Top 8 properties 12-10-09

1. Macaroni Grill Italian restaurant in Tulsa, OK: 7164 SF beautiful Italian restaurant built in 1992 on 1.37 acres outparcel to Wal-Mart next to 1.2 million SF 165-store Woodland Hills Mall. 20 yrs absolute NNN lease with corp guaranty . NOI $161K/yr with 2% annual rent increase. Tenant has been at this location since 1992. $1.898M. 8.5% cap. Property is qualified for American Indian Lands tax credits which generates additional cash flow
2. 2-Story Multifamily Buildings in Dallas, TX: 61-units consisting of 6 brick buildings on 1.37 acres of land about ½ the units have recent upgrades conveniently located near Downtown Dallas. 81% leased. NOI $167K/yr. $1.675M. 10% Proforma Cap.
   New development in the area
   Upside Appreciation
3. Shopping Center in Payson, AZ: 32,157 SF attractive shopping center shadow anchored by Safeway grocery store at busy intersection of Hwy-87/260. NOI $471K/yr. $5M. 9.42% Cap.
4. Holiday Inn Express & Suites in Plano, TX: 137-room hotel renovated in 2004 on 3 acres of land with numerous amenities near Collin Creek Mall and next to I-75. Average Occupancy 48%. $6.5M.
5. Rite Aid Pharmacy in Columbia, SC: 14,560 SF newly constructed pharmacy on 1.73 acres of land at active thoroughfare in growing area. Long NNN corp lease with rent increases. NOI $340K/yr. $4.030M. 8.45% Cap.
6. Retail Building in San Jose, CA: 2862 SF single-tenant retail building at high traffic corner location and high income Blossom Hills area. 100% NNN lease. NOI $95K/yr. $1.2M. 8% Cap.
7. Popeye’s Chicken in Gresham, OR: brand new 2893 SF free-standing retail building across from Safeway at signalized intersection in Portland metro. 20-years absolute NNN leased by strong franchisee currently operating 130 restaurants in 4-states. NOI $114K/yr. Price reduced to $1.471M. 7.75% Cap.
8. Strip Center in San Jose, CA: 12,000 SF eye-catching strip center constructed in 1995 on .92 acre lot on White road. Anchored by a medical clinic. 100% leased. NOI $295K/yr. Price reduced to $3.7M. 8% Cap.
   
   
   © Transmercial 2009. All rights reserved.

Top 10 properties 12-09-09

1. Pep Boys Auto in Las Vegas, NV: 20,886 SF free-standing building on 2.13 acres of land along busy corridor near Fwy-515/95. New 15-years absolute NNN corp lease with 1.5% annual rent increases. NOI $300K/yr. $4.141M. 7.25% Cap.
2. Burger King in Gardena, CA: 2752 SF single-tenant retail building constructed in 1999 on .69 acre lot in close proximity to Hawthorne Municipal Airport and Memorial Hospital of Gardena. Long absolute NNN leased by experienced operator with 10 stores. CPI Increases every 5-years. NOI $ 102K/yr. $1.457M. 7% Cap.
3. Two-Retail Buildings in San Diego, CA: 11,205 SF consisting of two retail buildings on .96 acre lot conveniently located near Hwy-5/805. 100% NNN leased by two national tenants:Kragen Auto Parts and Baja Duty Free. NOI $266K/yr. $3.798M. 7% Cap.
4. Merryhill Preschool in Sacramento, CA: brand new 10,664 SF day care facility on 1.6 acres of parcel located in thriving neighborhood (AHI $80K/yr within one mile radius). 15-years NNN corp lease by Nobel Learning Communities Inc. a company currently operating 183 school facilities in 16 states. NOI $326K/yr. $3.961M. 8.25% Cap.
5. Tuffy Auto in Omaha, NE: 3900 SF recently constructed retail building on .63 acre lot across from Wal-Mart Supercenter adjacent to new national tenants: Super Target, OfficeMax and more in prosperous (AHI $109K/yr.) area. New 20-years corp lease with rental increases. NOI $111K/yr. $1.369M. 8.15% Cap.
6. Shopping Center in Vancouver, WA: 25,472 attractive shopping center adjacent to Walgreens/Safeway at high traffic location. NNN leased by great tenant mix. NOI $460K/yr. $5.120M. 10% Cap.
7. Burger King in Lewisville, TX: 3,756 SF retail building remodeled in 2000 on .59 acre lot with excellent throughway visibility near I-77. New 20-years absolute NNN leased by strong franchisee. 2% annual rent increases. NOI $110K/yr. $1.262M. 8.75% Cap. Price reduced from $1.30M to $1.262M. Note: seller is very adamant about all cash offer.
8. Retail Plaza in Lake Elsinore, CA: 34,850 SF shopping plaza on 2.68 acres lot near I-15 off ramp in a fast growth (45% since 2000) with AHI over $75K/yr. 100% NNN leased by 14 tenants. NOI $391K/yr. $4.89M. 8% cap.
   Stable tenancy: 2/3 tenants have been here for 10+ yrs
   Avg rent is less than $1/SF: upside potential
   Only $140/SF
9. Family Dollar in Pensacola, FL: brand new 9100 SF free-standing retail building on one acre lot in fast growing area. 10-years NNN leased by recession proof tenant. NOI $124K/yr. $1.470M. 8.5% Cap.
10. Shopping Center in Gurnee, IL: 19,865 SF shopping center located directly across from 6 Flags Great America in a high income Chicago metro. 100% NNN leased by three tenants. NOI $310K/yr. $3.1M. 10% Cap.
    
    © 2009. All rights reserved.

