Post on 05-Apr-2021
2264 Fair Oaks Blvd, Suite 201 | Sacramento, CA 95825CA BRE #01904661
John DuBois916. 274. 4424jd@corecre.comCA BRE #00702547
Mark Denholm916. 274. 4404md@corecre.comCA BRE #01437366
Jon Gianulias916. 274. 4422jg@corecre.comCA BRE #01227233
Presented by:
Offering Memorandum
Howe Renaissance PlazaSacramento, California
OFFERING SUMMARY
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Price $7,250,000
CAP Rate 6.35%
Location HoweRenaissancePlaza 1431&1441HoweAve Sacramento, CA 95825
Building Square Feet ± 10,600 SF
Land Area ± 60,135 SF (± 1.38 acres)
Assessor’s Parcel No 285-0090-036 (Sacramento County)
INVESTMENT HIGHLIGHTS
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» LOCATION, LOCATION, LOCATION »Major Thoroughfare (35,000 VPD) »Strong Infill Location »SignalizedCornerIntersection »NearSacramento’sLargestMallandthenewly RedevelopedHowe‘BoutArdenCenter
» SECURE AND STABLE »100%LeasedwithFreshTerm »Long Term National Tenants »Panda Express (14TᴴHighestRevenueUnitQSR) »TheHabitBurger(9TᴴHighestRevenueUnitQSR) »T-Mobile (3RDLargestUSCarrier) » PRIDE OF OWNERSHIP »SingleOwnerSinceDevelopment »No Deferred Maintenance »Parking Lot Sealed & Striped September 2017
EXCELLENT 1031 EXCHANGE REPLACEMENT PROPERTY »No Existing Financing »PayCashorObtainNewFinancingatHistorically LowRates
PLANNED REDEVELOPMENT
RETAIL / OFFICE
HO
WE AVE - 35,000 VPD
SUBJECT
HALLMARK DR
TRADE AREA
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• One block from the redevelopedHBAcenter,a 30 acre shopping center anchored by Nordstrom Rack, Century Theaters, Container Store and HomeGoods.Duetotheextraordinary success of the recently opened Century Theatere at HBACenter,Cinemakannouncedconstructionof an adjacent “Movie Bistro”multiplex.
• One mile from the Arden Fair Regional mall, the topretaildestinationinthe Sacramento region, anchored by Macy’s, Nordstrom and Sears.
• Largedaytimepopulation133,090withina3mileradius.
• Near Cal Expo (80+ events annually) and Sacramento State University(30,000+students).
• Signalizedintersection
RETAIL AERIAL
ARDEN FAIR MALL
CAL EXPO
POINT WEST PLAZA
HOWE ‘BOUT ARDEN
ARDEN WAY
ETHAN
WAY
ARDEN WAY
ALTA ARDEN EXPY
EXPOSITION BLVD
ETHAN
WAY
HOWEAVE
HOWEAVE
PLANNED REDEVELOPMENT
RETAIL / OFFICE
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SUBJECT
LocatedimmediatelyadjacenttotheSubject,HaroldFordiscurrentlyundergoinga$2MillionRenovation
LOCATION | DEMOGRAPHICS
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SUBJECT
Demographics 1Mile 3 Mile 5 MilePopulation 20,353 137,884 379,582
Daytime Population 27,536 133,090 407,523 Average HH Income $46,381 $74,191 $71,655
PROPERTY PHOTOS
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PROFORMA
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Howe Renaissance Plaza1431-‐1441 Howe Ave
FY 01/2018 -‐ 12/2018Minimum Rent $468,621Reimbursements $210,129 1
Effective Gross Income $678,750
Expenses CAM Expenses $100,582 2
Insurance $6,435 3
Property Taxes $84,134 4
Management Fees 4.0% $27,150Total Expenses ($218,301)Net Operating Income $460,449
Footnotes
2 CAM Expenses Based on 2016 CAM Recs inflated 3%/yr3 Based on 2016 actual inflated 3%/yr4 Property Taxes Reassessed at 1.18% of Sales Price
Habit has mngt cap of 4% of base rent, Panda and T-‐Mobile do not reimburse for mngt but have 10% admin fee in lieu. T-‐Moble has Expense CAP but does not come into play1
Suite Tenant SF Prorata % Lease Begin Lease Exp Options Rent Begin $/SF Lease Type Monthly Rent Next Incr New Rate Guarantee
A Habit Burger 1,798 16.96% 12/1/07 3/13/23 2 -‐ 5 yr options
3/1/08 $4.63 NNN $8,325.64 12/1/17 $8,741.92 Corporate
B Icicles Creamrolls
1,952 18.42% 7/15/17 7/14/22 1 -‐ 5 yr options
10/1/17 $2.50 NNN $4,880.00 10/1/18 $5,016.64 Personal
C Panda Express
2,013 18.99% 12/1/07 1/31/28 2 -‐ 5 yr options
2/1/08 $4.62 NNN $9,300.50 2/1/18 $10,230.50 Corporate
D PizzaRev 1,702 16.06% 11/17/16 12/31/27 2 -‐ 5 yr options
7/1/17 $3.01 NNN $5,106.00 7/1/22 $5,616.60 Personal
E T-‐Mobile 3,135 29.58% 9/12/07 2/28/23 2 -‐ 5 yr options
3/1/08 $3.15 NNN $9,875.25 3/1/18 $10,189.00 Corporate
RENT ROLL
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SITE PLAN
