dollar general
DOLLAR GENERAL 2919 Cedar Crest Boulevard | Dallas, Texas 75203
NET LEASED INVESTMENT OFFERING
Representative Photo
CONFIDENTIAL OFFERING MEMORANDUM
NET LEASED INVESTMENT OFFERING
Elevation of Actual Dollar General Building
Former Safeway Building
CONTACT INFORMATION T. Reed Hudson Associate Director
Stan Johnson Company is pleased to offer for
[email protected]
sale to qualified investors an attractive retail property with a long-term NN lease located in a
Stan Johnson Company
Dallas, Texas infill location, less than 2.5 miles
10707 Corporate Drive
from downtown.
Suite 120 Stafford, Texas 77477
P: 832.476.3440 F: 832.476.3449
The property is 100% leased to Dolgencorp of Texas, Inc. / Dollar General Corporation (NYSE: DG). As of January 29, 2010, Dollar General Corp. reported a total revenue of nearly $11.8 billion, a net income of almost $340 million and a net worth over $3.39 billion. DG currently holds a Standard & Poor’s rating of
BB with a Stable outlook.
INVESTMENT HIGHLIGHTS
Offering Price: $845,714 Cap Rate: 8.75% INVESTMENT HIGHLIGHTS: • Ten (10) year NN lease; rent to commence on November 1, 2010 (approximate) • 8% rent increases every Five (5) years • Three (3), Five (5) year renewal options • Building is a former Safeway, currently undergoing a full renovation for Dollar General including a new roof, 35 tons of new HVAC, new interior, new bathrooms, new lighting and new asphalt parking lot • Infill location less than 2.5 miles from downtown Dallas • Traffic counts of 16,679 VPD along Cedar Crest Boulevard • 326,000 people in a five (5) mile radius • Dollar General Corporation currently holds a Standard & Poor’s rating of BB with a Stable outlook • As of January 29, 2010, Dollar General Corp. reported a total revenue of nearly $11.8 billion, a net income of almost $340 million and a net worth over $3.39 billion
LEASE ABSTRACT
Tenant:
Dollar General Corporation (NYSE: DG) / Dolgencorp of Texas, Inc.
Location:
2919 Cedar Crest Boulevard Dallas, Texas 75203
Building Size:
14,370 SF (approximate)
Land Area:
1.87 Acres (approximate)
Year Built:
1957 (Renovated in 2010)
Lease Commencement:
July 19, 2010
Rent Commencement:
November 1, 2010 (approximate)
Base Lease Term:
Ten (10) years
Renewal Options:
Three (3), Five (5) year renewal options
Annual Rent:
$74,000
Rental Increases:
8% rental increases every Five (5) years
Expenses:
NN; Landlord is responsible for roof, structure, parking lot and common area maintenance; Tenant is responsible for taxes, insurance and reimbursement of common area maintenance in the amount of $180 monthly
Years
Annual Rent
Per SF
1–5
$74,000
$5.15/SF
6 – 10
$79,920
$5.56/SF
11 – 15 (Option 1)
$86,314
$6.01/SF
16 – 20 (Option 2)
$93,219
$6.49/SF
21 – 25 (Option 3)
$100,677
$7.01/SF
The information contained herein was obtained from sources believed reliable; however, STAN JOHNSON COMPANY makes no guaranties, warranties, or representations as to the completeness or accuracy thereof. The presentation of this property for sale, rent, or exchange is submitted subject to errors, omissions, change of price or conditions, or withdrawal without notice.
TENANT OVERVIEW
DOLLAR GENERAL Dollar General Corp. is a chain of variety stores operating within the US. As of July 31, 2010, the chain operates 9,000 stores in 35 states. Dollar General has more retail locations than any retailer in America. The companies headquarters is located in Goodlettsville, Tennessee, a suburb of Nashville. The stores were founded in 1939 by Cal Turner in Scottsville, Kentucky as J.L. Turner & Son, Inc. In 1968 they changed the name to Dollar General Corporation. Dollar General stores are typically in small shopping plazas or strip malls in local neighborhoods. In recent years the chain has started constructing more stand-alone stores, typically in areas not served by another general-merchandise retailer. In some cases, stores are within a few city blocks of each other.
