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EXCLUSIVE OFFERING | $2,826,000 – 4.60% CAP

Jack in the Box – Absolute NNN

2800 w dunlap ave, phoenix, az

Property. New 2,863+ SF building on 0.66+ acre site.

Tenant. Franchisee: Stine Enterprises Inc., 34+ years of experience, owns & operates 72 Jack in the Box Restaurants (71 in the Phoenix metro area).

Lease structure. New 20-year, absolute NNN lease with 8% rent increases every 5-years in primary term, beginning year 6.

Location. Jack in the Box is strategically located along W. Dunlap Ave. (22,100 VPD), at its signalized intersection with I-17’s (75,800 VPD) service road, in

northwest Phoenix, AZ. W. Dunlap Ave. is a local commercial corridor that gives the surrounding area access to multiple retailers and office buildings, as well as the

high traffic highway, I-17. The subject property stands to gain from being located within an immediate trade that features 20,761 people residing within a mile radius.

Additionally, the immediate trade area features multiple schools and universities such as Cortez High School, Alta Vista Elementary, Brookline College – Phoenix,

and Ottawa University, which all together have a 3,915 students while all being within a mile from the subject Jack in the Box. The accessibility coupled with a close

proximity to multiple office/industrial parks, major highways, and schools/institutions of higher learning have contributed to the growth and development of the

immediate trade area. The subject Jack in the Box is located approximately 10-miles northwest of downtown Phoenix, AZ.

FILE PHOTO

214.915.8890

RUSSELL SMITH

[email protected]

BOB MOORHEAD

[email protected]

Located Across fromMetrocenter mall,

A soon to be massive

mixed-use development

(+1.4 Mill SF)

Table of contents | Disclaimer Jack in the Box


Trivanta (“Agent”) has been engaged as an agent for the sale of the property located at

2800 W. Dunlap Ave., Phoenix, AZ the owner of the Property (“Seller”). The Property is

being offered for sale in an “as-is, where-is” condition and Seller and Agent make no

representations or warranties as to the accuracy of the information contained in this

Offering Memorandum. The enclosed materials include highly confidential information and

are being furnished solely for the purpose of review by prospective purchasers of the

interest described herein. The enclosed materials are being provided solely to facilitate the

prospective investor’s own due diligence for which it shall be fully and solely responsible.

The material contained herein is based on information and sources deemed to be reliable,

but no representation or warranty, express or implied, is being made by Agent or Seller or

any of their respective representatives, affiliates, officers, employees, shareholders,

partners and directors, as to the accuracy or completeness of the information contained

herein. Summaries contained herein of any legal or other documents are not intended to be

comprehensive statements of the terms of such documents, but rather only outlines of

some of the principal provisions contained therein. Neither the Agent nor the Seller shall

have any liability whatsoever for the accuracy or completeness of the information contained

herein or any other written or oral communication or information transmitted or made

available or any action taken or decision made by the recipient with respect to the Property.

Interested parties are to make their own investigations, projections and conclusions without

reliance upon the material contained herein. Seller reserves the right, at its sole and

absolute discretion, to withdraw the Property from being marketed for sale at any time and

for any reason. Seller and Agent each expressly reserves the right, at their sole and

absolute discretion, to reject any and all expressions of interest or offers regarding the

Property and/or to terminate discussions with any entity at any time, with or without notice.

This offering is made subject to omissions, correction of errors, change of price or other

terms, prior sale or withdrawal from the market without notice. Agent is not authorized to

make any representations or agreements on behalf of Seller. Seller shall have no legal

commitment or obligation to any interested party reviewing the enclosed materials,

performing additional investigation and/or making an offer to purchase the Property unless

and until a binding written agreement for the purchase of the Property has been fully

executed, delivered, and approved by Seller and any conditions to Seller’s obligations

hereunder have been satisfied or waived. By taking possession of and reviewing the

information contained herein, the recipient agrees that (a) the enclosed materials and their

contents are of a highly confidential nature and will be held and treated in the strictest

confidence and shall be returned to Agent or Seller promptly upon request; and (b) the

recipient shall not contact employees or tenants of the Property directly or indirectly

regarding any aspect of the enclosed materials or the Property without the prior written

approval of the Seller or Agent; and (c) no portion of the enclosed materials may be copied

or otherwise reproduced without the prior written authorization of Seller and Agent.

