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StarbucksRed Bluff , California
OFFERING MEMORANDUM
Erik Neese916-329-1545
Lic #01243960
Andrew Bogardus415-677-0421
Lic #00913825
Christopher Sheldon415-677-0441
Lic #01806345 www.thinknnn.com
Net Lease Investments
Subject Property
Net Lease Investments
Disclaimer
The information contained in this marketing brochure (“Materials”) is
proprietary and confi dential. It is intended to be reviewed only by the person or
entity receiving the Materials from DTZ (“Agent”). The Materials are intended
to be used for the sole purpose of preliminary evaluation of the subject
property/properties (“Property”) for potential purchase.
The Materials have been prepared to provide unverifi ed summary fi nancial,
property, and market information to a prospective purchaser to enable it to
establish a preliminary level of interest in potential purchase of the Property.
The Materials are not to be considered fact. The information contained in
the Materials is not a substitute for thorough investigation of the fi nancial,
physical, and market conditions relating to the Property.
The information contained in the Materials has been obtained by Agent from
sources believed to be reliable; however, no representation or warranty is
made regarding the accuracy or completeness of the Materials. Agent makes
no representation or warranty regarding the Property, including but not limited
to income, expenses, or fi nancial performance (past, present, or future); size,
square footage, condition, or quality of the land and improvements; presence
or absence of contaminating substances (PCB’s, asbestos, mold, etc.);
compliance with laws and regulations (local, state, and federal); or, fi nancial
condition or business prospects of any tenant (tenants’ intentions regarding
continued occupancy, payment of rent, etc). A prospective purchaser must
independently investigate and verify all of the information set forth in the
Materials. A prospective purchaser is solely responsible for any and all costs
and expenses incurred in reviewing the Materials and/or investigating and
evaluating the Property.
By receiving the Materials you are agreeing to the Confi dentiality and
Disclaimer set forth herein.
Starbucks i
Net Lease Investments
The Off ering
• A completely rehabbed building for Starbucks
• Price – $2,405,000 Cap Rate – 5.00%
Lease / Tenant
• Starbucks is the largest coff ee company in the U.S.
• Brand new 10 year net lease
Real Estate
• Busy Interstate 5 exit location in Northern California
• Average daily traffi c count of 19,500 vpd
• Complete Rehab for Starbucks including new roof and HVAC units
• Good ingress and egress with a drive-thru
Area Strengths
• Over 24,000 people living within 5 miles
• Average Household Income of over $50,000 within 5 miles
Investment Off ering & Highlights
Starbucks ii
www.thinknnn.com
Erik Neese916-329-1545
Lic #01243960
Andrew Bogardus415-677-0421
Lic #00913825
Christopher Sheldon415-677-0441
Lic #01806345
Disclaimer i
Investment Off ering & Highlights ii
Investment Overview 1
Starbucks Corporation 2
Site Plan 3
Aerial 4
Location Map 5
Red Bluff Area Map 6 Economy 6 Transportation 7
Demographics 8
Starbucks
Table of Contents
Net Lease Investments
Location 265 Antelope Boulevard, Red Bluff , California
Lot Size Approximately 0.52 acres – 22,651± square feet
Improvements A completely rehabbed one-story, 2,768± square foot freestanding
building with drive-thru to Starbucks specs. Landlord invested over
$650,000 into the rehab, which included new roof, plumbing, HVAC,
electrical, drive-thru, water service, and upgrading of the parking lot.
Lease Leased to STARBUCKS CORPORATION for 10 years from October 2014
until October 2024. The rent increases by 10% in Year 6. The lease is
net with the tenant responsible for reimbursing the landlord for taxes,
insurance, and maintenance. The landlord is responsible for roof and
structure, and parking lot replacement. There are four 5-year options to
renew with 10% rental increases each option period.
Annual Rent
Price: $2,405,000 – 5.00% Cap Rate
Investment Years Return
Years 1 - 5 5.00%
Years 6 - 10 5.50%
Option 1 6.06%
Option 2 6.67%
Option 3 7.34%
Option 4 8.07%
Investment Overview
Starbucks 1
Net Lease Investments
Starbucks Corporation
STARBUCKS CORPORATION (NASDAQ: SBUX) is an American global coff ee
company and Italian-style coff eehouse chain based in Seattle, Washington.
Starbucks is the largest coff eehouse company in the world, with 20,737 stores in
63 countries, including 11,910 in the United States, 1,496 in China, 1,442 in Canada,
1,052 in Japan, and 8772 in the United Kingdom.
Starbucks Corporation operates as a roaster, marketer, and retailer of specialty
coff ee worldwide. Its stores off er coff ee and tea beverages, packaged roasted whole
bean and ground coff ees, single serve products, and juices and bottled water. The
company’s stores also provide fresh food off erings; ready-to-drink beverages; and
various food products, including pastries, and breakfast sandwiches and lunch items,
as well as beverage-making equipment and accessories. In addition, it licenses the
rights to produce and distribute Starbucks branded products to The North American
Coff ee Partnership with the Pepsi-Cola Company, as well as licenses its trademarks
through licensed stores, grocery, and national foodservice accounts. The company
off ers its products under the Starbucks, Teavana, Tazo, Seattle’s Best Coff ee,
Starbucks VIA, Starbucks Refreshers, Evolution Fresh, La Boulange, and Verismo
brand names. Many of the company’s products are seasonal or specifi c to the locality
of the store. Starbucks-brand ice cream and coff ee are also off ered at grocery stores.
For the three months ended June 29, 2014, total net revenues were $4.15 billion. Net
income was $512 million and total stockholders’ equity was $4.48 billion. In fi scal
year 2013, Starbucks reported total annual revenues of $14.9 billion with net income
of $8.3 million.
