bethel park shoppes

bethel park shoppes
starbucks anchored strip
[ REPRESENTATIVE PHOTO ]
Fully Occupied Strip Center
with Long-Term Corporate Leases
5110 Library Rd, Bethel Park, Pennsylvania, 15102
r Map
o
f
k
c
i
Cl
[ www.CapitalPacific.com ]
PROperty Summary
Listing Team
Contact Info
NEWLY RENOVATED THREE TENANT STRIP CENTER LOCATED
ACROSS THE STREET FROM WALMART IN an AFFLUENT SUBURB
OF PITTSBURGH.
The subject property is a newly renovated strip center. This offering provides an investor
with the rare opportunity to acquire an asset that is 100% occupied by corporate tenants
with long-term leases and attractive rental increases throughout each lease.
Zeb ripple
zripple@capitalpacific.com | (415) 274-2702
CA BRE# 01242540
Chris Kostanecki
ck@capitalpacific.com | (415) 274-2701
CA BRE# 01002010
chris peters
cpeters@capitalpacific.com | (415) 274-2703
CA BRE# 01339983
PRICE: $4,128,000
CAP: 6.50%
jack navarra
jnavarra@capitalpacific.com | (415) 274-2705
CA BRE# 01909630
Rentable SF. . . . . . . . . . . . . . . 7,516 SF
In conjunction with PA Licensed Broker:
Transitional Resource Specialists, Donna Martinek
(412) 298-6229 | dmfm2012@gmail.com
Price per SF. . . . . . . . . . . . . . . $549.33
land area . . . . . . . . . . . . . . . . 1.08 Acres
Capital Pacific collaborates. Click Here to
meet the rest of our San Francisco team.
s daily
15,895 car
SUBJECT
PROPERTY
Bethel Park Shoppes | 2
core characteristics
Brand new leases with rental increases
The center is 100% leased to Starbucks, Mattress Firm and Supercuts. Upon completion
of the renovation, all tenants will be subject to brand new 10-year leases with 10%
rental increases every 5 years, providing an investor with the rare combination of
security, diversification and income growth. Estimated rent commencement of
September 15th, 2016 for all leases.
Newly Renovated
The existing building is currently undergoing a major renovation that will create
excellent curb appeal for the property. Work being done includes a new parking lot,
sidewalks and front facade, upgraded utilities (including HVAC), roof repairs and a
brand new multi-tenant pylon sign.
Across from Regional Shopping Center
The subject property is located directly across from Bethel Park Shopping Center,
a Walmart and Giant Eagle anchored shopping center. The daily needs draw of the
center across the street generates significant traffic to the area, benefitting the subject
property.
Primary retail corridor
The subject property is located along Route 88, the primary commuter route to
Pittsburgh. Known locally as Library Road, Route 88 is the primary retail corridor in
Bethel Park. The combined average daily traffic count past the site is greater than
22,000 vehicles per day.
Affluent Suburb of Pittsburgh
Located just seven miles to the southwest of Pittsburgh, Bethel Park is an affluent
bedroom community of Pittsburgh. The site benefits from excellent demographics,
with more than 230,000 people within a five-mile radius, and an average household
230,000 residents with an $85,000 average household
income within a 5-mile radius
Bethel Park Shoppes | 3
zoomed-in aerial
22,000+ cars past the site per day
88
15,895 DAILY
PITTSBURG
88
Liberty Road
Library
Road
ad
Ro
Pax
ton
ton
gh
ou
Br
Dri
ve
BETHEL PARK
SHOPPES
7,745 DAILY
Brightwood Road
Brigh
twoo
BETHEL PARK
SHOPPING
CENTER
d Roa
d
88
ton
Pax
88
e
Driv
Hig
bee
Driv
e
Bethel Park Shoppes | 4
zoomed-out aerial
230,000 people within a 5-mile radius
19
88
Abraham
Lincoln
Elementary
Lib
ra
Eisenhower
Elementary
ry
Ro
ad
21,241 DAILY
VILLAGE SQUARE
Liberty Road
ist
pt
Ba
88
ad
ad
Ro
to
ng
hi
W
as
19
d
oa
B
nR
Road
hu
lC
e
eth
to
oad
d
oa
R
rch
gh
The
Pathfinder
School
BETHEL PARK SHOPPING CENTER
ou
ry R
ouch
Fort C
Libra
HILLCREST
SHOPPING
CENTER
Br
n
Ro
Hillcrest
Christian Academy
BETHEL PARK
SHOPPES
Independence
Middle School
®
Bethel Park
High School
oad
yR
rar
ad
rk Ro
h Pa
Sout
Lib
7,745 DAILY
Brightwood Road
Brightwood Road
el d
th Roa
e
h
B rc
u
Ch
SOUTH PARK SHOPS
88
88
PITTSBURG
Bethel Park Shoppes | 5
site plan
PROPOSED PYLON SIGN
Library Road
88
15,895 DAILY
This site plan is a rendering that has been created based on sources we believe to be reliable, however we make no representations or warranties,
expressed or implied, as to the accuracy of the rendering. Buyer must verify the information and bears all risk for any inaccuracies.
