houston, texas • executive summary
TRANSCRIPT
COPPERFIELD VILLAGE SHOPPING CENTERHOUSTON, TEXAS • EXECUTIVE SUMMARY
STAT
E HI
GHW
AY 6
STAT
E HI
GHW
AY 6
THE CENTRE IN COPPERFIELD
COPPERWOOD VILLAGE
FM 529FM 529
COPPERFIELD VILLAGE SHOPPING CENTER
2 H F F
ROBBIE KILCREASE
Real Estate Analyst
(713) 852-3533
HFF HOUSTON
9 Greenway Plaza, Ste. 700
Houston, TX 77046
(713) 852-3500
RUSTY TAMLYN, CCIM, SIOR
Senior Managing Director
(713) 852-3576
RYAN WEST
Managing Director
(713) 852-3535
MATT BERRY
Associate Director
(713) 852-3540
P R O P E R T Y O V E R V I E W
PROPERTY Copperfield Village Shopping Center 7081 State Highway 6 North Houston, Harris County, Texas 77084
LOCATION NEC of State Highway 6 North and FM 529 23 Miles northwest of Houston’s Central Business District
YEAR BUILT 1984 Renovated in 1998
LEASED 92%
PARKING 779 Spaces (4.77 per 1,000 SF)
TOTAL GLA 163,011 SF
LAND SIZE 16.43 Acres
DEBT Available for New Market Rate Financing or Assumption of Existing Debt (See Abstract)
PRICE Market Price
I N V E S T M E N T H I G H L I G H T S
• Grocery Anchored Shopping Center | New 15 Year Lease to Sprouts Farmers Market
• Below Market Rents | Substantial NOI Growth Potential
• Immediate Value Add Potential Through Lease Up | Over 13,000 Square Feet of Vacant Space
• High Volume Anchors | Key Trade Area Intersection
• Densely Populated Regional Trade Area | Estimated 350,000 Residents within 5-Mile Radius
• Main at Main within the 2,000 Acre Master-Planned Community of Copperfield
• Houston is listed by AFIRE as the 4th Best City in the World of Commercial Real Estate Investment
• Nation Leading Population and Employment Growth over the Past Decade
Investment Merits
3H F F C O P P E R F I E L D V I L L A G E
Highway 6 | 44,543 VPD
36,330 VPD
| FM 529
Pacific Dental2,797 SF
Pacific Dental2,797 SF
State Farm1,050 SF
State Farm1,050 SF
3,858 SF3,858 SF
4,500 SF4,500 SF
Not a PartNot a Part
6,625 SF6,625 SF
10,365 SF10,365 SF23,608 SF23,608 SF 29,582 SF29,582 SF
26,000 SF26,000 SF
11,047 SF11,047 SF
4,830 SF4,830 SF
Spo
rts Clip
s1,600 SF
Spo
rts Clip
s1,600 SF
2,130 SF2,130 SF
MS N
ails1,200 SFM
S Nails
1,200 SF
Big
Frog
T-Shirts1,200 SFB
ig Fro
g T-Shirts
1,200 SF
Leslie’s Poo
l Supp
ly4,000 SF
Leslie’s Poo
l Supp
ly4,000 SF
United
Healthcare
3,700 SFU
nited H
ealthcare3,700 SF
4,601 SF
4,601 SF
1,400 SF1,400 SF
CeX
1,600 SFC
eX1,600 SF
CeX
1,600 SF
2,000 SF2,000 SF
2,400 SF2,400 SF
Mathnasium
1,200 SFMathnasium
1,200 SF
TGF
2,400 SFTGF
2,400 SF
1,200 SF
1,200 SF1,600 SF
1,600 SF
Central Spy Shop
1,200 SFCentra
l Spy Shop
1,200 SF
Allied Cash Advance
1,200 SFAllie
d Cash Advance
1,200 SF
Family Doctor
1,200 SFFamily Doctor
1,200 SF
Wiz Mobile
1,200 SFWiz Mobile
1,200 SF
Foot Specialist
1,600 SF
Foot Specialist
1,600 SF
Radio Shack
2,400 SFRadio Shack
2,400 SF
TENANT SQUARE FEETPacific Dental 2,797 State Farm 1,050 Vacant Suite 1,400 Massage Envy 3,858 Panera Bread 4,500 Hallmark 6,625 Five Below 10,365 Goody Goody Liquor 23,608 Sprouts 29,582 CeX* 1,600 Sports Clips 1,600 Vacant Suite 2,000 MS Nails 1,200 Big Frog T-Shirts 1,200 Vacant Suite 2,400 Leslie's Pool 4,000 United Healthcare 3,700 ROSS 26,000
