JEFFREY MITCHELL, CCIM MIKE MEDINA MARINE PRODUCTS [email protected] [email protected] direct 702.374.0211 direct 801.416.1049 949 WEST 1700 SOUTH 5505861-SA00 View Profile SALT LAKE CITY, UT View Profile TABLE OF CONTENTS EXECUTIVE 4 SUMMARY PROPERTY 5 OVERVIEW INVESTMENT 8 OVERVIEW 9 FINANCIALS 10 MAPS 13 TENANT PROFILE ECONOMIC 16 INFORMATION 18 DEMOGRAPHICS MARINE PRODUCTS 2 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com MARINE PRODUCTS CONFIDENTIALITY AND DISCLOSURE 949 WEST 1700 SOUTH Mountain West Commercial Real Estate has been retained on an exclusive basis to market the property SALT LAKE CITY, UT described as 949 West 1700 South, Salt Lake City, UT. Broker has been authorized by seller of the property to prepare and distribute the enclosed information for the purpose of soliciting offers to purchase from interested parties. More detailed financial, title and tenant lease information may be made available upon request following the mutual execution of a letter of intent or contract to purchase between the Seller and PREPARED BY the prospective purchaser. You are invited to review this opportunity and make an offer to purchase based upon your analysis. If your offer results in the Seller choosing to open negotiations with you, you will be JEFFREY MITCHELL, CCIM asked to provide financial references. The eventual purchaser will be chosen based upon an assessment of [email protected] direct 702.374.0211 price, terms, ability to close the transaction and such other matters as the Seller deems appropriate. 5505861-SA00 View Profile The Material is intended solely for the purpose of soliciting expressions of interest from qualified investors for the acquisition of the Property. The Material is not to be copied and /or used for any other purpose or MIKE MEDINA made available to any other person without the express written consent of Broker or Seller. The Material [email protected] does not purport to be all-inclusive or to contain all of the information that a prospective buyer may direct 801.416.1049 require. The information contained in the material has been obtained from the Seller and other sources View Profile and has not been verified by the Seller or its affiliates, agents, representatives, employees, parents, subsidiaries, members, managers, partners, shareholders, directors, or officers, makes any representation or warranty regarding such pro forma. Purchaser must make its own investigation of the Property and any existing or available financing, and must independently confirm the accuracy of the projections contained in the pro forma. Seller reserves the right, for any reason, to withdraw the Property from the Market. Seller has no obligation, express or implied, to accept any offer. Further, Seller has no obligation to sell the Property unless and until the Seller executes and delivers a signed agreement of purchase and sale on terms acceptable to the Seller, in its sole discretion. By submitting an offer, a purchaser will be deemed to have acknowledged the foregoing and agreed to release Seller and Broker from any liability with respect thereto. Property walk-throughs are to be conducted by appointment only. Contact Broker for additional information. Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 3 EXECUTIVE SUMMARY Mountain West has been selected to offer a single tenant absolute NNN leased investment occupied by The Marine Products. This property is a unique investment opportunity in Salt Lake City, Utah. The real estate is well positioned in the Salt Lake Valley and only 3 minutes off the UT-201 Interchange. As the exclusive dealer in Utah for MP, Moomba, & Supra Boat the location provides an ease of access for the customers across the Wasatch Front. The asset includes 2.64 Acres of land with 430 +/- feet of frontage along the 1700 South corridor to the intersection of 900 West. With 1700 South and 900 West generating over 25,000 vehicles per day the visibility and presence of the location is outstanding. The property includes three structures providing ample retail space, shop space, and covered storage. The site is well designed with 1.31 acres of secured fenced yard area for boat storage, in addition to the ample customer and display parking along 1700 South. Marine Products is a company that has been in business since 1971, known for its vast inventory of products with robust sales at this location and a strong online presence they offer convenience and a great customer experience through all sales channels, making MP a leader in the boat dealership industry. The company has been recognized for multiple Dealer awards and is a major sponsor for boating events and athletes. With an average Marine Products employee being with the company for 20 years, they provide customers with the highest level of expertise. In summary, the asset is a high-quality investment, which includes a large 2.64 acre parcel of land, three building structures for a combined total of approximately 38,696 square feet, and a Tenant that has been a staple in the community since 1971. VISIT WEBSITE MARINE PRODUCTS 4 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com PROPERTY OVERVIEW SITE Located in the South Salt Lake I-15 Industrial Corridor on the corner of 17th South and 9th West. Central between I-15 (N-S) and I-80 (E-W) Freeways. 