Dunkin' Donuts 9005 E Independence Blvd Matthews NC€¦ · Dunkin’Donuts, Matthews, NC | 3...

D u n k i n ’ D o n u t s , M a t t h e w s , N C | 1

Dunkin’ Donuts9 0 0 5 E I n d e p e n d e n c e B l v d | M a t t h e w s , N C

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E X E C U T I V E S U M M A R Y

f i n a n c i a l O V E R V I E W

a r e a O V E R V I E W

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Michael Chis lockAssociate

Michael .Chis [email protected] 949.777.5989MOB 714.330.2077LIC # 02026406 (CA)

K y l e M at t h e w s BROKER OF RECORD

L IC # 288917

Calv in ShortFVP & Senior Director

Calv [email protected] (949) 432-4506MOB (310) 567-3525LIC # 01927216 (CA)

0 8 L e a s e A b s t r a c t

4 | M a t t h e w s R e a l E s t a t e I n v e s t m e n t S e r v i c e s

LONG-TERM STABILITY & STRONG HEDGE AGAINST INFLATION

• 10+ years remaining on the initial lease term

• Absolute NNN investment, providing for a great passive investment for both in state and out of state investors

• 10% fixed rental increases throughout the initial term and options

• Successful franchisee operating entity with over 10 years of experience in the Dunkin’ Donuts system

• Full-term personal guarantees from all operating partners – see broker for details

• Attractive quarterly financial reporting – see broker for details

HIGHLY TRAFFICKED CHARLOTTE MSA RETAIL CORRIDOR

• Dunkin’ is located 10 miles outside of downtown Charlotte which is the largest city in North Carolina and the 3rd fastest growing city in the United States

• Charlotte is the 17th most populated city in the U.S. and has experienced tremendous double-digit growth, upwards of 15% in the past 7 years and projected 10% over the next 5 years

• Dunkin’ is ideally positioned along Independence Boulevard which sees over 57,000 cars per day and plays host to numerous major dealerships including Porsche, Tesla, BMW, Audi, Harley Davidson, Lexus, and Infiniti to name a few

• Independence boulevard is also a major retail corridor serving Matthews, with national retailers such as Costco, Walmart, Sam’s Club, Target, Home Depot, Lowe’s, Dick’s Sporting Goods, and Kohl’s

• Population is in excess of 69,000 within a 5-mile radius, with average household income of over $79,000

• Population is in excess of 206,000 within a 10-mile radius, with average household income of over $89,000

i n v e s t m e n t h i g h l i g h t s


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D u n k i n ’ D o n u t s9005 E Independence BlvdMatthews, NC 28105

List Price ....................................................................................................................$1,415,929

CAP Rate .......................................................................................................................... 5.65%

Gross Leasable Area ..............................................................................................± 2,376 SF

Lot Size ..................................................................................................................± 1.00 Acres

Year Built ............................................................................................................................. 2006

Annualized Operating DataMonthly Rent Annual Rent Rent/SF Cap Rate

Current $6,666.67 $80,000.00 $33.67 5.65%

Years 11-15 $7,333.33 $88,000.00 $37.04 6.22%

Option 1 $8,066.67 $96,800.00 $40.74 6.84%

Option 2 $8,873.33 $106,480.00 $44.81 7.52%

Option 3 $9,760.67 $117,128.00 $49.30 8.27%

Tenant Summary

Tenant Trade Name Dunkin’ Donuts

Type of Ownership Fee Simple

Lease Guarantor Franchisee

Lease Type NNN

Roof and Structure Tenant Responsible

Original Lease Term 15 Years

Lease Commencement Date December 21, 2012

Lease Expiration Date December 31, 2027

Term Remaining on Lease ± 10 Years

Increases 10% Increases Every Five (5) Years

Options Three (3) Five (5) Year Options


Tenant: Dunkin’ Donuts

Guarantor: Franchisee

Address: 9005 E. Independence Boulevard, Matthews, NC 28105

Size: ± 1.0 Acres

Ownership type: Fee Simple

Date of Lease: December 21, 2012

Lease Expiration Date: December 31, 2027

Remaining Renewal Options: Three (3) Five (5) Year

Lease Term Fifteen (15) Years

Current Rent: $80,000

Rent Increases: 10% Every Five (5) Years

Real Estate Taxes:All taxes, assessments (special or otherwise) and other governmental levies and charges of any and every kind, nature and sort whatsoever therefor including all taxes whatsoever and the costs to Landlord of any appeals of any taxes or assessments or any charge or other payments required to be

