main street development site harleysville, …...future projected financial performance of the...

Offering Memorandum

MAIN STREET DEVELOPMENT SITE – HARLEYSVILLE, PA.

196 Main St • Harleysville, PA 19438

DEVELOPMENT SITE

Mainland Pointe (Wawa)

N O N - E N D O R S E M E N T A N D D I S C L A I M E R N O T I C E

Confidentiality and DisclaimerThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and

should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified

information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due

diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the

future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB's or

asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any

tenant's plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be

reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these

matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to

verify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.

Non-Endorsement NoticeMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. 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 Marcus & Millichap, its affiliates or subsidiaries, or any agent, product,

service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.

PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

MAIN STREET DEVELOPMENT SITE - HARLEYSVILLE, PA.

Harleysville, PA

ACT ID Z0300383

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INVESTMENT

OVERVIEW

OFFERING SUMMARY

Price $3,180,000

Down Payment 100% / $3,180,000

Loan Type All Cash

Lot Size (SF) 254,826

Price/SF $12.48

Lot Size (Acres) 5.85 acre(s)

Price/Acre $543,590

Allowable Buildable SF 54,760

Number of Lots 3

Price/Lot $1,060,000

Type of Ownership Fee Simple

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EXECUTIVE SUMMARY

OFFERING SUMMARY

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OFFERING SUMMARY

MAJOR EMPLOYERS

EMPLOYER # OF EMPLOYEES *

Clemens Family Corporation 1,800

Clemens Food Group LLC 1,558

Mopac 1,200

Harleysville Mutual Insur Co 1,100

Almac Group Incorporated 1,000

Environmental Protection Agcy 800

Greene Tweed & Co Inc 629

Almac Clinical Services LLC 511

Keybank National Association 473

SKF Motion Technologies 400

Dock Acres Inc 374

Penn Color Inc 350

DEMOGRAPHICS

1-Miles 3-Miles 5-Miles

2017 Estimate Pop 4,911 33,668 111,395

2010 Census Pop 4,877 32,992 108,675

2017 Estimate HH 1,635 12,716 41,512

2010 Census HH 1,622 12,412 40,430

Median HH Income $97,569 $93,350 $80,170

Per Capita Income $44,197 $47,447 $41,102

Average HH Income $132,703 $125,413 $108,822

* # of Employees based on 5 mile radius


OFFERING SUMMARY

30,000 Vehicles Per Day

5.85 Acres Proposing Residential and Commercial Development

Approved - Road Improvements and Signalized Corner

New Development Project Adjacent to SIte - Conditional Use Approved

Last Possible Retail Development Site - AM Side of Traffic, On S. Main St. to I-476

INVESTMENT HIGHLIGHTS

Marcus and Millichap is proud to exclusively list for Sale or for Lease: 196 Main Street Harleysville, PA 19438. The site and subject property is located at the hard corner of

Quarry Road and Main Street. Ownership is interested in selling the existing parcel, as it currently is set up, it is 5.85 acres and has a residence that will be demolished that

is currently located at the existing T-Intersection.

The owner has already worked with the township and a civil engineer has the approval for the new signalized intersection that will be added at Main and Quarry. Quarry

road will then be expanded from the existing two lanes (20' across) to four lanes (86' across) at the new signalized intersection. The owner just signed the contract and the

intersection and road expansion work will begin soon. (This will be in conjunction with the Mainland Point Development site located across the street – Described below)

Diagonal to this owners property on the opposite side of Main Street, is Mainland Pointe. The owner has been informed that WAWA will be located on the corner. There are

also new homes, a retail strip center, medical office and multifamily going there as well. That developer has begun excavating the site. On page 16-17 of the Offering

Memorandum shows the plans for the Mainland Pointe development.

The Mainland Pointe developer has been tasked and is responsible for the majority of the traffic impact study and road improvements that will be required to expand the

current intersection, as well as the new signalized intersection. As a result this will add additional value and increase the accessibility to the Main Street Development site.

INVESTMENT OVERVIEW

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OFFERING SUMMARY

Highly Visible Parcel

Adjacent to Mainland Pointe

Flat Topography

Conditional Approval - Mixed-Use

Commercial Retail and Multi-Residential – Development Site

PROPERTY HIGHLIGHTS

The average daily traffic on Main Street is projected to be 30,000 VPD once the road improvements are completed. This property is currently one of the last possible retail

development site for the AM side of traffic going to I 476 and Main Street (Sumneytown Pike) Exit.

The current plans for the Main Street Development site proposes a 17,000 square foot commercial-retail pad site, and Two 9,440 square foot floor plates which will support

two - three story 20 unit apartments buildings with covered parking on the ground level. (Totaling approximately 40 units all together.)

