$1,454,000 - 5.25% CAP DUNKIN DONUTS Absolute...

214.915.8890

JOE CAPUTO

[email protected]

BOB MOORHEAD

[email protected]

RUSSELL SMITH

[email protected]

property. New Construction. 2,256+ SF building on 0.68+ acre site.

tenant. Dunkin Donuts. Franchisee: Boston Coffee, Inc., operates 38+ restaurants with 15+ years of restaurant and real estate experience. Lease includes

strong personal guarantee.

lease structure. Brand new, 10-year, absolute NNN lease with 10% rent increases every 5-years.

location. Dunkin Donuts is strategically located along Dacula Road (15,000 Cars / Day) just northwest of where Dacula intersects Fence Rd NE (11,000 Cars /

Day). Dacula Road is one of Dacula’s main arterial roads and carries significant traffic volumes throughout the city. The subject property is a pad site to Kroger and

shares the vicinity with national credit tenants such as Walgreens, AutoZone, McDonald’s, Taco Bell, KFC, and Chick-fil-a. Other notable retailers located within 1-

mile of the subject property include Publix, Anytime Fitness, Curves, Starbucks, Pep Boys, Sonic, and many others. The site not only benefits from the draw that

the retail trade area creates, but also benefits from close proximity to Hebron Christian Academy, Dacula Elementary School, and Hebron Baptist Church.

Exclusive OFFERING|$1,454,000 - 5.25% CAP

DUNKIN DONUTS

REPRESENTATIVE PHOTO

Exclusive OFFERING|$1,454,000 - 5.25% CAP

DUNKIN DONUTS – Absolute NNN LEAsE

565 Dacula Road, Dacula, Georgia

Trivanta. (“Agent”) has been engaged as an agent for the sale of the property located at the

565 Dacula Road, Dacula, Georgia by the owner of the Property (“Seller”). The Property is

being offered for sale in an “as-is, where-is” condition and Seller and Agent make no

representations or warranties as to the accuracy of the information contained in this

Offering Memorandum. The enclosed materials include highly confidential information and

are being furnished solely for the purpose of review by prospective purchasers of the

interest described herein. The enclosed materials are being provided solely to facilitate the

prospective investor’s own due diligence for which it shall be fully and solely responsible.

The material contained herein is based on information and sources deemed to be reliable,

but no representation or warranty, express or implied, is being made by Agent or Seller or

any of their respective representatives, affiliates, officers, employees, shareholders,

partners and directors, as to the accuracy or completeness of the information contained

herein. Summaries contained herein of any legal or other documents are not intended to be

comprehensive statements of the terms of such documents, but rather only outlines of

some of the principal provisions contained therein. Neither the Agent nor the Seller shall

have any liability whatsoever for the accuracy or completeness of the information contained

herein or any other written or oral communication or information transmitted or made

available or any action taken or decision made by the recipient with respect to the Property.

Interested parties are to make their own investigations, projections and conclusions without

reliance upon the material contained herein. Seller reserves the right, at its sole and

absolute discretion, to withdraw the Property from being marketed for sale at any time and

for any reason. Seller and Agent each expressly reserves the right, at their sole and

absolute discretion, to reject any and all expressions of interest or offers regarding the

Property and/or to terminate discussions with any entity at any time, with or without notice.

This offering is made subject to omissions, correction of errors, change of price or other

terms, prior sale or withdrawal from the market without notice. Agent is not authorized to

make any representations or agreements on behalf of Seller. Seller shall have no legal

commitment or obligation to any interested party reviewing the enclosed materials,

performing additional investigation and/or making an offer to purchase the Property unless

and until a binding written agreement for the purchase of the Property has been fully

executed, delivered, and approved by Seller and any conditions to Seller’s obligations

hereunder have been satisfied or waived. By taking possession of and reviewing the

information contained herein, the recipient agrees that (a) the enclosed materials and their

contents are of a highly confidential nature and will be held and treated in the strictest

confidence and shall be returned to Agent or Seller promptly upon request; and (b) the

recipient shall not contact employees or tenants of the Property directly or indirectly

regarding any aspect of the enclosed materials or the Property without the prior written

approval of the Seller or Agent; and (c) no portion of the enclosed materials may be copied

or otherwise reproduced without the prior written authorization of Seller and Agent.

