1. home and garden

offering memorandum.
Tires Plus
Jacksonville, FL
/ Atlantic Blvd (48,500 AADT)
File Photo
$1,553,000
9.00% CAP Rate
Traffic Location (48,500 AADT)
••High
Location
• •Established
Tires Plus Has Occupied Site Since 1998
•
Proximity to Interstate 295
••Close
••Infill Jacksonville Location
This property is listed in conjunction with Florida-licensed real estate broker Jon Borbeau.
www.maffiateam.com
Confidentiality & Disclosure
Cornish & Carey Commercial Newmark Knight Frank (“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.
Property walk-throughs are to be conducted by appointment only. Contact Broker for additional information.
Vincent Aicale
Vice President
415.373.4057
vaicale@ccareynkf.com
Lic #01728696
Michael Maffia
Senior Managing Director
415.445.5144
mmaffia@ccareynkf.com
Lic #01340853
Putnam Daily
VP/Transaction Manager
415.445.5107
pdaily@ccareynkf.com
Lic #01750064
901 Mariners Island Boulevard, Suite 120 • San Mateo, CA 94404 • Tel 415.373.4060 • Fax 415.373.4060 • www.maffiateam.com
Table of Contents
•Property Information........................................................................................................................1
•Tenant Information.......................................................................................................................... 2
•About the Area................................................................................................................................ 3
•Site Plan......................................................................................................................................... 4
•Aerials............................................................................................................................................ 5
•Location Maps................................................................................................................................ 8
•Demographics............................................................................................................................... 11
Property Information
Location
The subject property is located at 10361 Atlantic Boulevard in Jacksonville, Florida.
Lot Size
Approximately 0.66 acres, or 28,750 square feet.
Improvements
Construction was completed in 1998 of an approximately 5,216 square foot retail building for Morgan Tire and Auto Inc.
Lease
Leased to Morgan Tire and Auto, Inc. for 20 years from November 1st, 1998. After the initial 20 years, the tenant has two
5 year options to extend the term with a 10% rental increase at the commencement of each option. The lease is triple net,
with the tenant responsible for taxes, insurance, and maintenance, including roof and structure.
Net Annual
Income
Years
Annual Rent
Return
15-20 (Current)
$139,753
9.00%
21-25 (Option 1)
$153,728
9.90%
26-30 (Option 2)
$169,101
10.89%
Price
$1,553,000 (9.00% Return)
Financing
The property will be delivered free and clear of permanent financing.
Right of First
Refusal
The tenant has a righ of first refusal to purchase the property within 15 days after receipt of notice of a bona fide offer.
Tenant Information
About the
Tenant
Founded in 1972 and based in Florida, Tires Plus Total Car Care has over 5,000 employees in 500 stores across 23 states.
In addition to tire sales and installation, Tires Plus locations offer a variety of repair and maintenance services. Tires Plus
is one of several brands under the BFS Retail Operations, LLC, banner.
In addition to Tires Plus, Bridgestone Retail Operations, LLC, a subsidiary of Bridgestone Corporation (OTC: “BRDCY”), consists of a family of more than 2,200 company-owned consumer and commercial stores employing 22,000 associates in the
United States and Canada, including Firestone Complete Auto Care, Expert Tire, and GCR Tire Centers as well as Firestone
Complete Fleet Care. The company’s credit card operations are also part of BFRC. GCR Tire Centers serve the commercial
industry with truck tire service and retreading, and agricultural, forestry, and flotation tires and service. They also service
off-the-road customers with tires and service for the mining and construction industries. Bridgestone Retail Operations,
LLC, guarantees lease.
Bridgestone Retail Operations, LLC, comprises the entire U.S. retail division of Bridgestone and Bridgestone/Firestone.
BFS offers retail tire sales along with automotive repair services to every major automotive system through its network of
over 2,200 tire and vehicle service centers in the U.S. and Canada - the world’s largest company-owned tire and automotive service network. Financial statements for the tenant are not available.
Harvey S. Firestone founded The Firestone Tire & Rubber Company in Akron, Ohio, in 1900, and started marketing solid
rubber tires for carriage wheels. Firestone joined the retail store arena offering basic car service and tire sales in the
mid-1920s when the original Firestone Service Centers were opened. The evolution of the retail stores continued with the
complete Tire & Service Center opening in the 1960s, offering expanded diagnostic under-car and under-hood service.
On the other side of the globe in 1931, Shojiro Ishibashi (1885-1976) created Bridgestone Tire Company Ltd. (later renamed
Bridgestone Corporation). He fashioned the company name by reversing the English translation of his own: “Ishibashi,”
which literally means “stone bridge” in Japanese.
