Top 6 Properties 02-24-10

1. Tahoe Joe’s Steakhouse in Roseville, CA: 7166 SF franchised restaurant built in 2001 on 1.6 acres corner lot near I-80 exit in middle-class Sacramento suburb. 100% NNN corp lease till 2021 by Tahoe Joe’s, a national restaurant chain with over 500 locations. NOI $288K/yr with 2.25% annual rent bump. $3.1M. 9.31% cap.
2. Walgreens in Brooklyn, NY: brand new 11,120 SF drugstore in a densely-populated New York metro with over 1.5M residents within 5 miles ring. 25 yrs NNN lease. NOI $716K/yr. 10.608M. 6.75% cap.
3. Holiday Inn Express in Perry, CA: 104-room hotel removed in Dec 2009 on 1.79 acres lot just off I-215 exit in a fast growing city. Avg daily rate of $79. $7.9M.
4. CVS Pharmacy in Jonesboro, GA: 10,722 SF drug store built in 1997 on .92 acre corner parcel on a busy artery in Atlanta metro. 100% NNN lease with 8 yrs remaining. NOI $213K/yr currently and $219K in 2012. $2.513M. 8.5% cap.
5. Medical Building in Downers Grove, IL: 19,600 SF medical office building on 1.93 acres lot in upper middle class suburban Chicago with AHI $109K/yr. Near Advocate Good Samaritan Hospital. 100% leased by stable tenants with below market rent. NOI $272K/yr. $3.2M. 8.5% cap.
6. Apartments in Glendale, AZ: 144-unit gated apartments complex built in 1984 on over 6 acres lot in Phoenix metro. Exterior amenities include barbeque grills, playground, covered parking, sparkling swimming pool, heated spa, central courtyard and access gates. $4.2M. Buyer to assume $3.4M loan at low 5.79% fixed rate till 2018.
   
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Top 9 Properties 02-23-10

NOI: Net Oper Income
AHI: Avg. Household Income

1. Liquor Store in Dallas, TX: 8000 SF single-tenant retail store on 1.1 acres lot just off I-35E exit in Dallas. 10yrs NNN corp lease from Big Daddys Liquor, a regional tenant with 33 stores in Dallas metro. NOI $108K/yr. with over 11% rent increase in 5 yrs. $1.44M. 7.5% cap.
2. Apartments in Fresno, CA: 21 unit condo-style apartments as part of 118 unit complex with each unit on a separate parcel. 95% occupied. NOI $93K/yr. $1.2M. 7.74% cap.
3. Tuffy Auto in Omaha, NE: 3900 SF automotive center built in 2007 on .63 ac pad to a newly constructed Super Target, OfficeMax, Hobby Lobby & Sports Authority. Across the Street from Walmart Supercenter & in upper middle class area with AHI over $109K/yr. 20 yrs NNN corp lease. NOI $111K/yr. $1.369M. 8.15% cap.
4. Taco Bell in West Columbia, SC: 2334 SF restaurant on an outparcel to a shopping center. 10 yrs absolute NNN lease. NOI $96K/yr. $1.24M. 7.75% cap.
5. Childcare center in Indianapolis, IN: 8000 SF child care center in a affluent area with AHI over $128K/yr. 100% NNN lease by Goddard School, a regional childcare provider. NOI $134K/yr. $1.675M. 8% cap.
6. Apartments in Dallas, TX: 111-unit apartments on 3 acres lot in a high income area (AHI $99K/yr). Renovated in 2004. 83% occupied. NOI $213K/yr. $2.5M. 8.54% cap.
7. Walkin Clinic in Rockford, IL: 3440 SF Walk-in Clinic on .7 acre lot. 10 yrs absolute NNN leased by Physicians Immediate Care, a regional tenant. NOI $61K/yr. $818K. 7.5% cap.
8. Starbucks & Taco Time in Spokane Valley, WA: 2 free-standing retail properties built in 2005 with combined squarefootage of 4055 SF. 100% NNN leased by Starbucks and Taco Time. NOI $151K/yr. $2.095M. 7.2% cap.
9. Strip Mall in Cathedral City, CA: 6600 SF 6-unit strip mall on 1/3 acre lot. 100% leased. NOI $126K/yr. $1.26M. 10% cap.
   
