PNC Bank Ground Lease Johns Creek, GA Atlanta MSA

Transcription

1 offering memorandum. PNC Bank Ground Lease Johns Creek, GA Atlanta MSA $4,975, % CAP Rate Tenant New th Strong Average Population Median is Rated A by S&P 20 Year Absolute NNN Lease Construction Highest Earning City in the United States - According to Money Magazine Demographics within 5 miles Household Income of $137,209 of 195,312 Home Value over $415,000 This property is listed in conjunction with Georgia-licensed real estate broker Delta Commercial. FILE PHOTO

2 Disclaimer Newmark Cornish & Carey ( Broker ) has been retained on an exclusive basis to market the property described herein ( Property ). Broker has been authorized by the Seller of the Property ( Seller ) to prepare and distribute the enclosed information ( Material ) for the purpose of soliciting offers to purchase from interested parties. More detailed financial, title and tenant lease information may be made available upon request following the mutual execution of a letter of intent or contract to purchase between the Seller and a prospective purchaser. You are invited to review this opportunity and make an offer to purchase based upon your analysis. If your offer results in the Seller choosing to open negotiations with you, you will be asked to provide financial references. The eventual purchaser will be chosen based upon an assessment of price, terms, ability to close the transaction and such other matters as the Seller deems appropriate. The Material is intended solely for the purpose of soliciting expressions of interest from qualified investors for the acquisition of the Property. The Material is not to be copied and/or used for any other purpose or made available to any other person without the express written consent of Broker or Seller. The Material does not purport to be all-inclusive or to contain all of the information that a prospective buyer may require. The information contained in the Material has been obtained from the Seller and other sources and has not been verified by the Seller or its affiliates. The pro forma is delivered only as an accommodation and neither the Seller, Broker, nor any of their respective affiliates, agents, representatives, employees, parents, subsidiaries, members, managers, partners, shareholders, directors, or officers, makes any representation or warranty regarding such pro forma. Purchaser must make its own investigation of the Property and any existing or available financing, and must independently confirm the accuracy of the projections contained in the pro forma. Seller reserves the right, for any reason, to withdraw the Property from the market. Seller has no obligation, express or implied, to accept any offer. Further, Seller has no obligation to sell the Property unless and until the Seller executes and delivers a signed agreement of purchase and sale on terms acceptable to the Seller, in its sole discretion. By submitting an offer, a purchaser will be deemed to have acknowledged the foregoing and agreed to release Seller and Broker from any liability with respect thereto. Table of Contents Property Information 1 Tenant Information 2 site plan 3 aerials 4 about the area 7 Demographics 9 Property walk-throughs are to be conducted by appointment only. Contact Broker for additional information. Michael Yuras, CCIM Vice President [email protected] CA RE License # Putnam Daily VP/Transaction Manager [email protected] CA RE License #

3 Property Information Location The property is located at 3290 Old Alabama Road in Johns Creek, Georgia. Lot Size Approximately acres, or 36,939 square feet. Only the land is for sale. Improvements Construction of an approximately 2,429 square foot retail bank branch with drive-thru component for PNC Bank has commenced and will be completed in November There is ample parking on site. The improvements were built by tenant and shall remain property of tenant during the term of the lease, and upon expiration or termination of the lease, title to all such improvements shall become vested in landlord; the improvements are not for sale. Ground Lease Leased to PNC Bank, National Association, for 20 years from November 2015 to November 2035, at an initial annual net rent of $199,000. There are four five-year options to renew the lease. The rent increases by 10% every five years throughout the initial term and option periods. The lease is absolute net, with the tenant responsible for taxes, insurance, maintenance, including roof and structure. Net Annual Income Year Rent Return 1-5 $199, % 6-10 $218, % $240, % $264, % (Option 1) $291, % (Option 2) $320, % (Option 3) $352, % (Option 4) $387, % Price: $4,975,000 (4.00% Return) Financing The property will be delivered free and clear of permanent financing. 1

4 Tenant Information The PNC Financial Services Group, Inc. (NYSE: PNC ), parent company of the tenant, is an American financial services corporation, with assets of approximately $345.2 billion as of December 31, PNC operations include a regional banking franchise operating primarily in nineteen states and the District of Columbia with more than 2,700 branches, online and mobile services together with 8,000 ATM machines, specialized financial businesses serving companies and government entities, and asset management and processing businesses. PNC is the fifth largest bank in the United States in terms of branches, sixth largest bank by deposits in the United States, sixth largest by total assets, and the third largest bank off-premise ATM provider. PNC is based in Pittsburgh, Pennsylvania. For the quarter ended December 31, 2014, The PNC Financial Services Group, Inc., reported revenue of $4.187 billion with net income of $1.036 billion and a total stockholders equity of $44.55 billion. PNC Financial Services Group, Inc. enjoys a Standard & Poor s rating of A. For more information, please visit 2

5 Site Plan PROPOSED PNC BANK OLD ALABAMA RD AND BRUMBELOW RD EAST ALPHARETTA, GEORGIA TEST FIT OLD ALABAMA ROAD MONUMENT SIGN BRUMBELOW ROAD 2,429 SF 3

