svn the kase groupkaseholdings.com/properties/proposals/aaron's rents... · 2015. 11. 23. ·...

www.TheKaseGroup.com

SVN The Kase Group

Jacob Abusharkh

Managing [email protected]

BRE#01385529

Jeff Gates

Senior [email protected]

BRE#01768554

Aaron’s Rents NNN Leased Offering | Memphis, TN

$1,033,164 | 6.75% CAP

Representative Photo

Offering Highlights

Corporate Aaron’s Rent Lease

100% Fee Simple Interest

Zero Landlord Obligations

Excellent Urban Location

10% Bumps Every 5 Years, Including Options

High Traffic Count

Adjacent to The University of Memphis

Company Has 1,326 corporate Locations and 2,108 Stores Total Across 48 States and Canada

Publicly Traded on NYSE: AAN

2014 Revenue: $2.725 Billion

Aaron’s Rents Absolute NNN Leased Offering


All Sperry Van Ness® Offices Independently Owned & OperatedThe information listed above has been obtained from sources we believe to be reliable, however, we accept no responsibility for correctness.



SVN The Kase Group

The material contained in this Investment Offering Brochure is furnished solely for the purpose of considering the purchase of the property within and is not to be used for any other purpose. This information should not, under any circumstances, be photo-copied or disclosed to any third party without the written consent of Sperry Van Ness or Owner, or used for any purpose whatsoever other than to evaluate the possible purchase of the Property.

The only party authorized to represent the Property Owner (“Owner”) in connection with the sale of the Property is the Sper-ry Van Ness Advisor listed in this proposal, and no other person is authorized by the Owner to provide any information or to make any representations other than contained in this Investment Of-fering Brochure. If the person receiving these materials does not choose to pursue a purchase of the Property, this Offering Bro-chure must be returned to Sperry Van Ness.

Neither the Sperry Van Ness Advisor nor the Owner make any representation or warranty, express or implied, as to the accuracy or completeness of the information contained herein, and noth-ing contained herein is or shall be relied upon as a promise or representation as to the future performance of the Property. This Offering Brochure may include certain statements and estimates by Sperry Van Ness with respect to the projected future perfor-mance of the Property. These Assumptions may or may not be proven to be correct, and there can be no assurance that such estimates will be achieved. Further, the Sperry Van Ness Advisor and the Owner disclaim any and all liability for representations or warranties, expressed or implied, contained in or omitted from this Investment Offering Brochure, or any other written or oral communication transmitted or made available to the recipient. The recipient shall be entitled to rely solely on those repre-sentations and warranties that may be made to it in any final,

fully executed and delivered Real Estate Purchase Agreement between it and Owner.

The information contained herein is subject to change without notice and the recipient of these materials shall not look to Owner or the Sperry Van Ness Advisor, nor any of their officers, employees, representatives, independent contractors or af-filiates, for the accuracy or completeness thereof. Recipients of this Investment Offering Brochure are advised and encouraged to conduct their own comprehensive review and analysis of the Property.

This Investment Offering Brochure is a solicitation of interest only and is not an offer to sell the Property. The Owner expressly reserves the right, at its sole discretion, to reject any or all expres-sions of interest to purchase the Property and expressly reserves the right, at its sole discretion, to terminate negotiations with any entity, for any reason, at any time with or without notice. The Owner shall have no legal commitment or obligation to any entity reviewing the Investment Offering Brochure or making an offer to purchase the Property unless and until the Owner executes and delivers a signed Real Estate Purchase Agreement on terms ac-ceptable to Owner, in Owner’s sole discretion. By submitting an offer, a prospective purchaser will be deemed to have acknowl-edged the foregoing and agreed to release the Owner and the Sperry Van Ness Advisor from any liability with respect thereto.

To the extent Owner or any agent of Owner corresponds with any prospective purchaser, any prospective purchaser should not rely on any such correspondence or statements as binding Owner. Only a fully executed Real Estate Purchase Agreement shall bind the property and each prospective purchaser proceeds at its own risk.

Disclaimer | Confidentiality

Aaron’s Rents Absolute NNN Leased OfferingSVN The Kase Group



CONTENTS

PROPERTY OVERVIEW

Offering Highlights

Executive Summary

Tenant Summary

FINANCIAL OVERVIEW

Financial Summary

LOCATION OVERVIEW

Location Maps

Aerial Photo

DEMOGRAPHICS

Demographics Report

Demographics Map




PROPERTY OVERVIEW

Offering Highlights

Executive Summary

Tenant Summary

Corporate Aaron’s Rent Lease

100% Fee Simple Interest

Zero Landlord Obligations

Excellent Urban Location

10% Bumps Every 5 Years, Including Options

High Traffic Count

Adjacent to The University of Memphis

Company Has 1,326 corporate Locations and 2,108 Stores Total Across 48 States and Canada

Publicly Traded on NYSE: AAN

2014 Revenue: $2.725 Billion

Offering Highlights




Investment OverviewSale Price: $1,033,164

CAP Rate: 6.75%

Net Operating Income: $69,739

Building Size: 11,952 SF

Lot Size: 0.98 Acres

Market: Memphis

PropertyThe Kase Group is pleased to present a Corporate Aaron’s Rents located in Memphis, TN. The subject property is +/-11,952 Sq. Ft. and sits on nearly an Acre. This site is adjacent to the University of Memphis, Sam’s Club, Major Retailers, is on a heavy trafficked thorough-fare and in the main urban area of Memphis, TN. This is a perfect handsfree Absolute NNN 1031 investment.