Top 9 properties 12-08-09

1. The Old Spaghetti Factory Restaurant in Duarte, CA: 14,415 SF unique retail building on 2.25 acres of land adjacent to I-210 off ramp. Successful location with sales increasing annually. New long NNN lease with over 10 yrs remaining. NOI $ 264K/yr. $3.7M. 7.16% Cap.
2. Strip center in Pittsburg, CA: 9600 SF new retail center on an outparcel to a shopping center anchored by Mi Pueblo Supermarket, an expanding grocery supermarket chain in Northern California. Great location next to Hwy 4 exit. 100% NNN leased by 5 good brand name tenants: Panda Express, Pittsburg Federal Credit Union, Cartridge World, UPS, and Western Dental. NOI $347K/yr. $4.8M. 7.25% cap.
3. Retail Center in Alameda, CA: 6132 SF strip mall built in 1992 on .62 acres outparcel to a 127,500 SF shopping center anchored by Lucky Supermarket and CVS Pharmacy. 100% NNN leased by 3 national tenants: Chase, Quizno’s sub, and Hairmasters Salon (by Regis Corp.) NOI $200K/yr. $2.785M. 7.21% cap.
4. Shopping Center in Sacramento, CA: 10,791 SF 7-unit retail center built in 2007 on 1.1 acre lot. 88% NNN by 6 tenants with just 1 small vacant unit. Proforma NOI $340K/yr. $4.15M. $8.2% proforma cap. Seller/developer will accept a low $3+M offer! Great location:
   · Near Hwy 99 exit
   · Close to Costco and Kaiser Permanente campus.
5. Medical Plaza in Tucson, AZ: 10,456 SF medical building constructed in 2004 on 1.24 acres of parcel located in fast growing area. 100% NNN leased by several medical tenants. NOI $193K/yr. $2.275M. 8.5% Cap.
6. Multifamily Buildings in Inglewood, CA: 32-units apartments complex in a densely populated Los Angeles city with over 725K residents within 5 miles radius with AHI over $80K within 5 miles radius. NOI $185K/yr. Price reduction from $2.55M to $2.3M. 8.10% Cap.
7. Shopping center in San Jose, CA: 12,711 SF shopping center built in 1986 on 1.25 acres lot at the corner of Capitol Expressway and I-680 in a high income area with high barrier for entry. 100% NNN leased by 8 tenants. NOI $481K/yr. $5.85M. 8.23% cap.
8. Shopping Center in Houston, TX: 31,021 SF well maintained shopping center on 2.42 acres of land at high traffic location with excellent access from several streets. 100% leased by long-history tenants. NOI $223K/yr. $2.250M. 9.92% Cap.
9. Staples in Phoenix, AZ: 20,390 SF retail building constructed in 2007 on 2.34 acres of parcel anchored by Lowe’s surrounded by multiple national tenants. 100% NNN leased till 2018. NOI $305K/yr. $3.825M. 8% Cap.
   

Sales Activities:
1. Goodyear Tires Auto in Omaha, NE: in contract.
2. Apartments in Martinez, CA: closed escrow.
3. Walgreens in Schertz, TX: in contract
4. Shopping center in Houston, TX: in contract.
5. Shopping center in Grapevine, TX: closed escrow.
6. Walgreens in Plantation, FL: closed escrow
7. O’Reilly Auto in Grapevine, TX: closed escrow


© Transmercial 2009. All rights reserved.

Top 7 properties 12-07-09

NOI: Net Operating Income
AHI: Average Household Income

1. Multifamily Complex in Dallas, TX: 50-units well-kept apartment complex on 1.46 acres of land close to down-town. 100% leased. NOI $130K/yr. $1.2M. 10.86% Cap.
2. Apartments in Vacaville, CA: 24-units multifamily buildings on 1.52 acres of parcel at great quiet neighborhood in growing well-off (AHI $81K/yr within 5-miles radius) town just southwest of Sacramento. 90% occupied. NOI $239K/yr. $2.998M. 8% Cap.
3. Shopping Center in Bakersfield, CA: 22,475 SF well-kept shopping center on 1.36 acres of land adjacent to Valley Plaza Regional Mall near Fwy-99. 100% leased. NOI $266K/yr. $3M. 9% Cap.
4. Christian Brothers Automotive in Lewisville, TX: 4921 SF 1-yr old retail building in a high-income (AHI $98K/yr) Dallas metro. 15 yrs NNN corp lease with no landlord responsibilities. NOI $157K/yr with 1.5% annual rent bump. $1.937M. 8.12% cap.
5. Christian Brothers Auto in Bedford, TX: brand-new 4921 SF automotive center on .94 acre lot located in fast growing Dallas/FW metro with excellent visibility to Hwy-121. 15-yerars absolute NNN corp lease. 1½% annual rent increases. NOI $161K/yr. $2.013M. 8% Cap.
6. Burger King in Houston, TX: 2929 SF Burger King on .77 acre lot at signalized intersection of I-10. 20-years absolute NNN lease with no landlord responsibilities. Franchisee with over 30 years experience currently with over 50 locations. 7% rent increases every five years. NOI $114K/yr. $1.476M. 7.75% Cap.
7. Dialysis Center in Memphis, TN: 5560 SF single-tenant medical building constructed in 2002 on 1.41 acres of land near Methodist Hospital in fast growing area. Absolute NNN corp lease with 18-yrs left remaining. NOI $287K/yr. $3.196M. 9% Cap.
   
   
   Sales Activities:
   1. AppleBee’s in Peoria, AZ: $2.787M. 8.25% cap. In contract.
   2. Hardees in McDonough, GA: $1.68N, 7.5% cap. In contract
   3. Retail center in Windsor Locks, CT: close escrow.
   4. Firestone in Arlington, TX: close escrow
   5. KFC in Arlington, TX: $1.618 M. 8.25% cap. In contract
   6. KFC in Arlington, TX: $1.175 M. 8.25% cap. In contract
   7. Strip mall in Temecula, CA: $3.215M. In contract
   

(c) Transmercial 2009. All rights reserved.

