For more information contact:
Dolex Building Investment6706 Canal StreetHouston, TX 77011
Bryan San Angelo
Senior Associate
(214) 281-8633
Jerad Rector
President
214-281-8616
Phone: (214) 281-8633 ● 8501 Wade Blvd. Suite 770 ● Frisco, TX 75034 ● www.CREfirm.com
Corporate Guaranty Sale/Lease back●
Absolute NNN lease●
7 year term with 2, 5 year options to renew●
Annual rent escalations●
7.79% Cap Rate and year 1 Cash on Cash over 12%●
Table of Contents
Exclusive Listing & Disclaimer ..................................................................................... 3
Real Estate Investment Details ..................................................................................... 4
Property Description .................................................................................................... 5
Executive Summary ...................................................................................................... 6
Cash Flow Analysis ...................................................................................................... 7
Financial Indicators ...................................................................................................... 8
Cumulative Analysis .................................................................................................... 9
Investment Return Analysis .......................................................................................... 10
Location Map ................................................................................................................... 11
Demographics ................................................................................................................. 12
Information on Broker Services .................................................................................... 13
Dolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
page 3 of 13
Real Estate Investment DetailsDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
Analysis
Analysis Date May 2017
Property
Property Dolex Building Investment
Property Address 6706 Canal StreetHouston, TX 77011
Year Built 1965
Financial Information
Down Payment $125,000
Closing Costs $10,000
Discount Rate 5.00%
Purchase Information
Property Type Office
Purchase Price $625,000
Tenants 1
Total Rentable Sq. Ft. 3,706
Resale Valuation 7.0% (capitalization of noi)
Resale Expenses 7.0%
Loans
Type Debt Term Amortization Rate Payment LO Costs
Balloon $500,000 5 years 30 years 4.7% $2,593 $5,000
Income & Expenses
Gross Operating Income $48,660
Monthly GOI $4,055
Total Annual Expenses $0
Contact Information
Bryan San Angelo
(214) 281-8633
Jerad Rector
214-281-8616
The calculations and data presented are deemed to be accurate, but not guaranteed. They are intended for the purpose of illustrative projectionsand analysis. The information provided is not intended to replace or serve as substitute for any legal, accounting, investment, real estate, tax orother professional advice, consultation or service. The user of this software should consult with a professional in the respective legal, accounting,tax or other professional area before making any decisions.
page 4 of 13
Property DescriptionDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
The Dolex Building is offered as a sale/leaseback with a new 7 year absolute net lease. The tenant will beresponsible for all expenses including maintenance, repairs and replacements. The lease will be corporatelyguaranteed with annual rent escalations. Financial metrics show a cap rate of 7.79% with a year 1 Cash onCash Return over 12%.
About Dolex:
DolEx Dollar Express, Inc. is an international organization and a leader in the International Money Transferindustry with more than 530 proprietary retail stores and 1,800 retail agent partners. Dolex’s earningsincreased in 2015 by almost 10% over the prior year. The US, two industry leading brands, DolEx® &Quisqueyana®, serve their customers through two distinctive retail distribution channels in over 30 states,Puerto Rico and the US Virgin Islands. Their brand, Europhil, is a leader in money transfers from Spain.
Both DolEx & Quisqueyana offer the same payer network and together they serve over 35 countries withmore than 50,000 payout locations worldwide. They are the only company in the industry with a combinationof a significantly large number of company owned branches and an extensive retail agent network whichallows them to better serve their core customer.
Dolex maintains a A+ rating with the Better Business Bureau.
