The Shoppes at Narrow Bridge

The shoppes at Narrow bridge

For more info on this opportunity please contact: DAVE LUCAS JOSEPH CACCAMO a neighborhood strip [email protected] | (415) 274-7390 [email protected] | [415] 274-7394 CA BRE #: 01389761 CA BRE#: 01191110 retail center CHRIS KOSTANECKI ZEB RIPPLE 1414 Jenkins Road, Chattanooga, TN 37421 [email protected] | (415) 274-2701 [email protected] | (415) 274-2702 CA BRE# 01002010 CA BRE# 01242540

In conjunction with TN Licensed Broker: Doug Stanfield, The Stanfield York Company Capital Pacific collaborates.Click here to meet the rest of our San Francisco team. (404) 255-8066 [email protected] THE SHOPPES AT NARROW BRIDGE IS A NEWER CONSTRUCTION NEIGHBORHOOD STRIP RETAIL CENTER LOCATED AT THE INTERSECTION Investment Highlights OF TWO MAJOR ARTERIALS IN CENTRAL CHATTANOOGA, TN

PRICE: $4,250,000 CAP: 8.71% HEAVILY TRAFFICKED

RENTABLE SF. . . . 23,972 SF LOCATION WITH PRICE PER SF. . . . $182.25 translates EXCELLENT to YEAR BUILT. . . . . 2006 DESIRABLE PARKING RATIO. . . 5.17 TENANTS VISIBILITY

PHENOMENAL LOCATION Phenomenal location at the heavily trafficked intersection of East Brainard Road and Jenkins Road Excellent visibility from both East Brainerd Road and Jenkins Road Strong ingress/egress with left hand turn access into two curb cuts

NATIONAL AND REGIONAL TENANTS Desirable tenant mix of both regionally and nationally branded tenants Annual increases in most leases with varying lease expirations across entire rent roll Pad tenant is on ground lease that expires in 2016 One remaining shop vacancy with current leasing activity

EXCELLENT SITE Newer construction building (2006) with contemporary design Flexible site plan offering space sizes for many different tenant uses Dense neighborhood location with nearly 100,000 in a 5 mile radius

Ample parking with a ratio of 5.17 SHOPPES AT NARROW BRIDGE | 2 Aerial

WILCOX THE TERRACE AT HAMILTON PLACE THE OVERLOOK AT HAMILTON PLACE GOLF RANGE

Boyd-Buchanan Dalewood School Middle School

HAMILTON PLACE MALL 153

Shallowford Road

THE SHOPPES AT HAMILTON PLACE

CHATTANOOGA AIRPORT 11 64

2 Gunbarrel Road

THE SHOPPES AT NARROW BRIDGE

75 320 E Brainerd Road East Brainerd AUDREY EASTGATE E Brainerd Road 74 Elementary ELLIS HOME TOWN CENTER 320

