Dunkin’ Donuts and corporate mattress firm

Dunkin' Donuts and corporate mattress firm

Actual Photo of Subject Property Currently Under Construction

Two tenant strip center with drive thru

For more info on this opportunity please contact:

JOHN ANDREINI jandreini@ | (415) 274-2715 CA BRE# 01440360

CHRIS KOSTANECKI ck@ | (415) 274-2701 CA BRE# 01002010

2531 East Morris blvd morristown, TN 37813

RICK SANNER rsanner@ | (415) 274-2709 CA BRE# 01792433

Capital Pacific collaborates. Click here to meet the rest of our San Francisco team.

BOB SANNER bsanner@ | (415) 274-2717 CA BRE# 00869657

In conjunction with TN Licensed Broker: Doug Stanfield, The Stanfield York Company (404) 255-8066 dstanfield@stanfield-

TWO TENANT NET LEASED STRIP CENTER WITH DRIVE-THRU ON MAIN RETAIL THOROUGHFARE OF MORRISTOWN, TN AND LOCATED DIRECTLY ACROSS FROM COLLEGE SQUARE MALL

PRICE: $2,238,875 CAP: 6.75%

RENTABLE SF. . . . . . . . . . . . . . . 5,704 SF PRICE PER SF. . . . . . . . . . . . . . . .$392.51 LAND AREA. . . . . . . . . . . . . . . . . 41,207 SF YEAR BUILT/RENOVATED. . . . . 2008/2014

INVESTMENT HIGHLIGHTS Located across the street from College Square Mall which features more than 50 specialty shops and is anchored by Belk, Kohl's, JCPenney, Goody's, Carmike Cinema 12, and T.J Maxx Newer construction building Dunkin' Donuts has very rare drive-thru in strip center Dunkin' Donuts is paying more than 50% below recently signed Mattress Firm lease

TENANT HIGHLIGHTS Mattress Firm had 2013 revenues of $1.2 billion and is the largest bedding retailer in the United States (see page 6 and 7 for more info) Mattress Firm has $964 million in net assets as of 7/29/14 Dunkin' Donuts is the world's leading baked goods and coffee chain Dunkin' Donuts has system wide sales in excess of $8.3 billion (see page 6 for info on Dunkin guarantor/franchisee) LEASE HIGHLIGHTS Dunkin' Donuts extended lease early to run through 2024 Rental increases in the primary term of both leases - 2.75% annual increases for Dunkin Donuts Brand new 10 year corporate Mattress Firm lease Landlord responsible for roof and structure

Property Signage

Investment Highlights

DUNKIN' DONUTS & MATTRESS FIRM | 2

Rent Roll

Tenant

Sq. Ft. Percent of GLA

Actual Rent Lease Term

Monthly Base Rent

Monthly Rent/SF

Annual Rent/SF

Annual Rent

Mattress Firm

4,064

71.25%

Option 1 Option 2

11/1/2014 11/1/2019 11/1/2024 11/1/2029

10/31/2019 10/31/2024 10/31/2029 10/31/2034

$9,991 $10,990 $12,087 $13,296

$2.46 $2.70 $2.97 $3.27

$29.50 $32.45 $35.69 $39.26

$119,888 $131,877 $145,044 $159,552

Dunkin' Donuts - Franchisee (See page 6 for more info)

1,640

Current Totals: 5,704 Occupied 5,704

28.75%

Early Extension

Option 1 Option 2 100.00% 100.00%

12/1/2008 12/1/2009 12/1/2010 12/1/2011 12/1/2012 12/1/2013 12/1/2014 12/1/2015 12/1/2024 12/1/2023

11/30/2009 11/30/2010 11/30/2011 11/30/2012 11/30/2013 11/30/2014 11/30/2015 11/30/2024 11/30/2028 11/30/2028

Totals

$1,867 $2,000 $2,134 $2,267 $2,400 $2,534 $2,603

$12,525

$1.14

$13.66

$1.22

$14.63

$1.30

$15.61

$1.38

$16.59

$1.46

$17.56

$1.55

$18.54

$1.59

$19.05

Annual 2.75% Increases

Annual 2.75% Increases

Annual 2.75% Increases

$22,404 $24,000 $25,608 $27,204 $28,800 $30,408 $31,236

$151,124

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

DUNKIN' DONUTS & MATTRESS FIRM | 3

Income & Expense

Dunkin' Donuts Drive Thru

PRICE

Price Per Square Foot:

Building Size:

Capitalization Rate:

Lot Size (SF):

STABILIZED INCOME

Per Square Foot

Rent

$26.49

LESS

Per Square Foot

Taxes

NN

Insurance

NN

Total Operating Expenses

NN

EQUALS NET OPERATING INCOME

$2,238,875 $392.51 5,704 6.75% 41,207

$151,124

$0.00 $0.00 $0.00 $151,124

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

DUNKIN' DONUTS & MATTRESS FIRM | 4

Tenant

Founded in 1950 in Quincy, MA, Dunkin Donuts is one of the world's most recognized brands and is the world's leading baked goods and coffee chain, selling almost 2.5 million donuts a day and more than 1 billion cups of coffee each year. The original Dunkin Donuts experience was a single cup of coffee with a donut. Today, Dunkin Donuts offers a wide range of hot and iced coffee, specialty beverages, baked goods and an expanding all-day Oven Toasted menu.

Dunkin Brands, based in Canton, MA, is home to two of the world's most recognized brands: Dunkin Donuts and Baskin Robbins. Dunkin Brands is renowned for its leadership in the QSR segment, with more than 17,000 global points of distribution and total system wide sales of $8.3 billion. Dunkin Brands is traded on the NASDAQ (DUNK).

DUNKIN' DONUTS IS RANKED #1 IN REGULAR/DECAF/ FLAVORED COFFEE AND #1 IN DONUTS

Fresco Development Group - Guarantor/Franchisee

Fresco Development Group LLC was started in 2004 as a restaurant development and management company, as of today, it operates 8 Dunkin Donuts stores, 5 in Miami and 3 in Jacksonville, Florida. It currently has additional locations under development in Boca Raton and Jacksonville. In addition, Fresco Development Group owns a donut production facility in Miami that produces donuts and baked goods for the South Florida franchise community. In total it employs over 120 people. In 2013, the group had retail sales of over 7.5 million and $3 million in bakery production sales.

The management team includes Scott Ball, Fred Guttenberg and Andrew Faber. Prior to forming FDG, Scott worked in Business Development at Triarc Restaurant Group, a publically held company that owned and operated Arby's and TJ Cinnamon's brands. Scott also spent time in the healthcare and sports/entertainment industries. Scott's current role as CEO is overseeing Finance, Marketing and Human Resources. Mr. Ball has been a member of the Dunkin Donuts Brand Advisory Council, Marketing Steering Committee and Regional Advisory Council.

Prior to forming FDG, Fred Guttenberg, formerly of Johnson & Johnson Pharmaceuticals, spent 13 years in training and sales management positions. As President and CDO, his current management role involves all development, training, legal and information technology. Fred has been a member of Dunkin Donuts Information Technology and People Subcommittees.

DUNKIN' DONUTS & MATTRESS FIRM | 5

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download