7-ELEVEN · 2020-03-20 · Morris Blvd, Newport News, VA 23601on the hard corner of J Clyde Morris Blvd and Harpersville Rd with a Combined VPD of Over 44,000. 7-Eleven has a GLA

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This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap

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998 J CLYDE MORRIS BLVD | NEWPORT NEWS, VAOffering Memorandum

7-ELEVEN998 J CLYDE MORRIS BLVDNEWPORT NEWS, VA 23601

STEVEN J. SIEGEL | SENIOR MANAGING DIRECTORExecutive Director - Institutional Property Advisors (IPA)

Senior Managing Director - Investments

National Retail Group

Net Leased Properties Group

Office: (212) 430-5166Cell: (646) 996-3709E-mail: [email protected] License: NY: 30SI0857139 NJ: 0015107 CT: REB.0754170

EXCLUSIVELY LISTED BY:

REPRESENTATIVE PHOTO

998 J CLYDE MORRIS BLVD | NEWPORT NEWS, VA


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M&M CAPITAL CORPCHRISTOPHER MARKSFirst Vice President - Capital Markets, Origination

Office: (212) 430-5137Cell: (516) 448-3293E-mail: [email protected]

Investment Contacts

STEVEN J. SIEGELExecutive DirectorInstitutional Property Advisors (IPA)Senior Managing Director - Investments

Office: (212) 430-5166Cell: (646) 996-3709E-mail: [email protected]: NY: 30SI0857139

NJ: 0015107CT: REB.0754170

STEVEN J. SIEGELAssociate DirectorSJS & Partners LLC

Office: (212) 430-5293 Cell: (914) 525-7735E-mail: [email protected] License: NY: 10401253283

NICHOLAS GILLOTTSenior Financial Analyst

Office: (646) 805-1455E-mail: [email protected]

PHIL BIANCAVILLAAssociate DirectorSJS & Partners LLC

Office: (212) 430-5293 Cell: (914) 525-7735E-mail: [email protected]: NY: 10401253283

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Table of Contents

5

6

7

8

9-13

14-16

Investment Overview

Offering Summary

Property Details

Tenant & Lease Overview

Maps

Demographic & Location Overview



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SUBJECT PROPERTY


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Investment Highlights

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Absolute NNN Ground Lease 7-Eleven Located at 998 J Clyde Morris Blvd, Newport News, VA 23601 on the hard corner of J Clyde Morris Blvd and Harpersville Rd with a Combined VPD of Over 44,000.

7-Eleven has a GLA of 2,900 SF and Sits on a .73-Acre Lot.

7-Eleven has 10 Years Remaining in the Base Term of a NNN Ground Lease with Four 5-Year Options with 10%Increases Every 5 Years Though the Base Term and the Options.

7-11 is the World’s Largest Convenience Store. They Operate, Franchise, and License 64,319 Stores in 18 Countries.

The Subject Property is Directly adjacent to Bayberry Village Shopping Center. Anchored by Food Lion Supermarket and tenanted by a mix of local, regional, and national tenants such as Supercuts, Medicap Pharmacy, Waffle House, and many more.

The Subject Property is Surrounded by over 15 public and private primary schools and National Retailers Such as McDonald's, Arby's, Starbuscks, Aldi, Whole Foods, PNC Bank, BB&T Bank, Marriot, Holiday Inn and Many Others.

The Subject Property has a Population of Over 83,880 People Living within a 3-Mile Radius with an Average Household Income of $84,889.



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Offering Summary

PRICE $1,725,000

Gross Leasable Area

Price Per SF

2,900 SF

$595Current NOI

Cap Rate 5.00%

$86,249Lease Years RemainingExpiration February 10, 2030 10

Lot Size .73 Acres Lease Type NNN Ground Lease

PERIOD COMMENCEMENT DATE EXPIRATION DATE ANNUAL RENT MONTHLY RENT RPSF PERCENTAGE INCREASE

Years 1-5 2/11/2015 2/10/2020 $78,408 $6,534 $27.04 10.00%

Years 6-10 2/11/2020 2/10/2025 $86,249 $7,187 $29.74 10.00%

Years 11-15 2/11/2025 2/10/2030 $94,874 $7,906 $32.72 10.00%

Option 1 2/11/2030 2/10/2035 $104,361 $8,697 $35.99 10.00%

Option 2 2/11/2035 2/10/2040 $114,797 $9,566 $39.59 10.00%

Option 3 2/11/2040 2/10/2045 $126,277 $10,523 $43.54 10.00%

Option 4 2/11/2045 2/10/2050 $138,905 $11,575 $47.90 10.00%

Rent Schedule

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Property Details

Street Address 998 J Clyde Morris Blvd,

City State Zip Newport News, VA 23601

Building SF 2,900

Lot Size .73 AC

Tax ID 175000238

Zoning C1

SUBJECT PROPERTY

REPRESENTATIVE PROPERTY



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Tenant Overview - 7-ELEVEN 7-ELEVEN Lease Abstract

Tenant Name 7-Eleven, Inc.

