Embed Size (px)
Citation preview
OFFICE DEPOT111 Richmond Ranch Rd, Texarkana, TX 75503
For those withHIGHER EXPECTATIONSTM
Zeb Ripple | [email protected] [415] 274-2702CA DRE#: 01242540
Chris Kostanecki | [email protected] [415] 274-2701 CA DRE#: 01002010
Chris Peters | [email protected] [415] 274-2703 CA DRE#: 01339983
Zandy Smith | [email protected] [415] 274-2707 CA DRE #: 01734525
Representative Photo
In conjunction with TX Licensed broker: Steve Sieling, Azur Commercial Capital, LLC (214) 888-8262 | [email protected] North Central Expressway Suite M2040, Dallas, TX 75206
COPYRIGHT © 2013. ALL USE, DISCLOSURE AND/OR REPRODUCTION NOT SPECIFICALLY AUTHORIZED IS PROHIBITED. ALL RIGHTS RESERVED. Capital Pacific Real Estate Brokerage Company (“Agent”) has presented this confidential Investment Memorandum to assist the recipient in evaluating the “Property” and it is intended for your use only. This confidential material contains brief, selected information pertaining to the Property and shall not be considered all-inclusive or unchanged since the date of preparation. No warranty as to the accuracy or completeness is expressed or implied. The information has been received from sources believed to be reliable but is not guaranteed. Agent disclaims all liabilities in connection with any inaccuracies or incompleteness. The Buyer should independently verify each item of information and have the same reviewed by its tax advisor and/or legal counsel. The Buyer agrees that (a) the materials are of a highly confidential nature and will be held in the strictest confidence or shall be returned to Agent upon request; (b) the Buyer shall not contact any property manager, employee or tenant of the Property regarding the enclosed materials or the Property, without prior approval of Agent; and (c) the Buyer understands and agrees that Agent represents the seller and not the Buyer. Neither the seller nor Agent shall have any obligation to pay any commission, finder’s fee, or other compensation to any broker or other person dealing with the Buyer. The Buyer may provide information to persons retained for the purpose of evaluating the Property after first obtaining a signed confidentiality agreement from such persons to keep such information confidential. The Buyer shall defend, indemnify and hold harmless the seller, Agent and its affiliates from and against any claims, demands, damages, liabilities, costs or expenses, including reasonable attorneys’ fees, relating to any claim for a commission, finder’s fee or other compensation by any broker or other person dealing with the Buyer. The Property is being sold on an “as-is, where-is” and “with all faults” basis. - 2013
NEWLY CONSTRUCTED (RELOCATION) OFFICE DEPOT IN THE RETAIL HUB OF THE TEXAS-ARKANSAS REGION The subject property is the only national office supply operator in Texarkana, which is the transportation, commercial, and industrial center for the Texas-Arkansas area. Texarkana is also the educational, cultural, and medical center of the greater metropolitan area. EXCELLENT LOCATION > Office Depot is conveniently located adjacent to a Target and PetSmart in the Richmond Ranch Shopping Center, an established shopping center that will enhance shopping activity at the Office Depot (see pictures on page 8 & 9) > The Richmond Ranch Shopping Center is co-anchored by Target, Home Depot, Kohl’s, and PetSmart. The site is adjacent to Texarkana Pavilion, which is anchored by Best Buy, Bed Bath & Beyond, 14 screen Cinemark Theater, Old Navy, and TJ Maxx. Across the street is the Central Mall, the only enclosed mall within 70 miles, anchored by Bealls, Dillard’ s, JCPenney and Sears. (See aerial on Page 3) > Ideally located just off of the I-30 frontage Road and I-30, which has ADT of 87,000
NEW FORMAT RELOCATION STORE > The subject property is a 15,000 SF relocation store. This location is a new format store that Office Depot devised in 2011 to reduce store sizes. The average 23,000-square-foot store is being reduced to units from 5,000 to 15,000 square feet.
OFFICE DEPOT NEWS > Office Depot and OfficeMax completed their merger of equals on November 5th, 2013. By combining the two companies, they have become a $17 billion company and a stronger, more efficient global provider of office products, services, and solutions LEASE HIGHLIGHTS > NN Lease- Landlord is responsible for the roof and structure of the building > 10-year primary term with four (4), five-year options > Rent commenced 10/14/2013 > 3% rental increase every 5 years during primary term and option periods
The StoryADDRESS: 111 Richmond Rd, Texarkana, TX 75503
PURCHASE PRICE . . . . . . . . . . . . . . . . . $3,012,581
CAP RATE . . . . . . . . . . . . . . . . . . . . . . . . .7.75%
APPROX. BUILDING SIZE . . . . . . . . . . .15,565 SF
PRICE PER SQ FT . . . . . . . . . . . . . . . . . .$193.55
YEAR BUILT . . . . . . . . . . . . . . . . . . . . . . .2013
Subject Property
INVESTMENT HIGHLIGHTS | PAGE NAMEINVESTMENT HIGHLIGHTS | SUMMARY
59
59
82
82
59
93
30
30
Richmond Road
Summ
erhill Road
New Boston Road
Gibson Lane
Gibs
on La
ne
McKnight Road
N
Texas High School
Texas Middle School
TEXARKANA PAVILLION
CENTRAL MALL
I-30: ADT: 87,000
OFFICE DEPOT 3
MAPS | AERIAL
PRICE $3,012,581
Price Per Square Foot: $193.55
Capitalization Rate: 7.75%
Total Rentable Area (SF): 15,565
STABILIZED INCOME Per Square Foot
Scheduled Rent $15.00 $233,475
Effective Gross Income $15.00 $233,475
LESS Per Square Foot
Taxes NN $0.00
Insurance NN $0.00
Total Operating Expenses $0.00
EQUALS NET OPERATING INCOME $233,475
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. Buyer must verify the information and bears all risk for any inaccuracies.
