1 (Cape Carnaveral) Titusville, FL OFFERING MEMORANDUM · structure, and parking lot » No landlord...

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Transcript of 1 (Cape Carnaveral) Titusville, FL OFFERING MEMORANDUM · structure, and parking lot » No landlord...

Page 1: 1 (Cape Carnaveral) Titusville, FL OFFERING MEMORANDUM · structure, and parking lot » No landlord management » Ideal investment opportunity for an out-of-area investor EXCELLENT

[email protected]: +1 954 478.6530 Brasil: +55 11 4063.4613

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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Titusville, FL (Cape Carnaveral)

OFFERING MEMORANDUMTotal Investment $2,144,000 | 4.87% Year expected profitability

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Family Dollar | Dairy Road and North Singleton Avenue, Titusville, FLInvestment Overview

CORPORATE GUARANTEED LEASE WITH SCHEDULED RENTAL INCREASES» Long-term lease guaranteed by Family Dollar Stores, Inc. (NYSE: “DLTR”)

» 15-year initial term with six five-year option periods

» Scheduled rental increases of 5% after Year 10 and every five years thereafter,

providing a hedge against inflation

ABSOLUTE TRIPLE NET LEASE» Tenant is responsible for taxes, insurance, and all maintenance, including roof,

structure, and parking lot

» No landlord management

» Ideal investment opportunity for an out-of-area investor

EXCELLENT LOCATION NEAR INTERSTATE 95 AND THE KENNEDY SPACE CENTER» Convenient access to Interstate 95 (33,000 AADT), a heavily trafficked highway

providing access to Miami, Jacksonville, and other metropolitan areas

» Near the Kennedy Space Center (8,500 employees and 1.5 million visitors a year)

and Eastern Florida State College (over 15,500 students)

» Less than a mile away from Oak Park Elementary School, James Madison

Middle School, and Astronaut High School, with a combined enrollment of over

2,440 students

NEW 2017 CONSTRUCTION» Built in 2017 to tenant’s exact specifications

» Located on a hard corner, allowing for excellent visibility and access

» Features the latest Family Dollar store prototype

RENTAL INCREASES

5% rental increases after Year 10 and every 5 years

thereafterYEAR1-1011-1516-20 (Option 1)21-25 (Option 2)26-30 (Option 3)31-35 (Option 4)36-40 (Option 5)41-45 (Option 6)

RENT$116,502$128,152$140,967$155,064$170,571$187,628$206,391$227,029

RETURN5.85%6.46%7.08%7.79%8.57%9.42%10.36%11.40%

YEAR BUILT 2017

BUILDING SF 8,320 SF

PARCEL SIZE 2.18 acres (94,961 SF)

LEASE TYPE Absolute NNN

FILE PHOTO

NOI $116,502

TERM 15 years

RENT COMMENCEMENT June 1, 2017

LEASE EXPIRATION June 30, 2032

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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Family Dollar | Dairy Road and North Singleton Avenue, Titusville, FLProperty Location

Oak ParkElementary School

(845+ students)

Dairy Road (6,930 AADT)

Avenue (8,260 AADT)

North Singleton

/ Interstate 95 (33,000 AADT)

Dairy Plaza Shopping Center

James Madison Middle School(470 students)

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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Family Dollar | Dairy Road and North Singleton Avenue, Titusville, FLProperty Location

Astronaut High School (1,125+ students)

Arthur Dunn Airpark-x21

Oak Park Elementary School & James Madison Middle School

(1,315+ students)Dairy Road (6,930 A

AD

T)

Garden Street (17,400 A

AD

T)

/ U.S. Highway 1 (20,000 AADT)

Dairy Plaza Shopping Center

(8,260 AADT)

North Singleton Avenue

Cocoa Beach Softball Spring

Training

Kennedy Space Center(17 miles)

INDIAN RIVER

15,550+ students

120-bed skilled nursing center

210-bed acute care hospital

/ Interstate 95 (33,000 AADT)

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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Site PlanFamily Dollar | Dairy Road and North Singleton Avenue, Titusville, FL

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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Family Dollar | Dairy Road and North Singleton Avenue, Titusville, FLTenant Overview

Family Dollar Stores, Inc. operates a chain of variety stores in 48 states, providing consumers with a wide selection of merchandise in neighborhood stores. Family Dollar offers a focused assortment of merchandise in a number of core categories, such as health and beauty aids, packaged food and refrigerated products, home cleaning supplies, housewares, stationery, seasonal goods, apparel, and home decor.

