NOR

RETAIL PAD IN 100% LEASED SHOPPING CENTER

FIRST WATCHBLUFFTON, SC

2

DAVE LUCASdlucas@capitalpacific.comPH: 415.274.7390CA DRE# 01389761

Contact the team

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

JOE CACCAMOjcaccamo@capitalpacific.comPH: 415.274.7394CA DRE# 01191110

BLUFFTON SHOPPING CENTER

IN CONJUNCTION WITH SC LICENSED BROKER: Stuart MullenCommercial Real Estate Carolina, LLCstuart@rangeds.comPH: 704.661.9800

FIRST WATCH1121 FORDING ISLAND ROAD, BLUFFTON, SC 29910

10-YEAR LEASE WITH ANNUAL RENT INCREASES THE FIRST FIVE YEARS

6.00%CAP

$2,555,000PRICE

NOI: $153,300LEASABLE AREA: 4,380 SFPRICE/SF: $583.33LEASE TERM: 10 YearsLEASE EXPIRATION: 12/31/2027YEAR BUILT: 2017

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Overview

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

SURROUNDING RETAILThis information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

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Investment Highlights

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 4

THE OFFERINGA 4,380 SF pad in a Hobby Lobby anchored shopping center. First Watch is the largest and fastest-growing daytime-only restaurant concept in the U.S., and one of TripAdvisor’s Best Restaurant Chains for 2019. On a 10-year lease with annual increases the first five years, in 2018 First Watch expanded its footprint taking over the entire building to accommodate demand at this location. The pad is adjacent to Hobby Lobby, PGA TOUR Superstore, Aspen Dental, Sleep Number, Tropical Smoothie Cafe, The Spirited Hand, Boutique Nails of Bluffton, and Foundation Realty.

• Located in Hobby Lobby anchored shopping center

• 10-year lease• Recently expanded to entire building• Brand new construction in 2017• Top five chain location in sales

HIGHLIGHTS

• Dominant regional retail corridor• Average household incomes exceeding

$90,000 within a 5-mile radius• Bluffton is one of the fastest-growing

towns in the southeast

DESIRABLE LOCATIONThe subject property is located in Bluffton, considered the gateway to Hilton Head Island, an immensely popular tourist destination which attracts more than 2.67 million annual visitors, producing over $1 billion for the local economy. Situated with excellent visibility along U.S. Route 278, the property is exposed to an approximate 55,400 VPD.

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Income & Expense

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

CURRENTPrice: $2,555,000

Capitalization Rate: 6.00%

Price Per Square Foot: $583.33

Total Leased (SF): 4,380

INCOME P/SFScheduled Rent $35.00 $153,300

Property Tax Recovery $5.25 $22,995

Insurance Recovery $0.25 $1,099

CAM Recovery $1.23 $5,373

EFFECTIVE GROSS INCOME $182,767

EXPENSES P/SFProperty Tax (Estimated) ($5.25) ($22,995)Insurance ($0.25) ($1,099)

Common Area Maintenance ($1.23) ($5,373)

TOTAL OPERATING EXPENSES ($29,467)

NET OPERATING INCOME $153,300

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Rent Roll

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

TENANT INFO LEASE TERMS RENT SUMMARY

TENANT SQ. FT PERCENT OF LOT TERM MONTHLY RENT ANNUAL RENT RENT/FT/YR

First Watch 4,380 100.00% 1/1/2018 12/31/2027 $12,227.50 $146,730.00 $33.50 1.132

Increase 1/1/2019 12/31/2019 $12,410.00 $148,920.00 $34.00 1.1

Increase 1/1/2020 12/31/2020 $12,775.00 $153,300.00 $35.00

Increase 1/1/2021 12/31/2021 $13,140.00 $157,680.00 $36.00 12/31/2018

Increase 1/1/2022 12/31/2022 $13,322.50 $159,870.00 $36.50 12/31/2019

Increase 1/1/2023 12/31/2027 $14,052.50 $168,630.00 $38.50 12/31/2020

Option 1 1/1/2028 12/31/2032 $15,457.75 $185,493.00 $42.35 1.100 12/31/2021

Option 2 1/1/2033 12/31/2037 $17,001.70 $204,020.40 $46.58 0 12/31/2022

0 12/31/2024

Current Totals: 4,380 100.00% 12/31/2025

Occupied 4,380 100.00% 2019 Total Monthly Rent: $12,775.00 12/31/2026

Vacant 0 0.00% 2019 Total Annual Rent: $153,300.00 12/31/2027

TREMBLESTO

NE RO

AD

FORDING ISLAND ROAD278

(DARK STORE)

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Site Plan

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

COMMON AREA ASSOCIATION PARKING(NON-TAXABLE PARCEL)

CONTACT AGENT FOR MORE DETAILS

55,400 VPD

-

First Watch is the largest and fastest-growing daytime-only restaurant concept in the United States with more than 350 locations in 32 states, including more than 300 First Watch restaurants, 55 The Egg & I restaurants, and 1 Sun & Fork restaurant. Everything is made to order and freshness is never compromised. Upon arrival, customers are welcomed with a pot of Project Sunrise coffee, along with complimentary newspapers and WiFi Internet access.