TENANT SQUARE FEETDollar Tree 11,047 Vacant Suite 4,601 Mathnasium 1,200 TGF 2,400 Central Spy Shop 1,200 Radio Shack 2,400 Allied Cash Advantage 1,200 Wiz Mobile 1,200 Family Doctor 1,200 Foot Specialist 1,600 Vacant Suite 1,600 Vacant Suite 1,200 French Quarter 4,830 Wells Fargo Bank 2,130 Total Leased GLA 152,092Total Vacant GLA 13,201 Total GLA 165,293
Site Plan
4H F F C O P P E R F I E L D V I L L A G E
*Pending Lease
LakeHouston
San Jacinto
Bay
SheldonReservoir
GalvestonBay
SmithersLake
ClearLake
George BushPark
LakeHouston
State Park
ArmandBayouPark
WilliamP. HobbyAirport
George BushIntercontinentalAirport
HARRISCOUNTY
LIBERTYCOUNTY
FORT BENDCOUNTY
MONTGOMERYCOUNTY
BRAZORIACOUNTY
GALVESTONCOUNTY
Downtown Galleria
TexasMedical Center
69
69
69
69
Westpark Tollway
Katy Frwy
Southwest F
rwy
Northwest Frwy
North Frwy
Hardy Toll R
oad
East
ex F
rwy
NorthLoop
LoopSouth
Wes
t Loo
p
East
Loo
p
Sam Houston Tollway
Sam Houston Pkwy
ExxonMobilCorporate Headquarters
Pasadena Frwy
Baytown East Frwy
Sout
h Fr
wy
Fort
Pkwy
Gulf Frwy
Proposed
GrandPkwy
Proposed Grand Pkwy
Westheimer Rd
Beaumont Hwy
Ben
d
Grand Pkwy U
nder Construction
Grand Pkwy Under Construction
COPPERFIELD VILLAGESHOPPING CENTER
290
TEXAS249
TEXAS6
TEXAS6
TOLL ROAD
SAM HOUSTON
JARVIS RDJARVIS RD
SPRING CYPRESS RD
SPRING CYPRESS RD
LOUETTA RDLOUETTA RD
KLUGE RD
KLUGE RD CYPRESSWOOD DR
CYPRESSWOOD DR
CYPRESSWOOD DR
CYPRESSWOOD DR
GRAND RDGRAND RD
MILLS RDMILLS RD
FALLBROOK DRFALLBROOK DR
BREEN DRBREEN DR
ANTO
INE D
R
ANTO
INE D
R
AN
TOIN
E DR
AN
TOIN
E DR
STRACK RD
STRACK RD
STUEBNER AIRLINE RD
STUEBNER AIRLINE RD
CHAMPION FOREST DR
CHAMPION FOREST DR
SPR
ING CYPRESS RD
SPR
ING CYPRESS RDFM 2978 RD
FM 2978 RD
JON
ES RDJO
NES RD G
ESSNER RD
GESSN
ER RD
SKINN
ER RDSKIN
NER RD
TELGE RD
TELGE RD
FARM TO MARKET 1960
FARM TO MARKET 1960
VETERANS MEM
ORIAL DR
VETERANS MEM
ORIAL DR
FARM TO MARKET RD 529FARM TO MARKET RD 529
LONGENBAUGH DRLONGENBAUGH DR
FR
Y RD
FR
Y RD
W RDW RD
TELG
E R D
TEL G
E R D
QU
EEN
STON
BLV
DQ
UEE
NST
ON B
LVD
BARK
ER C
YPRE
SS R
D
BARK
ER C
YPRE
SS R
D
TOMBALL PKWY
TOMBALL PKWY
TOMBALL PKW
Y
TOMBALL PKW
Y
SAM HOUSTON TOLLWAYSAM HOUSTON TOLLWAY
NORTHWEST FWY
NORTHWEST FWY
NORTHWEST FWY
NORTHWEST FWY
CypressCypress
WillobrookWillobrook
NorthHouston
NorthHouston
JerseyVillageJerseyVillage
Long MeadowsCountry Club
Long MeadowsCountry Club
WeiserAir ParkWeiserAir Park
COPPERFIELD VILLAGESHOPPING CENTER
Location Maps
5H F F C O P P E R F I E L D V I L L A G E
Tenant: Sprouts 2013 YE Revenue: $2.4 Billion
Square Feet: 29,592 S&P Rating: B+
Public/Private: Public Website: www.sprouts.com
Ticker Symbol: NASDAQ: SFM
Sprouts Farmers Market, Inc., (NASDAQ: SFM) through its subsidiaries, engages in the retailing of natural and organic food in the United States. Its products include fresh produce, bulk foods, vitamins and supplements, grocery products, meat and seafood products, bakery products, dairy and dairy alternatives, frozen foods, fresh deli specialties, beer and wine, body care, and natural household products. As of September 10, 2013, the company had 166 stores in Arizona, California, Colorado, New Mexico, Nevada, Oklahoma, Texas, and Utah. Sprouts Farmers Market, Inc. was founded in 2002 and is based in Phoenix, Arizona.
