EXCLUSIVE INVESTMENT OPPORTUNITY
Village Plaza
24012 AVENIDA DE LA CARLOTA LAGUNA HILLS, CALIFORNIA
CONFIDENTIALITY
T
his is a confidential marketing profile (the “Profile”) intended solely for your limited use and benefit in determining whether you desire to express further interest in purchasing the “Property”, located in Laguna Hills, CA. This Profile has been prepared by Pacific Commercial Investments, Inc. (“PCI”) on behalf of the owner of the Property (the “Owner”) and has been reviewed by representatives of the Owner. It contains select information pertaining to the Property and does not purport to be an all inclusive representation of the state of affairs of the Property, or to contain all the information, which prospective investors may require. All financial projections and information are provided for general reference purposes only and are based on assumptions relating to the general economy, market conditions, competition and other factors beyond the control of the Owner and PCI. The information contained herein was obtained from third parties, and it has not been independently verified by PCI. Prospective investors should have the experts of their choice inspect the Property and verify all information. PCI is not qualified to act as or select experts with respect to legal, tax, environmental, building construction, soils drainage or other such matters. Therefore, all projections, assumptions and other information provided and made herein are subject to material variation. Neither the Owner nor PCI, nor any of their respective directors, officers, affiliates or representatives make any representation or warranty, expressed or implied, as to the accuracy of completeness of this Profile or any of its contents, and no legal commitment or obligation shall arise by reason of your receipt of this Profile or use of its contents.
The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers on the subject Property, and/or to terminate discussions with any entity at any time with or without notice which may arise as a result of review of this Profile. The Owner shall have no legal commitment or obligation to any entity reviewing this Profile or making an offer on the Property unless and until written agreement(s) for the Property have been fully executed, delivered and approved by the Owner and any conditions to the Owner’s obligations therein have been satisfied or waived. By receipt of this Profile, you agree that this Profile and its contents are of a confidential nature, that you will hold and treat it in the strictest confidence and that you will not disclose this Profile or any of its contents to any other entity without prior written authorization of the Owner or PCI. You also agree that you will not use this Profile or any of its contents in any manner detrimental to the interest of the Owner or PCI. PCI reserves the right to submit the Property to additional clients on terms that may or may not be identical to the terms contained herein. By receipt of this Profile, you acknowledge that competing interests may develop in connection with offers on the Property, and waive any onflict of interest that might arise as a result thereof. In such case, PCI expressly disclaims any obligation to advance the interest of any client at the expense of any other client who mayreceive this Profile. Dealings with each client shall remain strictly confidential and in no case will PCI disclose the terms of any actual or potential offer to any competing client.
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PROPERTY SUMMARY
PROPERTY INFORMATION
PROPERTY HIGHLIGHTS
Address:
24012 Avenida De La Carlota Laguna Hills, CA (View Map)
Improvements:
Approx. 13,301 Square Feet
• Premier South Orange County Location - Trophy Investment - A+ Location in South Orange County - Arguably Best Trade Area in OC - Major Retail Development on Both Sides of the San Diego (I-5) Freeway
Land:
Approx. 39,600 Square Feet
Occupancy:
100%
APN:
621-052-02
FINANCIAL INFORMATION Price:
$9,350,000
Cap Rate:
5.50%
Cash on Cash Return:
9.50%
Terms:
Cash to Assumable Loan
ASSUMABLE LOAN INFORMATION Existing Loan Amount:
$6,800,000
Remaining Term:
28 Years
Rate:
4% Interest Only
Equity Required:
$2,550,000
•
Exceptional Long-Term Assumable Financing - 9.50% C/C Return - Thirty (30) Year Original Term with Twenty Eight (28) Years Remaining - 4% I/O Years 1-10 | 5% I/O Years 11-20 | 6% I/O Years 21-30 - No Assumption Fee, Pre-Payment Penalty or Partial Paydown Penalty - Unparalleled 9.50% C/C Return for Trophy Orange County Property
• High-Identity Positioning Adjacent to San Diego (I-5) Freeway - Over 342,000 Cars Per Day Along I-5 Freeway at El Toro Road Exit - Unmatched Consumer Exposure - Freeway Visibility • Signalized Hard-Corner Location Across From Laguna Hills Mall - One of the Top Intersections in All of Orange County - Over 69,000+ Cars Per Day at El Toro Road & Avenida De La Carlota - Laguna Hills Mall - Anchored By Sears, Macy’s & JCPenney - Complete Renovation of Mall in Immediate Future • 100% Occupied NNN Multi-Tenant Retail Featuring Annual Increases - Guarantees Continued Income Stream Growth Year After Year - All Property Expenses Borne By Tenants - NNN Investment - Tenants Additionally Pay Various Administrative & Management Fees • Dense and Affluent Supporting Demographic - 3-Mile Radius - Total Population: 149,000+ | AVG HH Income: $90,000+
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LOCATION & TRADE AREA DEMOGRAPHICS
