HIGH VOLUME CARRABBA’S ITALIAN GRILL · St. Petersburg is the seat of Eckerd College (1958), St. Petersburg Junior College (1927), Stetson University College of Law (1900), and

OFFERING MEMORANDUM

CBRE, Inc. | Licensed Real Estate Broker

HIGH VOLUME CARRABBA’S ITALIAN GRILL3530 TYRONE BLVD. N

ST. PETERSBURG, FLORIDA 33710

Actual Property

Capital Markets | Net Lease Properties

1INVESTMENT SUMMARY

2AREA OVERVIEW

6AERIAL VIEWS

Investment Highlights Local & Regional Maps City Overview

Aerial Photographs Tenant Description

10TENANT SUMMARY

EXCLUSIVELY MARKETED BY

MARK DRAZEKSenior Vice PresidentCapital Markets | Net Lease Properties

+1 407 496 [email protected]


RAY ROMANOFirst Vice PresidentCapital Markets | Net Lease Properties


© 2019 CBRE, Inc. All Rights Reserved.

Baseball City St. Pete

Walter Fuller Park

Gulf of Mexico

17,900 AADT

32,500 AADT

39,0

00 A

ADT

21,427 AADT 24,610 AADT

31,0

00 A

ADT

31

,000

AAD

T

6,000 AADT 7,125 AADT

7,60

0 A

ADT

43,4

98 A

ADT

41,000 AADT

41,000 AADT

17,900 AADT

32,500 AADT

39,0

00 A

ADT

21,427 AADT 24,610 AADT

31,0

00 A

ADT

31

,000

AAD

T

6,000 AADT 7,125 AADT

7,60

0 A

ADT

43,4

98 A

ADT

41,000 AADT

41,000 AADT

N

TM

PARK STREET RETAILPARK STREET RETAIL

TYRONE SQUARETYRONE SQUARE

PLAZA 66PLAZA 66

D

CARRABBAS’S ITALIAN GRILL | ST. PETERSBUR, FLActual Property

1

CARRABBAS’S ITALIAN GRILL | ST. PETERSBURG, FL

The CBRE Net Lease Property Group is pleased to exclusively offer this long-term absolute NNN corporate Carrabba’s Italian Grill in St. Petersburg, Florida. Located along one of St. Petersburg’s primary thoroughfares, Tyrone Boulevard (Alt. US 19), the property sits within a very strong retail corridor home to just about every major national retailer and provides access to the coastal areas of Madeira Beach and Treasure Island that attract thousands of tourists throughout the year.

Carrabba’s 15-year absolute NNN lease features ±12.5 years of primary term remaining and four 5-year options to renew. The lease includes an attractive 1% annual rent increase during the initial term and throughout each renewal option period. The 1.835 acre property is occupied by a 6,770+ square-foot freestanding building ideally situated with excellent access and visibility with 550’ of frontage along Tyrone Boulevard (Traffic Count: 41,000 VPD).

The site boasts an advantageous location in close proximity to the Tyrone Square Mall (1.26 million SF) home to Dick’s Sporting Goods, Cobb Theater, Dillard’s, DSW, JCPenney, Macy’s, Bonefish Grill, Lucky’s Market, Buffalo Wild Wings and Old Navy, to name a few. Other major retailers within the immediate vicinity include Target, The Home Depot, Kohl’s, Total Wine, Best Buy, Bed Bath & Beyond, Ross, Michaels, Publix, HomeGoods, Joann Fabrics, Chick-fil-A, Starbucks, Panera Bread and TGI Fridays among many others.

investment highlights• Absolute NNN corporate Carrabba’s Italian Grill

• Densely populated and high traffic area of the Tampa, St. Petersburg, Clearwater MSA

• High Volume Store. Sales are 55% above national average.

• Very healthy rent to sales ratio of 6.18%

• Fixed annual rental increases throughout entire term including options

• Long-term tenancy since 2000

• Sale/leaseback in 2016, tenant completed a full interior and exterior remodel in 2013 at a cost of over $360k

• Land and building lease structure – provides for favorable tax depreciation

• Located within a prime retail corridor with excellent access and exposure (550’ feet of frontage along Tyrone Blvd.)