The company went public in August of 2013 and reported $340 million in net proceeds from the IPO. As of September 10th the company had generated $101 million in cash from operations this year and remains one of the nation’s fastest growing retailers. Revenues have increased significantly over the past three years, 33% in 2012, 62% in 2011 and 113% in 2010 respectively.
Tenant: Ross Dress for Less 2013 YE Revenue: $9.7 Billion
Square Feet: 26,000 S&P Rating: A-
Public/Private: Public Website: www.rossstores.com
Ticker Symbol: NASDAQ: ROST
Ross Stores, Inc. is an S&P 500, Fortune 500 and Nasdaq 100 (ROST) Company headquartered in Pleasanton, California, with fiscal 2012 revenues of $9.7 billion. The Company operates Ross Dress for Less, the largest off-price apparel and home fashion chain in the United States with 1,112 locations in 33 states, the District of Columbia, and Guam. The company also operates 115 dd’s Discounts in nine states that feature a more moderately-priced assortment of first-quality, in-season, name brand apparel, accessories, footwear and home fashions. In 2012, Ross Stores, Inc. ranked #4 on Fortune 500 statistics for total return to stockholders on a five-year (35%) basis.
Tenant Profiles
6H F F C O P P E R F I E L D V I L L A G E
Tenant: Dollar Tree 2013 YE Revenue: $8.8 Billion
Square Feet: 11,047 S&P Rating: N/A
Public/Private: Public Website: www.dollartree.com
Ticker Symbol: NASDAQ: DLTR
Dollar Tree, Inc. (DLTR) operates discount variety stores in the United States and Canada. Its stores offer merchandise at the fixed price of $1.00. The company�s stores provide consumable merchandise, which includes candy and food, and health and beauty care products; and everyday consumables, such as paper and chemicals, and frozen and refrigerated food. Its stores also offer various merchandise that include toys, durable housewares, gifts, party goods, greeting cards, softlines, and other items; and seasonal goods consisting of Valentine's Day, Easter, Halloween, and Christmas merchandise. The company operates its stores under the names of Dollar Tree, Deal$, Dollar Tree Deal$, Dollar Tree Canada, Dollar Giant, and Dollar Bills. As of February 1, 2014, it operated approximately 4,992 discount variety retail stores. The company was founded in 1986 and is based in Chesapeake, Virginia.
Tenant: Goody Goody Liquor 2013 YE Revenue: N/A
Square Feet: 23,608 S&P Rating: N/A
Public/Private: Private Website: www.goodygoody.com
Ticker Symbol: N/A
Goody Goody Liquor is known as the largest liquor retail store chain in the Dallas area. They started in January of 1964, and have grown to 13 stores in the Dallas Metroplex area, with another three in Houston. Copperfield Village is the newest of the three when opening in April of 2014. Goody Goody is making their presence known throughout Houston after 45+ years of serving thousands of clients. They also have a wholesale division where they now service between 600 and 700 hotels and restaurants in the Dallas Metroplex area.
Tenant: Five Below 2013 YE Revenue: N/A
Square Feet: 10,365 S&P Rating: N/A
Public/Private: Private Website: www.fivebelow.com
Ticker Symbol: N/A
Five Below, Inc. is the leading retailer of trend-right, extreme-value merchandise to the teen and pre-teen market - all for $1.00 to $5.00.Five Below's dynamic assortment of merchandise includes everything from sporting goods, games, fashion accessories and jewelry, to hobbies and collectibles, bath and body, candy and snacks, room décor and storage, stationery and school supplies, video game accessories, books, dvds, iPhone® accessories, novelty and "gag," and seasonal items. Five Below combines exceptional value with trend-right, quality merchandise in a vibrant shopping environment. Five Below was founded by David Schlessinger, creator and founder of Encore Books and Zany Brainy along with Tom Vellios, former CEO of Zany Brainy.
