Pei Wei Strip - Euless, TX

PEI WEI STRIP CENTER EULESS, TX (DALLAS MSA)

PRICING & FINANCIAL ANALYSIS

P E I WE I ST R IP C E NT E R

Pei Wei Strip Center 2521 TX-121 Euless, TX 76039

OFFERING SUMMARY Price Cap Rate Net Operating Income Price PSF Occupancy Year Built Gross Leasable Area Lot Size

$4,170,000 6.25% $260,635 $620.63 100.0% 2019 6,719 SF 0.74 Acres

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

2

PRICING & FINANCIAL ANALYSIS

P E I WE I ST R IP C E NT E R

PROJECTED INCOME & EXPENSES Base Rent - Occupied Space

CURRENT 100%

GROSS POTENTIAL RENT

PSF

EXPENSES

$264,276

$39.33

Real Estate Taxes

$264,276

$39.33

Insurance

Expense Reimbursements

CURRENT

PSF

$37,744

$5.62

$1,749

$0.26

CAM

CAM Recoveries

$17,716

$2.64

Maintenance & Repairs

$740

$0.11

Management Fee Recoveries

$4,370

$0.65

Parking Lot Maintenance

$471

$0.07

$1,749

$0.26

Landscaping

$6,459

$0.96

Real Estate Tax Recoveries

$37,744

$5.62

Snow Removal

$941

$0.14

Total Expense Reimbursements

$61,579

$9.16

Parking Lot Sweeping

$1,682

$0.25

Electricity

$1,884

$0.28

Water & Sewer

$808

$0.12

Insurance Recoveries

EFFECTIVE GROSS REVENUE

$325,860

$48.50

Operating Expenses Total CAM Management Fee Total Insurance Total Real Estate Taxes Total Recoverable Expenses Net Operating Income

3.00%

$15,945

$2.37

Security

$807

$0.12

$9,787

$1.46

Entry Feature Agreement

$2,153

$0.32

$1,749

$0.26

Total CAM

$15,945

$2.37

$37,744

$5.62

Management Fee

$9,787

$1.46

$65,225

$9.71

Total Expenses

$65,225

$9.71

$260,635

3.00%

$38.79

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

3

RE NT RO L L

Tenant

P E I WE I ST R IP C E NT E R

Suite

SQ FT

% of SQFT

Lease Dates

Minimum Rent

Recoveries

Total

Start

End

Annual

Monthly

PSF

Annual

PSF

Revenue

% of Revenue

My EyeLab

1

3,000

44.65%

04/19

04/29

$117,000

$9,750

$39.00

$29,835

$9.94

$146,835

45.06%

Floyd's Barbershop

2

1,490

22.18%

08/19

08/29

$58,116

$4,843

$39.00

$12,824

$8.61

$70,940

21.77%

Pei Wei Asian Bistro

3

2,229

33.17%

04/19

04/29

$89,160

$7,430

$40.00

$18,920

$8.49

$108,080

33.17%

Total Count/GLA

3

6,719

100%

$264,276

$22,023

$325,855

100.00%

Occupied

3

6,719

100.0%

Available

0

0

0.0%

$39.33

6,719

100.0%

Total Avg Rent

$61,579

Lease Notes: 1. Early to mid April is the estimated opening date for My EyeLab. 2. Mid to late August is the estimated opening date for Floyd’s Barbershop.

