exclusive offering | $1359000

Rep Photo
EXCLUSIVE OFFERING | $1,359,000
Dollar general | S&P Rating BBB5401 South 7th Street, Abilene, TX
214.915.8890
JOE CAPUTO
joe@exp1031.com
BOB MOORHEAD
bob@exp1031.com
RUSSELL SMITH
russell@exp1031.com
property. 9,026+ SF building on 1.27+ acres. Metal Construction, Concrete Block Façade, Concrete Parking Lot.
tenant. S&P Rated BBB-, Operates 11,132 stores in 40 states. Ranked 175th within the Fortune 500 Companies. Fiscal 2013 revenues exceeded $17.5 billion.
lease structure. Corporate, 15-year, Absolute NNN lease beginning August 2013 with 10% rent bump at the beginning of each option period.
location. Dollar General is located on South 7th Street (5,434 Cars / Day) just west of U.S. 277 / Winters Fwy (42,682 Cars / Day) on the outer ring of Abilene
near Dyess Air Force Base (4.3 miles west of the subject property). This location provides high visibility and great accessibility to travelers and residents alike. The
immediate trade area is home to a variety of local business along with national credit tenants such as Sam’s Club, Big K Mart, Chevy, Buick, GMC, Cadillac,
Chrysler, Ram, Hyundai, Ford, Mitsubishi, Volkswagen, Whataburger, Subway, Churches, Taco Bell, Autozone, Firestone, U-Haul, McCoy’s Building Supply,
Chase, Broadwind Energy, and many others. Local businesses include Stor Lok Self Storage, Alpine Storage, U-STOR Self Storage, Colonial Storage, and many
more. Abilene is a city 180 miles due west of the Dallas / Fort Worth Metroplex in west central Texas.
Table of contents | Disclaimer
Dollar General
5401 South 7th Street, Abilene, TX
Disclaimer
PAGE 1:
COVER
PAGE 2:
TABLE OF CONTENTS | DISCLAIMER
PAGE 3:
INVESTMENT OVERVIEW
PAGE 4:
SITE PLAN
PAGE 5:
AERIAL PHOTO
PAGE 6:
LOCATION OVERVIEW
PAGE 7-8:
LOCATION MAPS
PAGE 9:
DEMOGRAPHICS
Representative Photo
EXP Realty Advisors, Inc. (“Agent”) has been engaged as an agent for the sale of the
property located along 5401 South 7th Street, Abilene, TX by the owner of the Property
(“Seller”). The Property is being offered for sale in an “as-is, where-is” condition and Seller
and Agent make no representations or warranties as to the accuracy of the information
contained in this Offering Memorandum. The enclosed materials include highly confidential
information and are being furnished solely for the purpose of review by prospective
purchasers of the interest described herein. The enclosed materials are being provided
solely to facilitate the prospective investor’s own due diligence for which it shall be fully and
solely responsible. The material contained herein is based on information and sources
deemed to be reliable, but no representation or warranty, express or implied, is being made
by Agent or Seller or any of their respective representatives, affiliates, officers, employees,
shareholders, partners and directors, as to the accuracy or completeness of the information
contained herein. Summaries contained herein of any legal or other documents are not
intended to be comprehensive statements of the terms of such documents, but rather only
outlines of some of the principal provisions contained therein. Neither the Agent nor the
Seller shall have any liability whatsoever for the accuracy or completeness of the
information contained herein or any other written or oral communication or information
transmitted or made available or any action taken or decision made by the recipient with
respect to the Property. Interested parties are to make their own investigations, projections
and conclusions without reliance upon the material contained herein. Seller reserves the
right, at its sole and absolute discretion, to withdraw the Property from being marketed for
sale at any time and for any reason. Seller and Agent each expressly reserves the right, at
their sole and absolute discretion, to reject any and all expressions of interest or offers
regarding the Property and/or to terminate discussions with any entity at any time, with or
without notice. This offering is made subject to omissions, correction of errors, change of
price or other terms, prior sale or withdrawal from the market without notice. Agent is not
authorized to make any representations or agreements on behalf of Seller. Seller shall
have no legal commitment or obligation to any interested party reviewing the enclosed
materials, performing additional investigation and/or making an offer to purchase the
Property unless and until a binding written agreement for the purchase of the Property has
been fully executed, delivered, and approved by Seller and any conditions to Seller’s
obligations hereunder have been satisfied or waived. By taking possession of and
reviewing the information contained herein, the recipient agrees that (a) the enclosed
materials and their contents are of a highly confidential nature and will be held and treated
in the strictest confidence and shall be returned to Agent or Seller promptly upon request;
and (b) the recipient shall not contact employees or tenants of the Property directly or
indirectly regarding any aspect of the enclosed materials or the Property without the prior
written approval of the Seller or Agent; and (c) no portion of the enclosed materials may be
copied or otherwise reproduced without the prior written authorization of Seller and Agent.