Offered at $625,000
page 5 of 13
Executive SummaryDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
ACQUISITION COSTS
Purchase Price, Points and Closing Costs $640,000
Investment - Cash $140,000
First Loan $500,000
INVESTMENT INFORMATION
Purchase Price $625,000
Price per Tenant $625,000
Price per Sq. Ft. $168.65
INCOME, EXPENSES & CASH FLOW
Gross Scheduled Income $48,660
Total Vacancy and Credits $0
Operating Expenses $0
Net Operating Income $48,660
Debt Service ($31,118)
Cash Flow Before Taxes $17,542
FINANCIAL INDICATORS
Cash on Cash Return Before Taxes 12.53%
Optimal Internal Rate of Return (yr 6) 40.70%
Debt Coverage Ratio 1.56
Capitalization Rate 7.79%
Gross Income / Square Feet $13.13
page 6 of 13
Cash Flow AnalysisDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
Description Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
GROSS SCHEDULED INCOME $48,660 $50,120 $51,623 $53,172 $54,767 $55,852 $56,410
Total Operating Expenses $0 $0 $0 $0 $0 $0 $0
NET OPERATING INCOME $48,660 $50,120 $51,623 $53,172 $54,767 $55,852 $56,410
Loan Payment ($31,118) ($31,118) ($31,118) ($31,118) ($31,118) $0 $0
NET CASH FLOW (b/t) $17,542 $19,001 $20,505 $22,054 $23,649 $55,852 $56,410
Cash On Cash Return b/t 12.53% 13.57% 14.65% 15.75% 16.89% 9.35% 9.45%
Footnotes: b/t = before taxes;a/t = after taxes
page 7 of 13
Financial IndicatorsDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
Description Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
Gross Rent Multiplier 14.71 14.71 14.71 14.71 14.57 14.43 14.71
Capitalization Rate 7.79% 8.02% 8.26% 8.51% 8.76% 8.94% 9.03%
Cash On Cash Return b/t 12.53% 13.57% 14.65% 15.75% 16.89% 9.35% 9.45%
Cash On Cash Return a/t 12.53% 13.57% 14.65% 15.75% 16.89% 9.35% 9.45%
Debt Coverage Ratio 1.56 1.61 1.66 1.71 1.76 N/A N/A
Gross Income per Sq. Ft. $13.13 $13.52 $13.93 $14.35 $14.78 $15.07 $15.22
Expenses per Sq. Ft. $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Net Income Multiplier 14.71 14.71 14.71 14.71 14.57 14.43 14.71
Operating Expense Ratio 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
Loan To Value Ratio 68.75% 65.64% 62.60% 59.63% 0.00% 0.00% 0.00%
Footnotes: b/t = before taxes; a/t = after taxes
page 8 of 13
Cumulative AnalysisDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
Description Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
Equity (appreciation) $90,994 $112,474 $134,598 $157,386 $172,879 $180,857 $205,033
Equity (loan reduction) $7,785 $15,943 $24,493 $33,454 $500,000 $500,000 $500,000
CASH FLOW (a/t) $17,542 $36,543 $57,048 $79,101 $102,750 $158,602 $215,012
Totals - To Date $116,320 $164,959 $216,139 $269,941 $775,629 $839,459 $920,045
Invested Capital ($140,000) ($140,000) ($140,000) ($140,000) ($140,000) ($597,155) ($597,155)
ROIC - To Date 83.09% 117.83% 154.38% 192.82% 554.02% 140.58% 154.07%
Footnotes: a/t = after taxes; ROIC = Return On Invested Capital
page 9 of 13
Investment Return AnalysisDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
Description Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
Cash Flow - To Date $17,542 $36,543 $57,048 $79,101 $102,750 $158,602 $215,012
Net Resale Proceeds $169,758 $193,823 $218,878 $244,961 $264,690 $725,195 $743,775
Invested Capital ($140,000) ($140,000) ($140,000) ($140,000) ($140,000) ($597,155) ($597,155)
Net Return on Investment $47,300 $90,365 $135,926 $184,063 $227,440 $286,642 $361,632
Internal Rate of Return 33.79% 29.72% 27.81% 26.54% 25.05% 40.70% 36.80%
Modified IRR 33.79% 28.52% 25.79% 23.89% 21.94% 36.34% 32.11%
NPV (cash flow + reversion) $42,096 $76,974 $111,131 $144,583 $171,532 $549,253 $578,690
PV (NOI + reversion) $680,509 $713,889 $746,634 $778,755 $804,450 $823,979 $853,416
Footnotes: a/t = after taxes; Modified IRR = Modified Internal Rate of Return; PV = Present Value; NPV = Net Present Value; NOI = Net Operating IncomeReversion = Amount received from the resale; Net Return on Investment = Cash Flow (a/t To Date) + Net Proceeds from Resale - Invested Capital.