3. Pei Wei’s estimated opening date is 4/29/19.

E S TI MATED REIMBUR SEMEN T R EVEN U E

Tenant

Suite

SQ FT

% of SQFT

CAM

Management Fee

Insurance

Real Estate Taxes

Total Recovery

Monthly

PSF

Monthly

PSF

Monthly

PSF

Monthly

PSF

Monthly

PSF

My EyeLab

1

3,000

44.65%

$653

$2.61

$364

$1.46

$65

$0.26

$1,404

$5.62

$2,486

$9.94

Floyd's Barbershop

2

1,490

22.18%

$339

$2.73

$0

$0.00

$32

$0.26

$698

$5.62

$1,069

$8.61

Pei Wei Asian Bistro

3

2,229

33.17%

$485

$2.61

$0

$0.00

$48

$0.26

$1,043

$5.62

$1,577

$8.49

6,719

100%

$1,476

TOTALS

$364

$146

$3,145

$5,132

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

4

L E A SE PROVIS ION S

Tenant

Suite

P E I WE I ST R IP C E NT E R

SQ FT

Base Rental Increases

Renewal Options

Date

PSF

Options

Date

PSF

User Restrictions & Exclusive Rights

Sales Reporting

My EyeLab

1

3,000

5/1/2024

$42.90

2x5

5/1/2029 5/1/2034

$47.19 $51.91

-

No

Floyd's Barbershop

2

1,490

9/1/2024

$44.00

2x5

9/1/2029 9/1/2034

$48.40 $53.24

-

Yes

Pei Wei Asian Bistro

3

2,229

6/1/2024

$44.00

4x5

6/1/2029 6/1/2034 6/1/2039 6/1/2044

$54.45 $59.90 $65.88 $72.47

TOTAL

Exclusive right to to prepare and sell Asian Cuisine

Yes

6,719

PROPERTY DESCRIPTION

5

TE NA NT INF ORMAT I ON

P E I WE I ST R IP C E NT E R DBA

Pei Wei

Tenant

Pei Wei Asian Diner, LLC

Corporate/Franchise

Corporate

Locations

200+ Locations Worldwide

Credit Rating

Not Rated

Public/Private

Private

Line of Business

Pei Wei Asian Bistro is an American restaurant chain serving Pan Asian fare, operating in more than 200 locations in the U.S. and six international locations. Pei Wei’s dishes are made to order in an open concept kitchen using cooking methods like wok firing. Pei Wei Asian Diner was created in 2000 by P. F. Chang’s China Bistro to compete in the fast casual restaurant segment with a Pan Asian menu, while P. F. Chang’s remained in the full-service restaurant segment.

DBA

My Eyelab

Entity on Lease

Daniel, Max & Marc’Andrea, LLC

Corporate/Franchise

Corporate

Locations

150+

Credit Rating

Not Rated

Public/Private

Private

Line of Business

Since its inception in 2013, My Eyelab has become a leader in the eye health industry by developing an accessible alternative to overpriced eye care services. My Eyelab believes that quality, good eye health should be accessible and affordable for everyone. My Eyelab works directly with eyewear manufacturers and are able to pass on significant savings to their customers. With over 2,000 men’s, women’s, and children’s frames ranging from trendy to classic to everything in between, My Eyelab has a style for everyone.

DBA

Floyd’s 99 Barbershop

Tenant

Shear Drive, LLC

Corporate/Franchise

Franchise

Locations

115+

Credit Rating

Not Rated

Public/Private

Private

Line of Business

Floyd’s 99 is a barbershop that combines excellent service with the new-style appeal of an experienced and talented staff. From the diverse styles and personalities of our stylists/ barbers, to our signature rock and roll poster wall plastered with a time machine of music memorabilia, Floyd’s 99 is a place where the music is worth turning up and where everyone can proudly let their individuality shine. Floyd’s 99 offers a full menu of services for men and women, including cuts, color, straight razor shaves, and signature massage shampoo, finishing every service with a shoulder massage.