PAGE 3: INVESTMENT | TENANT | LEASE OVERVIEW

PAGE 1: COVER

PAGE 2: TABLE OF CONTENTS | DISCLAIMER

PAGE 10: DEMOGRAPHICS

Table of contents | Disclaimer Dunkin Donuts


PAGE 5-6: AERIAL PHOTOS

PAGE 7: LOCATION OVERVIEW

PAGE 8-9: LOCATION MAPS

Disclaimer

PAGE 4: SITE PLAN

2

Georgia Broker of Record:

Pamela Atwater | Atwater Commercial Real Estate Services

SUBJECT PROPERTY PRIOR TO PANDA EXPRESS EXPANSION

PRICE: $1,454,000

CAP RATE: 5.25%

NET OPERATING INCOME: $76,300

BUILDING AREA: 2,256+ Square Feet

LAND AREA: 0.68+ Acres

YEAR BUILT: 2015

LANDLORD RESPONSIBILITY: None

OWNERSHIP: Fee Simple Interest

OCCUPANCY: 100%

Investment overviewDunkin Donuts


Projected Lease Expiration: October 2025

Projected Rent Commencement: October 2015

Initial Lease Term: 10-Years, Plus 4, 5-Year Options to Renew

Rent Increases: 10% Every 5-Years In Primary Term & Options

Year 1-5 Annual Rent (Current): $76,300

Lease Type: Absolute NNN

Year 6-10 Annual Rent: $83,930

Year 11-15 Annual Rent (Option 1): $92,323



Lease overview

Year 26-30 Annual Rent (Option 4): $122,881Tenant overviewFranchisee: Boston Coffee, Inc.

Lessee: BC 565 DR LLC

BOSTON COFFEE, INC.

Boston Coffee, Inc. is a partnership between two seasoned professionals who both have extensive experience in the retail restaurant industry. The first partner

has successfully owned, financed and operated over 50 Dunkin Donuts, Hurricane Grill and Wings and Marco’s Pizza restaurants in Florida and Georgia. The

second partner has over 16 years of experience as an operator of Taco Bell, Hurricane Gill and Wings, Marco’s Pizza and Dunkin Donuts, has a commitment to

build 25 Dunkin Donuts / Baskin Robbins and 20 Marco’s Pizza locations, has a strong personal net worth and guaranteed the lease.

DUNKIN’ DONUTS | www.dunkindonuts.com

Founded in 1950, Dunkin' Donuts is the world's leading baked goods and coffee chain, serving more than 3 million customers per day. Dunkin' Donuts sells 52

varieties of donuts and more than a dozen coffee beverages as well as an array of bagels, breakfast sandwiches and other baked goods. Dunkin’ Donuts has

earned the No. 1 ranking for customer loyalty in the coffee category by Brand Keys for eight years running . Dunkin’ Donuts derives its revenues as a percentage

of franchisee sales, known as royalty income. Most of Dunkin’s expenses are fixed (such as SG&A) and therefore strong franchisee sales provide leverage to

boost margins by spreading these costs over a bigger revenue base .

In the long term, the company plans to increase its store count in the U.S. to 15,000 in the next 18-20 years – almost double the number it has today. The Western

part of the U.S. is a major focus area for the company since it has little presence in the region . Dunkin’ sees an opportunity to add 5,000 more stores to the West

of the Mississippi river, including 1,000 in California . Even in the Eastern part of the country, the company sees an opportunity to add 3,000 more stores,

especially in places such as New York City, where Dunkin’ Donuts has a relatively low presence.

DUNKIN’ BRANDS | www.dunkinbrands.com

With more than 18,000 points of distribution in nearly 60 countries worldwide, Dunkin' Brands Group, Inc. (Nasdaq: DNKN) is one of the world's leading franchisors

of quick service restaurants (QSR) serving hot and cold coffee and baked goods, as well as hard-serve ice cream. At the end of 2013, Dunkin' Brands' nearly 100

percent franchised business model included nearly 11,000 Dunkin' Donuts restaurants and 7,300 Baskin-Robbins restaurants. For the full-year 2013, the company

had franchisee-reported sales of approximately $9.3 billion. Dunkin' Brands Group, Inc. is headquartered in Canton, Mass.3

SITE PLANDUNKIN DONUTS


4

Aerial photoDUNKIN DONUTS


Hebron Christian

Academy

Dacula Elementary School

Hebron Baptist Church

5

Aerial photoDUNKIN DONUTS


6

IMMEDIATE TRADE AREA

Dunkin Donuts is strategically located along Dacula Road (15,000 Cars / Day)

just northwest of where Dacula intersects Fence Rd NE (11,000 Cars / Day).

Dacula Road is one of Dacula’s main arterial roads and carries significant

traffic volumes throughout the city.

The subject property is a pad site to Kroger and shares the vicinity with national

credit tenants such as Walgreens, AutoZone, McDonald’s, Taco Bell, KFC, and

Chick-fil-a. Other notable retailers located within 1-mile of the subject property

include Publix, Anytime Fitness, Curves, Starbucks, Pep Boys, Sonic, and

many others. The site not only benefits from the draw that the retail trade area

creates, but also benefits from close proximity to Hebron Christian Academy,

Dacula Elementary School, and Hebron Baptist Church.