• Large efficient parcel with more than sufficient parking (109 spaces)

• No debt to assume

• Florida has NO STATE INCOME TAX

INVESTMENT SUMMARY

PRICE: $5,059,500

NOI: $283,330.72*

CAP RATE: 5.6%

TENANT: Carrabba’s Italian Grill, LLC

GUARANTOR: OSI Restaurant Partners, LLC

RENTAL INCREASES: 1% annually Including options

LEASE TERM: 12.5 years remaining on a 15 year lease (August 19,2016 - August 31,2031)

OPTIONS: (4) 5-year options

LANDLORD OBLIGATIONS: None - Absolute NNN

EXISTING FINANCING: No debt to assume

BUILDING SIZE: 6,770 ± SF

LAND SIZE: 1.835 ± acres

PARKING SPACES: 109 (16.1 per 1000 SF)

YEAR BUILT: 1999, renovated 2013

* Rent as of September 1, 2019- rent credit shall be provided at closing.

Actual Property

2

CARRABBAS’S ITALIAN GRILL | ST. PETERSBUR, FL

local map

SUBJECT

regional map

SUBJECT

AREA OVERVIEW

(31,0

00 A

AD

T)

Tyrone Blvd (41,000 AADT)

(17,900 AADT)

3


SITE PLAN

3530 Tyrone Blvd N

One Story Building

6,770 SF

TYRONE BLVD N

19

19

RetentionArea

4


AREA OVERVIEW

ST. PETERSBURG, FLORIDASaint Petersburg is located in Pinellas county in west-central Florida . It is situated at the southern tip of Pinellas Peninsula on Tampa Bay, about 15 miles (25 km) southeast of Clearwater and 20 miles (30 km) southwest of Tampa. Those three cities form one of the state’s largest metropolitan areas. It is part of Florida’s “Sun Coast” region.

Tourism is the basis of St. Petersburg’s economy, and the region is a popular retirement area. High-technology industries, manufacturing (including office equipment, electronics, and optical products), fishing, and services are also important. The city is connected by several bridges with a string of sandy islands (west) between the Gulf of Mexico and Boca Ciega Bay; seaside communities such as St. Pete Beach are located there. To the south, the Sunshine Skyway Bridge across the lower bay links the city to Bradenton and Sarasota.

St. Petersburg is the seat of Eckerd College (1958), St. Petersburg Junior College (1927), Stetson University College of Law (1900), and a campus of the University of South Florida. The city is an oceanographic research centre, home to such facilities as the Florida Marine Research Institute. Among the city’s cultural institutions are museums devoted to fine arts, history, the Holocaust, and Spanish painter Salvador Dalí. It is home to a professional baseball team, the Tampa Bay Rays. There are dozens of marinas and other boating facilities, and sport fishing and sailing are popular. Sunken Gardens, a popular 1930s tourist attraction, was restored by the city and reopened in 2000. Fort De Soto Park occupies five islands off the southern coast of the city and includes the fort, built during the Spanish-American War (1898), and extensive beaches. Weedon Island Preserve is on the city’s east coast.

Since the new millennium, St. Petersburg has emerged as a top destination for the arts – with the dynamic new Dali Museum opening in 2011, the Dale Chihuly world renowned glass collection, and six art districts.

DEMOGRAPHICS: 1-Mile 3-Mile 5-Mile

2018 Population 10,815 93,852 246,611

2023 Population 11,162 97,164 255,463

Percent Pop Change: 2010 to 2018 0.49% 0.58% 0.58%

Percent Pop Change: 2018 to 2023 0.63% 0.70% 0.71%

Percent HH Change: 2018 to 2023 0.59% 0.62% 0.62%

2018 Average Household Income $58,093 $68,203 $66,317

Average Household Size 2.15 2.22 2.22

Daytime Employment (Total Employees)

5,270 36,777 103,660

The city’s notable inverted pyramid Pier, which saw its last complete renovation in 1989 and thrived more than 24 more years before the badly deteriorating facility was closed in 2013 and demolished starting in 2015. The new pier is under construction after the city underwent a public process to replace the historic, iconic waterfront landmark.