paid to any governmental authority, whether or not any of the foregoing shall be a so-called “real estate tax.”

Repairs and Maintenance:Tenant understands, acknowledges and agrees that, except as expressly provided herein, this lease is absolutely net to Landlord and Landlord shall

have no obligation to improve, maintain or repair the premises or any improvements thereon at any time for any reason.

Insurance:Tenant shall procure and maintain in full force and effect one or more policies of Commercial General Liability Insurance with limits of coverage of

not less than One Million Dollars.

Utilities:Tenant agrees to pay all charges for all water, gas, heat, light, power, sewer charges, telephone service and all other services and utilities which may

from time to time be supplied to the Premises, together with any taxes thereon.

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D u n k i n ’ D o n u t s , M a t t h e w s , N C | 1 1

Dunkin’ Donuts

Dunkin’ Donuts is the world’s leading baked goods and coffee chain, serving more than 3 million customers everyday. Since its founding in 1950, Dunkin’ Donuts has earned the #1 ranking for customer loyalty in the coffee category for a consecutive nine years and a market leader in sales of hot, decaffeinated and flavored coffee, iced coffee, bagels, donuts and muffins. It is a subsidiary of Dunkin’ Brands, Inc., one of the world’s leading franchisors of quick-service restaurants that also operates the Baskin-Robbins chain.

An Industry LeaderDunkin’ Brands continues to pursue innovative menu choices through the collaboration of their culinary team of acclaimed chefs and their research and development team. From new types of coffee creations and flavors to limited time offers, Dunkin’ Donuts is constantly searching for products their patrons will love. With over 130 years of franchising experience, Dunkin’ Brands continues to deliver food and beverages quickly, affordably and conveniently in a welcoming environment through the Dunkin’ Donuts brand.

Marketing and Company StrategyThrough extensive marketing efforts, Dunkin’ Brands has a 94% global brand awareness, including markets where the company has yet to establish stores. To broaden reach and recognition, Dunkin’ Donuts partners with other prominent and respected brands, including Coca Cola®, JetBlue®, Smucker’s®, and Keurig®. A distinguishing characteristic of the company is their passion for offering guests products they will enjoy, giving plenty of menu options, and providing accurate nutrition information so they can make informed choices.

Company Name Dunkin’ Donuts

Parent Company Trade Name Dunkin’ Brands (NASDAQ: DNKN)

Ownership Public

No. of Locations ± 11,500

No. of Employees (all) ± 270,000

Headquartered Canton, Massachussets

Website www.dunkindonuts.com

Year Founded 1950


Oceanside Blvd ± 31,792

Col

lege

Blv

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t h e o f f e r i n g

Property Name Dunkin’ Donuts

Property Address 9005 E Independence Blvd

Matthews, NC

Assessor’s Parcel Number 193-201-09

Site DescriptionNumber of Stories One

Year Built 2006

Gross Leasable Area (GLA) ± 2,400 SF

Lot Size ± 1.00 Acres (43,560 SF)

Type of Ownership NNN

Parking ± 40 Surface Spaces

Parking Ratio 16.67 : 1,000 SF

Landscaping Professional

Topography Generally Level

p a r c e l m a p

E. Independence Blvd ±59,000 ADT


S u r o u n d i n g t e n a n t s

Just nine miles outside of Charlotte, North Carolina, Matthews is the largest suburban town within Mecklenburg County. Matthews has a nice small town feel and gives its residents a break from the big city. Many fun activities include nature hiking on the Four Mile Creek Greenway and exploring Squirrel Lake Park.

