dollar tree offering memorandum - loopnet...tree serves families in more than 48 states and over...

Broker AssociateD. [email protected]

HARRY BELL

DOLLAR TREE1 9 2 0 E G W I N N E T T S T , S A V A N N A H , G A 3 1 4 0 4

E X C L U S I V E R E T A I L I N V E S T M E N T O P P O R T U N I T Y / / C O N F I D E N T I A L O F F E R I N G M E M O R A N D U M

• 2 • BERKSHIRE HATHAWAY PENFED REALTY COMMERCIALDIVISION

PROPERTY INFORMATION 31.

4Investment Summary5Lease Abstract6Annualized Operating Data7Tenant Profile

LOCATION INFORMATION 82.

9Regional Map10Aerial Maps11Retailer Map

DEMOGRAPHICS 123.

13Demographics Map & Report

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

All materials and information received or derived from Berkshire Hathaway PenFed Realty Commercial its directors, officers, agents, advisors, affiliates and/or any third party sources are provided withoutrepresentation or warranty as to completeness, veracity, or accuracy, condition of the property, compliance or lack of compliance with applicable governmental requirements, developability or suitability,financial performance of the property, projected financial performance of the property for any party’s intended use or any and all other matters.

Neither Berkshire Hathaway PenFed Realty Commercial its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy or completeness of the anymaterials or information provided, derived, or received. Materials and information from any source, whether written or verbal, that may be furnished for review are not a substitute for a party’s active conductof its own due diligence to determine these and other matters of significance to such party. Berkshire Hathaway PenFed Realty Commercial will not investigate or verify any such matters or conduct duediligence for a party unless otherwise agreed in writing.

EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE.

Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections and investigations including through appropriate third partyindependent professionals selected by such party. All financial data should be verified by the party including by obtaining and reading applicable documents and reports and consulting appropriateindependent professionals. Berkshire Hathaway PenFed Realty Commercial makes no warranties and/or representations regarding the veracity, completeness, or relevance of any financial data orassumptions. Berkshire Hathaway PenFed Realty Commercial does not serve as a financial advisor to any party regarding any proposed transaction. All data and assumptions regarding financial performance,including that used for financial modeling purposes, may differ from actual data or performance. Any estimates of market rents and/or projected rents that may be provided to a party do not necessarily meanthat rents can be established at or increased to that level. Parties must evaluate any applicable contractual and governmental limitations as well as market conditions,vacancy factors and other issues in order todetermine rents from or for the property.

Legal questions should be discussed by the party with an attorney. Tax questions should be discussed by the party with a certified public accountant or tax attorney. Title questions should be discussed by theparty with a title officer or attorney. Questions regarding the condition of the property and whether the property complies with applicable governmental requirements should be discussed by the party withappropriate engineers, architects, contractors, other consultants and governmental agencies. All properties and services are marketed by Berkshire Hathaway PenFed Realty Commercial in compliance with allapplicable fair housing and equal opportunity laws.

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BERKSHIRE HATHAWAY PENFED REALTY COMMERCIALDIVISION

PROPERTY INFORMATION

P R O P E R T Y I N F O R M A T I O N

• 4 • MORE INFORMATION AVAILABLEBHHSPENFED.COM


OFFERING HIGHLIGHTS• Attractive Rental Escalations; 10% each option period

• Minimal Landlord Responsibilities

• Strong credit tenant; E-Commerce resilient tenant

• Over 15,000 Family Dollar/Dollar Tree Stores

OFFERING SUMMARY

Sale Price: $1,087,000

Lot Size: 0.84 Acres

Building Size: 8,505 SF

NOI: $98,175.00

Cap Rate: 9.03%

Tenant: Family Dollar

Lease Type: NNN

Term Remaining: +/- 2.5 Years

Options: 3 x 5 yrs

PROPERTY OFFERINGThe subject property is a single tenant, freestanding Dollar Tree located inSavannah, Georgia. Family Dollar has been at this location since the 8,505SF building was built in 2008 and recently rebranded to a Dollar Treestore. The property is situated on .84 acres at the signaled intersection ofPennsylvania Ave and E Gwinnett St. The lease is corporately guaranteedby Family Dollar and has 2.5 years remaining on the lease with threefive-year option periods. There are 10% rent increases each renewaloption.

The property is NNN with the landlord responsible for the roof, accessareas, structure, and HVAC expenses that exceed $1,000. Tenant isresponsible for HVAC maintenance, parking lot paving and lighting, CAM,taxes, and insurance. There were no landlord CAM expenses in 2018.Taxes in 2018 were $13,463, Insurance was $4,992. Tenant reimbursedthe Landlord for those expenses.

The property is being offered at an attractive 9.03% cap rate and is anincredible opportunity for a passive investor looking for a credit ratedcorporate-backed asset in the state of Georgia. The asset is being sold aspart of a portfolio of 6 Family Dollar/Dollar Tree stores or the asset can bepurchased separately.

