Sherwin-williaMS - Matthews Real Estate Investment …€¦ · · 2016-02-11Offering MeMOranduM...

™

R E T A I L A D V I S O R SOffering MeMOranduM

Sherwin-williaMS 211 fairfax pike, StephenS city, va 22655

Matthews retail advisors

cOnfidentiality & diSclaiMer StateMent

this Offer ing Memorandum contains select informat ion pertaining to the business and af fa i rs of Sherwin-Williams located at 211 Fairfax Pike, Stephens City, VA 22655 (“Property”) . i t has been prepared by Matthews retai l advisors . this Offer ing Memorandum may not be al l - inclusive or contain a l l of the informat ion a prospect ive purchaser may desire. the informat ion contained in th is Offer ing Memorandum is conf ident ia l and furnished solely for the purpose of a review by a prospect ive purchaser of the property. i t is not to be used for any other purpose or made avai lable to any other person without the wri t ten consent of Sel ler or Matthews retai l advisors . the mater ia l is based in part upon informat ion suppl ied by the Sel ler and in part upon f inancial informat ion obtained from sources i t deems rel iable. Owner, nor their of f icers , employees, or agents makes any representat ion or warranty, express or impl ied, as to the accuracy or completeness of th is Offer ing Memorandum or any of i ts contents and no legal l iabi l i ty is assumed or shal l be impl ied with respect thereto. prospect ive purchasers should make their own project ions and form their own conclusions without rel iance upon the mater ia l contained herein and conduct their own due di l igence.

By acknowledging your receipt of th is Offer ing Memorandum for the property, you agree:

1 . the Offer ing Memorandum and i ts contents are conf ident ia l ;

2 . you wi l l hold i t and treat i t in the str ictest of conf idence; and

3. you wi l l not , d i rect ly or indirect ly, d isclose or permit anyone else to disclose this Offer ing Memorandum or i ts contents in any fashion or manner detr imental to the interest of the Sel ler.

Owner and Matthews retai l advisors expressly reserve the r ight , at their sole discret ion, to reject any and al l expressions of interest or of fers to purchase the property and to terminate discussions with any person or ent i ty reviewing this Offer ing Memorandum or making an of fer to purchase the property unless and unt i l a wr i t ten agreement for the purchase and sale of the property has been ful ly executed and del ivered.

i f you wish not to pursue negot iat ions leading to the acquis i t ion of the property or in the future you discont inue such negot iat ions, then you agree to purge al l mater ia ls relat ing to th is property including this Offer ing Memorandum.

a prospect ive purchaser ’s sole and exclusive r ights with respect to th is prospect ive t ransact ion, the property, or informat ion provided herein or in connect ion with the sale of the property shal l be l imited to those expressly provided in an executed purchase agreement and shal l be subject to the terms thereof. in no event shal l a prospect ive purchaser have any other c la ims against Sel ler or Matthews retai l advisors or any of their af f i l iates or any of their respect ive of f icers , directors , shareholders, owners, employees, or agents for any damages, l iabi l i ty, or causes of act ion relat ing to th is sol ic i tat ion process or the market ing or sale of the property.

this Offer ing Memorandum shal l not be deemed to represent the state of af fa i rs of the property or const i tute an indicat ion that there has been no change in the state of af fa i rs of the property s ince the date this Offer ing Memorandum.

excluSively liSted By:

Table of Contentspricing & financial analySiS

investment Overview ..................................................................... 2investments highlights.................................................................. 2executive Summary.........................................................................3company Overview .......................................................................4

prOperty deScriptiOnphysical description .......................................................................7Bird’s eye .......................................................................................... 8regional Map ................................................................................... 9tenant Map......................................................................................10

deMOgraphicScity Overview | Stephens city, va ............................................ 12demographics report .................................................................. 13

chris r. gentryBroker of record license no. 0225033997

Jim SchuchertSenior associate direct +1.310.919.5834 MOBile +1.310.971.3892 [email protected] license no. 01969414

™

Matthews retail advisors

Pricing & Financial Analysis

™

OFFERING MEMORANDUM | Sherwin-Williamsp. 2 Matthews retail advisors

PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS


Investment Overview Investments HighlightsPROPERTY DETAILS

• 1.5 years on nn lease with three (3) five (5) year options

• Only Sherwin-williams building within 10 mile radius (lack of competition)