Top 7 Properties 12-04-09

1. Office Building in Colleyville, TX: 4415 SF 1 yr old single-tenant class-A office building in an affluent (AHI $129K/yr within 1 mile radius) Dallas metro. 100% NNN lease by Texas Health Resources is one of the largest faith-based, nonprofit health care delivery systems in the US. Credit tenant with a strong Aa3 credit rating. NOI $68K/yr. Only $855K. 8% cap.
2. Mimi’s Café in Brandon, FL : 7045 SF high quality asset on over 2 acres lot near 974,000 SF Westfield Brandon Mall. 100% long term absolute NNN leased by Mimi’s Café with 144 locations in mostly sunbelt states. NOI $219K/yr with CPI-based rent increase. $2.926M. 7.5% cap.
3. Best Western Hotel in Champaign, IL: 100-unit hotel near I-74 exit. NOI $600K/yr. $3.999M. 15% cap (probably proforma).
4. Apartments in Irving, TX: 75-unit apartments complex on over 4 acres lot in Dallas metro with recent $560K renovation. 85% occupied. Gross income $397K. NOI $219K/yr. $2.225M. 9.87% cap.
5. Apartments in Jacksonville, FL: 232-unit garden-style apartments complex consists of 40 2-story buildings on over 11 acres parcel with swimming pool, car care center. Across from new & modern 352-bed Memorial Hospital Jacksonville. 86% occupied. NOI $828K/yr. $9.7M. 8.54% cap.
6. Shopping Center in Buford, GA: 18,430 SF 4-unit retail center built in 2003 on 1.92 acres hard corner lot at the entrance to Mall of Georgia. Excellent demographics: 55% growth since 2000, AHI over $84K/yr. Easy access to I-85. 85% leased. Profoma NOI $289K/yr. $3.1M. 9.3% proforma cap.
7. Office Building in Sarasota, FL: 8253 SF single-tenant financial center built in 1997 on 1 acre lot in a high income Tampa metro. 100% NNN leased by Wells Fargo. NOI $166k/YR. $2m. 8.3% CAP.
   
   
   Sales Activities:
   1. Orchard Supply Hardware Store, Fairfield CA: $8.5M. In contract.
   2. Wendys, Kenosha WI: close of escrow.
   3. Town Center Plaza, Mesquite TX: $14,975M. In contract.
   4. Advance Auto, Commerce City CO: close of escrow.
   5. KFC, Fort Oglethorpe GA: $1.31M. in contract.
   6. Ross, San Juan Capistrano CA: 4.75M. In contract.
   7. 7-11, Arlington VA: $1.5M. In contract.
   8. 7-11, Alexandria VA: $1.762M. in contract.
   9. Kragen Auto, Riverside CA: $2.069M. in contract.
   10. Animal Hospital, Glendale AZ: $1.65M. in contract.
   11. KFC, Fort Worth TX: $1.618M. in contract.
   12. Shopping Center, Renton WA: $7.4M. in contract
   
   © Transmercial 2009. All rights reserved.

Top 6 Properties 12-03-09

1. Apartments in Sacramento, CA: 17-unit apartments on 1/3 ac lot in one of most desirable part of the city. 95% occupied. Gross income of $148K/yr. $1.148M.
2. Pep Boys Auto Center in Albuquerque, NM: 17,925 SF auto service center on 1.32 acres lot with easy access to I-25. New 15 yrs absolute NNN lease with Pep Boys Corporate Guarantee (NYSE: PBY). NOI $195K/yr with 1.5% annual rent bump. $2.698M. 7.25% cap.
3. Shopping center in Fort Meyers, FL: 16,259 SF 7-unit retail center in a growing and high income area (AHI $94K/yr). 85% leased with 1 vacant unit. NOI not avail. $3.5M.
4. Urgent care center in Fort Worth, TX: 5575 SF single-tenant urgent medical care center on .9 acre lot with easy access to Loop 820. Long term NNN lease from CareNow with 22 urgent care centers in Dallas metro.NOI $221K/yr with 8% rent bump every 5 yrs. $2.775M. 8% cap.
5. Dennys restaurant in Palmdale, CA: 4149 SF casual restaurant on 2/3 acre outparcel to Lowe’s and Wal-mart supercenter. 100% absolute NNN lease till 2027. NOI in July 2010 is $155K/yr. $1.97M. 7.88% cap.
6. Apartments in Los Angeles, CA: 11-unit apartments complex on ¼ acre lot in a quire cul-de-sac in a high-income (AHI over $79K/yr) and densely-populated area with over 1.15M residents within 5 miles ring. 100% occupied. Gross income $109K/yr. $935K.
   
   
   Sales activities:
   1. Shopping center in Oakwood, GA: close escrow.
   2. Burger King in Pearland, TX: close escrow.
   3. Apartments in West Sacramento: close escrow.
   4. Strip center in Salina, KS: $1.1M. in contract.
   5. Apartments in San Leandro, CA: $1.3M. in contract.
   6. Apartments in Charlotte, NC: $1.2M. In contract.
   7. Jack In the Box in Albuquerque, NM: $2.07M. in contract.
   8. Self storage facility in Victorville, CA: in contract.
   9. Walgreens in Macclenny, FL: $3.76M. In contract.
   10. Pep Boys in Dallas, TX: 2.115M. in contract.
   11. Apartments in Valley Village, CA: $1.1M. in contract.

© Transmercial 2009. All rights reserved.

