confidential offering - loopnet...dollar general corporation (nyse: dg) has experienced 27...
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CONFIDENTIALOFFERINGMEMORANDUM
Actual Location
DOLLAR GENERAL NEW 2017 CONSTRUCTION305 Birch Street | Westwood, California
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SINGLE-TENANT NNN INVESTMENT
NEW 2017 CONSTRUCTION
NEW 15-YEAR LEASE TERM
$2,130,000 PURCHASE
PRICE
$127,824 ANNUAL
RENT
6.00% CAP RATE
10.00% LEASE
ESCALATIONS JOSIAH BYRNES VICE PRESIDENT
KLINTON LEWIS ASSOCIATE-NET LEASE SERVICES
PROTOTYPE PHOTO
EXCLUSIVE OFFERING[ ]
PRESENTED BY:
AT OPTIONS Klinton Lewis serves as Associate of Net Lease Services with Embree Capital Markets Group, Inc., where he is responsible for marketing current assets, new developments, and private client’s commercial real estate properties. Klinton also provides investment advice to clients.
Prior to joining the Embree Capital Markets Group Inc., Klinton served as a real estate agent specializing in single-tenant, net-lease properties, with Marcus & Millichap.
Josiah Byrnes serves as Vice President of Embree Capital Markets Group, Inc., where he helps guide the formation and execution of diversified real estate capital structures and investment strategies for individual, institutional, and international investors, developers, and tenants.
Josiah joined Embree Group of Companies in 2010. He received BA and MBA degrees from the University of Colorado, as well as a Master of Real Estate Development Degree from Arizona State University.
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CONFIDENTIALITY STATEMENT[ ]
The information contained herein is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from the Embree Group of Companies (Embree Group) and should not be made available to any other person or entity without the written consent of the Embree Group (the Embree Group collectively refers to Embree Capital Markets Group, Inc., Embree Asset Group, Inc., Embree Healthcare Group, Inc., and Embree Construction Group, Inc.). This brochure has been prepared to provide summary information to prospective investors and to establish a preliminary level of interest in establishing an investment relationship with the Embree Group, which may or may not include the sale or purchase of any specific property referenced herein. Several Embree Group employees are licensed real estate agents and brokers in various states.
The information contained herein is not a substitute for a thorough due diligence investigation. The Embree Group has supplied information in this brochure from sources we believe are reliable; however, all potential Buyers and Investors must take appropriate measures to investigate and verify the income and expenses for any specific property, the future projected financial performance of any specific property, the size and square footage of any specific property and its improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant or any tenant’s plans or intentions to continue its occupancy of any specific property.
The Embree Group reserves the right to withdraw this solicitation at any time without prior notice. The information contained herein is based upon sources deemed to be reliable, but the accuracy of the information is not guaranteed, nor should the information contained herein be considered all inclusive. Statements contained herein which involve matters of opinion, whether or not identified to be that only, are not representations of fact. The price and terms of this offering may be subject to change at any time.
The Embree Group is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of the Embree Group, its affiliates or subsidiaries, or any agent, product, or commercial listing of The Embree Group, and is solely included for the purpose of proving tenant lessee information about this listing to prospective customers.
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Property & Lease Details- 5 -
Tenant Profile- 6 -
Elevations & Site Plans- 7 -
Maps & Aerials- 9 -
Demographic Analysis- 12 -
Contact - 13 -
TABLE OF CONTENTS
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Embree Capital Markets Group is pleased to offer for sale, a high-quality, single-tenant, net-leased, discount retail asset. The property was newly built in 2017 and is being offered free and clear of any debt. It is a unique opportunity for an investor to acquire a well-located, investment-grade, credit-tenant asset in a desirable California geography.
OFFERING OVERVIEW
THE OFFERINGPROPERTY ADDRESS 305 Birch Street Westwood, CA 96137
TENANT Dolgen California, LLC
GUARANTOR Dollar General Corporation
SITE DESCRIPTIONBUILDING SIZE Approximately 9,026 rentable square feet
LAND SIZE Approximately 1.0 acres
CONSTRUCTION TYPE Structural steel and split-face concrete masonry
INVESTMENT SUMMARYASSET CLASS Single-tenant, net-leased retail
ANNUAL RENT $127,824
CAP RATE 6.00%
PURCHASE PRICE $2,130,000
December 1, 2017
EST. LEASE END November 30, 2032
PRIMARY LEASE TERM 15 years
LEASE TYPE NNN (no landlord responsibilities)
LEASE ESCALATIONS 10% during each option period
RENEWAL OPTIONS Three 5-year options
AREA DESCRIPTIONWestwood is a census-designated place (CDP) in Lassen County, California, United States. Westwood is located 20 miles west-southwest of Susanville, at an elevation of 5,128 feet. The population was 1,647 at the 2010 census, down from 1,998 at the 2000 census. Westwood is the hometown of mythical logger Paul Bunyan.
PROPERTY & LEASE DETAILS[ ]
EST. COMMENCEMENT
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TENANT PROFILE[ ]
Actual Location
Dollar General Corporation (NYSE: DG) is the nation’s largest “smallbox” discount retailer, operating over 14,534 stores in 44 states as of February 2018.
