MEMORANDUM 1501 S Sooner Road Oklahoma City, OK 73110 Confidentiality and Disclaimer
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Subject Property GOLDEN CORRAL EXCLUSIVE NET - LEASE OFFERING OFFERING MEMORANDUM 1501 S Sooner Road Oklahoma City, OK 73110 Confidentiality and Disclaimer Marcus & Millichap hereby advises all prospective purchasers of guarantors may fail to pay the lease rent or property taxes, or may has not verified, and will not verify, any of the information Net Leased property as follows: fail to comply with other material terms of the lease; cash flow contained herein, nor has Marcus & Millichap conducted any may be interrupted in part or in whole due to market, economic, investigation regarding these matters and makes no warranty or The information contained in this Marketing Brochure has been environmental or other conditions. Regardless of tenant history representation whatsoever regarding the accuracy or obtained from sources we believe to be reliable. However, Marcus and lease guarantees, Buyer is responsible for conducting his/her completeness of the information provided. All potential buyers & Millichap has not and will not verify any of this information, nor own investigation of all matters affecting the intrinsic value of the must take appropriate measures to verify all of the information has Marcus & Millichap conducted any investigation regarding property and the value of any long-term lease, including the set forth herein. these matters. Marcus & Millichap makes no guarantee, warranty likelihood of locating a replacement tenant if the current tenant or representation whatsoever about the accuracy or completeness should default or abandon the property, and the lease terms that NON-ENDORSEMENT NOTICE of any information provided. Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal Marcus & Millichap Real Estate Investment Services, Inc. (“M&M”) As the Buyer of a net leased property, it is the Buyer’s ability to make alternate use of the property. is not affiliated with, sponsored by, or endorsed by any responsibility to independently confirm the accuracy and By accepting this Marketing Brochure you agree to release Marcus commercial tenant or lessee identified in this marketing package. completeness of all material information before completing any & Millichap Real Estate Investment Services and hold it harmless The presence of any corporation’s logo or name is not intended to purchase. This Marketing Brochure is not a substitute for your from any kind of claim, cost, expense, or liability arising out of indicate or imply affiliation with, or sponsorship or endorsement thorough due diligence investigation of this investment your investigation and/or purchase of this net leased property. by, said corporation of M&M, its affiliates or subsidiaries, or any opportunity. Marcus & Millichap expressly denies any obligation agent, product, service, or commercial listing of M&M, and is to conduct a due diligence examination of this Property for Buyer. CONFIDENTIALITY AND DISCLAIMER solely included for the purpose of providing tenant lessee information about this listing to prospective customers. Any projections, opinions, assumptions or estimates used in this The information contained in the following Marketing Brochure is Marketing Brochure are for example only and do not represent proprietary and strictly confidential. It is intended to be reviewed ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE the current or future performance of this property. The value of a only by the party receiving it from Marcus & Millichap and should CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE net leased property to you depends on factors that should be not be made available to any other person or entity without the DETAILS. evaluated by you and your tax, financial and legal advisors. written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to Buyer and Buyer’s tax, financial, legal, and construction advisors prospective purchasers, and to establish only a preliminary level should conduct a careful, independent investigation of any net of interest in the subject property. The information contained leased property to determine to your satisfaction with the herein is not a substitute for a thorough due diligence suitability of the property for your needs. investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the Like all real estate investments, this investment carries significant income or expenses for the subject property, the future projected risks. Buyer and Buyer’s legal and financial advisors must request financial performance of the property, the size and square footage and carefully review all legal and financial documents related to of the property and improvements, the presence or absence of the property and tenant. While the tenant’s past performance at contaminating substances, PCB’s or asbestos, the compliance with this or other locations is an important consideration, it is not a State and