american lubefast - moss point, mississippi

AMERICAN LUBEFAST - MOSS POINT, MISSISSIPPI
7118 HIGHWAY 613, MOSS POINT, MISSISSIPPI 39563
Joseph Blatner | joseph.blatner@marcusmillichap.com | (503) 200-2029
Justin Poor | justin.poor@marcusmillichap.com | (503) 200-2032
Anne Williams | anne.williams@marcusmillichap.com | (901) 620-3600
8.5% CAP
ABSOLUTE NET LEASE
Net Leased Disclaimer
Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows:
The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not
and will not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes
no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.
As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information
before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity.
Marcus & Millichap expressly denies any obligation to conduct a due diligence examination of this Property for Buyer.
Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future
performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and
legal advisors.
Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to
determine to your satisfaction with the suitability of the property for your needs.
Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully
review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an
important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or
newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the
area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other
material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless
of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the
property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon
the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and
Buyer’s legal ability to make alternate use of the property.
By accepting this Marketing Brochure you agree to release Marcus & Millichap Real Estate Investment Services and hold it harmless from any kind of
claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.
American LubeFast - Moss Point, MS | 2
InvestmentOverview
To Sum Things Up. . .
Address:
7118
Highway
613,
Moss
Point,
MS
39563
18 Years Remaining on a 20 Year Absolute Net Lease; 10% Rent Increases
Every Five Years
Built in 1998, this property has been leased to American LubeFast since 2006. An
amendment to the lease was signed in 2012 adjusting the rent commencement
date to July 1, 2012 thereby adding six years onto the original term. An investor
will benefit from the 10% rental increases allowed every five years throughout
the lease term as well as the guaranty provided by American LubeFast, Inc., the
corporate entity. The property is located directly off of Highway 613 with close
proximity to Interstate 10, Mississippi’s main East and West corridor.
Purchase Price: . . . . . . . . . . . . . . . $564,705
Cap Rate: . . . . . . . . . . . . . . . . . . . . 8.5%
ABSOLUTE NET LEASE
Absolute Net Lease; No Landlord Responsibilities
Net Operating Income: . . . . . . . . . . . $48,000
STRONG RENTAL INCREASES
10 Percent Rent Escalations Every Five Years; Next Rent Escalation Scheduled
for Mid 2017
Lease Expiration Date: . . . . . . . . . . . 06/30/2032
LONG TERM LEASE
18 Years Remaining on the Original 20 Year Term
GREAT ACCESSIBILITY
Located Directly off Highway 613 with Close Proximity to Interstate 10, the
Major East-West Interstate in Mississippi. Subject Property is Ten Minutes to
Pascagoula, Mississippi, the County Seat of Jackson County with a Population
of Over 26,000 People
HOME TO TRENT LOT INTERNATIONAL AIRPORT
Trent Lott is Located Less than Two Miles from the Subject Property and Routes
Over 130 Flights Per Day
SOLID TENANT
American LubeFast has been at this Location for Eight Years and has Locations
in Alabama, Florida and Georgia as well as other Locations in Mississippi
Lease Commencement Date: . . . . . . . . . . . 07/01/2012
Lease
Type:
.
.
.
.
.
.
.
.
.
.
.
Absolute
Net
Increases: . . . . . . . . . . . 10% Every 5 Years
Options: . . . . . . . . . . . Two, 5 Year Options
Guarantor:
.
.
.
.
.
.
.
.
.
.
.
