STNL Investment Opportunity - Colliers International

OFFERING MEMORANDUM

STNL Investment Opportunity 890 Buckhead Drive Statesboro, GA 30458 PRESENTED BY:

ASHLEY W. SMITH, SIOR, CCIM Colliers International | Savannah 912 662 8011 [email protected]

COLLIERS INTERNATIONAL 545 E. York Street, Savannah, GA 31401 912 233 7111 912 236 1200

Table of Contents > OFFERING SUMMARY ......................................................................................................... 3 > ABOUT THE FRANCHISE ................................................................................................... 4 > PROPERTY DESCRIPTION & FINANCIAL OVERVIEW ................................................ 5 > LOCATION MAP ..................................................................................................................... 6 > DEMOGRAPHICS ................................................................................................................... 7 > LIMITING CONDITIONS ..................................................................................................... 8

The material contained in this Offering Memorandum is confidential, furnished solely for the purpose of considering the acquisition of the Verizon Wireless store location in Statesboro, GA and is not to be used for any other purpose or made available to any other person without the express written consent of Colliers International. The material is based in part upon information obtained from the Seller and in part upon information obtained by Colliers International from sources they deem to be reliable. Summaries contained herein of any legal documents are not intended to be comprehensive statements of the terms of such documents, but rather only outlines of some of the principal provisions contained therein. Prospective purchasers should make their own investigations, projections, and conclusions. It is expected that prospective investors will conduct their own independent due diligence concerning the Property, including such engineering inspections as they deem necessary to determine the condition of the Property and the existence or absence of any potentially hazardous material used in the construction or maintenance of the building or located at the land site. No representations expressed or implied are made as to the foregoing matters by Colliers International. or assignees. See “Limiting Conditions.” Colliers Investment Services Group (“CISG”) is a specialty practice group sanctioned and coordinated by Colliers International.

VERIZON WIRELESS | OFFERING MEMORANDUM

CONTACT: ASHLEY W. SMITH

DIRECT:

+1 912 662 8011

COLLIERS INTERNATIONAL P. 2

OFFERING MEMORANDUM | VERIZON WIRELESS

Offering Summary

Investment Highlights

FINANCIAL OVERVIEW

>> Strong Tenant - Verizon Wireless began in 2000

Tenant: Verizon Wireless of the East, LP (Corporately Backed)

and has since become a household name. In early 2016

Type of Ownership:

Fee Simple

America and second largest in the world.*

Base Annual Rent:

$225,560

Lease Type:

NN

Increases:

10% in option period

Verizon was considered the largest telecom company in

>> Growth Potential - Statesboro has seen a steady growth in the population by 0.44% over the last five years, this is projected to continue into the next five

Asking Price: $2,900,000

years. Georgia Southern University a major economic

Cap Rate: 7.5%

driver is set to acquire Armstrong State University in

Remaining Term: 5 years Roof Warranty:

Fall of 2018 making it the fourth largest University in the

January 2025

state with roughly 27,000 students. The areas growth potential combined with Verizon Wireless’s ventures

TENANT OVERVIEW - CORPORATE

into the content business make this an attractive investment.**

Tenant: Verizon Communications, Inc. Revenue (TTM): $125.98B Gross Profit (TTM):

$79.06B

Headquarters:

New York, NY

>> Regional Hub - Statesboro continues to be a major retail hub pulling from several rural counties in proximity. *Source: Yahoo Finance: Verizon - Profile, www.forbes.com/the-worldslargest-telecome-companies-china-mobile-beats-verizon **Source: US Census 2016

LEASE OVERVIEW


Lease Renewal:

February 1, 2017

Lease Renewal Term:

5 additional years

Options:

(1) 5 year option to renew

Lease Renewal Expiration:

January 31, 2022

Tenant Responsibilities:

Taxes, insurance & maintenance


DIRECT:

+1 912 662 8011


OFFERING MEMORANDUM | ABOUT THE FRANCHISE

Tenant Year Founded: 2000 2015 Gross Revenue: $131B

Corporate headquarters: New York, NY 2015 Net Income (attributable to Verizon): $17B

