SINGLE TENANT NNN INVESTMENT (FEE SIMPLE) Brand New 2017 Construction - Corporate Guarantee 9395 Atlantic Blvd
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SINGLE TENANT NNN INVESTMENT (FEE SIMPLE) Brand New 2017 Construction - Corporate Guarantee 9395 Atlantic Blvd. | Jacksonville, FL | 32225 COLLIERS INTERNATIONAL | 3 PARK PLAZA, SUITE 1200 | IRVINE, CA 92614 | SNYDER/CARLTON TEAM Table Of Contents Property Overview 03 Investment Highlights 04 Lease Abstract 05 Parcel Details 06 Aerial Overview 07 Tenant Overview 09 Demographics 10 Jacksonville, FL 11 Daytime Population Map 12 Investment Contacts: Household Income Map 13 Eric Carlton Jereme Snyder Senior Vice President Executive Vice President Confidentiality Agreement 14 License No. 01809955 License No. 01360233 949.724.5561 949.724.5552 [email protected] [email protected] Broker of Record: Jason Ryals Executive Vice President License No. SL3047698 [email protected] Property Overview We are pleased to offer to qualified investors an opportunity to purchase a brand new single tenant NNN investment fully leased to Chipotle Mexican Grill on a corporate lease. With a brand new 11 year lease scheduled to begin the earlier of Tenant’s opening for business or 1/13/2018, this location provides excellent long term stable cash flow with a rent increase of 10% after year 6 as well as 10% increases each option period (4 -5 year options). Additionally, this location will be part of Chipotle’s new prototype construction and is backed by a corporate guarantee. This is a rare opportunity to purchase a brand new corporate guaranteed single tenant NNN investment, positioned as an outparcel to an existing Best Buy and Guitar Center, benefiting from excellent visibility from over 37,300 VPD, with 11 years remaining and minimal Landlord responsibilities. Pricing Summary Operating Expense Data List Price $2,880,000 Operating Expenses NOI $144,000 Taxes, Insurance, CAM NNN CAP Rate 5.00% Net Operating Income $144,0000 CHIPOTLE | P. 3 Property Highlights • Approximately 2,400 SF of GLA - Fee Simple - Pride of Ownership • 11 Year Long Term Lease - NNN Lease - Minimal Landlord Responsibilities • Brand New 2017 Construction - New Store Prototype • Corporate Guarantee Lease - Long Term Stable Cash Flow • 10% Increase After Year 6 With 4 - 5 Year Options (10% Increases Each Option) • Chipotle Mexican Grill (NYSE: CMG) - Opened in 1993 - Internationally Recognized Brand • Over 2,250 Locations Worldwide - $3.9 Billion in Total Revenue & $22.9 Million in Net Income (2016) Location Highlights • Strong Demographics - 85,592 Residents Within 3 Mile Radius - 221,725 Residents Within 5 Mile Radius • Supporting AHHI of $57,949 Within 3 Mile Radius & $64,230 Within 5 Mile Radius • Dense Retail Location - Strategically Located Between Arlington Express Way, Southside Blvd, and Atlantic Blvd • Excellent Visibility - Over 37,300 VPD - Signalized Intersection - Easy Ingress/Egress • Outparcel Location to Anchor Tenants Best Buy & Guitar Center • Surrounding Retail Includes , Mattress Firm, Starbucks, Panera Bread, Kia Car Dealership, Fifth Third Bank, the Regency Park Shopping Center (334,065 SF Center), Chili’s Grill & Bar, Chick-fil-A, Taco Bell, and More CHIPOTLE | P. 4 Lease Abstract Tenant Trade Name Chipotle Mexican Grill Lease Commencement January 13, 2018 Lease Expiration January 12, 2029 Lease Term 11 Years Term Remaining On Lease 11 Years Base Rent $144,000 Rental Adjustments 1/13/1/2024: $158,400 4 - 5 Ye a r O p t i o n P e r i o d s 10% Increases Every 5 Years Options 1/13/2029: $174,240 1/13/2034: $191,664 1/13/2039: $210,830 1/13/2044: $231,913 Lease Type NNN Lease Repairs & Maintenance HVAC, Utilities, Tenant Responsibilities Parking Lot, Landscaping (Except for those that are Landlords Responsibilities) Roof, Foundation, Footings, Landlord Responsibilities Walls, Exterior (15 Year Roof Warranty) & Structural Elements CHIPOTLE | P. 5 Parcel Details Parcel 124-23-316-009 Building Area 2,400 SF Parcel Area 32,670 SF (.75 Acres) Year Built 2017 New Construction Use QSR CHIPOTLE | P. 6 SOUTHERN CONNECTOR SERVICE RD. SERVICE SOUTHERN CONNECTOR Alderman Park Lake Lucina Jacksonville Residential Communities Executive Airport (CRG) LONE STAR RD. 295 68,500 CPD Regency Square Mall ARLINGTON EXPRESS WAY MONUMENT RD. 54,000 CPD 113 49,000 CPD 49,000 ARLINGTON EXPRESS WAY 37,387 CPD Woodland Acres Residential Communities ATLANTIC BLVD. Regency Park Shopping Center Residential Communities Aerial Overview CHIPOTLE | P. 7 Aerial Overview Regency Square Mall 113 SOUTHERN CONNECTOR SERVICE RD. RD. SERVICE CONNECTOR SOUTHERN ARLINGTON EXPRESS WAY 49,000 CPD 42,262 CPD 42,262 37,387 CPD ATLANTIC BLVD. CHIPOTLE | P. 8 Tenant Overview Chipotle Mexican Grill, Inc. (Chipotle), together with its subsidiaries, operates Chipotle Mexican Grill restaurants. The Company’s Chipotle