DOLLAR TREE

I N V E S T M E N T S U M M A R Y

1920 E GWINNETT ST, SAVANNAH, GA 31404

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

LEASE SUMMARY

Tenant Trade Name Dollar Tree

Street Address 1920 E Gwinnett St

City, State, Zip Savannah, GA 31404

Lease Type NNN

GLA 8,505

Annual Rent $98,175

Roof And Structure Landlord

Parking Lot And Lights Tenant

HVAC Tenant; LL responsible inexcess of $1k repairs

Taxes/Insurance Tenant

Common Area Maintenance Tenant

Original Lease Term 12/14/2006

Rent Commencement 12/14/2006

Lease Expiration 06/30/2022

Term Remaining On Lease +/- 2.5 years

Increases 10% Each Option

Extensions 3 x 5-year Options

Right Of First Refusal No


Tenancy Single

Year Built 2008

Free Standing Yes

Type Of Ownership Fee Simple

Actual location prior to Dollar Tree rebrand

Actual location prior to Dollar Tree rebrand



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L E A S E A B S T R A C T





TENANT UNITSIZE (SF)

LEASESTART

LEASEEND

TERM

REMAINING OPTIONS INCREASESANNUAL

RENTPRICE

PER SF/YR

Dollar Tree 8,505 12/14/2006 06/30/22 2.5 years 3 X 5yr 10%

each option

$98,175 $11.54

Totals/Averages 8,505 $98,175 $11.54

There were no landlord CAM expenses in 2018.Taxes in 2018 were $13,463, Insurance was $4,992.Tenant reimbursed the Landlord for those expenses.

DOLLAR TREE

A N N U A L I Z E D O P E R A T I N G D A T A





• Dollar Tree, Inc., a Fortune 200 company

• Proven E-Commerce resilient tenant

• Recession proof business model

• Family Dollar was acquired by Dollar Tree

for $10 Billion in 2015

• Strong brand exposure and recognition

• 15,000 Family Dollar & Dollar Tree stores

• Parent Trade Name: Dollar Tree, Inc.

TENANT HIGHLIGHTS

Corporate Guarantor: Family Dollar Stores, Inc. (NYSE: FDO, S&P: BBB-), is one ofthe fastest growing discount store chains in the United States. Family Dollar/DollarTree serves families in more than 48 states and over 15,000 stores. The Dollar Treemerger with Family Dollar now creates a combined organization with salesexceeding $22.8 billion annually. The merger has allowed Family Dollar and DollarTree to grow offering broader, more compelling merchandise assortments, withgreater values, to a wider array of customers. The Savannah Family Dollar was partof the renovation plan and was recently rebranded to a Dollar Tree location.

Family Dollar offers a compelling mix of merchandise for the whole family. Rangingfrom an expanded assortment of refrigerated and frozen foods and health andbeauty items to home décor and seasonal items, Family Dollar offers the lowestpossible price the name brand and quality private-brand merchandise customersneed and use every day.

When it comes to getting value for everyday items for the entire family in an easy toshop, neighborhood location, Dollar Tree is the best place to go. One of the nation’sfastest growing retailers, Dollar Tree offers a compelling assortment of merchandisefor the whole family ranging from household cleaners to name brand foods, fromhealth and beauty aids to toys, from apparel for every age to home fashions, all foreveryday low prices. While shoppers can find many items at $1 or less, most items inthe store are priced below $10, which makes shopping fun without stretching thefamily budget.

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T E N A N T P R O F I L E



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LOCATION INFORMATION

L O C A T I O N I N F O R M A T I O N



1920 E Gwinnett St

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DEMOGRAPHICS

D E M O G R A P H I C S


DEMOGRAPHICS

POPULATION 1 MILE 3 MILES 5 MILES

Total population 12,122 64,290 119,352

Median age 31.7 33.3 34.7

Median age (Male) 28.9 31.1 32.1

Median age (Female) 35.2 35.4 37.2

HOUSEHOLDS & INCOME 1 MILE 3 MILES 5 MILES

Total households 4,447 26,066 46,724

# of persons per HH 2.7 2.5 2.6

Average HH income $38,135 $47,138 $50,020

Average house value $207,687 $284,854 $263,188

ETHNICITY (%) 1 MILE 3 MILES 5 MILES

Hispanic 2.9% 3.0% 2.9%

RACE 1 MILE 3 MILES 5 MILES

Total Population - White 2,748 25,695 45,729

% White 22.7% 40.0% 38.3%

Total Population - Black 8,761 36,322 69,445

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D E M O G R A P H I C S M A P & R E P O R T




DEMOGRAPHICS

% Black 72.3% 56.5% 58.2%

Total Population - Asian 298 1,102 2,049

% Asian 2.5% 1.7% 1.7%

Total Population - Hawaiian 0 21 22

% Hawaiian 0.0% 0.0% 0.0%

Total Population - American Indian 17 115 193

% American Indian 0.1% 0.2% 0.2%

Total Population - Other 139 431 696

% Other 1.1% 0.7% 0.6%* Demographic data derived from 2010 US Census

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D E M O G R A P H I C S M A P & R E P O R T



dollar tree offering memorandum - loopnet...tree serves families in more than 48 states and over...

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