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GCR Tire (Bridgestone Firestone Owned) 1502 W Overland Trail, Abilene, TX 79601 OFFERING MEMORANDUM Representative Photo

CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

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Page 1: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

GCR Tire (Bridgestone Firestone Owned)1502 W Overland Trail, Abilene, TX 79601

OFFERING MEMORANDUM

Representative Photo

Page 2: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

This Marketing Brochure contains select information pertaining to the business and affairs of Firestone located at 1502 W Overland Trail, Abilene, TX 79601 hereto referred to as “Property”. Information in this Marketing Brochure is confidential and provided solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose and may not be made available to any other person without the written consent of the Seller or Matthews Retail Group, Inc.

This Marketing Brochure has been prepared by Matthews Retail Group, Inc. (also known as Matthews Retail Advisors) based in part upon information supplied by the Seller and in part upon financial information obtained from sources deemed reliable by Matthews Retail Group, Inc. However, Matthews Retail Group, Inc. has not and will not verify any of this information, nor has Matthews Retail Group, Inc. conducted any investigation regarding these matters. Matthews Retail Group, Inc. makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.

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 the Buyer’s thorough due diligence investigation of this investment opportunity. Matthews Retail Group, Inc. expressly denies any obligation to conduct a due diligence examination of this Property for the 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 net leased property to the Buyer depends on factors that should be evaluated by the Buyer and their tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any property to determine to their satisfaction the suitability of the Property for their investment goals.

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 performance.

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 tenant 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 tenant 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 lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the Property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant 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 the Seller and Matthews Retail Group, Inc. of any and all liability and hold the parties harmless from any kind of claim, cost, or expense arising out of your investigation and/or purchase of this Property.

NON-ENDORSEMENT NOTICEMatthews Retail Group, Inc. is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this Marketing Brochure. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Matthews Retail Group, Inc., its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Matthews Retail Group, Inc., and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

CONFIDENTIALITY & DISCLAIMER STATEMENT

ii

Page 3: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

PRICING AND FINANCIAL ANALYSISInvestment Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2Financial Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3Company Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

PROPERTY DESCRIPTIONProperty Overview. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6Bird’s Eye . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7Tenant Map . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8Regional Map. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

DEMOGRAPHICSDemographics Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11City Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

TABLE OF CONTENTS

PRESENTED BY:

Braden CrockettSenior Associate

License No. 01946071O 310.919.5814M [email protected]

Mark CohenBroker of Record

License No. 447509

™iii

Page 4: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming
Page 5: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

Matthews Retail Advisors is proud to offer for Sale an Absolute NNN leased Bridgestone Backed Commercial Truck Tire Facility. Bridgestone has been a tenant at this location since 1981 when they completed the Acquisition of GCR Tire in order to expand the presence of their commercial truck tire business. Each location is strategically located as an outlet right next to a highway for easy access for their customers.

Abilene, Texas is located approximately 150 miles west of Fort Worth and is an attractive market for business operations due to their business friendly Chamber of Commerce. A strong infrastructure and an excellent workforce, coupled with a “business friendly” environment make Abilene, Texas the logical choice for your new venture. With the creation of the Development Corporation Abilene, Inc., the DCOA became a Type A corportion. Through the Development Corporation Act, DOCA provides resources to promote the creation of new and expanded industry and manufacturing activity within the municipality and its vicinity using a ½ cent sales tax. This money is fully controlled at the local level and is not dependent on state or county approval.

Additionally, Abilene promotes community activities and attractions that provide for entertainment and historical preservation of the the citys culture. Some of the notable attractions include, 12th Armored Division Memorial Museum, Frontier Texas, the Abilene Zoo, The Center for Contemporary Arts, Dyress Air Force Base, and Fort Phantom Hill.

INVESTMENT HIGHLIGHTS

PROPERTY DETAILS

• Absolute NNN lease - no landlord responsibilities.

• Attractive Low Price Point of only $620,000

• Large 5.49 AC plot of land

• Priced Below Replacement cost

• Large 16,875 SF Commercial Truck Tire Facility

• Tenant recently extended their lease for an additional 2 years

• No options remaining - Opportunity for an investor to

renegotate the lease after the expiration of the term.

LOCATION

• Conveniently Located Right on the off-ramp for interstate 20.