PAGE 3: INVESTMENT | TENANT | LEASE OVERVIEW

PAGE 1: COVER

PAGE 2: TABLE OF CONTENTS | DISCLAIMER

PAGE 7-9: LOCATION OVERVIEW

Disclaimer

PAGE 6: SITE PLAN

2

PAGE 4-5: AERIAL PHOTOS

PAGE 10-11: LOCATION MAPS

Arizona Broker of Record:

David Jarand

Strategic Retail Group | License # LC581189000

PAGE 12: DEMOGRAPHICS

Investment overviewJack in the Box


Tenant overviewLESSEE: STINE ENTERPRISES, INC.

Lease overview

PRICE | CAP RATE: $2,826,000 | 4.60%

NET OPERATING INCOME: $130,000

BUILDING AREA: 2,863+ Square Feet

LAND AREA: 0.66+ Acres

YEAR BUILT: 2019

LANDLORD RESPONSIBILITY: None

OWNERSHIP: Fee Simple Interest

OCCUPANCY: 100%

3

STINE ENTERPRISES, INC.

Stine Enterprises Inc. (“Stine”), headquartered in Phoenix, AZ, owns and operates 72 Jack in the Box Restaurants (71 in the Phoenix metropolitan area). In 1982,

Steve Stine became one of the initial franchisees of Jack in the Box, with the acquisition of a single restaurant in Phoenix. Over the next 34+ years, Steve and his

partner Adam Stine have grown the company into a “best in class” franchisee. Stine has a strong understanding of the dynamics that drive the market, and their

restaurants are located in premium trade areas and on some of the best corners in the market. The company has had significant advantages in the areas of real

estate, brand recognition, and market penetration. Stine’s commitment to operational excellence and focus on brand quality has won them numerous awards,

including a 2013 Brand Ambassador Award, which is Jack in the Box’s Franchisee of the Year Award.

JACK IN THE BOX | www.jackinthebox.com

Jack in the Box Inc. (NASDAQ: JACK), founded in 1951, is a restaurant company that operates and franchises Jack in the Box® restaurants in 21 states and,

through a wholly owned subsidiary, operates and franchises Qdoba Mexican Eats Restaurants with 700 restaurants in a combined 47 states plus the District of

Columbia. Based in San Diego, Jack in the Box Inc. has more than 20,000 employees. Jack in the Box is among the nation’s leading fast-food hamburger chains,

with more than 2,200 quick-serve restaurants in 21 states. As the first major hamburger chain to develop and expand the concept of drive-thru dining, Jack in the

Box has always emphasized on-the-go convenience, with approximately 85% of the half-billion guests served annually buying food at the drive-thru or for take-out.

In addition to drive-thru windows, most restaurants have indoor dining areas and are open 18-24 hours a day.

For the fiscal year ending in 2018, the company had $870 million in revenue, $143 million in net income, and $145.66 million in net operation cash flow.

Projected Lease Expiration: August 2039

Projected Store Opening: October 2019

Lease Term: 20-Years

Rent Increases: 8% Every 5 Years, Beginning Year 6

Lease Type: Absolute NNN Lease

Annual Rent Yrs 1-5: $130,000




Projected Rent Commencement: August 2019

Aerial photoJack in the Box


Cortez High School

(1,156 students)

Alta Vista

Elementary

(673 students)

Brookline

College –

Phoenix

(1,468 enrolled)

San Valiente

Apartments

(604 units)

W. Dunlap Ave. (22,100 VPD)

Sierra Pines

Apartments

(332 units)

Deer Valley Water

Treatment Plant

Metrocenter

Shopping Mall

(1.4 million SF)

Rose Mofford

Dog Park

Ottawa

University

(618 enrolled)

4

Castles-N-Coasters

Industrial

and Office

Hub

N. 2

9thA

ve.

