CONTENTS
Investment Analysis..............04
Location Overview................11
Lead Investment Advisors
Derrick Dougherty
First Vice President Investments
National Retail Group
License: PA RS305854
Ph: (215) 531-7026
Scott Woodard
Senior Associate
National Retail Group
License: PA RS329242
Ph: (215) 531-7058
Mark Krantz Steve Garthwaite
Senior Associate Senior Associate
National Retail Group National Retail Group
License: NJ 1863254 License: PA RS332182
Nick Geaneotes Pavan Koneru
Associate Associate
National Retail Group National Retail Group
License: PA RS350646 License: PA RS350910
Broker of Record: Sean Beuche
License: PA RM424190
2 Shoppes at Makefield
Trenton, NJ
(83,535 Total Population)
Giant Plaza
Burger
King
Pennsbury Plaza The Commons
at Fallsington
(478 Apartments)
Shoppes at Makefield
93-95 Makefield Road
Yardley, PA 19067
Gaslight Shopping Center
Eleanor Roosevelt
Elementary School
(550 Total Enrolled)
Shoppes at Makefield 3
01 INVESTMENT ANALYSIS 4 Shoppes at Makefield
PROPERTY OVERVIEW
Shoppes at Makefield $
%
OFFERING PRICE:
CAP RATE:
$3,155,200
6.50%
93-95 Makefield Road
Yardley, PA 19067
$
NET OPERATING INCOME: $205,143
OFFERING SUMMARY
Gross Leasable Area (GLA) 18,896
Price / SF $166.98
Lot Size 3.49
Year Built / Renovated 1960 / 2008
Occupancy 90.47%
Parking | Ratio 125+/- | 6.50 Spots/ 1,000 SF
VITAL RETURNS (RECOURSE)
Current Net Operating Income $205,143
Annual Debt Service ($136,264)
Cash Flow After Debt Service (7.28%) $68,880
Principal Reduction $54,368
Total Return (13.02%) $123,247
PROPOSED NEW FINANCING - PARTIAL/FULL RECOURSE
MAJOR TENANTS Equity (30%) $946,560
Tenant GLA Lease Start Lease Expire Locations Loan to Value (70%) $2,208,640
RJ Bagles 3,200 SF Mar-93 MtoM 1 Interest Rate 3.75%
Country Farms 2,576 SF Jan-04 MtoM 1 Amortization 25 Years
Nail Salon 2,400 SF Jun-11 Nov-23 1 Term 5 Years
Debt Service Coverage Ratio 1.51
MAJOR AREA EMPLOYERS *Loan information is subject to change. Contact your Marcus & Millichap Capital Corporation representative.
**Possible Reserve Funds Required
Rank Employer Name Industry DEMOGRAPHIC SUMMARY
1 Giant Food Stores LLC Grocery 1-Mile 3-Miles 5-Miles
2 Central Bucks School District Education 2020 Population 9,087 75,269 240,752
3 Bucks County Government 2020 Households 3,217 28,863 87,206
4 Saint Mary Medical Center Healthcare Average Household Income $124,844 $113,216 $91,677
Shoppes at Makefield 5
RENT ROLL
Start End Current Date of Increase
Tenant SF GLA % Annual $ $/SF Options Lease Type
Date Date $/SF Increase Amount
Freestanding Building
Modified Gross -
Makefield Auto 2,000 10.31% Feb-00 MtoM $55,200 $27.60 - - - -
Tenant pays CAM
Shopping Center
Kalinowski Performance Academy
1,620 11.34% Jan-16 MtoM $27,000 $16.67 - - - - Gross
(Located in Rear of Center)
Makefield Cleaners One (5) Year Option -
2,300 11.86% Jan-90 Dec-29 $24,000 $10.43 Jan-26 $26,400 $11.48 Gross
(New 10 Year Lease)* 10% Increase
Country Farms* 2,576 12.89% Jan-04 MtoM $54,000 $20.96 - - - - Gross
Nail Salon* 2,400 12.37% Jun-11 Nov-23 $42,000 $17.50 - - - One (5) Year Option Gross
Chinese Restaurant 1,000 5.15% Jan-09 Dec-20 $21,000 $21.00 - - - Two (3) Year Options Gross
Beauty Salon 1,000 5.15% Jul-06 Jun-21 $18,000 $18.00 - - - - Gross
Available Space 900 4.64% - - - - - - - - -
Available Space 900 4.64% - - - - - - - - -
D'Angelo Family Eye Care, Inc. 1,000 5.15% Oct-15 Sept-21 $18,900 $18.90 - - - One (5) Year Option Gross