PROPERTY DESCRIPTION

6

I N VE S TMENT HI GHLI GHT S

P E I WE I ST R IP C E NT E R

• Three Solid, “Experiential Use” Tenants Driving Cross Traffic and Shared Clientele

• All Three Tenants Have Long Term, 10-Year Leases

• All Leases Are a Full Pass Through For Taxes, Insurance, and Common Area Maintenance

• Outparcel To Glade Park - a 194-Acre Mixed-Use Commercial & Residential Development

• Located On State Hwy 121 Which Connects McKinney to Fort Worth - Traffic Counts Exceed 92,000 VPD

• Average Household Income is Over $142,000 Nearly 2x the National Average

• Population in a Five-Mile Radius is More Than 217,000 People With Growth of Over 17% in the Past Few Years

• Virtually Every Major National Tenant in the Immediate Area - Surrounding Retailors Include Super Target, Lowe’s, Dave & Busters, Belk, Michaels, Home Goods, Old Navy, Staples, Cinépolis, Chili’s and Many More

PROPERTY DESCRIPTION

7

S I T EPL PLA AN S ITE N

P E I WE I ST R IP C E NT E R

OPEN UNDER CONSTRUCTION SIGNED LEASE NEGOTIATING LEASE / SALE UNDER REVIEW LOI AVAILABLE

E D G E R E A LT Y PA R T N E R S

P R O P E R T Y D E S C R I P T I OG N 8a r k s lade P

/ 1

A E R I AL MA P

HERITAGE ELEMENTARY SCHOOL

COLLEYVILLE HERITAGE HIGH SCHOOL

92,270 VPD

P E I WE I ST R IP C E NT E R

GRAPEVINE ELEMENTARY SCHOOL

HERITAGE MIDDLE SCHOOL

GLADE RD

28,310 VPD Shops at Vineyard Village Glade Parks

BEAR CREEK ELEMENTARY SCHOOL

PROPERTY DESCRIPTION

9

L E A SE COMPA RABLES

Property

P E I WE I ST R IP C E NT E R

GLA

Yr Built/ Renovated Occupancy

Major Tenants

Available SF

Rental Rates

NNN

Pei Wei Strip Center ï‚« 2521 State Hwy 121 Euless, TX

6,728

2019

100.0%

Pei Wei Asian Bistro, Floyd's Barber Shop, My Eyelab

0

$39.00 - $40.00

$9.53

Glade Stabucks Strip 1 2131 State Hwy 121 Euless, TX

5,023

2019

100.0%

Starbucks, The Joint, Westpark Family Dentistry

0

$40.00 - $46.50

$7.50

1131 - 1141 S Southlake Blvd 2 6801 Rufe Snow Dr. Southlake, TX

7,305

2016

100.0%

Pot Belly, Luna Grill, Sur La Table, Luke's Locker Fitness Now, Spicy Nails

0

$40.00 - $44.00

$10.00

Southlake Town Center 3 1400 - 1440 Civic Place Southlake, TX

66,118

2004

94.2%

3,810

$43.00 - $51.00

$12.00

The Shops at Macarthur Hills 4 6671 - 6675 N Macarthur Blvd Irving, TX

71,759

2007

100.0%

Whole Foods, Sprint, Zoes Kitchen, Modern Market Eatery, Sprint

0

$45.00-$48.00

$10.00

Southlake Retail 5 250 Randoll Mill Ave Southlake, TX

2,900

2007

82.8%

Chipoltle, All About Cha, Pigtails and Crewcuts

500

$40.00

$7.02

Tyler's, Pottery Barn, Lulu Lemon, HMK, Jos. A Bank

PROPERTY DESCRIPTION

10

L E A SE COMPA RABLES

P E I WE I ST R IP C E NT E R

Pei Wei Strip Center 1

Glade Starbucks Strip

2

1131 - 1141 S Southlake Ave

3

Southlake Town Center

4

The Shops at Macarthur Hills

5

Southlake Retail

3 5

2

4

1

PROPERTY DESCRIPTION

11

LO C AL MA P

P E I WE I ST R IP C E NT E R

PROPERTY DESCRIPTION

12

M A R KET S U MMARY

P E I WE I ST R IP C E NT E R

Dallas - Fort Worth, TX

OVERVIEW Dallas encompasses half of the Dallas/Fort Worth Metroplex and is the third-largest city in Texas and the ninth-largest city in the United States.