N. 31

stAve.

Aerial photoJack in the Box


W. Dunlap Ave. (22,100 VPD)

Alta Vista

Elementary

(673 students)

N. 31

stAve.

Cortez High

School

(1,156 students)

Brookline

College –

Phoenix

(1,468 enrolled)

Sierra Pines

Apartments

(332 units)

Deer Valley Water

Treatment Plant

Sheraton

Crescent Hotel

(342 rooms)

5

Future Multi-Family

Development

(200 units)

Castles-N-Coasters

SITE PLANJack in the Box


6W. Dunlap Ave.

I-17 Service R

oad

LOCATION OVERVIEW – MetroCenter mall RedevelopmentJack in the Box


7

Arizona Commercial Real Estate (July 1, 2017) – A rumor circulating about the demolition of Metrocenter Mall has had two results. First, considerable media coverage.

Second, a public outpouring form Phoenix residents unhappy about the news. Here’s the good news: Metrocenter isn’t being demolished.

“The public’s response confirms what we've known for a long time – that Phoenix residents hold a special place in their hearts for this retail landmark,” said Warren Fink,

Chief Operating Officer for Carlyle Development Group, the owner of Metrocenter Mall. “We feel the same way, which is why we’ve worked so hard to create concepts that

will revitalize Metrocenter without losing its history.”

According to Fink, this includes a number of different concepts in the planning stages, but none at this time that include a complete demolition.

“Our vision is to create a mixed-use palate that makes the very best use of this site – both its existing space and parts of the property that can support redevelopment or new

development, such as senior housing, multifamily housing, corporate office, healthcare and additional retail, restaurant and entertainment amenities,” said Fink. “Shoppers

flock to this type of dynamic combination. It’s what communities want and it’s what we want to provide. This will almost certainly include some level of redevelopment and

new development, but not an entire demolition.”

Carlyle’s vision is possible thanks to a June decision by the Phoenix City Council to pass a Planned Unit Development (PUD) rezoning that allows for this range of property

types at Metrocenter. The PUD also allows for a height increase up to 180 feet (approximately 15 stories) and allows Carlyle to almost double its current 800,000 square feet

of existing space, to a total 1.6 million square feet.

This rezoning encompasses 130 acres, with 83 acres of that occupied by Metrocenter Mall, the adjoining Macys and Sears anchor spaces, and the 10-acre land site of a

future Walmart Supercenter. The balance of the PUD – approximately 45 acres – encompasses land and businesses around the mall loop road, including Castles-N-

Coasters, College of America and the former Sports Authority big box.

“This has been a joint effort championed by everyone from public officials to retailers to property owners to residents. We’ve all been working to get to this spot for a long

time,” said Fink. “Now that the rezoning is in place, we can move even more purposefully toward our vision.”

One of the first projects to move forward at Metrocenter has been the construction of a 148,000-square-foot Walmart Supercenter, which upon completion will sit directly

adjacent to Metrocenter Mall, at the site of the former Broadway building. The development marks the single largest capital investment in Metrocenter Mall in decades. Other

benchmarks on the horizon include the extension of Light Rail to the Metrocenter site, with an on-property Light Rail stop expected to be open and operational by 2023…

Goodbye Metrocenter? Developer says no plans to demolish mall

Source: AZRE. “Goodbye Metrocenter? Developer says no plans to demolish mall.” AZ Big Media, Real Estate, 1 Jul. 2017,

https://azbigmedia.com/real-estate/goodbye-metrocenter-developer-plans-demolish-mall/

Click Here FOR Article :

https://azbigmedia.com/real-estate/goodbye-metrocenter-developer-plans-demolish-mall/

Location overviewJack in the Box


8

IMMEDIATE TRADE AREA

Jack in the Box is strategically located along W. Dunlap Ave. (22,100 VPD), at its signalized intersection with I-17’s (75,800 VPD) service road, in northwest Phoenix, AZ.