Bethel Park Shoppes | 6
Photos
across the street from walmart
and giant eagle anchored center
s daily
SUBJECT
PROPERTY
7,7
45
ca
rs
da
ily
15,895 car
Bethel Park Shoppes | 7
income & expense
PRICE
$4,128,000
Price Per Square Foot:
$549.23
Capitalization Rate:
6.50%
Total Rentable Area (SF):
7,516
Lot Size (AC):
STABILIZED INCOME
1.08
Per Square Foot
Scheduled Rent
$36.34
$273,160
Effective Gross Income
$36.34
$273,160
LESS
SUBJECT
PROPERTY
Per Square Foot
Taxes
NNN
$0.00
Insurance
NNN
$0.00
Cap Ex Reserve
($0.10)
($752)
Non-recapturable Expenses (1.5%)
($0.55)
($4,097)
Total Operating Expenses
($0.65)
($4,849)
EQUALS NET OPERATING INCOME
y
ars dail
15,895 c
$268,311
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.
Bethel Park Shoppes | 8
rent roll
TENANT INFO
Tenant
Mattress Firm
LEASE TERMS
Sq. Ft.
Percent of GLA
4,300
57.21%
2,016
1,200
Current Totals:
Rent/FT
$163,600
$38.05
6
10
$14,584
$179,960
$41.85
Option 1
11
15
$16,043
$197,956
$46.04
Option 2
16
20
$17,647
$217,751
$50.64
Option 3
21
25
$19,412
$239,527
$55.70
26.82%
1
5
$5,880
$70,560
$35.00
6
10
$6,468
$77,616
$38.50
Option 1
11
15
$7,115
$85,378
$42.35
Option 2
16
20
$7,827
$93,925
$46.59
Option 3
21
25
$8,610
$103,320
$51.25
Option 4
26
30
$9,472
$113,662
$56.38
15.97%
1
5
$3,250
$39,000
$32.50
6
10
$3,575
$42,900
$35.75
11
15
$3,932
$47,184
$39.32
$23,714
$273,160
$36.34
Option 1
Vacant
Annual
Rent
$13,258
Est. Rent Commencement Sept. 15, 2016
Occupied
Monthly
Rent
5
Est. Rent Commencement Sept. 15, 2016
SuperCuts
Term
1
Est. Rent Commencement Sept. 15, 2016
Starbucks*
RENT SUMMARY
7,516
100.00%
0
0.00%
7,516
100.00%
*Tenant has the right to terminate the lease as of the last day of the 84th month of the lease. Tenant must provide at least 180 days prior notice and pay a termination fee equal to three months of rent and the unpaid balance of any amortized leasing commissions or tenant improvements.
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.
Bethel Park Shoppes | 9
tenants
Starbucks (STBX) is the world’s #1 specialty coffee retailer, and has
more than 12,521 coffee shops in the US. The outlets offer coffee
drinks and food items, as well as roasted beans, coffee accessories and
teas. Starbucks markets its coffee through grocery stores and licenses
its brand for other food and beverage products. Starbucks plans to
continue its rapid expansion of retail operations, grow its specialty
sales and selectively pursue opportunities to leverage the Starbucks
brand through the introduction of new products and the development
GROSS REVENUE
$19.1 Billion
NET income
$2.76 billion
Mattress Firm (NASDAQ: MFRM) currently operates over 3,546 locations
across 48 states nationwide, making it the largest bedding retailer in
the country, with estimated fiscal 2016 sales of approximately $4 billion.