Dallas is home to the third-largest concentration of Fortune 500 companies in the country and is the largest economic center of the Dallas/Fort Worth metropolitan area. The Metroplex has strong submarket occupancy rates, is home to more shopping centers per capita and has one of the largest concentrations of corporate headquarters for publicly traded companies in the United States.

The city is the largest economic center of the 12-county Dallas–Fort Worth–Arlington metropolitan area, which had a population of 6,810,913 people as of July 1, 2013. The metropolitan economy is the sixth largest in the United States, with a 2012 real GDP of $420.34 billion. In 2013 the metropolitan area led the nation with the largest year-over-year increase in employment, and advanced to become the fourth-largest employment center in the nation (behind New York City, Los Angeles, and Chicago) with more than three million non-farm jobs. In the

latest rankings released in 2013, Dallas was rated as a “beta plus” world city by the Globalization and World Cities Study Group & Network. Dallas is also ranked 14th in world rankings of GDP by the Organization for Economic Co-operation and Development. The Dallas-Fort Worth Metroplex has one of the largest concentrations of corporate headquarters for publicly traded companies in the United States. The city of Dallas has 12 Fortune 500 companies, and the DFW region as a whole has 22.

Dallas is the best-ranked city on the Regulatory Climate Index thanks to its efficient local regulations.

Entrepreneurs and small businesses can expect a welcoming business environment across all five areas of local regulation. Dallas scores above average across each meaningful measure of an interaction that a business has with a local government agency through procedure, time, and cost. These rankings reflect the city’s continuing efforts to develop programs and initiatives to strengthen the business environment, provide access to capital, and encourage economic growth at the local level.

Q U I C K S TAT S

2 3rd 4th 22

nd

Texas, Fastest Growing Economy in the U.S. (24/7 Wall St.) Fastest Growing Cities in the U.S. (Forbes) Largest Metropolitan Area in the United States Fortune 500 Companies Call DFW Home (Fortune)

10K

Home to over 10,000 corporate headquarters, making it the largest concentration in the U.S.

PROPERTY DESCRIPTION

13

D E M OG RA PHIC STAT I ST I CS

P E I WE I ST R IP C E NT E R

1 MILE

3 MILE

5 MILE

11,619 10,712 9,088 8.47% 17.87% 1,104

100,935 94,255 87,507 7.09% 7.71% 13,777

217,880 202,544 182,294 7.57% 11.11% 33,001

8,533 494 60 1,308 21 296 0

72,828 7,695 590 9,824 937 2,381 9

157,286 19,839 1,500 16,834 1,853 5,233 22

4,534 4,196 3,640 8.06% 15.27% 2,981 1,216 $142,904 $113,903

41,323 38,698 36,407 6.78% 6.29% 22,331 16,367 $106,925 $80,864

88,114 82,101 74,620 7.32% 10.03% 46,957 35,144 $102,502 $73,300

230 501 403 543 757 308 556 898

4,296 7,641 6,210 5,124 4,442 2,656 3,694 4,635

9,882 18,309 13,720 9,724 8,642 5,384 6,904 9,539

Population: 2023 Projection 2018 Estimate 2010 Census Growth 2018-2023 Growth 2010-2018 2018 Population Hispanic Origin

2018 Population by Race: White Black Am. Indian & Alaskan Asian Hawaiian & Pacific Island Other U.S. Armed Forces:

Households: 2023 Projection 2018 Estimate 2010 Census Growth 2018 - 2023 Growth 2010 - 2018 Owner Occupied Renter Occupied 2018 Avg Household Income (National Avg - $75,558) 2018 Med Household Income (National Avg - $53,889)

2018 Households by Household Inc: <$25,000 $25,000 - $50,000 $50,000 - $75,000 $75,000 - $100,000 $100,000 - $125,000 $125,000 - $150,000 $150,000 - $200,000 $200,000+ Demographic data © CoStar 2018

PROPERTY DESCRIPTION

14

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