Bensalem Square
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BENSALEM SQUARE 2506 KNIGHTS ROAD | BENSALEM, PA 19020 GROCERY-ANCHORED SHOPPING CENTER PROPERTY OVERVIEW 2506 Knights Road Address Bensalem, PA 19020 ABOUT THE CENTER Gross Leasable Area 70,378 Anchor Tenant Redner's Bensalem Square is grocery-anchored retail center having 70,378 square feet of Gross Leasable Area. The Property is positioned within the highly populated Bucks County market, which boasts a very dense population of 18,000+ within one- Land Area 12.25 Acres mile radius and 100,000+ within a three-mile radius. The Lower Bucks County retail submarket has an impressive low Year Built 1983 vacancy rate of 6.4% in a submarket with over 26M square feet of retail inventory. The center is located at the intersection of Knights Road and Dunksferry road; and is the only retail center on Knights Road between high street and Franklin Mills Parking 572 spaces (8.12/1,000 SF) mall. The center features three entrance driveways and two traffic light intersections. The center enjoys 35 years of goodwill among the community; and features Redner's Supermarket and Outpatient facilities of St Mary's Hospital. This particular Redner's store is the most trending store of all, drawing its customer base even from nearby Philadelphia County because of Redner's lower price offerings. St Mary's Hospital - with its maternity center, adult care and pediatric care facilities - pull its customers from all far away areas. EXECUTIVE SUMMARY CENTER HIGHLIGHTS - A busy shopping center anchored by Redner's Groceries Supermarket and St Mary's Hospital - Only retail center on Knights Road that is located between Street Road and Franklin Mills mall - Located along Knights Road a busy 4-lane primary corridor of Bensalem - It is the only retail center located between Street Road and Franklin Mills mall - Three entrance driveways and Two traffic light intersections - Dense demographics, surrounded by apartments and residences, of above average household incomes -Enjoys 35 years of goodwill in the community DUNKS FERRY ROAD KNIGHT ROAD RITA’S WATER ICE HQ Bens al NESHAMINY MALL SHOPPING MALL Old Lincoln Hwy Bristol Rd Trevose Rd LOCATION SUEZ WATER NESHAMINY MARKETPLACE TECHNOLOGIES TARGET, HOME DEPOT Trevose Rd 276 ¦¨§276 HIGHLIGHTS NESHAMINY INTERPLEX STRONG POSITIONING WITHIN Street Rd PRIMARY RETAIL CORRIDOR PARX CASINO The Property’s location along Knights Road, just 0.25 PhiladelphiaBucks 1 ROTHMAN ORTHOPAEDIC miles from the intersection of Street Road, positions it Byberry Rd HOSPITAL within a major regional retail corridor, which has attracted BENSALEM GIANT HIGH SCHOOL many of the nation’s top retailers due to the market’s wide STREET RD PLAZA trade radius and growth profile. Simon Property Group’s GOODWILL, DOLLAR TREE KNIGHTSBRIDGE FRANKLIN BUCKS Philadelphia Mills is located 0.5 miles from the property PEPSI APARTMENTS COMMONS MEADOWS along Knights Road. BOTTLING CO HILL BROOK THE HUB PROPOSED 32 ACRE APARTMENTS MIXED-USE DEVELOPMENT elt Blvd v NORTHBROOK REGENCY WITH ~400,000 SF OF RETAIL/OFFICE APARTMENTS APARTMENTS & 165 RESIDENTIAL UNITS BENSALEM PLAZA CREEKSIDE AC MOORE $12.42 B $12.16 B $258 M APARTMENTS BROOKWOOD PLAZA NORTHEAST BENSALEM PLANET FITNESS PHILADELPHIA Bucks County Bucks County Opportunity / AIRPORT COUNTRY CLUB Retail Demand Retail Supply Surplus UV63 ALDI PHILADELPHIA MILLS OUTLET SHOPPING MALL WITH 200+ STORES