sign in sign up
<<
Home , Dayton metropolitan area

1

OFFERING MEMORANDUM Net Lease Investment Opportunity 6400 Wilmington Pike | Dayton, OH 45459 EXCLUSIVELY MARKETED BY: 2

CHRIS SANDS CLIFTON MCCRORY Lic. # 93103 Lic. # 99847 1017 Chuck Dawley Blvd., Suite 200 Mount Pleasant, SC 29464 310.870.3282 | DIRECT 843.779.8255 | DIRECT 844.4.SIG.NNN [email protected] [email protected] www.SIGnnn.com

In Cooperation with Cooper Commercial Investment Group, LLC BoR: Dan Cooper – Lic # 2009003618

© 2019 Sands Investment Group (SIG). The information contained in this ‘Offering Memorandum,’ has been obtained from sources believed to be reliable. Sands Investment Group does not doubt its accuracy, however, Sands Investment Group makes no guarantee, representation or warranty about the accuracy contained herein. It is the responsibility of each individual to conduct thorough due diligence on any and all information that is passed on about the property to determine it’s accuracy and completeness. Any and all projections, market assumptions and cash flow analysis are used to help determine a potential overview on the property, however there is no guarantee or assurance these projections, market assumptions and cash flow analysis are subject to change with property and market conditions. Sands Investment Group encourages all potential interested buyers to seek advice from your tax, financial and legal advisors before making any real estate purchase and transaction. TABLE OF CONTENTS 3 Kohl’s | 6400 Wilmington Pike | Dayton, OH 45459

Investment Overview Investment Summary Investment Highlights

Property Overview Location Map Retail Maps

Area Overview City Overview - Centerville Centerville Development City Overview – Dayton Area Highlights Demographics

Tenant Summary Tenant Profile

Lease Abstract Lease Summary Rent Roll Actual Property Image 4

INVESTMENT OVERVIEW INVESTMENT SUMMARY 5

Sands Investment Group is Pleased to Present for Sale the Kohl’s Located in the Center Point Plaza at 6400 Wilmington Pike in Centerville (Dayton), . This is a Corporate Guaranteed Lease Investment Opportunity With 12 Years Remaining. The Building is Approximately 95,811 SF on 8.47 Acres.

OFFERING SUMMARY PRICE $10,060,157 CAP 7.00% NOI $704,211 PRICE PER SF $105.00 YEARS REMAINING 12 Years LEASE GUARANTY Corporate PROPERTY SUMMARY ADDRESS 6400 Wilmington Pike Centerville, OH 45459 COUNTY Montgomery/Greene BUILDING AREA 95,811 SF LAND AREA 8.47 AC Actual Property Image HIGHLIGHTS DOMINANT MARKET POSITION 6 • One Mile From Valley Hospital – 440,000 SF Hospital and Medical Complex With Over 450 Employees BEST OF CLASS INVESTMENT • Close Proximity to Cornerstone of Centerville North – Costco and Kroger Anchored Mixed Use Development With a 52 Acre • Corporate Guaranteed NN Investment with 12 Years Residential Development Component Remaining on the Lease with Minimal Landlord Responsibilities • $60 Million Has Recently Been Approved for Residential Development in Centerville • 12 Years Remain on Roof Warranty • Nearby Tenants Include: ALDI, Staples, Walmart, Burger King, • Increases at Each of the Four (4), Five (5) Year Options Dollar Tree, Walgreens, Panera, Bed Bath & Beyond, McDonald’s, • Kohl’s Has Occupied this Location Since 1995 Showing a Applebee’s, Home Depot, Cabela’s, Target, PetSmart, Cracker Strong Commitment to this Site Barrel, Starbucks, Staples and Many More • Recently Extended Their Lease by 5+ Years • This Store is Not on the List of Stores that are Targeted for Downsizing in the Near Future EXCELLENT DEMOGRAPHICS • Ideal Market With Over 112,684 People in 5-Mile Trade Area and Average Household Income of $70,403 STRONG INFILL LOCATION • Employee Population of Over 69,000 Within 5-Miles • Anchor to Center Point Plaza Along with Lowe’s Home • Improvement; Additional Tenants Include O’Reilly Auto • Over 31,200 Vehicles Travel Along Wilmington Pike Daily Parts, Steak ’n Shake, Valvoline and Universal 1 Credit • Directly Off Which Sees Over 72,000 Vehicles Daily Union • Incomes in this Region are Increasing by 3.16% Annually (Nearly • Located Along Well Established Wilmington Pike Retail Twice the National Average), in Addition to the Average Age Corridor with High Visibility Increasing Year Over Year with Women Outnumbering Men in • Situated Between Two Signalized Intersections with Every Age Group Over 35 – the Ideal Demographics for Kohl’s Multiple Points of Egress and Ingress Buyer Profile 7