Top 10 Properties of 12-02-09

1. Walgreens in Stockbridge, GA: 15,120 SF drug store built in 2001 on over 2 acres lot in a high income (AHI over $98K/yr) Atlanta metro. 20 yrs NNN lease with over 11 yrs remaining. NOI $357K/yr. $4.407M. 8.1% cap.
   ▪ Top 5 store among 35 in its district in terms of sales revenue.
   ▪ 24-hr drug location with Takecare Clinic
   ▪ Close proximity to Henry Medical Center.
   ▪ Rare desirable location with 3 frontages!
2. Office Building in Santa Clara, CA: 7800 SF foreclosed office building on Stevens Creek Blvd. in a high income city in Silicon Valley with AHI $115K/yr. 2 separate entrances and elevator. $1.7M.
3. Tuffy Auto in Round Rock, TX: new 5225 SF automotive center in high-growth (54% since 2000), high income (AHI over 100K/yr) Austin suburbs. New 20 yrs NNN lease by a corp with 450 locations in 15 states. NOI $135K/yr with 9% rent bump every 5 yrs. $1.638M. 8.25% cap.
4. Jiffy Lube in Pearland, TX: 4155 SF Jiffy Lube built in 2008 in a growing suburban Houston. 20yrs absolute NNN lease by a franchisee with 110 units. NOI $151K/yr. with 10% rent increase every 5 yrs. Price reduced to $1.64M (appraised at $2.1M). 9.25% cap.
5. Applebee’s in Peoria, AZ: 5431 SF franchised restaurant on 1.2 acres lot at the entrance to Arrowhead Town Center Mall. New 15 yrs absolute NNN lease.. NOI $230K/yr. with 1% annual rent bump. $2.787M. 8.25% cap.
   ▪ Profitable location with strong sales of over $3.3M/yr.
   ▪ 8-th largest restaurant franchisee in the US with 90 locations and over 7500 employees.
   ▪ Outparcel to Target anchored center.
6. Apartments in San Jose, CA: 10-unit apartments complex in a high income area near Santa Clara Medical Center & San Jose City College with AHI over $106K/yr. 100% occupied. NOI $75K/yr. $1.299M. 5.84% cap.
7. Strip Center in Yorba Linda, CA: 8000 SF inline strip center shadow anchored by Stater Bros grocery. 100% leased. NOI $201K/yr. $2.872M. 7.25% cap.
   ▪ A+ location in Orange county: AHI $113K/yr.
   ▪ Close to Hwy 90
8. Apartments in Oakland, CA: 26-unit lender-owned apartments well-managed and in good condition. Gross income $272K/yr. $1.825M. Seller will carry with 25% down payment.
9. Advance Auto Parts in Houston, TX: 7000 SF 2-yr old auto parts store on 2/3 acre lot. 15 yrs NNN lease. NOI $127K/yr with rare 10% rent increase in 11-th yr. Price reduced to $1.497M. 8.5% cap. Recession insensitive tenant.
10. Lone Star Steakhouse in Baton Rouge, LA: 5480 SF regional restaurant on 1.3 acres lot just off I-12. At the entrance to 200-bed Oschner medical center and near Wal-mart supercenter in a growing and high income area. 15 yrs NNN lease with financially-strong guarantor. Store with strong revenue of over $2.5M/yr. NOI $170K/yr. $1.825M. 9.35% cap.
    
    © Transmercial 2009. All rights reserved.

Top 10 Properties 12-01-09

1. Big O Tires in Gilbert, AZ: 5075 SF single-tenant retail tenant store built in 2002 on .87 ac lot in a wealthy & fast growing Phoenix metro with AHI over $96K/yr within 1 mile ring. 100% absolute NNN lease with 9 yrs remaining. NOI $128K/yr. with 2% annual rent bump. $1.69M. 7.6% cap.
2. Shopping center in Rowlett, TX: 49,273 SF shopping center just renovated in 2009 on 5.5 acres lot in a high income (AHI over $86K/yr) Dallas metro. Anchored by Big Lots with a new 10 yrs NNN lease. 100% NNN leased by 3 tenants with new leases. NOI $456K/yr. $4.42M. 10.32% cap. This looks like a very good and stable property.
3. Medical office building in Missouri City, TX: 4746 SF 1-yr old high-quality construction medical office building in an affluent & fast growing Houston metro with AHI over $103K/yr. 100% NNN leased by 2 tenants: a dentist and a doctor. Major retailers directly surrounding the property include Kohl’s, LA Fitness, Bed Bath and Beyond, Home Depot, Super Target, Office Depot, & Kroger Supermarket. NOI $90K/yr. $1.225M. 7.4% cap.
4. Bank-owned Multi-Family in Sacramento, CA: 27-unit townhome complex built in 1980 on 2.39 acres lot in a high income part of town (AHI over $81K/yr). Each unit is on a separate APN. $2.3M. Just $85K/unit.
5. Trader Joe’s in Rancho Cucamonga, CA: rare 22,000 SF 2-unit retail building on 2 acres lot anchored by Trader Joe’s, an upscale regional grocery store chain in CA. NOI $564K/yr. $7.95M. 7.1% cap. Excellent location:
   • Just off Hwy 210 with over 190,000 vehicles per day.
   • Well off area with AHI over $108K/yr.
6. Shopping Center in Concord, CA: 14,912 SF retail center on 1.5 aces lot as a part of a shopping center anchored by Fry’s Electronics. Easy access to I-680 and Hwy 242. Adjacent to 99 Ranch Market, a popular Asian grocery chain. 83% leased. Actual NOI $218K/yr. $3M. 7.29% actual cap. Potential upside when 100% leased.
7. Apartments in Sumner, WA: 41-unit apartments complex in a stable Seattle metro. Always 100% occupied. NOI $282K/yr. $2.999M. 10% cap. Seller financing available.
8. Strip Mall in Orange Park, FL: 8000 SF strip center built in 2002 on an outparcel to Publix grocery anchored shopping center in Jacksonville metro. 100% NNN leased. NOI $122K/yr. $1.475M. 7.85% cap.
9. Pep Boys Auto in Austin, TX: 22,279 SF Pep Boys auto service center on 2 acres lot in a stable city. New 15 yrs absolute NNN lease with corp guaranty by Pep Boy (NYSE: PBY). NOI $227K/yr with 1.5% annual rent increase. $3.032M. 7.5% cap. Recession insensitive tenant.
10. Franchised Motel in Austin, TX: 52-unit motel on 1.8 acres lot just off I-35 exit. NOI $300K/yr. $2.5M. 12% cap.
    
    Status changes:
    1. Ryan’s Grill Buffet in Birmingham, AL: sold, COE.
    2. Shopping center in Palmetto, FL: active to off the market **.
    3. Strip center in Hemet, CA: sold, COE
    4. Retail center in Bakersfield, CA: active to off the market**.
    5. Shopping center in Tempe, AZ: sold, COE.
    6. Strip center in Salina, KS: $1.1M. in contract.
    ** not clear if it’s sold.
    
    © Transmercial 2009. All rights reserved.

Top 6 Properties 11-30-09

Advisory: Transmercial has noticed a surge in buying activities in the last 3-4 months. At the same time, there are less good buys on the market. Transmercial believes investors, i.e. buyers feel more confident and are ready to acquire commercial properties while sellers put their properties on hold waiting for a better market. Starting from today, Transmercial will also provide an update on status changes on only properties that have been emailed to you. Each status change will consist of property name/type, city, state and property status, e.g. PS for Pending Sale, COE for Close of escrow, OTM (Off the market). Transmercial hopes this status update will give you a better picture of the current market which may benefit you.