DACULA, GA / LAWRENCEVILLE, GA / GWINNETT COUNTY

Dacula is a city in Gwinnett County, Georgia. The population was 4,804 at the

2009 census. Dacula is primarily a residential community, and many

subdivisions have been built within the city limits in recent years.

Located 6-miles west of Dacula, Lawrenceville, GA is a city in and the county

seat of Gwinnett County (Population: 805,321). Lawrenceville currently has a

population of 28,546 and has a sustained history of brisk growth. The city’s

population increased by 27.5% in the 2000s and has met or exceed that

number in every decade since the 1960s. Gwinnet County has undergone

comparable growth, adding 36.9% to its population in the 2000s.

County population has grown at a minimum of 34.7% since the 1960s. A key

driver to recent growth in Gwinnett County has been the Research and

Development Corridor along Highway 316 between Norcross and

Lawrenceville. This development has drawn numerous global corporations to

the area. Cisco Systems currently maintains significant operations near

Lawrenceville. Atlanta Biologicals is also based there. Norcross is also home

to the Siemens International southeast regional office and Saab USA. Federal

Express is planning to construct a 50 acre distribution site in Norcross. NCR

Corporation is headquartered in nearby Duluth. Both Norcross and Duluth are

immediately west of Lawrenceville.

Location overviewDUNKIN DONUTS


ATLANTA-SANDY SPRINGS-MARIETTA, GA MSA

The Atlanta metropolitan area, or metro Atlanta, is officially designated by the

United States Census Bureau as the Atlanta-Sandy Springs-Marietta

Metropolitan Statistical Area, and is the most populous metro area in the U.S.

state of Georgia and the9th largest metropolitan statistical area (MSA) in the

United States. In addition to Atlanta, Georgia's capital and largest city, the

Atlanta metropolitan area spans 28 counties in north Georgia and has a total

2010 population of 5,268,860, a 28.13% increase from 2000. With a gross

metropolitan product of $270 billion, Atlanta's economy ranks 15th among world

cities and 6th in the nation. As such, a Globalization and World Cities Study

Group and Network at Loughborough University has labeled the metro Atlanta

area as an “Alpha- World City” based on how the city externally impacts the

world through advanced producer services in accountancy, advertising,

banking, finance, and law .

Several major national and international companies are headquartered in metro

Atlanta such as The Coca-Cola Company; Home Depot; United Parcel Service;

Delta Air Lines; AT&T Mobility; and Newell Rubbermaid. 4 of these companies

have Fortune 100 status. Other major corporate headquarters in Atlanta and

around the metro area include Arby's, Chick-fil-A, Earthlink, Equifax, First Data,

Gentiva Health Services, Georgia-Pacific, NCR, Oxford Industries, RaceTrac

Petroleum, Southern Company, Mirant, and Waffle House. The MSA also has

a sizable financial sector. The Federal Reserve has its district headquarters in

Atlanta and Sun Trust, the 7th largest bank in the U.S. by assets, held is based

there. The metro area is a major transportation hub, too. Hartsfield–Jackson

Atlanta International Airport, the world’s busiest airport, is located 7 miles

south of the Atlanta central business district. Interstate 75, which extends

from Tampa, FL north to Canada, passes through the center of the city.

Interstates 85 and 20 also intersect in Atlanta. These amenities have lured

corporations such as Ford Motor Company, Publix, Kellog’s, Toys r Us, Office

Depot, and GE Appliance to locate major distribution centers in the area, and in

the outside of Atlanta.

