18556 VENTURA -...

G R O U P

BRANDON MICHAELS

BoulevardTarzana, CA 91356

18556 VENTURA

VENTURA BOULEVARD

RESEDA BOULEVARD

MECCA AVENUETARZANA

PROFESSIONAL CENTER

VENTURA FWY

18556 VENTURA

Boulevard, Tarzana, CA 91356

18556 VENTURA BOULEVARD | TARZANA2 3

BRANDON MICHAELSSenior Managing Director InvestmentsSenior Director, National Retail GroupTel: (818) [email protected]: CA #01434685www.BrandonMichaelsGroup.com

INVESTMENT ADVISOR: TABLE OF CONTENTS

I. Executive Summary

II. Investment Highlights

III. Financials

IV. Comparables

V. Area Overview

518556 VENTURA BOULEVARD | TARZANA4

EXECUTIVE SUMMARY

Marcus & Millichap has been selected to exclusively market for sale 18556 Ventu-ra Boulevard, a 3,946 SF auto repair center in the highly desirable submarket of Tarzana. 18556 Ventura Boulevard is ideally located on the southeast corner of Ventura Boulevard and Mecca Avenue, just west of Reseda Boulevard.

18556 Ventura Boulevard is currently 100% leased to Brake Masters that expires in 12/31/2021. The property can potentially be delivered vacant. The subject property is 9,123 square feet of land zoned C2. There is the potential for a medical conver-sion. Please contact the listing agent for more details.

18556 Ventura Boulevard is ideally located on Ventura Boulevard, the primary east-west thoroughfare throughout the San Fernando Valley. Running 18 miles, Ventura Boulevard is the world’s longest avenue of contiguous businesses. 18556 Ventura Boulevard benefits from excellent visibility and frontage, and is walkable to many retailers including Gelsons, Vons, CVS, Coffee Bean & Tea Leaf, and more. Homes south of Ventura are considered to be among the most expensive in Los Angeles County, ranging from $2 million to $50 million and home to numerous celebrities, executives, athletes, and entertainers alike.

The brand new Tarzana Village, anchored by a Whole Foods Market and TJ Maxx is also within walking distance from the subject property. 18556 Ventura Boulevard has a walkscore of 78/100, meaning most errands can be accomplished on foot. 18556 Ventura Boulevard is well located within an extremely dense demographic location, with an immediate population upwards of 436,855 people within a five mile radius. The average household income was $96,475 within a three mile radius.

ADDRESS18556 Ventura Boulevard,Tarzana, CA 91356

ASKING PRICE $2,795,000

PRICE/SF (BLDG) $708.31

CURRENT CAP RATE 3.05%

BLDG SF 3,946 SF

LOT SIZE 9,123 SF

APN 2161-017-024

YEAR BUILT 1947

ZONING LAC2

TYPE OF OWNERSHIP Fee Simple

TENANT Brake Masters

LEASE EXPIRE 12/31/2021

RENT AMOUNT $7,100

ANNUAL RENT $85,200

PROPERTY OVERVIEW

LEASE INFORMATION

18556 Ventura Boulevard benefits from excellent visibility and frontage on Ventura Boulevard.

18556 Ventura Boulevard’s location is highly walkable and within close proximity to many retailers including Gelsons, Vons, CVS, Coffee Bean & Tea Leaf, and Tarzana Village Walk.

Tarzana Village Walk

Tarzana Village Walk

VENTURA BOULEVARD

18556 VENTURA

Boulevard, Tarzana, CA 91356


INVESTMENT HIGHLIGHTS

• Rare single-tenant, free-standing auto repair building in the highly desirable submarket of Tarzana on Ventura Boulevard

• 9,123 SF of land zoned C2

• Property can potentially be delivered vacant, making this an ideal owner-user or value-add opportunity

• Potential medical conversion

• Walkability - Walking distance to retailers including Walgreens, Vons, CVS, Gelsons, Home Goods, and more.

LOCATION

18556 Ventura Boulevard, Tarzana, CA 91356

SITE

The subject property is located on the southeast corner of Ventura Boulevard and Mecca Avenue.

SQUARE FOOTAGES

The building square footage is 3,946 SF on a 9,123 SF lot.

