08-11: Davita, Carls Jr, Walgreens, Shopping Centers, Wendys, KFC, Medical Office building - resent

AHI: Avg. Household Income.  National average is about $50+K/yr.

NOI: Net Operating Income.  It’s the income after all expenses (prop taxes, ins., maintenance) paid.

NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.

NNN-: Triple net lease with landlord responsible for roof and structure.  Used by Transmercial only.

1.  Davita Dialysis Center in San Antonio, TX: 11,022 SF dialysis center on 1.76 acres lot completely remodeled in 2007.  Across from 327-bed Southwest General Hospital.  New 15 yrs NNN lease, guaranteed by Davita, Inc. (S&P BB-).  NOI 205K/yr with 2% annual rent bump.  $3.047M. 6.73% cap. 
2. Carls Jr in Beaumont, TX: 2390 SF new Carls Jr on an outparcel to Home Depot on busy hwy 69.  20 yrs absolute NNN lease.  NOI $120K/yr with 10% rent bump every 5 yrs.  $1.555M. 7.75% cap. 
3. Walgreens in Aurora, IL: 13,905 SF Walgreens built in 1997 on 1.6 acres lot at a busy signalized intersection in Chicago suburbs.  20 yrs NNN- lease with 5 yrs remaining.  NOI $235K/yr. $2.937M. 8% cap.  Store with strong sales of $8+M, i.e. profitable.  Recession resistant tenant. 
4. Neighborhood Center in Mesa, AZ: 70,699 SF neighborhood center built in 2005 on 12.24 acres lot next to Superstition Hwy. in fast growing and high income Phoenix metro.  Shadowed anchored by Walmart supercenter.  84% NNN leased, with many national tenants.  Current NOI $672K/yr. $8M. 8.4% cap.  Priced well below replacement cost. 
5. Wendys in Marietta, GA: 2355 SF restaurant on .78 ac corner lot in high income (AHI $86K/yr) Atlanta suburbs.  16 yrs absolute NNN lease to a franchisee with 86 unit and public company (OTC under MHGU).  NOI $63K/yr. with rent 1.5% annual rent bump from 6-th yr.  Just $903K. 7% cap. 
6. Shopping Center in Union city, GA: 101,021 SF shopping center on 10.45 acres lot next to I-85 exit in Atlanta suburbs.  Anchored by 57,036 SF  Kroger supermarket, with 2010 store’s sales of $22+M, Advance Auto, and Chase.  100% NNN leased to 22 tenants.  NOI $1.227M.  Unpriced but expected to trade at 8.5% cap or $14.4M. 
7. Shopping Center in Douglasville, GA: 67,470 SF shopping center built in 2000 on 15.25 acres parcel in middle class Atlanta suburbs.  Anchored by 44,270 SF Publix supermarket with consistent sales revenue of $16+M/yr. in the last 5 yrs.  92% NNN leased to 12 tenants with 4 small avail units.  Current NOI $663K/yr.  Unpriced but expect to trade at 7.5% cap or $8.84M. 
8. Shopping Center in Sacramento, CA: 64,171 SF shopping center on 4.64 acres lot as part of 250,000 SF plaza.  Anchored by 54,128 SF Food Source grocery (owned by Raley’s). 100% NNN leased to 9 tenants.  NOI $540K/yr. $6.59M. 8.2% cap.  Buyer to assume $5.16M non-recourse loan. Strong cash on cash of 10.6%. 
9. Medical Office Building in Holladay, UT: 33,253 SF medical office building on 2.3 acres lot in high income (AHI $88K/yr in 1 mile radius) Salt Lake City metro.  100% leased.  NOI $412K/yr. $4.3M. 9.6% cap.  Just $129/SF. 
10. KFC in Paradise, CA: 2109 SF KFC on 1.24 acres corner lot in Northern CA.  10 yrs NNN lease with 8.5 yrs remaining.  NOI $99K/yr. $1.237M. 8% cap.

© Transmercial 2011.