Bridgestone Corporation is the world’s largest tire maker. It is headquartered in Japan, and is the ultimate parent company
of the tenant. For fiscal year ended December 2008, Bridgestone Corporation reported sales of over $35.786 billion with
net income of $115.2 million and net worth of $10.964 billion. Bridgestone is not on the lease.
Bridgestone Corporation purchased Firestone in 1988 for $2.6 billion, transforming the companies’ combined operations
into the world’s largest tire and rubber company. The operations in the Americas were renamed Bridgestone/Firestone,
Inc. (BFS), and became the largest subsidiary of Bridgestone. As part of its integration with Bridgestone’s existing U.S.
operations, Bridgestone/Firestone moved its headquarters from Akron to Nashville in 1992. On the company website, it is
reported that US operations had sales of $15.6 billion in 2006.
In December 2001, Bridgestone’s Americas operations were reorganized in an effort to focus more effectively on its core
business units. The reorganized companies do business in the Americas under a holding company structure in which
Bridgestone Americas Holding, Inc. (BSAH), owns several operating subsidiaries.
About the Area
Site
Information
The property is located on Atlantic Boulevard, which is a major thoroughfare running east-west through Eastern Jacksonville; Atlantic Boulevard has an average annual daily traffic count of 48,500 vehicles. The site is a block away from
Interstate 295. Tires Plus is surrounded by highly complementary automotive tenants such as Lexus, Mercedes, Harley
Davidson, Enterprise Rental Car, Budget Rental Car, Midas, and local automotive users. Restaurants such as Denny’s and
Dunkin Donuts are also located within a block of the subject property.
General
Overview
Jacksonville is the largest city by area in the contiguous United States. It is the county seat of Duval County. With a population of 827,908, it is the most populous city in Florida and the Southeast; It is the eleventh most populous in the United
States. Jacksonville is the principal city in the Greater Jacksonville Metropolitan Area, with a population of 1,345,596 in
2010.
Jacksonville’s location on the St. Johns River and the Atlantic Ocean has been instrumental the growth of the city and its
industry. It is also the largest deepwater port in the south (as well as the second-largest port on the U.S. East coast) and
a leading port in the U.S. for automobile imports, as well as the leading transportation and distribution hub in the state.
However, the strength of the city’s economy lies in its broad diversification. The area’s economy is balanced among distribution, financial services, biomedical technology, consumer goods, information services, manufacturing, insurance, and
other industries.
Site Plan
/ ATLANTIC BLVD
5,128 SF
(Retail)
Aerial | Close-up View
/ Atlantic Blvd (48,500 AADT)
Aerial | Mid-range View
/ Atlantic Blvd (48,5
00 AADT)
Aerial | Distant View
/(
63
,5
REGENCY SQUARE MALL
00
)
DT
AA
Monument Rd
DT)
d (48,500 AA
/ Atlantic Blv
Arlington Expy
REGENCY COURT
REGENCY PLAZA
REGENCY PARK
Location Map
Site
Location Map
Site
Location Map
Site
Demographics
10361 Atlantic Blvd
Jacksonville, FL 32225
Market Profile
10361 Atlantic Blvd, Jacksonville, FL, 32225
Ring: 1 mile radius
Population Summary
2000 Total Population
2010 Total Population
2012 Total Population
2012 Group Quarters
2017 Total Population
2012-2017 Annual Rate
Household Summary
2000 Households
2000 Average Household Size
2010 Households
2010 Average Household Size
2012 Households
2012 Average Household Size
2017 Households
2017 Average Household Size
2012-2017 Annual Rate
2010 Families
2010 Average Family Size
2012 Families
2012 Average Family Size
2017 Families
2017 Average Family Size
2012-2017 Annual Rate
Housing Unit Summary
2000 Housing Units
Owner Occupied Housing Units
Renter Occupied Housing Units
Vacant Housing Units
2010 Housing Units
Owner Occupied Housing Units
Renter Occupied Housing Units
Vacant Housing Units
