PHILIP LEVY CHRIS GAINEY - LoopNet...Street Address 310 East Round Grove Road City, State, Zip...

P H I L I P L E V Y C H R I S G A I N E Y972.755.5225 817.932.6122SENIOR MANAGING DIRECTOR FIRST VICE PRESIDENT [email protected] [email protected]

OFFERING MEMORANDUM

2

PROPERTY INFORMATION 3

LOCATION INFORMATION 7

FINANCIAL ANALYSIS 13

SALE COMPARABLES 18

RENT COMPARABLES 23

DEMOGRAPHICS 30

ContentsConfidentiality & Disclaimer

The information contained in the following Marketing Brochure is proprietary and strictlyconfidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichapand should not be made available to any other person or entity without the written consent ofMarcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverifiedinformation to prospective purchasers, and to establish only a preliminary level of interest in thesubject property. The information contained herein is not a substitute for a thorough duediligence investigation. Marcus & Millichap has not made any investigation, and makes nowarranty or representation, with respect to the income or expenses for the subject property, thefuture projected financial performance of the property, the size and square footage of theproperty and improvements, the presence or absence of contaminating substances, PCB's orasbestos, the compliance with State and Federal regulations, the physical condition of theimprovements thereon, or the financial condition or business prospects of any tenant, or anytenant’s plans or intentions to continue its occupancy of the subject property. The informationcontained in this Marketing Brochure has been obtained from sources we believe to be reliable;however, Marcus & Millichap has not verified, and will not verify, any of the information containedherein, nor has Marcus & Millichap conducted any investigation regarding these matters andmakes no warranty or representation whatsoever regarding the accuracy or completeness of theinformation provided. All potential buyers must take appropriate measures to verify all of theinformation set forth herein.

Non-Endorsement Notice

Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant orlessee identified in this marketing package. The presence of any corporation’s logo or name is notintended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporationof Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commerciallisting of Marcus & Millichap, and is solely included for the purpose of providing tenant lesseeinformation about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS

The Shoppes at Round Grove310 East Round Grove Road, Lewisville, TX 75067

TABLE OF CONTENTS

Section 1 PROPERTY INFORMATION

4

DEMOGRAPHICS 1 MILE 3 MILES 5 MILES

Total Households 9,093 34,629 86,774

Total Population 19,036 90,824 230,897

Average HH Income $74,646 $101,205 $107,345

PROPERTY OVERVIEW

Marcus & Millichap is pleased to present the opportunity to acquire a fully stabilized, multi-tenant retail center in a

highly-desirable retail trade area in Lewisville, Texas.

OFFERING SUMMARY

Sale Price: $3,175,000

Building Size: 13,580 SF

Lot Size: 1.786 Acres

Price / SF: $233.80

Cap Rate: 6.84%

NOI: $217,240

Year Built: 2005


PROPERTY INFORMATION | EXECUTIVE SUMMARY

5

PROPERTY DESCRIPTION

Marcus & Millichap is pleased to present the opportunity to acquire a fully stabilized,multi-tenant retail center in a highly-desirable retail trade area in Lewisville, Texas. TheShoppes at Round Grove is a 13,580-square foot shopping strip that is 100 percentoccupied, and all leases are triple-net. Tenants are a mix of local businesses, consisting ofPho Express, Coleman Bright Ideas (Texas Hot Tub Company), Slim 4 Life Weight LossCenter, Smokin’ Chef BBQ, and Coral Reef Coffee. Constructed in 2005, the building issituated on 1.79 acres and has a concrete parking lot.

LOCATION DESCRIPTION

The subject property is located on the hard corner of East Round Grove Road and UeckerLane. Traffic counts are approximately 47,000 vehicles per day in front of the property.Surrounded by dense retail, The Shoppes at Round Grove is near Music City Mall, anchoredby Dillard’s, Sears, JCPenney, Macy’s, and Cinemark and has over 130 retail shops. Othernational and regional retailers in the area include Walmart Supercenter, DSW, Bed Bath &Beyond, Burke’s Outlet, HobbyTown USA, Pier 1 Imports, Haverty’s, BBVA, LA Fitness,Romano’s Macaroni Grill, Costco, Guitar Center, Best Buy, Starbucks, BJ’s Restaurant andBrewhouse, Buffalo Wild Wings, Target, At Home, Academy Sports, Conn’s HomePlus, OliveGarden, Marshalls, Hobby Lobby, Michaels, OfficeMax, Barnes & Noble, Dollar Tree, andnumerous others. The area has strong demographics, with a five-mile population of 230,897residents and an average household income exceeding $107,000.