Dollar General Corporation has been delivering value to shoppers for more than 70 years. Dollar General helps shoppers ‘Save time. Save money. Every day!’ by offering products that are frequently used and replenished, such as food, snacks, health and beauty aids, cleaning supplies, basic apparel, house wares and seasonal items at low everyday prices in convenient neighborhood locations. In addition to high quality private brands, Dollar General sells products from America's most-trusted manufacturers such as Procter & Gamble, Kimberly-Clark, Unilever, Kellogg's, General Mills, Nabisco, Hanes, PepsiCo and Coca-Cola. As of January 29, 2010, Dollar General Corp. reported a total revenue of nearly $11.8 billion, a net
income of almost $340 million and a net worth over $3.39 billion. DG currently holds a Standard & Poor’s rating of BB with a Stable outlook.
PROPERTY / LOCATION OVERVIEW
PROPERTY / LOCATION OVERVIEW
DOWNTOWN DALLAS
LOCATION (DALLAS) OVERVIEW
DALLAS, TEXAS As the eighth-largest city and part of the fourth-largest metropolitan area in the nation, Dallas, Texas covers approximately 343 square miles and has a population of approximately 1,279,910. The
Dallas/Fort Worth metropolitan area has been one of the fastest growing areas in the United States since 1990 in both employment and population. Over 825,000 jobs have been created locally in the last 15 years and the population has increased by approximately 2 million people. Dallas is also a leading business and meeting city, centrally located and within a four-hour flight from most North American destinations. DFW International Airport is the world’s third busiest airport, offering nearly 1,800 flights per day and providing non-stop service to 134 domestic and 37 international destinations worldwide. The Dallas Convention Center is one of the largest and busiest convention centers in the country, at over 1,000,000 SF, and the world's single-largest column-free exhibit hall. The Dallas-Fort Worth Metroplex as a whole has the largest concentration of corporate headquarters in the United States including Brinker International, Comerica Bank, Southwest Airlines, Electronic Data Systems, Frito Lay, Dr. Pepper Snapple Group and newly added AT&T. Dallas is also home to 46 Fortune 1000 companies. In 2009, 25 area businesses were named Fortune 500 companies, including Exxon Mobil, JCPenney and Texas Instruments. Dallas/Fort Worth is ranked fifth among metropolitan areas for Fortune 500 companies. The Dallas job growth rate has exceeded the nation since 2003 and is forecasted to grow faster than the nation through 2016.
Dallas Fortune 1000 Companies: Blockbuster, Southwest Airlines, AT&T, Texas Instruments, Neiman Marcus. Other DFW Fortune 1000 Companies: Atmos Energy, Crosstex, Dean Foods, Holly, Alliance Data, Ensco, Tenet, Trinity Industries, Inc., Exxon Mobil, AMR (American Airlines), Kimberly-Clark, J.C. Penney,
Commercial
Metals,
GameStop,
Flowserve,
RadioShack,
Michaels
International, Torchmark, Rent A Center, Sally Beauty Holdings, Zale, and many more.
Stores,
Lennox
DEMOGRAPHICS Radius 3: 2919 CEDAR CREST BLVD, DALLAS, TX 75203-4011 0 - 1 m ile Description Population 2015 Projection 2010 Estimate 2000 Census 1990 Census Households 2015 Projection 2010 Estimate 2000 Census 1990 Census 2010 Est. Population by Single Classification Race White Alone Black or African American Alone American Indian and Alaska Native Alone Asian Alone Native Haw aiian and Other Pacific Islander Alone Some Other Race Alone Tw o or More Races 2010 Est. Population Hispanic or Latino Hispanic or Latino Not Hispanic or Latino 2010 Average Household Size 2010 Est. Households by Household Incom e Income Less than $15,000 Income $15,000 - $24,999 Income $25,000 - $34,999 Income $35,000 - $49,999 Income $50,000 - $74,999 Income $75,000 - $99,999 Income $100,000 - $124,999 Income $125,000 - $149,999 Income $150,000 - $199,999 Income $200,000 - $499,999 Income $500,000 and over 2010 Est. Average Household Incom e 2010 Est. Per Capita Incom e 2010 Median HH Inc by Single Race Class or Ethn White Alone Black or African American Alone American Indian and Alaska Native Alone Asian Alone Native Haw aiian and Other Pacific Islander Alone Some Other Race Alone Tw o or More Races Hispanic or Latino Not Hispanic or Latino