1000 W LAND AREA 10,390 ADT The subject consists of one parcel totaling 2.64 acres or 114,998 SF. 12,391 ADT 1700 S PARKING The property has sufficient parking as required for customers and staff. FRONTAGE & ACCESS N OT A PART The property can be accessed from both 1700 South and Quayle Avenue. 0.1 7 AC The property has over 430 ft of Frontage on 1700 South. N OT A PART 0.1 7 AC 0.24 AC TRAFFIC COUNTS 0.22 AC N OT A PART 1700 South 12,391 ADT N OT A PART 900 West 14,536 ADT 1 51 4405021 0000 ZONING 2.64AC CG IMPROVEMENTS N OTA PART 1 .22AC Buildings: Retail/Warehouse, Boat Shop, Storage Year Built/Age: 1961-1996/21-56 Years Effective Age: 10 Years 0.25 AC Gross Size: 38,696 SF N OT A PART 900 W Foot Print: 33,245 SF PEARL ST Retail Office vs. Shop Storage: ±65% Coverage Ratio: 29% Building-to-Land Ratio: 34% QUAYLE AVE BUILDING AREA SIZE SUMMARY MAIN BUILDING SHOP BUILDING WAREHOUSE BUILDING 14,536 ADT Main Level 19,601 Service Bays 5,000 Warehouse 7,144 2nd Level Retail 4,821 Garage Storage 1,500 2nd Level Break Room 630 Total 25,052 6,500 7,144 VIEW DRONE VIDEO GRAND TOTAL 38,696 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 5 MARINE PRODUCTS 6 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 7 INVESTMENT OVERVIEW PRICING INVESTMENT HIGHLIGHTS PURCHASE PRICE $7,233,418 • Absolute NNN Investment NET OPERATING INCOME $397,838 • Long Term Lease CAP RATE 5.50% • Annual Increases LEASE INFORMATION • Large Parcel TENANT TRADE NAME Marine Products LEASE TYPE Absolute NNN • Established Tenant with Long Term Operation History EXPIRATION 12/31/2028 LEASE TERM 10 Years LEASE TERM REMAINING 8 Years LEASE AND OPTION DETAIL RENTAL INCREASES 3% Annually MONTHLY ANNUAL LEASE TERM START RENT/SF % INCREASE RENT RENT EXTENSION OPTIONS One 10-Year Option INITIAL TERM - YEAR 1 2019 $31,250.00 $375,000.00 $9.69 3.00 % TENANT'S FIRST RIGHT OF Yes REFUSAL INITIAL TERM - YEAR 2 2020 $32,187.50 $386,250.00 $9.98 3.00% PROPERTY TAXES Tenant Responsible INITIAL TERM - YEAR 3 2021 $33,153.17 $397,838.00 $10.28 3.00% INSURANCE Tenant Responsible INITIAL TERM - YEAR 4 2022 $34,147.75 $409,773.00 $10.59 3.00% UTILITES Tenant Responsible INITIAL TERM - YEAR 5 2023 $35,172.17 $422,066.00 $10.91 3.00% MAINTENANCE Tenant Responsible INITIAL TERM - YEAR 6 2024 $36,227.33 $434,728.00 $11.23 3.00% INITIAL TERM - YEAR 7 2025 $37,314.17 $447,770.00 $11.57 3.00 % INITIAL TERM - YEAR 8 2026 $38,433.58 $461,203.00 $11.92 3.00% INITIAL TERM - YEAR 9 2027 $39,586.58 $475,039.00 $12.28 3.00% INITIAL TERM - YEAR 10 2028 $40,774.17 $489,290.00 $12.64 3.00% MARINE PRODUCTS 8 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com FINANCIALS 10-YEAR CAP RATE MATRIX Asking Price $ 7,233,418.00 ANNUAL INCREASES 3% PERIOD MONTHLY NOI ANNUAL NOI CAP RATE 2021 $33,153.17 $397,838.00 5.50% 2022 $34,147.76 $409,773.14 5.67% 2023 $35,172.19 $422,066.33 5.83% 2024 $36,227.36 $434,728.32 6.01% 2025 $37,314.18 $447,770.17 6.19% 2026 $38,433.61 $461,203.28 6.38% 2027 $39,586.61 $475,039.38 6.57% 2028 $40,774.21 $489,290.56 6.76% 2029 $41,997.44 $503,969.28 6.97% 2030 $43,257.36 $519,088.35 7.18% 2031 $44,555.08 $534,661.00 7.39% OWNER INCOME 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Leased Income $ 375,000 $ 386,250 $ 397,838 $ 409,773$ 422,066 $ 434,728 $ 447,770 $ 461,203 $ 475,039 $ 489,290 Projected Annual Income $ 375,000 $ 386,250 $397,838 $ 409,773 $ 422,066 $ 434,728 $ 447,770 $ 461,203 $ 475,039 $ 489,290 Blended Annual Rate $ 9.69 $ 9.98$ 10.28 $ 10.59 $ 10.91 $ 11.23 $ 11.57 $ 11.92 $ 12.28 $ 12.64 Vacancy Loss 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Effec�ve Gross Income $ 375,000 $ 386,250 $397,838 $ 409,773 $ 422,066 $ 434,728 $ 447,770 $ 461,203 $ 475,039 $ 489,290 Opera�ng Expenses (NNN Paid by Tenant) $ -$ - $ - $ - $ - $ - $ - $ - $ - $ - Net Opera�ng Income $ 375,000$ 386,250 $ 397,838 $409,773 $ 422,066 $ 434,728 $ 447,770 $ 461,203 $ 475,039 $ 489,290 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 9 AREA RETAIL T 19,180 ADT 1300 S 18,509 ADT 15,708 ADT AD ,387 10,367 ADT CALIFORNIA A VE 17 18,586 ADT 10,658 ADT 5,013 ADT 10,390 ADT 30,339 ADT 7,320 ADT