Dollar General Opened a company record of 1,315 new stores, executed 2,079 total real estate projects in 2017. The company plans to open approx-imately 900 new stores, remodel 1,000 stores, and relocate 100 stores in 2018.
Based in Goodlettsville, Tennessee, the company was founded in 1939 andhas weathered 12 technical recessions.
The company makes shopping for everyday needs simpler and hassle free by offering a carefully edited assortment of the most popular brands at low everyday prices in small, convenient locations. Dollar General ranks among the largest retailers of top-quality brands made by America’s most-trusted manufacturers, such as Procter & Gamble, Kimberly Clark, Unilever, Kellogg’s, General Mills and Nabisco.
Most of the company’s products are priced at $10 or less, with approximately 25% priced at $1 or less. Consumables is their largestcategory and includes paper and cleaning products, food (includingpackaged and perishables), beverages and snacks, health and beauty products, and pet supplies.
Dollar General Corporation (NYSE: DG) has experienced 27 consecutive years of same-store sales growth (0.9% increase). Fiscal year same-store sales in-creased 2.7% in 2017.
Dollar General was ranked #128 in the Fortune 500 in 2017 (#139 in 2016), with over $23.5 billion in sales (6.8% increase from 2016).
Moody’s recently upgraded Dollar General Corporation’s credit rating from Baa3 to Baa2 on June 1, 2016.
INVESTMENT SUMMARYCOMPANY TYPE PUBLIC (NYSE: DG)
2017 NET SALES $23.5 billion+
2017 NET INCOME $1.54 billion+
STORE COUNT 14,530+
EMPLOYEES 121,000+
S&P CREDIT RATING BBB
WEBSITE www.dollargeneral.com
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3rd StreetELEVATIONS & SITE PLANS[ ]
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Birch Street
~9,026 SF
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ELEVATIONS & SITE PLANS[ ]
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STA
TE
ARE
A
LOCATION OVERVIEW[ ]
WESTWOOD, CA
WESTWOOD, CA
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CITY AERIAL[ ]
Volcanic Legacy Scenic Byway
3rd St.
Ash
St.
WestwoodHigh School
USPost Office
36
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SITE AERIAL[ ]
3rd St.
4th St.
Birch St.
Always SunnyTanning & Nails
U.S. Post Office
Sierra Station
CascadeAuto Parts
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DEMOGRAPHIC ANALYSIS[ ]
1 MILE 3 MILE 5 MILE POPULATION
Projected Population (2022) 1,602 1,924 2,172
Census Population (2010) 1,540 1,816 2,033
Projected Annual Growth (High Est.) 1.8% 1.9% 1.8%
Projected Annual Growth (Low Est.) -0.8% -0.7% -0.5%
Estimated Households (2017) 637 765 869
Projected Households (2022) 693 836 949
Estimated Households (2000) 736 877 981
Estimated Households (2010) 666 789 887
% of Annual Change (2010-2017) -1.3% -1.4% -1.4%
Average Household Size 3 3 3
Housing Units Owner-Occupied 397 481 568
Housing Units Renter-Occupied 240 283 302
Total Population 1,471 1,758 1,989
White 1,304 1,554 1,772
Black or African American 1 2 2
American Indian or Alaska Native 66 77 80
Asian 5 7 8
Hawaiian or Pacific Islander 3 4 4
Other Race 160 195 206
Estimated Population (2017)
RACE/ETHNICITY
HOUSEHOLDS
DAYTIME
1,471 1,758 1,989
295 336 343
CALIFORNIAWESTWOOD
Per Capita Income $12,359 $12,861 $13,035
Average Household Income $39,600 $39,411 $45,021
Median Household Income $32,673 $31,442 $35,176
Less than $15,000 170 218 228
$20,000 - $24,999 40 47 53
$25,000 - $29,999 63 66 72
$30,000 - $34,999
$35,000 - $39,999 34 35 38
$40,000 - $44,999 62 66 70
$45,000 - $49,999 18 18 22
$55,000 - $59,999 9 14 19
$60,000 - $64,999 29 38 43
$65,000 - $69,999 26 34 38
$70,000 - $79,999 42 53 60
$80,000 - $89,000 35 41 47
Total Businesses 3 6 16
Total Employees 97 156 217
INCOME 1 MILE 3 MILE 5 MILE
The Embree Group of Companies provides nationwide turnkey real estate services, specializing in build-to-suit development, design/build, general construction, program management, and capital markets for specialty retail, financial, automotive, restaurant, pharmacy, and medical facilities. Embree’s fully integrated, in-house services allow us to become an extension of the tenant’s organization. Since 1979, Embree’s foundation has been built on developing tailored programs for 300+ national clients. The firm is headquartered near Austin, Texas, with regional offices located in Phoenix and Dallas. Over the past 37 years, Embree’s executive team has developed, built, or transacted more than 10,000 assets in all 50 states, Canada, and Puerto Rico with a total market value in excess of $10 billion.
ABOUT EMBREE
EXCLUSIVELY PRESENTED BY:
JOSIAH BYRNES | VICE [email protected] | +1.719.243.6569 | www.EmbreeGroup.com
WESTWOOD, CALIFORNIA | OFFERING MEMORANDUM
KLINTON LEWIS | ASSOCIATE NET LEASE [email protected] | +1.512.819.4729 | www.EmbreeGroup.com
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