Radius 1
0 - 3 m iles %
Radius 2
0 - 5 m iles %
Radius 3
5,377 5,560 6,083 7,238
109,745 108,280 104,627 102,234
336,289 326,351 305,254 284,728
1,958 2,013 2,208 2,426 5,560 889 3,284 29 21 22 1,181 134 5,560 2,129 3,430 2.76 2,013 689 323 401 268 209 66 40 11 4 3 0 $30,053 $10,883
32,723 32,557 31,565 31,358 108,280 34,529 45,235 831 366 74 23,406 3,839 108,280 51,165 57,115 2.98 32,557 9,646 5,198 4,304 4,739 4,126 1,953 1,110 539 444 418 80 $42,084 $13,858
108,123 105,262 98,561 92,533 326,351 120,594 94,983 2,223 2,989 276 94,083 11,203 326,351 183,467 142,884 2.95 105,262 23,536 14,998 14,131 16,894 15,870 8,314 4,484 2,401 1,847 2,277 511 $51,502 $17,168
32,674 21,623 18,750 42,500 62,500 29,679 27,500 29,043 22,869
15.99 59.06 0.52 0.38 0.40 21.24 2.41 38.29 61.69
34.23 16.05 19.92 13.31 10.38 3.28 1.99 0.55 0.20 0.15 0.00
43,244 20,197 30,200 39,468 58,333 32,169 36,164 32,859 25,218
31.89 41.78 0.77 0.34 0.07 21.62 3.55 47.25 52.75
29.63 15.97 13.22 14.56 12.67 6.00 3.41 1.66 1.36 1.28 0.25
47,045 23,228 34,884 37,767 40,625 35,045 37,324 34,969 34,983
%
36.95 29.10 0.68 0.92 0.08 28.83 3.43 56.22 43.78
22.36 14.25 13.42 16.05 15.08 7.90 4.26 2.28 1.75 2.16 0.49
OFFERED EXCLUSIVELY BY
CONTACT INFORMATION T. Reed Hudson Associate Director [email protected]
Stan Johnson Company 10707 Corporate Drive Suite 120 Stafford, Texas 77477
P: 832.476.3440 F: 832.476.3449
Elevation of Actual Dollar General Building
Former Safeway Building
NET LEASED INVESTMENT OFFERING
Representative Photo
CONFIDENTIAL OFFERING MEMORANDUM
NET LEASED INVESTMENT OFFERING
Elevation of Actual Dollar General Building
Former Safeway Building
CONTACT INFORMATION T. Reed Hudson Associate Director
Stan Johnson Company is pleased to offer for
[email protected]
sale to qualified investors an attractive retail property with a long-term NN lease located in a
Stan Johnson Company
Dallas, Texas infill location, less than 2.5 miles
10707 Corporate Drive
from downtown.
Suite 120 Stafford, Texas 77477
P: 832.476.3440 F: 832.476.3449
The property is 100% leased to Dolgencorp of Texas, Inc. / Dollar General Corporation (NYSE: DG). As of January 29, 2010, Dollar General Corp. reported a total revenue of nearly $11.8 billion, a net income of almost $340 million and a net worth over $3.39 billion. DG currently holds a Standard & Poor’s rating of
BB with a Stable outlook.
INVESTMENT HIGHLIGHTS
Offering Price: $845,714 Cap Rate: 8.75% INVESTMENT HIGHLIGHTS: • Ten (10) year NN lease; rent to commence on November 1, 2010 (approximate) • 8% rent increases every Five (5) years • Three (3), Five (5) year renewal options • Building is a former Safeway, currently undergoing a full renovation for Dollar General including a new roof, 35 tons of new HVAC, new interior, new bathrooms, new lighting and new asphalt parking lot • Infill location less than 2.5 miles from downtown Dallas • Traffic counts of 16,679 VPD along Cedar Crest Boulevard • 326,000 people in a five (5) mile radius • Dollar General Corporation currently holds a Standard & Poor’s rating of BB with a Stable outlook • As of January 29, 2010, Dollar General Corp. reported a total revenue of nearly $11.8 billion, a net income of almost $340 million and a net worth over $3.39 billion
LEASE ABSTRACT
Tenant:
Dollar General Corporation (NYSE: DG) / Dolgencorp of Texas, Inc.
