Miami, FL 33155 - West Miami Submarket 7275 Bird Road 1,106 SF Retail Freestanding Micael Machado Realtor-Associate 786.859.6311 Overview Compass is pleased to exclusively offer the sale of ENTERPRISE RENT-A- CAR located on 7275 SW 40th Street, Miami, FL 33155. This opportunity includes Triple Net (NNN) lease with a strong national tenant with over 7,600 locations in 85 different countries, providing for a unique and secure investment. 7 years remaining on the lease, with two 5 years options. This is a Fee Simple investment Opportunity located at busy Bird Road corridor close to major highways, and Miami International Airport. Tenant is at this location since 1997. ENTERPRISE RENT-A- CAR is part of Enterprise Holdings, largest rental car company in the U.S. with revenues of $24.1 Billion in 2018. In August 31, 2017 Enterprise renewed lease to expire on August 31, 2027. Price $1,390,000 Net Operating $73,200 Income Capitalization Rate - 5.2% Current Annual Rent 2.5% Increases Price / SF $ 1,256.78 Rent / SF $ 66.60 Lease Type NNN Gross Leasable Area 1,106 Lot Area 12,000 SF / 0.2755 ACRES Year Built 1960 Building Size 1,106 SF Roof & Structure Tenant’s Responsibility HVAC and Utilities Tenant’s Responsibility Repairs & Tenant’s Responsibility Maintenance Parcel ID # 30-4014-008-4300 Zoning (Special BU-2 Business District) Tenant on this 1997 location since Daily Automobile 49,500 Traffic Micael Machado | 786.859.6311 Highlights Tenant Information Absolut Triple Net (NNN) Lease | 7 Years Remaining Attractive 2.5 % Annual Rental Increases Two 5 Years Extension Options Tenant Name Enterprise Rent-A-Car Investment Grade Tenant | BBB+ Rating (S&P) Website enterprise.com Many National Retailers in the Immediate Area Parent Company Enterprise Holdings More than 49.5 K Traffic Counts Headquartered St. Louis MO Close to Miami International Airport (MIA) Rentable Square Feet 1106 SF Centralized Location close to main Highways Percentage of RBA 100% Miami retail rents is far above national average Lease September 1, 1997 Surrounded By National Retailers Commencement Lease Expiration August 31, 2027 Close Proximity to Shopping Center, Hospital, Public Transportation No. of Locations 7600 Micael Machado | 786.859.6311 Location Nearby businesses: McDonalds, Burger King, MIA, Target, Hertz, IHOP, Subaru, Shell, Publix, Mattress King, Jiffy Lube, Taco Bell , Chevron, Post office, TD Bank. Micael Machado | 786.859.6311 Miami Market Summary The retail sector is undergoing a major transformation globally. While retail sales have consistently strengthened over the cycle, the sector transformation is having a profound effect on retail real estate across the country. This has resulted in construction grinding to a halt and rental rates declining in many major markets. Miami retail real estate has weathered this transformation well. Retail rents in the Miami metro increased by 2.7% year- over-year, and have posted an average annual gain of 3.7% over the past three years. Four out of the top five retail rent growth metros are in Florida. Vacancies were very close to the five year cycle average of 3.6%, they register at 3.7%, remaining stable over the past four quarters. There is 3,300,000 SF currently underway, representing a 3% expansion of the existing inventory. Over the past three years, 3.4 million SF has delivered, or a cumulative inventory expansion of 2.5%. Sales activity was healthy over the past four quarters, registering at $1,013,800,000, signaling strong investment conditions. The average annual sales volume over the past five years has been $1.4 million. These metrics point to a clear dichotomy when it comes to Miami’s retail fortunes, compared to the wider sector. Miami has long placed strong focus on the retail experience, a direction that the entire retail market is heading towards. Miami’s experiential focus has been shaped by the large number of visitors that come to the area for business and leisure every year. In 2017, the most recent year with reported statistics, 15.7 million people visited Miami. Visitors are much less likely to go online to shop and they are estimated to drive close to 30% of retail spending in the metro. Capitalizing on the visitor impact, Miami saw the developments of mixed-use mega projects such as Brickell City Center, the Design District, the Wynwood Arts & Entertainment District, and the mother of all Miami retail markets, Lincoln Road in Miami Beach. Micael Machado | 786.859.6311 Rent Analytics Miami Rent Trends Retail rents have grown steadily over the past economic cycle and are consistently registering rent growth that is far above the national average. The market consistently ranks among the top 10 metros in the country for highest gross asking rents. The market’s rent growth strength is well supported by tourist-heavy submarkets like Miami Beach, Downtown Miami, Aventura, Brickell, and Coconut Grove. The Miami Submarket is home to the Design District, where some tenants are willing to sign leases that are more than four times as costly as the metro’s average. Annual rent growth is currently at 2.7% twice the national average, and rental rates are at $37.00/SF. This is despite the high levels of deliveries and the strong supply pipeline. Malls continue to command high rent growth, with rises of over 7% over the past year. Strip malls also saw strong rent growth, registering rises of close 5% per year. MEDIAN MONTHS ON MARKET MEDIAN MONTHS ON MARKET Peers West Miami Miami 2009 1.8 9.3 7.9 2010 7.7 10.1 11.7 2011 - 6.7 12.8 2012 - 8.3 13.1 2013 - 13.0 12.9 2014 - 14.1 14.8 2015 - 12.1 15.4 2016 7.0 7.4 11.4 2017 - 8.9 8.5 2018 - 8.5 8.1 2019 - 8.0 8.0 Micael Machado | 786.859.6311 Rental Comparable Micael Machado | 786.859.6311 Sales Comparable Micael Machado | 786.859.6311 Zoning BU-2 Special Business District Purpose: Large scale commercial and / or office facilities Uses: Retail (build up to 40% or 4,800SF leasable area) Office Facilities Animal Hospital Automobile Parking Lot Garage Other uses available: http://www.miamidade.gov/zoning/district-bu-2-special-business.asp Demographics Population 1 Mile 3 Mile 5 Mile Current 17,301 181,540 511,806 5 Yr Growth 4.2 % 3.7 % 4.2 % Buying Power $381.2M $3.4B $9.6B Average Household $74,326 $82,214 $79,714 Income Micael Machado | 786.859.6311.