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Location mapDUNKIN DONUTS


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Location mapDUNKIN DONUTS


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DemographicsDUNKIN DONUTS


2014 Estimated Population 4,146 34,854 102,749

2019 Projected Population 4,425 37,101 109,302

2010 Census Population 3,946 33,278 98,186

2000 Census Population 1,252 14,486 51,573

Projected Annual Growth 2014 to 2019 1.3% 1.3% 1.3%

Historical Annual Growth 2000 to 2014 16.5% 10.0% 7.1%

2014 Estimated Households 1,280 10,413 31,188

2019 Projected Households 1,340 10,897 32,623

2010 Census Households 1,234 10,032 30,054

2000 Census Households 416 4,473 16,415

Projected Annual Growth 2014 to 2019 0.9% 0.9% 0.9%

Historical Annual Growth 2000 to 2014 14.8% 9.5% 6.4%

2014 Est. Population Under 10 Years 15.7% 14.9% 15.0%

2014 Est. Population 10 to 19 Years 17.5% 17.3% 17.2%





2014 Est. Population 75 Years or Over 2.7% 2.9% 2.7%

2014 Est. Median Age 34.8 34.7 34.3

2014 Est. Male Population 48.3% 50.2% 49.9%

2014 Est. Female Population 51.7% 49.8% 50.1%

2014 Est. Never Married 27.2% 25.9% 27.3%

2014 Est. Now Married 58.1% 56.1% 53.8%

2014 Est. Separated or Divorced 12.8% 15.0% 15.6%

2014 Est. Widowed 1.9% 3.0% 3.2%

2014 Est. HH Income $200,000 or More 5.4% 4.7% 4.7%

2014 Est. HH Income $150,000 to $199,999 7.8% 9.1% 8.0%

2014 Est. HH Income $100,000 to $149,999 19.8% 22.4% 19.2%

2014 Est. HH Income $75,000 to $99,999 17.9% 17.8% 17.6%

2014 Est. HH Income $50,000 to $74,999 17.3% 19.1% 20.2%

2014 Est. HH Income $35,000 to $49,999 13.4% 10.9% 11.3%

2014 Est. HH Income $25,000 to $34,999 8.4% 7.3% 7.8%

2014 Est. HH Income $15,000 to $24,999 5.1% 4.5% 5.8%

2014 Est. HH Income Under $15,000 5.0% 4.2% 5.4%

2014 Est. Average Household Income $84,500 $87,075 $83,062

2014 Est. Median Household Income $77,150 $81,935 $76,386

2014 Est. Per Capita Income $26,101 $26,436 $25,531

2014 Est. Total Businesses 101 846 2,983

2014 Est. Total Employees 1,388 9,271 25,604

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565 Dacula Rd1 mi radius 3 mi radius 5 mi radius

Dacula, GA 30019

2014 Est. Labor Population Age 16 Years or Over 3,026 24,480 73,262

2014 Est. Civilian Employed 72.7% 68.3% 68.0%

2014 Est. Civilian Unemployed 4.4% 4.1% 4.3%

2014 Est. in Armed Forces - 0.1% 0.1%

2014 Est. not in Labor Force 22.9% 27.5% 27.7%

2014 Labor Force Males 47.4% 47.7% 48.0%

2014 Labor Force Females 52.6% 52.3% 52.0%

2010 Occupation: Population Age 16 Years or Over 1,921 15,202 44,121

2010 Mgmt, Business, & Financial Operations 18.4% 18.3% 17.1%

2010 Professional, Related 26.0% 23.5% 21.5%

2010 Service 10.7% 12.6% 13.1%

2010 Sales, Office 31.2% 30.7% 29.6%

2010 Farming, Fishing, Forestry 0.1% 0.1% 0.1%

2010 Construction, Extraction, Maintenance 6.1% 6.7% 8.1%

2010 Production, Transport, Material Moving 7.6% 8.2% 10.4%

2010 White Collar Workers 75.6% 72.5% 68.3%

2010 Blue Collar Workers 24.4% 27.5% 31.7%

2010 Drive to Work Alone 81.0% 82.3% 81.1%

2010 Drive to Work in Carpool 11.5% 9.1% 9.6%

2010 Travel to Work by Public Transportation 0.6% 1.0% 1.2%

2010 Drive to Work on Motorcycle 0.3% 0.4% 0.3%

2010 Walk or Bicycle to Work 0.5% 0.5% 0.6%

2010 Other Means 0.7% 1.1% 1.2%

2010 Work at Home 5.3% 5.6% 6.0%

2010 Travel to Work in 14 Minutes or Less 12.5% 14.7% 14.1%

2010 Travel to Work in 15 to 29 Minutes 25.3% 29.3% 31.9%

2010 Travel to Work in 30 to 59 Minutes 44.2% 38.9% 37.3%

2010 Travel to Work in 60 Minutes or More 18.1% 17.1% 16.7%

2010 Average Travel Time to Work 32.0 30.2 29.7

2014 Est. Total Household Expenditure $80.8 M $670 M $1.94 B

2014 Est. Apparel $3.90 M $32.3 M $93.5 M

2014 Est. Contributions, Gifts $5.39 M $45.1 M $129 M

2014 Est. Education, Reading $2.32 M $19.6 M $55.8 M

2014 Est. Entertainment $4.57 M $38.0 M $110 M

2014 Est. Food, Beverages, Tobacco $12.6 M $104 M $303 M

2014 Est. Furnishings, Equipment $3.65 M $30.4 M $87.4 M

2014 Est. Health Care, Insurance $5.56 M $45.8 M $133 M

2014 Est. Household Operations, Shelter, Utilities $24.1 M $200 M $579 M

2014 Est. Miscellaneous Expenses $1.30 M $10.8 M $31.4 M

2014 Est. Personal Care $1.16 M $9.61 M $27.8 M

2014 Est. Transportation $16.1 M $134 M $387 M

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565 Dacula Rd1 mi radius 3 mi radius 5 mi radius

Dacula, GA 30019

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