Lewisville is an urban community of over 100,000 people conveniently located in theDallas-Fort Worth metroplex, only 10 minutes from Dallas-Fort Worth International Airportand bisected by I-35 East and Highway 121. With more than three million square feet ofoffice/industrial space and more new development in the pipeline, Lewisville provides avariety of location options for businesses. Visitors and residents enjoy a variety ofrecreation and shopping opportunities including a 2000-plus acre nature preserve, a historicdowntown, Lewisville Lake and Music City Mall. Lewisville continues to benefit from one ofthe lowest combined property tax rates in DFW, making Lewisville an attractive location forbusiness and residents.


PROPERTY INFORMATION | PROPERTY DESCRIPTION

6

LOCATION INFORMATION

Building Name The Shoppes at Round Grove

Street Address 310 East Round Grove Road

City, State, Zip Lewisville, TX 75067

County Denton

BUILDING INFORMATION

NOI $217,240.00

Cap Rate 6.84

Occupancy % 100.0%

Tenancy Single

Year Built 2005

PROPERTY HIGHLIGHTS

• 13,580-Square Foot, Multi-Tenant Retail Center

• 100% Occupied | All Leases are Triple-Net

• Rents are Below Market

• Property is on 1.79 Acres with a Concrete Parking Lot

• Hard Corner Location on East Round Grove Road and Uecker Lane | Traffic Counts areApproximately 47,000 Vehicles per Day

• Dense Retail Trade Area | Close Proximity to Walmart Supercenter and Music City Mall |Mall has 130 Stores and is Anchored by Dillard's, Sears, JCPenney, Macy's, and Cinemark| Numerous other National Credit Tenants in the Surrounding Area

• Strong Demographics | Average Household Income Exceeds $107,000 within Five Miles |Population is 230,897 Residents


PROPERTY INFORMATION | COMPLETE HIGHLIGHTS

Section 2 LOCATION INFORMATION

8

The Shoppes at Round Grove


LOCATION INFORMATION | REGIONAL MAP

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LOCATION INFORMATION | LOCATION MAPS

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LOCATION INFORMATION | AERIAL MAP

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Section 3 FINANCIAL ANALYSIS

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INVESTMENT OVERVIEW

Price $3,175,000

Price per SF $233.80

CAP Rate 6.84 %

Total Return (yr 1) $217,240

OPERATING DATA

Gross Income $314,860

Operating Expenses $97,620

Net Operating Income $217,240

FINANCING DATA

Down Payment $3,175,000

Loan Type All Cash


FINANCIAL ANALYSIS | FINANCIAL SUMMARY

INCOME SUMMARY PER SF

Base Rent $217,240 $16.00

Real Estate Taxes Reimbursements $55,000 $4.05

Insurance Reimbursements $7,000 $0.52

CAM Reimbursements $24,620 $1.81

Management Fee Reimbursements $11,000 $0.81

Gross Income $314,860 $23.19

EXPENSE SUMMARY PER SF

Real Estate Taxes $55,000 $4.05

Insurance $7,000 $0.52

Utilities $8,300 $0.61

Repairs & Maintenance $1,450 $0.11

Landscaping $4,200 $0.31

Trash Removal $4,350 $0.32

Fire Alarm Monitoring/Repairs $1,820 $0.13

Fire Inspection $650 $0.05

Parking Lot $750 $0.06

Porter Service $3,000 $0.22

Supplies $100 $0.01

Management Fee $11,000 $0.81

Gross Expenses $97,620 $7.19

Net Operating Income $217,240 $16.00

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FINANCIAL ANALYSIS | INCOME & EXPENSES

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FINANCIAL ANALYSIS | RENT ROLL

TENANTNAME

PERSONALGUARANTEE

UNITSIZE (SF)

