5324 virginia ave-family-dollar › d2 › rht4zgll1kqhp4p6wjlc5puk7arl… · technology services....

5324 Virginia Ave, St. Louis, MO 63111OFFERING MEMORANDUM

1 | FA M I LY DOLLAR


chad kurzSVP & National DirectorL I C # 01911198 (CA)

Calvin ShortSVP & Senior DirectorL I C # 01927216 (CA)

jeffrey terwilligerBroker of RecordL I C # 3 0 T E 0 8 9 2 3 0 2 (NY )


investmenthighlights

• Ideal 1031 exchange property• Year Built in 1990• Long‐term lease with Options. • Larger 9,100 SF “Family Dollar”• Extremely strong corporate guarantee from Family Dollar• rent increase in base term of lease; cap rate will increase to up to 16.453% at the last option term.• Rent increases are an excellent hedge against inflation• Subject property is located close to Highway 55 which sees approximately 68,400 vehicles daily• Strong demographics: more than 51,308 residents in a 3‐mile radius• Strong demographics: more than 112,696 residents in a 5‐mile radius• Located just 5mile south of downtown Saint Louis and less than 5.9 miles east of SSM Health Saint Louis University Hospital• This site is estimated to be a top performer and well above annual store sales projections• The Saint Louis metropolitan area has an estimated population of just over 2.8 Million residents

tenantdetails• Investment Grade Credit Tenant: Just upgraded to BBB‐ from previous rating of BB+ in March 2018• Family Dollar was recently acquired by Dollar Tree, Inc. and is now considered to be the nation’s largest small‐box discount retailer• Family Dollar & Dollar Tree have more than 13,000 locations nationwide• Both Family Dollar & Dollar Tree have plans to continue expansion over the next several years

lease,property, andlocationdetails



financialoverview

EXECUTIVE SUMMARY

TENANT SUMMARY

FINANCIAL OVERVIEW

LIST PRICE

$379,000

CAP RATE

8.07%

TERM REMAINING

±4 Years

ANNUALIZED OPERATING DATA

Property Name Family Dollar

Address 5324 VirginiaSt. Louis, MO 63111

Year Built 1990

GLA ±9,100 SF

Lot Size ±1.18 Acres

Tenant Trade Name Family Dollar

Type of Ownership Fee Simple

Lease Guarantor Corporate

Lease Type N Lease

Roof & Structure Tenant Responsability

Original Lease Term 20 Years

Lease Expiration Date 12/31/2023

Lease Commencement Date 07/06/2001

Term Remaining ±4 Years

Increases Every Extension term

Extensions Five , 5‐Year Extensions

Monthly Rent Annual Rent Price/SF Cap Rate

Current‐ 12/31/2023 $3,666.67 $44,000.04 $4.83 8.07%

12/31/2023‐01/01/2024 $4,583.34 $55,000.08 $6.043 10.088%

Extension 1‐01/01/2029 $5,625.00 $67,500.00 $7.41 12.381%

Extension 2‐01/01/2034 $6,183.34 $74,200.08 $8.15 13.61%

Extension 3‐01/01/2039 $6,800.00 $81,600.00 $8.96 14.968%

Extension 4‐01/01/2044 $7,475.00 $89,700.00 $9.84 16.453%

tenantoverview

Dollar Tree, Inc. Chesapeak, VA ±8,000 1959

TENANT OVERVIEWWhen it comes to getting value for everyday items for the entire family in an easy to shop, neighborhood location, Family Dollar is the best place to go. One of thenation’s fastest growing retailers, Family Dollar offers a compelling assortment of merchandise for the whole family ranging from household cleaners to name brandfoods, from health and beauty aids to toys, from apparel for every age to home fashions, all for everyday low prices. While shoppers can find many items at $1 orless, most items in the store are priced below $10, which makes shopping fun without stretching the family budget.

GEOGRAPHIC OUTREACH

Family Dollar serves families in more than 8,000 neighborhoods in 46 states. Texas is its largest market with 1,027 stores, followed by Florida with 584 stores. TheDollar Tree merger with Family Dollar now creates a combined organization with sales exceeding $19 billion annually with more than 13,600 stores across 48 statesand five Canadian Provinces. The merger has allowed Family Dollar to grow offering broader, more compelling merchandise assortments, with greater values, to awider array of customers.

STRATEGY

Family Dollar offers a compelling mix of merchandise for the whole family. Ranging from an expanded assortment of refrigerated and frozen foods and health andbeauty items to home décor and seasonal items, Family Dollar offers the lowest possible price, the name brand and quality private‐brand merchandise customersneed and use every day.

Parent Company Trade Name Headquartered No. of Locations Year Founded


surroundingtenants


R O C H E S TER, N Y | 7

areaoverviewSaint Louis,MOSt. Louis is an independent city and inland port in the U.S. state of Missouri. Thecity developed along the western bank of the Mississippi River, which formsMissouri’s border with Illinois. St. Louis is the 19th‐most populous U.S. city andthe second‐largest city in Missouri after Kansas City. The St. Louis metropolitanarea includes the city as well as nearby areas in Missouri and Illinois; with anestimated population of 2,916,447, it has the largest metropolitan area inMissouri and is the nineteenth largest in the United States.

The economy of metro St. Louis relies on service, manufacturing, trade,transportation of goods, and tourism. Its metro area is home to majorcorporations, including Anheuser‐Busch, Express Scripts, Centene, BoeingDefense, Emerson, Energizer, Panera, Enterprise, Peabody Energy, Ameren,Ralcorp, Monsanto, Scottrade, Edward Jones, Go Jet, Purina and Sigma‐ Aldrich.This city has also become known for a growing medical, pharmaceutical andresearch city. St. Louis has two professional sports teams: the St. LouisCardinals of Major League Baseball and the St. Louis Blues of the NationalHockey League. The city is commonly identified with the 630‐ foot tall GatewayArch in Downtown St. Louis.

