baskin robbins has operated at subject property for … · baskin robbins has operated at subject...

O F F E R I N G M E M O R A N D U M

CENTRAL ORANGE COUNTY 2-TENANT NNN RETAIL INVESTMENT123-201 WEST 17TH STREET, SANTA ANA, CALIFORNIA 92706

TENANTS ARE BOTH NATIONALLY

RECOGNIZED BRANDS

B A S K I N R O B B I N S H A S O P E R AT E D AT S U B J E C T P R O P E R T Y F O R OV E R 4 0 Y E A R S

2019 SANTA ANA DEMOGRAPHICS2-Mile

Total Households40,168

TOTAL POPULATION168,939

167,724Total Daytime Population

3-Mile




1-Mile




https://www.lee-associates.com/orange/

2

EXCLUSIVELY L ISTED BYJONATHAN SELZNICKSenior Vice President - [email protected] | 949-734-0243CA License: 01323949

T A B L E O F C O N T E N T S

INVESTMENT HIGHLIGHTS 3

RENT ROLL 4

INCOME & EXPENSE 5

SITE PLAN 6

AERIAL 7

ABOUT THE TENANTS 8

SANTA ANA OVERVIEW 9

ORANGE COUNTY OVERVIEW 10

DISCLAIMER 11

SUBJECT PROPERTY

mailto:jselznick%40lee-assoc.com?subject=123-201%20West%2017th%20Street%2C%20Santa%20Ana%2C%20CA%20INQUIRY

https://goo.gl/maps/GarB8V3GyPadR1nw6

123-201 WEST 17TH STREET, SANTA ANA, CALIFORNIA 92706 3BACK TO TABLE OF CONTENTS

Two-Tenant NNN Retail Investment with National Tenants Baskin Robbins and CareMore

Baskin Robbins has successfully operated at the Subject Property since it was built in 1976; and previously operated in nearby location since 1955 (Currently working on Lease Extension)

CareMore renewed lease in 2017 and waived termination clause in 2019 demonstrating strength of the Subject Location

High Traffic Intersection with approximately 70,000 Cars per Day at the intersection of 17th Street and Main Street

Dense, Infill, Central Orange County Location with 1-Mile Total Population of 42,251

Significant 1-Mile Total Daytime Population of 44,384, within immediate proximity to County of Orange and City of Santa Ana Civic Center

Less than 1/2 Mile from I-5 Freeway On/Off-Ramps; Main and 17th Streets are both major thoroughfares with access to I-5

East of Management; NNN Leases

5 Points of convenient Ingress/Egress from 17th Street, North Broadway, 18th Street and Main Street

Located within Designated Qualified Opportunity Zone

H I G H L I G H T S

I N V E S T M E N T H I G H L I G H T S

O F F E R I N G S U M M A R Y

PROPERTY INFORMATION

Address:123-201 West 17th Street122 West 18th StreetSanta Ana, CA 92706

Gross Leasable Area: 3,880 Square Feet

Parcel Size: 18,731 Square Feet

Traffic Counts (Costar): Main St/W 17th St: 70,000 CPDN Broadway/W 17th St: 66,000 CPD

Parking Ratio: 7:1 (28 Stalls)

FINANCIAL INFORMATION

Price: $1,950,000

NOI: $112,665

Cap Rate: 5.78%

Price/SF: $503


R E N T R O L L

TENANT SUITE SF LEASE START LEASE END RENT/

SFRENT/

MO INCREASES LEASE TYPE OPTIONS COMMENTS

Baskin Robbins 201 1,125 2/13/76 03/31/22* $2.88 $3,238 Annual CPI(4/1/20: $3,339.80) NNN 1 (10-Year) *Lease Extension in Progress

CareMore(Nifty After Fifty) 123 2,755 10/1/12 10/31/22 $2.40 $6,612 - NNN 1 (3-Year) CAM Cap 3% Annual; Option Rent

95% of FMV

TOTAL SQUARE FOOTAGE: 3,880 $9,850 Total Monthly Rent

TOTAL AVAILABLE: 0 0% Vacancy $118,198 Total Annual Rent

TOTAL OCCUPIED: 3,880 100% Occupancy

SUBJECT PROPERTY

WEST 17TH STREET

NORTH BROADWAY

MAIN

STREET

66,000 CPD70,000 CPD

PUBL

IC A

LLEY

WAY

WEST 18TH STREET

COUNTY OF ORANGE/SANTA ANA CIVIC CENTER

JOHN WAYNE AIRPORTPACIFIC OCEAN

N

S

EW


I N C O M E & E X P E N S E

ANNUALIZED OPERATING DATA

Current

Scheduled Gross Income (SGI): $118,198

Expense Reimbursement: $34,870

Total Operating Income: $153,068

Gross Operating Income: $153,068

Total Operating Expenses: ($40,402)