RJ Bagles 3,200 16.49% Mar-93 MtoM $51,000 $15.94 - - - - Gross
Total Square Footage: 18,896 100% $311,100
*Indicates an Approximate Lease Commencement Date
18,896sf 17,096sf (90.47%) 1,800sf (9.53%)
TOTAL LEASABLE AREA TOTAL OCCUPIED TOTAL AVAILABLE
6 Shoppes at Makefield
INCOME & EXPENSES
INCOME PSF Underwriting Notes:
Base Rent (1)
$311,100 $16.46 (1) Base Rent: Is Reflective of 2020 Rent Roll
Effective Gross Income $311,100
(2) Expenses: Analysis is Reflective of 2019 Site Expenses
EXPENSES (3)
Reimbursable Expenses (3) Management Fee: Analysis uses an Underwriting Standard of 3% of Base Rent
Real Estate Taxes $57,500 $3.04 (4) Reserves: Analysis uses an Underwriting Standard of $0.20 per Square Foot
Property Insurance $7,545 $0.40
Common Area Maintenance
Repairs & Maintenance
Parking Lot Maintenance $4,500
Misc Repairs & Maintenance $3,780
Roof Repairs $8,500
Grounds Maintenance
Snow Removal $5,000
Utilities
All Utilities $6,020
Total CAM $27,800 $1.47
Total Reimbursable Expenses $92,845 $4.91
Non Reimbursable Expenses
Management Fee (3% of Base Rent) (4)
$9,333
Reserves(20 Cents Per Square Foot) (5)
$3,779
Non - Reimbursable Expenses $13,112 $0.69
Total Expenses $105,957 $5.61
Net Operating Income $205,143
Shoppes at Makefield 7
RENT COMPS
Address Size Occupancy Rental Range Major Tenants Distance
Shoppes at Makefield
18,896 SF 90% $11-$22/SF NNN & MG Gym, Nail Salon, Auto Repair -
93-95 Makefield Rd., Yardley, PA
Gaslight Village
14,261 SF 100% $10-$13/SF Gross Weight Watchers, Nail Salon, Dry Cleaners 0.1 Miles
85 Makefield Rd., Morrisville, PA
Penns Briar Shopping Center
7,400 SF 87% $14-$15/SF Gross Hair Salon, Nail & Spa, Restaurants 0.9 Miles
423-39 Alden Ave., Morrisville, PA
Lincoln Point Shopping Center
12,930 SF 100% $12-$15/SF Gross U-Haul, Hair Salon, Dance Studio 1 Miles
830 W. Trenton Ave., Morrisville, PA
Pennsbury Plaza
16,150 SF 67% $18-$22/SF NNN Planet Fitness, MetroPCS, Subway 1.8 Miles
229 Plaza Blvd., Morrisville, PA
Morrisville Square
26,715 SF 76% $13-$16/SF NNN Popeyes, Family Dollar, MetroPCS 2.4 Miles
332 W. Trenton Ave., Morrisville, PA
2.4
Miles
0.9 Morrisville Square
Miles 332 W. Trenton Avenue
Penns Briar Center Morrisville, PA
423-39 Alden Avenue Occupancy 76%
Morrisville, PA Size 26,715 SF
Occupancy 87% Rental Range $13-$16/SF NNN
Size 7,400 SF
Rental Range $14-$15/SF NNN
1.8
Miles
Shoppes at Makefield Pennsbury Plaza
229 Plaza Boulevard
93-95 Makefield Road Morrisville,PA
Yardley, PA
Occupancy 67%
Occupancy 90%
Size 16,150 SF
Size 18,896 SF
Rental Range $11-$12/SF NNN Rental Range $18-$16/SF NNN
1.0
0.1 Miles
Miles Lincoln Point Center
Gaslight Village
830 W. Trenton Avenue
85 Makefield Road Morrisville, PA
Morrisville, PA
Occupancy 100%
Occupancy 100% Size 12,930 SF
Size 14,261 SF Rental Range $12-$15/SF NNN
Rental Range $10-$13/SF NNN
8 Shoppes at Makefield
INVESTMENT HIGHLIGHTS
Real Estate Fundamentals Highlights:
Opportunity to Own a First-Generation Sale, 18,896 square foot Neighborhood Center in Yardley, PA
• The Site sits on a large 3.49 Acre Parcel in Yardley, a borough in Bucks County, Pennsylvania & is located just (20) miles from Philadelphia
• Priced Below Replacement Cost - $167/SF
Superior Real Estate Fundamental’s – Located along Makefield Road, a Primary Commuter Corridor
• The Property is strategically located along Makefield Road, a primary commuter corridor, servicing local neighborhoods seeing
approximately (6,000) vehicles per day.
