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EXCLUSIVE INVESTMENT SUMMARY 24-HOUR WALMART | ABSOLUTE NNN LEASE | STEUBENVILLE, OHIO OFFERING MEMORANDUM
EXCLUSIVE INVESTMENT SUMMARY 24-HOUR WALMART | ABSOLUTE NNN LEASE | STEUBENVILLE, OHIO
OFFERING MEMORANDUM
Christine Riniti, OH Lic # BRKP.2007002489, a licensed real estate broker in the state of Ohio along with Holliday Fenoglio Fowler, L.P. (Collectively “HFF”)
This Offering Memorandum has been prepared by HFF for use by a limited number of recipients. All information contained herein has been obtained from sources other than HFF, and neither Owner nor HFF, nor their respective equity holders, officers, employees and agents makes any representations or warranties, expressed or implied, as to the accuracy or completeness of the information contained herein. Further, the Offering Memorandum does not constitute a representation that no change in the business or affairs of the property or the Owner has occurred since the date of the preparation of the Offering Memorandum. All analysis and verification of the information contained in the Offering Memorandum is solely the responsibility of the recipient. HFF and Owner and their respective officers, directors, employees, equity holders and agents expressly disclaim any and all liability that may be based upon or relate to the use of the information contained in this Offering Memorandum.
Additional information and an opportunity to inspect the property will be made available upon written request to interested and qualified prospective investors.
Owner and HFF each expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers regarding the property and/or terminate discussions with any entity at any time with or without notice. Owner shall have no legal commitment or obligations to any recipient reviewing this Offering Memorandum or making an offer to purchase the property unless and until such offer is approved by Owner, a written agreement for the purchase of the property has been fully executed, delivered and approved by Owner and its legal counsel, and any obligations set by Owner thereunder have been satisfied or waived.
The recipient (“Recipient”) agrees that (a) the Offering Memorandum and its contents are confidential information, except for such information contained in the Offering Memorandum, which is a matter of public record, or is provided from sources available to the public (b) the Recipient, the Recipient’s employees, agents and consultants (collectively, the “need to know parties”) will hold and treat it in the strictest of confidence, and the Recipient and the need to know parties will not, directly or indirectly, disclose or permit anyone else to disclose its contents to any other person, firm, or entity without the prior written authorization of HFF and the Owner, and (c) the Recipient and the need to know parties will not use or permit to be used this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Owner or HFF or for any purpose other than use in considering whether to purchase the property. The Recipient and the need to know parties agree to keep this Offering Memorandum and all confidential information contained herein permanently confidential and further agree to use this Offering Memorandum for the purpose set forth above. If the Recipient has no interest in the property, or if in the future the Recipient or owner discontinue such negotiations, the Recipient will return this Offering Memorandum to HFF.
EXCLUSIVE MARKETING ADVISORS
MARC MANDEL STEVE SCHRENKManaging Director Director
484.532.4212 484.532.4213
[email protected] [email protected]
Investment Advisory Investment Advisory
MICHAEL PAGNIUCCIDirector
484.532.4172
Financing
CLAUDIA STEEBManaging Director
412.222.2053
Investment Advisory / Financing
C L I C K T O V I E WP R O P E R T Y V I D E O
https://vimeo.com/316806831
INVESTMENT SUMMARYWALMART ● 100 MALL DRIVE ● STEUBENVILLE, OHIO
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WA L M A R T ● S T E U B E N V I L L E , O H I O4
Holliday Fenoglio Fowler, L.P. (“HFF”) Net Lease Advisory is pleased to exclusively offer a premier net lease opportunity to acquire a NNN single tenant Walmart (the “Property”) in Steubenville, OH. The Property is situated off Route 43/ Sunset Blvd which boasts over 24,150 VPD and is a main retail corridor in the immediate area. Walmart has been at this location since 2002 and has approximately 8.5 years remaining on their lease. Walmart is traded on the NYSE, Symbol: WMT, and is investment grade with a Moody’s Credit Rating of Aa2. It is the world’s largest public corporation by revenue at $500.3 billion, according to the 2018 Fortune Global 500. They are principally engaged in the operation of mass merchandising and are the world’s number one retailer, with 11,700 stores as of 2017, including discount stores (Walmart), combination discount and grocery stores (Walmart Supercenters and ASDA in the UK), and membership-only warehouse stores (Sam’s Club). Many of the company’s stores are in the US, but Walmart is expanding internationally; it is the number one retailer in Canada and Mexico, and has operations in South America, Asia, and Europe.