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Top 7 Properties 02-22-10

NOI: Net Oper Income
AHI: Avg. Household Income

1. Walgreens in Arvada, CO: 14,490 SF drug store built in 2008 on 2.8 acres lot in a middle class Denver metro with AHI $74K/yr. 100% NNN leased till 2033. NOI $453K/yr. $6.2M. 7.32% cap.
2. Checker Auto Parts (O’reillys) in Phoenix, AZ: 7000 SF auto parts store built in 2005 on ¾ acre lot across from 83,000 SF Fry’s supermarket anchored shopping center. 100% absolute NNN lease with 10 yrs left. NOI $128K/yr. $1.775M. 7.25% cap.
3. Shopping Center in Hickory, NC: 70,756 SF shopping center on over 10 acres lot in a growing city. Anchored by Fresh Air Galaxy Foods and Dollar General. 100% leased. NOI $478K/yr. $4.89M. 9.78% cap.
4. Italian Restaurant in Avondale, AZ: 6722 SF beautiful restaurant built in 2005 on 1.55 acres lot in front of a neighborhood center anchored by Sprouts Farmers Market, JoAnn Frabrics, Kohls, and Big 5 Sports. Fast growth (129%) middle-class Phoenix metro. 100% long term NNN lease. NOI $128K/yr. with annual rent increase. $1.575M. 8% cap. Note: this is a short sale. Property currently has over $4M loans with 2 lenders.
5. Michaels in Mountain View, CA: 21,579 SF single tenant retail center on 1.41 acres lot in the middle of Silicon Valley with AHI over $138K/yr. & high barrier to entry. 100% NNN lease by Michael’s Arts & Crafts, a national tenant. NOI $513K/yr now and increased to $564K/yr in Nov 2012. Price reduced from $6.95M to $6.65M. 7.72% cap now and 8.48% in Nov 2012. Buyer to assume $5.25M non-recourse loan at 6.5% fixed rate till 2017.
6. Christian Brothers Automotive in Roanoke, TX: 4921 SF automotive center built in 2007 on .58 acre lot in a fast growing upper class Dallas suburb with AHI over $150K/yr. Near Home Depot, Wal-mart Supercenter, & Albertsons. 15 yrs absolute NNN lease by a fast growing automotive franchise. NOI $135K/yr. $1.588M. 8.5% cap.
7. Firestone Automotive Center in Des Plaines, IL: 9200 SF automotive center on 2/3 acre parcel North of O’hare Airport. 100% NNN lease. NOI $133K/yr. $1.78M. 7.5% cap.
   
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Top 6 Properties 02-19-10

1. Long John Silver’s restaurant in Desoto, TX: 2706 SF franchised restaurant on 1/3 ac next to I35 exit in a fast growing suburban Dallas. 20 yrs absolute NNN lease by an operator with 119 restaurants. NOI $63K/yr with 10% rent bump every 5 yrs. $795K. 8% cap. Great for 1st time investors.
2. Kroger supermarket in Cincinnati, OH: 54,920 SF grocery store on 4.88 acres lot near I-74 in a middle-class area with AHI $77K/yr. 100% NNN lease by Kroger, the second largest supermarket chain in the US with over 2400 locations and $76 Billion in sales. Tenant spent over $4.3M in improvements in 2004. Store with strong sales of over $559/SF (over $30M/year). NOI $631K/yr. $7.43M. 8.5% cap.
3. Burger King in Perris, CA: 2800 SF to-be-built restaurant on ½ acre outparcel to a 500,000 SF power center anchored by Home Depot and WinCo Foods. Boom town with 103% pop growth from 2000-2008. 20 yrs absolute NNN lease by an operator with 12 locations. NOI $112K/yr. with 10% rent bump every 5 yrs. $1.4M. 8%. Note: this is not an ordinary transaction. Investor needs $1.4M cash to buy this to-be-built property. Franchisee will construct the building with the fund and spend an extra $300-400K of its money for the restaurant equipments.
4. Dennys in Gurnee, IL: 5542 SF family restaurant on 1.08 acres lot next to Gurnee Mills Mall in the upper middle class Chicago suburbs (AHI $110K/yr). New 20 yrs NNN lease by an operator with 27 locations (this is the 3rd strongest in sales among 27). NOI $150K/yr. $1.875M. 8% cap.
5. Advance Auto Parts in Houston, TX: 6127 SF auto part store built in 2008. 15 yrs NNN corp lease. NOI $125K/yr. $1.518M. 8.25% cap.
6. Macaroni Grill Restaurant in Burlington, MA: 7956 SF franchised Italian restaurant on 2.66 acres lot next to 1,246,000 SF 170-shop Burlington Mall in an affluent (AHI $117K/yr) Boston suburb. 100% NNN lease. NOI $268K/yr. $3.352M. 8% cap.
   
