offering memorandum - loopnet...offering memorandum automotive tire center 4500 auburn blvd •...

Offering MemorandumOffering Memorandum

AUTOMOTIVE TIRE CENTERAUTOMOTIVE TIRE CENTERAUTOMOTIVE TIRE CENTERAUTOMOTIVE TIRE CENTER4500 Auburn Blvd • Sacramento, CA 958414500 Auburn Blvd • Sacramento, CA 95841

N O N - E N D O R S E M E N T A N D D I S C L A I M E R N O T I C EN O N - E N D O R S E M E N T A N D D I S C L A I M E R N O T I C E

Confidentiality and DisclaimerThe 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 andshould 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, unverifiedshould 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, unverifiedinformation 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 duediligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, thefuture 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 orasbestos, 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 anytenant'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 bereliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding thesematters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures toverify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.verify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.

Non-Endorsement NoticeMarcus & 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 orname is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or anyagent, 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.PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

AUTOMOTIVE TIRE CENTERSacramento, CAACT ID ZAA0030166

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TABLE OF CONTENTSSECTION

AUTOMOTIVE TIRE CENTER

SECTIONINVESTMENT OVERVIEW 01

Offering SummaryRegional MapLocal Map

FINANCIAL ANALYSIS 02Tenant SummaryOperating StatementPricing DetailPricing Detail

MARKET COMPARABLES 03Sales Comparables MapSales Comparables ChartSold ComparablesSold ComparablesFor Sale Comparables

MARKET OVERVIEW 04Market AnalysisDemographic Analysis

3


PARCEL MAP

INVESTMENTINVESTMENT

OVERVIEWOVERVIEWOVERVIEWOVERVIEW

4


EXECUTIVE SUMMARY

OFFERING SUMMARY

EXECUTIVE SUMMARY

MAJOR EMPLOYERS

VITAL DATAPrice $1,150,000 Gross Leasable Area (GLA) 5,750 SF

Down Payment 20% / $230,000 Price/SF $200.00

Loan Amount $920,000 Current Occupancy 2/3 EMPLOYER # OF EMPLOYEES

S B M 5,500

Walmart 1,940

American River College 1,815

Mercy San Juan Med Trauma Ctr 1,700

Mercy San Juan Medical Center 1,500

Loan Amount $920,000 Current Occupancy 2/3

Loan Type Seller Financing* Year Built 1957

Interest Rate 5.00% Lot Size 0.33 acre(s)

Pro Forma CAP Rate 6.00%

Pro Forma Net Operating Income $68,994

Pro Forma Total Return 10.00% / $22,994 Mercy San Juan Medical Center 1,500

Eskaton 1,409

Eskaton Village Care Center 1,000

Homeq Servicing Corporation 1,000

Examinors Office 900

McDonalds 689

Monument Security Inc 600

Pro Forma Total Return 10.00% / $22,994*Loan terms subject to change.

Monument Security Inc 600

Acct Holdings LLC 594

DEMOGRAPHICS

1-Miles 3-Miles 5-Miles

2018 Estimate Pop 12,746 139,947 372,662

2010 Census Pop 12,104 132,514 352,643

2018 Estimate HH 5,053 56,305 143,066

2010 Census HH 4,735 52,750 134,227

Median HH Income $46,343 $46,852 $50,873

Per Capita Income $27,174 $26,588 $27,406

Average HH Income $67,813 $65,589 $70,973

#5


OFFERING SUMMARY

INVESTMENT OVERVIEW

Marcus & Millichap is pleased to list exclusively a retail automotive building in Sacramento, CA. The subject is

a standalone building. Two of the three units are occupied by Auburn Tires & Wheels on a NNN lease. The

INVESTMENT OVERVIEW

a standalone building. Two of the three units are occupied by Auburn Tires & Wheels on a NNN lease. The

property can be delivered partially vacant to an owner-user.

The property is a total of 5,750 rentable square feet on 0.33 acres of land. This parcel is part of an entireThe property is a total of 5,750 rentable square feet on 0.33 acres of land. This parcel is part of an entire

portfolio of three parcels of a total of six units of over 12,000 rentable square feet on 0.75 acres of land. It is

conveniently located near the main freeway at a high traffic signalized intersection. This is a very rare

opportunity for the automotive user or income property investor!

INVESTMENT HIGHLIGHTS

opportunity for the automotive user or income property investor!