FRONTAGE AND ACCESS

Approximately 105 feet of frontage on Ventura Bou-levard and 103 feet of frontage on Mecca Avenue.

YEAR BUILT

The property was built in 1947.

ZONING

The zoning is LAC2.

APN’S

The APN is 2161-017-024.

TRAFFIC COUNTS

Ventura Boulevard: 36,622 vehicles per dayReseda Boulevard: 28,699 vehicles per day

TENANT

Brake Masters

PARKING

9 free surface spaces are available. Ratio of 2.28/1,000 SF.

PROPERTY OVERVIEW

• Heavy Retail Corridor - Ventura Boulevard is the world’s longest avenue of contiguous businesses and the home to major national re-tailers including the brand new Tarzana Village, anchored by Whole Foods Market and TJ Maxx

• High Traffic Counts - Over 39,629 vehicles per day on Ventura Bou-levard

• Excellent Visibility - Approximately 105 feet of frontage on Ventura Boulevard

• Affluent Demographics - Over $96,475 average household income within a three mile radius and the home to numerous celebrities, ex-ecutives, athletes, and entertainers alike


FINANCIALS

INCOME AND EXPENSE % CURRENT PROFORMA

Scheduled Lease Income: $85,200 $189,408

NNN Income $37,690 $37,690

Effective Gross Income: $122,890 $227,098

Expenses: $37,690 $37,690

Net Operating Income: 2.9% $85,200 6.4% $189,408

EXPENSES ANNUAL PER SF

Taxes (1.25%) $34,938 $8.85

Insurance $502 $0.13

Total $35,440 $8.98

PRICING ANNUAL

Asking Price $2,795,000

Current CAP Rate 3.05%

Price/SF (bldg) $708.31

ProForma CAP Rate 6.78%

Price/SF (lot) $306.37

TENANT SF % LEASE START

LEASE EXPIRE

CURRENTRENT RENT/SF PROFORMA

RENT PF RENT/SF

Brake Masters 3,946 100% 12/1/2013 12/31/2021 $7,100.00 $1.80 $15,784.00 $4.00

RENT ROLL

ANNUALIZED OPERATING DATA


SALES COMPARABLES

# ADDRESS SALES PRICE PRICE/SF BLDG SF LOT SF CLOSE OF ESCROW CAP RATE

1 18010-18012 Ventura Boulevard, Encino $1,200,000.00 $512.82 2,340 4,796 11/28/2017 -

2 18024 Ventura Boulevard, Encino $1,200,000.00 $510.64 2,350 4,792 5/10/2017 3.61%

3 18501-18517 Ventura Boulevard, Tarzana $5,900,000.00 $672.90 8,768 33,541 12/5/2017 -

4 19723 Ventura Boulevard, Woodland Hills $1,900,000.00 $557.89 3,567 6,098 6/16/2017 6.82%

5 19216 Ventura Boulevard, Tarzana $4,155,000.00 $253.35 16,400 26,135 2/15/2018 3.16%

