MART SQUARE 8675-8697 LA MESA BLVD ±33,620 SF NEIGHBORHOOD CENTER FOR SALE LA MESA BLVD TREMENDOUS RETAIL STRIP CENTER IN PRIME LOCATION DIRECTLY OFF INTERSTATE 8 Kipp Gstettenbauer, CCIM Senior Vice President 858.458.3345 kipp@voitco.com Lic. #01405420 Ryan King Vice President 858.458.3322 rking@voitco.com Lic. #01885401 Ryan King Vice President Max Stone Associate 4747 Executive Drive, Suite 800, San Diego, CA 92121 858.453.0505 858.408.3976 Fax Lic #01333376 www.voitco.com
EXECUTIVE SUMMARY MART SQUARE 8675-8697 LA MESA BLVD VRES is pleased to present the retail investment opportunity known as Mart Square, 33,620 square foot strip center locater at the SWC corner of La Mesa Boulevard and Glen Street in La Mesa, CA. This well located asset adjacent to Interstate 8 has nearby retailers including Target, Walmart, Trader Joes, and Costco and is perfect for smaller retailers to benefit from the close proximity to the large national tenants. This multi-tenant asset is home to a diverse tenant mix consisting of a national credit union to smaller operators such as a hair salon and optical shop that services the local community. The asset is in an established trade area with excellent demographics in the affluent submarket of La Mesa. The asset is well located in the neighborhood for its ease of ingress and egress and serviceable parking. The property sits on a large lot at almost 2 acres and with 32,751 of rentable square feet the property boasts an opportunity for an investor to capitalize on an exceptional basis at $193/SF on the purchase price. - Excellent basis for a retail shopping center in San Diego, California - Well located with ease of ingress/egress off the Interstate 8 - Diverse Tenant mix and upside in rental rates SALE PRICE: $6,500,000
PROPERTY OVERVIEW PROPERTY HIGHLIGHTS Great access to the Interstate 8 in San Diego Diverse tenant mix Historically high occupancy Excellent parking ratio Established trade area with excellent demographics Opportunity for future upside We would recommend a new buyer incorporates $250,000 in capital improvements which will allow a 30% rental rate increase PROPERTY FEATURES Total Project Size... ±33,620 SF APN...494-310-05 Land SF...±85,813 SF (1.97 AC) Year Built...1970 Frontage...202 on La Mesa Parking...120 Stalls Zoning...CD-G48, La Mesa For Sale Retail Shopping Center
PROPERTY PHOTOS
SITE PLAN JoJo s Hair Styling Mart Liquor Curve s Workout Lily s Alterations Stamp Delights Hart Optical Chopsticks Inn PB Peanut Butter Thrift Korral Visionary Productions Credit Union The Box Shop La Mesa Bistro
OPERATING ANALYSIS MART SQUARE 8675-8697 LA MESA BLVD Income Current 2016 ProForma Base Rent $400,673.00 $470,266.44 Expense Reimbursements $101,325.00 $165,065.04 Gross Income $501,998.00 $635,331.48 Current 2016 Vacancy/Collection Allowance (5%) $(25,099.90) $(31,766.57) Effective Gross Income $476,898.10 $603,564.91 Total Expenses $(164,923.00) $(164,923.00) Net Operating Income $311,975.10 $438,641.91 Expenses Current 2016 ProForma Real Estate Taxes (Reassessed at $6.5 M) $78,000.00 $78,000.00 Expenses (Management Fee, Maint, etc.) $86,923.00 $86,923.00 Total Expenses $164,923.00 $164,923.00 Expenses/SF $0.42 $0.42 Cap Rate 4.80% 6.75% *Proforma assumes that current MTM tenants & tenants with 2017 lease expirations push rental rates to $1.75 NNN *Proforma assumes capital improvements to the asset (fascia and paint) of $250,000
SALES COMPARABLES 0 250 AVERAGE PRICE / SF 0 200 AVERAGE PRICE: $202/SF 0 150 0 100 0 50 Price: $6,500,000 Price/SF: $193.00 RBA: 33,620 SF SUBJECT SITE Close: 10/05/15 Price: $5,730,000 Price/SF: $201.99 RBA: 28,368 SF Close: 10/01/14 Price: $4,407,000 Price/SF: $195.83 RBA: 22,504 SF Close: 09/09/14 Price: $3,800,000 Price/SF: $203.91 RBA: 18,636 SF Close: 07/30/14 Price: $7,100,000 Price/SF: $166.53 RBA: 42,634 SF Close: 03/03/14 Price: $4,500,000 Price/SF: $241.61 RBA: 18,625 SF 0 Mart Square 8675-97 La Mesa Blvd Euclid Plaza 220 Euclid Ave Main Street Center 1246 E. Main Street Plaza La Tienda 12930 94 Hwy Village Shopping Center 6101-191 Lake Murray Blvd Midway Retail Plaza 3445 Midway Drive
LA MESA BLVD AERIAL SITE SALES COMPARABLES JAC KSO VD LA MESA BL ND R T 22 AD 133,6 GROSSMONT CENTER
TENANT OVERVIEW TENANT NAME: Curves TENANT NAME: USE Credit Union INDUSTRY: Fitness INDUSTRY: Financial Cooperative FOUNDED: Harlingen, Texas (1992) FOUNDED: 1936 HEADQUARTERS: Waco, Texas HEADQUARTERS: San Diego, California MISSION: PRODUCTS: REVENUE: Curves provides assistance to women who want to lose weight and maintain their fitness by combining a 30-minute fitness program, one on one coaching, and customizable meal plans. Weight loss products as well as fitness and exercise for women. $2.630 Billion (estimated) MISSION: MEMBERS: Over 45,000 ELIGIBILITY: To serve the financial needs of university and state employees by giving flexible account options, quality service, and financial solutions Employees of the State of California, students or alumni of California State University, or the University of California, and immediate family members of USE Credit Union members. Curves is an international fitness franchise, that has 10,000 locations worldwide and 4 million plus members. There are 3,175 locations in the United States. USE Credit Union is a financial cooperative whose members mostly consist of California University and State employees. USE Credit Union Provides flexible account options and financial solutions.