• Ample Parking (125 Spaces), with strong visibility, signage, & access along Makefield Road
Tenant Roster Highlights:
Service-Oriented Shopping Center Catering to the Area since the 1960’s – 90% Occupancy
• The Center features internet resistant and service-based tenants including: an Auto Repair Center, a Gym, Nail & Beauty Salons, and
RJ’s Bagels – a local staple
• An Astute Investor will realize the upside in having Long-Term Tenants operating on Month-to-Month leases with Under Marker Rents &
Potential to capture future Expense Reimbursements
Location Highlights:
Healthy Demographics & Sustainable Growth
• Healthy Demos – Affluent Submarket with approximately 240,000 in population in a 5-mile Trade Area having an Average Household
Income of $113,216 within a 3-mile radius
• Yardley has seen sustained growth over the past decade, boasting over (10%) Population Growth within a (1)-mile trade area of the center
Irreplaceable Positioning with Immediate Access to Retail Centers, Schools, Apartment Complexes, & Entertainment
• Retail Center Landscape – Oxford Valley Mall, a two-story shopping center consisting of over (1.2 Million SF) of Retail & featuring 150+
Retail Tenants – owned & operated by Simon Property Group – 4.5 Miles
• Schools & Education – Pennsbury High School (3,100 Students), Eleanor Roosevelt Elementary (550 Students), & the Middle School
Campus comprising of Charles Boehm, Pennwood, & William Penn Middle Schools (2,070 Students) – 3 Mile Radius
• Apartment Communities – The Commons at Fallsington, a (478)-Unit Apartment Complex – 0.5 Miles
• Entertainment – Sesame Place, a children’s theme & water park owned and operated by SeaWorld Entertainment – 4 Miles
Proximity to Philadelphia & Proximity to Major Highway Systems
• Within 20 miles from Philadelphia
• The center is located just within a mile of the Route 1 Morrisville Exit seeing (44k) VPD & less than four miles from Route 295 with over
(60k) VPD
Shoppes at Makefield 9
PROPERTY DETAILS
SITE DESCRIPTION
Gross Leasable Area 18,896sf
Year Built/Renovated 1960
Lot Size 3.49 Acres
Parking 125+/-
Parking Ratio 6.50 Spaces/1,000sf
Topography Level
Zoning NC-Commercial
3.49 18,896 125+/-
PARKING
ACRES SQUARE FEET SPACES
PARCELS
Number of Tax Parcels 2
Parcel Number(s) 13-028-010 & 13-028-010-001
ROOF
Age of Roof 12 Years +/-
CONSTRUCTION Roof Condition: Adequate, continuous maintenance
Type of Structure Masonry Year Repaired/Replaced 2008
Exterior Façade redone in 2008 & Curbs removed
Signage Directory signage; No Tenant signage
HVAC
How Many HVAC Units 12 +/-
UTILITIES Age of HVAC Units Varies (Info Available Upon Request)
Three Well Pumps
Plumbing Water Supply Repairs and Replacement 3 Years - Gym Tenant
(Info Available Upon Request)
Gas / Electric Separately Metered
Sewer/Septic Township supply PARKING LOT
Trash Tenants' Responsibility Parking lot Repaved Re-paved - 2020
Alarm systems Tenants' Responsibility Parking Lot Condition Adequate, striped every 3-4 Years (Due in Spring)
ENVIRONMENTAL ACCESS
Yes, completed 10 years ago for Gas Station Space The Property is accessed by four ingress/egress points on Makefield Road,
Phase 1
- Tanks were removed along with (125+/-) parking spots.
10 Shoppes at Makefield02 LOCATION OVERVIEW
Shoppes at Makefield 11Giant Plaza
K-Mart
Distribution Center
(2.1 Million SF)
Burger
King
Pennsbury Plaza
Wellington
Shoppes at Makefield Woods
93-95 Makefield Road (257 Apartments)
Pennwood Yardley, PA 19067 Rock Springs
Middle School Apartment The Commons
(780 Total Enrolled) (168 Apartments) at Fallsington
(478 Apartments) Fallsington
Charles Boehm Elementary School
Middle School (273 Total Enrolled)
William Penn (740 Total Enrolled)
Middle School
(550 Total Enrolled)
Gaslight Shopping Center
)
D
VP
0
16
8,
Eleanor Roosevelt
(4
1
Elementary School
te
ou
(550 Total Enrolled)
.R
.S
U
60 VPD)
te 1 (48,1
U.S .Rou
12 Shoppes at MakefieldBUCKS COUNTY, PENNSYLVANIA
240,752 87,206 $91,677 Positive 4th Largest 99th Most
Population Households AVG. HH Income AHHI Growth County in PA Populous County
within a 5 mile radius within a 5 mile radius within a 5 mile radius Since 2017 625,249 Total Population In The United States
Yardley is a borough in Bucks County, Pennsylvania, United States. The small community of Yardley is bordered by the Delaware River and Ewing, New Jersey on the east, and
by Lower Makefield Township on the north, west, and south. Bucks County is a county located in the Commonwealth of Pennsylvania. As of the 2010 census, the population
was 625,249, making it the fourth-most populous county in Pennsylvania and the 99th-most populous county in the United States. The county seat is Doylestown. The county
is named after the English county of Buckinghamshire or more precisely, its abbreviation. Bucks County constitutes part of the northern boundary of the Philadelphia–Camden–
Wilmington, PA–NJ–DE–MD Metropolitan Statistical Area, more commonly known as the Delaware Valley. It is located immediately northeast of Philadelphia and forms part of
the southern tip of the eastern state border with New Jersey.
