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N ORTH LAUDERDALE , FLORIDA
Circle K
BOSTON, MA | CHAPEL HILL, NC | CHARLOTTE, NC | JUPITER, FL | LOS ANGELES, CA | PITTSBURGH, PA | ATLANTICRETAIL.COM
Michael Zimmerman919.391.9901 [email protected]
Asking Price: $3,608,247Cap Rate: 4.85%
ATLANT ICRETAIL .COM | 1C IRCLE K | IN VEST MENT H IGHL IGHTS
ATTRACTIVE INVESTMENTCircle K Corporate Guarantee With 7 x 5-Year Options
Management-Free Investment for Passive InvestorTenant Pays All Expenses and Maintains BuildingRare 5% Increases in Year 11 and Within OptionsAbsolute NNN Ground Lease Land Ownership
Adjacent to Future ALDI Site
EASE OF ACCESSIBILITYClose Proximity to the Florida Turnpike (88,400 ADT)Three Miles From Fort Lauderdale Executive AirportNew Building With Excellent Visibility and Frontage
Increases Consumer Draw and Crossover Traffic
PRIME RETAIL LOCATION460K+ People and 208K Employees Support Trade Area
Adjacent to Two Apartment Communities (341 Units)Located at Signalized Intersection (48,200 ADT)
Prime Location Near Publix-Anchored Center
Investment Highlights
ATLANT ICRETAIL .COM | 2CIRCLE K | LEASE SU M MARY
TENANT Circle K Stores, Inc.
GUARANTOR Circle K Stores, Inc.
ADDRESS 1190 South State Road 7 N. Lauderdale, FL 33068
ASKING PRICE $3,608,247
CAP RATE 4.85%
ANNUAL RENT $175,000 ($43.75/SF)
YEAR BUILT 2017
BUILDING SIZE ± 4,000 SF
LOT SIZE ± 2.01 Acres
LEASE TERM 15 Years
LEASE TYPE Ground
COMMENCES August 27, 2017
EXPIRATION August 31, 2032
OPTIONS 7 x 5-Year Options
INCREASES 5% in Year 11 of Base Term & Within Options
OWNERSHIP Leased Fee (Land Ownership)
LANDLORD No Responsibilities
Lease Summary
Rent ScheduleYEARS ANNUAL RENT1–10 (Base Term) $175,000 ($43.75/SF)
11–15 (Base Term) $183,750 ($45.94/SF)
16–20 (Option 1) $192,938 ($48.23/SF)
21–25 (Option 2) $202,585 ($50.65/SF)
26–30 (Option 3) $212,714 ($53.18/SF)
31–35 (Option 4) $223,350 ($55.84/SF)
36–40 (Option 5) $234,518 ($58.63/SF)
41–45 (Option 6) $246,244 ($61.56/SF)
46–50 (Option 7) $258,556 ($64.64/SF)
Investors have a rare opportunity to acquire the leased fee (Land Ownership) interest in Circle K, a newly-constructed Absolute NNN Ground leased investment property in North Lauderdale, Florida. The tenant recently executed a new, 15-year Ground Lease with seven (7) five-year options to extend. The lease features a five percent rental increase in Year 11 of the Base Term as well as at the beginning of each option period. The lease is corporate guaranteed and is an Absolute NNN (Ground Lease) with no landlord responsibilities. The tenant pays for all Common Area Maintenance, insurance and real estate taxes, and the tenant is also responsible for maintaining all aspects of the building. This management-free investment is ideal for a passive investor.
PREFERENTIAL RIGHT TO PURCHASE The landlord agrees not to sell all or any portion of the premises without first giving the tenant written notice of each proposed sale that the landlord is willing to accept stating therein the price and all other terms and conditions thereof. Upon receipt of any such notice, the tenant shall have the preferential right to purchase the premises at the purchase price upon the other terms and conditions set forth in the notice. The tenant shall have 15 days after delivery of such notice to notify the landlord in writing that the tenant elects to exercise such right. The notice period shall be extended to 30 days upon transfer of the premises by the original landlord to an unrelated third party.
Summary
Future Site of ALDI
ATLANT ICRETAIL .COM | 3CIRCLE K | T EN A N T PROF ILE
Circle K is an international chain of convenience stores founded in 1951 in El Paso, Texas. Circle K has become one of the most widely recognized convenience store brands, known worldwide for quality products and great customer service. Circle K offers an assortment of coffee, fountain drinks, beer, snacks, candy, ATM services, mobile prepaid wireless phones, gift cards, money orders, tobacco and other general merchandise products.
There are currently more than 15,000 Circle K locations worldwide, and the convenience store chain can be found in most of the 50 U.S. States. In 2003, Circle K was acquired by Alimentation Couche-Tard and has developed into a global brand represented in over 20 countries. The Circle K Corporation now operates as a subsidiary of Alimentation Couche-Tard Inc., one of the largest company-owned convenience store operators in the world. Couche-Tard operates more than 12,000 stores across Canada, the United States, Europe, Mexico, Japan, China and Indonesia.
