1403-1427 Broadway Chula Vista, CA 91911 Rare Auto Service...
Transcript of 1403-1427 Broadway Chula Vista, CA 91911 Rare Auto Service...
BRE # 01971891
619.577.4557 | [email protected]
BRE # 00928868
619.577.4558 | [email protected]
BRE # 00867784
1403-1427 Broadway Chula Vista, CA 91911
Rare Auto Service Center in Prime Retail Location
Cash on Cash Yield Over 9%
Strong In-Place Cash Flow
Low Lease Turnover with Opportunity to Increase Rents
Fully Renovated and Stable Property
CONFIDENTIALITY AGREEMENT
The material contained in this Offering Memorandum is confidential and for the purpose of considering the purchase of the Real Estate described
herein. It is subject to the terms and provisions of the Confidentiality Agreement signed by the recipient of this material, and is not to be used for
any purpose or made available to any other person without the express written consent of The Heritage Group, Inc. (“Broker”).
This Offering Memorandum was prepared in July 2017, by Broker solely for the use of prospective purchasers of 1380 El Cajon Blvd, El Cajon, CA
92020 (the “Real Estate”). Neither Broker, Owner nor any of their respective officers, employees or agents, make any representation or warranty,
express or implied, as to the completeness or the accuracy of the material contained in the Offering Memorandum or any of its contents, and no
legal commitments or obligations shall arise by reason of this package or any of its contents.
Prospective purchasers of the Real Estate are advised (i) that changes may have occurred in the condition of the Real Estate since the time of this
Offering Memorandum or the financial statements therein were prepared and that (ii) all financial projections are provided for general reference
purposes only in that they are based on assumptions relating to the general economy, competition, and other factors beyond the control of Broker
and the Owner and, therefore, are subject to material variation.
Prospective purchasers of the Real Estate are advised and encouraged to conduct their own comprehensive review and analysis of the Real Estate.
The Offering Memorandum is a solicitation of interest only and is not an offer to sell the Real Estate. The Owner and Broker expressly reserve the
right, at their sole discretion, to reject any or all expressions of interest or offers to purchase the Real Estate, and expressly reserve the right, at their
sole discretion, to terminate discussions with any entity at any time with or without notice.
This Offering Memorandum is confidential. By accepting the Offering Memorandum, you agree (i) that you hold and treat the Offering
Memorandum and its contents in the strictest confidence, (ii) that you will not photocopy or duplicate any part of the Offering Memorandum, (iii)
that you will not disclose the Offering Memorandum or any of its contents to any other entity without the prior written authorization of Broker, and
(iv) that you will not use the Offering Memorandum in any fashion or manner detrimental to the interest of the Owner or Broker.
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1403-1427 Broadway, Chula Vista, CA 91911
The information set fourth herein has been received by us from sources we believe to be reliable, but we have made no independent investigation of the accuracy or completeness of the information and make no representation with respect thereto. The above is submitted to errors, prior sale or lease, change in status or withdrawal without notice.
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PURCHASE PRICE: $10,500,000 ($167.05 PSF)
Property Offering: Five Building, Multi-Tenant Automotive Retail Center,
Totaling Approximately 62,855 SF
Address: 1403-1427 Broadway, Chula Vista, CA 91911,
Near the Intersection of Broadway and Palomar
Total Square Feet: 62,855
Occupancy: 100%
Land Area: 4.26 AC
Assessor's Parcel Number: 622-043-37-00
Year Built: 1985
Zoning: Zone C1, Recently Obtained CUP for Automotive Uses
Parking: 190 Parking Stalls (3/1,000 SF),
additional street and neighborhood parking available
Year 1 NOI: $661,119
Capitalization Rate: 6.3%
619.577.4558 | [email protected]
BRE # 00867784
619.577.4557 | [email protected]
BRE # 00928868
610 W. Ash Street, Ste. 1503
San Diego, CA 92101
BRE # 01971891
EXCLUSIVELY LISTED BY:
1403-1427 Broadway, Chula Vista, CA 91911
• 100% Triple Net (NNN) Leased Investment
• 49% Leased to Nationally Recognized Tenants: 4Wheel
Parts, AAMCO, Caliber Collison and Safelite Auto Glass
• Excellent Location with Direct Access to Interstate 5
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INVESTMENT HIGHLIGHTS
• Averages Over 9% Leveraged Cash Flow
• Walking Distance to Numerous Retail Amenities
Including National Restaurant Brands
• 3.8% Retail Vacancy in the City of Chula Vista
Including Less than 1.5% Automotive Retail Vacancy
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1403-1427 Broadway, Chula Vista, CA 91911
INVESTMENT HIGHLIGHTS
PROPERTY OVERVIEW
The Heritage Group, as agent for the Seller, is pleased to
offer for sale 1403-1427 Broadway (the "Property"), a retail
property located in the city of Chula Vista, California. 49%
of the building is leased to national tenants: 4Wheel Parts
- 2020, AAMCO - 2026, Caliber Collision – 2027, and
Safelite Auto Glass - 2021.
1403-1427 Broadway is a 5 building, multi-tenant
automotive retail center, totaling approximately 62,855 SF.
Constructed in 1985, the Property is outfitted with roll-up
doors and drive-through capabilities in most units. The
project has a full property CUP for all automotive services
by the City of Chula Vista.
The location of the Property on Broadway in Chula Vista is
near busy Broadway and Palomar intersection (traffic
counts are approximately 60,000 cars per day) walking
distance from one of the major commercial hubs in the
city. It is also less than one mile from Interstate 5, which
runs to the San Ysidro border crossing.