1. Medical Building in Atlantis, FL: 5400 SF Class-B single-tenant medical building conveniently located across from JFK Medical Center south of West Palm Beach. 100% NNN leased by strong medical tenant till 2012. NOI $120K/yr. $1.3M. 9.23% Cap.
2. Multifamily Building in Oakland, CA: 5-units partially remodeled apartment building near Fwy-880. 100% leased. NOI $59K/yr. $700K. 8.5% Cap. Excellent for 1st time investor.
3. Jiffy Lube in Gilbert, AZ: 1504 free-standing retail building situated along major thoroughfare in booming (761.91%) wealthy (AHI $94K/yr) neighborhood. Long NNN leased by a franchisee with 30 locations. NOI $107K/yr. with strong 3% annual rent bump. $1.130M. 9.5% Cap.
4. Majestic Liquors in Pantego, TX: brand new 8000 SF retail building on .79 acre lot adjacent to Wal-Mart in fast growing Dallas Fort-Worth metro. 20-years absolute NNN corp lease with 10% rent increases every 5-years by the #2 beverage tenant in TX with over 48 locations and $148M in sales. NOI $162K/yr. $1.8M. 9% Cap.
5. Retail Building in Acworth, GA: brand new 20,000 SF retail building on 2.19 acres of parcel at great location in fast growing Atlanta suburbs. 20-years NNN leased. NOI $349K/yr. $3.190M. 10% Cap.
6. Shopping Center in Plainfield, IN: 50,400 SF shopping center constructed in 2003 on 5.78 acres of land anchored by Dollar Tree near I-465. NOI $559K/yr. $5.750M. 9.74% Cap.
   
   
   Status Changes:
   1. Walgreens in Saint Charles, IL: active to in contract.
   2. Big O Tires in Mesa, AZ: under LOI per broker.
   3. CVS pharmacy in Bakersfield, CA: from in contract to Off the market (OTM)
   4. Office building in Keller, TX: $761K. from active to In contract
   5. Multifamily in Orlando, FL: $1.149M, from active to in contract.
   6. Kindercare in Ft Washington, MD: $1.082M. From active to in contract.
   7. Shopping center in Calabasas, CA: from active to Off the market (OTM)
   8. Hotel in Clearwater, FL: from in contract to OTM.
   9. Walgreens in Mesa, AZ: from In Contract to OTM
   10. Shopping center in Pomona: from In contract to OTM.
   
   © Transmercial 2009. All rights reserved.

How Properties Are Selected

Every day there are about 300-350 new retail and office properties between $700K to $15M on the market in all 50 states listed by various companies. Out of these hundreds of listings, only the top 5-10 properties make it to the list that you see on this blog. By focusing on the short list of best properties, you will save time and are more likely to be successful with your investments.
Below are some of the selection criteria:

1. Price range: most investors look for properties between $700K and $15M.
2. Property types: most if not all investors of eFunding want to invest in retail properties and office buildings where tenants sign long term low-risk NNN leases, i.e. tenants pay for property taxes, insurance and maintenance expenses, in favor of landlords. They prefer not to invest in apartments where leases are mostly riskier gross, i.e. landlords pay for taxes, insurance and unpredictable maintenance expenses. Besides, apartment tenants normally don’t have much money which may affect their ability to pay the rent on time.
3. Cap rate: the return of investment must be “reasonable”, e.g. generally higher than the interest rate. The cap rate is typically lower in CA and higher in other states. However cap rate is not everything.
4. Property condition: investors prefer properties with little deferred maintenance.
5. Demographics: the selected properties tend to be in growing, high income and bigger cities/metros as they have better chance to appreciate and easier to find tenants. Besides they are easier to sell if needed.
   • You won’t see properties in an area where people are moving out, e.g. Detroit downtown. These properties are easy to buy but hard to sell. In addition, it’s hard to get attractive financing, if at all, for these properties.
   • Properties in a middle of nowhere won’t make it to the lists. These are also easy to buy but hard to sell.
   • Properties in cities where the average household income is way below the national average, e.g. $28,000/year, also won’t make it to the list as these are most likely high-crime areas.
6. Occupancy: close to 100%.
7. Good Visibility: properties tend to have most if not all units facing the road to show case the tenant businesses. Tenants love visibility. What’s good for tenants is also good for investors.
8. Great locations: properties on a major artery with heavy traffic, near the freeway exit, on corner lot, near a mall, on an outparcel to a shopping center.
9. Land: if land is not included then it does matter how beautiful the property is, it will not be selected. This is the type of property that is easy to buy but hard to sell.
10. Lease Type: most likely NNN leases.
11. Parking spaces: at least 4 spaces per 1000 SF of leasable space.. It’s hard to lease a retail property unless it has sufficient parking spaces.
12. Age: not over 20 yrs old unless the property is well-maintained or recently renovated.
13. Price per square foot: sometimes a property is selected because the price per SF is low, e.g. less than $200/SF for a retail property in California. The main reason for the selection is appreciation potential.
14. Low rent: there is upside potential if the rent is below market. When the leases expire, the rent is adjusted to market rent which increases the value of the property.
15. Financing: sometimes a property may be selected because it offers attractive financing. For example, the seller is willing to carry 80% LTV at low interest rate or buyer can assume a loan at 5.5% interest, fixed for 10 years. This in turn may increase the overall return or cash on cash. On the other hand, a property may be screened out because it is difficult to get reasonable financing. For example, in this tight credit market it is extremely difficult to get financing for a single-tenant mom-and-pop restaurant.
16. Misc: A property could be selected or screened out for other reasons
    • If a property has a dry cleaner with onsite cleaning, it will not be selected due to potential soil contamination by a chemical called Perc used in the cleaning process.
    • A property in an affluent Santa Monica, CA could be selected simply because it’s rarely available.
    • A vacant restaurant in front of a mall in San Francisco Bay Area could make the list because it may have lots of interests from investors in CA.