PROPERTY OVERVIEW 8 9 10 11

AREA OVERVIEW CITY OVERVIEW 12 Centerville | Montgomery & Greene County | Dayton MSA | Ohio

MONTGOMERY COUNTY COURTHOUSE HOSPITAL SOUTH BILL’S DONUT SHOP

Centerville, OH Economy Culture The city of Centerville is located in primarily the Montgomery The major employers in the area are Centerville City School The Heart of Centerville features a selection of boutiques, county, but also has a small portion located in the Greene county District with 1,900 employees, the MVHS Campus with 1,500 restaurants and businesses in a historic setting. Centerville is in Ohio. The city estimated population is 23,787 residents in the employees, the Graceworks Bethany Lutheran Village, with recorded to have the largest collection of early stone buildings area, making Centerville the 66th largest city in Ohio based on 930 employees, Franciscan at St. Leonard with 625 employees, and houses in Ohio, and many of the city’s stone buildings are the official 2017 estimates from the US Census Bureau. The city Kroger with 600 employees, and the City of Centerville with 250 listed in the National Register of Historic Places. The city also is home to the state’s largest collection of early stone buildings. employees. Other major employers in the area consist of contains The Town Hall Theatre, which is located in the "Heart The official city motto is, “Progress and Stability,” showing that Heartland Employment, Voss Auto, Bob Ross Buick, Costco, of Centerville" and has been serving the community for over 70 Centerville appreciates its rich past and looks toward a positive Fortis College. The economy of Centerville employs about years. A favorite spot in the city for residents is Bill's Donut and dynamic future. The city’s community boasts bustling 10,408 people and it specializes in Finance & Insurance; Public Shop; a popular donut shop that has maintained in the same business centers, nationally recognized public and private Administration; and Information. The City's economic location since 1979. The shop is open 24 hours a day, seven schools, hundred of recreational and athletic programs, miles of development policy is guided by a progressive city days a week, and it was ranked second on BusinessInsider.com hiking/biking trails, nearly 50 parks, nationally accredited Police administration, intelligent development regulations and sensible “The 15 Best Donut Shops in America” and Saveur magazine’s and Fire departments, fine dining, upscale shopping and a land planning and growth policies. The City is committed to March 2013 story “The World’s Best Donuts: The 50 Finest charming historic downtown business district. In 2018, protecting Centerville's character as a premiere residential Donut Shops in America.” Centerville will celebrate its 50th anniversary of becoming a city, community while also growing its economic base through the now with almost 24,000 people living in it. implementation of progressive, well-planned strategies. CENTERVILLE DEVELOPMENT 13 Centerville | Montgomery & Greene County | Dayton MSA | Ohio DEVELOPMENTS

Gateway Lofts East • 14 Walk-Up Apartment Buildings with 360 Apartments • Three Miles from Kohl’s Allure Apartments • $30 Million Luxury Apartment Complex • 312-Unit Apartment Complex Expected to Open in Early 2019 • Four Miles from Kohl’s Sugarcreek • The Grand At Sugarcreek is a Luxury Senior Living and Multi-Family Apartment Community with a Completion Date of Winter 2019 and will be Home to 242 Residences • Rollandia Greene is a 276-Unit Multi-Family Apartment Complex at Sugarcreek that will Break Ground at Completion of The Grand Sugarcreek Township Development • Proposed New Development with 200 Homes • If Approved, Construction Could Begin as Early as 2019 • Four Miles from Kohl’s

The Randall Residence • $46 Million Assisted Living Facility Will House Over 500 Individuals • 171,021 SF Development with Over 85 Condo Style Apartments, 60 Independent Living Apartments, 58 Assisted Living Apartments and 48 Memory Support Apartments • Estimated Opening May 2019 CITY OVERVIEW 14 Dayton | Montgomery & Greene County | Ohio