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Top 8 Properties 02-18-10

1. Burger King in Naperville, IL: 2917 SF restaurant on .57 ac outparcel to a shopping center in a affluent (AHI $129K/yr) Chicago suburb. 100% NNN leased till 2014 by an operator with 48 locations. NOI $120K/yr with 1% annual rent bump. $1.655M. 7.25% cap.
2. Family Dollar in Miami, FL: 8000 SF new Family Dollar store on .8 acre lot at an intersection of 2 major arteries. 10 yrs NNN corp lease. NOI $169K/yr with 10% rent bump every 5 yrs. $1.987M. 8.5% cap.
3. Apartments in Fresno, CA: 80-unit apartments complex on 2.9 acres lot in a high income & highly rated Clovis Unified School District. 95% occupied. NOI $236K/yr. $3.2M. 7.18% cap. Just $40K/unit.
4. Medical Building in Rialto, CA: 34,709 SF medical office building constructed in 1993 on over 3 acres next to hwy 210 in a growing city. 93% leased with low rents. NOI $413K/yr. $5.3M. 8% cap.
5. Medical Building in Huntington Beach, CA: 58,518 SF 4-story 40-unitmedical building on 2.6 acres lot on the campus Huntington Beach Hospital, a 131 bed facility with over 500 employees and 300 physicians. Excellent demographics: AHI $110K/yr and over 450K residents within 5 miles ring. 95% leased by all medical professionals. NOI $864K/yr. $10.975M. 7.95% cap.
6. Retail Building in Hempstead, NY: 3000 SF retail center in a densely-populated (over 500K residents) and high income (AHI $107K/yr) New York metro. 100% leased by a Pizzeria and Hair salon that both occupied the center since 1994. NOI $57K/yr. $714K. 8% cap.
7. Shopping center in Spokane, WA: 55,763 SF shopping center on 6.9 acres anchored by Joann Fabrics, Petco and shadow anchored by Rite Aid. Stable and high income area. 100% leased. NOI $398K/yr. $5.5M. 7.24% cap.
8. Tunex Automotive center in South Jordan, UT: 5800 SF new automotive center on .59 acre parcel in a fast growing (45%) and wealthy (AHI $99K/yr)Salt Lake City suburb. 10 yrs absolute NNN corp lease by Tunex Automotive, a fast growing franchise with 24 locations in UT. NOI $137K/yr. with 10% rent bump every 5 yrs. $1.768M. 7.75% cap.
   
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Top 8 Properties 02-17-10

Simon Property offered to buy General Growth Properties for $10B: Simon Property, a major malls owner offered to buy General Growth Properties (GGP), another major malls owner who is bankruptcy, for $10 billion (or $9/share) on Tuesday. Per the Wall Street Journal, this offer represents 7.9% cap for all the properties owned by GGP. However, GGP investors want more so its stocks leapt from $9.40/share on Friday to $12.02 after the bid from Simon Group. This means GGP investors wanted to sell GGP at 7.1% cap.

Note from Transmercial: Simon Property probably has to offer at least $12.02/share for GGP. This acquisition may reduce cap rate in commercial properties in the near future.

