Dollar General Plus - matthews.com · This Marketing Brochure contains select information pertaining to the business and affairs of Dollar General Plus located at 663 E Parker St,

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Dollar General Plus663 E Parker St, Baxley, GA 31513

OFFERING MEMORANDUM

Representative Photo

This Marketing Brochure contains select information pertaining to the business and affairs of Dollar General Plus located at 663 E Parker St, Baxley, GA 31513 here to 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

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

Kyle MatthewsBroker of Record License No. 363764

Andrew GrossAssociate

License No. 01987860O 310.955.1773M [email protected]

Chad KurzSVP & National Director


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Representative Photo ™PRICING AND FINANCIAL ANALYSIS

Andrew Gross of Matthews Retail Advisors is pleased to exclusively offer for sale a Dollar General Plus in Baxley, Georgia. The Subject property is the larger format store, boasting 10,208 Square Feet to accommodate for their high volume of customers. The tenant opted for their larger square foot print model, the Dollar General Plus format, due to the nature of their business performance in the Baxley, Georgia market. This site is centrally located in an ideal and already proven market for Dollar General. This larger Dollar General model contains 5 HVAC units, each newly installed in 2015. Dollar General recently extended their option in May of 2016, providing an additional 5 years beginning June 1, 2016. With its attractive NN Lease structure, this offering provides qualified investors with stable, passive income and minimal landlord responsibility.

INVESTMENT HIGHLIGHTS

PROPERTY DETAILS

• New interior remodel to be completed September 2016 • Ideal 1031 Exchange Property• Relocation Site to 10,208 SF Dollar General Plus Format• Dollar General Plus model typically confirms strong very strong store

performance• Recent Construction - store built in 2007• 10% rent increases in each of the 2 extension periods• Dollar General recently extended term for 5 years• Minimal management responsibility• Dollar General invested in the site, providing 5 brand new HVAC

units in 2015, proving their commitment to the location• Dollar General covers repair expenses up to $1,000.00, providing

additional comfort for Landlord

TENANT

• Strong investment grade credit tenant• Dollar General is the only dollar store with investment grade credit;

S&P rated BBB• Dollar General has over 12,000 locations nationwide with plans to

continue expansion over the next 5 years

LOCATION

• Rising market with projected growth of nearly 3% in 3-mile radius• Situated near major Georgia market, Savannah, Georgia and

conveniently located near Florida• Substantial Traffic Counts of 10,800 VPD


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Investment Overview

EXECUTIVE SUMMARY663 E Parker St Baxley, GA 31513List Price . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $864,734.78

Gross Leasable Area . . . . . . . . . . . . . . . . . . . . . . . ±10,208 SFCAP Rate - Current. . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.28%Year Built . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2007Lot Size . . . . . . . . . . . . . . . . . . . . . . . . .±1.15 Acres (50,094 SF)

ANNUALIZED OPERATING DATAMonthly Rent Annual Rent Rent/SF CAP Rate

Current - 5/32/2021 $5,416.67 $65,000.04 $6.37 8.28%

Option 1 - 5/31/2026 $5,958.34 $71,500.04 $7.00 9.11%

Option 2 - 5/31/2031 $6,554.17 $78,650.05 $7.70 10.02%

Common Area Maintenance Contribution

$700 $8,400

Gross Potential Rent $6,116.67 $73,400

Expenses (Average Past 3 Years)

Annual Expenses

Taxes (Tenant Responsible) $0

Insurance (Tenant Responsible)

$0

Lawn Maintenance $1,500

Parking Lot $175

Miscellaneous Expenses $125

Total Expenses $1,800

Net Operating Income $71,600.00

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Financial Overview

TENANT SUMMARYTenant Trade Name Dollar General Plus

Type of Ownership Fee Simple

Lease Guarantor Corporate

Lease Type NN

Roof and Structure Tenant Responsible

Original Lease Term 10 years

Lease Commencement Date 11/29/2001

Lease Expiration Date 5/31/2021

Term Remaining on Lease +4.75 years

Increases 10% Increases in Options

Options One (1), Five (5) Year Option

Dollar General is the fast-growing retailer that boasts roughly 12,200 discount stores in over 40 US states, mostly in the South, East, the Midwest, and the Southwest. It generates about 75% of its sales from consumables (including refrigerated, shelf-stable, and perishable foods) and another 10% from seasonal items. The stores also offer household products and apparel. Pricing its items at $10 or less, Dollar General targets low-, middle-, and fixed-income shoppers while selling brand-name products from manufacturers such as Procter & Gamble, Kimberly-Clark, Unilever, Kellogg’s, General Mills, Nabisco, Hanes, PepsiCo, and Coca-Cola.

The retailer devotes its dollars to promotional circulars, targeted circulars that support new stores, television and radio advertising, in-store signage, and costs associated with the sponsorship of certain auto racing activities. Because Dollar General’s customers typically live in small towns, the company doesn’t allocate ample amounts of money to advertising. It has spent increasingly more on advertising in recent years, however, as the company expands its stores’ footprint.