Currently headquartered in University Park, Florida, the company’s name is a nautical reference to the first work shift aboard a ship as the restaurants are only open 7:00am to 2:30pm.

A recipient of more than 200 “Best Breakfast” and “Best Brunch” accolades, First Watch offers traditional favorites, such as omelets, pancakes, sandwiches and salads, and unique specialty items like Quinoa Power Bowls, Avocado Toast and the Chickichanga.

ABOUT FIRST WATCH

LOCATIONS IN 32 STATES350+

Tenant Overview

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

RANKINGS

2019 - TripAdvisor’s Best Restaurant Chains2018 - Business Intelligence Group’s Best Places to Work2017 - Nation’s Restaurant News’ Second 100 restaurant brands

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HOW RESTAURANT CHAIN FIRST WATCH IS GROWING RAPIDLY DESPITE ONLY BEING OPEN DURING THE DAY

March 8, 2019 (Forbes) For most restaurants that serve three meals a day, the day is long and grueling. But not at First Watch, one of the fastest-growing restaurant chains in the U.S. While most locations open at 7 a.m. daily, it shuts its doors at 2:30 p.m., serving only breakfast and lunch—but not dinner. No wonder why it calls itself “The Daytime Café.”

According to Technomic’s list of the 500 largest restaurant chains in U.S., its revenue in 2017 rose 31.8%.

In fact, there are now 310 First Watch restaurants, including 256 company-owned and 54 franchised. The chain also owns 54 outlets of two other brands, The Egg & I and Sun & Fork, totaling 364 locations. In 2018 it opened 44 new First Watch and converted 13 Egg & I eateries into First Watch. In 2019, it’s looking to open another 50 First Watch eateries.

Here’s what First Watch’s CEO and president Chris Tomasso, who joined the chain in 2006 as chief marketing officer, said about its growth [two years from now]: “We’ll continue to grow, and I’d imagine we’d have 600 restaurants.”

READ THE FULL ARTICLE

In the NewsFIRST WATCH TO EXPAND CORPORATE HQ NEAR MALL AT UTC

June 25, 2019 (Tampa Bay Business Journal) Nationwide breakfast-and-brunch chain First Watch is expanding its corporate headquarters as it continues to grow. First Watch Restaurants Inc., which is currently located in University Park, will build a new 39,000-square-foot headquarters in the University Town Center area. The new two-story facility will be located about 250 yards north of its current headquarters just north of its current headquarters and is planned to open in late 2020, according to First Watch’s Tuesday news release.

The expansion is projected to create a minimum of 85 new jobs with an expected average salary of nearly $82,000, which is more than 200 percent of the average Manatee County annual wage.

The Manatee County Board of County Commissioners approved an economic development incentive package for the project earlier this month, which was codenamed Project Falcon. The incentive is for $255,000, or $3,000 per job, and there is also a multimodal transportation impact fee of $135,240. The business at that time said it would not only create 85 new high-paying jobs, but also bring an $18.2 million capital investment in the area.

READ THE FULL ARTICLE

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

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Subject Property

10

Surrounding Retail

11

Retail Aerial

55,400VPD

278

FORDING ISLAND ROAD

FORDING ISLAND ROAD

GOLF COURSE

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

BLUFFTON SHOPPING

CENTER

(DARK STORE)

12

Retail AerialHILTON HEAD ISLAND

(6 MILES)

TANGER OUTLETS

278

FORDING ISLAND ROAD

FORDING ISLAND ROAD

GOLF COURSE GOLF

COURSE

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

BLUFFTON SHOPPING

CENTER

(DARK STORE)