If you are interested on a particular property and would like additional information, i.e. a brochure, please email to maria@transmercial.com. It’s good idea to provide Maria with:

• The date the property was selected (not posted date.) This is on the subject of the post.
• Name of the property, e.g. Walgreens in Dallas, TX.

You will notice that the properties are posted 1 week after the date they are selected. The reason for this 1 week delay is we don’t want other companies to take advantage of our research work. If you are an investor and would like to receive the list daily without one week delay, we invite you to join Transmercial investors club. The daily list of best properties is emailed to members by 6PM PST, Monday-Friday. The email also contains a 1-page flyer for each selected properties with picture, address, and a brief description about the properties.

Membership to Transmercial investors club is FREE. Click here for details. Don’t worry; there are absolutely no obligations of anything from you to us for being a member. Of course, we hope that you like our work and will eventually ask us to represent you. However, it’s all up to you as you have no contractual obligations to us for anything.

Top 7 Properties 11-25-09

1. Strip Center in Jonesboro, GA: 16,554 SF strip center consisting on three buildings on 2.89 acres of land adjacent to Kroger at major thoroughfare in fast growing Atlanta suburbs. 100% leased by great tenant mix: Church Chicken, Tax Services, Metro PCS, Coin Laundry, The Herb Shop, Quality Cuts and Pizza Store. NOI $198K/yr. $2.344M. 8.49% Cap.
2. Shopping Center in Fort Lauderdale, FL: 25,678 SF well maintained shopping center on 1.53 acres of parcel along heavily traveled Hwy/US1. 92% NNN leased by stable local tenants. NOI $328K/yr. $4M. 8.21% Cap.
3. CVS Pharmacy in Homestead, FL: 14,579 SF architecturally distinguished retail building constructed in 2006 on 1.59 acres of land in growing Miami suburbs. Absolute NNN corp lease till 2026. NOI $360K/yr. $4.675M. 7.72% Cap.
4. Pier I Imports in Tucson, AZ: 11,287 SF retail building on 1.51 acres of land conveniently located across from Park Place Mall. 100% NNN corp lease. NOI $297K/yr. $3.569M. 8.35% Cap.
5. Jack in the Box in Dallas, TX: 2481 SF free-standing retail building located at hard corner with excellent visibility from I-35E. 100% NNN leased by national tenant. NOI $87K/yr. $1.095M. 8% cap.
6. Retail Center in Kissimmee, FL: 2-yrs old 7,200 SF attractive strip center at busy intersection next to Walgreens. 100% NNN leased. NOI $90K/yr. $1.3M. 7% Cap.
7. Family Dollar in Arlington, TX: 9,180 SF Family Dollar retail building constructed in 2005 on .96 acre lot in growing (31.46%) DFW metro. 100% NNN leased by recession resistant tenant. NOI $75K/yr. $860K. 8.83% Cap. Excellent for 1st time investor.
   
   © Transmercial 2009. All rights reserved.

Top 7 Properties 11-24-09

1. Shopping/Medical Center in Arlington, TX: 14,050 SF shopping center built in 1998 on 1.24 acres lot with frontage on the busy Angus Wynne Fwy in Dallas metro. Excellent visibility. 100% NNN leased by 4 good tenants: Blue Haven Pools (national tenant), 2 reputable medical tenants (66% spaces) and a pharmacy. NOI $187K/yr. $2.04M. 9.35% cap.
2. Texas Land & Cattle Steakhouse in Plano, TX: 7479 SF regional steakhouse on 1.59 ac lot with frontage on the heavily-travelled North Central Expressway in an affluent Dallas metro. 15 yrs NNN lease with 13 yrs remaining. NOI $269K/yr with 2% annual rent bump. $2.44M. 11% cap.
3. Strip Mall in Roseville, CA: 4855 SF 3-tenant strip mall built in 2005 in high-growth (143% since 2000), high income Sacramento suburbs. Excellent location next to Sam’s Club/Wal-mart Power center. 100% NNN leased by Starbucks, JT Deli’s and India Oven. NOI $169K/yr. $1.994M. 8.47% cap.
4. Tuffy Auto in Orland Park, IL: 3720 SF Tuffy auto service center built in 2000 on .95 acre lot in a high income Chicago metro. 100% NNN lease with 8 yrs remaining. NOI $79K/yr. Price reduced from $1.0995M to $995K. 8% cap.
5. Del Taco in Parker, CO: 2166 SF brand new franchised restaurant on 2/3 acre parcel on commercial corridor in high income Denver suburbs. 20 yrs absolute NNN lease guaranteed by the most active franchisee in CO. NOI $176K/yr. with rent increase. $2.2M. 8% cap.
6. Retail Center in Aurora, CO: 8000 SF strip center just off I-70 in a fast growing Denver metro. 100% NNN leased by 2 tenants. NOI $174K/yr. $2.075M. 8.4% cap.
7. Shopping Center in Orland Park, IL: 12,000 SF retail center near Orland Square Mall in Chicago metro. 100% NNN leased by 5 tenants. NOI $139K/yr. $1.58M. 9% cap.
   
   © Transmercial 2009. All rights reserved.