page 10 of 13
Location MapDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
page 11 of 13
DemographicsDolex Building Investment
6706 Canal StreetHouston, TX 77011
Bryan San Angelo(214) 281-8633
Population Characteristic 1 Mile 3 Mile 5 Mile
AGES 0-4 1,692 10,653 24,756
AGES 5-9 1,853 11,708 27,260
AGES 10-14 1,579 9,838 22,945
AGES 15-19 1,394 8,856 20,929
AGES 20-24 1,441 9,447 22,595
AGES 25-29 1,502 10,020 24,306
AGES 30-34 1,483 9,982 24,431
AGES 35-39 1,426 9,458 23,578
AGES 40-44 1,344 8,689 23,049
AGES 45-49 1,261 8,072 22,071
AGES 50-54 1,101 7,115 19,547
AGES 55-59 926 6,247 17,266
AGES 60-64 739 5,202 14,534
AGES 65-69 559 4,097 11,338
AGES 70-74 367 2,854 8,505
AGES 75-79 211 1,771 6,116
AGES 80-84 74 927 3,815
AGES 85+ 165 1,743 6,925
Household Income 1 Mile 3 Mile 5 Mile
Median Household Income $27,686 $29,746 $31,182
< $10000 728 5,322 13,819
$10000-$14999 656 3,715 9,603
$15000-$19999 678 3,626 8,783
$20000-$24999 439 3,208 7,937
$25000-$29999 637 2,925 7,130
$30000-$34999 370 2,949 7,528
$35000-$39999 456 2,323 5,583
$40000-$44999 231 1,924 4,756
$45000-$49999 254 1,894 4,633
$50000-$60000 339 2,681 7,921
$60000-$74000 451 3,053 8,062
$75000-$99999 269 2,893 8,399
$100000-$124999 102 1,238 4,273
$125000-$149999 97 613 2,271
$150000-$199999 20 540 2,212
> $200000 45 389 2,136
Race Characteristic 1 Mile 3 Mile 5 Mile
Non Hispanic White 12,141 69,226 156,808
Population Black 287 17,221 80,634
Population Am In/AK Nat 36 222 562
Characteristic Housing 1 Mile 3 Mile 5 Mile
Housing Units 6,608 47,290 128,000
Occupied Housing Units 5,629 40,436 108,670
Owner Occupied Housing Units 2,271 17,895 49,237
Renter Occupied Housing Units 3,358 22,541 59,433
Vacant Housing Units 979 6,854 19,330
page 12 of 13
North Texas Commercial Association of Realtors®
INFORMATION ABOUT BROKERAGE SERVICES
Texas law requires all real estate licensees to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords.
TYPES OF REAL ESTATE LICENSE HOLDERS:
• A BROKER is responsible for all brokerage activities, including acts performed by sales agents sponsored by the broker.• A SALES AGENT must be sponsored by a broker and works with clients on behalf of the broker.
A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents):
• Put the interests of the client above all others, including the broker’s own interests;
• Inform the client of any material information about the property or transaction received by the broker;
• Answer the client’s questions and present any offer to or counter-offer from the client; and
• Treat all parties to a real estate transaction honestly and fairly.
A LICENSE HOLDER CAN REPRESENT A PARTY IN A REAL ESTATE TRANSACTION:
AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner's agent through an agreement with theowner, usually in a written listing to sell or property management agreement. An owner's agent must perform the broker’s minimum dutiesabove and must inform the owner of any material information about the property or transaction known by the agent, including informationdisclosed to the agent or subagent by the buyer or buyer’s agent.
AS AGENT FOR BUYER/TENANT: The broker becomes the buyer/tenant's agent by agreeing to represent the buyer, usually through awritten representation agreement. A buyer's agent must perform the broker’s minimum duties above and must inform the buyer of any material
information about the property or transaction known by the agent, including information disclosed to the agent by the seller or seller’s agent.
AS AGENT FOR BOTH - INTERMEDIARY: To act as an intermediary between the parties the broker must first obtain the writtenagreement of each party to the transaction. The written agreement must state who will pay the broker and, in conspicuous bold or underlined
print, set forth the broker's obligations as an intermediary. A broker who acts as an intermediary:
• Must treat all parties to the transaction impartially and fairly;
• May, with the parties' written consent, appoint a different license holder associated with the broker to each party (owner and buyer) to
communicate with, provide opinions and advice to, and carry out the instructions of each party to the transaction.
• Must not, unless specifically authorized in writing to do so by the party, disclose:
• that the owner will accept a price less than the written asking price;
• that the buyer/tenant will pay a price greater than the price submitted in a written offer; and
• any confidential information or any other information that a party specifically instructs the broker in writing not to disclose,
unless required to do so by law.
AS SUBAGENT: A license holder acts as a subagent when aiding a buyer in a transaction without an agreement to represent the buyer. Asubagent can assist the buyer but does not represent the buyer and must place the interests of the owner first.
TO AVOID DISPUTES, ALL AGREEMENTS BETWEEN YOU AND A BROKER SHOULD BE IN WRITING AND
CLEARLY ESTABLISH:
• The broker’s duties and responsibilities to you, and your obligations under the representation agreement.
• Who will pay the broker for services provided to you, when payment will be made and how the payment will be calculated.
LICENSE HOLDER CONTACT INFORMATION: This notice is being provided for information purposes. It does not create an obligation for
you to use the broker’s services. Please acknowledge receipt of this notice below and retain a copy for your records
Worldwide Commercial, PLLC
Licensed Broker/Broker Firm Name or
Primary Assumed Business Name
Designated Broker of Firm
Licensed Supervisor of Sale Agent/Associate
Sales Agent/Associates's Name
9001217
License No.
License No.
License No.
License No.
800-474-5068
Phone
Phone
Phone
Phone
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