SOUTHGLENN SQUARE - LoopNet€¦ · The Subject Property SouthGlenn Square is located at 7562-7592...
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1 SOUTHGLENN SQUARE 7562 S UNIVERSITY BLVD, CENTENNIAL, CO Confidential Offering Memorandum
Transcript of SOUTHGLENN SQUARE - LoopNet€¦ · The Subject Property SouthGlenn Square is located at 7562-7592...
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SOUTHGLENN SQUARE
7562 S UNIVERSITY BLVD, CENTENNIAL, CO
Confidential Offering Memorandum
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Executive Summary SouthGlenn Square
PRICE
61,487 SF
$161
$629,178
1984
88.3%
209 SPACES
LEASABLE SF
PRICE PSF
NOI
YEAR BUILT
OCCUPANCY
SURFACE PARKING
CAP RATE$9,891,000 6.36%
7562 S University Blvd, Centennial, CO 80122
• Excellent demographics in 3 mile radius: $133,000 median household income, 5% population growth, and 100,000 population
• 23.44% IRR at market occupancy (5 year pro forma).
• Add value via lease-up of existing 12% vacancy (no lower level vacancy), sub-market vacancy is 4.2%.
• Street level in-place rents are below market, sub-market average rent is $21/SF NNN.
• Long term low interest rate debt available.
• $161 price per square foot is well below replacement cost. The low-cost basis, and irreplaceable location create an opportunity for long term appreciation.
• Dynamic retail location. Located just south of Dry Creek Rd (23,261 VPD) and University Blvd (32,578 VPD).
• Lower level service tenants have convenient access, abundant parking, and very low average in-place rents of $7.17/SF NNN.
• High performing recently renovated King Soopers located directly across University Blvd, in-line rents are $32-$36/SF NNN
• SouthGlenn Square Layout:• Pad retail: $34/SF NNN | 4,731 SF (24% vacant)• Street level retail: $11/SF NNN | 30,073 SF (18% vacant)• Lower level service retail: $7/SF NNN | 26,683 SF (2% vacant)
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The Offering Blue West Capital is pleased to present the sale of SouthGlenn Square, a 61,487 SF multi-level retail center located at the busy intersection of S. University Blvd and E. Dry Creek Rd, in Centennial, Colorado.
The Subject Property SouthGlenn Square is located at 7562-7592 S. University Blvd, Centennial, CO 80122. Strategically located directly across S. University Blvd from a King Soopers anchored center and nearby Arapahoe High School and Shepherd of the Hill Lutheran Church School. Unique to its surrounding competition, Southglenn offers 26,106 SF of service use retail which allows tenants to be in a desirable central spot without the high occupancy cost, the lowest tenant is currently paying $3.13 SF.
Centennial, CO is a suburb of Denver with a population of 108,448. Centennial is continually ranked as one of the best places to live in Colorado. Living in Centennial offers residents a suburban feel with lot of restaurants, coffee shops, and parks as well as a close commute to the Denver Tech Center or Downtown Denver job market. The public schools in Centennial are highly rated and a major draw to home ownership. The median household income in Centennial is $100,770, a 4.51% growth from the year prior.