I N V E S T M E N T S U M M A R Y
$10,950,000ASKING PRICE
7.30%CAP RATE
$800,000NOI
8+ YearsREMAINING LEASE TERM
Corporate Walmart with NNN lease structure and
rental increases throughout option periods
The location benefits from a population of over 41,000
people within a 5-mile radius and an average household
income of $61,000
Steubenville, OH is located on the Ohio/ Pennsylvania
border and is located approximately 40 miles from
the Pittsburgh CBD
Walmart is an Investment Grade Tenant and the largest
public corporation by revenue at $500.3 billion
The Property is situated off Rt 43 / Sunset Blvd a main thoroughfare in the region
which boasts 24,150 VPD
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WA L M A R T ● S T E U B E N V I L L E , O H I O 5
I N V E S T M E N T H I G H L I G H T S
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WA L M A R T ● S T E U B E N V I L L E , O H I O6
JOHN SCOTT HIGHWAY (9,307 VPD)
Public Libraryof Steubenville
®
N
FORT STEUBEN MALL
TENANT OVERVIEWWALMART ● 100 MALL DRIVE ● STEUBENVILLE, OHIO
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WA L M A R T ● S T E U B E N V I L L E , O H I O8
Aa2MOODY’S CREDIT RATING
AAS&P CREDIT RATING
4,648+LOCATIONS IN THE UNITED STATES
$283.46 BILLIONMARKET CAP AS OF 9/2018
The first Walmart opened in 1962 in Rodger, AK and has since grown into a company with reported 2018 fiscal year revenue of $500.3 billion. Walmart became a publicly traded company in 1970 and has since grown to be the world’s largest publicly traded company by revenue. Each week nearly 270 million customers and members visit their stores and the company employs over 2.3 million associates worldwide.
Walmart is traded on the NYSE, Symbol: WMT, and is investment grade with a Moody’s Credit Rating of Aa2. It is the world’s largest public corporation by revenue at $500.3 billion, according to the 2018 Fortune Global 500. They are principally engaged in the operation of mass merchandising and are the world’s number one retailer, with 11,700 stores as of 2017, including discount stores (Walmart), combination discount and grocery stores (Walmart Supercenters and ASDA in the UK), and membership-only warehouse stores (Sam’s Club). Many of the company’s stores are in the US, but Walmart is expanding internationally; it is the number one retailer in Canada and Mexico, and has operations in South America, Asia, and Europe.
Walmart US is the largest segment under the Walmart Corporate structure with about 65% of sales and includes store formats operating under multiple Walmart names across the US and Puerto Rico, as well as Walmart.com and other e-commerce sites and mobile apps. Walmart sells merchandise in three main categories of grocery, health and wellness, and general merchandise, with grocery representing about 55% of sales.
www.walmart.com
CORPORATE OVERVIEW
Headquarters Bentonville, AR
Ticker WMT (NYSE)
SAMPLE INTERIOR
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WA L M A R T ● S T E U B E N V I L L E , O H I O 9
MALL
DRIVE
SUBJECT PROPERTY
AVAILABLE (SOLD SEPARATELY)
NOT OFFERED
FORT STEUBEN MALL
S I T E P L A N
S I T E P L A NFINANCIAL ANALYSISWALMART ● 100 MALL DRIVE ● STEUBENVILLE, OHIO
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WA L M A R T ● S T E U B E N V I L L E , O H I O 11
L E A S E A B S T R A C T
LEASE DETAIL
Address 100 Mall Drive Steubenville, OH
Tenant Wal-Mart Real Estate Business Trust
Guarantor Wal-Mart Stores, Inc
Branded as Walmart
Lot Area 16.21 Acres
Building Size 209,621 SF
Year Built 2002
NOI $800,000
Lease Type NNN Ground Lease
Rent Commencement 8/14/2002
Lease Expiration 8/13/2027
Remaining Lease Term 8+ Years
Remaining Options Four (4) Ten (10) Year Options
TENANT RESPONSIBILITY DETAIL
Maintenance and Repairs Lessee is responsible for the full maintenance and repair for the building, including roof and structure
Utilities Lessee pays all utilites directly, including parking lot illumination
Insurance
Lessee agrees to provide and keep in force GL insurance naming the lessor as an additional insured. As long as lessee’s net worth shall exceed $100,000,000, it shall have the right to self-insure
Taxes* Lessee pays all taxes for the premises
Improvements Until the expiration or sooner termination of the lease; lessee has the right to raze the building and reduce it to slab
CAM
Lessee shall pay their pro rata share of CAM costs. The annual budget for CAM costs shall be provided to lessee by lessor annually in advance and shall not exceed 110% of the actual CAM costs incurred for the prior calendar year. Lessee also has the option upon 30 days prior written notice to lessor to elect to perform its own maitenance of the common areas
*The premises is currently being subdivided into its own tax parcel.