Tenant Profiles
7H F F C O P P E R F I E L D V I L L A G E
Copperfield is a 2,000+-acres master planned community in Northwest Houston, near the
intersections of Stat Highway 6 North and Highway 290, located 20 miles away from downtown
Houston. Originally developed by Friendswood Development Company in the late 1970s, the
community now consists of seven villages (Copperfield Place, Easton Commons, Middlegate
Village, Northmead Village, Southcreek Village, Southdown Village, Westcreek Village) and is
home to an estimated 100,000 area residents. The current median home price in 2014 is $152,000,
up 9% over the past 48 months. Primary access to Houston’s largest thoroughfare, dozens
of amenities including parks, pools, tennis courts and greenbelts, and nationally-recognized
schools make this area an ideal suburban community for those wanting to escape the prices and
congestion of the inner city.
TRANSPORTATION INFRASTRUCTURE
SH 290 is a major northwest/southeast traffic artery providing access to other major thoroughfares
including HWY 6, FM 1960 and BWY 8. State Highway 6/FM 1960 are major thoroughfares
extending nearly fifty miles and connecting the community to I-10 (the Energy Corridor and West
Houston) and I-45 (Spring, The Woodlands, Kingwood and Humble).
NORTHWEST HOUSTON OVERVIEW
Since its founding in 1836, Houston’s city limits have expanded rapidly to the northwest as
residents settled along a crucial agricultural rail line serving the city’s industrialized port of trade
and shipping channel. In the 175 years since, northwest Houston has matured developmentally
and is accessible by no less than five major freeways, each serving northwest Houston’s significant
population base. Creating continued demand for robust growth in northwest Houston, some
of the city’s largest employers are located in close proximity to the Property. The considerable
numbers of households, paired with its favorable demographics, have resulted in northwest
Houston boasting the city’s densest collection of retail properties along with the state of Texas’
largest independent school district.
Northwest Houston was originally established as a railroad hub, used for the distribution of
agricultural products from neighboring counties to Houston’s port of trade, located at the mouth
of what is now the Houston Ship Channel. As Houston’s economy shifted primary focus to the oil
industry in the 1930s, northwest Houston evolved further as hundreds of new residents rushed to
the oil wells successfully being drilled and excavated there. As time passed, northwest Houston
developed into a diversified commercial center, supported by several residential communities. The
area benefits from what is now a strong economic base of companies including Hewlett Packard
(HP), FMC Technologies, Cameron, National Oilwell Varco, Kwik Kopy Corporation, Friendswood
Development, NRG and BJ Services.
POINTS OF INTEREST
Willowbrook Mall, located 10 minutes northeast of Copperfield, is one of the strongest malls
in Houston. This super-regional mall contains 1.5 million square feet, has four major anchors
and approximately 200 specialty stores. Anchors include Macy’s, Lord & Taylor, Sears and
Bloomingdale’s. Always enjoying a strong location in northwest Harris County, this mall was
originally developed in 1981 and underwent extensive remodeling in 1992. The one-level mall
anchored by its sturdy tenancy has been a solid pull for many big-box retailers and community/
strip development. Its location at the intersection of FM 1960 and SH 249 has become one of
the principal retail hubs for the Houston area.
Vintage Park is a lifestyle shopping center consisting of sixteen buildings in a town center
configuration with pedestrian friendly walkways and convenient public parking fronting all
buildings, located 15 minutes northeast of Copperfield. The center is the retail lifestyle portion
of a master planned development, The Vintage, and consists of approximately 324,000 sq ft of
ground floor retail space and 24,000 sq ft of second story office space. An integral aspect of
the development is the 112,000 sq ft flagship, HEB Vintage Market, which anchors the center.
The center is a visual transport to an Italian shopping promenade. The heart of the retail center,
The Piazza, features a series of fountains, dramatic plans, and landscaping which can be enjoyed
by those wishing to dine outdoors in one of the numerous venues that overlook the nearly one
acre pedestrian area.
Location Overview
8H F F C O P P E R F I E L D V I L L A G E
Methodist Willowbrook Hospital, a 251-bed, tertiary care hospital is part of The Methodist Hospital
System, one of Houston’s largest employers. The hospital opened its doors to northwest Houston
in December 2000. In May 2010, a major expansion on the 52-acre campus doubled the size of
the hospital, bringing more expertise, more state-of-the art technology, and more specialized care
to the community. From emergency services and primary care to open heart surgery and advanced
stroke care, Methodist Willowbrook Hospital redefines the term community hospital, exporting the
world-renowned quality and expertise of The Methodist Hospital System.