W. Dunlap Ave. is a local commercial corridor that gives the surrounding area access to multiple retailers and office buildings, as well as the high traffic highway I-17. The

subject property stands to gain from being located within an immediate trade that features 20,761 people residing within a mile radius. Additionally, within a mile of the

subject property, the immediate trade area features multiple schools and universities such as Cortez High School, Alta Vista Elementary, Brookline College – Phoenix,

and Ottawa University, which combine for a total of nearly 4,000 students. The accessibility coupled with a close proximity to multiple office/industrial parks, major

highways, and schools/universities have contributed to the growth and development of the immediate trade area. The subject Jack in the Box is located approximately 10-

miles northwest of downtown Phoenix, AZ.

Less than a mile north of the subject property along 29th Ave. lies Metrocenter Mall, a +1.4 million SF superregional mall located on 312-acres in northwest Phoenix,

Arizona. In January 2012, the property was sold to Carlyle Development Group for $12.2 million, with the hope that in five to six years they could turn the property into a

mixed-use development site, with retail, residential, medical, and possibly college campus tenants. In June 2016, the massive redevelopment of Metrocenter was

approved by the Phoenix City Council. Metrocenter Mall will undergo a massive revitalization that will bring more retail and restaurants as well as office buildings,

apartments, senior housing, and health-care facilities to the mall. The redevelopment process has already begun, with the breaking ground of a new Walmart

Supercenter. The new anchor’s of this mall will be the Walmart Supercenter and a Dillard’s.

Also less than a mile north along 29th Ave. from the subject property is the Castles N’ Coasters amusement park. This family amusement center is located in northwest

Phoenix, Arizona on approximately 10-acres that features four outdoor 18-hole miniature golf courses, several rides, and an indoor video game arcade. Other attractions

include a go-kart track, bumper cars, bumper boats, 2 roller coasters called Patriot and Desert Storm, some thrill rides including Magic Carpet (music express that goes

forward and backward through “Aladdin’s Castle”), Sea Dragon (a large swinging Viking ship), Sky Diver (a 120 foot tall free-fall drop tower) and Free fall (a smaller

version of Sky Diver) drop rides, and Splashdown (a log flume ride that features logging town, tunnel, waterfalls, fountains and more) which has a 10 foot and 30 foot drop

on the ride.

Traffic volumes, growth, and accessibility of the immediate trade area have attracted numerous nationally known tenants to the trade area. Some of those brands include

Walmart, Midas, AAMCO, Dillard’s, Conn’s, LA Fitness, Bath & Body Works, Walgreens, Goodwill, Outback, Fuddruckers, Denny’s, Schlotzsky’s, Circle K, Chevron,

Metro PCS, Cricket Wireless, and many more.

Castles N’ Coasters0.5-miles north of subject property

Metrocenter Mall0.6-miles north of subject property

Location overviewJack in the Box


9

PHOENIX, AZ

Phoenix is the capital, and largest city, of the state of Arizona. With 1,445,632 people (as of the 2010 U.S. Census), Phoenix is the most populous state capital in the

United States, as well as the sixth most populous city nationwide. As one of the primary beneficiaries of the massive shift in the U.S. population from northern to southern

MSAs, Phoenix will have little difficulty finding enough workers. Phoenix is often described as a great place to live. It offers a lower cost of living than other metro areas its

size, a moderate climate and a wide variety of recreational and cultural activities. The Phoenix region boasts almost 300 days of sunshine annually, low humidity and very

mild winters. In addition to hiking, camping and boating, sports enthusiasts can enjoy one of the most complete lineups of major league teams found in any city,

including teams in all four of the major sports. The city also has more than 150 golf courses and over 1,000 tennis courts

Tourism, high-tech manufacturing, healthcare and defense dominate the Phoenix economy, and the area’s long- term outlook remains healthy. High-tech manufacturing

has been a powerful economic driver in the Phoenix economy for the past two decades. The area’s relatively low cost of doing business has encouraged several

manufacturers to remain in the area despite the trend toward moving production offshore. With 20 hospitals and a major medical research center (The Mayo Clinic in

Scottsdale), it is clear that healthcare is a critical industry to the Phoenix economy.