INVESTMENT CONTACTS:
Tom Ethington - LeadManaging PartnerInvestment Sales
Robert Edwards Managing PartnerInvestment Sales
Zach WrightDirector
Net Lease Investment Sales720.966.1628
Brandon GayeskiAssociate
Investment Sales720.966.1627
Shawn DickmannAnalyst
Investment Sales720.828.8310
Investment Overview
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Property Photos
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Property Photos
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61,487 SFS I Z E
88.3%O C C U P A N C Y
16 TenantsN U M B E R O F T E N A N T S
$9,891,000P R I C E
6.36%C A P R A T E ( C U R R E N T )
P R O P E R T Y O V E R V I E W
PROPERTY ADDRESS 7562 South University BlvdCentennial, CO 80122
RBA 61,487 SF
YEAR BUILT 1984
LAND SIZE 4.01 Acres
ZONING Activity Center
PARKING 208 spaces (3.57 / 1,000 SF)
C O R E & S H E L L D E S C R I P T I O N
FOUNDATION Poured, Reinforced Concrete
CONSTRUCTION C-Masonry or ConcreteLoad-Bearing Walls
ROOF FlatRubber Membrane
Property Information
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Site Plan - Street Level Retail and Pad Retail
UNIT M/NTHOMPSON
DESIGN
UNIT L1/L2THOMPSON
DESIGNUNIT KFLYING
DRAGON
UNIT JDR. TERRY TEDFORD
UNIT ICLAUSEN NEW VISIONS
UNIT HFANTASTIC SAMS
UNIT GMAYFAIR CLEANERS
UNIT FBRAZILIAN WAXING
UNIT EJ NAILS
UNIT DEDWARD JONES
UNIT CAVAILABLE
UNIT BHIGHLANDS FAMILY
CHIROPRACTOR
UNIT AAVAILABLEPAD 2
AVAILABLEPAD 1
FUZZY’S TACO SHOP
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Site Plan - Lower Level Service Retail
UNIT CCVACANT
STORAGE
UNIT GGKIDS WONDER
UNIT AA2FAITH LIFE FELLOWSHIP
UNIT AA1COLORFUL YARN
(LOI)
UNIT BBCHILDREN’S MUSIC
UNIT JJKIDS WONDER STORAGE
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Aerial - North Facing
ARAPAHOEHIGH SCHOOL
(2,262 STUDENTS)
STREETS AT SOUTHGLENN
CHERRY KNOLLS SHOPPING CENTER
DRY CREEK RD
UN
IVER
SITY B
LVD
32,5
78 V
PD
SOUTHGLENNSQUARE
23,261 VPD
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Aerial - West Facing
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Aerial - East Facing
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Aerial & Demographics
ARAPAHOE RD
UN
IVE
RS
ITY
BLV
D
ARAPAHOEHIGH
SCHOOL
DRY CREEK RD
CO
LOR
AD
O B
LVD
LITTLETONVILLAGE
REDEVELOPMENT
S B
RO
AD
WA
Y
STREETS AT SOUTHGLENN
SOUTHGLENNSQUARE
CHERRY KNOLLS SHOPPING CENTER
CHERRY HILLS MARKETPLACE
CHERRYWOOD SQUARE
DRY CREEK CENTER
ORCHARD RD
AVERAGE HH INCOMEPOPULATION RESIDENTIAL COUNT AVERAGE HH INCOME
1 mile $126,2353 miles $133,3245 miles $136,056
TOTAL HOUSEHOLDS1 mile 6,3963 miles 43,1305 miles 112,079
POPULATION RESIDENTIAL COUNT AVERAGE HH INCOME
1 mile 15,4963 miles 108,4855 miles 279,418
POPULATION RESIDENTIAL COUNT AVERAGE HH INCOME
TOTAL POPULATION
HO
LLY
ST
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Map
7592 South University BlvdCentennial, CO 80122
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Area Overview Centennial, CO is continually ranked as one of the best places to live in Colorado. Living in Centennial offers residents a suburban feel with lot of restaurants, coffee shops, and parks as well as a close commute to the Denver Tech Center or Downtown Denver job markets. The public schools in Centennial are highly rated and a major draw to home ownership. The median household income in Centennial is $100,770, a 4.51% growth from the year prior. The City’s landscape boasts extensive open spaces, scenic mountain vistas, native wildlife, and connections to some of the region’s most impressive trail networks and recreational amenities. Through its first 17 years, the City has transformed from a collection of neighborhoods into an award-winning community with exceptional educational, employment, commercial, and recreational opportunities. The barriers to entry for new commercial development in the community are extremely high.
