Middletown Plaza - Georgetown, TX

MIDDLETOWN PLAZA GEORGETOWN, TX (AUSTIN MSA)

PRICING & FINANCIAL ANALYSIS

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

Middletown Plaza SC 600 N. Austin Avenue Georgetown, TX 78626

OFFERING SUMMARY Price As Is Net Operating Income Pro Forma Cap Rate Pro Forma Net Operating Income

$1,000,000 $47,099 10.15% $101,475

Price PSF

$197.08

Occupancy

100.0%

Year Built Gross Leasable Area Lot Size

1999 5,074 SF 0.62 Acres

F I N A N C I A L A N A LY S I S

2

PRICING & FINANCIAL ANALYSIS

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

As Is INCOME & EXPENSES - AS IS Base Rent - Occupied Space GROSS POTENTIAL RENT

CURRENT 100%

PSF

CURRENT

PSF

$59,280

$11.68

Real Estate Taxes

$13,255

$2.61

$59,280

$11.68

Insurance

$3,235

$0.64

$3,600

$0.71

Expense Reimbursements CAM Recoveries

EXPENSES

CAM $12,004

$2.37

Landscaping

$0

$0.00

Repairs

$1,718

$0.34

$3,235

$0.64

Legal

$1,716

$0.34

Real Estate Tax Recoveries

$13,255

$2.61

Utilities

$14,056

$2.77

Total Expense Reimbursements

$28,495

$5.62

Supplies

$638

$0.13

EFFECTIVE GROSS REVENUE

$87,775

$17.30

Total CAM

$21,728

$4.28

$2,453

$0.48

$40,671

$8.02

Management Fee Recoveries Insurance Recoveries

Operating Expenses

Management Fee

Total CAM

$21,728

$4.28

Management Fee

$2,453

$0.48

Total Insurance

$3,235

$0.64

Total Real Estate Taxes

$13,255

$2.61

Total Recoverable Expenses

$40,671

$8.02

Net Operating Income

$47,099

$9.28

Total Expenses

2.80%

F I N A N C I A L A N A LY S I S

3

RE NT RO L L

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

As Is Tenant

Suite

SQ FT

% of SQFT

Lease Dates

Minimum Rent

Recoveries

Total

Start

End

Annual

Monthly

PSF

Annual

PSF

Revenue

% of Revenue

Thuan Pham

A

1,634

32.20%

08/17

07/22

$19,680

$1,640

$12.04

$9,118

$5.58

$28,798

32.81%

T's Blue Tattoo

C

980

19.31%

11/14

MTM

$10,800

$900

$11.02

$4,969

$5.07

$15,769

17.96%

Hair Express

D

760

14.98%

07/15

11/21

$9,600

$800

$12.63

$4,803

$6.32

$14,403

16.41%

Linda's Nails

E,F

1,700

33.50%

03/15

02/20

$19,200

$1,600

$11.29

$9,605

$5.65

$28,805

32.82%

Total Count/GLA

4

5,074

100%

Totals

$59,280

$4,940

$87,775

100.00%

Occupied

4

5,074

100.0%

Available

0

0

0.0%

$11.68

5,074

100.0%

Total Avg Rent

$28,495

F I N A N C I A L A N A LY S I S

4

TI TLE ESTIMATED REIMBURSEMENT REVENUE

Tenant

Suite

SQ FT

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

% of SQFT

CAM

Management Fee

Insurance

Real Estate Taxes

Total Recovery

Monthly

PSF

Monthly

PSF

Monthly

PSF

Monthly

PSF

Monthly

PSF

Thuan Pham

A

1,634

32.20%

$317

$2.33

$0

$0.00

$87

$0.64

$356

$2.61

$760

$5.58

T's Blue Tattoo

C

980

19.31%

$149

$1.82

$0

$0.00

$52

$0.64

$213

$2.61

$414

$5.07

Hair Express

D

760

14.98%

$194

$3.07

$0

$0.00

$40

$0.64

$165

$2.61

$400

$6.32

Linda's Nails

E,F

1,700

33.50%

$340

$2.40