55,400VPD

13

278

GOLF COURSE

GOLF COURSE

55,400VPD

HILTON HEAD ISLANDHILTON HEAD ISLAND

GOLF COURSE

GOLF COURSE

GOLF COURSE

GOLF COURSE

GOLF COURSE

GOLF COURSE

GOLF COURSE

278

278

52,080VPD

ISLAND ROADISLAND ROAD

FORDINGFORDING

CROSS ISLA

ND PARKWAY

CROSS ISLA

ND PARKWAY

Gateway to Hilton Head Island

TANGER OUTLETS

HARBOUR TOWN GOLF

LINKS -- HOSTS RBC HERITAGE

BLUFFTON CROSSINGS

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 14

BLU

FFTO

N

BLU

FFTO

N

PARK

WAY

PARK

WAY

BLUFFTON BLUFFTON PARKWAYPARKWAY

BLUFFTON

BLUFFTON

PARKWAY

PARKWAY

MAY RIVER ROAD

MAY RIVER ROADBUCKWALTER

BUCKWALTER

PARKWAY

PARKWAY

BLUFFTO

N

BLUFFTO

N

ROAD

ROAD

ISLAND ROADISLAND ROADISLAND ROADISLAND ROAD

FORDING

FORDING

FORDINGFORDING

278

278

27846

46

46

MIDDLE SCHOOL

MIDDLE SCHOOL

HIGH SCHOOL

CITY OF BLUFFTON

CITY OF BLUFFTON

GOLF COURSE

GOLF COURSE

GOLF COURSE

GOLF COURSE

GOLF COURSE

GOLF COURSE

ELEMENTARY SCHOOL

ELEMENTARY SCHOOL

ELEMENTARY SCHOOL

11,600 VPD

55,400 VPD

19,330 VPD

15This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

BLUFFTON CROSSINGS

SOLD BY CAPPAC IN

NOV. 2018 AT $544/SF

Regional Retail Core Trade Area

BLUFFTON CROSSINGS

Demographics

POPULATION

1-MILE 3-MILES 5-MILES

2010 3,493 21,581 33,240

2019 4,101 25,544 38,802

2024 4,460 27,858 42,815

2019 HH INCOME

1-MILE 3-MILES 5-MILES

Average $78,009 $86,711 $90,876

Median $50,621 $59,242 $63,407

TOP EMPLOYERS

EMPLOYER

Beaufort Memorial Hospital

County of Beaufort

Department of Defense

Marriott Resorts Hospitality Corporation

University of South Carolina

BLUFFTON

SAVANNAH, GA(26 MILES, 40 MINS)

THE AVERAGE HOUSEHOLD INCOME WITHIN A 5-MILE RADIUS

IS OVER $90K

WALTERBORO

RIDGELAND

HILTON HEAD ISLAND

16

MCRD PARRIS ISLAND

CHARLESTON(93 MILES, 2 HRS)

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

BLUFFTON,SOUTH CAROLINA

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Location Overview

BLUFFTON is located in Beaufort County along the coast of South Carolina. The town is situated on a high bluff overlooking the May River, a pristine waterway that has strongly contributed to the history and continued success of the community. With the recent addition of 32,000 acres, Bluffton is the fifth-largest town in the state by land area. It is known for its eclectic Old Town district and natural views of the May River, as well as being designated as a National Historic District. In 2005, Bluffton was recognized as a Preserve America Community, a federal program that encourages community efforts to preserve the nation’s cultural and historical assets. Bluffton is located ten minutes from Hilton Head Island and less than an hour from Savannah, Georgia.

BEAUFORT COUNTY is nestled between Charleston, South Carolina and Savannah, Georgia, and is home to a warm climate, pristine beaches, and hundreds of barrier and sea islands. Hilton Head Island is a luxury island that attracts over 2.67 million annual visitors and creates more than $1 billion to the local economy. Parris Island Marine Corps Recruit Depot (MCRD Parris Island) resides in Beaufort County and is home to an 8,000+ acre facility, including 4,000 acres of salt marsh and tidal streams, where 19,000+ recruits are trained each year.

188,715+BEAUFORT COUNTY POPULATION (ESTIMATED)

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

Contact us.

CAPITAL PACIFIC COLLABORATES. CLICK HERE TO MEET OUR SAN FRANCISCO TEAM.

DAVE LUCASdlucas@capitalpacific.comPH: 415.274.7390CA DRE# 01389761

JOE CACCAMOjcaccamo@capitalpacific.comPH: 415.274.7394CA DRE# 01191110

CAPITALPACIFIC.COM

IN CONJUNCTION WITH SC LICENSED BROKER: Stuart MullenCommercial Real Estate Carolina, LLCstuart@rangeds.comPH: 704.661.9800

Copyright © 2019 Capital Pacific Partners

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.