DAYTON, OH WRIGHT-PATTERSON AIR FORCE BASE NATIONAL MUSUEM OF U.S AIR FORCE

Dayton, OH Economy Montgomery/Greene Region Dayton is the sixth most populous city in the state, and its metro Dayton is home to many major corporations such as Reynolds The National Museum of the USAF, with thousands of historical area is the fourth largest in Ohio. The city’s estimated and Reynolds, CareSource, Cargill, Cox Enterprises, NewPage items and sensory exhibits (including more than 360 aerospace population in 2018 was 140,599 residents. The Dayton- Corporation, Huffy Bicycles, LexisNexis, vehicles and missiles), proudly brings history to life and Springfield-Greenville Combined statistical Area had a Network, Premier Health Partners, and Taylor Corporation. connects the region’s aerospace heritage with today’s population of 1,080,044 residents in 2010 and is the 43rd Defense and aerospace industries comprise a large section of technology. It attracts more than 1 million visitors per year. The largest area in the . Dayton is situated within the the region’s economy, and is home to large satellite offices for city’s Carillon Historical Park showcases the region’s industrial Miami Valley region of Ohio, 50 miles north of , 70 Northrop Grumman, General Dynamics, GE Aviation, SAIC, Ball innovations, transportation achievements, and Dayton’s miles West of Columbus, and 100 miles east of . Aerospace, and Boeing. Dayton is also home to Wright- contributions to world progress. The Boonshoft Museum of Composed of Greene, Montgomery and Miami counties, it is the Patterson Air Force Base, the largest single-site employer in Discovery provides interactive science learning experiences, fourth largest in Ohio. Dayton is home to the Ohio. Multiple federal research laboratories in and around this while preserving, protecting, and enhancing the region’s National Museum of the United States Air Force. Dayton is base, including the Air Force Research Laboratory and the anthropology, geology, and biology collections. Founded in often referred to as the birthplace of aviation as the home of National Air and Space Intelligence Center, generate technology 1919, the Dayton Art Institute is the regions premier fine arts the Wright brothers. Dayton is also known for its many patents, that is critical to the economic and military security of our museum. In addition to exhibiting special exhibitions from inventions, and inventors that have come from the area. In country and key to the nation’s economic strength. This throughout the world, it is also rated one of the top 10 best art 2008, Site Selection magazine ranked Dayton the #1 medium exceptional atmosphere of inspiration, along with the billions of museums in the US for children. The Schuster Center, a world sized metropolitan area in the nation for growth and expansion. dollars of contracts continue to bring new companies to the class performing arts center, is home to The Dayton Opera, the region each year. Dayton Philharmonic Orchestra, and the . 15 Kohl’s | 6400 Wilmington Pike | Dayton, OH 45459

UNIVERSITIES AND COLLEGES IN MAJOR EMPLOYERS MEDICAL CENTERS GREATER DAYTON MSA (As of August 2018)

University of Dayton Wright-Patterson Air Force Base – 27,500 Mercy Medical Center Write Patterson AFB Medical Center Premier Health Partners – 13,800 Miami Jacobs Career College Miami Valley Hospital Kettering Health Network – 8,400 of Medical Arts Kettering Hospital

Wittenberg University Montgomery County – 4,300 Dayton Children’s Hospital

Central State University Greene Memorial Hospital Honda of America – 3,330 Kindred Hospital Sinclair Community College – 3,000 Air Force Institute of Technology Dayton Heart Hospital

Clark State Community College LexisNexis - 3,000 Dayton VA Medical Center

Urbana University – 2,900 Soin Medical Center Wilmington College Southview Medical Center AK Steel - 2,400 Antioch University Midwest Sycamore Hospital

Sinclair Community College Kroger – 1,600 Grandview Hospital DEMOGRAPHICS 16 Kohl’s | 6400 Wilmington Pike | Dayton, OH 45459

Population

3-MILE 5-MILE 10-MILE 44,808 112,684 405,479

Average Household Income

3-MILE 5-MILE 10-MILE $92,923 $91,835 $79,128 17

TENANT OVERVIEW TENANT PROFILE 18 Kohl’s is a leading omnichannel retailer with more than 1,158 stores in 49 states. Kohl’s purpose is to inspire and empower families to lead fulfilled lives. Their purpose is supported by five strategic pillars: amazing product, incredible savings, easy experience, personalized connections and winning teams. They offer quality, national and proprietary brands for their customers, their families and their homes. In addition to a strong portfolio of proprietary brands, offered are a deep assortment of top national brands including Nike, Levis, Under Armour, Carter’s, Dockers, KitchenAid, FitBit, NutriBullet and more. In store, online or with the tap of a finger on the mobile app, Kohl’s is committed to delivering an easy, connected omnichannel shopping experience for its customers. Their inspiring in-store experiences and seamless navigation on Kohls.com allow customers to get the amazing product they know and love from Kohl’s whenever and wherever they choose to shop.