$0

$0.00

$90

$0.64

$370

$2.61

$800

$5.65

5,074

100%

$1,000

TOTALS

$0

$270

$1,105

$2,375

L E A SE PROVIS ION S

Tenant

Suite

SQ FT

Base Rental Increases

Renewal Options

Sales Reporting

Date

PSF

Options

Date

PSF

Thuan Pham

A

1,634

-

-

2x 3 Year

8/1/2022 8/1/2025

$12.48 $12.85

No

T's Blue Tattoo

C

980

-

-

-

-

-

No

Hair Express

D

760

-

-

1 x 2 Year

12/1/2021

$13.26

No

Linda's Nails

E,F

1,700

-

-

-

-

-

No

TOTAL

5,074

F I N A N C I A L A N A LY S I S

5

PRICING & FINANCIAL ANALYSIS

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

Pro Forma INCOME & EXPENSES Base Rent - Occupied Space GROSS POTENTIAL RENT

PRO FORMA 100%

PSF

EXPENSES

PRO FORMA

PSF

$101,480

$20.00

Real Estate Taxes

$13,255

$2.61

$101,480

$20.00

Insurance

$3,235

$0.64

$3,600

$0.71

Expense Reimbursements

CAM

CAM Recoveries

$21,728

$4.28

Landscaping

Management Fee Recoveries

$4,007

$0.79

Repairs

$1,718

$0.34

Insurance Recoveries

$3,235

$0.64

Legal

$1,716

$0.34

Real Estate Tax Recoveries

$13,255

$2.61

Utilities

$14,056

$2.77

Total Expense Reimbursements

$42,225

$8.32

Supplies

$638

$0.13

$28.32

Total CAM

$21,728

$4.28

$4,007

$0.79

$42,225

$8.32

EFFECTIVE GROSS REVENUE

$143,700

Operating Expenses

Management Fee

Total CAM

$21,728

$4.28

Management Fee

$4,007

$0.79

Total Insurance

$3,235

$0.64

Total Real Estate Taxes

$13,255

$2.61

Total Recoverable Expenses

$42,225

$8.32

Net Operating Income

$101,475

$20.00

Total Expenses

2.80%

F I N A N C I A L A N A LY S I S

6

RE NT RO L L

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

Pro Forma Tenant

Suite

SQ FT

% of SQFT

Lease Dates

Minimum Rent

Recoveries

Total

Start

End

Annual

Monthly

PSF

Annual

PSF

Revenue

% of Revenue

Thuan Pham

A

1,634

32.20%

08/17

07/22

$32,680

$2,723

$20.00

$13,598

$8.32

$46,278

32.20%

T's Blue Tattoo

C

980

19.31%

11/14

MTM

$19,600

$1,633

$20.00

$8,155

$8.32

$27,755

19.31%

Hair Express

D

760

14.98%

07/15

11/21

$15,200

$1,267

$20.00

$6,325

$8.32

$21,525

14.98%

Linda's Nails

E,F

1,700

33.50%

03/15

02/20

$34,000

$2,833

$20.00

$14,147

$8.32

$48,147

33.50%

Total Count/GLA

4

5,074

100%

Totals

$101,480

$8,457

$143,705

100.00%

Occupied

4

5,074

100.0%

Available

0

0

0.0%

$20.00

5,074

100.0%

Total Avg Rent

$42,225

F I N A N C I A L A N A LY S I S

7

TE NA NT INF ORMAT I ON

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

DBA

Misu Sushi

Entity on Lease

Thuan M. Pham

Locations

1

Public/Private

Private

Line of Business

Misu Sushi is a sushi restaurant that offers dining and takeout in Georgetown. Misu Sushi is a cornerstone in the Georgetown community and has been recognized for its outstanding Sushi cuisine, excellent service and friendly staff. Misu Sushi is known for its modern interpretation of classic dishes and its insistence on only using high quality fresh ingredients.