BRAINERD MARKET CENTER CONCORD GOLF CLUB 27,830 DAILY

JenkinsRoad

24 29,460 DAILY

CHATTANOOGA CITY CENTER 75 SHOPPES AT NARROW BRIDGE | 3 Site Plan

HERITAGE PARK

STORAGE AUDREY UNDER LOI ELLIS HOME

Jenkins Road

E Brainerd Road

SHOPPES AT NARROW BRIDGE | 4 Income & Expense Current Price: $4,250,000 PROPOSED LOAN SCENARIO: Capitalization Rate: 8.71% Loan Amount $3,093,750 Price Per Square Foot: $182.25 Interest Rate 4.60% Down Payment 25% $1,062,500 Amortization 20 Year Loan Amount 73% $3,093,750 Term 10 Year Total Leased (SF): 94.64% 22,069 Lender Type Bank Total Vacant (SF): 5.36% 1,250 Debt Service $236,880 Total Rentable Area (SF): 100.00% 23,319 Monthly Debt Service $19,740 INCOME PSF Pre-Tax Cash Flow $133,258 Scheduled Rent $16.03 $373,710 Debt Coverage Ratio 1.56 New lease signed August 15 2014 $3.60 $39,600 Cash on Cash 12.54% Estmated CAM Collection $3.47 $76,514 Principal Paydown (Year 1) $96,587 Increase in CAM Collection on new lease $4.93 $8,360 Total Return $229,844 EFFECTIVE GROSS INCOME $498,184 Yield 21.63% Market Vacancy Reserve (2.5%) ($12,455) An actual loan quoate was obtained from a lender ADJUSTED GROSS INCOME $485,729 willing to finance the purchase at the above terms. See EXPENSES PSF Agent for details. Quote Provided by Jeff Schmidt at Hamilton City Property Taxes -$1.01 ($23,569) Capstone Financial. City of Chattanooga Property Taxes -$0.94 ($21,886) Insurance Expense -$0.65 ($15,242) Utilities -$0.77 ($17,839) Waste Services -$0.22 ($5,185) Supplies -$0.08 ($1,975)

Property Supervisory Services -$0.39 ($9,110) CASH PROPOSED FLOW & LOAN TERMS Property Contractural Services -$0.25 ($5,840)

Property Management Fee (3% of EGI) -$0.64 ($14,946)

TOTAL OPERATING EXPENSES -$4.96 ($115,592) NET OPERATING INCOME $370,138

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

SHOPPES AT NARROW BRIDGE | 5 Rent Roll

Trade Name Sq. Ft. Percent of GLA Lease Start Lease Expiration Monthly Base Rent Monthly Rent/SF Annual Rent/SF Annual Rent Annual CAM CAM/SF

Brusters - GROUND LEASE GL 0.00% 5/1/2006 4/30/2016 $2,994.75 $35,937.00 $2,519.40 (980 sf food service building) Option 5/1/2016 4/30/2021 $3,294.23 $39,530.70 Option 5/1/2021 4/30/2026 $3,623.65 $43,483.77 Option 5/1/2026 4/30/2031 $3,986.01 $47,832.15 Option 5/1/2031 4/30/2036 $4,384.61 $52,615.36

Daylight Donuts 1,370 5.88% 9/11/2011 9/10/2017 $2,169.17 $1.58 $19.00 $26,030.00 $5,206.00 $3.80 Option Exercised 9/11/2014 9/10/2017 $2,299.32 $1.68 $20.14 $27,591.80 Option 9/11/2017 9/10/2020 $2,437.28 $1.78 $21.35 $29,247.36

Lupi's Pizza Pies, Inc. 2,740 11.75% 8/1/2013 7/31/2020 $4,395.42 $1.60 $19.25 $52,745.00 $10,412.00 $3.80 Increase 8/1/2016 7/31/2020 $4,566.67 $1.67 $20.00 $54,800.04

VIP Spa Nails 1,370 5.88% 9/15/2007 8/31/2017 $2,378.55 $1.74 $20.83 $28,542.59 $5,206.00 $3.80 Increase 1/1/2015 12/31/2015 $2,426.12 $1.77 $21.25 $29,113.44 Increase 1/1/2016 12/31/2016 $2,474.64 $1.81 $21.68 $29,695.70 Increase 1/1/2017 8/31/2017 $2,524.14 $1.84 $22.11 $30,289.62

River City Pottery 4,110 17.63% 7/1/2010 6/30/2014 $5,651.25 $1.38 $16.50 $67,815.00 $15,618.00 $3.80 Increase 7/1/2014 6/30/2017 $6,216.33 $1.51 $18.15 $74,596.00

Pure Barre Fitness 1,646 7.06% 8/23/2010 8/31/2015 $2,606.17 $1.58 $19.00 $31,274.00 $6,254.80 $3.80 Increase 9/1/2013 8/31/2015 $2,743.33 $1.67 $20.00 $32,920.00 Option 9/1/2015 8/31/2020 $2,880.50 $1.75 $21.00 $34,566.00 Option/Increase 9/1/2018 8/31/2020 $3,017.67 $1.83 $22.00 $36,212.00

Audrey Ellis Home 1,239 5.31% 2/1/2013 1/31/2016 $1,858.50 $1.50 $18.00 $22,302.00 $4,150.65 $3.35 (fixed cam)