08-10: LA Fitness, Starbucks Coffee, Wendy's, Shopping Centers, Office Building

1. Retail Center in Tucson, AZ: 7343 SF retail center built in 2006 shadow-anchored by Albertson’s grocery near I-10. 65% leased. Current NOI $97K/yr. $1.142M. 8.50% Actual Cap. Upside potential when fully leased.  
2. LA Fitness in Hemet, CA: 50,000 SF fitness center built in 2008 on 5.61 ac lot across from Home Depot at densely populated Los Angeles MSA. NNN corporate lease till 2013. NOI $740K/yr with a rent bump in 4/2013. $10.230M. 7.24% Cap.  Buyer to assume $6.75M non-recourse loan at low 5.84% interest. 
3. Strip Center in Aurora, CO:  31,063 SF recently remodeled  strip center shadow-anchored by Big Lots at high traffic retail intersection in Denver metro. 100% leased by national tenants including Dollar Tree, and Aaron’s Appliances. NOI $243K/yr. $2.860M. 8.5% Cap.  
4. Shopping Center in Johnson City, TN: 40,760 SF  4-yr old 15-unit shopping center on 5.28 ac out-parcel to Wal-Mart.97% NNN leased to mostly national tenants: Family Dollar, Verizon Wireless, Gamestop, Radio Shack, Check N go, Sally Beauty, Shoes Show, Cato Fashion, and Great Clips. NOI $525K/yr. $6.1M. 8.62% Cap.  
5. Office Building in Lancaster, CA: 12,200 SF Class-B multi-tenant office building on 1.40 ac lot across from Lancaster Community Hospital. 70% leased to 4 tenants. Actual NOI $101K/yr. $1.199M. 8.10% cap.  Upside potential when fully leased.  
6. Shopping Center in Rancho Cordova, CA: 40,704 SF shopping center shadow-anchored by Fresh & Easy and O’Reilly Auto parts.  Located at a signalized corner location with entrances from 3 different roads in Sacramento metro. Excellent national/regional tenant mix. 64% NNN leased. NOI $405K/yr. Price reduced $1M to $5.4M. 7.50% actual Cap. Upside potential when 100% leased. 
7. Wendy’s in Morrow, GA: 3000 SF restaurant with drive-thru on .88 ac outparcel to Sam’s Club in growing Atlanta metro. New 20 yrs absolute NNN lease to an operator with 21 units in Atlanta.  Store with strong 2010 sales of $1.2M.  NOI $103K/yr with percentage rent clause.  $1.327M. 7.75% cap. 
8. Starbucks Coffee in Houston, TX: 1750 SF retail building constructed in 2008 at highly visible location next to I-45. 100% NNN- lease till 2018. NOI $86K/yr with 10% rent bump in 2013. $1.147M. 7.5% Cap.
9. Shopping Center in Arvada, CO: 17,142 SF well-maintained 9-unit shopping center on 1.84 ac  signalized corner lot in middle-class Denver suburbs. Anchored by 7-11.  NOI $220K/yr. $2.450M. 7% Cap.

© Transmercial 2011

08-09: CVS, Rite Aid, RSC Equipment, Napa Auto, Office Buildings, Goodyear Auto, Tuffy Auto

1. CVS in Orlando, FL: 13,013 SF drug store with double drive-thru built in 2005 on 1.56 acres lot at the intersection of 2 major arteries.  25 yrs NNN corp lease with 19 yrs remaining.  NOI $376K/yr with rent bumps in options.  $5.185M. 7.25% cap. 
2. Rite Aid in Fort Mill, SC: 14,487 SF drug store on 1.84 acres corner lot in fast growing middle class Charlotte metro.  New 15 yrs NNN lease.  NOI $284K/yr.  $3.35M. 8.5% cap. 
3. Retail/Office Center in Reno, NV: 51,515 SF retail office complex built in 1988 on 4.69 acres corner lot.  77% leased with current NOI of $368K/yr.  $4.6M. 8% cap.  Upside potential when 100% leased. 
4. RSC Equipment Rental in Columbia, SC: 17,270 SF single-tenant retail center on 3.57 acres lot.  10 yrs NNN corp lease to RSC Equipment Rental, one of the largest equipment rental providers.  NOI $120K/yr. $1.2M. 10% cap. 
5. Tuffy Auto in Omaha, NE: 3900 SF auto repair center built in 2007 on .63 ac lot in fast growing (195% since 2000) and affluent (AHI $102K/yr in 1 mile radius) city.  20 yrs NNN corp lease to Tuffy with 220 centers.  NOI $111K/yr with 7.3% rent bump in 2013.  $1.369M. 8.15% cap. 
6. Office Building in Wichita, KS: 9750 SF office building completed in 2007 on .85 acre lot in prime commercial corridor.  High income and fast growing area.  100% NNN leased to 6 good tenants: dentist, lawyer, insurance company, psychologist, chiropractor and a pre-K academy.  NOI $125K/yr. $1.5M. 8.38% cap. 
7. Bank-owned Office Building in Hillsboro, OR: 31,119 SF 2-story class-A office building constructed in 1999 on 1.15 acres with basement parking in middle class Portland metro.  NOI $354K/yr. $3.85M. 9.2% cap. 
8. Strip Center in La Habra, CA: 3500 SF strip center built in 2006 on .4 ac corner at an intersection of 2 major arteries.  High income and densely populated city in Southern CA.  100% NNN leased to 3 tenants.  NOI $95K/yr. $1.428M. 6.63% cap. 
9. Retail Center in Kennesaw, GA: 11,400 SF upscale retail center in fast growing  and high income Atlanta suburbs.  Across from Publix Supermarket, and in front of ITT Technical Institute.  100% NNN leased to 6 good tenants: Dunkin Donuts, AT&T, H&R Block, Jet’s Pizza, La Bamba Mexican Restaurant, Elite Beer & Wine.  NOI $255K/yr. $3.295M. 7.75% cap. 
10. Goodyear Auto Service in Kissimmee, FL: 6840 SF auto service center on 1+ acre in growing middle class Orlando. 15 yrs NNN corp lease.  NOI $151K/yr.  Price reduced to $1.795M. 8.5% cap.