1. Medical Office in Tempe, AZ: 24,195 SF medical building on 2.59 acres of land at a hard corner location near Fwy-101/60/202 and I-10. 100% leased by two tenants. NOI $313K/yr. $3.915M. 8% Cap.
2. Shopping Center in San Diego, CA: 32,494 SF beautiful neighborhood center on 3.8 acres of land consisting of three separate buildings. Anchored by McDonald’s/KFC at densely populated area off of Fwy-805. 97% NNN leased to a diverse mix of tenants. NOI $800K/yr. $9.9M. 8.09% Cap. Buyer to assume $6.423M loan at low 5.98% rate fixed till 2017.
3. Shopping Center in San Bernardino, CA: 93,129 SF well located shopping center built in 1995 anchored Fiesta Foods Warehouse (with strong sales volumes in excess of $900/SF), a regional grocery chain with 10 locations in Southern CA. 95% NNN leased by national/regional tenants: Fiesta Foods Warehouse, CVS Pharmacy, Burger King, US Postal Service, Little Caesars and Subway. NOI $980K/yr. $11.995M. 8.20% Cap. Just $129/SF! Upside potential.
4. CVS Pharmacy in Homestead, FL: 14,579 SF free-standing retail building constructed in 2006 on 1.59 acres of parcel in fast growing Miami metro. Long NNN corp lease till 2026. NOI $360K/yr. $4.675M. 7.72% Cap.
5. On The Border Restaurant in Mira Loma, CA: 7586 SF Mexican Grill restaurant on 1 acre outparcel to Eastvale Gateway Center home to over 55 popular retailers: Target, Best busy, Kohl’s, Sport Chalet, Edwards Theatres, Home Depot and Vons next to I-15. 100% NNN leased. NOI $228K/yr. $3.144M. 7.25% Cap.
6. Apartments in Dallas, TX: 339-units beautiful well-kept apartment complex with clubhouse facility, pool and exercise room near schools close to I-635/75. NOI $1,109M. $11M. 10.09% Cap.
7. Strip Center in Cathedral City, CA: 11,550 SF strip center on .76 acre lot anchored by super market with excellent visibility. 100% NNN leased by 11-tenants. NOI $245K/yr. $2.999M. 8.20% Cap.
8. Shopping Center in Lake in the Hills, IL: 24,593 SF attractive shopping center adjacent to La Petite Academy with excellent tenant mix: Alfredo’s Pizza, Cleaners, H&R Block, Bistro Wasabi, Eye-Care, Spa, Insurance and more in fast growing (75.92%) wealthy (AHI $93K/yr.) Chicago suburbs. 90% leased. NOI $377K/yr. $5M. 7.55% Cap.

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Top 9 Properties 02-16-10

1. Shopping center in Granite City, IL: 106,791 SF neighborhood center on 9.8 acres lot in St. Louis metro. Anchored by several national and regional tenants: Regions Bank, Save-A-Lot Grocery, Glik's Fashion, Dollar General and Advanced Auto Parts. 99% leased. NOI $535K/yr. $5.35M. 10% cap.
2. Shopping Center in Riverdale, GA: 69,480 SF shopping center on 9.66 acres corner lot in a fast growing (39%) middle class (AHI $70K/yr) Atlanta metro. 98% leased. NOI $534K/yr. $5.35M. 10% cap.
3. Walgreens in Douglasville, GA: 13,965 SF new drug store on 1.87 acres lot adjacent to Kroger Grocery Anchored Center in a high-growth (47%) high income (AHI $86K/yr) Atlanta suburbs. 100% NNN lease. NOI $400K/yr. $5.553M. 7.5% cap.
4. Walgreens in Surprise, AZ: 13,905 SF drug store built in 1999 on 2 acres corner lot in a booming (89%) and good income (AHI $69K/yr) Phoenix metro. 100% NN lease with 9 yrs remaining. NOI $264K/yr. $3.206M. 8.25% cap.
5. Apartments in Sacramento, CA: 14 2-br-unit bank-owned apartments in a desirable area. 79% occupied. $999K.
6. Walgreens in Mesa, AZ: 13,905 SF pharmacy built in 1998 on 1.92 acres corner lot in a stable middle class Phoenix suburb (AHI $85K/yr) with over 250K residents within 5 miles ring. 100% NN lease with 8 yrs remaining. NOI $254K/yr. $2.994M. 8.5% cap.
7. Childcare center in Flossmoor, IL: 10,000 SF brand new childcare center on 1.75 acres lot in an affluent (AHI $115K/yr) Chicago suburb. 15 yrs NN lease from Children of America, a regional childcare provider with 32 schools in 8 states. NOI $240K/yr with 1.25% annual rent bump from 6-th yr. $2.8M. 8.5% cap. Seller will provide $2.1M financing.
8. Restaurant in Atlanta, GA: 3372 SF trendy & popular Holy Taco restaurant. 100% NNN lease with 6 yrs remaining. NOI $82K/yr. $919K. 9% cap.
9. Apartments in Highland, CA: 24-unit bank-owned 3-br townhouse apartments with large 1182 SF units in Southern CA. $1.65M.
   
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