OXFORD VALLEY MALL : SESAME PLACE : PHILADELPHIA, PA: TRENTON, NJ :
• The Oxford Valley Mall is a two-story • Sesame Place is a children’s theme park • Philadelphia is the largest city in the U.S. • Trenton is the capital city of New Jersey
shopping mall, managed and 85.5 percent- and water park. It is the only theme park state of Pennsylvania, and the sixth-most and the county seat of Mercer County. The
owned by the Simon Property Group, in the United States based entirely on the populous U.S. city with a 2019 estimated city’s metropolitan area, is grouped with
that is located next to the amusement award-winning children’s educational population of 1,584,064. Philadelphia is the New York Combined Statistical Area,
park Sesame Place near Langhorne in television program Sesame Street also the economic and cultural anchor of but it directly borders the Philadelphia
Middletown Township, Bucks County, PA. the greater Delaware Valley metropolitan area
Shoppes at Makefield 13BUCKS COUNTY, PENNSYLVANIA
Local Economy - Bucks County, PA TOP 10 EMPLOYERS
Suburban development accelerated in Lower Bucks in the 1950s with the opening
of Levittown, Pennsylvania, the second such “Levittown” designed by William Levitt.
Rohm and Haas continues to operate several chemical plants around Bristol. Bucks is
also experiencing rapid growth in biotechnology, along with neighboring Montgomery
County. The Greater Philadelphia area consistently ranks in the top 10 geographic
clusters for biotechnology and biopharma. It is projected by 2020 that one out of four
people in Bucks County will work in biotechnology.
TOP 10 EMPLOYERS
Rank Employer Name Industry
1 Giant Food Stores LLC Grocery
2 Central Bucks School District Education
3 Bucks County Government
4 Saint Mary Medical Center Healthcare
5 Doylestown Hospital Healthcare
6 Northtec LLC Manufacturing
7 Woods Services Health Management
8 Wal-Mart Associates Inc Retail/Distribution
9 Pennsbury School District Healthcare
10 Grand View Health Healthcare
14 Shoppes at MakefieldNEW YORK
Shoppes at Makefield
93-95 Makefield Road
Yardley, PA 19067
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PHILADELPHIA
Yardley, Pennsylvania
RADIUS 1-MILE 3-MILE 5-MILE
Population 9,087 75,269 240,752
Households 3,217 28,863 87,206
Average HH Income $124,844 $113,216 $91,677
Median HH Income $106,829 $86,604 $70,731
Shoppes at Makefield 15Investment Advisors
Derrick Dougherty Scott Woodard
First Vice President Investments Senior Associate
National Retail Group National Retail Group
License: PA RS305854 License: PA RS329242
Ph: (215) 531-7026 Ph: (215) 531-7058
Steve Garthwaite Mark Krantz NON- ENDORSEMENT A ND DISC LA IMER NOT IC E
Senior Associate Senior Associate
National Retail Group National Retail Group N O N -E N D O RS E M E N TS
License: PA RS332182 Lic: PA RS336064 | NJ 1863254 Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The
presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation
of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included
for the purpose of providing tenant lessee information about this listing to prospective customers.
ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.
D I S C LA I M E R
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 Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus
& Millichap. This Marketing Brochure has been prepared to provide 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
Pavan Koneru Nick Geaneotes investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses
Associate Associate for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements,
National Retail Group National Retail Group
the presence or absence of contaminating substances, PCB's or asbestos, the compliance with State and Federal regulations, the physical condition
License: PA RS350910 License: PA RS350646
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, 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
Our Locations: information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Marcus & Millichap is a
service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2017 Marcus & Millichap. All rights reserved.
Philadelphia, PA King Of Prussia, PA New York, NY
2005 Market Street #1510 200 N. Warner Road 260 Madison Avenue
Marcus & Millichap Real Estate Investment Services of Seattle, Inc. Broker of Record: Sean Beuche
Philadelphia, PA 19103 King Of Prussia, PA 19406 5th Floor
16 Shoppes at Makefield
P: 215.531.7000 P: 215.531.7000 New York, NY 10016 License: RB062197C License: PA RM424190SHOPPES AT MAKEFIELD
93-95 Makefield Road Yardley, PA 19067
OFFERING MEMORANDUM
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