Property Name Dollar General

Parent Company Trade Name Dollar General Corporation

Ownership Public

Credit Rating BBB

Rating Agency Standard & Poor’s

Revenue $20.37 Billion

Net Income $1.17 Billion

Stock Symbol DG

Board NYSE

No. of Locations ± 12,200

No. of Employees ± 113,400

Headquartered Goodlettsville, TN

Web Site www.dollargeneral.com

Year Founded 1939

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Company Overview

™PROPERTY DESCRIPTION

THE OFFERINGProperty Name . . . . . . . . . . . . . . . . . . . . . . . Dollar General PlusProperty Address . . . . . . . . . . . . . . . . . . . . . . . 663 E Parker St Baxley, GA 31513Assessor’s Parcel Number . . . . . . . . . . . . . . . . . . . . . S002-025

SITE DESCRIPTIONNumber of Stories . . . . . . . . . . . . . . . . . . . . . . . . . . . . . OneYear Built . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2007Gross Leasable Area (GLA) . . . . . . . . . . . . . . . . . . . . ±10,208 SFLot Size . . . . . . . . . . . . . . . . . . . . . . . . ±1.15 Acres (50,094 SF)Type of Ownership. . . . . . . . . . . . . . . . . . . . . . . . . Fee SimpleParking . . . . . . . . . . . . . . . . . . . . . . . . . . ±45 Surface SpacesParking Ratio . . . . . . . . . . . . . . . . . . . . . . . . . . .4.41 : 1,000 SFLandscaping . . . . . . . . . . . . . . . . . . . . . . . . . . . . ProfessionalTopography. . . . . . . . . . . . . . . . . . . . . . . . . . . Generally Level

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


6

Property Overview

PROPERTY DESCRIPTION

E Parker St ±10,000 ADT


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Bird’s Eye

8

Tenant Map

PROPERTY DESCRIPTION

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Regional Map

™DEMOGRAPHICS

Population 3-Mile 5-Mile 10-Mile

2021 Projection 7,818 9,699 16,322

2016 Estimate 7,591 9,421 15,811

2010 Census 7,441 9,240 15,446

2000 Census 7,159 8,849 14,681

Growth 2016-2021 2.99% 2.95% 3.23%

Growth 2010-2016 2.02% 1.96% 2.36%

Growth 2000-2010 3.93% 4.41% 5.21%

Households

2021 Projection 2,987 3,693 6,290

2016 Estimate 2,880 3,561 6,057

2010 Census 2,786 3,445 5,853

2000 Census 2,699 3,337 5,555

Growth 2016-2021 3.70% 3.70% 3.86%

Growth 2010-2016 3.36% 3.38% 3.49%

Growth 2000-2010 3.23% 3.23% 5.36%

Income

$0 - $15,000 21.28% 20.84% 18.77%

$15,000 - $24,999 12.14% 12.55% 13.94%

$25,000 - $34,999 11.26% 11.55% 11.55%

$35,000 - $49,999 17.66% 17.48% 16.35%

$50,000 - $74,999 16.00% 15.82% 15.57%

$75,000 - $99,999 9.43% 9.54% 10.02%

$100,000 - $124,999 5.35% 5.41% 6.23%

$125,000 - $149,999 3.54% 3.51% 3.91%

$150,000 - $199,999 2.24% 2.23% 2.50%

$200,000 - $249,999 0.72% 0.70% 0.73%

$250,000 - $499,999 0.37% 0.36% 0.37%

$500,000+ 0.00% 0.00% 0.04%

2016 Est. Average Household Income $50,640 $50,630 $52,855

2016 Est. Median Household Income $39,515 $39,336 $40,268

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Demographics Report

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City Overview

BAXLEY, GANestled in the heart of slash pine country, Baxley is a city in Appling County, Georgia. The city is the intersection of two major thoroughfares, thus making it a centralized hub for southeast Georgia activities.

Baxley is the ideal place for nature enthusiasts for it offers a wide array of outdoor activities that range from kayaking down the might Altamaha River and fishing or boating in one of two local lakes to biking and walking trails in The Moody Forest Nature Conservancy.

It is about an hour and a half drive east from Savannah, an industrial center and important Atlantic seaport.

SAVANNAH, GAEstablished in 1733, Savannah is the oldest city in Georgia and the location of one of the largest National Historic Landmark districts in the country. This eccentric Southern city beguiles with Old World glamor and culture. Each year Savannah attracts millions of visitors to its cobblestone streets, parks and notable historic buildings. With the former promotional name of “Hostess City of the South,” Savannah’s architecture, history and reputation for Southern charm and hospitality are internationally known.

The port of Savannah is one of the busiest in the Southeast and was North America’s fourth largest port for shipping container traffic from 2009-2014.

TOP EMPLOYERS - APPLING COUNTY1. Southern Nuclear

2. Appling Schools

3. Appling Healthcare System

4. Appling County

5. Interfor

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

Dollar General Plus663 E Parker St, Baxley, GA 31513

OFFERING MEMORANDUM

Kyle MatthewsBroker of Record License No. 363764

Andrew GrossAssociate


Chad KurzSVP & National Director


Documents

Dollar General Plus - matthews.com · This Marketing Brochure contains select information pertaining to the business and affairs of Dollar General Plus located at 663 E Parker St,