Net Operating Income (NOI): $112,665 5.78% Cap Rate

OPERATING EXPENSES

Amount $/SF

Taxes (1.26%): $24,570 $6.33

Insurance: $1,700 $0.44

CAM: $8,600 $2.22

Unrecovered CAM (CareMore): $175 $0.05

Management (3.5% of TOI): $5,357 $1.38

Total Expenses: $40,402 $10.41 Per Year

$0.87 Per Month

I N C O M E & E X P E N S E

WEST 18TH STREET

WEST 17TH STREET

WEST 18TH STREET

WEST 17TH STREET


S I T E P L A N

SUBJECT PROPERTY

WEST 17TH STREET

NORTH BROADWAY

MAIN STREET

66,000 CPD

70,000 CPD

360,000 CPD5

PUBLIC ALLEYWAY

N S

E

WN

S

E W

WES

T 18

TH S

TREE

T


WEST 17TH STREET

NORTH B

ROADWAY M

AIN STREET

66,000 CPD70,000 CPD

PUBLIC A

LLEYWAY

WEST 18TH STREET

MAIN PLACE MALL• Currently over $1.1M Sq Ft Retail

Shopping Mall• Completed $50M Renovation in

2015• Additional $300M Mixed-Use

Redevelopment Announced March, 2019

• Including Additional Retail/Entertainment Uses, and 700 new Residential Units

N

S

E W

SUBJECT PROPERTY

HONDA CENTERDISNEYLAND ANGEL STADIUMOF ANAHEIM

360,000 CPD5

5

A E R I A L


A B O U T T H E T E N A N T S

BASKIN-ROBBINS is one of the world’s largest chain of ice cream specialty shops, with more than 7,500 retail locations in more than 50 countries around the world. Headquartered in Canton, Mass., Baskin-Robbins is part of the Dunkin’ Brands Group, Inc. (Nasdaq: DNKN) family of companies, but was founded in 1953 by Burt Baskin and Irv Robbins in Glendale, CA. The company is known for its “31 flavors” slogan, with the idea that a customer could have a different flavor every day of any month, and has been a household name synonymous with Ice Cream for decades.

• Strong Franchisee with Over 25 Years of Operating at Subject Property

• Baskin Robbins has Operated in Subject Property’s Trade Area since 1955

• Currently Working on Early Lease Extension• World’s Largest Chain of Ice Cream Specialty Shops• 7,500 Locations in More than 50 Countries, Founded in 1953

CAREMORE HEALTH SYSTEM, a subsidiary of Anthem Inc. (NYSE: AMTM- 2018 Revenue was over $92B), is an integrated health plan and care delivery system for Medicare and Medicaid patients. CareMore was founded in 1993 by Sheldon Zinberg as a small Southern California regional medical group. Today, CareMore serves 100,000 patients across 8 states with annual revenues of $1.2B.

Encore Wellness™ by Nifty after Fifty® offers health plans, medical groups, Accountable Care Organizations (ACOs) and hospital partners true population health care management at 29 wellness centers in four states across the U.S. catered to mature adults from 50-95 years old. Founded in 2006, Encore Wellness™ by Nifty after Fifty® partners with senior health insurance companies like CareMore Health Plan, Monarch HealthCare, and TexanPlus in providing its members with the benefit of Nifty’s unique programs of good health to more seniors. This year, 15,000 members will make over one million fitness visits to its centers.

• Operated at Subject Property since 2012• Has Already Extended the Lease Once (2017)• Waived Termination Clause (2019) Demonstrating Commitment

to the Subject Location• Parent Company Anthem is the Largest For-Profit, Managed

Health-Care Company in the Blue Cross Blue Shield Association• CareMore Itself is a $1.2B Division of Anthem (a $92B Company)

www.baskinrobbins.com

www.caremore.comwww.encore-wellness.com

www.niftyafterfifty.com


SANTA ANA is located in central Orange County about 30 miles southeast of Los Angeles. Santa Ana’s central location and easy access to freeways makes it a great spot from which to access Orange County attractions including Disneyland, Newport Beach, Laguna Beach, Knott’s Berry Farm, the Orange County Performing Arts Center, Los Angeles Angels of Anaheim Stadium, and the Honda Center in Anaheim. Santa Ana is the County Seat, the second largest city in Orange County, and eleventh largest in California. The City is also known as the financial and governmental center of Orange County.

Santa Ana is the fourth-most densely populated city nationally (among cities of over 300,000 residents), trailing only New York City, San Francisco, and Boston). In 2011 Forbes ranked Santa Ana the fourth-safest city of over 250,000 residents in the United States.

Major retail in Santa Ana includes legendary South Coast Plaza, the largest shopping center on the West Coast of the United States, and the first retail

shopping center to achieve $1B in annual sales volume (currently at over $1.5B annually). South Coast Plaza is part of the South Coast Metro District, a dense mix of residential, office, hotel, and retail developments also including the Segerstrom Center for the Arts and South Coast Repertory Theater Company. South Coast Metro is also adjacent to the Santa Ana/John Wayne International Airport.