Circle K Tenant ProfileCOMPANY TYPE Wholly Owned Subsidiary
PARENT COMPANY Alimentation Couche-Tard
HEADQUARTERS Tempe, Arizona (Circle K)Quebec, Canada (Couche-Tard)
EMPLOYEES (2017) 120,000 (Couche-Tard)
REVENUE (2017) $37.9 Billion (Couche-Tard)
NET INCOME (2017) $1.2 Billion (Couche-Tard)
STOCK SYMBOL TSX: ATD.A, ATD.BS&P/TSX 60 Component
DIVISIONS Couche-Tard, Mac’s, Circle K, Topaz Energy, Statoil Fuel & Retail, On The Run & Holiday Stationstores
LOCATIONS 15,000+ (Circle K)
WEBSITE circlek.com couche-tard.com
ATLANT ICRETAIL .COM | 4CIRCLE K | MA R K ET OVERVIEW
Circle KMarket Overview
North Lauderdale, Florida
ATLANT ICRETAIL .COM | 5CIRCLE K | PR OPERT Y AER IAL
Future Site of ALDI
GK KIO GAS STATION
STATE ROAD 7/U.S. 441
48,000 ADT
ATLANT ICRETAIL .COM | 6CIRCLE K | PR OPERT Y AER IAL
Louder Ridge Garden Apartments
152 Units
Oakland Hills Apartments
189 Units
1190 South State Road 7 North Lauderdale, FL 33068
SW 12TH STREET
STATE ROA
D 7/U
.S. 441 48,000 A
DT
GK KIO GAS STATION
JEFF’S EXPRESS CAR WASH
Future Site of ALDI
ATLANT ICRETAIL .COM | 7CIRCLE K | R ETA IL MARKET AER IAL
SW 12TH STREET
STATE RO
AD
7/U.S. 441
48,00
0 A
DT
Residential Developments
FLORI
DA T
URNPI
KE (T
OLL R
OAD)
119,4
00 A
DT
NW 62ND STREET
W McNAB ROAD
NW
31ST AVEN
UE
FLORIDA TURNPIKE 35M+ Annual Visitors 3rd Busiest Toll Road
FUTURE ALDI SITE
ATLANT ICRETAIL .COM | 8CIRCLE K | MA R K ET AER IAL
Fort Lauderdale Executive Airport
Palm Aire Country Club
Woodland Country Club
Fairways of Inverrary
PURDUE UNIVERSITY
GLOBAL
ISLE CASINO RACING POMPANO PARK
XTREME ACTION PARK
FLORI
DA TURN
PIKE
(TOLL
ROAD)
119,4
00 A
DT
WEST McNAB ROAD 46,000 ADT
INTE
RSTA
TE 9
527
5,0
00
AD
T
SOU
TH S
TATE
RO
AD
7
48,0
00
AD
T
RO
CK IS
LAN
D R
OA
D
37,5
00
AD
T
NO
RTH
WES
T 31
ST A
VEN
UE
36,5
00
AD
T
CYPRESS CREEK ROAD 49,500 ADT
COMMERCIAL BOULEVARD 56,500 ADT
COMMERCIAL BOULEVARD 54,500 ADT
POW
ERLI
NE
RO
AD
49
,50
0 A
DT
FORT LAUDERDALE BEACH11.5 Miles From Site
17.4 Miles From Site
FUTURE ALDI SITE
LOCKHART STADIUM
ATLANT ICRETAIL .COM | 9CIRCLE K | MA J OR AREA ATTRACT IONS
1 2
3
4
5
MAJOR AREA ATTRACTIONS 1. Sawgrass Mills 2. Westfield Broward Mall; 3. BB&T Center; 4. Seminole Casino Coconut Creek; 5. Isle Casino Racing Park.
REPRESENTATIVE PHOTO
REPRESENTATIVE PHOTO
REPRESENTATIVE PHOTO
ATLANT ICRETAIL .COM | 10C IRCLE K | N EA R BY S HOP P ING CENTERS
Sawgrass Mills is the largest outlet and value retail shopping destination in the United States and features more than 300 retail outlets and name brand discount-ers, with anchors including Off 5th Saks Fifth Avenue and Super Target. The mall is divided into three parts because of its massive size—Sawgrass Mills has nearly 2,384,000 square feet of retail space—and included the main mall, which features four main “Avenue” sections and a “Fashion Avenue” subsection; The Oasis at Sawgrass Mills, an outdoor component that includes Nordstrom Rack and The Cheesecake Factory; The Colonnade Outlets at Sawgrass Mills, an upscale lifestyle area with luxury shops and restaurants; and numerous outparcel stores and plazas.
Sawgrass Mills10.2 Miles From Circle K Site
SAWGRASS MILLS EXPANSION An expansion is scheduled to open in 2018 called the Town Center at Sawgrass Mills, which will feature 25 full-price retailers, four new dine-in restaurants and another new parking garage that will accommodate 2,000 vehicles. The new expansion will be situated next to the recently expanded Colonnade Outlets and will act as an extension to the Colonnade Outlets.