Mexican Grill restaurants serve a menu of burritos, tacos, burrito bowls (a burrito without the tortilla) and salads. As of December 31, 2016, the Company managed its operations and restaurants based on 11 regions. As of December 31, 2016, the Company operated 2,198 Chipotle restaurants throughout the United States, as well as 29 international Chipotle restaurants, and it also had 23 restaurants in operation in other non-Chipotle concepts. As of December 31, 2016, 29 of its restaurants were located outside of the United States, with 17 in Canada, six in the United Kingdom, five in France and one in Frankfurt, Germany. The Company categorizes its restaurants as end-caps (at the end of a line of retail outlets), in-lines (in a line of retail outlets), free-standing or other. Of its restaurants in operation as of December 31, 2016, the Company had 1,396 end-cap locations, 370 free-standing units, 346 in-line locations and 138 other locations. Chipotle Mexican Grill, Inc. (CMG) Chipotle Mexican Grill on Forbes Lists NYSE CMG • #62 Innovative Companies Price $303.41 • #1,370 Global 2000 (2016) • #1,789 in Sales Volume 1,733,197 • #1,199 in Profit Market Cap (August 2017) $13.9 Billion • #856 in Market value Sales in 2016 $3.9 Billion • #162 America’s Best Midsize Employers (2016) • #435 America’s Best Employers (2015) 09/19/2017 - 3:40PM CHIPOTLE | P. 9 Population 1-MILE 3-MILE 5-MILE Households 1-MILE 3-MILE 5-MILE Estimated Population (2017) 5,557 84,289 209,426 Estimated Households (2017) 2,162 33,364 82,889 Projected Population (2022) 5,958 89,790 222,920 Projected Households (2022) 2,315 35,507 88,184 Income 1-MILE 3-MILE 5-MILE Business Facts 1-MILE 3-MILE 5-MILE $$ Avg. Household Income (2017) $51,198 $58,307 $64,133 Total # of Businesses (2017) 640 3,260 8,283 Median Household Income (2017) $36,183 $44,353 $48,201 Total # of Employees (2017) 8,206 30,236 91,171 CHIPOTLE | P. 10 City of Jacksonville Jacksonville is the largest city in the state of Florida. Located in Northeast Florida, and at the mouth of the St. Johns River, it is a major seaport city and the center of the Jacksonville metropolitan area. With an estimated 913,010 residents as of 2017, Jacksonville is the most populous city in both the state of Florida and the southeastern United States. It is estimated to be the 12th most populous city in the United States and is the largest city by area in the contiguous United States. The Jacksonville metropolitan area has a population of 1,626,611. It is the 34th largest MSA in the United States and fourth largest in the state of Florida. Jacksonville is the cultural, commercial and financial center of North Florida. A major military and civilian deepwater port, the city is the site of two U.S. Navy bases, Naval Station Mayport and Naval Air Station Jacksonville, and the Port of Jacksonville, Florida’s third largest seaport that includes the U.S. Marine Corps Blount Island Command. Jacksonville also serves as headquarters for various banking, insurance, healthcare, logistics, and other institutions. These include CSX Corporation, Fidelity National Financial, FIS, Landstar System, Ameris Bancorp, Atlantic Coast Financial, Black Knight Financial Services, EverBank, Rayonier Advanced Materials, Regency Centers, Stein Mart, Web.com, Fanatics, Gate Petroleum, Haskell Company, Interline Brands, Sally Corporation, and Southeastern Grocers. Jacksonville is also home to several colleges and universities, including University of North Florida, Jacksonville University and Florida State College at Jacksonville. CHIPOTLE | P. 11 85,592 Residents Within 3 Mile Radius CHIPOTLE | P. 12 AHHI of $57,949 Within 3 Mile Radius CHIPOTLE | P. 13 This Offering Memorandum contains select information pertaining Owner and Colliers International expressly reserve the right, at their to the business and affairs of Chipotle, Jacksonville, FL. It has been sole discretion, to reject any and all expressions of interest or offers prepared by Colliers International. This Offering Memorandum may to purchase the Property and to terminate discussions with any not be all-inclusive or contain all of the information a prospective person or entity reviewing this Offering Memorandum or making an purchaser may desire. The information contained in this Offering offer to purchase the Property unless and until a written agreement Memorandum is confidential and furnished solely for the purpose of for the purchase and sale of the Property has been fully executed a review by a prospective purchaser of the Property. It is not to be and delivered. used for any other purpose or made available to any other person without the written consent of Seller or Colliers International. The If you wish not to pursue negotiations leading to the acquisition material is based in part upon information supplied by the Seller and of Chipotle,