The subject property is ideally located at the SEC of the signalized intersection of El Toro road and Avenida De La Carlota (69,000+ CPD) in the City of Laguna Hills, California. El Toro Road is a major east / west thoroughfare connecting the affluent communities of Laguna Woods, Laguna Hills, Lake Forest, and Foothill Ranch. Avenida De La Carlota is a north / south thoroughfare which runs parallel with the San Diego (I-5) Freeway connecting some of the trade area’s main east / west arterials. Positioned on the signalized hard-corner immediately adjacent to the San Diego (I-5) Freeway, the subject property is prominently located directly across from the Laguna Hills Mall (anchored by Macy’s, JCPenney, and Sears), a major shopping destination of the trade area and surrounding communities which will be undergoing a full renovation in the immediate future (Owned by Simon, the largest Mall Owner in the United States). Some of the tenants sharing the intersection or within immediate proximity of the subject property include: In-N-Out, Ashley Furniture, Chick-Fil-A, Mother’s Market, Bank of America, Chase Bank, Trader Joes, Citibank, Home Depot, Ralph’s, CVS, Petco, & Petsmart. In addition to excellent retail synergy, the subject property benefits from a large surrounding daytime work population due to the numerous medical and office facilities located nearby. Approximately 1/4 mile west along El Toro Road is the Laguna Hills City Hall and Civic Center. Directly on the other side of Laguna Hills Mall, less than 1/2 mile from the subject property, is Saddleback Memorial Medical Center, a 325-bed facility which has served South Orange County residents for over thirty years. In 2010 it was named one of the nation’s 100 top hospitals by Tomson Reuters, making it the only hospital to receive such recognition in all of Orange County and Los Angeles County.
DEMOGRAPHICS
3-Mile 5-Mile
2011 Population:
149,472
283,397
2011 Households:
56,972
105,854
2011 Average HH Income:
$90,189
$103,681
2011 Daytime Population:
171,784
324,155
2011 Daytime Work Population:
98,608
185,611
Incorporated in 1991, the City of Laguna Hills is located in South Orange County neighboring the Cities of Aliso Viejo, Mission Viejo, Laguna Woods, and Lake Forest. As of the 2010 Census, Laguna Hills had a total population of approximately 30,344 people in approximately 10,469 households with an average household income exceeding $123,000. In 2011, the total population within a one-mile radius of the subject property exceeded 22,000 people in over 9,900 households. The 2011 daytime population within a one-mile radius was over 33,000 people with a daytime work-population exceeding 19,000 people.
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PROPERTY SUMMARY
ANNUAL OPERATING INFORMATION Gross Scheduled Income:
$514,836
Plus Recapture: NNN Gross Operating Income:
$514,836
Less Operating Expenses: (NNN) Net Operating Income:
$514,836
Less Debt Service:
($272,000)
Net Cash Flow:
$242,836
ASSUMABLE LOAN INFORMATION Loan Amount:
$6,800,000
Term:
30 Years
Rate:
4% Years 1-10
5% Years 11-20
6% Years 21-30
Annual Payment:
$272,000
Maturity Date:
November 18, 2040
*No Assumption Fee, Pre-Payment Penalty or Partial Paydown Penalty
THE INVESTMENT This rare multi-tenant investment property provides an investor the unique opporuntity to own a trophy freeway adjacent South Orange County property at one of the best intersections in all of Orange County. Positioned at the signalized hard-corner of El Toro Road and Avenida De La Carlota (69,000+ Cars Per Day), at the gateway entrance to the Laguna Hills Mall, the subject property benefits from exceptional visibility, accessibility and identity resulting in unmatched consumer exposure to the subject tenants. Situated on approximately 39,600 square feet of land immediately adjacent to the San Diego (I-5) Freeway, this 100% occupied multitenant investment offers leases featuring scheduled annual rental increases, providing an investor with continuous growth to their income stream year after year. Additionally all leases are triplenet (NNN) and include reimbursement for administrative fees and management fees, ensuring all property expenses are borne by the tenants. A new owner can feel confident in this investment knowing that they will not be financially burdened by the general maintenance and property expenses associated with similar investments. The most attractive and unique part of this investment is the existing long-term assumable financing, which immediately provides an investor with an exceptional 9.50% cash on cash return. With approximately twenty eight years of term remaining (2040 Maturity) and no assumption fee, pre-payment penalty or partial paydown penalty, an investor has the rare opportunity to benefit from excellent long-term financing while still maintaining financial flexibility in the future.
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RENT ROLL
*Rent Roll will be provided with the completion of the confidentiality agreement found here
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SITE PLAN
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AERIAL PHOTO - INTERSECTION VIEW
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AERIAL PHOTO - TRADE AREA VIEW
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LOCATION MAP
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LOCATION MAP
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PARCEL MAP
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