REPRESENTATIVE PHOTO
ATLANT ICRETAIL .COM | 1 1C IRCLE K | A R EA OVE RVIEW
PIVOTAL SOUTH FLORIDA LOCATIONNorth Lauderdale is a compact city in the center of Broward County that is home to more than 42,000 residents from across the globe. The city’s pivotal location in the heart of South Florida allows residents and visitors to benefit from a diverse community and a vibrant economy.
WITHIN LARGER BROWARD COUNTYThe city of North Lauderdale sits within Broward County, the second most populous county in Florida and the 17th most populous county in the country. As of 2016, the population was 1,909,632, and the larger Miami metropolitan area is home to nearly 6.1 million people.
Area Overview
ATLANT ICRETAIL .COM | 12C IRCLE K | ECON OMIC OVERVIEW
PROXIMITY TO FORT LAUDERDALEThe Property is less than 10 miles from the Fort Lauderdale coastline and the world-famous Fort Lauderdale Beach. This area offers premier opportunities for recreation, relaxation and enjoyment. The picturesque Riverwalk serves as the cornerstone of the city’s arts, science, cultural and historic districts, while Las Olas Boulevard has gained international acclaim as Fort Lauderdale’s centerpiece of fashion, fine dining and entertainment.
BUSINESS-FRIENDLY ENVIRONMENTThis area of Broward County offers an outstanding quality of life, highlighted by a semi-tropical climate, natural beauty and an array of cultural, entertainment and educational amenities. The Fort Lauderdale area has established itself as a world-class international business center and is one of the most desirable locations for new, expanding or relocating busi-nesses. The area’s economy used to be mainly grounded in tourism, but the Fort Lauderdale area now supports a diverse range of industries, including marine, manufacturing, finance, insurance, real estate, high technology, film, television production and aerospace.
Economic Overview
ATLANT ICRETAIL .COM | 13C IRCLE K | D EMOGR AP HICS
DEMOGRAPHICS 1 MILE 3 MILES 5 MILES
Estimated Population 25,342 156,932 465,407
2022 Projected Population 26,750 165,593 491,323
2010 Census Population 23,841 145,887 431,997
2000 Census Population 23,085 143,008 423,294
Projected Annual Growth (2017–2022) 1.1% 1.1% 1.1%
Estimated Households 7,997 61,186 180,567
2022 Projected Households 8,405 64,182 189,610
2010 Census Households 7,597 57,780 169,947
2000 Census Households 7,993 58,823 171,416
Projected Annual Growth (2017–2022) 1.0% 0.9% 0.9%
Est. HH Income $200,000+ 1.1% 1.6% 1.9%
Est. HH Income $150,000-$199,999 2.6% 2.2% 2.8%
Est. HH Income $100,000–$149,999 10.0% 8.9% 9.4%
Est. HH Income $75,000-$99,999 14.2% 11.1% 10.9%
Est. HH Income $50,000–$74,999 23.6% 20.8% 19.5%
Est. HH Income $35,000–$49,999 17.9% 16.6% 16.0%
Est. HH Income $25,000–$34,999 11.8% 12.7% 12.5%
Est. HH Income $15,000–$24,999 10.2% 13.3% 13.4%
Est. HH Income Under $15,000 8.7% 12.7% 13.4%
Est. Average Household Income $61,364 $57,832 $59,128
Est. Median Household Income $50,886 $44,077 $43,838
Est. White 36.6% 45.3% 44.7%
Est. Black 48.9% 43.0% 44.0%
Est. Asian or Pacific Islander 3.6% 3.1% 3.0%
Est. American Indian or Alaska Native 0.3% 0.3% 0.3%
Est. Other/Multiple Races 10.5% 8.3% 7.9%
Est. Hispanic Population 27.9% 24.6% 23.1%
PO
PU
LATI
ON
INC
OM
ER
AC
E
Demographics
$59,128AVG HH INCOME IN 5-MILE RADIUS
48,000ADT ALONG
STATE ROAD 7
465,407EST POPULATION IN 5-MILE RADIUS
$6.09 BAVG HH SPENDING IN 5-MILE RADIUS
ATLANT ICRETAIL .COM | 14C IRCLE K | CON F ID ENT IAL ITY
The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Atlantic Investments and should not be made available to any other person or entity without the written consent of Atlantic Investments. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Atlantic Investments has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Atlantic Investments has not verified, and will not verify, any of the information contained herein, nor has Atlantic Investments conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.
Confidentiality
N ORTH LAUDERDALE , FLORIDA
Circle K
BOSTON, MA | CHAPEL HILL, NC | CHARLOTTE, NC | JUPITER, FL | LOS ANGELES, CA | PITTSBURGH, PA | ATLANTICRETAIL.COM
Michael Zimmerman919.391.9901 [email protected]
Asking Price: $3,608,247Cap Rate: 4.85%