Mattress Firm offers conventional mattresses, specialty mattresses,
including viscoleastic foam mattresses and YuMe sleep system (a
revolutionary sleep system made of foam produced from coconut oil),
and bedding related accessories (bed frames, mattress pads, pillows).
The stores carry a broad assortment of national mattress brands and
exclusive brands. In 2011, Mattress Firm Holding Corp went public and
NET REVENUE
$1.2 BILLION
NET income
$44.3 MILLION
Supercuts is a hair salon franchise with over 2,400 no-appointmentrequired locations across the country. Supercuts offers a range of
services including children’s haircuts, coloring and waxing. The salons
also sell professional haircare products from Paul Mitchell, Bioloage,
Redkin and many more at affordable prices.
Bethel Park Shoppes | 10
demographics & regional map
Population
2010
2016
2020
1-Mile
3-Mile
5-Mile
7,414
7,386
7,413
85,826
85,153
85,186
233,105
232,385
232,939
1-Mile
3-Mile
5-Mile
$76,905
$57,993
$91,409
$68,535
$85,108
$62,625
SUBJECT
PROPERTY
2015 Household incomes
Average
Median
Top Employers in pittsburgh region
Employer
# of Employees*
UPMC43,000
Highmark Health
22,000
US Government
17,347
Commonwealth of Pennsylvania
12,822
University of Pittsburgh
12,386
Giant Eagle Inc.
10,742
BNY Mellon Corp
7,000
County of Allegheny
6,750
pittsburgh
9 Miles
*Approximate
bethel
Bethel Park Shoppes | 11
location
[ pittsburgh, pa ]
About bethel park, pa
Bethel Park is a borough in Allegheny County and is just seven miles southwest of Pittsburgh. Allegheny County had a 2014 population of
1.23 million, making it the second most populous county in the state, following Philadelphia County. The area is known for its hospitals,
universities and industrial center. Pittsburgh, the county seat, is home to a number of major companies and has one of the highest
concentrations of Fortune 500 corporations in the country, including U.S. Steel Corporation, PNC Financial Services Group, PPG Industries
and H.J. Heinz Company.
Shell recently announced that it will move forward with construction of a long-awaited
multibillion-dollar petrochemical plant in Western Pennsylvania that business and
political leaders say will transform the state’s shale-gas industry. Construction of
the giant polyethylene complex on the site of a former zinc smelter will create up
to 6,000 construction jobs and 600 permanent jobs in the Pittsburgh MSA when it is
completed in the next decade.
bethel park is seven miles
southwest of pittsburg
Pittsburgh is the second largest city in the state and has a population of 2.65 million. Pittsburgh is known as both “the Steel City” for its more
than 300 steel-related businesses, and as “the City of Bridges” for its 446 bridges. Aside from steel, Pittsburgh has led in manufacturing of
aluminum, glass, shipbuilding, petroleum, foods, sports, transportation, computing, autos and electronics.
Bethel Park Shoppes | 12
A unique HUMAN
RESULTS-DRIVEN
client experience
The capital pacific experience - our daily commitment to our clients
[ www.CapitalPacific.com ]
zeb ripple
Chris Kostanecki
zripple@capitalpacific.com | (415) 274-2702
CA BRE# 01242540
ck@capitalpacific.com | (415) 274-2701
CA BRE# 01002010
chris peters
jack navarra
cpeters@capitalpacific.com | (415) 274-2703
CA BRE# 01339983
jnavarra@capitalpacific.com | (415) 274-2705
CA BRE# 1909630
In conjunction with PA Licensed Broker:
Transitional Resource Specialists, Donna Martinek | (412) 298-6229 | dmfm2012@gmail.com
Capital Pacific collaborates. Click here to
meet the rest of our San Francisco team.
rick sanner
john andreini
bob sanner
joe caccamo
dave lucas
gregg steele
zandy smith
karla zens
aaron susman
[ Copyright © 2016 Capital Pacific ]