Average $2,871,000.00 $563.56 6,685 15,072 5.22%

2

54

3

1

$512.82 $510.64

$672.90

$557.89

$253.35

$563.56

$-

$100.00

$200.00

$300.00

$400.00

$500.00

$600.00

$700.00

$800.00

18010-18012 VenturaBoulevard, Encino

18024 VenturaBoulevard, Encino

18501-18517 VenturaBoulevard, Tarzana

19723 VenturaBoulevard, Woodland

Hills

19216 VenturaBoulevard, Tarzana

Average


ADDRESS 18010-18012 Ventura Blvd, Encino

SALES PRICE $1,200,000.00

PRICE/SF $512.82

BLDG SF 2,340

LOT SF 4,796

CLOSE OF ESCROW 11/28/2017

ADDRESS 18024 Ventura Blvd, Encino


PRICE/SF $510.64

BLDG SF 2,350

LOT SF 4,792


ADDRESS 18501-18517 Ventura Blcd, Tarzana


PRICE/SF $672.90

BLDG SF 8,768

LOT SF 33,541


ADDRESS 19723 Ventura Blvd, Woodland Hills


PRICE/SF $557.89

BLDG SF 3,567

LOT SF 6,098


ADDRESS 19216 Ventura Blvd, Tarzana


PRICE/SF $253.35

BLDG SF 16,400

LOT SF 26,135


1 2 543

SALES COMPARABLES


# ADDRESS RENT/MO/SF

RENT/YR/SF

LEASE TYPE

SPACE AVAIL BLDG SF

1 18740 Ventura Boulevard, Tarzana $3.00 $36.00 FS 1,400 27,190

2 18955 Ventura Boulevard, Tarzana $2.75 $33.00 NNN 1,500 21,691

3 19000-19030 Ventura Boulevard, Tarzana $2.50 $30.00 NNN 1,000 13,672

4 19200 Ventura Boulevard, Tarzana $3.25 $39.00 NNN 2,150 3,609

5 5620 Wilbur Avenue, Tarzana $3.15 $37.80 FS 2,171 52,889

Average $2.93 $35.16 1,644 23,810

RENT COMPARABLES

1

2 54 3

$3.00

$2.75

$2.50

$3.25 $3.15

$2.93

$-

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

$3.50



19000-19030 VenturaBoulevard, Tarzana


5620 Wilbur Avenue,Tarzana

Average


DEMOGRAPHICS 1 MILE 3 MILES 5 MILES

2014 Population 47,450 324,729 889,285

2014 Households 23,195 154,893 392,505

2014 Average Household Size 2.03 2.08 2.21

2014 Daytime Population 45,532 228,516 481,459

2014 Owner Occupied Housing 25.84% 30.92% 27.81%

2014 Renter Occupied Housing 74.16% 69.08% 72.19%

2014 Vacant 4.64% 2.78% 2.93%

$ 0 - $14,999 14.0% 13.7% 16.5%

$ 15,000 - $24,999 9.4% 9.3% 11.7%

$ 25,000 - $34,999 6.9% 8.6% 10.1%

$ 35,000 - $49,999 11.5% 12.1% 12.7%

$ 50,000 - $74,999 15.3% 16.4% 15.6%

$ 75,000 - $99,999 11.7% 10.6% 9.4%

$100,000 - $124,999 9.3% 8.4% 7.1%

$125,000 - $149,999 5.0% 4.8% 4.2%

$150,000 - $199,999 7.2% 5.9% 4.7%

$200,000 - $249,999 3.4% 3.3% 2.7%

$250,000 + 6.5% 6.9% 5.4%

2014 Median Household Income $63,333 $59,113 $48,751

2014 Per Capita Income $49,915 $48,426 $38,723

2014 Average Household Income $101,752 $101,115 $86,714

LOCAL DEMOGRAPHICSTARZANA

Tarzana is a neighborhood in the San Fernando Valley region of the city of Los Angeles, California. Tarzana, which measures 8.79 square miles, is bounded on the south by Topanga State Park, on the east by Encino, on the north by Reseda and on the west by Woodland Hills.

Tarzana is an affluent, highly educated neighborhood in the southwestern region of the San Fernando Valley region within Los Angeles County. This affluent community’s location provides access to the business districts of Woodland Hills, Warner Center, Hollywood, West Los Angeles, Downtown Los Angeles, Universal City, and the Tri-Cities areas. The location is also within 30 minutes to the popular beaches along the Coast and downtown Los Angeles. Neighborhood residents have access to numerous restaurants, shopping centers, retail shops, grocery stores, pharmacies, schools, open spaces, parks, sports fields, and walking trails within minutes of their home.

Tarzana has convenient access to all of Los Angeles. The US 101 Ventura Freeway provides east to west travel, and easily connects to the 405 San Diego Freeway. Ventura Boulevard, the longest contiguous avenue of busi-nesses, is home to multiple retailers and amenities such as Tarzana Village, numerous retailers and restaurants.

AREA OVERVIEW

VENTURA BOULEVARD - RETAIL CORRIDOR

Ventura Boulevard is one of the primary east-west thoroughfares in the San Fernando Valley. It runs 18 miles long and the world’s longest avenue of contiguous businesses. It has always been the most concentrated loca-tion for mom and pop shops and small businesses in the Valley; nowadays it has pockets of boutiques, a wide assortment of restaurants, coffee and tea shops, and much more.