% OFGLA

LEASESTART

LEASEEND

ANNUALRENT

ESCDATE

PRICEPER YEAR

LEASETYPE OPTION

EXPENSEREIMBURSEMENT

Yes 4,556 33.55 8/15/17 12/31/22 $65,562 $14.39 NNN (2) 5-Yr $32,751.51

Yes 4,166 30.68 8/01/16 10/31/21 $66,690 $16.01 NNN (2) 5-Yr $29,949.82

1,744 12.84 1/12/12 7/31/20 $27,904 $16.00 NNN $12,534.41

Yes 1,050 7.73 5/15/16 MTM $18,900 $18.00 NNN

(1) 4.5-Yr

None $7,546.03

Pho Express (1)

Coleman Bright Ideas (2)

Slim 4 Life (3)

Smokin' Chef BBQ

Coral Reef Coffee (4) Yes 2,064 15.2 11/01/19 12/31/24 $38,184

11/1/2021

11/1/2023

$18.50

$19.00

$19.50

NNN (1) 5-Yr $14,838.24

Totals/Averages 13,580 $217,240 $16.00 $97,620.01

(1) Option 1 - $15.73 | Option 2 - Current Market Rate(2) Option 1 - $16.50 (Month 1-24), $17.50 (Month 25-60) | Option 2 - Current Market Rate not to exceed 10% over last rate period(3) Option 1 - $19.56 (Month 1-18), Current Market Rate (Month 19-54)(4) Option 1 - Current Market Rate

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FINANCIAL ANALYSIS | SITE PLAN

Section 4 SALE COMPARABLES

SUBJECT PROPERTY

310 East Round Grove Road | Lewisville, TX 75067

$3,175,000Sale Price: 1.79 ACLot Size:

2005Year Built: 13,580 SFBuilding SF:

$233.80Price PSF: 6.84%Cap:

$217,240NOI:

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INDEPENDENCE PARK

3020 Legacy Drive | Plano, TX 75023



$231.61Price PSF: 6.34%CAP:

06/28/2019Closed: 73%Occupancy:

Salsa Tex Mex, Leslie's Poolmart, Sigel's Beverages, 9 Round, Pizza Hut

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2

NICKELVILLE SQUARE

560 Country Club Road | Wylie, TX 75098





Snap Fitness, Trusted Dental Care, Wylie Nail Bar, Infinite Dynasty, RC HairSalon

2

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SALE COMPARABLES | SALE COMPS

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SPORTS VILLAGE PLAZA

6065 Sports Village Road | Frisco, TX 75033





Foley Custom Pools, Low T Center, Dickey's BBQ, Durkin's Pizza, Her Kare

3

4

HULEN CROSSING

8615 South Hulen Street | Fort Worth, TX 76123





Hulen Crossing Family Dental, Little Caesars, Nail Salon and Spa, Cleaner'sCorner

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5

EDMONDS PLAZA EAST AND WEST

771 West Round Grove Road | Lewisville, TX 75067





Park Dental, The Liquor Outpost, Victoria Nail Bar, BurgerIM

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SALE COMPARABLES | SALE COMPS

SUBJECT PROPERTY PRICE BLDG SF PRICE/SF CAP


310 East Round Grove Road

Lewisville, TX 75067

$3,175,000 13,580 SF $233.80 6.84%

SALE COMPS PRICE BLDG SF PRICE/SF CAP CLOSE

Independence Park3020 Legacy Drive

Plano, TX 75023

$7,400,000 31,950 SF $231.61 6.34% 06/28/2019

Nickelville Square560 Country Club Road

Wylie, TX 75098

$4,300,000 17,044 SF $252.29 6.5% 06/03/2019

Sports Village Plaza6065 Sports Village Road

Frisco, TX 75033

$6,525,000 18,323 SF $356.11 6.51% 07/13/2018

Hulen Crossing8615 South Hulen Street

Fort Worth, TX 76123

$1,775,000 9,730 SF $182.43 6.58% 07/09/2018

Edmonds Plaza East and West771 West Round Grove Road


$4,450,000 15,500 SF $287.10 6.59% 11/15/2018

PRICE BLDG SF PRICE/SF CAP CLOSE

Totals/Averages $4,890,000 18,509 SF $264.20 6.5%

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2

3

4

5

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SALE COMPARABLES | SALE COMPS SUMMARY