There are over 11,802 businesses within 5 miles of the site, with three topindustries being health care & social assistance, retail, and scientific andtechnology services. Residents living within a one mile radius are expected tospend over $142 Million on consumer products in the calendar year of 2016.Given that this Family Dollar has very little competition, this site is expected tocontinue to be a very profitable location for the dollar store.

ROCHESTER, N Y | 7

areademographics2018 Demographics 1‐Mile 3‐Mile 5‐Mile

Population 18,862 118,330 253,134

Households 9,298 66,605 131,638

Average Household Income

$48,924 $57,391 $63,777


C O N F I D E N T I A L I T Y & D I S C L A I M E R S TAT EM E N T

Th i s O f fe r in g Memorandum conta in s s e l e c t in format ion perta in ing to the bu s i n e s s and af fa i r s o f FAMILY DOLLAR located at 5324 Virginia Ave, St. Louis, MO 63111(“Proper ty” ) . It h a s b e en p repa red by A&M Rea l ty Inc . Th i s O f fe r ing Memorandum may not b e a l l ‐ inc lus i ve or conta in a l l o f the in format ion ap ro spec t i v e pu r chase r may des i r e . T h e informat ion con ta ined in th i s O f fe r ing Memorandum is conf ident ia l and furn i shed so le l y for the pu rpose ofa rev iew by a p ro spec t i v e pu r chase r of the Proper ty. It i s not to b e u s ed for any other pu rpo se or made ava i l ab le to any other pe r son without thewritten con sen t of S e l l e r or A&M Real ty Inc . T h e mater ia l i s b a s e d in part upon informat ion supp l i ed by the Se l l e r and in part upon f inanc ia lin format ion ob ta ined from sou r ce s it d e ems re l i ab le . Owne r, nor the ir of f i cers , emp loyee s , or agen t s make s any representat ion or warranty, e xp r e s s orimp l ied , a s to the accu ra c y or comp l e t ene s s of th i s O f fe r ing Memorandum or any of i ts con ten t s and no l e ga l l iab i l i ty i s a s s umed or sha l l b e impl iedwith r e spe c t thereto. P rospec t i v e pu r cha s e r s shou ld make the ir own pro ject ions and form the ir own conc l u s i on s without re l i ance upon the mater ia lcon ta ined here in and conduc t the ir own due d i l i g en ce .

B y a c know ledg i n g your rece ip t o f th i s O f fe r ing Memorandum for the Proper ty, you ag r ee :

1 . T h e Of fe r ing Memorandum and its con ten t s a re conf ident ia l ;

2 . You wi l l ho ld it a nd treat it in the s t r i c tes t of con f i dence ; and

3. You wi l l not , d i rect ly or ind i rect ly, d i s c l o s e or permit an yone e l s e to d i s c l o s e th i s O f fe r ing Memorandum or i ts con ten t s in any fash ion ormanner detr imenta l to the interes t o f the Se l l e r.

Owne r and A&M Rea l ty Inc e xp r e s s l y r e se r ve the r ight , at the i r s o l e d isc re t ion , to re ject any and al l e xp re s s i on s of interest or of fers to pu r cha sethe Proper ty and to terminate d i s cu s s i on s with any pe r son or ent i ty rev iew ing th i s O f fe r ing Memorandum or mak i n g an of fer to pu r cha s e theProper ty un l e s s and unti l a written ag reemen t for the pu r cha s e and s a l e of the Proper ty h a s b e en fu l ly e xe cu ted and de l i ve red .

If you w i sh not to pu r sue negot i a t ions l e ad i n g to the acqu i s i t ion of the Property or in the future you d i s cont i nue su ch negot i a t ions , then you ag r eeto pu r g e a l l mater ia l s re la t ing to th i s Property in c lud ing th i s O f fe r ing Memorandum.

A p rospec t i v e pu rchase r ’s s o l e and e xc l u s i v e r ight s with r e s pe c t to th i s p ro spec t i v e transact ion , the Property, or informat ion p rov ided here in or inconnec t ion with the sa l e of the Proper ty sha l l b e l imited to those exp r e s s l y p rov i ded in an e xe cu ted Pu r cha se Ag reemen t and sha l l b e sub je c t to theterms thereof. In no even t sha l l a p rospec t i v e pu r chase r ha ve any other c l a ims aga in s t S e l l e r or Matthews Reta i l Ad v i s o r s or any of the ir a f f i l i a tesor any of the ir r e spe c t i v e of f i cers , D i rectors , sha reho lde r s , owner s , emp lo yee s , or agen t s for any damage s , l iab i l i ty, or c a u s e s of act ion re lat ing toth i s so l i c i ta t ion p r o c e s s or the marke t ing or s a l e of the Property.

Th i s O f fe r in g Memorandum sha l l not b e deemed to rep resen t the state of af fa i rs o f the Property or const i tute an ind icat ion that there ha s b een noc h a n g e in the s tate of a f fa i r s o f the Proper ty s i n ce the da te th i s O f fe r ing Memorandum.


5324 Virginia Ave, St. Louis, MO 63111OFFERING MEMORANDUM

exclusivelylistedby

Tony AlqamBroker/ OfficerTony@st lb roke r .ne tD IR (314) 2 6 7 ‐ 4 4 0 8F a x (866) 2 0 7 ‐ 6 3 8 3


5324 virginia ave-family-dollar › d2 › rht4zgll1kqhp4p6wjlc5puk7arl… · technology services....

Documents