Added Value or Rare Owner User Opportunity

High Traffic Count About 40,000 Cars per Day

Signalized Intersection Close to Main Freeway

INVESTMENT HIGHLIGHTS

Signalized Intersection Close to Main Freeway

Entire Portfolio Asking $2,500,000

6

REGIONAL MAP


7

LOCAL MAP


8


FINANCIAL

ANALYSISANALYSIS

9

FINANCIAL ANALYSIS


TENANT SUMMARY & OPERATING STATEMENTTENANT SUMMARY & OPERATING STATEMENT

10

FINANCIAL ANALYSIS


PRICING DETAILPRICING DETAIL

Loan terms subject to change.

11


MARKET

COMPARABLESCOMPARABLES

12


SALES COMPARABLES MAP

AUTOMOTIVE TIRE CENTER(SUBJECT)

Caliber Collision

Made in America / Japan

JiffyLube

1

2

3 JiffyLube

Red D Transmission

Big O Tires

Firestone

3

4

5

7

6

5880 Pacific St

10655 Coloma Rd

Smog Busters

1562 Auburn Blvd

7

8

9

10

SALES COMPARABLES

ON MARKET COMPARABLES

13


PROPERTY NAMEAUTOMOTIVE TIRE CENTER

SALES COMPARABLESSALES COMPARABLES SALES COMPS AVG

Average Price Per Square Foot

SALES COMPARABLES


SALES COMPS AVG

ON MARKET COMPS AVG

$540.00

$600.00

Average Price Per Square Foot

Avg. $255.03Avg. $276.84

$240.00

$300.00

$360.00

$420.00

$480.00

$0.00

$60.00

$120.00

$180.00

$240.00

Automotive Tire Center

CaliberCollision

Made inAmerica /

Japan

JiffyLube Red DTransmission

Big O Tires Firestone 5880Pacific St

10655Coloma Rd

SmogBusters

1562 AuburnBlvd

14

PROPERTY NAME

MARKETING TEAM


SALES COMPARABLES

SALES COMPARABLES ON MARKET COMPARABLES

AUTOMOTIVE TIRE CENTER4500 A/B/C Auburn Blvd.

CALIBER COLLISION7407 Roseville Rd, Sacramento, CA, 95842

MADE IN AMERICA / JAPAN2668 Sunrise Blvd, Rancho Cordova, CA, 95742

4500 A/B/C Auburn Blvd.Sacramento, CA, 95841 1 2

rentpropertyname1 rentpropertyname1 rentpropertyname1

Asking Price: $1,150,000

Price/SF: $200

Year Built: 1957

Close Of Escrow: 12/6/2018

Sales Price: $5,169,000

Price/SF: $206.00

Year Built: Unknown


Sales Price: $950,000

Price/SF: $146.60

Year Built: 1975

rentpropertyaddress1 rentpropertyaddress1 rentpropertyaddress1

15

PROPERTY NAME

MARKETING TEAM


SALES COMPARABLES


JIFFYLUBE4160 Sunrise Blvd, Fair Oaks, CA, 95628

RED D TRANSMISSION33 Massie Ct, Sacramento, CA, 95823

BIG O TIRES7800 Auburn Blvd, Citrus Heights, CA, 95610

3 4 5




Price/SF: $593.16

Year Built: 1985



Price/SF: $145.83

Year Built: 1978



Price/SF: $183.54

Year Built: Unknown


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PROPERTY NAME

MARKETING TEAM


SALES COMPARABLES


FIRESTONE5041 Madison Ave, Sacramento, CA, 95841

5880 PACIFIC ST5880 Pacific St, Rocklin, CA, 95677

10655 COLOMA RD10655 Coloma Rd, Rancho Cordova, CA, 95670

6 7 8


On Market

List Price: $2,400,000

Price/SF: $300.00

Year Built: 1970

On Market


Price/SF: $252.00

Year Built: 2007

On Market


Price/SF: $237.62

Year Built: 1962


17

PROPERTY NAME

MARKETING TEAM


SALES COMPARABLES


SMOG BUSTERS2590 Valley Rd, Sacramento, CA, 95821

1562 AUBURN BLVD1562 Auburn Blvd, Sacramento, CA, 95815

9 10


On Market

List Price: $800,000

Price/SF: $400.00

Year Built: 1988

On Market

List Price: $685,000

Price/SF: $194.60

Year Built: 1964


18


MARKET

OVERVIEWOVERVIEW

19

SACRAMENTOMARKET OVERVIEW


SACRAMENTOOVERVIEW

The Sacramento-Roseville-Arden-Arcade metro is composed of fourcounties: Sacramento, El Dorado, Placer and Yolo, located in thecounties: Sacramento, El Dorado, Placer and Yolo, located in themiddle of the 400-mile-long Central Valley of California. Unlike thenearby San Francisco Bay Area, Sacramento is seismically quiet. Thearea contains nearly 2.3 million people.