As St. Petersburg enters its second golden age, and steps boldly into the 21st century, the downtown core continues its revitalization with projects that include retail shops, restaurants, and movie theaters. More than 900 events bring over 10 million people each year to the sunshine city to experience yacht races, triathlons, baseball, basketball, cycling, festivals, cultural exhibits, and music. The city easily attracts tourists with its cultural district that includes seven museums in the downtown district. A state university, 10 marine institutes and more than two dozen galleries, and the All Children’s Research Center attest to the city’s commitment to education and health care. Historic neighborhoods continue to be restored, as residents invest in their communities with a great source of pride.

5


distance to

299Tallahassee

miles

247Jacksonville

miles

152Naples

miles

267Miami

miles

23Tampa

miles

117Orlando

miles

• No State Income Tax• Low Corporate Tax• Lowest Cost of Living of All SE Metros• Incentives for Job Creators• 3rd Lowest Labor Costs in U.S.• Tampa Bay Ranked As #1 Area People Are

Moving To (Realtor.com)

$66,279 AVG HHINCOME

65,000 Students

4,700 Students

1,844 Students

1,033 Students

$198,000MEDIAN HOME

PRICE

FLORIDA DOT’S 2017AIRPORT OF THE YEAR

2 MILLIONANNUAL PASSENGERS

62NON-STOP DESTINATIONS

New Service Being Added To:Northfolk, Ottawa, Phoenix,

Providence & Milwaukee

$121,859MEDIAN VISITORS

INCOME

$15.4 BILLIONLOCAL

RETAIL SALES

66%OF THE PINELLAS

POPULATION OWNS HOME

6 MILLIONANNUAL VISITORS

EDUCATION AFFORDABLE VISITORS TRANSPORTATION

ACCESS

PINELLAS COUNTY FACTS

QUALITY OF LIFE

350OF SUNSHINE

DAYS

250 PUBLICPARKS 20HOME TO

THEATRE GROUPS

BEST BEACHESAMONG THE35 MILES

IN THE WORLD

SPRING TRAINING HOME

PROSPORTS

Pinellas offers an extraordinary quality of life, a relatively

low cost of living, diverse housing options and high-quality

colleges and universities. With its outstanding cultural,

recreational and sports facilities, incomparable parks and

beaches, and year round events, Pinellas provides a true

resort lifestyle.

INCLUDING THE FAMEDSALVADOR DALI MUSEUM

MUSEUMS22

588 MILES OF COASTLINE47milesPINELLAS TRAILHIKING/BIKING TRAILS

• 48 Golf Courses

• 623 Tennis Courts

• 143 Marinas

• 600+ Events

• 15 Performing Arts Centers

• Home to the Florida

Orchestra

View of Downtown St. Petersburg from Vinoy Park.

6


CARRABBA’S ITALIAN GRILL, LLC www.carrabbas.com

Carrabba’s Italian Grill, LLC Carrabba’s Italian Grill is an authentic Italian restaurant focused on casual dining in a warm, festive atmosphere. The Carrabba’s Italian Grill menu includes a variety of Italian pastas, chicken, beef and seafood dishes, salads, and wood-fired pizzas. Its ingredients are sourced from around the world and the Carrabba’s traditional Italian exhibition kitchen allows consumers to watch handmade dishes as they are being prepared. As of December 2017, Carrabba’s had 228 nationwide locations (225 company-owned and 3 franchised) and TTM system-wide sales of $677 million.

OSI Restaurant Partners, LLC is the primary operating subsidiary of Bloomin’ Brands, Inc. OSI directly owns 15 entities, and indirectly owns more than 100 entities. Bloomin’ Brands, as the publicly traded parent company of OSI Restaurant Partners, LLC, is a holding company which conducts its operations through its subsidiaries.

Bloomin’ Brands, Inc.

Bloomin’ Brands, Inc. (NASDAQ: BLMN) is one of the world’s largest casual dining restaurant companies with approximately 1,489 restaurants throughout 48 states, Puerto Rico, Guam, and 19 countries. The company operates restaurants through a portfolio of leading, differentiated restaurant brands including Outback Steakhouse, Carrabba’s Italian Grill, Bonefish Grill, and Fleming’s Prime Steakhouse & Wine Bar. Price points and degree of formality range from casual (Outback Steakhouse and Carrabba’s Italian Grill) to upscale casual (Bonefish Grill) and fine dining (Fleming’s Prime Steakhouse & Wine Bar). Headquartered in Tampa, Florida, Bloomin’ Brands has more than 100,000 employees. Bloomin’ Brands reported 2017 revenues of $4.21 billion and EBITDA of $352 million.