RENT SCHEDULE
Description Dates Annual Rent Rent Increase
Base Term (1-25) 8/14/2002 - 8/13/2027 $800,000
First Option (26-35) 8/14/2027 - 8/13/2037 $840,000 5%
Second Option (36-45) 8/14/2037 - 8/13/2047 $882,000 5%
Third Option (46-55) 8/14/2047 - 8/13/2057 $926,100 5%
Fourth Option (56-65) 8/14/2057 - 8/13/2067 $972,405 5%
LANDLORD RESPONSIBILITY DETAIL
None
The Walmart parking lot will be resurfaced and restriped in April
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South Park
North Park
Settler's Cabin Park
Mingo Creek County Park
WE
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IRG
INIA
OHIO
PE
NN
SLY
VA
NIA
Hillman State Park
State Gamelands No 232
State Gamelands No 117
Beaver Creek State Park
Raccoon Creek State Park
PITTSBURGH
Fernway
Weirton
Baldwin
Wheeling
Pease Twp
Aliquippa
Whitehall
McKeesport
Washington
Wilkinsburg
Richland Twp
West Mifflin
Steubenville
Franklin Park
East Liverpool
Island Creek Twp
70
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§̈¦76
§̈¦279
§̈¦376
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£¤250
£¤30
£¤40
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£¤19
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£¤30
£¤250
£¤40
£¤22
£¤30
ST164
ST519
ST231
ST43
ST800
ST39
ST7
ST542
ST151
ST644
ST152
ST18
ST9
ST171
ST168
ST150
ST646
ST228
ST50
ST2
ST212
ST170
ST332
ST221
ST11
ST88
ST989
ST481
ST136ST844
ST68
ST8
ST28
ST910
ST130
ST380
ST39
ST7
ST9
ST88
ST151
ST800
ST39
ST18
ST43
ST7
ST88
ST519
ST164
40 MILES
MARKET OVERVIEWWALMART ● 100 MALL DRIVE ● STEUBENVILLE, OHIO
S T E U B E N V I L L E O V E R V I E W
Steubenville is the county seat of Jefferson County, Ohio, and sits on the banks of the mighty Ohio River. The city is known as the “City of Murals”, after its more than 25 downtown murals and holds the motto, “Where you always have a home”. Steubenville is home to almost twenty thousand citizens and is a family friendly community with safe neighborhoods and excellent schools which offer a wide variety of educational opportunities. Steubenville is a full-service city with numerous services and facilities. The city is strongly committed to residential and commercial economic development.
Steubenville is home to two institutions of higher education, Franciscan University of Steubenville and Easter Gateway Community College. There is also a total of five public schools in the Steubenville City School District and two private schools. Steubenville is a principal city of the Weirton-Steubenville, WV-OH Metropolitan Statistical Area, which has a population of 125,000 residents. Additionally, Steubenville is part of Greater Pittsburgh, the 20th largest combined statistical area in the United States with an estimated population of 2.7 million. Steubenville is approximately 25 minutes from The Pittsburgh International Airport. Steubenville is easily accessible, convenient and a great location for economic development.
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WA L M A R T ● S T E U B E N V I L L E , O H I O 13
STEUBENVILLE MURALS FRANCISCAN UNIVERSITY OF STEUBENVILLE STEUBENVILLE, OH
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WA L M A R T ● S T E U B E N V I L L E , O H I O14
T R A D E A R E A D E M O G R A P H I C S
POPULATION
3 MILES 5 MILES 10 MILES
2010 Census 24,703 42,927 95,912
2018 Estimate 23,571 41,137 91,172
2023 Projection 23,118 40,404 89,113
HOUSEHOLDS
3 MILES 5 MILES 10 MILES
2018 Average Household Income $62,723 $61,536 $62,076
2018 Median Household Income $43,939 $44,800 $47,050
2010 Census 10,547 18,010 40,733
2018 Estimate 10,126 17,328 39,042
2023 Projection 9,956 17,036 38,266
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Weirton
Steubenville
Island Creek Twp
Toronto
Parlett
Richmond
Wayne Twp
Broadacre
Annapolis
Taylortown
Valley Glen
Wintersville
Mingo Junction
Overlook Hills
Cross Creek Twp
Weirton Heights
Marland Heights
Steubenville Twp
Pleasant Heights
East Springfield
Hooverson Heights
Swickards Additions
Buena Vista Heights
OH
IO
PE
NN
SY
LVA
NIA
WE
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IRG
INIA
WE
ST
VIR
GIN
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Eldersville
Rd
Mahan Ln
Colli
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Way
State Line Rd
Joleit Rd
Rockdale Rd
Cove Rd
Steubenville Pike
Rainey Hill Rd
University Blvd
Sunset Blvd
Allegheny
St
Penc
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UV152
UV7
UV213UV2
UV43
UV151
UV646
UV7
UV2
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Jefferson
Brooke
Hancock
Washington
Harrison
HERE, Esri
0 2.05 km
0 1.25 mi1:105,300
3 MILES
5 MILES
10 MILES
EXCLUSIVE MARKETING ADVISORS
MARC MANDEL STEVE SCHRENK CLAUDIA STEEB MICHAEL PAGNIUCCIManaging Director Director Managing Director Director
484.532.4212 484.532.4213 412.222.2053 484.532.4172
[email protected] [email protected] [email protected] [email protected]
Investment Advisory Investment Advisory Investment Advisory / Financing Financing hfflp.com
FINANCING ADVISOR
Tenant OverviewFinancial AnalysisProperty SummaryInvestment Summary
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