Investment overview
Dollar General
5401 South 7th Street, Abilene, TX
PRICE:
$1,359,000
NET OPERATING INCOME:
$88,317
BUILDING AREA:
9,026+ Square Feet
LAND AREA:
1.27+ Acres
YEAR BUILT:
2013
OWNERSHIP:
Lease overview
Initial Lease Term:
15-Years, Plus 3, 5-Year Options to Renew
Rent Commencement:
August 2013
Lease Expiration:
August 2028
Lease Type:
Absolute NNN
Rent Increases:
10% in Option Periods
Fee Simple Interest
Year 1-15 Annual Rent (Current):
$88,317
OCCUPANCY:
100%
Year 16-20 Annual Rent (Option 1):
$97,148
CONSTRUCTION TYPE:
Metal Construction, Concrete
Year 21-25 Annual Rent (Option 2):
$106,863
Block Façade, Concrete
Year 26-30 Annual Rent (Option 3):
$117,549
Parking Lot
Tenant overview
LESSEE: Dolgencorp of Texas, Inc.
CORPORATE GUARANTY: Dollar General Corporation
Dollar General | www.dollargeneral.com | S&P Rating BBB- (upgraded from BB+ in April, 2012)
Cal Turner founded J. L. Turner & Son, Inc. in 1939, and opened the first Dollar General store in Scottsville, Kentucky in June 1955. Today, Dollar General
Corporation operates as the country’s largest small-box discount retailer with stores in the southern, southwestern, midwestern, and eastern United States. The
stores are typically located in local neighborhoods and small communities deemed “too small” for big-box retailers. Dollar General offers both name-brand and
generic merchandise—including off-brand goods and closeouts of name-brand items. Although it has the word “dollar” in the name, Dollar General is not a dollar
store. Many of its offerings are priced at more than one dollar. However, goods are usually sold at set price points of penny items and up to the range of 50 to 60
dollars, not counting phone cards and loadable store gift cards. The company provides paper and cleaning products (paper towels, bath tissues, paper
dinnerware, trash and storage bags, laundry, and other home cleaning supplies), packaged food and perishables (cereals, canned soups and vegetables, sugar,
flour, milk, eggs, and bread), beverages, snacks (such as candies, cookies, crackers, salty snacks, and carbonated beverages), over-the-counter medicines,
personal care products (soap, body wash, shampoo, dental hygiene, and foot care products), pet supplies and pet food products, seasonal products (decorations,
toys, batteries, small electronics, greeting cards, and stationery) prepaid cell phones and accessories, gardening supplies, hardware, automotive, home office
supplies, home products (kitchen supplies, cookware, small appliances, light bulbs, storage containers, frames, candles, and craft supplies, as well as kitchen,
bed, and bath soft goods), and casual, everyday apparel (for infants, toddlers, girls, boys, women, and men, as well as socks, underwear, disposable diapers,
shoes, and accessories). Since the turn of the century, Dollar General has added stores that carry a greater selection of grocery items, which operate under the
name “Dollar General Market”.
In 2007 Kohlberg Kravis Roberts & Co. (KKR) acquired Dollar General, privatized the company for restructuring, and took the company public again in 2009. As of
January 1, 2014, Dollar General operated 11,132 stores in 40 states. The company ranks 175th within the Fortune 500 Companies. Fiscal 2013 revenues
exceeded $17.5 billion (up 9.2% from 2012) with profits of $1,736.2 million. The company’s current market value is estimated to be $18.41 billion.
3
Site Plan
Dollar General
5401 South 7th Street, Abilene, TX
4
Aerial photo
Dollar General
5401 South 7th Street, Abilene, TX
Stor Lok Self
Storage
Alpine Storage
U-STOR
Self Storage
TX Health &
Human Services
South 7th Street (5,434 Cars / Day)
Colonial Storage
Pioneer Dive
Baptist Church
Abilene
Elementary
School
5
Location overview
Dollar General
5401 South 7th Street, Abilene, TX
IMMEDIATE TRADE AREA
Dollar General is located on South 7th Street (5,434 Cars / Day) just west of
U.S. 277 / Winters Fwy (42,682 Cars / Day) on the outer ring of Abilene near
Dyess Air Force Base (4.3 miles west of the subject property). This location
provides high visibility and great accessibility to travelers and residents alike.
The immediate trade area is home to a variety of local business along with
national credit tenants such as Sam’s Club, Big K Mart, Chevy, Buick, GMC,
Cadillac, Chrysler, Ram, Hyundai, Ford, Mitsubishi, Volkswagen, Whataburger,
Subway, Churches, Taco Bell, Autozone, Firestone, U-Haul, McCoy’s Building
Supply, Chase, Broadwind Energy, and many others. Local businesses include
Stor Lok Self Storage, Alpine Storage, U-STOR Self Storage, Colonial Storage,
and many more.