2012 Housing Units
Owner Occupied Housing Units
Renter Occupied Housing Units
Vacant Housing Units
2017 Housing Units
Owner Occupied Housing Units
Renter Occupied Housing Units
Vacant Housing Units
Median Household Income
2012
2017
Median Home Value
2012
2017
Per Capita Income
2012
2017
Median Age
2010
2012
2017
Latitude: 30.32367
Longitude: -81.5312
1 mile
3 miles
5 miles
9,327
8,589
8,796
108
9,155
0.80%
62,525
73,468
74,812
458
77,169
0.62%
169,368
190,402
193,823
3,624
199,183
0.55%
3,853
2.40
3,559
2.38
3,629
2.39
3,808
2.38
0.97%
2,046
3.03
2,067
3.05
2,167
3.03
0.95%
24,231
2.56
28,104
2.60
28,479
2.61
29,587
2.59
0.77%
18,604
3.13
18,699
3.15
19,409
3.14
0.75%
64,902
2.58
74,131
2.52
75,246
2.53
78,003
2.51
0.72%
48,528
3.05
48,782
3.06
50,503
3.04
0.70%
4,151
46.2%
46.6%
7.2%
25,787
55.5%
38.5%
6.0%
68,853
61.6%
32.7%
5.7%
4,220
35.2%
49.1%
15.7%
4,289
33.6%
51.0%
15.4%
4,479
34.7%
50.3%
15.0%
32,086
51.6%
36.0%
12.4%
32,622
49.5%
37.8%
12.7%
33,966
50.0%
37.1%
12.9%
82,914
55.6%
33.8%
10.6%
84,386
53.5%
35.7%
10.8%
87,590
53.9%
35.2%
10.9%
$33,757
$39,066
$42,891
$50,840
$49,336
$54,695
$97,644
$109,776
$126,031
$139,626
$134,489
$150,880
$18,251
$20,888
$20,408
$22,690
$24,431
$27,008
33.1
33.3
33.9
33.2
33.3
33.8
34.2
34.3
34.7
Data Note: Household population includes persons not residing in group quarters. Average Household Size is the household population divided by total households.
Persons in families include the householder and persons related to the householder by birth, marriage, or adoption. Per Capita Income represents the income received by
all persons aged 15 years and over divided by the total population.
Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri forecasts for 2012 and 2017. Esri converted Census 2000 data into 2010 geography.
Market Profile
Demographics
10361 Atlantic Blvd
Jacksonville, FL 32225
10361 Atlantic Blvd, Jacksonville, FL, 32225
Ring: 5 mile radius
Latitude: 30.32367
Longitude: -81.5312
1 mile
3 miles
5 miles
3,629
16.6%
28,479
12.3%
75,246
10.8%
17.9%
17.1%
20.3%
14.9%
8.5%
13.2%
13.2%
18.4%
22.3%
11.3%
10.6%
12.0%
17.2%
23.0%
12.1%
3.7%
0.4%
0.7%
$42,632
7.5%
1.1%
0.8%
$52,750
9.9%
2.6%
1.9%
$61,391
3,808
15.9%
13.5%
29,587
11.4%
9.6%
78,003
9.8%
7.6%
13.1%
20.9%
18.8%
11.9%
9.8%
17.7%
26.8%
14.3%
8.6%
16.2%
27.5%
14.8%
4.5%
0.5%
0.8%
$48,564
8.3%
1.3%
0.8%
$58,293
10.5%
2.9%
1.9%
$67,449
1,442
6.3%
45.8%
16,148
3.7%
24.8%
45,142
2.9%
21.4%
$100,000 - $149,999
$150,000 - $199,999
$200,000 - $249,999
36.1%
7.1%
2.8%
41.2%
20.2%
7.2%
37.3%
21.7%
8.1%
$250,000 - $299,999
$300,000 - $399,999
0.9%
0.7%
2.0%
0.7%
3.1%
2.8%
$400,000 - $499,999
$500,000 - $749,999
$750,000 - $999,999
0.1%
0.1%
0.1%
0.1%
0.1%
0.0%
1.2%
0.9%
0.2%
0.0%
$106,126
0.0%
$131,671
0.2%
$154,082
1,556
4.2%
16,988
2.3%
47,198
1.7%
38.4%
38.0%
11.2%
5.1%
1.6%
1.1%
0.1%
0.1%
0.1%
0.0%
$119,040
18.1%
37.4%
27.2%
10.9%
3.0%
0.9%
0.1%
0.1%
0.0%
0.0%
$145,907
15.2%
32.6%
28.3%
11.7%
4.4%
3.5%
1.1%
1.1%
0.3%
0.2%
$169,111
2012 Households by Income
Household Income Base
<$15,000
$15,000
$25,000
$35,000
$50,000
$75,000
-
$24,999
$34,999
$49,999
$74,999
$99,999
$100,000 - $149,999
$150,000 - $199,999
$200,000+
Average Household Income
2017 Households by Income
Household Income Base
<$15,000
$15,000 - $24,999
$25,000
$35,000
$50,000
$75,000
-
$34,999
$49,999
$74,999
$99,999
$100,000 - $149,999
$150,000 - $199,999
$200,000+
Average Household Income
2012 Owner Occupied Housing Units by Value
Total
<$50,000
$50,000 - $99,999
$1,000,000 +
Average Home Value
2017 Owner Occupied Housing Units by Value
Total
<$50,000
$50,000 - $99,999
$100,000 - $149,999
$150,000 - $199,999
$200,000 - $249,999
$250,000 - $299,999
$300,000 - $399,999
$400,000 - $499,999
$500,000 - $749,999
$750,000 - $999,999
$1,000,000 +
Average Home Value
Data Note: Income represents the preceding year, expressed in current dollars. Household income includes wage and salary earnings, interest dividends, net rents,
pensions, SSI and welfare payments, child support, and alimony.
Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri forecasts for 2012 and 2017. Esri converted Census 2000 data into 2010 geography.
Market Profile
Demographics
10361 Atlantic Blvd
Jacksonville, FL 32225
10361 Atlantic Blvd, Jacksonville, FL, 32225
Ring: 5 mile radius
Latitude: 30.32367
Longitude: -81.5312
1 mile
3 miles
5 miles
8,588
7.0%
73,467
7.7%
190,400
6.9%
5-9
10 - 14
15 - 24
25 - 34
35 - 44
6.1%
5.6%
16.5%
17.7%
13.4%
6.8%
6.8%
15.2%
16.3%
14.3%
6.3%
6.5%
15.9%
15.6%
13.8%
45
55
65
75
85
14.1%
9.2%
5.6%
3.1%
1.7%
14.6%
9.8%
5.0%
2.7%
0.9%
14.9%
10.6%
5.4%
3.0%
1.0%
77.7%
74.6%
76.3%
8,794
6.9%
74,813
7.6%
193,821
6.8%
5-9
10 - 14
15 - 24
25 - 34
35 - 44
6.1%
5.5%
16.3%
17.9%
13.0%
6.7%
6.7%
15.0%
16.5%
13.9%
6.3%
6.4%
15.7%
15.9%
13.4%
45
55
65
75
85
13.7%
9.7%
6.0%
3.1%
1.8%
14.2%
10.3%
5.4%
2.7%
1.0%
14.4%
11.1%
5.8%
3.0%
1.1%
78.0%
75.0%
76.7%
2010 Population by Age
Total
0-4
- 54
- 64
- 74
- 84
+
18 +
2012 Population by Age
Total
0-4
- 54
- 64
- 74
- 84
+
18 +
2017 Population by Age
Total
9,156
77,171
199,184
0-4
5-9
10 - 14
6.9%
6.1%
5.5%
7.7%
6.7%
6.8%
6.9%
6.3%
6.5%
15 - 24
25 - 34
15.3%
18.0%
14.1%
16.6%
14.8%
16.0%
35 - 44
45 - 54
55 - 64
12.7%
12.8%
10.2%
13.7%
13.2%
10.8%
13.2%
13.4%
11.6%
65 - 74
75 - 84
85 +
18 +
7.3%
3.3%
2.0%
78.2%
6.5%
2.8%
1.1%
75.1%
7.0%
3.2%
1.2%
76.9%
4,262
4,327
35,698
37,770
92,606
97,796
4,372
4,424
36,437
38,374
94,476
99,346
4,540
4,615
37,593
39,576
97,111
102,072
2010 Population by Sex
Males
Females
2012 Population by Sex
Males
Females
2017 Population by Sex
Males
Females
Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri forecasts for 2012 and 2017. Esri converted Census 2000 data into 2010 geography.
