7-eleven (recent 10 year lease extension) · ideal 1031 exchange property • single tenant nnn...

Offering MeMOranduM

7-eleven (recent 10 Year lease extensiOn) 409 PullMan dr, PennsbOrO, Wv 26415

representative Photo

Matthews retail group

cO n f i d e n t i a l i t Y & d i s c l a i M e r s tat e M e n t

this O ffer ing Memorandum contains se lec t information per ta ining to the business and af fa i rs of 7-eleven located at 409 Pullman dr, Pennsboro, Wv 26415 (“Proper t y ”) . i t has been prepared by Matthews retai l group . this O ffer ing Memorandum may not be a l l -inc lus ive or contain a l l of the information a prospec t ive purchaser may desi re. the information contained in this O ffer ing Memorandum is conf ident ia l and furnished sole ly for the purpose of a review by a prospec t ive purchaser of the Proper t y. i t i s not to be used for any other purpose or made avai lable to any other person without the wr i t ten consent of s el ler or Matthews retai l group . the mater ia l i s based in par t upon information suppl ied by the sel ler and in par t upon f inancia l information obtained f rom sources i t deems re l iable. O wner, nor their of f icers, employees, or agents makes any representat ion or warrant y, express or impl ied, as to the accurac y or completeness of th is O ffer ing Memorandum or any of i ts contents and no legal l iabi l i t y i s assumed or shal l be impl ied with respec t thereto. Prospec t ive purchasers should make their own projec t ions and form their own conclus ions without re l iance upon the mater ia l contained herein and conduc t their own due di l igence.

by ack nowledging your receipt of th is O ffer ing Memorandum for the Proper t y, you agree:

1 . the O ffer 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 ic test of conf idence; and

3. You wi l l not , d i rec t ly or indirec t ly, d isc lose or permit anyone else to disc lose this O ffer ing Memorandum or i ts contents in any fashion or manner detr imental to the interest of the s el ler.

O wner and Matthews retai l group express ly reser ve the r ight , at their sole discret ion, to re jec t any and a l l express ions of interest or of fers to purchase the Proper t y and to terminate discuss ions with any person or ent i t y reviewing this O ffer ing Memorandum or mak ing an of fer to purchase the Proper t y unless and unt i l a wr i t ten agreement for the purchase and sale of the Proper t y 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 Proper t y or in the future you discont inue such negot iat ions, then you agree to purge a l l mater ia ls re lat ing to this Proper t y including this O ffer ing Memorandum.

a prospec t ive purchaser ’s sole and exclus ive r ights with respec t to this prospec t ive t ransac t ion, the Proper t y, or information provided herein or in connec t ion with the sa le of the Proper t y shal l be l imited to those express ly provided in an executed Purchase agreement and shal l be subjec t to the terms thereof. i n no event shal l a prospec t ive purchaser have any other c la ims against sel ler or Matthews retai l group or any of their af f i l iates or any of their respec t ive of f icers, direc tors, shareholders, owners, employees, or agents for any damages, l iabi l i t y, or causes of ac t ion re lat ing to this sol ic i tat ion process or the market ing or sa le of the Proper t y.

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

exclusivelY l isted bY:

table of contentsPricing & financial analYsis

investment Overview ...............................................................................2investments Highlights ...........................................................................2executive summary ..................................................................................3company Overview .................................................................................4

PrOPertY descriPtiOnPhysical description .................................................................................6birds eye ........................................................................................................7regional Map ..............................................................................................8local Map .....................................................................................................8

deMOgraPHicscity Overview | Pennsboro, Wv ......................................................... 10demographics report ........................................................................... 11

gillian greenfieldbroker of record license no. Wv0026307

aron clinePartner direct +1.310.919.5816 MObile +1.818.632.0233 [email protected] license no. 01904371

OFFERING MEMORANDUM | 7-Eleven

PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS

Matthews retail group



Pricing & financial analysis


OFFERING MEMORANDUM | 7-ElevenP. 2 Matthews retail group


investment Overview investments HighlightslOng terM investMent grade net leased investMent OPPOrtunitY