The Phoenix MSA is one of the fastest-growing markets in the country with 2.2 percent average annual population growth forecast over the next five years. The MSA is

home to Phoenix/Sky Harbor International Airport which has a $72 million daily economic impact and is the 9th busiest airport in the United States. The Phoenix MSA is

located within both Maricopa and Pinal Counties. The MSA includes 31 incorporated cities and 24 unincorporated towns and cities. When ranked according to annual

growth over the past 10 years, the Phoenix MSA contains six of the top 100 fastest-growing cities in the nation, including Chandler, Gilbert, Glendale, Mesa, Peoria and

Scottsdale. As of 2012, the U.S. Census Bureau reported the Phoenix metro area’s population had surpassed 4.3 million persons. Phoenix is 175 miles from Nogales

(Mexican border), 350 miles from San Diego, 370 miles from Los Angeles, 1,060 miles from Dallas.

More than two dozen of Greater Phoenix’s high schools are nationally ranked. The public education program consists of more than 300 high schools, 500 middle schools

and 800 elementary schools located across the region. Along with primary education, 277,000 students are enrolled in institutions of higher learning in Phoenix, including

Arizona State University, University of Phoenix, six other private universities and 10 community colleges. ASU’s W.P. Carey School of Business is ranked in the top 10

percent of undergraduate business programs in the nation.

PHOENIX

Location mapJack in the Box


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Location mapJack in the Box


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2019 Est. Labor Population Age 16 Years or Over - 16,009 147,238 365,549