RENT ROLL UNIT LEASE NAME LEASE TYPE LEASE FROM LEASE TO TERM (MONTHS) AREA BASE RENT BASE RENT PER AREA RECOVERY PER AREA TOTAL PER AREA DEPOSIT 8675 JOJO'S HAIR SALON NNN 01/01/1994 MTM 1,560 $2,011.93 1.29 0.29 1.58 1,092.00 8677 CURVES FOR WOMAN Gross 07/01/2002 11/30/2016 MTM 1,200 $1,375.00 1.15 0.00 1.15 1,164.00 8679 STAMP DELIGHTS Gross 04/01/2013 MTM 1,200 $1,400.00 1.17 0.00 1.17 1,000.00 8685 HART OPTICAL NNN 07/01/1992 MTM 800 $1,171.72 1.46 0.29 1.75 250.00 8687-89 CHOPSTICKS INN NNN 06/01/2007 05/31/2027 240 2,656 $2,877.25 1.08 0.29 1.37 2,162.00 8691 PACIFIC BEACH PEANUT NNN 05/01/2014 04/30/2017 36 2,200 $2,500.00 1.14 0.00 1.14 2,000.00 8693-A THRIFT KORRAL NNN 06/01/2004 05/31/2018 168 7,583 $7,012.25 0.92 0.29 1.21 0.00 8693-B VISIONARY PRODUCTION NNN 12/17/2015 12/31/2020 61 4,000 $4,000.00 1.00 0.29 1.29 4,000.00 8693 THRIFT KORRAL NNN 06/01/2016 05/31/2017 12 2,417 $1,000.00 0.41 0.29 0.70 8695 MART LIQUOR NNN 03/01/2009 02/28/2029 240 1,240 $2,019.60 1.63 0.29 1.86 950.00 8695-B LILY'S ALTERATIONS & NNN 04/01/2013 03/31/2018 60 460 $751.55 1.63 0.29 1.90 759.00 8697-1 LA MESA BISTRO & BAKERY NNN 03/01/2009 02/28/2024 180 3,003 $3,412.98 1.14 0.29 1.40 2,500.00 8697-A USE CREDIT UNION NNN 12/01/1999 02/28/2017 207 3,432 $2,901.64 0.85 0.29 1.14 0.00 8697-C THE BOX SHOP NNN 02/01/2008 01/31/2017 108 1,000 $1,232.01 1.23 0.29 1.50 1,500.00 Total Units Percentage Total Area Total Base Rent Total Rent Per Area Total Recovery Per Area Total Charges Per Area Deposit Occupied 15 100 32,751 33,665.93 1.07 0.25 1.32 17,377.00 Vacant 0 0 0 0.00 0.00 0.00 0.00 0.00 Totals 15 32,751 33,665.93 0.99 0.23 1.22 17,377.00
PROJECT LA MESA Located within the rolling Hills of San Diego County, La Mesa is known as the Jewell of the Hills. A near perfect climate, tree-lined streets, walkable neighborhoods, plenty of retail and commercial areas, and a calm downtown village makes La Mesa a highly desirable community for living and working. LA MESA BLVD GLEN ST
DEMOGRAPHICS Demographics 1 Mile 3 Miles 5 Miles Population (2015) 15,986 159,528 437,986 Projected Population (2020) 16,811 166,088 454,987 Families 3,973 38,524 102,702 Average Household Size 2.15 2.55 2.76 Median Age 38.7 37.3 35.0 Average Household Income $69,095 $72,358 $69,923 Median Household Income $53,501 $54,539 $52,404 Median Home Value $439,676 $390,454 $365,809 Bachelor s Degree or higher 52.3% 50.6% 48.2% QUICK STATS 5 Mile Radius (2015) 437,986 Residents 68.3% are over the age of 25 Traffic Counts ADT 161,305 Households 69,923 Avg. Household Income La Mesa Blvd Rosehedge Dr ±14,922 Lemon Ave Private Rd ±3,974 La Mesa Blvd Ramdalette Dr ±9,784 Alley Jackson Dr ±6,131 Lemon Ave Jackson Dr ±15,705 $ $365,809 Median Home Value 48.2% College Educated
AERIAL TREMENDOUS RETAIL STRIP CENTER IN PRIME LOCATION DIRECTLY OFF INTERSTATE 8 Kipp Gstettenbauer, CCIM Senior Vice President 858.458.3345 kipp@voitco.com Lic. #01405420 Ryan King Vice President 858.458.3322 rking@voitco.com Lic. #01885401 Curt Allen Senior Associate 858.458.3365 callen@voitco.com Lic. #01959536 Max Stone Associate 858.458.3348 mstone@voitco.com Lic. #01944151 4747 Executive Drive, Suite 800, San Diego, CA 92121 858.453.0505 858.408.3976 Fax Lic #01333376 www.voitco.com Ryan King Vice President Max Stone Associate PRIVATE CLIENT GROUP