Standard & Poor’s rates the company “A–” investment grade.
Website: www.starbucks.com
Starbucks Corporation HeadquartersStarbucks Corporation HeadquartersSeattle, WashingtonSeattle, Washington Starbucks 2
8
ANTELOPE BLVD
PLYON SIGN
STARBUCKS
DRIVE THRU
Site Plan
GILLMO
RE ROAD
GILLMO
RE ROAD
Lake Avenue
Lake Avenue
ANTELOPE BOULEVARD
ANTELOPE BOULEVARD
ATMATM
TELOPE BOULEVARD
ANTELOPE BOULEVARD
BELLE MILL ROADBELLE MILL ROAD
SALE LA
NE
SALE LA
NE
SSALE LA
NE
WILLIAM
S AVENUE
WILLIAM
S AVENUE
GURNSEY AVENUE
GURNSEY AVENUE
AALLLE
LLLAAANN
Red Bluff Red Bluff GasGas
36
36
AAAAAAAA
AVERAGE 19,500 VPD
AVERAGE 38,000 VPD
Kaer Avenue
Chestnut Avenue
P
hilbrook Avenue
Wiltsey Road
Gilmore Ranch Road
William
s Avenue
William
s Avenue
Hoy R
oad
H
oy Road
Gurnsey Avenue
Roundup Avenue
Berrendos AvenueAgua
Ver
di D
rive
Rio R
anch Road
Conrad Avenue
Dale Avenue
Belle Mill Road
L
ake A
venu
e
Belle Mill Road
Gillm
ore Road
Howell Avenue
Monroe Street
Waln
ut Stre
et
Douglas S
treet
Jefferson Street
Elm Stre
et
Jackson Street
Cedar
Street
Oak Stre
et
Oak Stre
et
Main Street
Main Street
Antelope B
oulevard
Ayer Park
36
5
5
36
36
5
363
555
The subject property is located at 265 Antelope Boulevard
in Red Bluff , California, less than half a mile from Interstate
5. Nearby tenants include Motel 6, McDonald’s, Best
Western Plus, Chevron, Del Taco, Burger King, Applebee’s
and Shell.
Location
33Belle Miillillll Road
Starbucks 5
8
5
5
101
101
101
1
1
36
36
36
20
20
99
99
Red Bluff
Redding
Chico
Yuba City
Arcata
Eureka
Fort Bragg
Ukiah
Collusa
Red Bluff is located in central northern California, on the Sacramento
River, approximately 31 miles south of Redding; 131 miles north of
Sacramento; 186 miles north of the San Francisco Bay Area; and
192 miles northwest of Reno, Nevada. Red Bluff (population of
approximately 14,076) is the third largest city in the Shasta Cascades
and the county seat of Tehama County.
Area Map
AVERAGE
19,500 VPD
AVERAGE
38,000 VPD
AVERAGE
9,300 VPD
1
5
5
5
505
80
80
880
280680
101
101
99
99
50
101
5
580
395
80
99
99
395
395139
36
36
San FranciscoBay Area
Red Bluff
Redding
Sacramento
California
Chico
Yuba City
Arcata
Net Lease Investments
Red Bluff
TRANSPORTATIONInterstates & HighwaysRed Bluff is conveniently located off of Interstate 5 (I-5) and California State Route 36
(CA 36). Interstate 5 is the main interstate highway on the west coast running north to
south from Mexico to Canada. CA 36 runs east to west across California from Bridgeville
to Alton, California where it connects with US Highway 101.
BusRed Bluff is serviced by the Tehama Rural Area eXpress (TRAX) which operates local,
express, direct and paratransit services throughout Tehama County. The TRAX service
area includes the cities of Corning, Red Bluff , and Tehama, as well as the unincorporated
communities along Highway 99E and Highway 99W, including Dairyville, El Camino,
Gerber, Las Flores, Los Molinos, Los Robles, Proberta and Richfi eld.
Air The nearest major airport to Red Bluff is Redding Municipal Airport (RDD) located
approximately six miles southeast of Redding and 24 miles north of Red Bluff .
International airports near Red Bluff include Sacramento International Airport (SMF)
approximately 123 miles south, Oakland International Airport (OAK) approximately
190 miles south, and Reno-Tahoe International Airport (RNO) approximately 194 miles
northwest.
Mount ShastaStarbucks 7
Net Lease Investments
Demographics
2014 Summary 1 miles 3 miles 5 miles
Population 4,052 20,228 24,204
Households 1.705 7,816 9,320
Families 1,042 5,052 6,159
Average Household Size 2.35 2.52 2.54
Owner Occupied Housing Units 841 3,952 5,112
Renter Occupied Housing Units 864 3,865 4,208
Median Age 40.6 36.8 38.6
Median Household Income $33,578 $36,396 $37,898
Average Household Income $43,930 $47,592 $50,156
2019 Summary
Population 4,020 20,523 24,286
Households 1,693 7,819 9,346
Families 1,034 5,050 6,173
Average Household Size 2.35 2.52 2.54
Owner Occupied Housing Units 827 3,880 5,054
Renter Occupied Housing Units 867 3,939 4,291
Median Age 41.5 37.3 39.0
Median Household Income $38,288 $41,208 $43,258
Average Household Income $50,504 $54,096 $56,809
Trends: 2014-2019 Annual Rate
Population -0.16% 0.02% 0.07%
Households -0.14% 0.01% 0.06%
Families -0.15% -0.01% 0.05%
Owner Households -0.34% -0.37% -0.23%
Median Household Income 2.66% 2.51% 2.68%
Starbucks 8