On July 6th, 2015, Dollar Tree (NASDAQ: “DLTR”) officially acquired Family Dollar for $8.5 billion. With this acquisition, the company has over 13,000 stores in 48 states and five Canadian provinces and sales of over $18 billion.

For more information, please visit www.familydollar.com.

TENANT Family Dollar Stores of Florida, Inc.

ADDRESS Dairy Road and North Singleton Avenue, Titusville, Florida

RENT COMMENCEMENT

June 1, 2017

LEASE EXPIRATION June 30, 2032

RENEWAL OPTIONS Six (6) five (5) year options

RENTAL INCREASES

YEAR1-1011-1516-20 (Option 1)21-25 (Option 2)26-30 (Option 3)31-35 (Option 4)36-40 (Option 5)41-45 (Option 6)

RENT$116,502$128,152$140,967$155,064$170,571$187,628$206,391$227,029

RETURN5.85%6.46%7.08%7.79%8.57%9.42%10.36%11.40%

REAL ESTATE TAXESTenant will pay directly to the taxing authority all ad valorem and non-ad valorem real estate taxes and general assessments which may be levied against the Demised Premises.

INSURANCE

Tenant will obtain and keep in force a commercial property insurance policy covering the Demised Premises and a commercial general liability insurance policy. Landlord will be named as an additional insured under Tenant's liability coverages.

REPAIR & MAINTENANCE

Tenant will maintain and keep in good repair and replace when reasonably necessary (i) all components of the building, including the roof, exterior walls, the heating and air conditioning system, and the structural elements, and (ii) the parking, service, and access areas, and (iii) landscaped areas, including grass covered areas, and storm water facilities, including retention ponds.

UTILITIES Tenant will pay directly to the utility providers all charges for all Utilities used by Tenant on the Demised Premises.

MAINTENANCE BY LANDLORD

None

RIGHT OF FIRST REFUSAL

Tenant will have a right of first refusal to purchase the Demised Premises for ten business days after the date of the ROFR Notice.

TICKER NASDAQ: “DLTR” # OF LOCATIONS 13,000+

ANNUAL SALES $18B S&P “BB+”

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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Property LocationFamily Dollar | Dairy Road and North Singleton Avenue, Titusville, FL

LOCATIONThe property is located on the signalized hard corner of North Singleton Avenue and Dairy Road, which have a combined traffic count of 15,190 vehicles per day. Dairy Road provides convenient access to U.S. Highway 1, a high-traffic highway that experiences a traffic count of 20,000 vehicles per day, and Interstate 95, with a traffic count of 33,000 vehicles per day. Both U.S. Highway 1 and Interstate 95 run along the East Coast from Florida all the way up through Maine, ending at the Canadian border.

The property benefits from its proximity to Dairy Plaza Shopping Center, anchored by Winn-Dixie. Additional national retailers near the site include Domino’s Pizza, Kangaroo Express, Walgreens, Tires Plus, Ace Hardware, O’Reilly Auto Parts, and McDonald’s. The property is within walking distance of Oak Park Elementary School and James Madison Middle School, which have a combined enrollment of over 1,375 students. It is also a short drive away from Eastern Florida State College, which sees a course enrollment of more than 25,000 students across its four campuses in Brevard County. The property is located near Titusville’s healthcare region, which includes Parrish Cancer Center, a 210-bed acute care hospital, and Consulate Health Care, a 120-bed skilled nursing center. The Kennedy Space Center, which employs 8,500 people and attracts over 1.5 million visitors a year, is located 17 miles south of the site. Arthur Dunn Airport is also close by, as is the Cocoa Beach Softball Spring Training complex.