Original Lease Term 15 Years

Remaining Term 10

Lease Expiration 2/10/2030

Lease Type NNN

Ownership Interest Ground Lease

Rent Escalations 10% Every 5 Years

Annual Rent $86,249

Rent per GLA $29.74

Expenses None

Tenant 7-Eleven

Tenant & Lease Overview

7-Eleven is the world’s largest convenience store chain and was founded in 1927 in Dallas, Texas. 7-Eleven, Inc. is the U.S. subsidiary of the international chain that operates,

franchises, and licenses 64,319 stores in 18 countries as of January 2018. It is headquartered in Irving, Texas with the parent company, Seven-Eleven Japan Co., Ltd., located

in Chiyoda, Tokyo. The chain was known as Tote’m Stores until it was renamed in 1946. Seven-Eleven Japan is held by the Seven & I Holdings Co.

7-Eleven focuses on meeting the needs of convenience-oriented guests by providing a broad selection of fresh, high-quality products and services at everyday fair prices

with speedy transactions in a clean, friendly shopping environment.

Stores typically vary in size from 2,400 to 3,000 square feet and are most often located on corners for great visibility and easy access. In addition to being the world’s largest

convenience store chain, 7-Eleven is also one of the nation’s largest independent gasoline retailers.

Tenant 7-Eleven

Industry Retail (Convenience Stores)

Parent Seven & I Holdings co.

Public/Private Private

Credit Rating / Rating Agancy S&P/ AA- Moody's/Baa1

Number of Stores 64,000+

Headquarters Dallas TX

Website www.7-eleven.com

Year founded 1927

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*Borders are approximate and to be used for reference purposes only.

Parcel Map

HARPERSVILLE RD / 11,000 VPDHARPERSVILLE RD / 11,000 VPD

SUBJECT PROPERTYSUBJECT PROPERTY

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Parcel Map

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J CLYDE MORRIS BLVD / 33,000 VPD

J CLYDE MORRIS BLVD / 33,000 VPD

SUBJECT PROPERTYSUBJECT PROPERTY

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Regional Map

SUBJECT PROPERTY



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CoventryElementary School

Bethel Mano Elementary School

SaundersElementary School

Deer ParkElementary School

Richard T YatesElementary School

Ethel M. GildersleeveMiddle School

ChristopherNewport University

Victory FamilyYMCA

J Cly

de M

orri

s Bl

vd

Hampton Hwy

Victory Blvd

Je�erson Ave

Warw

ick Blvd

460

17

64

134

171

Retail Map

N

SUBJECT PROPERTY

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REPRESENTATIVE PROPERTY



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Location Overview

3 MILE RADIUS OF 998 J CLYDE MORRIS BLVD | NEWPORT NEWS, VA

KEY FACTS

83,887Population

35.2

Median Age

2.5Average Household Size

$84,889Average Household

Income

EDUCATION

7%

No High School

Diploma 22%High School

Graduate

34%Some College 37%

Bachelor's/Grad/Prof Degree

BUSINESS

3,056Total Businesses

44,012Total Employees

EMPLOYMENT

66%White Collar

19%Blue Collar

15%Services

3.7%

Unemployment Rate

INCOME

$65,370

Median Household Income

$33,784

Per Capita Income

$79,655

Median Net Worth

Households By IncomeThe largest group: $50,000 - $74,999 (19.6%)

The smallest group: $200,000+ (5.1%)

Indicator Value Difference

<$15,000

$15,000 - $24,999

$25,000 - $34,999

$35,000 - $49,999

$50,000 - $74,999

8.6%

$75,000 - $99,999

7.2%

$100,000 - $149,999

6.7%

$150,000 - $199,999

13.8%

$200,000+

19.6%

+5.2%

15.9%

+3.3%

15.4%

+0.5%

7.8%

+5.6%

5.1%

-0.5%

-1.2%

-3.1%

-5.5%

-4.2%

Bars show deviation from

Hampton city

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About NEWPORT NEWS, VirginiaNewport News is an independent city in the U.S. state of Virginia. As of the 2010 census, the population was 180,719. In 2018, the population was estimated to be 178,626, making it the �� t populous city in Virginia.

Newport News is included in the Hampton Roads metropolitan area. The area now known as Newport News was once a part of Warwick County. Warwick County was one of the eight original shires of Virginia, formed by the House of Burgesses in the British Colony of Virginia by order of King Charles I in 1634. The county was largely composed of farms and undeveloped land until almost 250 years later.

City Center at Oyster Point, located near Port Warwick, has been touted as the new “downtown”[citation needed] because of its new geographic centrality on the Virginia Peninsula, its proximity to the retail/business nucleus of the city, etc. Locally, it is often called simply “City Center”. Nearby, the Virginia Living Museum recently completed a $22.6 million expansion plan.

Newport News is also home to a small Korean ethnic enclave on Warwick Boulevard near the Denbigh neighborhood on the northern end of the city.(source: https://en.wikipedia.org/wiki/Newport_News,_Virginia)

NEWPORT NEWS, VA NEWPORT NEWS, VA



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2019 Summary 1 Mile 3 Miles 5 MilesPopulation 10,161 83,887 187,125Households 4,321 33,242 74,325Families 2,594 21,603 48,379Average Household Size 2.33 2.49 2.46Owner Occupied Housing Units 1,930 17,177 40,595Renter Occupied Housing Units 2,391 16,064 33,729Median Age 37.1 35.2 36.5Median Household Income $59,966 $65,370 $64,110Average Household Income $80,072 $84,889 $82,957

Pulled from STDB.com

NEWPORT NEWS, VA

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Pulled from STDB.com

Documents

7-ELEVEN · 2020-03-20 · Morris Blvd, Newport News, VA 23601on the hard corner of J Clyde Morris Blvd and Harpersville Rd with a Combined VPD of Over 44,000. 7-Eleven has a GLA