FOUNDATION BUILDING MATERIALS
2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
marketing package
TABLE OF CONTENTS
03 Portfolio Overview 04 Investment Summary 05 Lease Summary 06 Building Features 07 Rent Schedule 08 Rent Comparables 09 Aerial 10 Site Plan 11
About the Brand
12 Location Overview CONTACT INFORMATION
CORY KRUPINSKY Associate (818) 620-3989
richard brehaut Director (909) 560-3010
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
PORTFOLIO OVERVIEW TOTAL
LIST PRICE
$27,000,000 Cumulative GLA
250,711 SF
Average Price / SF Average List Price / Asset
$107.69 $5,400,000
Average CAP Rate
5.22%
Total NOI
$1,341,993
Average Rent / SF
$5.17
TENANT
ADDRESS
GLA
LOT SIZE
NOI
CAP RATE
LIST PRICE
FBM
1924 W Princeton St, Orlando, FL
80,000 SF
8.63 AC
$389,040
3.54%
FBM
6001 Orient Rd, Tampa, FL
37,500 SF
6.14 AC
$247,164
MULTI
6695 Colray Ct, Jacksonville, FL
68,611 SF
7.69 AC
FBM
1688 Global Ct, Sarasota, FL
41,400 SF
FBM
2121 FL-472, DeLand, FL
TOTAL
03
LEASE
EXPIRATION
OPTIONS
LEASE TYPE
$11,000,000
05/01/2022
One (1), 3-Year
Triple-Net (NNN)
4.94%
$5,000,000
05/01/2022
One (1), 3-Year
Triple-Net (NNN)
$465,249
9.30%
$5,000,000
See OM
See OM
See OM
6.59 AC
$148,440
3.71%
$4,000,000
07/01/2023
Two (2), 3-Year
Triple-Net (NNN)
23,204 SF
2.60 AC
$92,100
4.61%
$2,000,000
05/01/2022
One (1), 3-Year
Triple-Net (NNN)
250,711 SF
31.65 AC
$1,341,993
5.22%
$27,000,000
2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
INVESTMENT SUMMARY Tenant Street Address City State Zip GLA Lot Size Year Built
Foundation Building Materials 2121 FL-472 DeLand FL 32724 23,204 SF
$
$2,000,000 LIST PRICE
% 4.61% CAP RATE $
$92,100
NET OPERATING INCOME
2.60 AC
Price / SF
$86.19
1986
Rent / SF
$3.96*
* Rent is 54% below market, see page 8 for rent comparables
Short-Term Lease with Below Market Rents Foundation Building Materials current term expires in 2022 with one (1), 3-year option. At $3.96/SF, FBM’s rent is 54% below market. See page 8 for rent comparables. Direct Access to Interstate 4 (129K VPD) The subject property is less than 1 mile from a point of ingress and egress to Interstate 4 (129,000 VPD). I-4 spans 132 miles and runs through Central FL, connecting the West Coast to the East Coast. Foundation Building Materials FBM is one of the largest specialty building products distributors of wallboard, suspended ceiling systems, and metal framing in North America. With full transparency of a publicly traded company, FBM’s mission is to serve the changing needs of the professional construction trades.
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
LEASE SUMMARY Lease Type
Type of Ownership Original Lease Term
Triple-Net (NNN) Fee Simple
Real Estate Taxes
Tenant Responsible
Insurance
Tenant Responsible
3 Years
Roof & Structure
Landlord Responsible
Commencement Date
05/01/2010
Lease Guarantor
Corporate
Lease Expiration
05/01/2022
Company Name
Foundation Building Materials
Term Remaining
1.5+ Years
Increases Options
CPI-U* One (1), 3-Year
* Average annual increase of CPI-U of previous 3 years, every 3 years.
Ownership
Public (NYSE: FBM)
Number of Locations Right to Terminate
180 Yes**
** Tenant shall have the right to terminate this Lease at any time during the term by deliv-
ering written notice to Landlord setting forth a termination date which shall be not less than twelve (12) months after the date of delivery of the notice.