Top 9 Properties 11-23-09

1. Tuffy Auto in Omaha, NE: 3900 SF auto service center built in 2007 on pad to Super Target, OfficeMax, Hobby Lobby & Sports Authority and across the Street from Wal-mart Supercenter. Excellent demographics: fast growth (129% since 2000) and affluent (AHI $109K/yr). 20 yrs lease by a corp with 400 locations in 20 states. NOI $111K/yr. with 7.3% rent bump in 2013. $1.369M. 8.15% cap.
2. Arby’s restaurant in Peoria, AZ: 3100 SF fast food restaurant built in 2001 on ¾ acre pad site to a Home Depot and Sears with high drive-by visibility and traffic counts in Phoenix metro. 100% NNN corp lease with 12 yrs remaining. NOI $131K/yr. $1.749M. 7.5% cap.
3. Staples in Phoenix, AZ: 20,390 SF 2-yr old single tenant retail building on 2.3 acres lot as part of 324,299-square foot South Mountain Pavilion Shopping Center on 36.4 acre center anchored by a 139,410-square foot Lowe's Home Improvement. 10 yrs NNN lease with 9 yrs remaining. NOI $305K/yr. $3.825M. 8% cap.
4. Checkers Drive-in restaurant in Portage, IN: 878 SF brand new Checkers Drive-in on 2/3 ac lot next to Wal-Mart, Lowe's, Sears, IMAX, K-Mart in Chicago metro. New 20 yrs absolute NNN lease by a seasoned franchisee with over 100 locations. NOI $121K/yr with 16% rent bump in 6-th year.
5. Microtel Inn & Suites in Morgan Hill, CA: 60-unit Inn built in 1999 on 1 ac lot just off Hwy 101 in a wealthy town with AHI over $129K/yr. asking $3.295M (below replacement cost of $5.3M). Seller will carry 1st loan at 7% interest.
6. Shopping center in Duluth, GA: 45,885 SF shopping center on 4.59 acres lot just off I-85 in Atlanta metro. Anchored by Petsmart. 100% leased. NOI $444K/yr. $5.55M. 8% cap.
7. Chinese Buffet restaurant in Scottsdale, AZ: 5732 SF restaurant on a major artery near 1,222,000 SF Paradise Valley Mall. 100% leased. NOI $111K/yr. $1.017M. 11% cap.
8. Shopping center in Hickory, NC: 70,756 SF shopping center built in 1995 on 10 acres of land in a stable city. Anchored by Fresh Air Galaxy Foods. 100% leased. NOI $478K/yr. $4.89M. 9.78% cap.
9. Taco Bell restaurant in Glendale, AZ: 2600 SF 10-yr old restaurant on a major artery in Phoenix metro. 100% NNN lease with 10 yrs remaining by a franchisee with 40 stores. NOI $92K/yr. $1.195M. 7.7% cap.
   
   © Transmercial 2009. All rights reserved.

Top 10 Properties 11-20-09

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NOI: Net Oper Income
AHI: Avg Household Income

1. Mini-Storage in Napa, CA: 52,875 SF mini-storage facility on 12.62 acres of land conveniently located off of Hwy-12/29 in wealthy (AHI $101K/yr) wine-country valley. NOI $555/yr. $7.5M. 7.4% Cap.
2. Retail Center in Las Vegas, NV: brand new 8600 SF retail center on 1 acre lot surrounded by new residential/commercial development in fast (687.69%) growing area. 100% NNN leased. NOI $320K/yr. $3.2M. 10% Cap.
3. Shopping Center in Redlands, CA: 13,490 SF multi-tenant shopping center built in 2004 on 1.23 acres of parcel near Fwy-10. 100% NNN leased. NOI $244K/yr. $3.060M. 8% Cap.
4. Apartments in Birmingham, AL: two-stories beautiful 24-units recently renovated apartment complex on .66 acre lot close to Expy-280. 95% leased. NOI $110K/yr. $1.350M. 8.20% Cap.
5. Shopping Center in Rockford, IL: 20,620 SF well maintained retail center on 2.5 acres of land adjacent to Target, Petsmart, Marshalls and more. 100% NNN leased. NOI $402K/yr. $4.467M. 9% Cap. Price recently reduced.
6. Strip Center in Aurora, IL: 7419 SF strip center on .97 acre lot at highly visible location with stable tenant mix. 100% leased. NOI $159K/yr. $1.874M. 8.5% Cap.
7. Apartments in Houston, TX: 70-units 2-story multifamily building on over one acre lot in a quiet & well-off (AHI $95K/yr within 5-mile radius) neighborhood. 90% leased. NOI $188K/yr. $2.250M. 8.36% Cap.
8. Family Dollar Retail Building in Oklahoma City, OK: 8970 SF 3-years old free-standing retail building on 2.73 acres of land along active road near Hwy-77. 100% NNN leased by recession-resistant tenant. NOI $69K/yr. $700K. 10% Cap. Excellent for 1st time investor.
9. Office Building in Portland, OR: 9800 SF newly renovated office building in fast growing area. New 7-years lease to be executed upon closing escrow. NOI $262K/yr. $1.875M. 14% Cap.
10. Tires Plus in Miami, FL: 6720 SF free-standing automotive center constructed in 1999 on over one acre lot at major artery next to Palmetto Expressway. 100% absolute NNN lease with 9 yrs remaining. NOI $170K/yr. $2.125M. 8% cap.
    
    © Transmercial 2009. All rights reserved.

Top 10 Properties 11-19-09

1. Captain D’s in Montgomery, AL: 2623 SF Captain D’s seafood restaurant on .61 acre lot ideally located on heavily traveled thoroughfare close to Hwy-85. Long NNN corp lease till 2022. 10% rent increases every 5-years. NOI $93K/yr. $1.095M. 8.5% Cap.
2. Shopping Center in Lakewood, CO: 22,833 SF 3-yrs old shopping center on 2.26 acres of land across from Wal-Mart and Home Depot at highly visible location in Denver metro. NNN leased by strong national/credit tenants. NOI $228K/yr. $8.530M. 8% Cap.
3. Shopping Center in Riverside, CA: 38,060 SF recently renovated shopping center consisting of four retail buildings on 3.46 acres of parcel anchored by Kaiser Foundation across from Kaiser Permanente Hospital conveniently located near Fwy-91. 89% leased with excellent tenant mix. NOI $533K/yr. $7.110M. 7.5% Actual Cap. Upside potential when fully leased. Only $186.81 per SF!
4. Retail Center in Tallahassee, FL: 18,200 SF well-maintained retail center constructed in 1999 on 2.23 acres of land at main retail corridor. 100% NNN leased. NOI $183K/yr. $2.299M. 8% Cap.
5. Medical Building in Naperville, IL: 10,000 SF attractive medical building constructed in 2003 in affluent (AHI $122K/yr. within one mile radius) Chicago suburbs. 100% NNN leased. NOI $241K/yr. $2.8M. 8.6% Cap.
6. Romano’s Macaroni Grill in Colorado Springs, CO: 7814 SF restaurant built in 1999 on 1.99 acres of land near Colorado Springs World Arena at highly visible location. 100% NNN corp lease. NOI $218K/yr. $2.575M. 8.5% Cap.
7. Strip Center in Memphis, TN: 7000 SF 2-years old strip center on over 1 acre lot anchored by CARQUEST Auto Parts at signalized intersection. 100% NNN leased. NOI $97K/yr. $1.1M. 8.9% Cap.
8. Jiffy Lube in Fleming Island, FL: 1605 SF well located Jiffy Lube across from Home Depot along main retail corridor. 100% absolute NNN leased. NOI $80K/yr. $915K. 8.75% Cap.
9. Retail Center in Aurora, CO: 8419 SF 3-yrs old attractive retail center adjacent to Walgreen’s Pharmacy. 100% NNN leased to 4 tenants: Comfort Dental, Kangseo Enterprises, GMAN Corp. and Magic Nails. NOI $205K/yr. $2.250M. 9.10% Cap.
10. Apartments in Long Beach, CA: 8-units 3-stories recently renovated apartment complex located in nice area. 100% leased. NOI $77K/yr. $955K. 8.10% Cap.
    