Dollar Store*(New Lease) 2,200 9.43% 9/1/2014 8/31/2017 $3,300.00 $1.50 $18.00 $39,600.00 $3.80 PROPOSED 9/1/2015 8/31/2016 $3,399.00 $1.55 $18.54 $40,788.00 9/1/2016 9/1/2017 $3,501.67 $1.59 $19.10 $42,020.00 Option 9/1/2017 8/31/2018 Similar Annual Bumps Increase 9/1/2018 8/31/2019 Increase 9/1/2019 8/31/2020

SuperCuts 1,920 8.23% 11/1/2013 10/31/2018 $2,240.00 $1.17 $14.00 $26,880.00 $7,296.00 $3.80 Option 11/1/2018 10/31/2023 $2,464.00 $1.28 $15.40 $29,568.00 Option 11/1/2023 10/31/2028 $2,710.40 $1.41 $16.94 $32,524.80

Mojo Burrito 2,984 12.80% 9/1/2010 8/31/2017 $4,724.67 $1.58 $19.00 $56,696.00 $11,339.20 $3.80 Increase 9/1/2015 8/31/2017 $5,197.13 $1.74 $20.90 $62,365.56

Body Martial Arts 2,240 9.61% 1/1/2014 12/31/2019 $1,299.20 $0.58 $6.96 $15,590.40 $8,512.00 $3.80

Back Storage Spaces 250 1.07% MTM MTM $75.00 $1.50 $18.00 $900.00 $0.00 Vacant Storage Spaces 250 1.07% $75.00 $1.50 $18.00 $900.00 Vacant Storage Spaces 250 1.07% $75.00 $1.50 $18.00 $900.00 Vacant Storage Spaces 250 1.07% $75.00 $1.50 $18.00 $900.00 Vacant Storage Spaces 250 1.07% $75.00 $1.50 $18.00 $900.00 Vacant Storage Spaces 250 1.07% $75.00 $1.50 $18.00 $900.00

Current Totals: 23,319 100.00% Monthly Rent $31,142.49 Annual Rent $373,709.84 Occupied 22,069 94.64% Proforma Rent $4,500.00 Vacant 1,250 5.36% Total CAM Collections: $76,514.05 *New Lease results in the loss of of 653sf of leaseable area, now dead space

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

 SHOPPES AT NARROW BRIDGE | 6 Tenants

Bruster’s Supercuts Inc.

Bruster’s Ice Cream is a chain of ice cream The national haircut chain is a subsidiary parlors whose ice cream and frozen of Regis Corporation, the world’s largest yogurt is made from a milk-based mix operator of hair salons. With about 2,150 at each individual store. Their primary company-owned and franchised outlets, operating region is in most states east of Supercuts accounts for some 17% of the Mississippi River. The chain is based its parent company’s approximately in Western Pennsylvania. All of the ice 12,700 salons. Supercuts salons are cream is made fresh in the stores in typically located in strip centers in the order to avoid ice crystal formation. The US, Canada, the UK, and Puerto Rico. recipe book that Bruster’s uses consists Supercuts was founded in the 1970s and of over 170 recipes with lots of seasonal performs more than 100,000 haircuts favorites. (for an average price of $17) and 1,200 hair colors daily.

SHOPPES AT NARROW BRIDGE | 7 Tenants

Mojo Burrito is a Chattanooga-owned Tex-Mex fave that serves healthy, fresh, and delicious food in a hip environment featuring the artwork and creative output of local artists, design- ers, and photographers.

Pure Barre is the largest, most established barre franchise in the nation, with more than 200 studios across the country, and more opening every month. Pure Barre is a total body workout that utilizes the ballet barre to perform small, isometric movements, which burn fat, sculpt muscles and create long, lean physiques. In July of 2009, Pure Barre became a franchise and has exploded in popularity.

