Post on 26-Jun-2020
5755 North Point Parkway, Suite 262
Alpharetta, GA 30022
770.481.1960
www.shanegroup.net
RUBY CHOW'S
10-YEAR NNN LEASE
620 Glen Iris Drive, Atlanta, GA
5755 North Point Parkway, Suite 262
Alpharetta, GA 30022
770.481.1960
www.shanegroup.net
Ponce City Market Krog Street Market Atlanta Beltline (Ponce City in background) Ford Factory Lofts & Kroger
Located nearby these exciting developments...
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Ruby Chow’s is located directly east of downtown Atlanta, adjacent to the 2.1MM-square-foot Ponce City Market. It is within
walking distance to the Atlanta Beltline and will benefit from a tremendous population base. There are over 166,000 people within
3 miles and over 384,000 within 5 miles. Additionally, there is a daytime population of over 318,000 within 3 miles. The area is also
very affluent with an average household income from $85,000 to over $96,000. There are many nearby Atlanta landmarks
downtown, including Georgia Tech, Georgia State University, Mercedes Benz Stadium (home to the Atlanta Falcons and Atlanta
United), Philips Arena (home to the Atlanta Hawks), the Georgia Aquarium, the World of Coca-Cola, the College Football Hall of
Fame, the Georgia World Congress Center, and the Fox Theatre among many others.
This offering is a new, chef-driven concept by famed restaurateur and chef Guy Wong. This will be his fourth restaurant: Ruby
Chow's. Wong has executed a new 10-year NNN lease directly adjacent to the popular 2.1MM-square-foot Ponce City Market in
Atlanta, GA. The lease has 3% annual increases and potential upside through percentage rent with a very achievable breakpoint.
Rent is set at a conservative $30 PSF NNN in comparison to area rents that average $40 PSF NNN and higher, in a market with a
2.2% vacancy. Ruby Chow’s is located in a 3,179-square-foot retail condo unit at the corner of Glen Iris Drive and North Avenue
and is currently being built-out to open shortly.
New Chef-Driven Concept by Famed Chef Guy Wong
New 10-Year NNN Lease with 3% Annual Increases
Directly Adjacent to 2.1MM SF Ponce City Market
Potential for Percentage Rent; Achievable Breakpoint
Multiple Large Re-Developments in the Area; Over $1B
Recently Constructed, Planned, and Under Construction
$30 PSF Rent in a $40 PSF Market with Only 2% Vacancy
BUILDING: 3,179 SF | LAND: Retail Condo
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
North Avenue
Ford
Factory
Lofts
360,000 SF
Mixed Use
2.1 Million SF Mixed Use
Multiple Retail Properties
$30-47/SF NNN Rent
$750M “Iconic”
Office Hotel Retail
(Planned)
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
3 Mile Radius
166,486 Population
$96,813 Avg HH Income
318,162 Daytime Population
Downtown Atlanta
Midtown Atlanta
Piedmont Park
Virginia Highlands
Atlantic Station
Historic Fourth Ward
Inman Park
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Located directly adjacent to Ruby
Chow’s, Ponce City Market began to
open in 2014, located in the fully
renovated Sears, Roebuck & Company
building. The project is over 2.1MM SF
and restored its prominence as a vital
landmark in Atlanta’s burgeoning Old
Fourth Ward. Linked directly to the
Atlanta BeltLine, and situated across
from Historic Fourth Ward Park, the
iconic stretch of Ponce de Leon Avenue
is a major part of the redevelopment
movement at the crossroads of
Atlanta’s most established
neighborhoods. At the heart of Ponce
City Market is the marketplace itself, a
flexible space to gather, eat and shop.
In the Central Food Hall, artisan chefs
and local purveyors fill an authentic
market with the design, food, and
flavors of Atlanta. Retail shops and
offices add to the life, color, and culture
of Ponce City Market and surrounding
neighborhoods. Residents of the Flats
apartments in the upper floors of the
east and west wings are just a few steps
or an elevator ride from workplaces,
shopping, the Central Food Hall, and
direct access to the BeltLine.