Bush Intercontinental Airport is located approximately twenty one miles to the northwest of the
Property. With over 170 destinations, George Bush Intercontinental Airport is the nation’s 8th
largest passenger airport and 8th busiest international gateway. Since becoming part of the
Houston Airport System in 1969, Bush Intercontinental Airport has provided the residents of
Houston with first-class airport facilities and a wide range of aviation services.
POPULATION 1 MILE 3 MILE 5 MILE2019 Projection 20,182 166,797 349,9362014 Estimate 18,581 150,039 310,7632010 Census 17,382 136,039 277,2102000 Census 14,831 90,926 158,650Growth 2014-2019 8.62% 11.17% 12.61%Growth 2010-2014 6.90% 10.11% 12.10%Growth 2000-2010 17.20% 49.86% 74.73%White Alone 58.70% 57.15% 56.19%Black or African American Alone 14.70% 14.53% 15.94%Amer. Indian and Alaska Native Alone 0.57% 0.63% 0.59%Asian Alone 8.61% 10.05% 10.15%Native Hawaiian and Other Pac. Isl. Alone 0.08% 0.09% 0.09%Some Other Race Alone 13.94% 13.74% 13.14%Two or More Races 3.41% 3.82% 3.91%Not Hispanic or Latino 60.35% 59.55% 61.47%Hispanic or Latino: 39.65% 40.45% 38.53%2014 Est. Household by Household Income 6,276 48,707 100,256CY HHs, Inc < $15,000 9.35% 7.19% 7.42%CY HHs, Inc $15,000 - $24,999 7.66% 7.86% 7.85%CY HHs, Inc $25,000 - $34,999 12.08% 8.87% 8.44%CY HHs, Inc $35,000 - $49,999 14.04% 13.69% 12.93%CY HHs, Inc $50,000 - $74,999 23.09% 19.31% 18.81%CY HHs, Inc $75,000 - $99,999 10.20% 13.80% 14.89%CY HHs, Inc $100,000 - $124,999 6.68% 9.39% 10.11%CY HHs, Inc $125,000 - $149,999 5.48% 6.33% 6.45%CY HHs, Inc $150,000 - $199,999 6.72% 7.32% 7.08%CY HHs, Inc $200,000 - $249,999 1.86% 2.44% 2.34%CY HHs, Inc $250,000 - $499,999 2.45% 3.11% 3.00%CY HHs, Inc $500,000+ 0.40% 0.69% 0.69%2014 Est. Average Household Income $76,354 $72,847 $74,4952014 Est Median Household Income $57,445 $66,040 $67,7652014 Average Household Size 2.96 3.08 3.102014 Est Tenure of Occupied Housing Units 6,276 48,707 100,256Owner Occupied 67.86% 69.92% 70.38%Renter Occupied 32.14% 30.08% 29.62%
Location Overview
9H F F C O P P E R F I E L D V I L L A G E
RYAN WEST
Managing Director
Phone (713) 852-3535
CAMERON CURETON
Director
Phone (713) 852-3531
INVESTMENT SALES FOR FINANCING INQUIRIES
MATT BERRY
Associate Director
Phone (713) 852-3540
ROBBIE KILCREASE
Analyst
Phone (713) 852-3533
O F F E R E D E X C L U S I V E LY B Y
9 Greenway Plaza
Suite 700
Houston Texas 77046
Phone (713) 852-3500
Fax (713) 852-3490
www.hfflp.com
© 2014 HFF (NYSE: HF) operates out of 22 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF offers clients a fully integrated national capital
markets platform including debt placement, investment sales, structured finance, private equity, note sales and note sale advisory services and commercial loan servicing.
HFF has been engaged by the owner of the property to market it for sale. Information concerning the property described herein has been obtained from sources other than HFF and we make no representations or warranties, express or
implied, as to the accuracy or completeness of such information. Any and all references to age, square footage, income, expenses and any other property specific information are approximate. Any opinions, assumptions, or estimates
contained herein are projections only and used for illustrative purposes and may be based on assumptions or due diligence criteria different from that used by a buyer. Buyers should conduct their own independent investigation and
rely on those results. The information contained herein is subject to change. 6/14
RUSTY TAMLYN, CCIM, SIOR
Senior Managing Director
Phone (713) 852-3561