Absolute NNN Lease Investment Opportunity OFFERING MEMORANDUM
2501 Flat Shoals Road | Atlanta, GA
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Exclusively Marketed By: Sands Investment Group
Sands Investment Group 2701 Ocean Park Boulevard, Suite 140 Santa Monica, CA 90405 844.4.SIG.NNN www.SIGnnn.com
© 2015 Sands Investment Group (SIG). The information contained in this ‘Offering Memorandum,’ has been obtained from sources believed to be reliable. Sands Investment Group does not doubt its accuracy, however, Sands Investment Group makes no guarantee, representation or warranty about the accuracy contained herein. It is the responsibility of each individual to conduct thorough due diligence on any and all information that is passed on about the property to determine it’s accuracy and completeness. Any and all projections, market assumptions and cash flow analysis are used to help determine a potential overview on the property, however there is no guarantee or assurance these projections, market assumptions and cash flow analysis are subject to change with property and market conditions. Sands Investment Group encourages all potential interested buyers to seek advice from your tax, financial and legal advisors before making any real estate purchase and transaction.
INVESTMENT SUMMARY
AREA OVERVIEW
TENANT PROFILE
LEASE ABSTRACT
Investment Summary Investment Highlights
Location & Area Maps Retail Map City Overview
Tenant Profile
Lease Summary Rent Roll
2501 Flat Shoals Road Atlanta, GA 30349
Luke Wakefield Lic. 361563 770.800.3035 | DIRECT [email protected]
Andrew Ackerman Lic. 345338 770.626.0445 | DIRECT [email protected]
INVESTMENT SUMMARY
OFFERING SUMMARY
PRICE $3,771,000
CAP 5.78%
NOI $217,800*
PRICE PER SF $912.85
YEARS REMAINING 13 Years
LEASE GUARANTY EggsCellence LLC & Personal Guaranty
PROPERTY SUMMARY
ADDRESS 2501 Flat Shoals Road
Atlanta, GA 30349
COUNTY Fulton
BUILDING AREA 4,131
LAND AREA 0.98 AC
BUILT 2008 Representative Image
*Rent is based on upcoming rental increase in 09/16. A rent credit will be provided to buyer.
INVESTMENT HIGHLIGHTS HIGHLIGHTS
• Outparcel to Walmart Supercenter
• Absolute NNN Lease
• Built in 2008
• 13 Years Remaining
• Strong Demographics of 65000+/- People within 3 Miles
• Strong Traffic Counts of 14,000 VPD on Flat Shoals Rd and 38,000 VPD on Old National Highway
• Personal Guaranty by 2 High Net Worth Individuals on Top of Franchise Guaranty
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LOCATION MAP
AERIAL MAP
RETAIL MAP
SUBJECT PROPERTY DEMOGRAPHICS 1 Mile 3 Mile 5 Mile
Population 9,454 61,507 132,374
Median Household Income $50,482 $40,247 $37,893
AREA OVERVIEW
Street / Cross Road Average Vehicles Per Day
Flat Shoals Rd 14,900
Atlanta is the capital of and the most populous city in the U.S. State of Georgia, with an estimated 2013 population of 447,841. Atlanta is the cultural and economic center of the Atlanta metropolitan area, home to 5,522,942 people and the ninth largest metropolitan area in the United States. Atlanta is the county seat of Fulton County, and a small portion of the city extends eastward into DeKalb County. Atlanta was established in 1837 at the intersection of two railroad lines, and the city rose from the ashes of the Civil War to become a national center of commerce. In the decades following the Civil Rights Movement, during which the city earned a reputation as "too busy to hate" for the progressive views of its citizens and leaders , A t lan ta a t ta ined in te r nat iona l prominence. Atlanta is the primary transportation hub of the Southeastern United States, via highway, railroad, and air, with Hartsfield–Jackson Atlanta International Airport being the world's busiest airport since 1998. Atlanta is considered an "alpha-" or "world city", ranking 36th among world cities and 8th in the nation with a gross domestic product of $270 billion. Atlanta's economy is considered diverse, with dominant sectors including logistics, professional and business services, media operations, and information technology. Topographically, Atlanta is marked by rolling hills and dense tree coverage. Revitalization of Atlanta's neighborhoods, initially spurred by the 1996 Olympics, has intensified in the 21st century, altering the city's demographics, politics, and culture.
City Overview AREA OVERVIEW
IHOP (International House of Pancakes) is a United States-based multinational restaurant chain that specializes in breakfast foods. It is owned by DineEquity, with 99% of the restaurants run by independent franchisees. While IHOP's focus is on breakfast foods such as pancakes, French toast, and omelets, it also offers a menu of lunch and dinner items. The company has 1,500 locations in the United States and Canada. In August 2012, it opened its first franchise in Dubai as part of a major expansion into the Middle East restaurant market. A second IHOP restaurant in the Middle East opened in Kuwait in February 2013.
TENANT PROFILE
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LEASE SUMMARY
TENANT Eggs-Cellence, LLC dba. IHOP
PREMISES 2510 Flat Shoals Road,
Atlanta, GA 30349
LEASE COMMENCEMENT 9/1/2008
LEASE EXPIRATION 8/31/2028
LEASE TERM 20 Years
RENEWAL OPTIONS None
RENT INCREASES 9.1% 9/1/2016 9.1% 9/1/2018 7.6% 9/1/2023
LEASE TYPE NNN
USE Restaurant
PROPERTY TAXES Tenant’s Responsibility
INSURANCE Tenant’s Responsibility
COMMON AREA N/A
ROOF & STRUCTURE Tenant’s Responsibility
REPAIRS & MAINTENANCE Tenant’s Responsibility
HVAC Tenant’s Responsibility
UTILITIES Tenant’s Responsibility
LEASE ABSTRACT
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SIZE MONTHLY RENT LEASE TERM
TENANT NAME SQUARE
FOOTAGE % OF
TOTAL
MONTHLY BASE RENT
RENT / SF
% OF TOTAL
INCREASE DATES
RENTAL INCREASE
LEASE BEGIN
LEASE END OPTIONS
Eggs-Cellence LLC dba. IHOP 4,131 100%
$18,150* + 10% Gross Sales past breakpoint
$4.39* 100% 9/1/2016 9/1/2018 9/1/2023
$18,150 $19,965 $21,615
9/1/2008 8/31/2028 None
RENT ROLL
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*Rent is based on upcoming rental increase in 09/16. A rent credit will be provided to buyer.
The information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Sands Investment Group and should not be made available to any other person or entity without the written consent of Sands Investment Group. This Offering Memorandum has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, Sands Investment Group has not verified, and will not verify, any of the information contained herein, nor has Sands Investment Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.
By receipt of this Memorandum, you agree that this Memorandum and its contents are of confidential nature, that you will hold and treat it in the strictest confidence and that you will not disclose its contents in any manner detrimental to the interest of the Owner. You also agree that by accepting this Memorandum you agree to release Sands Investment Group and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this property.
CONFIDENTIALITY AGREEEMENT
Exclusively Marketed By:
844.4.SIG.NNN | F: 844.328.5905 | WWW.SIGNNN.COM | 2701 OCEAN PARK BLVD, SUITE 140 | SANTA MONICA, CA 90405
Luke Wakefield Lic. 361563 770.800.3035 | DIRECT [email protected]
Andrew Ackerman Lic. 345338 770.626.0445 | DIRECT [email protected]
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