Location:
2919 Cedar Crest Boulevard Dallas, Texas 75203
Building Size:
14,370 SF (approximate)
Land Area:
1.87 Acres (approximate)
Year Built:
1957 (Renovated in 2010)
Lease Commencement:
July 19, 2010
Rent Commencement:
November 1, 2010 (approximate)
Base Lease Term:
Ten (10) years
Renewal Options:
Three (3), Five (5) year renewal options
Annual Rent:
$74,000
Rental Increases:
8% rental increases every Five (5) years
Expenses:
NN; Landlord is responsible for roof, structure, parking lot and common area maintenance; Tenant is responsible for taxes, insurance and reimbursement of common area maintenance in the amount of $180 monthly
Years
Annual Rent
Per SF
1–5
$74,000
$5.15/SF
6 – 10
$79,920
$5.56/SF
11 – 15 (Option 1)
$86,314
$6.01/SF
16 – 20 (Option 2)
$93,219
$6.49/SF
21 – 25 (Option 3)
$100,677
$7.01/SF
The information contained herein was obtained from sources believed reliable; however, STAN JOHNSON COMPANY makes no guaranties, warranties, or representations as to the completeness or accuracy thereof. The presentation of this property for sale, rent, or exchange is submitted subject to errors, omissions, change of price or conditions, or withdrawal without notice.
TENANT OVERVIEW
DOLLAR GENERAL Dollar General Corp. is a chain of variety stores operating within the US. As of July 31, 2010, the chain operates 9,000 stores in 35 states. Dollar General has more retail locations than any retailer in America. The companies headquarters is located in Goodlettsville, Tennessee, a suburb of Nashville. The stores were founded in 1939 by Cal Turner in Scottsville, Kentucky as J.L. Turner & Son, Inc. In 1968 they changed the name to Dollar General Corporation. Dollar General stores are typically in small shopping plazas or strip malls in local neighborhoods. In recent years the chain has started constructing more stand-alone stores, typically in areas not served by another general-merchandise retailer. In some cases, stores are within a few city blocks of each other.
Dollar General Corporation has been delivering value to shoppers for more than 70 years. Dollar General helps shoppers ‘Save time. Save money. Every day!’ by offering products that are frequently used and replenished, such as food, snacks, health and beauty aids, cleaning supplies, basic apparel, house wares and seasonal items at low everyday prices in convenient neighborhood locations. In addition to high quality private brands, Dollar General sells products from America's most-trusted manufacturers such as Procter & Gamble, Kimberly-Clark, Unilever, Kellogg's, General Mills, Nabisco, Hanes, PepsiCo and Coca-Cola. As of January 29, 2010, Dollar General Corp. reported a total revenue of nearly $11.8 billion, a net
income of almost $340 million and a net worth over $3.39 billion. DG currently holds a Standard & Poor’s rating of BB with a Stable outlook.
PROPERTY / LOCATION OVERVIEW
PROPERTY / LOCATION OVERVIEW
DOWNTOWN DALLAS
LOCATION (DALLAS) OVERVIEW
DALLAS, TEXAS As the eighth-largest city and part of the fourth-largest metropolitan area in the nation, Dallas, Texas covers approximately 343 square miles and has a population of approximately 1,279,910. The
Dallas/Fort Worth metropolitan area has been one of the fastest growing areas in the United States since 1990 in both employment and population. Over 825,000 jobs have been created locally in the last 15 years and the population has increased by approximately 2 million people. Dallas is also a leading business and meeting city, centrally located and within a four-hour flight from most North American destinations. DFW International Airport is the world’s third busiest airport, offering nearly 1,800 flights per day and providing non-stop service to 134 domestic and 37 international destinations worldwide. The Dallas Convention Center is one of the largest and busiest convention centers in the country, at over 1,000,000 SF, and the world's single-largest column-free exhibit hall. The Dallas-Fort Worth Metroplex as a whole has the largest concentration of corporate headquarters in the United States including Brinker International, Comerica Bank, Southwest Airlines, Electronic Data Systems, Frito Lay, Dr. Pepper Snapple Group and newly added AT&T. Dallas is also home to 46 Fortune 1000 companies. In 2009, 25 area businesses were named Fortune 500 companies, including Exxon Mobil, JCPenney and Texas Instruments. Dallas/Fort Worth is ranked fifth among metropolitan areas for Fortune 500 companies. The Dallas job growth rate has exceeded the nation since 2003 and is forecasted to grow faster than the nation through 2016.