Santa Ana also boasts a historic downtown area. The 36-block section of homes and commercial buildings was added to the National Register of Historic Places in 1984. Downtown Santa Ana is home to approximately 100 buildings that were constructed between the 1870’s and the 1940’s. The City has been building on its historic downtown element to create a bustling artist village. Starting in the early 1990’s, the city began to embrace the arts as a way to revive downtown. Another addition to the downtown area was the Long-awaited 10-story, $123 million Ronald Reagan Federal Building and U.S. Courthouse that has become Santa Ana’s latest “jewel.”

L O C A T I O N O V E R V I E W

MAINPLACE MALL HISTORIC DOWNTOWN SANTA ANA US COURTHOUSE


SOUTH COAST PLAZA DISNEYLANDSEGERSTROM CENTER OF THE ARTS

ORANGE COUNTY is the third most populous county in the State of California and the sixth most populous county in the United States; Located in the heart of Southern California between Los Angeles to the north, San Diego to the south, and Riverside and San Bernardino counties to the east. Orange County is comprised of 34 cities within its 798 square miles and a population of over 3 million people. Orange County is one of California’s leading economic markets.

The diverse economy is a key component of Orange County’s stability and continual performance. Orange County’s economy would rank it 32nd among the rest of the world’s nations if it were its own country. Several Fortune 500 companies including Ingram Micro (#69) and First American Corp (#312) as well as many regional headquarters for international businesses are all located in Orange County. The average household income of $95,016 in Orange County is significantly higher than that of the nation average of $69,303 making it one of the wealthiest areas in the United States. Top employers in Orange County include; Walt Disney Company, University of Irvine, County of Orange, St. Joseph Health System, and Boeing Co.

Orange County is home to some of the world’s most popular tourist attractions such as The Disneyland Resort and California Adventure, Knott’s Berry Farm, Mission San Juan Capistrano and miles of popular beaches. South Coast Plaza offers world-renowned shopping that generates over $1.5 billion which is the highest in the United States. Over 38 million tourists visit Orange County annually, spending approximately $7.3 billion and supporting nearly 83,000 local jobs. Orange County is an influential metropolitan area with world-class educational, cultural, scientific and business institutions making it one of the most desirable places to live, work and enjoy the quintessential American Dream. Offering the best golf courses, miles of hiking, biking and equestrian trails, it’s Golden Coast, theme parks and cultural delights, OrangeCounty will continue to attract residents and visitors.

L O C A T I O N O V E R V I E W


D I S C L A I M E R

This is a confidential marketing profile (the “Profile”) intended solely for your limited use and benefit in determining whether you desire to express further interest in purchasing the “Property”, located in Santa Ana, CA.

This Profile has been prepared by Lee & Associates on behalf of the owner of the Property (the “Owner”) and has been reviewed by rep-resentatives of the Owner. It contains select information pertaining to the Property and does not purport to be an all inclusive representation of the state of affairs of the Property, or to contain all the information, which prospective investors may require. All financial projections and information are provided for general reference purposes only and are based on assumptions relating to the general economy, market condi-tions, competition and other factors beyond the control of the Owner and Lee & Associates. The information contained herein was obtained from third parties, and it has not been independently verified by Lee & Associates. Prospective investors should have the experts of their choice inspect the Property and verify all information. Lee & Associ-ates is not qualified to act as or select experts with respect to legal, tax, environmental, building construction, soils drainage or other such matters. Therefore, all projections, assumptions and other information provided and made herein are subject to material variation. Neither the Owner nor Lee & Associates, nor any of their respective directors, offi-cers, affiliates or representatives make any representation or warranty, expressed or implied, as to the accuracy of completeness of this Profile or any of its contents, and no legal commitment or obligation shall arise by reason of your receipt of this Profile or use of its contents.

The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers on the subject Property, and/or to terminate discussions with any entity at any time with or without notice which may arise as a result of review of this Profile. The Owner shall have no legal commitment or obligation to any entity reviewing this Profile or making an offer on the Property unless and until written agreement(s) for the Property have been fully executed, delivered and approved by the Owner and any conditions to the Owner’s obligations therein have been satisfied or waived.

By receipt of this Profile, you agree that this Profile and its contents are of a confidential nature, that you will hold and treat it in the strictest confidence and that you will not disclose this Profile or any of its con-tents to any other entity without prior written authorization of the Own-er or Lee & Associates. You also agree that you will not use this Profile or any of its contents in any manner detrimental to the interest of the Owner or Lee & Associates.

Lee & Associates reserves the right to submit the Property to additional clients on terms that may or may not be identical to the terms con-tained herein. By receipt of this Profile, you acknowledge that compet-ing interests may develop in connection with offers on the Property, and waive any conflict of interest that might arise as a result thereof. In such case, Lee & Associates expressly disclaims any obligation to advance the interest of any client at the expense of any other client who may receive this Profile. Dealings with each client shall remain strictly confidential and in no case will Lee & Associates disclose the terms of any actual or potential offer to any competing client.

baskin robbins has operated at subject property for … · baskin robbins has operated at subject...

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