    © Transmercial 2009. All rights reserved.

Top 8 Properties of 11/18/09

1. Shopping Center in Elgin, IL: stable 41,875 SF shopping center consisting of two building on 3 acres of land anchored by Village Discount Outlet in a stable and strong income town in Chicago metro. 100% NNN leased by stable tenants. NOI $379K/yr. $3.950M. 9.5% Cap.
2. Amscot Retail Building in Orlando, FL: 3,200 SF retail building constructed in 2006 on .57 acres lot located at busy signalized intersection. 100% NNN leased with 6% rent increases every 5-years. Regional tenants with more than 70 locations in FL. NOI $159K/yr. Price reduced to $1.590M. 10% Cap.
3. Medical Office in Lancaster, CA: 19,793 SF 2-story medical building across from Antelope Valley Hospital and just off Fwy-14. 90% leased. NOI $256K/yr. 3.2M. 8% Cap.
   · Seller financing available
4. CVS Pharmacy in Bonita Springs, FL: 10,514 SF CVS retail building constructed in 1995 on .98 acre lot on a major artery in a wealthy Fort Myers metro with AHI over $122K/yr. Across street from K-mart and Publix Supermarkets. 100% absolute NNN lease corp lease. Strong Store Sales. NOI $205K/yr. $2.45M. 8.38% cap. Store with strong sales of over $380/SF.
5. Advance Auto Parts in Thornton, CO: one-year old 7,000 SF retail building on over one acre lot situated at hard corner location in densely populated Denver metro. Long NNN corp lease. NOI $140K/yr. $1.809M. 7.75% Cap. Recession insensitive tenant.
6. Pacific Inn in Sunnyvale, CA: 104-room well-kept motel conveniently located between two (El Camino Real and Central Expressway) main thoroughfares and Caltrain Station. $5.995M. Only $57,644 per room.
7. Michaels Store in Mountain View, CA: 21,579 SF retail building completely renovated in 2007. On 1.41 acres of land across from Best Buy/Bath Bath and Beyond anchored shopping center just1 block from Fwy-101 and in the heart of high-income Silicon Valley city with AHI $138K/yr. 100% NNN leased till 2018. NOI $513K/yr. $6.950M. 7.38% Cap. Buyer to assume $5.310M. at 6.5% interest rate.
8. CVS Pharmacy in Kennesaw, GA: 12,608 SF CVS Pharmacy built in 1994 on 1.37 acres lot in a fast growing (28%) and high income (AHI $89K/yr) Atlanta suburb. NOI $174K/yr. Store with very low rent/revenue ratio of 3.8%. 100% NNN lease with 6 yrs left. Lease options with rent increases. $2.05M. 8.52% cap.
   
   © Transmercial 2009. All rights reserved.

Top 8 Properties of 11-17-09

1. Strip Center in Memphis, TN: 7000 SF 2-years old strip center on over 1 acre lot anchored by CARQUEST Auto Parts at signalized intersection. 100% NNN leased. NOI $97K/yr. $1.1M. 8.9% Cap.
2. Retail Building in Temecula, CA: brand new 5105 SF retail building on over one acre pad shadow anchored by Rite Aid, Beverages and More, Henry’s Marketplace and LA Fitness. 100% NNN leased by two national tenants: Pizza Hut and national restaurant. NOI $222K/yr. $1.490M. 12% Cap.
3. Jiffy Lube in Fleming Island, FL: 1605 SF free-standing retail building across from Home Depot along main retail corridor. 100% absolute NNN leased. NOI $80K/yr. $915K. 8.75% Cap. Excellent for 1st time investor.
4. Goodyear in Fleming Island, FL: 6000 SF auto service center at an active intersection bordered by many national tenants: Walgreens, CVS, Home Depot, Kohl’s, Michael’s, Petco, Wal-Mart, Target and more. In growing (59.30%) & well off (AHI $94K/yr.) Jacksonville metro. 100% absolute NNN corp lease. NOI $92K/yr. $1.087M. 8.5% Cap.
5. Strip Center in Norwalk, CA: 9544 SF well maintained strip center on .83 acre lot at signalized corner near I-5. 100% leased. NOI $166K/yr. $2.590M. 6.4% Cap. Upside potential as tenants currently pay low rent.
6. Shopping Center in Chicago, IL: 36,172 SF well-kept shopping center on 3.1 acres of land across from Walgreens. 89% leased by national/local tenants: Chase Bank, Subway, Sprint, Rent-A-Center. NOI $440K/yr. $4.4M. 10% Cap.
7. Medical Office in Fort Myers, FL: Class-B 42,409 SF 3-storey medical office building on 2.97 acres of land near Southwest Florida Regional Medical Center close to I-75. 100% leased by national tenant. NOI $417K/yr. $4.275M. 9.8% Cap. Recent Major Price Reduction.
8. Townhomes in Sacramento, CA: 13-townhomes 16,412 SF well-maintained complex constructed in 1980 in quiet & wealthy (AHI $80K/yr.) neighborhood. Each unit is in a separate parcel with approved condo map. NOI $124K/yr. $1.670M. 7.46% Cap.
   
   © Transmercial 2009. All rights reserved.