ABILENE / TAYLOR COUNTY / JONES COUNTY, TEXAS
Abilene is a city 180 miles due west of the Dallas / Fort Worth Metroplex in
west central Texas. The 2010 United States Census recorded the population
as being 117,063. The city is home to Dyess Air Force Base, which lies just
southeast of the city limits, and is the city’s largest employer (5,406
employees). Abilene was ranked No. 1 in Texas and 17th in the nation for its
public education system by Business Outlook Magazine in 2006. There are two
school districts in Abilene, Abeline ISD and Wylie ISD, along with other prive
school systems. Within ASID and WSID, there are over 40 school campuses
including 30+ special programs and magnet schools. Combined, AISD and
WISD have over 20,000 students enrolled and nearly 2,800 employees. The
city is also home to three private universities: Hardin-Simmons University,
Abilene Christian University, and McMurry University; as well as the Abilene
campus of Cisco Junior College, a West Texas campus of Texas State
Technical College, American Commercial College, and the new Abilene
Campus of Texas Tech University Health Sciences Center.
In 2013, the Development Committee of Abilene brought in several companies,
among them: Tucker Energy Services, a multinational firm that offers wire line,
cementing, perforating, coiled tubing, logging services and, most recently,
hydraulic fracturing services. Phase 1 will result in 11 new jobs, and Phase 2
an additional 132 positions. CarbonLITE, one of the world’s largest recyclers of
plastic beverage bottles. The company will employ about 100 people to operate
what officials say will be a $40 million processing plant at the Five Points
Business Park. CarbonLITE expects to break ground before year’s end and
production is scheduled to begin in late 2014.
There are 6 major industries that play a substantial role in the economic
development and growth in Abilene. These industries include Higher Education
($290 million annual economic impact), Agriculture (Annual Farm Products:
$472.3 million) & Annual Livestock ($539 million), Oil & Gas ($1.22 billion),
Retail Trade ($2.8 billion in sales), Travel Trade ($423.7 million in Annual
Revenue), and Military Installations ($441.5 million total economic impact to
Abilene).
Taylor County, of which Abilene is county seat, has a population of 131,506
(2010 US Census). Jones County, which contains only a small portion of the
northern part of the city, extends north and west from Abilene, and has a
population of 20,202 (2010 US Census).
ABILENE METROPOLITAN STATISTICAL AREA
The Abilene Metropolitan Statistical Area (MSA), as defined by the United
States Census Bureau, is an area consisting of Taylor, Jones, and Callahan
counties in west central Texas. The MSA is anchored by the city of Abilene. As
of the 2000 US Census the MSA had a population of 160,245 people, 115,930
of which lived in the city of Abilene. The area has a rich history of cattle,
railroads, and oil, which is showcased throughout the year in a variety of
rodeos and western heritage festivals that draw tourist from across Texas, the
United States, and World.
Major employers in the MSA are Dyess Air Force Base (5,406 Employees),
Hendrick Health System (2,869 employees), and the Abilene ISD (2,413
employees). Other notable employers include the Abilene State Supported
Living Center (1,472 employees), The TX Dept. of Criminal Justice (1,128
employees), City of Abilene (1,200 Employees), and Abilene Regional Medical
Center (750 Employees).
Abilene’s integrated transportation network provides convenient access to all
U.S. and Canadian markets, as well as the large emerging markets in Mexico.
The Abilene Regional Airport is an Federal Aviation Regulation (FAR) Part 139
certified airport on 1,700 city own acres, located approximately three nautical
miles southeast of the central business district. Abilene is located on the main
line of the Union Pacific Railroad. There are multiple freight and overnight
carriers that operate in Abilene. Two bus lines also serve the city. Abilene’s
location and its connecting highways make it an ideal location for transporting
goods.
The Abilene MSA is ranked No. 2 in Texas and No. 48 nationally for Best Small
Places for Business and Careers by Forbes.com (2012).
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Location map
Dollar General
5401 South 7th Street, Abilene, TX
7
Location map
Dollar General
5401 South 7th Street, Abilene, TX
8
Demographics
Dollar General
5401 South 7th Street, Abilene, TX
DEMOGRAPHIC SNAPSHOT
Radius
1 Mile
3 Mile
5 Mile
2019 Projection
7,574
54,658
94,197
2014 Estimate
7,392
53,115
91,541
2010 Census
7,329
51,966
89,533
Growth 2014-2019
2.46%
2.91%
2.90%
Growth 2010-2014
0.86%
2.21%
2.24%
2019 Projection
2,814
21,377
36,277
2014 Estimate
2,752
20,759
35,227
2010 Census
2,751
20,298
34,446
Growth 2014 - 2019
2.25%
2.98%
2.98%
Growth 2010 - 2014
2.93%
1.35%
0.74%
Owner Occupied
1,320
11,406
19,974
Renter Occupied
1,432
9,353
15,253
2014 Avg Household Income
$43,570
$52,199
$52,096
2014 Med Household Income
$34,370
$41,269
$40,489
<$25,000
842
5,972
10,925
$25,000 - $50,000
974
6,541
10,254
$50,000 - $75,000
609
4,483
7,204
$75,000 - $100,000
Population:
Households:
Dyess Air Force Base, Abilene, TX
2014 Households by Household Inc:
200
1,780
3,274
$100,000 - $125,000
52
779
1,333
$125,000 - $150,000
15
268
577
$150,000 - $200,000
58
632
1,199
9
119
212
$200,000+
Downtown Abilene, Texas
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