196 Main Street - Development site is a 5.85 acre redevelopment land parcel located in the mixed-use development district in Harleysville, PA. (Montgomery County)

Commercial pad ideal for: Single or Multi-tenant retail development: Bank, Medical, Health Care, Drug Store, Gas, Restaurant / QSR, and Daycare Facilities.

New proposed road expansion improvements and required signalized intersection are already underway - resulting from adjacent development project.

Two Multinational Pharmaceutical Corporations have built their headquarters within two (2) miles of this site

In close proximity to Merck & Co. office locations with ±150,000 employees Merck & Co. (Lansdale, PA) 7.8 miles from site with 75,000 to 100,000 employees

Merck & Co. (West Point, PA) 6.3 miles from site with 60,000 employees. ALMAC at the intersection of Wambold Road and Fretz Road. (2 miles from this site

PROPERTY OVERVIEW

6


PROPERTY SUMMARY

OFFERING SUMMARY

THE OFFERING

Property Main Street Development Site - Harleysville, PA.

Price $3,180,000

Property Address 196 Main St, Harleysville, PA

Assessors Parcel Number 50-00-02014-006

Zoning Mixed-Use

General Plan Retail and Multi-Family

Lot Size Dimensions Width - 348 Square Feet & Length - 810 Square Feet

Ingress/Egress Three Point of Access

Access Main Street (Sumneytown Pike) & Quarry Road

SITE DESCRIPTION

Lot Size (SF) 254,826

Price/SF $12.48

Lot Size (Acres) 5.8500

Price/Acre $543,590

Allowable Buildable SF 54,760

Number of Units 3

Density 40%

Number of Lots 3

Price/Lot $1,060,000

Type of Ownership Fee Simple

PUBLIC UTILITIES

Sanitary Sewer Public

Storm Sewer Public

Potable Water Yes

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LOCATION OVERVIEW

CLOSE PROXIMITY TO:

196 Main St, Harleysville, PA 19438

LOCATION OVERVIEWTENANT SUMMARYPRICING AND VALUATION MATRIX

PROPERTY NAMEMAIN STREET DEVELOPMENT SITE - HARLEYSVILLE, PA.

PRICING AND VALUATION MATRIX


LOCATION OVERVIEW

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REGIONAL MAP


9

LOCAL MAP


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AERIAL PHOTO


11

Marcus & Millichap closes

more transactions than any other

brokerage firm.

12


12

PROPERTY PHOTO

LAND USE MAP


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LAND USE MAP


14

ROAD USE MAP


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PARCEL MAP


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PARCEL MAP


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MAINLAND POINTE – SITE PLAN


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MAINLAND POINTE – SITE PLAN


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FINANCIAL

ANALYSIS

FINANCIAL ANALYSIS


RENT ROLL SUMMARY

21

FINANCIAL ANALYSIS


PROPERTY SUMMARY

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MARCUS & MILLICHAP CAPITAL CORPORATION CAPABILITIES

MMCC—our fully integrated, dedicated financing arm—is committed to

providing superior capital market expertise, precisely managed

execution, and unparalleled access to capital sources providing the most

competitive rates and terms.

We leverage our prominent capital market relationships with commercial

banks,

life insurance companies, CMBS, private and public debt/equity funds,

Fannie Mae, Freddie Mac and HUD to provide our clients with the

greatest range of

financing options.

Our dedicated, knowledgeable experts understand the challenges of

financing

and work tirelessly to resolve all potential issues to the benefit of our

clients.

National platform

operating

within the firm’s

brokerage offices

$5.63 billion total

national volume

in 2017

Access to more

capital sources

than any other

firm in the

industry

Optimum financing solutions to

enhance value

Our ability to enhance buyer pool

by expanding finance options

Our ability to enhance

seller control

• Through buyer

qualification support

• Our ability to manage buyers finance

expectations

• Ability to monitor and

manage buyer/lender progress,

insuring timely,

predictable closings

• By relying on a world class

set of debt/equity sources

and presenting a tightly underwritten

credit file

WHY MMCC?

Closed 1,707 debt

and equity

financings

in 2017

ACQUISITION FINANCING


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MARKET

OVERVIEW

MARKET OVERVIEW

PHILADELPHIAOVERVIEW

1

The Philadelphia metro encompasses 11 counties in four states:

Philadelphia, Delaware, Bucks, Chester and Montgomery in

Pennsylvania; Gloucester, Burlington, Camden and Salem counties in

New Jersey; New Castle County in Delaware; and Cecil County in

Maryland. The Delaware River bisects the metropolis from northeast to

southwest and serves as the border between Pennsylvania and New

Jersey. The Schuylkill River passes through the heart of Philadelphia,

separating West Philadelphia from Center City. The Philadelphia metro

contains approximately 6.1 million residents. Although the metro has

more than 360 municipalities, few have more than 25,000 citizens.