Verizon Communications Inc., through its subsidiaries, provides communications, information, and entertainment products and services to consumers, businesses, and governmental agencies worldwide. Its Wireless segment offers wireless voice and data services; messaging services; wireless Internet access services on notebook computers and tablets; multimedia access services; business-focused services; location-based services; global data services; home phone connect services; high-speed Internet service; and network access and value added services to support wireless connections for the Internet of Things (IoT). This segment also provides IoT services that support devices used in health monitoring, education, manufacturing, utilities, distribution, and consumer products markets, as well as offers wireless devices, including smart phones and basic phones, tablets, and other Internet access devices. As of December 31, 2015, Verizon had 112.1 million retail connections. The company’s Wireline segment provides highspeed Internet, Fios Internet, and Fios video services; voice services, such as local exchange, regional and long distance calling, and voice messaging services, as well as VoIP services; network products and solutions comprising private Internet protocol (IP), public Internet, Ethernet, and optical networking services; IT infrastructure services, including collocation and managed hosting; cloud services, such as computing, storage, backup, recovery, and application platforms; and business communications services. This segment also offers IoT services; data security services; voice and data services; and data, voice, local dial tone, and broadband services primarily to local, long distance, and other carriers. The company was formerly known as Bell Atlantic Corporation and changed its name to Verizon Communications Inc. in June 2000. Verizon Communications Inc. was founded in 1983 and is based in New York, New York.” Source: Yahoo Finance: Verizon - Profile

DBA: Verizon Wireless Verizon Wireless Stores are known for: >> SERVICE AND SUPPORT - Verizon stores provides in store device help, when their customers need help trouble shooting or resetting their devices Verizon technicians are on the job >> TOP QUALITY BRANDS - Verizon stores carry products from Apple, Samsung, Google, Droid, LG, and more >> PLANS AND DEALS - Verizon is on the cutting edge of wireless communication plans, they periodically offer deals for new and existing customers such as trade in programs, device payments, unlimited data, and family plans/ discounts http://www.verizon.com



DIRECT:

+1 912 662 8011


OFFERING MEMORANDUM | PROPERTY INFORMATION

Property Description

• INFORMATION OBTAINED FROM BULLOCH COUNTY BOARD OF ASSESSOR PROPERTY CARD AND PROVIDED BY THE OWNER •

Address 890 Buckhead Drive Statesboro, GA 30458

Income $225,560 Expenses

Building Size ±4,000 square feet Lot Size

Parking Lot Reserve Roof Reserve Legal & Accounting

±1.15 acres

Type Free Standing Year Built

2009

Zoning

CR, City of Statesboro

Total Expenses


($2,000) ($3,750) ($2,000)

$7,750

Net Operating Income

Commercial Frontage 340’ on Buckhead Drive 320’ on Hwy 301/Veterans Memorial Pkwy Property Description

$217,810

Cap Rate 7.5%

Occupied by Verizon Wireless and located on Buckhead Drive, which connects two of Statesboro’s most heavily traveled thoroughfares - Highway 80/Northside Drive and Brannen Street. This ±4,000 SF retail building has prominent frontage on both Buckhead Drive and Highway 301 which fronts the backside of the building.


DIRECT:

+1 912 662 8011


OFFERING MEMORANDUM | LOCATION MAP

Location Map y8 wa gh Hi

0 e sid th or /N Vet era ns Me mo ria l

St re e

t

High way

Ge nti lle

yR oa d

Bu ckh ead

Dri ve

301 /

n

Pa rk w ay

ive Dr

Br an ne



DIRECT:

+1 912 662 8011


OFFERING MEMORANDUM | DEMOGRAPHICS

Demographics

• SOURCE: US CENSUS BUREAU 2016 •

890 BUCKHEAD DRIVE, STATESBORO GA 30458 10 Minute

STATESBORO GA

Drive Time

5 Minute

15 Minute

Population:

7,458 39,884 55,715

Households:

2,952 13,872 19,794

Avg. Household Income:

$47,760 $40,886 $49,050

Median Household Income: $31,769 $25,138 $29,886 Total No. of Businesses: 614 1,875 2,429 Total No. of Employees: 6,203 18,764 24,167

22,900 vehicles per day

U.S. Highway 301/Veterans Memorial Pkwy: 21,500 vehicles per day

Economic Drivers

Population:

29,298

Households:

10,189

Avg. Household Income:

$34,507

Median Household Income: $20,854 Total No. of Businesses: 1,671

Traffic Counts U.S. Highway 80:

Demographic City Numbers

Total No. of Employees: 17,291 Meidan Age: 23 (As comapred to the US median age of 38)

• SOURCE: STATESBOROGA.GOV •

Statesboro is home to a growing economy and is a regional trade center for commerce, education and healthcare. The City has a highly diversified economy with several major industries located in the area and is a regional shopping center and health care provider for 8 surrounding Georgia counties. Approximately 24% of the Bulloch County labor force is employed by the government sector including the City’s largest employer, Georgia Southern University. Major private sector employers in the City include East Georgia Regional Medical Center, Wal-Mart SuperCenter, and Lowe’s Home Center. The city boasts two instiutions of higher learning, Georgia Southern University which is located within the city limits of the City of Statesboro and Ogeechee Technical College located just outside the City on Highway 301 South. Accredited by the Southern Association of Colleges and Schools, Georgia Southern offers undergraduate and graduate degree programs through the doctoral level in more than 120 majors in its eight Colleges. Ogeechee Technical College the areas second institution of higher learning offers over 110 programs of study. Statesboro is also a leader in health care in southeast Georgia with East Georgia Regional Medical Center located within the city limits employing more than 750 employees and 75 physicians representing a wide range of specialties. The economy is continuing to see growth with new retail and residential developments being built all around the city and with the merger of Georgia Southern University and Armstrong State University (located in Savannah, GA) in Fall 2018, making Georgia Southern University the 4th largest university in the state of Georgia. . VERIZON WIRELESS | OFFERING MEMORANDUM


DIRECT:

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OFFERING MEMORANDUM | LIMITING CONDITIONS

Limiting Conditions This Offering Memorandum was prepared by Colliers International and has been reviewed by the Seller. It contains selected information pertaining to the Property and does not purport to be all-inclusive or to contain all of the information that a prospective purchaser may desire. All financial projections are provided for general reference purposes only and are based on assumptions relating to the general economy, competition, and other factors, which therefore are subject to material change or variation. An opportunity to inspect the Property will be made available to qualified prospective purchasers. In this Offering Memorandum, certain documents, including leases and other materials, are described in summary form and do not purport to be complete nor, necessarily, accurate descriptions of the full agreements involved, nor do they constitute a legal analysis of such documents. Interested parties are expected to independently review all documents. This Offering Memorandum is subject to prior placement, errors, omissions, changes, or withdrawal without notice and does not constitute a recommendation, endorsement, or advice as to the value of the Property by Colliers International or the Seller. Each prospective purchaser is to rely upon its own investigation, evaluation, and judgment as to the advisability of purchasing the Property described herein.

Seller, Colliers International expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers to purchase the Property and/or to terminate discussions with any party at any time with or without notice. Seller shall have no legal commitment or obligation to any purchaser reviewing this Offering Memorandum or making an offer to purchase the Property unless a written agreement for the purchase of the Property has been fully executed, delivered, and approved by the Seller, and any conditions to Seller’s obligations thereunder have been satisfied or waived. Colliers International is not authorized to make any representations or agreements on behalf of the Seller. This Offering Memorandum is the property of Colliers International and may be used only by parties approved by Colliers International. The Property is privately offered, and by accepting this Offering Memorandum, the party in possession hereof agrees (i) to return it to Colliers International and (ii) that this Offering Memorandum and its contents are of a confidential nature and will be held and treated in the strictest confidence. No portion of this Offering Memorandum may be copied or otherwise reproduced or disclosed to anyone without prior written authorization of Colliers International and the Seller. The terms and conditions set forth above apply to this Offering Memorandum in its entirety.

Contact Information ASHLEY W. SMITH, SIOR, CCIM Principal DIRECT: 912 662 8011 [email protected]



DIRECT:

+1 912 662 8011


890 Buckhead Drive STNL INVESTMENT OPPORTUNITY

Offering Memorandum

Colliers International 545 E. York Street Savannah, GA 31401 | USA MAIN: +1 912 233 7111 FAX: +1 912 236 1200 WEBSITE: www.colliers.com/savannah

All information is furnished from sources deemed reliable. No warranty or representation is made as to the accuracy thereof and it is submitted subject to errors, omissions, change of price, rental or other conditions, prior sale, lease, financing or withdrawal without notice.