• Just north of Downtown Abilene from route 83.

TENANT

• Firestone Originally Purchased GCR Truck Tire business in

1981 and have occupied this site ever since.

• Bridgestone/Firestone is the largest provider of Auto Service

and Tires in terms of the number of locations nationwide.

• Corporate Backed Lease from a strong Guarantor.

2

Investment Overview

Page 6: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

EXECUTIVE SUMMARY1502 W Overland Trail Abilene, TX 79601List Price . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $620,000Gross Leasable Area . . . . . . . . . . . . . . . . . . . . . . . . 16,875 SFCAP Rate - Current. . . . . . . . . . . . . . . . . . . . . . . . . . . . 9.00%Year Built . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1976Lot Size . . . . . . . . . . . . . . . . . . . . . . . ± 5.49 Acres (239,148 SF)

ANNUALIZED OPERATING DATAMonthly Rent Annual Rent Price/SF CAP Rate

Current - 2/28/2018 $4,650.00 $55,800.00 $3.31 9.00%

™3

Financial Overview

TENANT SUMMARYTenant Trade Name GCR Tire (Bridgestone Owned)

Type of Ownership Fee Simple

Lease Guarantor Bridestone Retail Operations

Lease Type NNN

Roof and Structure Tenant Responsible

Lease Commencement Date 5/1/1981

Rent Commencement Date 5/1/1981

Lease Expiration Date 2/28/2018

Term Remaining on Lease +/- 2 years

Options None

Representative Photo

Page 7: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

Property Name GCR Tire (Bridgestone)

Property Type Net Leased Auto Service

Parent Company Trade Name Bridgestone

Ownership Public

Rating Agency Standard & Poor’s

Revenue $3673.96 B

Net Income $300.59 B

Stock Symbol BRDCY

No. of Employees ±144,000

Headquartered Akron, Ohio

Web Site www.firestone.com

Year Founded 1931

Bridgestone Americas’ corporate family traces its roots to two distinguished companies— The Firestone Tire & Rubber Company, which Harvey Firestone formed in Akron, Ohio in August 1900, and the Bridgestone Tire Company Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora-tion purchased Firestone in 1988 for $2.6 billion, transforming the compa-nies’ combined operations into the world’s largest tire and rubber company. The operations in the Americas were renamed Bridgestone/Firestone, Inc. and became the largest subsidiary of Bridgestone. As part of its integration with Bridgestone’s existing U.S. operations, Bridgestone/Firestone moved its headquarters from Akron to Nashville in 1992.

Today, this subsidiary, now named Bridgestone Americas (BSAM), consists of an international family of enterprises with 52 production facilities and more than 50,000 employees throughout the Americas. BSAM and its subsidiaries develop, manufacture and market a wide range of Bridgestone, Firestone and associate brand tires to address the needs of a broad range of custom-ers, including consumers, automotive and commercial vehicle original equip-ment manufacturers, and those in the agricultural, forestry and mining indus-tries. The companies are also engaged in retreading operations throughout the Western Hemisphere and produce air springs, roofing materials, and in-dustrial fibers and textiles. The BSAM family of companies also operates the world’s largest chain of automotive tire and service centers.

4

Company Overview

Page 8: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

PROPERTY DESCRIPTION

Page 9: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

THE OFFERINGProperty Name . . . . . . . . . . . . . . . . . . . . GCR Tire (Bridgestone)Property Address . . . . . . . . . . . . . . . . . . . 1502 W Overland Trail Abilene, TX 79601Assessor’s Parcel Number . . . . . . . . . . . . . . . . . . . . . . . 74823

SITE DESCRIPTIONNumber of Stories . . . . . . . . . . . . . . . . . . . . . . . . . . . . . OneYear Built . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1976Gross Leasable Area (GLA) . . . . . . . . . . . . . . . . . . . . . 16,875 SFLot Size . . . . . . . . . . . . . . . . . . . . . . . ± 5.49 Acres ( 239,144 SF)Type of Ownership. . . . . . . . . . . . . . . . . . . . . . . . . Fee SimpleTopography. . . . . . . . . . . . . . . . . . . . . . . . . . . Generally Level