DBA

Hair Express

Entity on Lease

Hair Express

Locations

1

Public/Private

Private

Line of Business

Hair Express in Georgetown, TX, is a salon owned and operated by Moe and Sue Mirzai, who have over 45 years of combined experience in hairstyling. Hair Express places high importance that its clients feel confident and comfortable throughout their experience. A thorough consultation is always part of the appointment. Hair Express also offers custom cuts, colors and styles that suits its clients’ lifestyles and aesthetics.

PROPERTY DESCRIPTION

8

I N VE S TMENT HI GHLI GHT S

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

• Below-Market Rents: The Average Rental Rate at Middletown Plaza is $11.68/SF, While Market Rent in the Immediate Trade Area is Leasing at $22/SF. • Strong Location: The Property is Located On North Austin Ave, a Major Thoroughfare Connecting Georgetown. Additionally, the Site has Convenient Access to all Parts of Central Texas Via I-35 and the 130 Toll.

• G rowing Submarket: The Georgetown Retail Market has 3.3% Rental Growth in the Previous 12 Months and is Currently 96.2% Occupied.

• Extremely High Traffic Counts: I-35 (106,726 VPD) and N Austin Ave (22,347 VPD) Providing an Exceptional Commerce Base.

• Exceptional Demographics: The Surrounding Area has Experienced Population Growth Over 35% Since 2010. Average Household Income Within a 3-Mile Radius is $82,561.

• Tremendous Trade Area: Surrounding National Retailers include Walmart, Home Depot, McDonalds, Papa Johns, KFC, Sonic, CVS, Starbucks, Regions Bank and Many More.

PROPERTY DESCRIPTION

9

S I T E PL A N

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

N AUSTIN AVE

W MORROW ST

PROPERTY DESCRIPTION

10

A E R I AL MA P

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X W IL LI AM

S

D

R ,6

97 V

PD

10

6,

72

6

VP

D

32

N AUSTIN AVE

22,347 VPD

Wolf Ranch Town Center

WILLIAMS ELEMENTARY SCHOOL

PURL ELEMENTARY SCHOOL

PROPERTY DESCRIPTION

11

L E A SE COMPA RABLES

Property Middletown Plaza ï‚« 600 N Austin Ave Georgetown, TX

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

GLA

Yr Built/ Renovated Occupancy

Major Tenants

Available SF

Rental Rates

NNN

5,074

1999

100.0%

Misu Sushi, Hair Express

0

$11.00 - $12.00

$8.32

Market at Georgetown (Adjacent) 1 610 N Austin Ave Georgetown, TX

54,994

1999/2017

100.0%

Double Dave's, La Playa, Mattress One

0

$21.00 $23.00 (InLine)

$5.00

Republic Square 2 900 N Austin Ave Georgetown, TX

112,625

1974/2002

92.4%

Subway, Chipotle, Dollar Tree, Pizza Hut

8,579

$22.00 $30.00 (InLine)

$5.29

N Austin Ave Retail 3 103 N Austin Ave Georgetown, TX

7,650

1930/2012

100.0%

Gaston Salon, Hula Cowgirl Shaved Ice

0

$22.00 $26.00

$8.00

University Commons 4 603 W University Ave Georgetown, TX

37,451

2001

100.0%

Advance Auto Parts, Family Dollar Store, G-Pro Nails

0

$17.00-$20.00

$5.50

Georgetown Plaza 5 505 W University Ave Georgetown, TX

21,058

1985

66.2%

World Finance, Old Town Salon

7,122

$18.00-$22.00

$5.00

PROPERTY DESCRIPTION

12

L E A SE COMPA RABLES

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

Middletown Plaza 1

Market at Georgetown (Adjacent)

2

Republic Square

3

N Austin Ave Retail

4

University Commons

5

Georgetown Plaza

2

1

3

4

5

PROPERTY DESCRIPTION

13

LO C AL MA P

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

PROPERTY DESCRIPTION

14

REG IONA L MA P

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

PROPERTY DESCRIPTION

15

M A R KET S U MMARY

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

Austin, TX

OVERVIEW Austin, Texas is the capital of Texas and the seat of Travis County. Located in Central Texas, Austin is the 11th-most populous city in the United States and the fourth-most populous city in Texas. It was the third-fastest-growing large city in the nation from 2000 to 2006. Austin is also the second largest state capital in the United States. Austin had a July 1, 2013 population of 885,400 (U.S. Census Bureau estimate). The city is the cultural and economic center of the Austin–Round Rock metropolitan area, which had an estimated population of 1,883,051 as of July 1, 2013.