Sacramento, home of the state capitol, is the most populous city, withapproximately 501,000 residents, followed by Elk Grove and Rosevilleapproximately 501,000 residents, followed by Elk Grove and Rosevillewith 164,400 and 130,400, respectively. During the next five years, amore affordable cost of living and infill redevelopment projects willhelp draw businesses and residents to the area.

METRO HIGHLIGHTSMETRO HIGHLIGHTS

SOLID JOB CREATIONLower costs than nearby metros attract businesses and drive job creation above the U.S. level. Many and drive job creation above the U.S. level. Many commuters into the Bay Area also reside in the area.

POPULATION GROWTHEmployment opportunities and redevelopment efforts will contribute to pushing Sacramento’s efforts will contribute to pushing Sacramento’s population growth above the national average.

LOW COST OF LIVINGSacramento’s median home price is more affordable than many other California metros.

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affordable than many other California metros.

AUTOMOTIVE SHOP

ECONOMY Sacramento is home to the state capitol, making the government sector important to the

region’s economy, though less so than in the past as the economy diversifies. Sacramento’s seismic stability and low business costs compared with the region attract Sacramento’s seismic stability and low business costs compared with the region attract

major corporations seeking to establish operations. Among these are Intel Corp., Apple Computer and Siemens Transportation Systems.

DHL and United Parcel Service use the former Mather Air Force Base to ship freight. The former McClellan Air Force Base is now an industrial park and includes tenants such as Northrop Grumman and J.C. Penney.

MAJOR AREA EMPLOYERSMAJOR AREA EMPLOYERS

California State University Sacramento

Sutter Health

Kaiser Permanente

Raley’s Inc.

Intel Corp.Intel Corp.

Catholic Healthcare West

University of California Davis

UC Davis Health System

Hewlett-Packard Co.

Target Corp.* Forecast

SHARE OF 2017 TOTAL EMPLOYMENT

Target Corp.* Forecast

4% 14% 24% 11% 5%MANUFACTURING

4%GOVERNMENT

EDUCATION AND

+OTHER SERVICES

3%

LEISURE AND HOSPITALITY FINANCIAL ACTIVITIES

16%TRADE, TRANSPORTATION CONSTRUCTION

PROFESSIONAL ANDBUSINESS SERVICES

1%INFORMATION

14%

6%

24% 11% 5%

16%

2

HEALTH SERVICESEDUCATION AND OTHER SERVICES

316AND UTILITIES

TRADE, TRANSPORTATION CONSTRUCTION1

INFORMATION6 16

AUTOMOTIVE SHOP

DEMOGRAPHICS

SPORTS The metro is expected to add nearly 154,000 people over the next five years, resulting in the formation of nearly 71,000 households.

A median home price well above the national median has produced a A median home price well above the national median has produced a homeownership rate of 59 percent, compared with the national rate of 64 percent.

Among residents age 25 and older, 31 percent hold bachelor’s degrees and 11 percent also have a graduate or professional degree.

2017 Population by Age

6 20 7 27 26 14

EDUCATION0-4 YEARS

6%5-19 YEARS

20%20-24 YEARS

7%25-44 YEARS

27%45-64 YEARS

26%65+ YEARS

14%

2017MEDIAN AGE:

2017 MEDIAN HOUSEHOLD INCOME:

2017POPULATION:

2017HOUSEHOLDS:

QUALITY OF LIFE

37.22017

MEDIAN AGE:

U.S. Median:

37.8

$63,900 2017 MEDIAN

HOUSEHOLD INCOME:

U.S. Median:

$56,300

2.3M2017

POPULATION:

Growth2017-2022*:

6.6%

841K2017

HOUSEHOLDS:

8.4%

Growth2017-2022*:

ARTS & ENTERTAINMENTResidents and visitors to Sacramento can enjoy many recreational activities. The region is

home to professional sports teams such as the Kings (NBA), Sirens (IWFL) and the River

Cats. A short drive from the city leads to some of the world’s finest wine-producing

regions: the Napa, Sonoma and Alexander valleys. The area offers various cultural

opportunities including the ballet, opera, museums, a zoo and music festivals. In addition

QUALITY OF LIFE

opportunities including the ballet, opera, museums, a zoo and music festivals. In addition

to four community colleges, there are two universities located in the region: California State

University, Sacramento, and University of California, Davis. Housing is relatively affordable

in the Sacramento region compared with the nearby San Francisco Bay Area, drawing

many residents.

* Forecast

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Sources: Marcus & Millichap Research Services; BLS; Bureau of Economic Analysis; Experian; Fortune; Moody’s Analytics; U.S. Census Bureau

offering memorandum - loopnet...offering memorandum automotive tire center 4500 auburn blvd •...

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