• 7-eleven corporate lease with a 13 year primary nnn lease term with three additional five year options to renew

• 10% rental increases every 5 years (starting year 6) – strong hedge against inflation

• recently extended lease showing long term commitment to the location

• 7-eleven is the World’s largest convenience store chain with more than 53,000 stores in 16 countries (s&P: aa- credit rating; Outlook: stable)

• strong commuter location – us Highway 50 & state route 74 - lack of competition in the immediate trade area

• fortune 500 company

• Owner can take advantage of accelerated depreciation to shelter more income– 15 year schedule (*buyer to verify with accountant)

• tenant installed new tanks in november 2014 showing long term commitment to the location

ideal 1031 exchange Property

• single tenant nnn leased investment – no Management responsibilities

• ideal for investor looking for passive income – “ coupon clipper”

aron cline and the Matthews retail group are pleased to exclusively offer for sale to qualified investors a net leased 7-eleven convenience store located in Pennsboro, Wv. 7-eleven has a strong occupancy history at the location and recently extended the lease early confirming the location is a strong performer. the investment offers an investor long term security with a 13 year guaranteed primary lease term with 10% rental increases in year 6, 11, and throughout the options. the lease is corporately guaranteed by 7-eleven inc., s&P rated aa- and is considered the nation’s largest convenience store chain with more than 8,600 stores in the u.s.

Matthews retail group P. 37-Eleven | OFFERING MEMORANDUM

PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS Pricing and financial analYsis PrOPertY descriPtiOn deMOgraPHics

7-eleven409 PullMan dr PennsbOrO, Wv 26415

list Price ......................................................................................................... $3,123,756gross leasable area ........................................................................................ 2,507 sfcaP rate - current ...............................................................................................5.75%lot size .....................................................................................±1.3 acres (56,820 sf)

executive summary

annualized Operating dataMonthly rent annual rent rent/sf caP rate

current - 7/31/2020 $14,968.33 $179,616 $71.65 5.75%

8/1/2020 - 7/31/2025 $16,465.16 $197,578 $78.81 6.33%

8/1/2025 - 7/31/2028 $18,111.68 $217,335 $86.69 6.96%

Option 1 - 2033 $19,922.85 $239,069 $95.36 7.65%

Option 2 - 2038 $21,915.14 $262,976 $104.90 8.42%

Option 3 - 2043 $24,106.65 $289,273 $115.39 9.26%

tenant summary

tenant trade name 7-eleven

type of Ownership fee simple

lease guarantor corporate

lease type nnn

roof and structure tenant responsible

Original lease term 15 Years (recent 10 Year lease extension)

lease commencement date 7/29/2005

lease expiration date 7/31/2028

term remaining on lease 13 Years

increases 10% rental increase every 5 Years

Options three 5 Year Options to extend



company Overview

Property name 7-eleven

Property type net leased convenience store

Parent company trade name seven & i Holdings co., ltd.

Ownership Private

no. of locations (us) ±7,600

no. of employees (us) 45,000

Headquartered dallas, tx

Web site www.7-eleven.com

Year founded 1927

7-eleven is the world’s largest convenience store chain with more than 50,250 stores in 16 countries, of which approximately 10,100 are in north america. 7-eleven also is one of the nation’s largest independent gasoline retailers. its company’s name was changed from the southland corporation to 7-eleven, inc. after approval by shareholders on april 28, 1999. founded in 1927 in dallas, texas, 7-eleven pioneered the convenience store concept during its first years of operation as an ice company when its retail outlets began selling milk, bread and eggs as a convenience to guests. the name 7-eleven originated in 1946 when the stores were open from 7 a.m. to 11 p.m. today, offering busy shoppers 24-hour convenience, seven days a week is the cornerstone of 7-eleven’s business. 7-eleven focuses on meeting the needs of convenience-oriented guests by providing a broad selection of fresh, high-quality products and services at everyday fair prices, speedy transactions and a clean, friendly shopping environment. each store’s selection of about 2,500 different products and services is tailored to meet the needs and preferences of local guests. stores typically vary in size from 2,400 to 3,000 square feet and are most often located on corners for great visibility and easy access. the company operates, franchises and licenses approximately 8,600 stores in the u.s. and canada. Of the more than 7,600 stores the company operates and franchises in the united states, more than 5,700 are franchised. 7-eleven, inc. is privately held and became a wholly owned subsidiary of seven-eleven Japan co., ltd. in tokyo, Japan, and its affiliates on nov. 9, 2005.