Dallas Fortune 1000 Companies: Blockbuster, Southwest Airlines, AT&T, Texas Instruments, Neiman Marcus. Other DFW Fortune 1000 Companies: Atmos Energy, Crosstex, Dean Foods, Holly, Alliance Data, Ensco, Tenet, Trinity Industries, Inc., Exxon Mobil, AMR (American Airlines), Kimberly-Clark, J.C. Penney,
Commercial
Metals,
GameStop,
Flowserve,
RadioShack,
Michaels
International, Torchmark, Rent A Center, Sally Beauty Holdings, Zale, and many more.
Stores,
Lennox
DEMOGRAPHICS Radius 3: 2919 CEDAR CREST BLVD, DALLAS, TX 75203-4011 0 - 1 m ile Description Population 2015 Projection 2010 Estimate 2000 Census 1990 Census Households 2015 Projection 2010 Estimate 2000 Census 1990 Census 2010 Est. Population by Single Classification Race White Alone Black or African American Alone American Indian and Alaska Native Alone Asian Alone Native Haw aiian and Other Pacific Islander Alone Some Other Race Alone Tw o or More Races 2010 Est. Population Hispanic or Latino Hispanic or Latino Not Hispanic or Latino 2010 Average Household Size 2010 Est. Households by Household Incom e Income Less than $15,000 Income $15,000 - $24,999 Income $25,000 - $34,999 Income $35,000 - $49,999 Income $50,000 - $74,999 Income $75,000 - $99,999 Income $100,000 - $124,999 Income $125,000 - $149,999 Income $150,000 - $199,999 Income $200,000 - $499,999 Income $500,000 and over 2010 Est. Average Household Incom e 2010 Est. Per Capita Incom e 2010 Median HH Inc by Single Race Class or Ethn White Alone Black or African American Alone American Indian and Alaska Native Alone Asian Alone Native Haw aiian and Other Pacific Islander Alone Some Other Race Alone Tw o or More Races Hispanic or Latino Not Hispanic or Latino
Radius 1
0 - 3 m iles %
Radius 2
0 - 5 m iles %
Radius 3
5,377 5,560 6,083 7,238
109,745 108,280 104,627 102,234
336,289 326,351 305,254 284,728
1,958 2,013 2,208 2,426 5,560 889 3,284 29 21 22 1,181 134 5,560 2,129 3,430 2.76 2,013 689 323 401 268 209 66 40 11 4 3 0 $30,053 $10,883
32,723 32,557 31,565 31,358 108,280 34,529 45,235 831 366 74 23,406 3,839 108,280 51,165 57,115 2.98 32,557 9,646 5,198 4,304 4,739 4,126 1,953 1,110 539 444 418 80 $42,084 $13,858
108,123 105,262 98,561 92,533 326,351 120,594 94,983 2,223 2,989 276 94,083 11,203 326,351 183,467 142,884 2.95 105,262 23,536 14,998 14,131 16,894 15,870 8,314 4,484 2,401 1,847 2,277 511 $51,502 $17,168
32,674 21,623 18,750 42,500 62,500 29,679 27,500 29,043 22,869
15.99 59.06 0.52 0.38 0.40 21.24 2.41 38.29 61.69
34.23 16.05 19.92 13.31 10.38 3.28 1.99 0.55 0.20 0.15 0.00
43,244 20,197 30,200 39,468 58,333 32,169 36,164 32,859 25,218
31.89 41.78 0.77 0.34 0.07 21.62 3.55 47.25 52.75
29.63 15.97 13.22 14.56 12.67 6.00 3.41 1.66 1.36 1.28 0.25
47,045 23,228 34,884 37,767 40,625 35,045 37,324 34,969 34,983
%
36.95 29.10 0.68 0.92 0.08 28.83 3.43 56.22 43.78
22.36 14.25 13.42 16.05 15.08 7.90 4.26 2.28 1.75 2.16 0.49
OFFERED EXCLUSIVELY BY
CONTACT INFORMATION T. Reed Hudson Associate Director [email protected]
Stan Johnson Company 10707 Corporate Drive Suite 120 Stafford, Texas 77477
P: 832.476.3440 F: 832.476.3449
Elevation of Actual Dollar General Building
Former Safeway Building