TOP 10 RETAIL SALES TAX PRODUCERS OF 2017
1. Comcast
2. Arrow Electronics
3. United Launch Alliance
4. Oppenheimer Funds
5. United Healthcare
6. Nordstrom
7. Sierra Nevada Corporation
8. Zillow Group
9. Travelport
10. S&P Global
1. IKEA
2. Xcel Energy
3. Worldwide Technology, Inc.
4. Walmart
5. Amazon
6. Topgolf
7. AutoNation Toyota
8. Verizon Wireless
9. Best Buy
10. REI
TOP 10 EMPLOYERS
MOSTFAMILY-FRIENDLY
CITY IN COLORADO
Apartment List2017
BEST CITY INCOLORADO FOR FIRST-TIME
HOMEBUYERS
NerdWallet2017
ONE OF THE BESTPLACES TO MOVEOR OPEN A BUSINESS
Best of ColoradoBusiness Choice Awards
2017
NO. 2 ON THE“50 BEST CITIES
TO LIVE” List
24/7 Wall Street2017
2ND HEALTHIESTHOUSING MARKET
IN COLORADO
SmartAsset2017
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Income & Expense
CURRENT
Price $9,891,000
Capitalization Rate 6.36%
Price Per Square Foot $160.86
Total Leased (SF) 88.3% 54,297 SF
Total Vacant (SF) 11.7% 7,190 SF
Total Rentable Area (SF) 61,487 SF
INCOME PER SQUARE FOOT AS-IS
Scheduled Rent $10.40 $639,643
Expense Reimbursement $4.72 $290,063
Cell Tower $0.45 $27,708
POTENTIAL GROSS REVENUE
General Vacancy - -
EFFECTIVE GROSS INCOME $957,414
EXPENSES AS-IS
CAM ($146,119)
Insurance ($15,479)
Property Taxes ($137,406)
Management Fee ($37,188)
TOTAL OPERATING EXPENSES ($328,236)
NET OPERATING INCOME $629,178
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Anchor Tenant MixHIGHLANDS FAMILY CHIROPRACTORDr. Andrew Hicks and Dr. Anthony Bos at the Highlands Family Chiropractic Cen-ter have been working for over a decade to treat patient’s pain. The Highlands Family Chiropractic Center provide evidence-based chiropractic care treating neck and back pain, chronic fatigue, headaches, spinal misalignment, and more. https://www.highlandsfamilychiropractic.comTenant Since: 2015
EDWARD JONESEdward D Jones is a financial services firm that operates out of more than 14,000 locations in the US and Canada. Working with clients since 1995, Edward Jones has grown to have nearly 7 million clients and $1 trillion dollars in assets under management worldwide. https://www.edwardjones.comTenant Since: 1998
FANTASTIC SAMSFantastic Sams has become one of the worlds largest full services hair-care sa-lons with over almost 1,000 locations in the US and Canada. https://www.fantasticsams.comTenant Since: 1988
KIDS WONDERKids Wonder is South Denver Metro’s only intentional play center dedicated to the physical, intellectual, social and emotional development of children ages 0-8 years. https://www.kidswonder.netTenant Since: 2018
FUZZY’S TACOSince opening the doors of the original Fuzzy’s Taco Shop in Fort Worth, Texas in 2003, The Fuzzy’s Taco Shop name has spread across the country with over 100 storefronts to date. Fuzzy’s one of a kind food and festive love keeps customers coming back in time and time again. https://www.fuzzystacoshop.comTenant Since: 2018
CHILDREN’S MUSIC ACADEMYThe Children’s Music Academy (CMA) offers music lessons for young children with the hope of developing a strong musical foundation and building essential like skills. https://childrensmusicacademy.orgTenant Since: 1997
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RentComparables
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4SUBJECT
SUBJECT PROPERTY: SOUTHGLENN SQUARE
Address: 7592 S University Blvd
Year Built: 1984
High Low
NNN Rent Range):
$34.00 $3.13
Lease Size Range):
3,908 SF 1,131 SF
Tenants: Fuzzy’s Taco, Edward Jones, Highlands Family Chiropractor
PROPERTY 1: CHERRYWOOD SQUARE
Address: 7575 South University Blvd Centennial, CO
Year Built: 1978
High Low
NNN Rent Range):
$37.00 $33.00
Lease Size Range):
1,930 SF 1,200 SF
Tenants: Starbucks, Einstein Bagels, YogurtLand, Tailor Cleaners
PROPERTY 2: DRY CREEK CENTER
Address: 7500 South University BlvdCentennial, CO
Year Built: 1987
High Low
NNN Rent Range):
$30.00 $22.96
Lease Size Range):
1,320 SF 1,200 SF
Tenants: Dry Creek Liquors, Tedford Den-tal, Allstate, & Pro-Vision Eyecare
PROPERTY 3:DRY CREEK CENTER (FRONT SPACE)
Address: 7530 South University BlvdCentennial, CO
Year Built: 2013
High Low
NNN Rent Range):
$30.00 $30.00
Lease Size Range):