Corporate Guarantee from Publicly Traded Company Foundation Building Materials (NYSE: FBM) was founded in 2011 and went public in 2017. Today, they currently operate 180 units in North America and Canada. Long-Term Commitment to the Site FBM executed their lease in 2010 in the heart of the recession. Since then, they have exercised 3 options showing commitment to the location. FBM is Well Positioned for Long Term Growth Over the past 9 years, FBM has strategically acquired 10 independent companies throughout North America. The opportunity to supplement with organic growth and strategic acquisitions makes them well positioned as a company for long term success.
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
BUILDING FEATURES
Number of Buildings
Two
Acres
±2.6
Minimum Clearance Height Parking
26’ Ample
Main Warehouse Doors
2 Ground Level
Side Warehouse Doors
4 Ground Level
Yard
Large & Secure
Slab
16”
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
RENT SCHEDULE Period
Term
Annual Rent
Monthly Rent
Increase
CAP Rate
05/01/2019 - 05/01/2022
3rd Option
$92,100
$7,675
-
4.61%
05/01/2022 - 05/01/2025
4th Option
-
-
CPI
-
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
RENT COMPARABLES
2121 FL-472, DELAND, FL 32724
NOI (Lease Rate)
$3.96 / SF GLA
23,204 SF
Lease Expiration
05/01/2022
Options
One (1), 3-Year
Lease Type
Triple-Net (NNN)
CAM
-
Escalations
CPI-U
TENANT
ADDRESS
GLA
COMMENCEMENT
LEASE
TERM IN
LEASE
EXPIRATION
RATE
LEASE
LEASE
TYPE
CAM
Boss Laser
901 S. Charles Richard Beal Blvd, Deland, FL
24,000 SF
06/01/2020
-
-
$8.50
Triple-Net (NNN)
$1.65 -
MONTHS
ION
381 Evangeline Way, Deland, FL
10,600 SF
06/01/2020
60
6/1/2025
$9.50
Triple-Net (NNN)
N/A
3866 Caboose Pl, Deland, FL
12,500 SF
03/01/2020
-
-
$8.75
Triple-Net (NNN)
-
19,670 SF
04/01/2020
$7.35
Triple-Net (NNN)
$1.39
American Battery AVERAGE
08
4200 Church St, Deland, FL
16,693 SF
60
-
$8.53
2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
RETAIL AERIAL
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
SITE PLAN
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
ABOUT THE BRAND
Foundation Building Materials Foundation Building Materials (FBM®) is a leading construction materials distributor focused on exceeding the expectations of the commercial construction and residential building trades. The Company fabricates and distributes its products for specialty contractors seeking to improve or maintain energy efficiency in a range of commercial and industrial buildings.
180
NYSE: FBM
$2.2 Billion
30 States + Canada
NUMBER OF LOCATIONS
$
TRADE NAME
ANNUAL REVENUE
GEOGRAPHICAL FOOTPRINT
FBM specializes in the local supply of building materials such as drywall, steel studs, lath, plaster, stucco, acoustical ceilings, insulation, fiberglass reinforced plastic (FRP), and exterior insulation finish systems (EIFS). Additionally, FBM offers a wide variety of commercial-grade construction tools, drywall hand tools, fasteners, and construction supplies for residential and commercial projects. Each Foundation Building Materials (FBM) location is uniquely focused on the individual building materials needs within its regional market. With over 180 locations across the United States and Canada, FBM has significant geographic reach into most major building materials markets. 2019 Full-Year Highlights • • • •
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Net sales of $2.2 billion, an increase of $110.2 million compared to the prior year period. Base business net sales of $1.9 billion, an increase of 2.5% compared to the prior year period. Adjusted net income of $47.6 million, an increase of $30.0 million, compared to the prior year period. Completed three acquisitions and opened San Antonio greenfield branch.