PEIRCE-PHELPS BENEFITS FROM CLOSE PROXIMITY DISTRIBUTION TO PHILADELPHIA COUNTY LINE Academy Rd NORTHEAST Given its proximity to Philadelphia County and the recent PLASTIC SUPPLY implementation fo the Philadelphia Soda Tax, Bensalem ADI GLOBAL Square is primed to attract city resident consumers. This DISTRIBUTION 9595 Knights Rd ¦¨§ is a real phenomenon and has hit all Philadelphia County Delaware River grocers. Being this close to the Philadelphia border allows JEFFERSON TORRESDALE for optimum consumer aggregation. In addition to dense Grant Ave HOSPITAL residential areas, there are seven apartment complexes within 2 miles, adding over 3,200 units to the immediate trade area. Coo pe UV543 BENSALEM SQUARE Rd STRONG DEMOGRAPHICS WITH ACCESS TO MAJOR EMPLOYMENT HUBS Part of the Greater Philadelphia MSA, Bucks County has a population which garners some of the highest incomes in the state, ranking third highest among all counties in Pennsylvania based on per capita income. Within three miles of the Property, average household income is $79,840, over 45% more than the state average of $55,000. Philadelphia has one of the strongest “Eds and Meds” economies in the Country with a high concentration of health resources including 120 hospitals, 200 pharmaceutical and biotech firms with 132 medical manufacturers, while the Lehigh Valley is one of Pennsylvania’s fastest growing economies, with over 22,000 net new jobs added over the last five years and a $35 billion annual GDP. DEMOGRAPHICS 202 1 MILE 3 MILES 5 MILES BUCKS CO. 206 Population 18,467 109,288 299,999 628,341 1 Households (#) 7,111 37,980 117,710 250,646 PRINCETON 20 MILES Median Age 38.4 40.8 42.0 43.5 Average HH Income $75,957 $79,840 $79,201 $101,384 Median HH Income $59,085 $62,742 $61,833 $82,031 202 295 476 295 10 MILES 195 276 ¦¨§276 95 1 5 MILES 95 BENSALEM SQUARE KING OF PRUSSIA 295 76 95 30 JOINT BASE MCGUIRE-DIX-LAKEHURST PHILADELPHIA 1 EXECUTIVE SUMMARY TENANT SF 1 Redner's 47,638 SITE PLAN & 2A CHINA CAFE 1,200 2 DENTAL PRACTICE 1,120 TENANT ROSTER 3 Yashoda's Indian Kitchen 1,600 4 Final Score Sports Bar & Grill 3,200 5 / ' $' 2,000 Doral Garden Drive 6-7 St. Mary Medical* 2,240 8 D's Laundromat 1,480 12A St. Mary Medical* 9,900 Totals 70,378 1 12A 8 6-7 2345 2A St. Mary’s Medical expanded its operations Dunks Ferry Road to two non-contigous spaces EXTRA SPACE STORAGE (NOT OFFERED) PYLON SIGN Knights Road BENSALEM SQUARE ABOUT ANCHOR TENANTS REDNER’S WAREHOUSE MARKETS ST. MARY MEDICAL CENTER Founded in 1970, Redner’s Warehouse Markets is an employee-owned American St. Mary Medical Center is a primary healthcare provider for children through supermarket chain that currently operates 42 Redner’s Markets and 21 Redner’s seniors. St. Mary has a 371-bed hospital in Bucks County and provides care through Quick Shoppe convenience stores located throughout Pennsylvania, Delaware and numerous office locations throughout nearby communities. A member of Trinity Maryland. The Company’s grocery stores average 45,000 – 50,000 square feet and Health, St. Mary operates on a Christian based philosophy and has operated in are typically found in smaller rural towns or the outskirts of urban areas. As part of Bucks County since 1973. St. Mary Medical offers numerous services at Bensalem the Company’s business plan, they implement minimal marketing expenses in an Square including: Mother Bachmann Maternity Center, St. Mary Children’s Health