Lupi’s opened their doors in 1996, to be the first Chattanooga pizzeria to serve authentic hand-tossed pizza. Starting with fresh made dough (white and whole wheat) and sauces made daily, they offer 30+ toppings for our pizza pies, as well as calzones, lasagna, fresh baked bread and garden salads. A large beer selection and fine wines are also available at reasonable prices.

SHOPPES AT NARROW BRIDGE | 8 Tenants

Body Martial Arts is a studio that teaches authentic, effective martial arts skills. Their licensed and certified instructors have the education, stellar character and professionalism that makes for an excellent learning environment.

At River City Pottery, you can create your own personalized gifts, purchase hand painted ceramics, or have a unique party that’s perfect for everyone from children to senior citizens. With almost 3000 square feet, their studio provides a relaxing environment with warm, natural wood furniture and flooring.

Tasty Daylight Donuts is a locally owned and operated company serving the Chattanooga, TN area with 2 locations, downtown and East Brainerd. They cook our donuts fresh each day and offer a very large variety.

VIP SPA NAILS Full service nail salon and spa.

AUDREY ELLIS Audrey Ellis is a fine furnishings retailer, providing fine home furniture, interiors, and gifts. Audrey Ellis is “where southern charm meets classic style.”

SHOPPES AT NARROW BRIDGE | 9 Photos

DESIRABLE TENANT MIX OF BOTH REGIONALLY AND NATIONALLY BRANDED TENANTS

SHOPPES AT NARROW BRIDGE | 10 Regional Map Chattanooga MSA Location

THE SHOPPES AT NARROW BRIDGE

SHOPPES AT NARROW BRIDGE | 11 Location & Demos

CHATTANOOGA, TN OVERVIEW POPULATION Chattanooga, Tennessee, has a population of 171,279, and is the fourth largest city 1-Mile 3-Mile 5-Mile in the state. Situated directly on the Tennessee River and located at the junction 2010 5,426 42,059 91,876 of four interstate highways, Chattanooga is known for its thriving economy, central 2013 5,837 43,886 95,037 location, beautiful downtown, and scenic location. 2018 6,249 46,878 100,711 2013 HOUSEHOLD INCOMES Chattanooga is the hub of a flourishing economic area, and is continuing to thrive 1-Mile 3-Mile 5-Mile largely due to its central location at the crossroads of Alabama, Georgia, and Average $62,729 $72,163 $65,922 Tennessee. The city is a major transportation and distribution center, offering Median $50,203 $52,852 $47,621 extensive highway, air, water, and rail transportation systems, capitalizing on its prime central location. Chattanooga has an abundance of natural resources, (such as iron and steel) a strong tourism industry, a trained labor force, and is one of the nation’s oldest manufacturing cities. TOP EMPLOYERS IN CHATTANOOGA The official nickname for Chattanooga is the “Scenic City” as it is surrounded by Employer # of Employees* the Appalachian Mountains, the Cumberland Plateau, a variety of mountains and Hamilton County Dept. of Education 5,901 ridges, and is seated on the Tennessee River. The “Scenic City” was named as one BlueCross BlueShield of Tennessee 4,288 of the “Top 45 Places to go” by the New York Times – it can boast a wide range of Tennessee Valley Authority 4,127 outdoor activities as well as fine culture, art, history, and dining. Museums, markets, Erlanger Health System 3,840 tours, festivals, and theatre are just a few of the attractions that this beautiful and *Approximate bustling city has to offer. SHOPPES AT NARROW BRIDGE | 12 A unique HUMAN THE CAPITAL PACIFIC EXPERIENCE - OUR DAILY COMMITMENT TO OUR CLIENTS RESULTS-DRIVEN client experience [ www .CapitalPacific .com ]

DAVE LUCAS JOSEPH CACCAMO In conjunction with TN Licensed Broker: [email protected] | (415) 274-7390 [email protected] | [415] 274-7394 Doug Stanfield, The Stanfield York Company CA BRE #: 01389761 CA BRE#: 01191110 (404) 255-8066 [email protected]

CHRIS KOSTANECKI ZEB RIPPLE [email protected] | (415) 274-2701 [email protected] | (415) 274-2702 CA BRE# 01002010 CA BRE# 01242540