2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
LOCATION OVERVIEW DeLand, FL
The city sits approximately 34 miles north of the central business district of Orlando, and approximately 23 miles west of the central business district of Daytona Beach. It is a part of the Deltona– Daytona Beach–Ormond Beach metropolitan area. Explosive Population Growth From 2010 – 2018, the population within one mile of the subject property increased by 41%. The population within one mile is expected to grow by an additional 11% between 2018 – 2023. Home of Stetson University Founded in 1883, Stetson University is Florida’s oldest college. Stetson has 43,000 alumni, 4,429 enrolled students, and 195 full-time faculty teaching undergraduate courses.
Deltona, FL Approximately 5 miles south of DeLand, Fl is Deltona, FL, the most populous city in Volusia County. It is located on the northern shore of Lake Monroe along the St. Johns River in central Florida. The city is part of the Deltona–Daytona Beach–Ormond Beach, FL Metropolitan Statistical Area, which is grouped with the larger Orlando-Lakeland-Deltona, Florida Combined Statistical Area. As of 2019, the city had a population of 92,757. Strategically situated amidst some of the state’s most popular attractions, Deltona is the perfect place to hang your hat while experiencing all that Florida has to offer. Lake Monroe Lake Monroe is one of the lakes that make up the St. Johns River system. The port city of Sanford is situated along the southern shore, while DeBary and Deltona are located along the northern shore. It forms the border of Seminole County and Volusia County It is the 8th largest lake in the Orlando metropolitan area.
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
LOCATION OVERvIEW 1.
Blue Spring State Park 2100 W. French Ave, Orange City, FL 32763 6.4 MILES FROM SUBJECT PROPERTY
2. Central Florida Zoo & Botanical Gardens 3755 W. Seminole Blvd, Sanford, FL 32771 11.2 MILES FROM SUBJECT PROPERTY
3. Lake Monroe Lake Monroe, Florida 32725 12.2 MILES FROM SUBJECT PROPERTY
4. Orange City Racing and Card Club 822-4 Saxon Blvd, Orange City, FL 32763 5.4 MILES FROM SUBJECT PROPERTY
5. Green Springs Park 994 Enterprise Osteen Rd, Deltona, FL 32725 9.5 MILES FROM SUBJECT PROPERTY
6. Hontoon Island Adventures 2309 River Ridge Rd, DeLand, FL 32720 11.7 MILES FROM SUBJECT PROPERTY
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2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
LOCATION OVERvIEW
01 BLUE SPRING STATE PARK
Popular tourist destination for canoeing, scuba diving & more.
02 CENTRAL FLORIDA ZOO & BOTANICAL GARDENS
116-acre zoo and botanical garden with over 400 different animals.
04 ORANGE CITY RACING AND CARD CLUB
operating casino destinations with slots, card & racetrack games.
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03 LAKE MONROE
Lake Monroeis one of the lakes that make up the St. Johns River system.
05 GREEN SPRINGS PARK
The spring was once part of a 19thcentury health resort.
06 HONTOON ISLAND ADVENTURES
1,648-acre park only accessible by boat or park-operated ferry.