ACCESSAccess from Dairy Road and North Singleton Avenue

TRAFFIC COUNTSDairy Road: 6,930 AADT

North Singleton Avenue: 8,260 AADT

Interstate 95: 33,000 AADT

U.S. Highway 1: 20,000 AADT

PARKING34 parking stalls, including two (2) handicap stalls

YEAR BUILT2017

NEAREST INTERNATIONAL AIRPORTOrlando Sanford International Airport (SFB)

2017YEAR BUILT

NEARESTINTERNATIONAL

AIRPORTORLANDO SANFORD

INTERNATIONALAIRPORT

34PARKING STALLS

FILE PHOTO

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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Location OverviewFamily Dollar | Dairy Road and North Singleton Avenue, Titusville, FL

Titusville is the county seat of Brevard County on the east coast of Florida. Often called “Miracle City” due to its

association with Cape Canaveral and the United States space program, its population of almost 45,000 people

live in close proximity to many high tech aerospace jobs. Titusville sits just 40 miles east of Orlando, which was

ranked the second fastest growing metropolitan area in the United States in 2017. Also in close proximity to

Titusville are Miami (215 miles south), Jacksonville (135 miles north), and Daytona Beach (50 miles north).

Due to its year round warm temperatures, seasonal tourists flock to Florida and through Titusville in the winter,

fueling the local tourism industry. Between 2015 and 2016, median market values in Brevard County increased

for homes, condos, and commercial and multi-family properties. These property values have been steadily

increasing since 2011, with no signs of slowing down.

Brevard County is the tenth largest county in Florida, with a population of 579,130 as of 2016. Brevard County

makes up the majority of Florida’s Space Coast, a region around Kennedy Space Center and Cape Canaveral

Air Force Station. The Space Coast boasts the largest share of science, technology, engineering, and math-

related jobs in Florida, according to a 2013 Brookings Institute report. The Milken Institute found the Space

Coast is home to the most concentrated high-tech workforce in Florida. Florida’s Space Coast is home to major

companies, such as Bertram Yacht, Boeing, DRS, Embraer Executive Jets, General Electric, Knight’s Armament,

L3, Lockheed Martin, Northrop Grumman, Rockwell Collins, and the world headquarters of Harris Corporation.

The region is also a popular tourist destination, drawing more than 2.5 million tourists annually and boasting

72 miles of pristine beaches and an average temperature of 73 degrees. The Space Coast offers symphonies, one

of the nation’s top-rated zoos, museums and art galleries, and a thriving retail and restaurant scene.

» Playalinda Beach in Titusville was named one of the top five best beaches in Florida by USA Today.

» Titusville has numerous sources of natural beauty as a result of its warm, subtropical climate and its

more than 14 miles of coastline on Indian River Lagoon.

» Port Canaveral in Brevard County is the country’s second largest cruise port, accommodating over four

million passengers per year.

» Titusville sits on Interstate 95, which is the main connecter to the southeastern coast of Florida and

its popular tourist destinations, including Miami and Fort Lauderdale.

» The annual Grant Seafood Festival, held in Brevard County, attracts as many as 50,000 people for the

two-day February event. It is the Southeast’s largest and longest running seafood festival.

MAJOR EMPLOYERS IN TITUSVILLE, FL # OF EMPLOYEES

KENNEDY SPACE CENTER 8,500

PARISH MEDICAL CENTER 1,200

WALMART 450

PUBLIX 355

KNIGHT’S ARMAMENT 280

LOWE’S 210

WINN-DIXIE 185

HOME DEPOT 175

PROFESSIONAL AIRCRAFT ACCESSORIES 170

ECKLER’S INDUSTRIES 125

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.

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DemographicsFamily Dollar | Dairy Road and North Singleton Avenue, Titusville, FL

2017 SUMMARY 1 Mile 3 Miles 5 Miles

Population 6,700 24,227 44,052

Households 2,678 9,988 18,626

Families 1,855 6,526 11,890

Average Household Size 2.49 2.39 2.34

Owner Occupied Housing Units 2,149 6,949 12,673

Renter Occupied Housing Units 530 3,039 5,952

Median Age 45.8 46.4 47.3

Average Household Income $58,790 $56,312 $56,722

2022 ESTIMATE 1 Mile 3 Miles 5 Miles

Population 6,778 24,862 45,344

Households 2,704 10,240 19,116

Families 1,867 6,660 12,141

Average Household Size 2.49 2.39 2.35

Owner Occupied Housing Units 2,159 7,062 12,897

Renter Occupied Housing Units 545 3,178 6,219

Median Age 46.8 47.2 48.1

Average Household Income $64,600 $60,967 $61,255

No warranty or representation is made as to the accuracy of the foregoing information. Terms of sale, lease, and availability are subject to change or withdrawal without notice.