2019 Est. Civilian Employed - 64.0% 60.3% 60.8%

2019 Est. Civilian Unemployed - 4.0% 3.8% 3.2%

2019 Est. in Armed Forces - - - -

2019 Est. not in Labor Force - 31.9% 35.9% 36.0%

2019 Labor Force Males - 50.5% 49.3% 49.1%

2019 Labor Force Females - 49.5% 50.7% 50.9%

2019 Occupation: Population Age 16 Years or Over 0 T 10,252 88,728 222,193

2019 Mgmt, Business, & Financial Operations - 11.8% 12.0% 13.3%

2019 Professional, Related - 15.5% 16.0% 17.1%

2019 Service - 25.5% 22.8% 21.0%

2019 Sales, Office - 26.8% 26.6% 27.0%

2019 Farming, Fishing, Forestry - - 0.2% 0.2%

2019 Construction, Extraction, Maintenance - 9.6% 11.2% 10.7%

2019 Production, Transport, Material Moving - 10.9% 11.2% 10.8%

2019 White Collar Workers - 54.1% 54.7% 57.3%

2019 Blue Collar Workers - 45.9% 45.3% 42.7%

2019 Drive to Work Alone - 75.5% 75.2% 75.3%

2019 Drive to Work in Carpool - 11.9% 11.9% 12.2%

2019 Travel to Work by Public Transportation - 4.9% 3.7% 3.4%

2019 Drive to Work on Motorcycle - 0.5% 0.4% 0.3%

2019 Walk or Bicycle to Work - 2.5% 2.3% 2.5%

2019 Other Means - 1.0% 1.2% 1.2%

2019 Work at Home - 3.8% 5.3% 5.2%

2019 Travel to Work in 14 Minutes or Less - 18.7% 17.2% 18.6%

2019 Travel to Work in 15 to 29 Minutes - 39.4% 39.1% 38.2%

2019 Travel to Work in 30 to 59 Minutes - 35.8% 34.1% 34.2%

2019 Travel to Work in 60 Minutes or More - 7.0% 6.5% 6.9%

2019 Average Travel Time to Work 25.6 25.3 25.2

2019 Est. Total Household Expenditure $0 T $332.72 M $3.47 B $9.07 B

2019 Est. Apparel $0 T $11.67 M $121.44 M $318.54 M

2019 Est. Contributions, Gifts - $17.57 M $188.78 M $502.54 M

2019 Est. Education, Reading - $9.71 M $104.43 M $280.28 M

2019 Est. Entertainment $0 T $18.06 M $191.57 M $504.44 M

2019 Est. Food, Beverages, Tobacco - $52.45 M $541.03 M $1.41 B

2019 Est. Furnishings, Equipment $0 T $11.24 M $119.18 M $313.61 M

2019 Est. Health Care, Insurance - $30.54 M $320.21 M $834.61 M

2019 Est. Household Operations, Shelter, Utilities - $110.35 M $1.14 B $2.97 B

2019 Est. Miscellaneous Expenses $0 T $6.19 M $65.1 M $170.66 M

2019 Est. Personal Care $0 T $4.46 M $46.46 M $121.6 M

2019 Est. Transportation $0 T $60.48 M $631.6 M $1.65 B

Phoenix, AZ 85051

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2800 W Dunlap Ave1 mi radius 3 mi radius 5 mi radius

2019 Estimated Population 0 T 20,761 188,109 466,187

2024 Projected Population 0 T 22,589 204,237 506,241

2010 Census Population 0 T 18,189 167,386 414,407

2000 Census Population 0 T 17,014 172,982 431,389

Projected Annual Growth 2019 to 2024 - 1.8% 1.7% 1.7%

Historical Annual Growth 2000 to 2019 - 1.2% 0.5% 0.4%

2019 Estimated Households 0 T 7,997 71,874 178,186

2024 Projected Households 0 T 8,452 75,959 188,151

2010 Census Households 0 T 6,853 62,451 154,771

2000 Census Households 0 T 7,055 66,410 164,343

Projected Annual Growth 2019 to 2024 - 1.1% 1.1% 1.1%

Historical Annual Growth 2000 to 2019 - 0.7% 0.4% 0.4%

2019 Est. Population Under 10 Years - 15.1% 13.6% 13.4%

2019 Est. Population 10 to 19 Years - 13.9% 13.8% 13.8%





2019 Est. Population 75 Years or Over - 4.0% 6.0% 5.8%

2019 Est. Median Age 30.5 35.1 35.6

2019 Est. Male Population - 51.0% 49.7% 49.6%

2019 Est. Female Population - 49.0% 50.3% 50.4%

2019 Est. Never Married - 45.1% 40.7% 39.8%

2019 Est. Now Married - 27.6% 33.4% 34.8%

2019 Est. Separated or Divorced - 21.3% 20.2% 20.1%

2019 Est. Widowed - 6.0% 5.7% 5.4%

2019 Est. HH Income $200,000 or More - 2.3% 2.9% 4.1%

2019 Est. HH Income $150,000 to $199,999 - 1.5% 3.5% 4.1%

2019 Est. HH Income $100,000 to $149,999 - 8.4% 10.2% 11.3%

2019 Est. HH Income $75,000 to $99,999 - 14.2% 12.5% 12.2%

2019 Est. HH Income $50,000 to $74,999 - 17.0% 20.0% 19.0%

2019 Est. HH Income $35,000 to $49,999 - 18.6% 16.3% 15.1%

2019 Est. HH Income $25,000 to $34,999 - 11.8% 10.2% 10.3%

2019 Est. HH Income $15,000 to $24,999 - 14.3% 11.8% 11.3%

2019 Est. HH Income Under $15,000 - 11.9% 12.6% 12.5%

2019 Est. Average Household Income $0 T $46,481 $58,676 $63,911

2019 Est. Median Household Income $0 T $46,551 $52,904 $55,452

2019 Est. Per Capita Income $0 T $17,911 $22,507 $24,512

2019 Est. Total Businesses 0 T 1,009 5,460 13,985

2019 Est. Total Employees 0 T 12,743 54,312 143,848

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1 mi radius 5 mi radius3 mi radius

Phoenix, AZ 85051

2800 W Dunlap Ave

DemographicsJack in the Box


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exclusive offering - trivanta › wp-content › uploads › 2019 › 06 › jack-in-the-bo… ·...

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