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Ruby Chow’s is located near many other developments, including:
MIDTOWN PLACE: Approximately 250,000-square-foot shopping center. Anchored by Whole Foods, Home Depot, PetSmart,
and TJ Maxx. Midtown Place also contains over 36,000 square feet of shop space offering a well-balanced mix of retail, service and
restaurant uses.
THE BELTLINE: The Atlanta BeltLine is the most comprehensive transportation and economic development effort ever
undertaken in the City of Atlanta and among the largest, most wide-ranging urban redevelopment programs currently underway in
the United States. It will ultimately connect 45 intown neighborhoods via a 22-mile loop of multi-use trails, modern streetcar, and
parks—all based on railroad corridors that formerly encircled Atlanta. The plan includes a 22-mile transit system, 33-mile trail
network, 1,300 acres of new and 700 acres of restored greenspace, public art, historic preservation, 28,000 new and 5,600
affordable housing units, 30,000 permanent and 48,000 construction jobs, and up to $20 Billion in total projected economic
725 PONCE (BELTLINE KROGER / FORD FACTORY LOFTS): $140 million mixed-used renovation completed in 2016 that
includes a new 60,000-square-foot Kroger below 360,000 square feet of Class A loft office space.
KROG STREET MARKET: is a $70 million, 9-acre mixed-use development in Atlanta situated along the BeltLine. The complex,
remodeled from a 1920s warehouse, is centered on a 12,000-square-foot, west coast-style market with restaurants, and up to 300
apartments. It is a destination for Atlanta’s intown culture – those who are always searching for unique, specialty creations.
Krog Street Market Atlanta Beltline (Ponce City in background) Ford Factory Lofts & Kroger
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Hard Corner of North Avenue and Glen Iris Drive
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Miso Izakaya Chef Begins 2019 Announcing His New Old
Fourth Ward Restaurant
After closing Miso Izakaya last summer, Guy Wong to open a new restaurant across from City Winery
by Beth McKibben Jan 2, 2019, 7:41am EST
Miso Izakaya debuted during a time when the Atlanta dining scene was focused on transforming the city’s reputation and that of Southern food through its new restaurants. In a 2013 interview with Creative Loafing, Wong called Miso Izakaya “an R&D lab” for continuing to “try new things.”
The decision to close his flagship restaurant after a decade on Edgewood Avenue was difficult, but the lease was ending and Wong was unable to negotiate new terms with the landlord.
Wong also owns Vietnamese restaurant Le Fat in Westside and ramen shop Ton Ton and sushi kiosk Miso Ko
Le Fat and Ton Ton chef Guy Wong plans to open Ruby
Chow’s in the Old Fourth Ward some time in 2019. The
chef, who closed his pioneering Old Fourth Ward
restaurant Miso Izakaya last July, made the New Year’s
Day announcement on Instagram. A tipster with ties to
Atlanta real estate says Ruby Chow’s will take over the
former Repast space at the Ponce Springs Lofts on Glen
Iris Drive, across from Ponce City Market and City
Winery. That location — 620 Glen Iris Drive — is now
confirmed.
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Ruby Chow’s rent is just
$30 PSF in a market
with average rents of
$40 PSF plus and
vacancy of only 2.2%!