1,175 SF 1,145 SF
Tenants: Larkburger, Jimmy John’s, Max Muscle, & Cake Heads
PROPERTY 4: UNIVERSITY TOWNE CENTER
Address: 7408-7422 South University BlvdCentennial, CO
Year Built: 1982
High Low
NNN Rent Range):
$27.00 $22.00
Lease Size Range):
NA NA
Tenants: Supplement Giant, Subway, Papa Murphy’s Pizza, AAA
DR
Y C
RE
EK
RD
UNIVERSITY BLVD
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Disclaimer
This confidential Offering Memorandum has been prepared by Blue West Capital, LLC (“Blue West Capital”) foruse by a limited number of qualified parties. This Offering Memorandum has been provided to you at your request based upon your assurances that you are a knowledgeable and sophisticated investor in commercial real estate projects and developments. Blue West Capital recommends you, as a potential buyer/investor, should perform your own independent examination and inspection of the property described herein as South-glenn Square (the “Property”) and of all of the information provided herein related to the Property. By accepting this Offering Memorandum, you acknowledge and agree that you shall rely solely upon your own examination and investigation of the Property and you shall not rely on any statements made in this Offering Memorandum or upon any other materials, statements or information provided by Blue West Capital or its brokers.
Blue West Capital makes no guarantee, warranty or representation about the completeness or accuracy of theinformation set forth in this Offering Memorandum. You are responsible to independently verify its accuracyand completeness. Blue West Capital has prepared the information concerning the Property based uponassumptions relating to the general economy, its knowledge of other similar properties in the market, and onother market assumptions including factors beyond the control of the Blue West Capital and the Owner of theProperty. Blue West Capital makes no representation or warranty as to either the accuracy or completeness ofthe information contained herein, and the information set forth in this Offering Memorandum is not intended tobe a promise or representation as to the future performance of the Property. Although the information con-tained herein is believed to be accurate, Blue West Capital and the Property Owner disclaim any responsibility or liability for any inaccuracies. Further, Blue West Capital and the Property Owner disclaim any and all liabilityfor any express or implied representations and warranties contained in, or for any omissions from, the OfferingMemorandum and for any other written or oral communication transmitted or made available to you. Blue WestCapital shall make available to you, as a qualified prospective investor, additional information concerning theProperty and an opportunity to inspect the Property upon written request.
This Offering Memorandum and the contents are intended to remain confidential except for such informationwhich is in the public domain or is otherwise available to the public. By accepting this Offering Memorandum, you agree that you will hold and treat Offering Memorandum in the strictest confidence, that you will not photo-copy or duplicate it, or distribute it. You agree you will not disclose this Offering Memorandum or its contents toany other person or entity, except to outside advisors retained by you and from whom you have obtained anagreement of confidentiality, without the prior written authorization of Blue West Capital. You agree that you willuse the information in this Offering Memorandum for the sole purpose of evaluating your interest in the Property. If you determine you have no interest in the property, kindly return the Offering Memorandum to Blue West Capital at your earliest convenience.
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720.989.1031400 S Colorado Blvd, Suite 420,
Denver, CO 80246 BLUEWESTCAPITAL.COM
Tom EthingtonManaging PartnerInvestment Sales
Robert Edwards Managing PartnerInvestment Sales
Zach WrightDirector
Net Lease Investment Sales720.966.1628
Brandon GayeskiAssociate
Investment Sales720.966.1627
Shawn DickmannAnalyst
Investment Sales720.828.8310