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310 East Round Grove Road | Lewisville, TX 75067SUBJECT PROPERTY

1 3020 Legacy Drive

Plano, TX 75023

INDEPENDENCE PARK2 560 Country Club Road

Wylie, TX 75098

NICKELVILLE SQUARE3 6065 Sports Village Road

Frisco, TX 75033

SPORTS VILLAGE PLAZA4 8615 South Hulen Street

Fort Worth, TX 76123

HULEN CROSSING

5 771 West Round Grove Road


EDMONDS PLAZA EAST AND WEST


SALE COMPARABLES | SALE COMPS MAP

Section 5 RENT COMPARABLES

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SUBJECT PROPERTY

310 East Round Grove Road | Lewisville, TX 75067

$16.00 SF/YRLease Rate: NNNLease Type:

0 SFSpace Size: 2005Year Built:

1.79 ACLot Size:

1

2585 MACARTHUR BLVD


$18.86 SFLease Rate: NNNLease Type:


15,226 SFBldg Size: 1.89 ACLot Size:

100%Occupancy:

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2

475 STATE HWY 121



9,338 SFSpace Size: 2009Year Built:


72.4%Occupancy:

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RENT COMPARABLES | RENT COMPS

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3

1071 W ROUND GROVE RD





69.4%Occupancy:

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4

2403 S STEMMONS FWY





74.8%Occupancy:

4

5

450 E ROUND GROVE ROAD





100%Occupancy:

Schlotzsky's, Metro PCS, Palm Beach Tan

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2 6

6

401 E ROUND GROVE RD





48%Occupancy:

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SUBJECT PROPERTY PRICE/SF/YR AVAILABLE SF BLDG SF OCCUPANCY %


310 East Round Grove Road


$16.00 SF/yr (NNN) 0 SF 13,580 SF 100.0%

RENT COMPS PRICE/SF/YR AVAILABLE SF BLDG SF OCCUPANCY %

Vista Ridge Shopping Plaza2585 MacArthur Blvd


$18.86 0 SF 15,226 SF 100%

The Village Crossing475 State Hwy 121


$20.00 9,338 SF 13,764 SF 72.4%

Market at Valley Parkway1071 W Round Grove Rd


$22.00 2,752 SF 8,980 SF 69.4%

Vista Grove Shopping Center2403 S Stemmons Fwy


$23.00 13,211 SF 52,474 SF 74.8%

Vista Ridge Plaza II450 E Round Grove Road


$29.00 0 SF 10,107 SF 100%

Two-Tenant Retail401 E Round Grove Rd


$35.00 2,600 SF 5,000 SF 48%

PRICE/SF/YR AVAILABLE SF BLDG SF OCCUPANCY %

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2

3

4

5

6


RENT COMPARABLES | RENT COMPS SUMMARY

Totals/Averages $24.64 6,975 SF 17,592 SF 77.43%

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1 2585 MacArthur BlvdLewisville, TX 75067

VISTA RIDGE SHOPPING PLAZA2 475 State Hwy 121


THE VILLAGE CROSSING3 1071 W Round Grove Rd


MARKET AT VALLEY PARKWAY4 2403 S Stemmons Fwy


VISTA GROVE SHOPPING CENTER

5 450 E Round Grove RoadLewisville, TX 75067

VISTA RIDGE PLAZA II6 401 E Round Grove Rd


TWO-TENANT RETAIL

310 East Round Grove Road | Lewisville, TX 75067SUBJECT PROPERTY


RENT COMPARABLES | RENT COMPS MAP

Section 6 DEMOGRAPHICS

3 1

POPULATION 1 MILE 3 MILES 5 MILES

Total Population 19,036 90,824 230,897

Median age 32.4 35.4 36.1

Median age (Male) 31.7 34.8 35.4

Median age (Female) 33.1 36.0 36.8

HOUSEHOLDS & INCOME 1 MILE 3 MILES 5 MILES

Total households 9,093 34,629 86,774

# of persons per HH 2 2.6 2.6

Average HH income $74,646 $101,205 $107,345

Average house value $241,970 $251,231 $260,279

ETHNICITY (%) 1 MILE 3 MILES 5 MILES

Hispanic 22.2% 26.0% 21.4%

RACE 1 MILE 3 MILES 5 MILES

% White 64.0% 70.5% 69.7%

% Black 19.3% 11.0% 9.6%

% Asian 12.5% 14.9% 17.4%

% Hawaiian 0.2% 0.1% 0.1%

% American Indian 0.8% 0.8% 0.7%

% Other 3.1% 2.6% 2.5%

* Demographic data derived from CoStar Realty Information Group


DEMOGRAPHICS | DEMOGRAPHICS MAP & REPORT

INFORMATION ABOUT BROKERAGE SERVICES Texas law requires all real estate license holders to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords.