Matthews is a great family town with low unemployment and crime rates. 95% graduate from high school with over 50% of residents obtaining Bachelor degrees or higher. They have a higher household income average than the average for the state. The most popular career industries include retail trade and professional/technical services with occupations in management and sales.

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POPULATION 3 Mile 5 Mile 10 Mile

2022 Projection 4,136 69,580 206,137

2017 Estimate 3,878 65,012 193,602

2010 Census 3,511 58,578 176,463

2000 Census 2,658 49,688 149,168

Growth 2017 - 2022 6.66% 7.03% 6.47%

Growth 2010-2017 10.45% 10.98% 9.71%

HOUSEHOLDS 3 Mile 5 Mile 10 Mile

2022 Projection 1,635 28,804 81,298

2017 Estimate 1,536 26,776 76,209

2010 Census 1,396 23,847 69,188

2000 Census 1,084 19,934 59,028

Growth 2017 - 2022 6.68% 7.58% 6.68%

Growth 2010 - 2016 10.15% 12.28% 10.15%

INCOME 3 Mile 5 Mile 10 Mile

2017 Est. Average Household Income

$79,577 $79,264 $89,978


Charlotte, NCBeing the largest city in North Carolina, Charlotte is the third-fastest growing city in the United States. The population is growing immensely as well and is the seventeenth-largest populated city in the US. The Charlotte Douglas International Airport is a major international hub within the city and produces thousands of flights a day. It is home to Bank of America headquarters and many other large business corporations. The unemployment rate is low for being a large city with a majority of its residents achieving a Bachelors degree or higher.

The town itself, has an even balance of old southern charm or new age development. Charlotte has been the breading ground for new restaurants, attractions, and much more. It keeps evolving and being one of the most popular cities to visit in the Southeast.


T h i n g s t o D o

Charlotte has a lot to offer when it comes to entertainment. With several professional sports teams, an amusement park, and a variety of museums and performing art centers, there is always something to do. Recently, skyscrapers have been gracing the Charlotte sky and give a new view of the beautiful city. Whether you are out for date night or wanting to see the sights, Charlotte has something awesome in store.

When exploring the city, take a tour of the NASCAR Hall of Fame. Charlotte has a rich history of NASCAR racing, and the Hall of Fame will give its fans insight on the most historical drivers and crew members. One of their most popular attractions is “Glory Road.” It runs throughout the building, highlighting amazing races and historical race cars.

For the kids, Charlotte has amazing amusement parks and activity centers. Carowinds has something for all ages. From meeting Snoopy to riding the newest, fastest rides, Carowinds is one of the best amusement parks in the state. There is also paintballing, go karts, and escape rooms all over the city.

Charlotte is home to many sports teams, with the most popular being the Charlotte Hornets and the Carolina Panthers. The city has gained a ton of attention in the recent years within the sports world. The Hornets have worked their way up and are making steady strides throughout the NBA. When North Carolina native, Michael Jordan, acquired the team in 2010, he made major changes to help enhance the team. As for the Panthers, they became front page news when they competed in the 50th Super Bowl Championship against the Denver Broncos in 2016. Ever since, they have been a fierce competitor in the NFL.


U n i v e r s i t y o f N o r t h C a r o l i n a at C h a r l o t t e

UNC Charlotte is a credited doctoral research university in the heart of Charlotte. It offers a range of Bachelor to Doctoral degrees within 9 different colleges. They accept over 25,00 students a year and have three different campuses. The main campus spreads across 8 miles and has 85 buildings. The school’s main focus is within three major areas: metrology and intelligent manufacturing, software technology, and opt-electronics and optical communication. Each campus works with students with specific needs. The Center City campus focuses on business and evening courses, while the main campus has a majority of day time courses.

Many of the sport teams within UNC Charlotte have become a large draw for many students. The men’s basketball team has competed in the NCAA Tournament eleven times with many players expanding to the NBA. Many baseball players have also continued to the major leagues.