• Strong hedge against inflation with 12% increases at each option period

• high quality construction, steel framed with concrete block

LOCATION

• consistent population growth with 42.27% from 2000-2010, 7.37% from 2010-2015, with a projected growth of 6.75% from 2015-2020 in a 3-mile radius

• located directly off of i-81, boasting traffic counts in excess of 42,000+ vpd

• $88,051 average household income within 3-mile radius

• nearby retailers include walgreens, advance auto parts, dollar general, taco Bell, rite aid, Mcdonald’s, food lion, wendy’s, arby’s, dunkin donuts, and Sheetz

TENANT

• investment grade credit tenant | S&p rated a

• #1 paint Store in country (56% of Market Share)

• 4,400 Stores

• fortune 500 company

Jim Schuchert and chad kurz of the Matthews retail advisors are pleased to exclusively offer for sale to qualified investors a net leased Sherwin-williams paint store in Stephens city, va. the investment offers the ability to acquire a double net Sherwin-williams property with 1.5 years remaining on the lease and three options to renew. the lease is corporately guaranteed by Sherwin-williams (Standard & poor’s rated a) which is the country’s largest paint store chain with more than 4,400 stores.

Matthews retail advisors p. 3Sherwin-Williams | OFFERING MEMORANDUM



Executive Summary

Sherwin-williaMS211 fairfax pike StephenS city, va 22655

list price ........................................................................................... $1,250,000cap rate - current ....................................................................................7.60%gross leasable area ........................................................................ 5,000 Sflot Size ...................................................................... 0.87 acres (37,897 Sf)year Built .......................................................................................................2007

annualized Operating dataMonthly rent annual rent rent/Sf cap rate

current - 7/31/2017 $7,917 $95,000 $19.00 7.60%

Option 1 - 7/31/2022 $8,867 $106,400 $21.28 8.51%

Option 2 - 7/31/2027 $9,929 $119,150 $23.83 9.53%

Option 3 - 7/31/2032 $11,121 $133,450 $26.69 10.68%

tenant Summary

tenant trade name Sherwin-williams

type of Ownership fee Simple

lease guarantor corporate

lease type nn

roof and Structure landlord responsible

Original lease term 10 years

lease commencement date 4/1/2007

rent commencement date 4/1/2007

lease expiration date 7/31/2017

term remaining on lease 1.5 years

increases 12% at Options

Options three (3) five (5)




Company Overview

property name Sherwin-williams

property type net leased paint Store

parent company trade name Sherwin-williams

Ownership public

credit rating a

rating agency Standard & poor’s

revenue $11.3 B

net income $935.66 M

Stock Symbol Shw

Board nySe

no. of locations ±4340

no. of employees ±37600

headquartered cleveland, Oh

web Site www.sherwin-williams.com

year founded 1866

Sherwin-williams company develops, manufactures, distributes, and sells paints, coatings, and related products to professional, industrial, commercial, and retail customers primarily in north and South america. the company operates in four segments: paint Stores group, consumer group, global finishes group, and latin america coatings group. it provides architectural paint and coatings, protective and marine products, automotive fin-ishes and refinish products, original equipment manufacturer product finishes, and related items. the company also licenses technology and trade names. as of december 31, 2014, its paint Stores group segment operated 4,003 company-operated spe-cialty paint stores; global finishes group segment operated 300 company-operated branches; and latin america coatings group segment operated 276 company-operated stores. the company also sells its products through direct sales staff and outside sales representatives to retailers, dealers, jobbers, licensees and oth-er third party distributors. the Sherwin-williams company was founded in 1866 and is headquartered in cleveland, Ohio.