Federal regulations, the physical condition of the guarantee of future success. Similarly, the lease rate for some improvements thereon, or the financial condition or business properties, including newly-constructed facilities or newly- prospects of any tenant, or any tenant’s plans or intentions to acquired locations, may be set based on a tenant’s projected sales continue its occupancy of the subject property. The information 1501 S Sooner Road with little or no record of actual performance, or comparable contained in this Marketing Brochure has been obtained from rents for the area. Returns are not guaranteed; the tenant and any sources we believe to be reliable; however, Marcus & Millichap Oklahoma City, OK 73110 Table of Contents Investment Highlights 4 Financial Analysis 5 Concept Overview 6 Surrounding Area 7 Location Overview 8 Property Photos 9 Surrounding Area Photos 10 Local Map 11 Regional Map 12 Demographics 13 Market Overview 14 Representative Photo Investment Highlights PRICE: $4,643,980 | CAP: 6.15% | RENT: $285,605 Representative Photo About the Investment ✓ Long-Term, 15-Year Absolute Triple Net (NNN) Sale-Leaseback ✓ Five Percent (5.00%) Rental Increases Occurring Every Five (5) Years ✓ Four (4), Five (5)-Year Tenant Renewal Options, Bringing the Potential Lease Term to 35 Years About the Location ✓ Dense Retail Corridor | Walmart Supercenter, Target, Walgreens, Burlington, Hobby Lobby, The Home Depot, Party City, Subway, Carl’s Jr. and Many More ✓ Strong Demographics | Population Exceeds 73,000 Individuals Within a Three-Mile Radius and 138,000 in a Five-Mile Radius ✓ Positive Real Estate Fundamentals | Located Within a Five-Mile Radius from Downtown Oklahoma City, OK ✓ Strong Traffic Counts | Over 17,000 and 56,000 Vehicles Per Day Along South Sooner Road and Interstate-40, Respectively ✓ Prominent Academic Presence | Rose State College Located Within a One-Mile Radius | Over 8,200 Students Enrolled ✓ Surrounding New Development | Warren Theatre Located Opposite the Site | A Representative Photo Multi-plex Entertainment Facility With Four Auditoriums ✓ Numerous Hospitality Accommodations | Nine Hospitality Tenants Within a Two- Mile Radius | Includes: Holiday Inn, Marriot, Super 8, La Quinta and Many More ✓ Immediate Medical Access | Integris Community Hospital | State-of-the-Art Medical Facility Within a One-Mile Radius About the Tenant / Brand ✓ Golden Corral is a privately held company headquartered in Raleigh, North Carolina with nearly 500 locations across 40 states. ✓ Strong Track Record With Proven Operational Expertise ✓ Of the nearly 500 locations, over 100 sites are company-owned and the others franchised. Gross sales for the company are over $1.7 billion. Golden Corral – Oklahoma City, OK 4 Financial Analysis PRICE: $4,643,980 | CAP: 6.15% | RENT: $285,605 PROPERTY DESCRIPTION RENT SCHEDULE Property Golden Corral Lease Year Annual Rent Monthly Rent Rent Escalation Property Address 1501 S Sooner Road Year 1 $285,605 $23,800 - City, State ZIP Oklahoma City, OK 73110 Year 2 $285,605 $23,800 - Year Built / Renovated 1991/2019 Year 3 $285,605 $23,800 - Year 4 $285,605 $23,800 - Building Size (SF) 10,387 Year 5 $285,605 $23,800 - Lot Size (Acres) +/- 2.26 Year 6 $299,885 $24,990 5.00% Type of Ownership Fee Simple Year 7 $299,885 $24,990 - THE OFFERING Year 8 $299,885 $24,990 - Purchase Price $4,643,980 Year 9 $299,885 $24,990 - Year 10 $299,885 $24,990 - CAP Rate 6.15% Year 11 $314,880 $26,240 5.00% Annual Rent $285,605 Year 12 $314,880 $26,240 - Rent Per SF $27.50 Year 13 $314,880 $26,240 - Price Per SF $447 Year 14 $314,880 $26,240 - LEASE SUMMARY Year 15 $314,880 $26,240 - Option Periods Property Type Net Leased Restaurant Option 1 $330,623 $27,552 5.00% Tenant / Guarantor Corporate Option 2 $347,155 $28,930 5.00% Original Lease Term 15 Years Option 3 $364,512 $30,376 5.00% Lease Commencement Close of Escrow Option 4 $382,738 $31,895 5.00% Lease Expiration 15 Years From Close of Escrow INVESTMENT SUMMARY Lease Term Remaining 15 Years Marcus & Millichap is pleased to present the exclusive listing for a Golden Corral located at 1501 S Sooner Road in Oklahoma City, OK. The site consists of roughly Lease Type Absolute Triple-Net (NNN) 10,387 rentable square feet of building space on estimated 2.26-acre parcel of land. Roof & Structure Tenant Responsible This Golden Corral is subject to a 15-year absolute triple-net (NNN) lease, which will commence upon the close of escrow. The current annual rent is $285,605 and is Rental Increases 5.00% Every 5 Years scheduled to increase by five percent (5.00%) every five (5) years throughout the base Options to Renew Four (4), Five (5)-Year Options term and in each of the four (4), five (5)-year renewal options. Golden Corral – Oklahoma City, OK 5 Concept Overview About Golden Corral Golden Corral is an American family-style restaurant chain that features a large buffet and grill offering numerous hot and cold items, a carving station and theirABOUT Brass Bell GOLDEN Bakery.