Subject Property
Subject Property
OFFICE DEPOT 4
FINANCIALS | INCOME & EXPENSE
TENANT SQ. FT. TERM CURRENT RENT
MONTHLY RENT YEARLY RENT MONTHLY
RENT/FTYEARLY RENT/
FT
Office Depot 15,565 10/14/13 10/13/18 $233,475 $19,456 $233,475 $1.25 $15.00
10/14/18 10/13/23 $20,105 $241,258 $1.29 $15.50
10/14/23 10/13/28 Option 1 $20,753 $249,040 $1.33 $16.00
10/14/28 10/13/33 Option 2 $21,402 $256,822 $1.37 $16.50
10/14/33 10/13/38 Option 3 $22,050 $264,605 $1.42 $17.00
10/14/38 10/13/43 Option 4 $22,699 $272,388 $1.46 $17.50
CURRENT TOTALS 15,565 $233,475 $19,456 $233,475 $1.25 $15.00
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. Buyer must verify the information and bears all risk for any inaccuracies.
Adjacent Retail
OFFICE DEPOT 5
FINANCIALS | RENT ROLL
OFFICE DEPOT
OFFICE DEPOT 6
MAPS | REGIONAL MAP
Company Type Public (NYSE: ODP)2012 Sales $14 billion2012 Employees 42,000S&P Rating: B- (Outlook Stable)
The world’s #2 office supply chain (behind Staples), Office Depot Inc. sells office supplies through more than 1,100 company-owned and licensed locations throughout the US and 120 locations overseas. The big-box retail stores sell to both consumers and small- and medium-sized businesses. In addition to general office supplies (about two-thirds of sales), its stores offer computer hardware and software, office furniture, art and school supplies, and printing and copying services. Office Depot also sells goods through catalogs and call centers, the Internet, and a contract sales force. Office Depot is an S&P 500 company and generates revenues of over US $14 billion annually and has 42,000 employees worldwide. It is headquartered in Boca Raton, Florida. It was announced February 20, 2013, that Office Depot and OfficeMax will combine in an all-stock deal, which will create the largest U.S. office-supplies chain.
Representative Photo OFFICE DEPOT 7
PROPERTY DESCRIPTION | TENANT
Adjacent Retail in Richmond Ranch CenterFEATURED PHOTOS | PAGE NAME
OFFICE DEPOT 8
ADJACENT RETAIL
Adjacent Retail in Richmond Ranch CenterFEATURED PHOTOS | PAGE NAME
OFFICE DEPOT 9
ADJACENT RETAIL
C
A
B
TEXARKANA, TX. - 300315 - EXHIBIT G
OFFICEDEPOT
By Curtis Barnes at 10:16 pm, Nov 08, 2011Steve Ausdenmoore - 03/03/12
Office Depot
By: Steve Ausdenmoore - 03/12/1203/16/12by: Steve Ausdenmoore - 03/28/1204/12/1206/01/1207/20/12
1 OF 4
OFFICE DEPOT 10
MAPS | SITE PLAN
TEXARKANA, TX
Texarkana is a city in Bowie County, Texas. Together with neighboring Texarkana, Arkansas, it forms the community of Texarkana. The population was over 37,000 as of 2010. The total population of Texarkana is 67,784.
The city, with its Arkansas counterpart, forms the core of the Texarkana, Texas–Texarkana, Arkansas Metropolitan Statistical Area, encompassing all of Bowie County, Texas and Miller County, Arkansas.
The economy of this northeast Texas area has continued to grow at a steady pace, with more emphasis towards industry. The average annual agricultural income for the Texas section was between $12 million and $13 million by 1970. Crops raised included cotton, corn, rice, soybeans, pecans, and truck crops; livestock and poultry accounted for 75 percent of the farm income. Industries in the area included the manufacture and marketing of lumber products, sewer tile, rockwool, sand and gravel, mobile homes and accessories, municipal hardware supplies, tires, railroad tank cars, and paper products. Texarkana continues to grow, relying on the vast agricultural industry of the area as well as on a variety of manufacturing facilities.