Kohl’s is also growing its partnership with Amazon, including opening it’s doors to Amazon's returns at select locations, packing and shipping eligible items — back to an Amazon fulfillment center — for free. Kohl's announced it will begin selling Amazon devices, such as the Echo and Fire tablets, at select stores. With the ability to test technology gadgets, rather than simply clicking pictures online, is important for consumers before making a purchase. Consumers can further purchase Amazon gadgets at Kohl’s online. As an added bonus, customers visiting Kohl's for Amazon returns can use designated parking spots near the store entrance. Notably, this opportunity could lure consumers into stores to make a return, where they might later shop increasing foot traffic. Riding on the smart home trend enables Kohl’s to attract more customers.

Kohl’s is the leader in value and helps customers get more for every dollar. Savings opportunities include Yes2You Rewards loyalty program, Kohl’s Charge private label credit card and Kohl’s Cash. Kohl’s is committed to giving back to the communities they serve. Kohl’s has given more than $650 million to support communities nationwide. Success is driven by a winning team of approximately 140,000 associates who consistently put customers first, act with integrity, build great teams and drive results.

COMPANY TYPE FOUNDED # OF LOCATIONS HEADQUARTERS WEBSITE NYSE: KSS 1962 1,158+ Menomonee Falls, WI kohls.com 19

LEASE ABSTRACT LEASE SUMMARY 20 TENANT Kohl’s Illinois, Inc. PREMISES A Building of Approximately 95,811 SF LEASE COMMENCEMENT October 14, 1994 LEASE EXPIRATION January 31, 2031 LEASE TERM 12 Years Remaining RENEWAL OPTIONS 4 x 5 Years Options

8.03% Increase at Option 1 5.32% Increase at Option 2 RENT INCREASES 4.99% Increase at Option 3 4.83% Increase at Option 4

LEASE TYPE Double Net (NN) Lease PERMITTED USE Department Store PROPERTY TAXES Tenant’s Responsibility INSURANCE Tenant’s Responsibility COMMON AREA Tenant’s Responsibility ROOF & STRUCTURE Landlord’s Responsibility REPAIRS & MAINTENANCE Tenant’s Responsibility HVAC Tenant’s Responsibility UTILITIES Tenant’s Responsibility GUARANTOR Kohl’s Department Stores, Inc. Actual Property Image RENT ROLL 21 Kohl’s | 6400 Wilmington Pike | Dayton, OH 45459

DATE ANNUAL RENT RENT INCREASE CAP RATE

07/01/18 – 01/31/31 $704,210.85 - 6.35%

02/01/31 – 01/31/36 $760,739.34 8.03% 6.86%

02/01/36 – 01/31/41 $801,192.12 5.32% 7.23%

02/01/41 – 01/31/46 $841,220.58 4.99% 7.59%

02/01/46 – 01/31/51 $881,876.12 4.83% 7.95% Actual Property Image

SIZE ANNUAL RENT LEASE TERM

TENANT SQUARE % OF ANNUAL RENT RENTAL LEASE LEASE OPTIONS NAME FOOTAGE TOTAL BASE RENT PER SF INCREASE BEGIN END

Kohl’s Illinois, Inc. 95,811 SF 100% $704,210.85 $7.35 8% At Options 10/14/1994 12/31/2031 4 x 5 Years CONFIDENTIALITY AGREEMENT 22

The information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Sands Investment Group and should not be made available to any other person or entity without the written consent of Sands Investment Group.

This Offering Memorandum has been prepared to provide summary, unverified information 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 due diligence investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future 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 or asbestos, 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 any tenant’s plans or intentions to continue its occupancy of the subject property.

The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, Sands Investment Group has not verified, and will not verify, any of the information contained herein, nor has Sands Investment Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

By receipt of this Memorandum, you agree that this Memorandum and its contents are of confidential nature, that you will hold and treat it in the strictest confidence and that you will not disclose its contents in any manner detrimental to the interest of the Owner. You also agree that by accepting this Memorandum you agree to release Sands Investment Group and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this property. Kohl’s | 6400 Wilmington Pike | Dayton, OH 45459 23

Actual Property Image EXCLUSIVELY MARKETED BY:

CHRIS SANDS CLIFTON MCCRORY 1017 Chuck Dawley Blvd., Suite 200 Mount Pleasant, SC 29464 Lic. # 93103 Lic. # 99847 844.4.SIG.NNN 310.870.3282 | DIRECT 843.779.8255 | DIRECT www.SIGnnn.com [email protected] [email protected]

In Cooperation with Cooper Commercial Investment Group, LLC BoR: Dan Cooper – Lic # 2009003618