6 Holy Redeemer Catholic School Aerial East View Mount Pigsah Christian School Brumbelow Rd $118.8M Georgia Clinic HAYNES BRIDGE VILLAGE Newtown Park Johns Creek Fire Station Old Ala bam DT) AA 00 9,5 d (2 ar Haynes Bridge Rd

7 Aerial Northwest View MANSELL CROSSINGS NORTH POINT MALL MARKET AT HAYNES BRIDGE HAYNES BRIDGE VILLAGE NORTH POINT MARKET CENTER Country Club of Roswell ge Rd rid Haynes B Ol da lab am ar d( 29, 500 AAD T) $118.8M Newtown Park w elo Rd b m ru B 5

8 Aerial South View ATLANTA Rivermont Golf & Country Club RIVERMONT STATION HOLCOMB CORNERS Newtown Park Br um low be Mount Pigsah Christian School EAST VILLAGE SHOPPING CENTER Rd Georgia Clinic Old ) AADT 0 0 5, 29 a Rd ( m a b Ala $118.8M 6

9 About the Area General Overview Johns Creek is a northeastern suburb of Atlanta with a population of 82,788. According to Money Magazine, Johns Creek is the 13th highest-earning city in the United States. Johns Creek is part of Metro Atlanta, a 29 county region of urban, suburban and rural communities in northeastern Georgia. Together these make up the ninth largest (Population: +/- 5 million) U.S. metropolitan area including the fifth largest concentration of Fortune 500 businesses. Businesses based in Metro Atlanta can reach more than 80 percent of all US consumers in two flight hours from the world s busiest airport, Hartsfield-Jackson International Airport. In 2013, there were 2,561 businesses located in Johns Creek with major employers including the world headquarters of Macy s Integrated Systems, World Financial Group and Movius Interactive Corporation. Employment sectors in Johns Creek generally follow trends of the Metro Atlanta region as a whole. The largest concentrations of employment in Johns Creek fall within the insurance, financial, real estate, health care, retail, manufacturing and professional scientific & technology industries. The public schools in Johns Creek are part of the Fulton County School System and not funded by the city. Johns Creek s public schools consistently place among the top in the nation. Chattahoochee High School, River Trail Middle School, and Dolvin Elementary are National Blue Ribbon Schools of Excellence. Northview High School has three times won the Governor s Cup for the state s highest SAT scores. There are six golf facilities in Johns Creek, including the renowned Atlanta Athletic Club, home of the 2011 PGA Championship and the 2014 U.S. Amateur. Johns Creek is home to thousands of members of the Atlanta Lawn Tennis Association (ALTA), one of the largest and oldest organized recreation leagues in the country. Johns Creek, which is bordered by 13.5 miles of the Chattahoochee River, has multiple nearby spots where paddlers can put in or take out their boats. It has shoals and low-level rapids. It also offers prime trout fishing.

10 About the Area Site Information The subject property is located on the southwest corner of Old Alabama Road and Brumbelow Road in the affluent city of Johns Creek. The site has direct access off of Old Alabama Road (29,500 AADT) and Brumbelow Road. Old Alabama Road offers convenient access to U.S. Route 19 (154,170 AADT) and State Route 140 (40,870 AADT) which are approximately three miles west of the property. Across from the subject property on Old Alabama Road is Haynes Bridge Village, a shopping center anchored by a 101,610 square foot Publix. Starbuck s, GNC, Starbucks, and other local retailers occupy the inline shops, and SunTrust Bank is situated on the pad site parallel to Haynes Bridge Road. Adjacent to Haynes Bridge Village is the approximately 135,000 square foot Market at Haynes Bridge shopping center anchored by Kroger. The inline shops include Subway, Papa John s Pizza, All State Insurance, American Red Cross, UPS Store, Supercuts, and several other local retailers. Chase Bank occupies the southeast corner pad site within the shopping center. Across from Market at Haynes Bridge is a The Fresh Market, with a Walgreens and Firehouse Subs outparcel. With an average household income of $137,209 and population of 195,312 and median home values in excess of $415,000 within a five mile radius, the PNC location benefits from a very affluent demographic.

11 Demographics 3390 Old Alabama Rd, Johns Creek, GA Mile 3 Miles 5 Miles Population Summary 2015 Total Population 10,195 70, , Total Population 11,174 75, , Annual Rate 1.85% 1.26% 1.16% Average Household Income 2015 $165,409 $139,572 $122, $184,543 $155,533 $137,209 Median Household Income 2015 $122,463 $100,090 $84, $140,443 $111,932 $99,916 Median Home Value 2015 $445,124 $438,705 $415, $499,391 $490,895 $454,846 Top Employers - Johns Creek # Employees State Farm 1,280 Alcon 1,235 Macy's Systems and Technology 1,018 Kroger 879 Emory Johns Creek Hospital 615 Publix 253 Saia 239 Life Time Fitness 229 World Financial Group 207 Whole Foods Market 205 9

12 FILE PHOTO 901 Mariners Island Boulevard, Suite 120 San Mateo, CA Michael Yuras, CCIM Vice President CA RE License # Putnam Daily VP/Transaction Manager CA RE License #