Austin is considered to be a major center for high tech. The region’s rapid growth has led Forbes to rank the Austin metropolitan area #1 among all big cities for jobs for 2012 in their annual survey.

The Wall Street Journal Marketwatch ranked the area Number One for growing businesses. By 2013, Austin ranked No. 14 on Forbes’ list of the Best Places for Business and Careers (directly below Dallas, No. 13 on the list). As a result of the

high concentration of high-tech companies in the region, Austin was strongly affected by the dotcom boom in the late 1990s and subsequent bust.

Austin’s largest employers include the Austin Independent School District, the City of Austin, Dell, the U.S. Federal Government, Freescale Semiconductor (spun off from Motorola in 2004), IBM, St. David’s Healthcare Partnership, Seton Family of Hospitals, the State of Texas, the Texas State University, and the University of Texas at Austin. Other high-tech companies with operations in Austin include 3M, Apple, Hewlett-Packard, Google, Qualcomm, Inc., AMD, Applied Materials, Cirrus Logic, ARM Holdings, Cisco Systems, Electronic Arts, Flextronics, Facebook, eBay/PayPal, Bioware, Blizzard Entertainment, Hoover’s, Intel Corporation, National Instruments, Rackspace, RetailMeNot, Rooster Teeth, Spansion, Buffalo Technology, Silicon Laboratories, Xerox, Oracle, Hostgator, Samsung Group, HomeAway, and United Devices.

PROPERTY DESCRIPTION

16

D E M OG RA PHIC STAT I ST I CS

MI DD LE TOWN P LAZ A SC - G EO R G E TOWN, T X

1 Mile

3 Mile

5 Mile

2023 Projection

9,934

54,046

83,030

2018 Estimate

8,562

45,895

70,280

2010 Census

6,821

33,837

50,296

Population:

Growth 2018-2023

16.02%

17.76%

18.14%

Growth 2010-2018

25.52%

35.64%

39.73%

2,364

13,344

17,565

White

7,314

41,311

63,407

Black

2018 Population Hispanic Origin

2018 Population by Race: 838

2,388

3,123

Am. Indian & Alaskan

75

432

572

Asian

158

701

1,648

7

61

83

171

1,002

1,447

11

79

202

2023 Projection

3,090

18,472

28,987

2018 Estimate

2,634

15,747

24,665

2010 Census

2,001

11,942

18,338

Growth 2018 - 2023

17.31%

17.30%

17.52%

Growth 2010 - 2018

31.63%

31.86%

34.50%

1,154

9,733

17,272

Hawaiian & Pacific Island Other U.S. Armed Forces:

Households:

Owner Occupied

1,480

6,014

7,393

2018 Avg Household Income (National Avg - $75,558)

Renter Occupied

$68,645

$82,561

$94,026

2018 Med Household Income (National Avg - $53,889)

$58,403

$67,472

$75,453

<$25,000

488

2,474

3,308

$25,000 - $50,000

632

3,319

4,570

$50,000 - $75,000

679

3,035

4,398

$75,000 - $100,000

323

2,111

3,121

$100,000 - $125,000

166

1,904

3,350

2018 Households by Household Inc:

$125,000 - $150,000

222

1,199

2,286

$150,000 - $200,000

64

1,072

1,997

$200,000+

61

632

1,635

Demographic data © CoStar 2019

PROPERTY DESCRIPTION

17

CONFIDENTIALITY AGREEMENT The information contained in the following offering memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from STRIVE and it should not be made available to any other person or entity without the written consent of STRIVE. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to STRIVE. This offering memorandum has been prepared to provide summary, unverified financial and physical 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. STRIVE 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 local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenantâ&#x20AC;&#x2122;s plans or intentions to continue its occupancy of the subject property. The information contained in this offering memorandum has been obtained from sources we believe to be reliable; however, STRIVE has not verified, and will not verify, any of the information contained herein, nor has STRIVE 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. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT STRIVE AGENT FOR MORE DETAILS.