© Transmercial 2011.

08-08: CVS, Family Dollar, Retail Centers, KFC, Office Building, Centennial Wine & Spirits

Welcome new investors.  Each property has a brief description and a flyer (attached).  For a full marketing brochure, please email to maria@transmercial.com.  Previous lists are posted on Transmercial’s blog after 2 weeks delay. Please click here to see how Transmercial selects the following properties among 300-400 properties between $700K-$20M on the market today (please advise if you are interested in properties above $20M).  Underlined names if any indicate safe hyperlinks that you can click for more info.

AHI: Avg. Household Income.  National average is about $50+K/yr.

NOI: Net Operating Income.  It’s the income after all expenses (prop taxes, ins., maintenance) paid.

NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.

NNN-: Triple net lease with landlord responsible for roof and structure.  Used by Transmercial only.

1.  CVS in Largo, FL: 11,200 SF CVs drugstore built in 1998 on 1.76 ac lot at a hard corner in high income Tampa metro.  25 yrs absolute NNN lease with 12 yrs remaining.  NOI $314K/yr. $4.19M. 7.5% cap. 
2. Family Dollar store in Saint Louis, MO: 8000 SF new Dollar store.  New 10 yrs lease from Feb 2012.  NOI $119K/yr. $1.408M. 8.5% cap.  Recession resistant tenant. 
3. Retail Center in Woodbridge, NJ: 16,872 SF retail center on 1.28 acres lot in high income area.  100% leased to 10 tenants.  NOI $435K/yr. $5.8M. 7.5% cap. 
4. KFC in New Haven, CT: 2 KFC restaurants.  20 yrs NNN lease with 15 yrs remaining to a multi-unit franchisee.  NOI $108K/yr. $1.44M. 7.5% cap. (note: not clear if this is the price of 1 or 2 KFCs). 
5. Shopping Center in Fort Pierce, FL: 53,000 SF well-maintained mature shopping center on 5.5 acres lot with 3 entrances/exits on 3 different roads.  New landscape, paint, and resealed parking lot.  80% NNN leases.  NOI $244K/yr. $2.45M. 10% cap.             
6. Strip Mall in Hanford, CA: 5705 SF strip center on .77 ac outparcel to a shopping center in a growing town in San Joaquin Valley.  100% leased to 3 national tenants: 7-11 9with gas station), Check N Go, and Papa Pizza.  NOI $132K/yr. $1.65M. 8% cap. 
7. Office Building in Oklahoma City, OK: 35,862 SF class-A build-to-suit office building completed in 1998 on 4.23 acres lot.  New renewal 6 yrs NN corp leased to William Sonoma, a publicly traded company with net worth of $1.2B.  NOI $457K/yr. $4.572M. 10% cap. 
8. Retail Center in Menomonee, WI: 63,884 SF retail center on 3 acres lot in Milwaukee metro.  98% leased.  NOI $402K/yr. $3.6M. 11.19% cap. 
9. Centennial Fine Wine & Spirits in Addison, TX: 12,500 SF liquor store on 1.18 acres lot in Dallas metro.  20 yrs absolute NNN corp lease with 15 yrs remaining to Centennial Fine wine & Spirits with 67 stores in Dallas area. NOI $235K/yr. with 10% rent bump every 5 yrs. $3.137M. 7.5% cap. 
10. Medical Office Building in San Antonio, TX: 34,000 SF multi-tenant medical office building on a major artery in affluent part area (AHI $95K/yr in 1 mile radius).  87% leased.  NOI $382K/yr. $4.25M. 9% cap.

© Transmercial 2011.