Market Profile
Demographics
10361 Atlantic Blvd
Jacksonville, FL 32225
10361 Atlantic Blvd, Jacksonville, FL, 32225
Ring: 5 mile radius
2010 Population by Race/Ethnicity
Total
White Alone
Black Alone
American Indian Alone
Asian Alone
Pacific Islander Alone
Some Other Race Alone
Two or More Races
Hispanic Origin
Diversity Index
2012 Population by Race/Ethnicity
Total
White Alone
Black Alone
American Indian Alone
Asian Alone
Pacific Islander Alone
Some Other Race Alone
Two or More Races
Hispanic Origin
Diversity Index
2017 Population by Race/Ethnicity
Total
White Alone
Black Alone
American Indian Alone
Asian Alone
Pacific Islander Alone
Some Other Race Alone
Two or More Races
Hispanic Origin
Diversity Index
2010 Population by Relationship and Household Type
Total
In Households
In Family Households
Householder
Spouse
Child
Other relative
Nonrelative
In Nonfamily Households
In Group Quarters
Institutionalized Population
Noninstitutionalized Population
Latitude: 30.32367
Longitude: -81.5312
1 mile
3 miles
5 miles
8,588
60.5%
73,467
58.4%
190,402
65.6%
26.6%
0.5%
4.7%
0.1%
3.7%
25.5%
0.4%
7.6%
0.1%
3.7%
21.3%
0.4%
5.9%
0.1%
3.1%
3.9%
12.3%
65.6
4.1%
11.8%
67.3
3.6%
10.4%
61.1
8,796
60.3%
74,811
58.4%
193,824
65.4%
26.2%
0.5%
4.7%
0.1%
3.9%
25.0%
0.4%
7.7%
0.1%
4.0%
20.9%
0.4%
6.0%
0.1%
3.3%
4.2%
13.3%
66.5
4.4%
12.7%
68.1
3.9%
11.2%
62.0
9,156
59.5%
77,169
57.6%
199,182
64.4%
25.5%
0.6%
4.9%
0.1%
4.5%
24.1%
0.4%
8.1%
0.1%
4.6%
20.4%
0.4%
6.4%
0.1%
3.8%
4.9%
15.9%
69.2
5.0%
15.1%
70.5
4.5%
13.4%
64.7
8,589
98.7%
75.9%
24.1%
13.9%
73,468
99.4%
82.4%
25.5%
16.2%
190,401
98.1%
80.4%
25.4%
17.4%
29.4%
4.8%
3.7%
32.6%
5.0%
3.0%
30.5%
4.3%
2.6%
22.9%
1.3%
17.0%
0.6%
17.7%
1.9%
0.0%
1.3%
0.3%
0.3%
0.3%
1.6%
Data Note: Persons of Hispanic Origin may be of any race. The Diversity Index measures the probability that two people from the same area will be from different
race/ethnic groups.
Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri forecasts for 2012 and 2017. Esri converted Census 2000 data into 2010 geography.
Market Profile
Demographics
10361 Atlantic Blvd
Jacksonville, FL 32225
10361 Atlantic Blvd, Jacksonville, FL, 32225
Ring: 5 mile radius
2010 Households by Type
Total
Households with 1 Person
Households with 2+ People
Family Households
Husband-wife Families
With Related Children
Other Family (No Spouse Present)
Other Family with Male Householder
With Related Children
Other Family with Female Householder
With Related Children
Nonfamily Households
All Households with Children
Multigenerational Households
Unmarried Partner Households
Male-female
Same-sex
2010 Households by Size
Total
1 Person Household
2 Person Household
3 Person Household
4 Person Household
5 Person Household
6 Person Household
7 + Person Household
2010 Households by Tenure and Mortgage Status
Total
Owner Occupied
Owned with a Mortgage/Loan
Owned Free and Clear
Renter Occupied
Latitude: 30.32367
Longitude: -81.5312
1 mile
3 miles
5 miles
3,558
33.7%
66.3%
57.5%
33.3%
15.0%
24.2%
7.3%
4.2%
16.9%
28,104
25.8%
74.2%
66.2%
42.1%
20.4%
24.1%
5.8%
3.3%
18.3%
74,131
26.1%
73.9%
65.5%
44.7%
20.4%
20.8%
5.2%
3.0%
15.5%
10.9%
8.8%
12.7%
8.0%
10.5%
8.5%
30.6%
36.9%
34.4%
4.7%
8.8%
8.1%
0.7%
4.9%
8.1%
7.3%
0.8%
4.4%
7.5%
6.8%
0.7%
3,559
33.7%
30.6%
16.5%
11.2%
4.7%
1.8%
1.4%
28,105
25.8%
31.2%
19.2%
13.8%
5.9%
2.5%
1.6%
74,131
26.1%
32.9%
18.6%
13.3%
5.7%
2.2%
1.3%
3,559
41.7%
31.3%
10.4%
58.3%
28,104
58.9%
48.3%
10.5%
41.1%
74,131
62.2%
49.8%
12.4%
37.8%
Data Note: Households with children include any households with people under age 18, related or not. Multigenerational households are families with 3 or more parentchild relationships. Unmarried partner households are usually classified as nonfamily households unless there is another member of the household related to the
householder. Multigenerational and unmarried partner households are reported only to the tract level. Esri estimated block group data, which is used to estimate
polygons or non-standard geography.
Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri forecasts for 2012 and 2017. Esri converted Census 2000 data into 2010 geography.