attempt to manage controllable operating costs. Redner’s has its headquarters in Center, St. Mary Adult Health Center and St. Mary Family Resource Center. Reading, PA, its main distribution warehouse is located in Maidencreek, PA, and employs over 4,000 people. The Company is 100% employee owned, which gives it a ST. MARY MEDICAL CENTER COMPANY PROFILE competitive advantage in customer service and store performance. No. of Beds 371 No. of Physicians 700 RENDER’S MARKET COMPANY PROFILE No. of Employees 3,200 No. of Supermarkets 42 Website stmaryhealthcare.org No. of C-Stores 21 Trailing Sales (2017) $870M TRINITY HEALTH COMPANY PROFILE Headquarters Reading, PA No. of Hospitals 94 Store Locations PA, MD, DE No. of Outpatient Facilitates 109 Website www.rednersmarkets.com No. of Physicians 7,800 No. of Employees 133,000 2018 Revenue $18.3 Billion 2018 Operating Income $408.3 Million Website trinity-health.org PROPERTY OVERVIEW 13 Retail Market Overview POSITIONED WITHIN BUCKS COUNTY’S PRIMARY RETAIL NODE Bensalem Square’s location along Knights Road, just 0.25 miles from the intersection of Street Road, positions it within a major regional retail corridor, which has attracted many of the nation’s top retailers due to the market’s wide trade radius and growth profile. Simon Property Group’s Philadelphia Mills is located 0.5 miles from the property along Knights Rd. Kohl’s and Ross are located at the intersection of Street Road and Knights Road (0.25 miles away). Other notable retailers in the immediate area are Giant (0.9 miles), A.C. Moore (1.2 Miles) and Dick’s (1.25 Miles). BUCKS COUNTY RETAIL TRENDS & STATISTICS The Lower Bucks County retail market, made up of approximately 26 million SF in 2018, experienced a 70 basis point decrease in vacancy since 2013. Over the last ten years, the submarket has experienced net absorption of over 1.1 million square feet of retail despite delivering nearly 1.3 million square feet of retail over this same time period. Of the 26 million square feet of retail within Lower Bucks County, more than 15.7 million square feet are located within shopping centers. The average vacancy rate for shopping centers within the submarket is 7.3%, an improvement of 120 basis points from the ten year high in 2013. RETAIL MARKET SNAPSHOT RETAIL CENTERS SNAPSHOT Total Retail Inventory 2018 26,427,757 Total Retail Inventory 2018 15,716,061 Occupancy as of Q3 2018 93.70% Occupancy as of Q3 2018 92.70% 2018 Net Absorption 118,974 2018 Net Absorption -115,043 8.00% 400,000 10.00%10.00% 300,000300,000 7.10% 9.00%9.00% 250,000250,000 7.00% 300,000 8.60% 6.30% 8.60% 8.00% 200,000200,000 5.90% 8.00% 6.00% 200,000 7.30% 7.40% 7.30%150,000 7.10% 7.40% 150,000 5.60% 7.00%7.00% 7.10% 100,000 5.00% 100,000 100,000 5.10% 6.00% 6.10% 6.00% 6.10% 50,000 4.00% 0 5.00% 50,000 5.00% 0 0 4.00% 3.00% -100,000 4.00% -50,000 -50,000 3.00% 2.00% -200,000 3.00% -100,000 -100,000 2.00% -150,000 2.00% 1.00% -300,000 -150,000 1.00% -200,000 1.00% -200,000 0.00% -400,000 0.00% -250,000 2011 2012 2013 2014 2015 2016 2017 2018 0.00% 2011 2012 2013 2014 2015 2016 2017 2018 -250,000 Net Absorption Vacancy 2011 2012Net 2013 Absorption 2014 2015 2016Vacancy 2017 2018 Net Absorption Vacancy MARKET OVERVIEW Bucks County Overview Bensalem Square is situated in Bucks County, the third wealthiest county in the state of Pennsylvania and part of the demographically institutional marketplace of the Philadelphia MSA.