For more information, please visit www.bloominbrands.com.

TENANT DESCRIPTION

Actual Property

7


CONFIDENTIAL MEMORANDUM & DISCLAIMER

Affiliated Business Disclosure

CBRE, Inc. operates within a global family of companies with many subsidiaries and related entities (each an “Affiliate”) engaging in a broad range of commercial real estate businesses including, but not limited to, brokerage services, property and facilities management, valuation, investment fund management and development. At times different Affiliates, including CBRE Global Investors, Inc. or Trammell Crow Company, may have or represent clients who have competing interests in the same transaction. For example, Affiliates or their clients may have or express an interest in the property described in this Memorandum (the “Property”), and may be the successful bidder for the Property. Your receipt of this Memorandum constitutes your acknowledgement of that possibility and your agreement that neither CBRE, Inc. nor any Affiliate has an obligation to disclose to you such Affiliates’ interest or involvement in the sale or purchase of the Property. In all instances, however, CBRE, Inc. and its Affiliates will act in the best interest of their respective client(s), at arms’ length, not in concert, or in a manner detrimental to any third party. CBRE, Inc. and its Affiliates will conduct their respective businesses in a manner consistent with the law and all fiduciary duties owed to their respective client(s).

Confidentiality Agreement

Your receipt of this Memorandum constitutes your acknowledgement that (i) it is a confidential Memorandum solely for your limited use and benefit in determining whether you desire to express further interest in the acquisition of the Property, (ii) you will hold it in the strictest confidence, (iii) you will not disclose it or its contents to any third party without the prior written authorization of the owner of the Property (“Owner”) or CBRE, Inc., and (iv) you will not use any part of this Memorandum in any manner detrimental to the Owner or CBRE, Inc.

If after reviewing this Memorandum, you have no further interest in purchasing the Property, kindly return it to CBRE, Inc.

Disclaimer

This Memorandum contains select information pertaining to the Property and the Owner, and does not purport to be all-inclusive or contain all or part of the information which prospective investors may require to evaluate a purchase of the Property. The information contained in this Memorandum has been obtained from sources believed to be reliable, but has not been verified for accuracy, completeness, or fitness for any particular purpose. All information is presented “as is” without representation or warranty of any kind. Such information includes estimates based on forward-looking assumptions relating to the general economy, market conditions, competition and other factors which are subject to uncertainty and may not represent the current or future performance of the Property. All references to acreages, square footages, and other measurements are approximations. This Memorandum describes certain documents, including leases and other materials, in summary form. These summaries may not be complete nor accurate descriptions of the full agreements referenced. Additional information and an opportunity to inspect the Property may be made available to qualified prospective purchasers. You are advised to independently verify the accuracy and completeness of all summaries and information contained herein, to consult with independent legal and financial advisors, and carefully investigate the economics of this transaction and Property’s suitability for your needs. ANY RELIANCE ON THE CONTENT OF THIS MEMORANDUM IS SOLELY AT YOUR OWN RISK.

The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property, and/or to terminate discussions at any time with or without notice to you. All offers, counteroffers, and negotiations shall be non-binding and neither CBRE, Inc. nor the Owner shall have any legal commitment or obligation except as set forth in a fully executed, definitive purchase and sale agreement delivered by the Owner.

Copyright Notice [to be inserted at the foot of the inside cover]


© 2019 CBRE, Inc. All rights reserved. This information has been obtained from sources believed reliable, but has not been verified for accuracy or completeness. You should conduct a careful, independent investigation of the property and verify all information. Any reliance on this information is solely at your own risk.

CBRE and the CBRE logo are service marks of CBRE, Inc. All other marks displayed on this document are the property of their respective owners.

EXCLUSIVELY MARKETED BY

MARK DRAZEKSenior Vice PresidentCapital Markets | Net Lease Properties



RAY ROMANOFirst Vice PresidentCapital Markets | Net Lease Properties



Documents

HIGH VOLUME CARRABBA’S ITALIAN GRILL · St. Petersburg is the seat of Eckerd College (1958), St. Petersburg Junior College (1927), Stetson University College of Law (1900), and