02-03: Carl's Jr, Big Lots, Primary Health Pediatrics, Valero Gas Station

Advisory: A California lender just gave me for a couple of quotes for a multi-tenant shopping center in CA.  This lender can go a 65% LTV, 5 yrs fixed rate at 4.04% and 10 yrs fixed at 4.93%.  If you have an account with this lender, the rate may be even lower.  These are record low rates that I have not seen before.  It makes investment in NNN commercial properties now more attractive. And so, it’s a good time to buy.

1. Carl’s Jr. Restaurant  in Laredo, TX: 3913 SF restaurant built in 2005 on .87 ac lot across from Doctor’s Hospital of Laredo . In very fast growing (233.18%) and well-off (AHI $90K/yr) area. 100% NNN lease till 2020 to an experienced franchisee with 100+ units. NOI $85K/yr. $1.259M. 6.75% cap. 
2. Strip Center in Van Nuys, CA: 4260 SF well-maintained strip center along main corridor with high barrier to entry. In densely populated area and near I-405. 100% NN lease to 3 tenants in which 2 of them have been at this location for 10+-yrs. NOI $112K/yr. $1.495M. 7.5% cap. 
3. Retail Center in Los Angeles, CA: 11,346 SF 3-yrs old retail center with gas station on .81 ac lot anchored by Valero at a signalized location and near I-105/110. 100% NNN leased to 8 tenants. NOI $361K/yr. $4.34M. 8.33% cap. 
4. Medical Office Building in Prescott, AZ: 19,529 SF 2-story medical building constructed in 2002 on 1.37 acres across from Yavapai Regional Medical Center. 78% leased to 4 medical tenants: DaVita, Quest Labs, Dentist and a doctor. Current NOI $235K/yr. $3M. 7.84% cap. Upside potential when fully leased.
5. Big Lots in Whittier, CA: 35,000 SF retail building on 3.59 acres of land next to Fresh & Easy and across Power Center anchored by Ralph’s and JT Maxx. 100% NN lease to national tenant (S&P BBB). NOI $467K/yr. $7.3M. 6.65% cap.  
6. Strip Center in Houston, TX: 8654 SF strip center on 1.5 ac lot along Pkwy-249 (40K+ CPD).  NOI $212K/yr. $1.45M. 8.35% cap.  
7. Medical Office Building in Boise, ID: 7664 SF medical building on 1.15 ac lot across from Saint Alphonsus Regional Medical Center and close to I-184.  100% NNN lease with 6 yrs left to Primary Health Pediatrics. NOI $110K/yr with 2% annual rent increases. $1.524M. 7.25% cap. 

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