TARZANA VILLAGE WALK

Village Walk is located in the heart of the Tarzana on the heavily trafficked Ventura Boulevard. The property is located in an affluent urban trade area with multi-million dollar homes. The 150,000 square foot lifestyle center is anchored by a flagship Whole Foods, Yoga Works, T.J. Maxx, Il Tramez-zino, Dalia’s Studio, Starbucks, Chipotle Mexican Grill and The Children’s Place, along with notable and newly opened retailers M.A.C., LYFE Kitch-en, and Phenix Salon Suites.

It includes two levels of sub-grade parking and two levels of above-grade commercial, restaurant and retail spaces. Landscaped sidewalks accom-pany a water feature. Townhomes are planned for the residential street at the back of the site.

� Tarzana Village

� Tarzana Square Shopping Center

� Westfield Topanga

� The Village at Westfield Topanga

� Northridge Fashion Center

� Sherman Oaks Galleria

NEARBY RETAIL

VENTURA BOULEVARDRESEDA BOULEVARD

1918556 VENTURA BOULEVARD | TARZANA18

AFFLUENT COMMUNITY

19634 Ventura Boulevard is situated between two wealthy communities in Los Angeles County, Woodland Hills to the west and Encino to the east. Encino is one of the strongest and most affluent submarkets in Los Angeles County. Woodland Hills is where Warner Center is located. Warner Center is one of Los Angeles County’s largest master-planed business developments, and is considered the central business district of the San Fernando Valley. Warner Center offers a sweeping complex of office parks, high-rises, apartments and shopping centers. It is home to the massive Westfield Topanga and brand new The Village at Westfield Topanga. Westfield offers consumers a laundry list of high-end retailers and restaurant choices. It has transformed into a central gathering place for local residents and visitors alike.

Generally, single-family homes and condominiums located south of Ventura Boulevard are the most expensive in the Valley. Many of these homes are located within the Santa Monica Mountains and provide breathtaking views of Los Angeles. Some of the most most exclusive homes in the area, with sale prices well in excess of a million dollars.

Due to the high single-family residential prices, and a continuing demand for housing in San Fernando Valley, there is strong demand for the development of higher density apartment buildings and condominiums. Most new apartment development is occurring from redevelopment of older, low-density projects. Historically, apartment demand has been strong, and has been influenced by high home prices and the central location of the Valley relative to employment centers. As a result, the San Fernando Valley area has become one of the most densely populated areas in Los Angeles County.

AREA OVERVIEW

MAJOR EMPLOYERS IN SAN FERNANDO VALLEY

HospitalsProvidence Tarzana Medical Center has served a rapidly growing San Fernando Val-ley community since 1973. The 249-bed hospital is known in the area as a leading source for quality care, delivering babies, providing emergency life-saving care and performing surgeries and other procedures to improve patients’ health.

Warner CenterThe newly approved Warner Center Plan encourages greater density with an addi-tional 20,000 residential units and 49,000 jobs. It is forecasted that 14 million square feet of commercial uses will be added to the area over the coming years. The former Rocketdyne site, is slated for a three billion dollar development by United Technolo-gies Corporation and Boston Global.

Van Nuys AirportVan Nuys Airport, plays a crucial role in the Southern California airport system, ranking among the world’s busiest general aviation airports. Serving an estimated 320,000 annual visitors, the 730-acre airport contributes more than $1.3 billion per year to the Southern California economy, supporting over 12,300 jobs, and generating an earnings impact of $707 million. A $10 million, 6-acre development expansion project known as the “South Campus” is slated for completion in 2016.

Colleges and UniversitiesPierce College in Woodland Hills, and California State University, Northridge (CSUN) are both located within close proximity to 19634 Ventura Boulevard. CSUN is a 356-acre campus with more than 4,000 faculty and staff, offering 129 degree programs to over 38,300 students. Pierce College is a two-year public college on a 426-acre campus serving 21,000 students.


BRANDON MICHAELSSenior Managing Director InvestmentsSenior Director, National Retail GroupTel: (818) [email protected]: CA #01434685www.BrandonMichaelsGroup.com

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