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1403-1427 Broadway
1403-1427 Broadway, Chula Vista, CA 91911
DEMOGRAPHIC SUMMARY
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1403-1427 Broadway, Chula Vista, CA 91911
1403-1427 Broadway
1-Mile 3-Miles
2017 Total Population 28,001 211,480
2017 Average
Household Income $47,789 $62,919
2017 Total Employees 9,752 51,017
TRAFFIC COUNTS
Broadway & Palomar Street ± 29,295 Cars/Day
Palomar Street & Orange Ave. ± 25,000 Cars/Day
Palomar Street (Between Industrial Boulevard & Broadway)
± 39,230 Cars/Day
SALES COMPARABLES
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1403-1427 Broadway, Chula Vista, CA 91911
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$167
$221
$410
$199 $200 $221
1189-91
E. Main Street
El Cajon
1060
Auto Center Ct.
Carlsbad
11318-28
Garvey Ave.
El Monte
29770
Bradley Road
Menifee
51
Auto Center Dr.
Irvine
San Diego
Average* Price Per SF
$316.29
Regional
Average* Price Per SF
$211.79
Overall
Average* Price Per SF
$252.68
*Weighted average
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SALES COMPARABLES
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1403-1427 Broadway, Chula Vista, CA 91911
Submarket / Cluster:
Address:
Sale Date:
Project Size:
Project Type:
Occupancy:
Sale Price:
Actual Cap Rate:
Submarket / Cluster:
Address:
Sale Date:
Project Size:
Project Type:
Occupancy:
Sale Price:
Actual Cap Rate:
San Diego Comps
Regional Comps
Subject Property
Chula Vista / South County Retail
1403-1427 Broadway, Chula Vista
On Market
62,855 SF
Multi-Tenant Automotive Retail
100%
$10,500,000 ($167.05/SF)
6.3%
Sale 1
El Cajon / East County Retail
1189-91 E. Main Street, El Cajon
January 3, 2017
11,966 SF
Multi-Tenant Auto Repair, Class C
100%
$2,647,000 ($221/SF)
Estimated 6.0%
Sale 2
Carlsbad / North County Retail
1060 Auto Center Court, Carlsbad
August 19, 2016
28,904 SF
Multi-Tenant Auto Repair, Class B
100%
$11,850,000 ($410/SF)
Unknown
Sale 3
South Riverside
29770 Bradley Road, Menifee
August 12, 2016
24,616 SF
Multi-Tenant Auto Repair, Class B
89%
$4,900,000 ($199.06/SF)
Estimated 6.8%
Sale 4
Western San Gabriel Valley
11318-28 Garvey Ave., El Monte
April 1, 2015
10,000 SF
Multi-Tenant Auto Repair, Class B
100%
$2,000,000 ($200/SF)
Estimated 6.64%
Sale 5
Irvine Spectrum
51 Auto Center Drive, Irvine
June 4, 2014
48,487 SF
Multi-Tenant Auto Repair, Class B
100%
$10,700,000 ($221/SF)
Estimated 6.21%
SITE PLAN
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1403-1427 Broadway, Chula Vista, CA 91911
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1403-1427 Broadway, Chula Vista, CA 91911
METRO OVERVIEW
Chula Vista, California
~ Second largest city in San Diego County
The City of Chula Vista is located 7.5 miles due
south of Downtown San Diego, and 7.5 miles
north of the Mexican border. The city was
founded in the early 19th
century, and its
citizens voted to incorporate in 1911. Chula
Vista was the largest lemon growing center in
the world for a period of time. The city covers
approximately 52 square miles of coastal
landscape, rolling hills mountains and parks,
with a population of around 250,000.
The city is home to a 375-acre University Park
and Innovation District site, and a 155-acre
Olympic training facility, and one of the
county’s largest concert amphitheaters.
Chula Vista is a leader in conservation and
renewable energy, has outstanding public
schools and has been named one of the safest
cities in the country.
AREA HIGHLIGHTS
San Diego Metropolitan Area
San Diego is a major city in Southern California,
located approximately 120 miles south of Los
Angeles and immediately adjacent to the
border with Mexico. It is the second largest city
in California and the eighth largest in the
United States. It is known for its mild
year-round climate, natural deep-water harbor,
and extensive beaches.
The city has a long association with the United
States Navy and has recently committed to
building a 600-acre SEAL training center a
mere 2 miles away from the subject property.
San Diego's main economic engines are
military and defense related activities, tourism,
international trade and manufacturing. This is
influenced by its deep-water port, which
includes the only major submarine and
shipbuilding yards on the West Coast.
MARKET OVERVIEW
San Diego Retail ~ Chula Vista Submarket
The San Diego Market is starting off 2017 with
positive year-over-year employment growth.
The top performing industries in 2016 were
government, education and health services,
and professional and business services.
Overall, employers hired nearly 30,000 new
workers last year, the fifth consecutive year of
gains at or above 30,000. San Diego’s new
retail development is slowing below its historic
pace, instead shifting focus to mixed use
projects where retail is incorporated into the
ground floor of multi-family or office buildings.
The vacancy rate for Retail in every region in
San Diego is at or below 9.3%.
In the Chula Vista submarket, overall
availability was 6.8%, with vacancy of 3.8% in
the first quarter. The average asking lease rate
was $2.35 (gross estimate). Major
developments include The Millenia Project and
the 535-acre Chula Vista Bayfront Project.
1403-1427 Broadway, Chula Vista, CA 91911
CHULA VISTA DEVELOPMENT
Chula Vista Bayfront
& Convention Center
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Navy SEAL
Training Facility
University
Innovation District
Millenia Project
Elite Athlete
Training Center
(Olympic Training)
1403-1427 Broadway, Chula Vista, CA 91911
BRE # 01971891
619.577.4557 | [email protected]
BRE # 00928868
619.577.4558 | [email protected]
BRE # 00867784