DEMOGRAPHICS
Population 1 Mile 3 Miles 5 Miles
2010 Population 8,413 48,067 75,4992012 Population 8,754 48,341 75,7602017 Population (Projection) 9,220 48,946 76,784
2012 Income
2012 Average Household Income $41,252 $46,905 $52,0052012 Median Household Income $25,680 $32,069 $36,552
TOP EMPLOYERS IN TEXARKANA
Employer # of Employees
Red River Army Depot 7,200
Christus St. Michael Health Care 1,883
Cooper Tire & Rubber Company 1,700
Domtar 1,300
Wal-Mart 1,100
FOR MORE INFORMATION
Zeb Ripple | [email protected] [415] 274-2702CA DRE#: 01242540
Chris Kostanecki | [email protected] [415] 274-2701 CA DRE#: 01002010
Chris Peters | [email protected] [415] 274-2703 CA DRE#: 01339983
Zandy Smith | [email protected] [415] 274-2707 CA DRE #: 01734525
In conjunction with TX Licensed broker: Steve Sieling, Azur Commercial Capital, LLC (214) 888-8262 | [email protected] North Central Expressway Suite M2040, Dallas, TX 75206
MARKET INTELLIGENCE | PAGE NAMEMARKET INTELLIGENCE | AREA OVERVIEW
Copyright © 2014 [Capital Pacific Real Estate Brokerage Company]
10-10-11
B efore working with a real estate broker, you should know that the duties of a broker depend on whom the broker represents. If you are a prospective seller or landlord
(owner) or a prospective buyer or tenant (buyer), you should know that the broker who lists the property for sale or lease is the owner’s agent. A broker who acts as a subagent represents the owner in cooperation with the listing broker. A broker who acts as a buyer’s agent represents the buyer. A broker may act as an intermediary between the parties if the parties consent in writing. A broker can assist you in locating a property, preparing a contract or lease, or obtaining financing without representing you. A broker is obligated by law to treat you honestly. IF THE BROKER REPRESENTS THE OWNER: The broker becomes the owner’s agent by entering into an agreement with the owner, usually through a written - listing agreement, or by agreeing to act as a subagent by accepting an offer of subagency from the listing broker. A subagent may work in a different real estate office. A listing broker or subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first. The buyer should not tell the owner’s agent anything the buyer would not want the owner to know because an owner’s agent must disclose to the owner any material information known to the agent. IF THE BROKER REPRESENTS THE BUYER: The broker becomes the buyer’s agent by entering into an agreement to represent the buyer, usually through a written buyer representation agreement. A buyer’s agent can assist the owner but does not represent the owner and must place the interests of the buyer first. The owner should not tell a buyer’s agent anything the owner would not want the buyer to know because a buyer’s agent must disclose to the buyer any material information known to the agent. IF THE BROKER ACTS AS AN INTERMEDIARY: A broker may act as an intermediary between the parties if the broker complies with The Texas Real Estate License Act. The broker must obtain the written consent of each party to the transaction to act as an
Approved by the Texas Real Estate Commission for Voluntary Use Texas law requires all real estate licensees to give the following information about
brokerage services to prospective buyers, tenants, sellers and landlords.
Information About Brokerage Services
Real estate licensee asks that you acknowledge receipt of this information about brokerage services for the licensee’s records.
intermediary. The written consent must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker’s obligations as an intermediary. The broker is required to treat each party honestly and fairly and to comply with The Texas Real Estate License Act. A broker who acts as an intermediary in a transaction:
(1) shall treat all parties honestly;
(2) may not disclose that the owner will accept a price less that the asking price unless authorized in writing to do so by the owner;
(3) may not disclose that the buyer will pay a price greater than the price submitted in a written offer unless authorized in writing to do so by the buyer; and
(4) may not disclose any confidential information or any information that a party specifically instructs the broker in writing not to disclose unless authorized in writing to disclose the information or required to do so by The Texas Real Estate License Act or a court order or if the information materially relates to the condition of the property.
With the parties’ consent, a broker acting as an intermediary between the parties may appoint a person who is licensed under The Texas Real Estate License Act and associated with the broker to communicate with and carry out instructions of one party and another person who is licensed under that Act and associated with the broker to communicate with and carry out instructions of the other party. If you choose to have a broker represent you, you should enter into a written agreement with the broker that clearly establishes the broker’s obligations and your obligations. The agreement should state how and by whom the broker will be paid. You have the right to choose the type of representation, if any, you wish to receive. Your payment of a fee to a broker does not necessarily establish that the broker represents you. If you have any questions regarding the duties and responsibilities of the broker, you should resolve those questions before proceeding.
Buyer, Seller, Landlord or Tenant Date
Texas Real Estate Brokers and Salespersons are licensed and regulated by the Texas Real Estate Commission (TREC). If you have a question or complaint regarding a real estate licensee, you should contact TREC at P.O. Box 12188, Austin, Texas 78711-2188 , 512-936-3000 (http://www.trec.texas.gov)
TREC No. OP-K