TYPES OF REAL ESTATE LICENSE HOLDERS: • A BROKER is responsible for all brokerage activities, including acts performed by sales agents sponsored by the broker. • A SALES AGENT must be sponsored by a broker and works with clients on behalf of the broker.

A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents): • Put the interests of the client above all others, including the broker’s own interests; • Inform the client of any material information about the property or transaction received by the broker; • Answer the client’s questions and present any offer to or counter-offer from the client; and • Treat all parties to a real estate transaction honestly and fairly.

A LICENSE HOLDER CAN REPRESENT A PARTY IN A REAL ESTATE TRANSACTION:

AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner's agent through an agreement with the owner, usually in a written listing to sell or property management agreement. An owner's agent must perform the broker’s minimum duties above and must inform the owner of any material information about the property or transaction known by the agent, including information disclosed to the agent or subagent by the buyer or buyer’s agent.

AS AGENT FOR BUYER/TENANT: The broker becomes the buyer/tenant's agent by agreeing to represent the buyer, usually through a written representation agreement. A buyer's agent must perform the broker’s minimum duties above and must inform the buyer of any material information about the property or transaction known by the agent, including information disclosed to the agent by the seller or seller’s agent.

AS AGENT FOR BOTH - INTERMEDIARY: To act as an intermediary between the parties the broker must first obtain the written agreement of each party to the transaction. The written agreement must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker's obligations as an intermediary. A broker who acts as an intermediary:

• Must treat all parties to the transaction impartially and fairly; • May, with the parties' written consent, appoint a different license holder associated with the broker to each party (owner and buyer) to communicate with, provide opinions and advice to,

and carry out the instructions of each party to the transaction. • Must not, unless specifically authorized in writing to do so by the party, disclose:

that the owner will accept a price less than the written asking price; that the buyer/tenant will pay a price greater than the price submitted in a written offer; and any confidential information or any other information that a party specifically instructs the broker in writing not to disclose, unless required to do so by law.

AS SUBAGENT: A license holder acts as a subagent when aiding a buyer in a transaction without an agreement to represent the buyer. A subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first.

TO AVOID DISPUTES, ALL AGREEMENTS BETWEEN YOU AND A BROKER SHOULD BE IN WRITING AND CLEARLY ESTABLISH: • The broker’s duties and responsibilities to you, and your obligations under the representation agreement. • Who will pay the broker for services provided to you, when payment will be made and how the payment will be calculated.

LICENSE HOLDER CONTACT INFORMATION: This notice is being provided for information purposes. It does not create an obligation for you to use the broker’s services. Please acknowledge receipt of this notice below and retain a copy for your records.

Information available at www.trec.texas.gov Regulated by the Texas Real Estate Commission IABS 1-0

11-2-2015

Licensed Broker /Broker Firm Name or Primary Assumed Business Name License No. Email Phone

Designated Broker of Firm License No. Email Phone

Licensed Supervisor of Sales Agent/Associate License No. Email Phone

Sales Agent/Associate’s Name License No. Email Phone

Buyer/Tenant/Seller/Landlord Initials Date

P H I L I P L E V YSenior Managing DirectorDallas Office

972.755.5225 Office817.380.1153 [email protected]: TX 0522087

5001 Spring Valley RoadDallas, TX 75244

C H R I S G A I N E YFirst Vice President InvestmentsFort Worth Office

817.932.6122 Office817.380.1153 [email protected]: TX 0612970

300 Throckmorton StreetFort Worth, TX 76102

PHILIP LEVY CHRIS GAINEY - LoopNet...Street Address 310 East Round Grove Road City, State, Zip...

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