Commercial Disclaimer STRIVE hereby advises all prospective purchasers of commercial property as follows: The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, STRIVE has not and will not verify any of this information, nor has STRIVE conducted any investigation regarding these matters. STRIVE makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.

As the Buyer of a commercial property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. STRIVE expressly denies any obligation to conduct a due diligence examination of this Property for Buyer.

Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a commercial property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any commercial property to determine to your satisfaction with the suitability of the property for your needs.

Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenants and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenants history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term leases, including the likelihood of locating replacement tenants if any of the current tenants should default or abandon the property, and the lease terms that Buyer may be able to negotiate with any potential replacement tenants considering the location of the property, and Buyer’s legal ability to make alternate use of the property.

By accepting this Marketing Brochure you agree to release STRIVE and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this commercial property.

Information About Brokerage Services

Texas law requires all real estate license holders to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords.

TYPES OF REAL ESTATE LICENSE HOLDERS: • A BROKER is responsible for all brokerage activities, including acts performed by sales agents sponsored by the broker.

• A SALES AGENT must be sponsored by a broker and works with clients on behalf of the broker.

A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents): • Put the interests of the client above all others, including the broker’s own interests; • Inform the client of any material information about the property or transaction received by the broker; • Answer the client’s questions and present any offer to or counter-offer from the client; and • Treat all parties to a real estate transaction honestly and fairly.

A LICENSE HOLDER CAN REPRESENT A PARTY IN A REAL ESTATE TRANSACTION: AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner’s agent through an agreement with the owner, usually in a written listing to sell or property management agreement. An owner’s agent must perform the broker’s minimum duties above and must inform the owner of any material information about the property or transaction known by the agent, including information disclosed to the agent or subagent by the buyer or buyer’s agent.

AS AGENT FOR BUYER/TENANT: The broker becomes the buyer/tenant’s agent by agreeing to represent the buyer, usually through a written representation agreement. A buyer’s agent must perform the broker’s minimum duties above and must inform the buyer of any material information about the property or transaction known by the agent, including information disclosed to the agent by th e seller or seller’s agent.

AS AGENT FOR BOTH - INTERMEDIARY: To act as an intermediary between the parties the broker must first obtain the written agreement of each party to the transaction. The written agreement must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker’s obligations as an intermediary. A broker who acts as an intermediary: • Must treat all parties to the transaction impartially and fairly; • May, with the parties’ written consent, appoint a different license holder associated with the broker to each party (owner and • buyer) to communicate with, provide opinions and advice to, and carry out the instructions of each party to the transaction.

• Must not, unless specifically authorized in writing to do so by the party, disclose: ӽӽ that the owner will accept a price less than the written asking price; ӽӽ that the buyer/tenant will pay a price greater than the price submitted in a written offer; and ӽӽ any confidential information or any other information that a party specifically instructs the broker in writing not to disclose, unless required to do so by law.

AS SUBAGENT: A license holder acts as a subagent when aiding a buyer in a transaction without an agreement to represent the buyer. A subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first.

TO AVOID DISPUTES, ALL AGREEMENTS BETWEEN YOU AND A BROKER SHOULD BE IN WRITING AND CLEARLY ESTABLISH: • The broker’s duties and responsibilities to you, and your obligations under the representation agreement.

• Who will pay the broker for services provided to you, when payment will be made and how the payment will be calculated.

LICENSE HOLDER CONTACT INFORMATION: This notice is being provided for information purposes. It does not create an obligation for you to use the broker’s services. Please acknowledge receipt of this notice below and retain a copy for your records.

Regulated by the Texas Real Estate Commission

Information available at www.trec.texas.gov IABS 1-0

exclusively listed 469.844.8880

STRIVERE.COM