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Base Rent $95,370 3,179 SF @ $30.00 PSFCAM, Taxes, Insurance $25,432 $8.00/SFGross Rent $120,802
Less Expenses $25,432 $8.00/SF` Less Reserves $318 $.10/SF
Total Expenses $25,750
Net Operating Income: $95,052
LEASE: 10 Year Net Lease
3.0% Annual Increases
Percentage Rent above 5.5% Breakpoint
Landlord responsible for Structure Only
Landlord bills and manages operating expenses
See Lease Abstract for More Information
6.50%CAP RATE:
PRICE: $1,462,340
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Year Net Income CAP
1 $95,052 6.50%
2 $97,913 6.70%
3 $100,870 6.90%
4 $103,890 7.10%
5 $107,005 7.32%
6 $110,216 7.54%
7 $113,522 7.76%
8 $116,924 8.00%
9 $120,452 8.24%
10 $124,076 8.48%
Average: $108,992 7.45%
Price
New 10 Year Lease
$1,462,340
$90,000
$100,000
$110,000
$120,000
$130,000
1 2 3 4 5 6 7 8 9 10
Years
Rental Income / Cash Flow
6.00%
6.50%
7.00%
7.50%
8.00%
8.50%
9.00%
1 2 3 4 5 6 7 8 9 10
Years
CAP Rate Increases
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
Term
Increases
Percentage
Security Deposit
Lease Year $/SF Annual Base Rent
One $30.00 $95,370
Two $30.90 $98,231
Three $31.83 $101,188
Four $32.78 $104,208
Five $33.76 $107,323
Six $34.77 $110,534
Seven $35.81 $113,840
Eight $36.88 $117,242
Nine $37.99 $120,770
Ten $39.13 $124,394
$9,770.13
$10,064.18
Additional rent over 5.50% breakpoint
Construction Allowance Landlord contribution of $30.00/SF maximum toward total buildout estimate of $84.76/SF
$10,366.19
$8,185.93
$8,432.30
$8,683.97
$8,943.59
$9,211.15
$9,486.67
Options
Ten (10) Years
Tenant Bao Restaurant Concepts, d/b/a Ruby Chow
Building 3,179 SF Retail Condominium, Unit C-1
3.0% Annual Increases
$10,405.93
Rent Schedule Monthly Base Rent
$7,947.50
One option of five years, starting at $40.30/SF in year 11, with 3.0% annual increases
Tenant Expenses Taxes, Insurance, CAM, Utilities
Landlord Expenses Structure Only
Gurantors Mike Blum & Guy Wong
Guaranty If Tenant defaults before the end of Lease Year three (3), personal guarantee is limited to
$157,770. If Tenant defaults after the end of Lease Year three (3), personal guarantee is
limited six (6) full months of rent. Guaranty expires after Lease Year five (5).
Fixtures Landlord lien on all Tenant personal property, as security in case of default
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS Ruby Chow’s
Ruby Chow’s
620 Glen Iris Drive, Atlanta, GA 770.481.1960 | www.shanegroup.net
RUBY CHOW'S
See accompanying Confidentiality Statement.
INVESTMENT SUMMARY
AERIAL MAPS
PONCE CITY MARKET
AREA DEVELOPMENT
PHOTOGRAPHS
TENANT INFO
RENTAL SURVEY
FINANCIAL SUMMARY
CASH FLOW
LEASE ABSTRACT
LOCATION MAPS
DEMOGRAPHICS
One Mile Three Miles Five Miles Notes
2018 Population 31,876 166,486 384,424
2010 Population 28,742 148,523 337,156
5 Year Projected 33,843 176,615 408,636
Growth Over the Past 8 Years 10.90% 12.09% 14.02%
Projected Growth Over the Next 5 Years 6.17% 6.08% 6.30%
2018 Households 18,208 79,607 174,029
% Owner Occupied 35.29% 42.15% 43.99%
% Renter Occupied 64.71% 57.85% 56.01%
2010 Households 16,976 71,455 153,005
5 Year Projected 19,236 84,440 185,083
Growth Over the Past 8 Years 7.26% 11.41% 13.74%
Projected Growth Over the Next 5 Years 5.65% 6.07% 6.35%
2018 Average Household Income $85,823 $96,813 $90,839
5 Year Projected $94,429 $104,772 $97,223
Projected Growth Over the Next 5 Years 10.03% 8.22% 7.03%
2018 Atlanta Average Household Income $81,382
2018 Georgia Average Household Income $70,633
Employment & Establishments
2018 Employees/Daytime Population 28,515 318,162 441,441
2018 Total Establishments 2,205 17,037 29,786
White 58.47% 55.54% 49.92%
African American 32.87% 34.58% 41.76%
Hispanic Origin (Any Race) 4.71% 4.15% 5.10%
Native American / Alaskan Native 0.33% 0.25% 0.29%
Asian/Pacific Islander 5.48% 7.08% 5.76%
Other Race 2.81% 2.50% 2.23%
Race
Population
Households
Income
Three Miles is 19% higher than Atlanta Avg.
Three Miles is 37% higher than Georgia Avg.