Corporate
Rentable Square Feet: . . . . . . . . . . . . 1,800 SF
Price Per Square Foot: . . . . . . . . . . . . $313.73
Approximate Land Area: . . . . . . . . . . . . . . Approximately .63 Acres
Year Built: . . . . . . . . . . . . . . . . . . . . 1998
American LubeFast - Moss Point, MS | 3
Aerial Map
American LubeFast - Moss Point, MS | 4
Rent Roll
TENANT INFO
Tenant Name
Size
LEASE TERMS
Commencement Lease Expiration
Date
American
Lube Fast
1,800
07/01/2012
Totals:
Occupied:
1,800
1,800
100%
100%
06/30/2032
CURRENT RENT
Annual Base
Rent
RENT INCREASES
Rent/SF/YR
Date
Annually
$48,000
$26.67
07/01/2017
07/01/2022
07/01/2027
07/01/2032
07/01/2037
$52,800
$58,080
$63,888
Market
Market
$48,000
$26.67
OPTIONS
OTHER
Lease Type
Two, 5 Year
Options
Absolute
Net
American LubeFast - Moss Point, MS | 5
Area Overview
POPULATION
3 miles
5 miles
10 miles
2010
7,530
25,037
68,466
2013
7,397
24,610
67,760
2018
7,197
23,979
66,900
HOUSEHOLD INCOMES 2013
3 miles
5 miles
10 miles
Average
$52,149
$47,312
$53,179
Median
$40,852
$36,124
$40,409
MAJOR EMPLOYERS
Employer
Huntington Ingalls Inc.
11,800
Singing River Health System
1,700
Chevron Phillips Chem Co LLC
1,600
Signal International LLC
1,400
Chevron Corporation
769
Ermc II LP
400
County of Jackson
383
United States Dept of Navy
265
Knights Mar & Indus Svcs Inc
242
Wal-Mart Stores Inc
230
MOSS POINT, MISSISSIPPI
The city of Moss Point is situated in southern Mississippi, close to the eastern border with Alabama. The subject
property is located off of Highway 613 with close proximity to Interstate 10, a major east-west interstate in the
southern part of the United States. The Trent Lott International Airport is less than two miles from the subject property
and serves as a county-owned public use airport for Jackson County. Moss Point is a smaller city, just 100 miles
east of New Orleans, 38 miles west of Mobile and just minutes north of Pascagoula, located in Mississippi’s southern
county of Jackson. Jackson County is said to be Mississippi’s most industrialized county and is included in the Gulf
Coast region’s Gulfport-Biloxi Metropolitan Area. The population in the Gulfport-Biloxi MSA is over 240,000 people.
Moss Point, known as “The River City”, lies at the junction of the Pascagoula River and the Escatawpa River. Both
rivers form several channels and bayous in the lower portion of their course and then flow into the Mississippi Sound
which connects to the Gulf of Mexico. The Port of Pascagoula is Mississippi’s largest port and is a major economic
generator for Jackson County. 28 million tons move through the port’s terminals every year, including forest and
paper products, steel, grain, frozen poultry and more.
American LubeFast - Moss Point, MS | 6
AreaOverview
THE SUBJECT PROPERTY IS
WELL POSITIONED WITH GREAT
ESCATAWPA
VISIBILITY FROM HIGHWAY 613 AND
CLOSE PROXIMITY TO INTERSTATE
10 RUNNING EAST AND WEST
THROUGH MISSISSIPPI
JACKSON
MOBILE
BATON ROUGE
MOSS POINT
MOSS POINT
NEW ORLEANS
American LubeFast - Moss Point, MS | 7
TenantOverview
American LubeFast was incorporated in 1995 in the County of Gwinnett and the State of Georgia. Today the company
is headquarted in Lawrence, GA. In 1999 American LubeFast purchased 52 Super-Lube (Tallahassee, FL) locations in
Mobile, Alabama; Montgomery, Alabama; South Georgia; Dothan, Alabama and Pensacola, Florida.
Today, American LubeFast is one of the largest independent oil change and preventative maintenance companys in the
United States. American LubeFast currently operates lube centers in Georgia, Florida, Mississippi, and Alabama.
www.lubefast.com
American LubeFast - Moss Point, MS | 8
ConfidentialityDisclaimer
The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party
receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap.
This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary
level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus &
Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property,
the future projected financial performance of the property, the size and square footage of the property and 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 the subject property.
The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not
verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters
and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must
take appropriate measures to verify all of the information set forth herein.
NON-ENDORSEMENT NOTICE
Marcus & Millichap 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
Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for
the purpose of providing tenant lessee information about this listing to prospective customers.
ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.
PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.
American LubeFast - Moss Point, MS | 9
Take Aways
American LubeFast - Moss Point, MS | 10