2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
DEMOGRAPHICS
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POPULATION
1-Mile
3-Mile
5-Mile
2025 Projection
1,071
36,789
110,837
2020 Estimate
964
33,886
102,533
2010 Census
682
28,970
90,390
Growth ‘20 - ‘25
11.1%
8.57%
8.10%
Growth ‘10 - ‘20
41.35%
16.97%
13.43%
HOUSEHOLDS
1-Mile
3-Mile
5-Mile
2025 Projection
464
14,998
43,374
2020 Estimate
419
13,823
40,122
2010 Census
303
11,840
35,280
Growth ‘20 - ‘25
10.74%
8.50%
8.11%
Growth ‘10 - ‘20
38.28%
16.75%
13.72%
Average Income
$83,340
$72,793
$65,601
Median Income
$65,892
$59,701
$52,022
2121 FL-472, DELAND, FL 32724
FOUNDATION BUILDING MATERIALS
DISCLAIMER
The information contained in this Marketing Brochure has been obtained from sources believed to be reliable, but the accuracy or completeness of the information contained therein cannot be guaranteed. James Capital Advisors, Inc. & Brian Brockman (“Broker”) has not, and will not, verify any of this information, nor has Broker conducted, nor will it conduct, any investigation regarding these matters. Broker makes no representations, guarantees, or warranties of any nature about the accuracy or completeness of any information provided. The information provided in this brochure is in no way a substitute for a thorough due diligence investigation by Buyer. Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to income and expenses for this property nor the future financial performance of the property. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties as to the size and square footage of the property, the presence of any contaminating substances at the property, the physical condition of the property or compliance with any State, Local or Federal regulations. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to the financial condition or future financial condition of any tenants, nor any future plans or intentions of tenants with regard to the continued occupancy of the property. All parties are aware that Broker has no affirmative obligation to conduct a due diligence examination of the property for any Buyer. Any and all projections or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. Therefore, Broker assumes no legal responsibility for accuracy or completeness of this information, and expressly disclaims all representations, guarantees, or warranties related thereto. The value of the property to any Buyer depends on numerous factors that must be evaluated by Buyer and Buyer’s legal, tax, construction, and financial advisors. Buyer and Buyer’s advisors should conduct a thorough, independent investigation of the property to determine its suitability for Buyer’s intended usage. This investment, as with all real estate investments, carries a substantial risk. As such, Buyer and Buyer’s legal and financial advisors are strongly advised to request and review all legal and financial documentations related to the property and tenants. A tenant’s past performance is not a guarantee of future performance. The lease rate stated for some properties may be based on a tenant’s projected sales with little or no record of actual performance or comparable rents for the area in question. Returns are in no way guaranteed. Tenants may fail to pay the rent or property taxes or any other tenant obligations under the terms of the lease or may default under the terms of such lease. Regardless of tenant’s history of performance, and/or any lease guarantors and/or guarantees, Buyer is responsible for conducting Buyer’s own investigation of all matters related to any and all tenants and lease agreements. Broker is not, in any way, responsible for the performance of any tenant or for any breach or default by any tenant of any terms of any lease agreement related to the property. Further, Buyer is responsible for conducting Buyer’s own independent investigation of all matters related to the value of the property, including, but not limited to, the value of any long-term leases. Buyer must carefully evaluate the possibility of tenants vacating the property or breaching their leases and the likelihood and financial impact of being required to find a replacement tenant if the current tenant should default and/or abandon the property. Buyer must also evaluate Buyer’s legal ability to make alternate use of the property in the event of a tenant abandonment of the property.
CONFIDENTIALITY This Marketing Brochure and the information contained within, is propriety and strictly confidential. It is intended to be used only by the party receiving it from Broker. It should not be made available to any other person or entity without the express written consent of Broker.
RELEASE This Marketing Brochure has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless Broker from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. or Broker be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.
NON-ENDORSEMENT Broker is not affiliated with, endorsed by or sponsored in any way by any tenant or lessee identified in this Marketing Brochure. The presence of any entity’s logo or name is not intended in any way to indicate affiliation, sponsorship or endorsement by said entity of Broker.
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www.jamescapitaladvisors.com
@jamescapitaladvisors
FOUNDATION BUILDING MATERIALS
CONTACT INFORMATION CONTACT
CORY KRUPINSKY
Associate (818) 620-3989 cory.krupinsky@jamescapitaladvisors.com CA RE Lic. 02086327
RICHARD BREHAUT
Director (909) 560-3010 richard@jamescapitaladvisors.com CA RE Lic. 01934760 BROKER OF RECORD
Brian Brockman
Bang Realty - Naples, Inc (513) 898-1551 brian@bangrealty.com FL RE Lic #: BK3327646 CORP. Lic #: CQ1049201
James Capital Advisors, Inc.
www.jamescapitaladvisors.com
@jamescapitaladvisors