Property description




Physical description

tHe Offering

Property name ......................................................................................................................... 7-eleven

Property address ........................................................................................................409 Pullman dr

Pennsboro, Wv 26415

assessor’s Parcel number ......................................................................................08-19-00030000

site descriPtiOn

number of stories ............................................................................................................................ One

gross leasable area (gla) .....................................................................................................2,507 sf

lot size ..............................................................................................................±1.3 acres (56,820 sf)

type of Ownership ..............................................................................................................fee simple

landscaping ....................................................................................................................... Professional

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

fueling Pumps ......................................................................................................................................... 4

fuel stations ............................................................................................................................................. 2

cOnstructiOn

foundation ......................................................................................................................concrete slab

framing .............................................................................................................................................Wood

exterior ............................................................................................................................Painted stucco

Parking surface .......................................................................................................................... asphalt

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


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

birds eye



regional Map

local Map


local Map

demographics




city Overview | Pennsboro, WvPennsboro is a city in ritchie county, West virginia Pennsboro is located halfway between Parkersburg and clarksburg and the north bend rail trail also passes through the city. the city is part of a large, close knit community of towns and sits right off of state Highway 50. Only two short hours from three majors cities (columbus, Pittsburgh, and charleston), Pennsboro offers an experience equaled to a faraway destination.

the city offers both residents and visitors a number of outdoor activities by boasting 72-miles of gorgeous hiking on the north bend rail trail, historic landmarks dating before the civil War, and numerous rivers, streams and lakes. this makes Pennsboro, and all of ritchie county, the perfect spot(s) for camping, fishing and hunting trips.


PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS Pricing and financial analYsis PrOPertY descriPtiOn deMOgraPHics

demographics reportPopulation 3-Mile 5-Mile 10-Mile

2020 Projection 1,875 2,910 10,9332015 estimate 1,933 2,981 11,0372010 census 2,009 3,078 11,2232000 census 1,970 2,966 10,387growth 2000-2010 1.95% 3.79% 8.05%

Households2020 Projection 816 1,221 4,3312015 estimate 832 1,242 4,3722010 census 849 1,264 4,4252000 census 812 1,205 4,181growth 2000-2010 4.56% 4.93% 5.82%

income$0 - $15,000 17.79% 17.39% 16.47%$15,000 - $24,999 16.23% 15.78% 14.89%$25,000 - $34,999 11.90% 12.24% 13.20%$35,000 - $49,999 22.48% 22.22% 18.55%$50,000 - $74,999 13.70% 13.85% 16.47%$75,000 - $99,999 6.97% 7.57% 8.81%$100,000 - $124,999 5.17% 5.31% 5.70%$125,000 - $149,999 3.49% 3.46% 3.34%$150,000 - $199,999 0.60% 0.72% 1.24%$200,000 - $249,999 0.12% 0.08% 0.46%$250,000 - $499,999 0.96% 0.81% 0.59%$500,000+ 0.60% 0.48% 0.30%2015 est. average Household income $50,782 $50,423 $51,7962015 est. Median Household income $37,720 $38,065 $39,405

Matthews retail group | 841 apollo street, suite 150 | el segundo, ca 90245 | www.Matthewsretailgroup.com

7-eleven409 Pullman dr Pennsboro, Wv 26415Offering MeMOranduM

gillian greenfieldbroker of record license no. Wv0026307

aron clinePartner direct +1.310.919.5816 MObile +1.818.632.0233 [email protected] license no. 01904371


7-eleven (recent 10 year lease extension) · ideal 1031 exchange property • single tenant nnn...

Documents