This Offer ing Memorandum contains select informat ion pertaining to the business and af fa i rs of Dunkin’ Donuts located at 9005 E Independence Blvd, Matthews, NC 28105 (“Property”) . I t has been prepared by Matthews Real Estate Investment Services. This Offer ing Memorandum may not be al l -inclusive or contain a l l of the informat ion a prospect ive purchaser may desire. The informat ion contained in th is Offer ing Memorandum is conf ident ia l and furnished solely for the purpose of a review by a prospect ive purchaser of the Property. I t is not to be used for any other purpose or made avai lable to any other person without the wri t ten consent of Sel ler or Matthews Real Estate Investment Services. The mater ia l is based in part upon informat ion suppl ied by the Sel ler and in part upon f inancial informat ion obtained from sources i t deems rel iable. Owner, nor their of f icers , employees, or agents makes any representat ion or warranty, express or impl ied, as to the accuracy or completeness of th is Offer ing Memorandum or any of i ts contents and no legal l iabi l i ty is assumed or shal l be impl ied with respect thereto. Prospect ive purchasers should make their own project ions and form their own conclusions without rel iance upon the mater ia l contained herein and conduct their own due di l igence.

By acknowledging your receipt of th is Offer ing Memorandum for the Property, you agree:

1 . The Offer ing Memorandum and i ts contents are conf ident ia l ;

2 . You wi l l hold i t and treat i t in the str ictest of conf idence; and

3. You wi l l not , d i rect ly or indirect ly, d isclose or permit anyone else to disclose this Offer ing Memorandum or i ts contents in any fashion or manner detr imental to the interest of the Sel ler.

Owner and Matthews Real Estate Investment Services expressly reserve the r ight , at their sole discret ion, to reject any and al l expressions of interest or of fers to purchase the Property and to terminate discussions with any person or ent i ty reviewing this Offer ing Memorandum or making an of fer to purchase the Property unless and unt i l a wr i t ten agreement for the purchase and sale of the Property has been ful ly executed and del ivered.

I f you wish not to pursue negot iat ions leading to the acquis i t ion of the Property or in the future you discont inue such negot iat ions, then you agree to purge al l mater ia ls relat ing to th is Property including this Offer ing Memorandum.

A prospect ive purchaser ’s sole and exclusive r ights with respect to th is prospect ive t ransact ion, the Property, or informat ion provided herein or in connect ion with the sale of the Property shal l be l imited to those expressly provided in an executed Purchase Agreement and shal l be subject to the terms thereof. In no event shal l a prospect ive purchaser have any other c la ims against Sel ler or Matthews Real Estate Investment Services or any of their af f i l iates or any of their respect ive of f icers , Directors , shareholders, owners, employees, or agents for any damages, l iabi l i ty, or causes of act ion relat ing to th is sol ic i tat ion process or the market ing or sale of the Property.

This Offer ing Memorandum shal l not be deemed to represent the state of af fa i rs of the Property or const i tute an indicat ion that there has been no change in the state of af fa i rs of the Property s ince the date this Offer ing Memorandum.

C O N F I D E N T I A L I T Y & D I S C L A I M E R S TAT E M E N T


BROKER OF RECORD

e x c l u s i v e ly l i s t e d b y

Dunkin’ Donuts9 0 0 5 E I n d e p e n d e n c e B l v d | M a t t h e w s , N C

™

M i c h a e l C h i s l o c kAssociate

Michael .Chis [email protected] 949.777.5989MOB 714.330.2077LIC # 02026406 (CA)

C a lv i n S h o r tFVP & Senior Director

[email protected] (949) 432-4506MOB (310) 567-3525LIC # 01927216 (CA)

K y l e M at t h e w s BROKER OF RECORD

L IC # 288917

Dunkin' Donuts 9005 E Independence Blvd Matthews NC€¦ · Dunkin’Donuts, Matthews, NC | 3...

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