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*PizzaRevOperatorhasan8-FigureNetWorthandPersonallyGuaranteedtheLease
*
PizzaRev
TENANT PROFILES
www.t-mobile.com
T-Mobile US (NASDAQ: TMUS) is a major wireless network operator in the United States. The German telecommunications company Deutsche Telekom (DT) is its majority shareholder. Its headquarters are located in Bellevue, Washington, in the Seattle metropolitan area. T-Mobile is the third largest wireless carrier in the United States with 72.6 million customers as of Q1 2017. The company has annual revenues of $37 billion. Its network reaches 98 percent of Americans.
www.pandaexpress.com Panda Express is a fast casual restaurant chain which serves American Chinese cuisine. It is the largest Asian segment restaurant chain in the United States, where it was founded and is mainly located (in addition to other countries and territories in North America and Asia). Panda Express restaurants were traditionally located in shopping mall food courts, but the chain now operates units in many other environments and formats, including stand-alone restaurants, as well as universities, casinos, airports, military bases, amusement parks and other venues. Panda Express has over 1,900 restaurants, located in 50 U.S. states.
www.iciclescreamroll.com Iscicles Cream Roll offers HAND CRAFTED Thai rolled ICE CREAM with stores throughout California. Our mission is to provide you with best customer service while showcasing our artisan handcrafted ice cream rolls. All of our products are natural and wholesome. The secret? Cream, Milk, Eggs, Sugar, That’s it! We pasteurize these ingredients daily in small batches using very low sugar without adding preservatives. Our story begins with using simple everyday ingredients and turning it into something spectacular by using our ice pans to create these special rolls. What makes Icicles unique is that each order is made ready-to-serve and can be customized to everyone’s liking. We offer a variety of flavors including non dairy options, not to mention UNLIMITED TOPPINGS.
www.habitburger.com
The Habit Burger Grill (NASDAQ: HABT) is an American fast casual restaurant chain focused on hamburgers, salads, sandwiches, shakes and french fries. Its headquarters is in Irvine, California and now has over 195 restaurants open.
www.pizzarev.com
PizzaRev is a small fast casual chain of franchise pizza restaurants based in Los Angeles, California. The company also has non-franchise, corporate-owned stores. As of September 2016, the company has 46 stores in eleven U.S. states and Mexico. The company was founded in 2012 in Los Angeles by Rodney Eckerman and Irv Zuckerman, and their sons Nicholas Eckerman and Jeff Zuckerman. The company’s slogan is “Craft your own! The company’s name, standing for Pizza Revolution, stems from the idea of empowering customers to build their own pizzas. This PizzaRev Operator, with an 8-Figure Net Worth, personally guarantees this lease.
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2264 Fair Oaks Blvd, Suite 201Sacramento, California 95825
CA BRE #01904661
WWW.CORECRE.COM
Presented by:
Jon Gianulias916. 274. 4422jg@corecre.com CA BRE #01227233
John DuBois916. 274. 4424jd@corecre.com CA BRE #00702547
Mark Denholm916. 274. 4404md@corecre.com CA BRE #01437366
COPYRIGHT © 2017. ALL RIGHTS RESERVED. CORE Commercial (“Agent”), CA DRE Lic. 01904661, has presented this brief, selected information pertaining to the Property and
shall not be considered all-inclusive or unchanged since the date of preparation. No warranty as to the accuracy or completeness is expressed or implied. The information has
been received from sources believed to be reliable but is not guaranteed. Prospective purchasers and tenants should independently verify each item of information and have
the same reviewed by its tax advisor and/or legal counsel. The Property is being offered on an “as-is, where-is” and “with all faults” basis unless otherwise specified. Owner
reserves the right to withdraw this offering at any time, without further notice, with or without cause.
Howe Renaissance PlazaSacramento, California