CONSTRUCTIONFoundation . . . . . . . . . . . . . . . . . . . . . . . . . . . .Concrete SlabFraming . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .WoodExterior . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Sheet MetalParking Surface . . . . . . . . . . . . . . . . . . . . . . . . . . . . .AsphaltRoof . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Pitched

6

Property Overview

PROPERTY DESCRIPTION

Representative Photo

Page 10: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

™7

Bird’s Eye

Page 11: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

8

Tenant Map

PROPERTY DESCRIPTION

Page 12: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

™9

Regional Map

Page 13: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming
Page 14: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

Population 1-Mile 3-Mile 5-Mile

2021 Projection 3,724 36,907 74,405

2016 Estimate 3,558 35,792 72,270

2010 Census 3,420 35,123 71,139

2000 Census 3,022 34,620 71,787

Growth 2016-2021 4.66% 3.12% 2.95%

Growth 2010-2016 4.02% 1.90% 1.59%

Growth 2000-2010 13.17% 1.45% -0.90%

Households

2021 Projection 1,243 13,601 28,869

2016 Estimate 1,180 13,067 27,788

2010 Census 1,125 12,638 26,938

2000 Census 967 12,172 26,492

Growth 2016-2021 5.36% 4.09% 3.89%

Growth 2010-2016 4.81% 3.39% 3.15%

Growth 2000-2010 16.38% 3.83% 1.68%

Income

$0 - $15,000 20.43% 21.19% 19.62%

$15,000 - $24,999 18.14% 13.74% 13.76%

$25,000 - $34,999 16.26% 14.49% 13.23%

$35,000 - $49,999 16.70% 14.83% 15.14%

$50,000 - $74,999 15.50% 15.26% 17.26%

$75,000 - $99,999 7.08% 10.21% 10.18%

$100,000 - $124,999 2.89% 5.16% 4.70%

$125,000 - $149,999 1.22% 2.09% 2.07%

$150,000 - $199,999 1.07% 1.94% 2.26%

$200,000 - $249,999 0.43% 0.59% 0.79%

$250,000 - $499,999 0.19% 0.40% 0.73%

$500,000+ 0.08% 0.11% 0.25%

2016 Est. Average Household Income

$41,556 $48,534 $51,776

2016 Est. Median Household In-come

$32,032 $35,591 $38,355

™11DEMOGRAPHICS

Demographics Report

Page 15: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

Employer # of Employees

Dyess Air Force Base 5,406

Hendrick Health System 2,896

Abilene ISD 2,450

Abilene State Supported Living Center 1,472

City of Abilene 1,200

Texas Dept. of Criminal Justice 1,190

Blue Cross Blue Shield of Texas 1,050

Abilene Christian University 850

Abilene Regional Medical Center 760

Taylor County 550

12

City Overview

ABILENE, TEXASThe City of Abilene, Texas, is located approximately 180 miles due west of the Dallas/Fort Worth Metroplex. Abilene is situated in west central Texas near the geographic center of the state. Situated adjacent to Interstate 20, Abilene is the center of a 22-county area commonly referred to as the Texas Midwest or the Big Country. Abilene serves as the county seat for Taylor County, one of 254 counties in Texas. Taylor County has a current population of about 136,000, 120,373 of which live within the Abilene city limits.

Described as “the Future Great City of West Texas,” Abilene was established in March 1881 upon the completion of the Texas & Pacific Railroad. Abilene’s civic progressiveness and its logistic function as a regional center for distribution, commerce, industry, transportation, and education provide an assortment of lodging, dining, cultural, and shopping opportunities typically found only in much larger cities.

Source: abilenetx.com

TOP EMPLOYERS

Page 16: CONFIDENTIALITY & DISCLAIMER STATEMENT · Ltd., which Shojiro Ishibashi started in Japan in 1931.Bridgestone Corpora- tion purchased Firestone in 1988 for $2.6 billion, transforming

841 Apollo Street, Suite 150 | El Segundo, CA 90245 | www.matthews.com™

GCR Tire (Bridgestone)1502 W Overland Trail, Abilene, TX 79601

OFFERING MEMORANDUM

Braden CrockettSenior Associate

License No. 01946071O 310.919.5814M [email protected]

PRESENTED BY:

Mark CohenBroker of Record

License No. 447509