Property Description

™



Physical Description

the Offering

property name ...........................................................................Sherwin-williams

property address ......................................................................... 211 fairfax pike

Stephens city, va 22655

assessor’s parcel number ....................................................62w10-02-00800

Site deScriptiOn

number of Stories .............................................................................................One

year Built ............................................................................................................2007

gross leasable area (gla) ................................................................... 5,000 Sf

lot Size.............................................................................. 0.87 acres (37,897 Sf)

type of Ownership ...............................................................................fee Simple

parking ..................................................................................... 25 Surface Spaces

parking ratio................................................................................. 5.00 : 1,000 Sf

landscaping ........................................................................................professional

topography ................................................................................... generally level

cOnStructiOn

foundation .......................................................................................concrete Slab

framing .............................................................................................................. Steel

exterior ............................................................................................................... Brick

parking Surface ............................................................................................asphalt

roof ........................................................................................................................flat



Bird’s Eye

fairfax pike vpd: 14,000



Regional Map



Tenant Map

Demographics

™


PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS

City Overview | Stephens City, VA

Stephens City is a unique town situated at the northern end of the Shenandoah Valley between the beautiful Allegheny and Blue Ridge Mountains. Steeped in history, they have been able to maintain a small town atmosphere even though there is growth all around them. They have managed to grow have a vision and a plan as to how to maintain the small town atmosphere while offering residents all the comforts and amenities the future has to offer.

Stephens City, originally named Stephensburg then Newtown and now Stephens City was founded in 1758 and is the second oldest town in the Shenandoah Valley. The town was originally settled by Scottish, Irish and German residents. In the late 18th century Stephens City made a name for themselves as a prosperous crossroads village with a wide variety of crafts and industries featuring the production of the Newtown Wagon.

Today, Stephens City is known for their famous heritage festival and parade. The entire town works together to bring out old wagons, artifacts, floats and more to display during the parade. They hold beauty pageants, magic shows, a fireworks show and more.

A large section of buildings and homes in down town Stephens City’s Historic District are listed on the National Register of Historic Places. The city holds deep roots in their heritage with many museums and personal artifacts displayed in shop windows.

The major industries in the town consist of 20% manufacturing, education, health and social services, retail trade, arts, entertainment and food services.



Demographics Reportpopulation 1-Mile 3-Mile 5-Mile2020 projection 6,685 21,154 32,1022015 estimate 6,338 19,817 30,2422010 census 6,015 18,457 28,3932000 census 4,069 12,973 20,765growth 2015-2020 5.47% 6.75% 6.15%growth 2010-2015 5.36% 7.37% 6.61%growth 2000-2010 47.83% 42.27% 36.73%

households2020 projection 2,492 7,662 11,8332015 estimate 2,386 7,211 11,1932010 census 2,307 6,771 10,5912000 census 1,544 4,781 7,808growth 2015-2020 4.45% 6.26% 5.71%growth 2010-2015 3.40% 6.49% 5.68%growth 2000-2010 49.41% 41.62% 35.65%

income$ 0 - $14,999 3.90% 3.50% 5.37%$ 15,000 - $24,999 10.72% 7.73% 8.62%$ 25,000 - $34,999 10.59% 8.50% 8.46%$ 35,000 - $49,999 15.98% 12.69% 12.97%$ 50,000 - $74,999 18.91% 15.52% 15.74%$ 75,000 - $99,999 12.98% 14.85% 14.57%$100,000 - $124,999 10.76% 15.08% 13.17%$125,000 - $149,999 6.59% 9.05% 7.96%$150,000 - $199,999 6.65% 9.16% 8.37%$200,000 - $249,999 1.90% 2.88% 2.89%$250,000 - $499,999 0.86% 0.90% 1.49%$500,000+ 0.15% 0.14% 0.38%2015 average household income $76,093 $88,051 $86,5372015 Median household income $61,636 $78,469 $73,164

Matthews retail advisors | 841 apollo Street, Suite 150 | el Segundo, ca 90245 | www.Matthews.com

ShERWIN-WILLIAmS211 fairfax pikeStephens city, va 22655Offering MeMOranduM

chad kurzManaging partner direct +1.310.919.5838 MOBile +1.562.480.2937 [email protected] license no. 01911198

kyle B. Matthews, cciMchairman & ceO direct +1.310.919.5757 MOBile +1.310.622.3161 [email protected] license no. 01469842

™

chris r. gentryBroker of record license no. 0225033997

Jim SchuchertSenior associate direct +1.310.919.5834 MOBile +1.310.971.3892 [email protected] license no. 01969414

Sherwin-williaMS - Matthews Real Estate Investment …€¦ · · 2016-02-11Offering MeMOranduM...

Documents

Transcript of Sherwin-williaMS - Matthews Real Estate Investment …€¦ · · 2016-02-11Offering MeMOranduM...