Philadelphia is the largest city with approximately 1.6 million residents.

MARKET OVERVIEW

METRO HIGHLIGHTS

HIGHLY EDUCATED WORKFORCE

Philadelphia has one of the highest concentrations

of institutions of higher learning in the nation,

including the University of Pennsylvania, Temple

University and Drexel University.

EXPANDING HEALTH-SCIENCES SECTOR

The metro is a significant pharmaceutical, medical

and biosciences center. Major companies include

Merck, GlaxoSmithKline and Johnson & Johnson.

TRANSPORTATION NETWORK

Interstate 95 connects Philadelphia to both New

York City and Washington, D.C., and Interstate 76

links the region to Pittsburgh and Cleveland.


MARKET OVERVIEW

ECONOMY Drivers of the region’s economy include pharmaceuticals, biotechnology, financial services,

education, transportation logistics, advanced manufacturing and telecommunications.

The Philadelphia area is home to 14 Fortune 500 companies that operate across a broad

spectrum of industries including AmerisourceBergen, Comcast, DuPont and Aramark.

Philadelphia is headquarters of the Federal Reserve’s Third District, which, along with the

U.S. Mint, the Philadelphia Stock Exchange and companies such as Lincoln Financial

Group and Vanguard, helps shape a formidable financial sector.

SHARE OF 2017 TOTAL EMPLOYMENT

MAJOR AREA EMPLOYERS

University of Pennsylvania

Jefferson Health System

Merck & Co.

Drexel University

Main Line Health

UPS

Comcast

Bank of America Corp.

Catholic Health East

Aramark* Forecast

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MANUFACTURING

6%GOVERNMENT

HEALTH SERVICES

EDUCATION AND

+OTHER SERVICES

4%

LEISURE AND HOSPITALITY FINANCIAL ACTIVITIES

18%

AND UTILITIES

TRADE, TRANSPORTATION CONSTRUCTION

PROFESSIONAL AND

BUSINESS SERVICES

2%INFORMATION

16%

4%

11% 9% 7%

22%


MARKET OVERVIEW

DEMOGRAPHICS

SPORTS

EDUCATION

ARTS & ENTERTAINMENT

The metro is expected to add nearly 124,000 people over the next five years, which

will result in the formation of nearly 72,000 households.

A median home price below the U.S. level has afforded 67 percent of households to

own their homes, compared with 64 percent for the nation.

Roughly 34 percent of people age 25 and older hold a bachelor’s degree; among

those residents, 14 percent also have earned a graduate or professional degree.

Philadelphia offers its residents an attractive package of economic, educational, cultural

and recreational advantages. Its transformation from a manufacturing-based economy to

one more reliant on information will continue to provide greater economic opportunities. In

addition, the cost of living in Philadelphia is much less than in other major East Coast

markets. Philadelphia provides both visitors and locals with a wide array of destinations.

Art and science museums are plentiful, and the restaurant and nightclub scene is alive in

the Center City area. The metro houses major professional sports teams, including the

Eagles (NFL), 76ers (NBA), Phillies (MLB), Flyers (NHL) and Union (MLS) in addition to

numerous golf courses, bike paths and water-related activities.

QUALITY OF LIFE

3

* Forecast

Sources: Marcus & Millichap Research Services; BLS; Bureau of Economic Analysis; Experian; Fortune; Moody’s

Analytics; U.S. Census Bureau


2017 Population by Age

0-4 YEARS

6%5-19 YEARS

19%20-24 YEARS

7%25-44 YEARS

26%45-64 YEARS

27%65+ YEARS

15%

38.6

2017MEDIAN AGE:

U.S. Median:

37.8

$65,200

2017 MEDIAN HOUSEHOLD INCOME:

U.S. Median:

$56,300

6.1M

2017POPULATION:

Growth2017-2022*:

2%

2.3M

2017HOUSEHOLDS:

3.1%

Growth2017-2022*:

TRAFFIC COUNT

YEAR COUNT

2012 18,898

2010 1,929

2011 241

MARKETING PLAN

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LOCATION OVERVIEWTENANT SUMMARYPRICING AND VALUATION MATRIX


PRICING AND VALUATION MATRIX


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MARKET OVERVIEW

Source: © 2017 Experian

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DEMOGRAPHICS

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PROPERTY NAME

MARKETING TEAM


DEMOGRAPHICS


Created on July 2018

POPULATION 1 Miles 3 Miles 5 Miles

2022 Projection

Total Population 5,311 35,465 115,487

2017 Estimate


2010 Census


2000 Census


Daytime Population

2017 Estimate 4,793 34,138 111,403

HOUSEHOLDS 1 Miles 3 Miles 5 Miles

2022 Projection

Total Households 1,781 13,559 43,619

2017 Estimate


Average (Mean) Household Size 2.83 2.61 2.56

2010 Census


2000 Census


HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles

2017 Estimate

$250,000 or More 8.72% 7.47% 5.57%

$200,000 - $249,999 6.74% 4.42% 3.47%

$150,000 - $199,999 10.47% 11.37% 8.87%

$125,000 - $149,999 8.52% 9.16% 7.82%

$100,000 - $124,999 14.16% 13.55% 12.52%

$75,000 - $99,999 14.04% 15.34% 14.99%

$50,000 - $74,999 12.32% 14.24% 16.78%

$35,000 - $49,999 8.19% 8.63% 10.17%

$25,000 - $34,999 3.74% 5.59% 7.20%

$15,000 - $24,999 7.26% 5.76% 6.95%

Under $15,000 5.84% 4.45% 5.65%

Average Household Income $132,703 $125,413 $108,822

Median Household Income $97,569 $93,350 $80,170

Per Capita Income $44,197 $47,447 $41,102

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PROPERTY NAME

MARKETING TEAM


DEMOGRAPHICS


Created on July 2018

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

Population by Age

0 to 4 Years 5.56% 5.21% 5.39%

5 to 14 Years 16.97% 13.98% 12.29%

15 to 17 Years 4.81% 4.22% 3.77%

18 to 19 Years 2.45% 2.19% 2.01%

20 to 24 Years 5.04% 4.89% 5.44%

25 to 29 Years 4.89% 4.76% 5.99%

30 to 34 Years 5.05% 5.33% 6.52%

35 to 39 Years 5.99% 5.71% 6.21%

40 to 49 Years 15.26% 14.16% 13.91%

50 to 59 Years 16.68% 16.15% 15.21%

60 to 64 Years 5.82% 6.43% 6.23%

65 to 69 Years 4.18% 5.19% 5.21%

70 to 74 Years 2.89% 3.58% 3.66%

75 to 79 Years 2.01% 2.78% 2.73%

80 to 84 Years 1.40% 2.28% 2.27%

Age 85+ 0.97% 3.14% 3.17%

Median Age 39.40 42.91 41.86

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

Population 25+ by Education Level

2017 Estimate Population Age 25+ 3,201 23,403 79,209

Elementary (0-8) 1.10% 1.03% 1.88%

Some High School (9-11) 4.26% 3.81% 5.62%

High School Graduate (12) 25.91% 24.96% 28.47%

Some College (13-15) 12.99% 13.84% 15.39%

Associate Degree Only 6.51% 7.97% 7.78%

Bachelors Degree Only 30.90% 29.84% 25.77%

Graduate Degree 17.93% 18.00% 14.27%

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Income

In 2017, the median household income for your selected geography is

$97,569, compare this to the US average which is currently $56,286.

The median household income for your area has changed by 41.71%

since 2000. It is estimated that the median household income in your

area will be $114,059 five years from now, which represents a change

of 16.90% from the current year.

The current year per capita income in your area is $44,197, compare

this to the US average, which is $30,982. The current year average

household income in your area is $132,703, compare this to the US

average which is $81,217.

Population

In 2017, the population in your selected geography is 4,911. The

population has changed by 15.74% since 2000. It is estimated that

the population in your area will be 5,311.00 five years from now,

which represents a change of 8.14% from the current year. The

current population is 47.82% male and 52.18% female. The median

age of the population in your area is 39.40, compare this to the US

average which is 37.83. The population density in your area is

1,560.95 people per square mile.

Households

There are currently 1,635 households in your selected geography. The

number of households has changed by 17.80% since 2000. It is

estimated that the number of households in your area will be 1,781

five years from now, which represents a change of 8.93% from the

current year. The average household size in your area is 2.83 persons.

Employment

In 2017, there are 2,922 employees in your selected area, this is also

known as the daytime population. The 2000 Census revealed that

70.49% of employees are employed in white-collar occupations in

this geography, and 29.86% are employed in blue-collar occupations.

In 2017, unemployment in this area is 2.91%. In 2000, the average

time traveled to work was 31.00 minutes.

Race and Ethnicity

The current year racial makeup of your selected area is as follows:

87.51% White, 4.55% Black, 0.02% Native American and 5.27%

Asian/Pacific Islander. Compare these to US averages which are:

70.42% White, 12.85% Black, 0.19% Native American and 5.53%

Asian/Pacific Islander. People of Hispanic origin are counted

independently of race.

People of Hispanic origin make up 3.31% of the current year

population in your selected area. Compare this to the US average of

17.88%.

PROPERTY NAME

MARKETING TEAM


Housing

The median housing value in your area was $338,784 in 2017,

compare this to the US average of $193,953. In 2000, there were

1,004 owner occupied housing units in your area and there were 384

renter occupied housing units in your area. The median rent at the

time was $620.


DEMOGRAPHICS

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