LocationMemphis is a city in the southwestern corner of the U.S. state of Tennessee and the county seat of Shelby County. The city is located on the fourth Chickasaw Bluff, south of the confluence of the Wolf and Mississippi rivers. Memphis had a population of 653,450 in 2013, making it the largest city in the state of Tennessee, the largest city on the Mis-sissippi River, the third largest in the greater Southeastern United States, and the 23rd largest in the United States. The greater Memphis metropolitan area, including adjacent counties in Mississippi and Arkansas, had a 2010 population of 1,316,100. This makes Memphis the second-largest metropolitan area in Tennessee, surpassed by metropolitan Nashville.

1300 Getwell Road | Memphis, TN 38111

Executive Summary




Tenant OverviewAaron’s, Inc. is a lease-to-own retailer. The company focuses on leases and retail sales of furniture, electronics, appliances, and computers. In 2014, Aaron’s completed the trans-formative acquisition of Progressive Finance resulting in the strategic positioning of the Company as the leader in both the traditional rent-to-own (RTO) industry as well as the emerging virtual rent-to-own (RTO) space. The acquisition supports the Company’s strategy to address credit-challenged customers’ changing needs for acquiring home furniture, electronics and appliances as the consumer population leans more toward a multi-channel acquisition of goods and services.

As of 31 December 2014, Aaron’s, Inc. has 2,108 stores: 1,326 Company-operated stores and 782 independently owned and operated franchised stores in 48 states, the District of Columbia, and Canada.

Aaron Rents, Inc. was founded by R. Charles Loudermilk, Sr. in 1955.

In September 2008, Aaron’s announced the sale of its Corporate Furnishings division to CORT Business Services, part of Berkshire Hathaway. Aaron’s Corporate Furnishings divi-sion, which operated 47 stores, had recorded revenues of approximately $99 million in 2007. Within the last quarter of 2012 Aaron’s opened its 2000th store. In November of 2014 Aaron’s announced that John W. Robinson III will take over the CEO position of the company from Ronald W. Allen.

In 2014, Aaron’s announced plans to reshape its core business to focus on same store revenue growth, enhancing Aaron’s online platform, driving cost efficiencies, moderat-ing new store growth, and strengthening the franchise network. The Company has been aggressively developing its online strategy which includes the rollout of an e-commerce platform in 2015. This demonstrates Aaron’s strategic initiative to reach its customers in an ever evolving marketplace.

Corporate InformationType: Public

Traded As: NYSE: AAN

Founded: 1955

Headquarters: Atlanta, GA

Revenue: $2.725 Billion

Employees: 12,400 (2014)

Website: www.aarons.com

Tenant Summary







FINANCIAL OVERVIEW

Financial Summary

1300 Getwell Road | Memphis, TN 38111 $1,033,164 | 6.75% CAP

CAP Rate: 6.75%

Building SF: 11,952

Lot Size: 0.98 Acres

Lease Type: NNN

Type of Ownership: Fee Simple

Tenant Name GLA Lease Begin Lease End Annual Rent Increases Options

Aaron’s Rents 11,952 SF 4/30/10 4/29/25 $69,739 10% increases Four 5 year options

every 5 years to renew

Operating Summary Current - 4/29/20 4/30/20 - 4/29/25

Net Operating Income $69,739 $76,712

CAP Rate 6.75% 7.43%

Option 1 Option 2 Option 3 Option 4

Net Operating Income $84,384 $92,822 $102,104 $112,315

CAP Rate 8.17% 8.98% 9.88% 10.87%

Financial Summary







LOCATION OVERVIEW

Location Maps

Aerial Photo

Location Maps




2. LOCATION OVERVIEW

AARON'S RENTS Location Maps

All Sperry Van Ness® Offices Independently Owned & Operated.

The information listed above has been obtained from sources we believe to be reliable, however, we accept no responsibility for its correctness.

www.TheKaseGroup.com9

Aerial Photo







DEMOGRAPHICS

Demographics Analysis

Demographics Map

Total Population

Total Number of Households

Total Number of Persons per Household

Average House Value

Average Household Income

Median Age

Median Age - Male

Median Age - Female

Total Population - White

Total Percent - White

Total Population - Black

Total Percent - Black

Total Population - Asian

Total Percent - Asian

Total Population - Hawaiian

Total Percent - Hawaiian

Total Population - Indian

Total Percent - Indian

Total Population - Other

Total Percent - Other

Total Population - Hispanic

Total Percent - Hispanic

127 398 5270.9% 0.4% 0.2%

1,115 4,763 8,6268.1% 4.7% 3.7%

1300 Getwell Road | Memphis, TN 38111 For Sale | $1,033,164

* Demographic information provided by BuildOut, Inc.

5,117 38,541 89,389

2.7 2.6 2.6

$106,503 $171,720 $177,111

$40,931 $57,746 $59,424

33.2 33.6 34.433.5 32.2 32.1

32.9 34.7 36.4

150 1,705 3,8541.1% 1.7% 1.7%

7,183 51,052 117,38852.4% 50.3% 50.7%

0 68 1770.0% 0.1% 0.1%

4,335 40,870 96,23831.6% 40.3% 41.6%

13,699 101,536 231,384

2,028 8,815 17,98014.8% 8.7% 7.8%

1 Mile 3 Miles 5 Miles

4. DEMOGRAPHICS

AARON'S RENTS Demographics Report




Demographics Analysis




4. DEMOGRAPHICS

AARON'S RENTS Demographics Map




* Demographic information provided by BuildOut, LLC

1300 Getwell Road | Memphis, TN 38111 Radius Map

1 Mile 3 Miles 5 Miles

Total Population 13,699 101,536 231,384

Total Number of Households 5,117 38,541 89,389

Average Household Income $40,931 $57,746 $59,424

Median Age 33.2 33.6 34.4

Demographics Map





All Sperry Van Ness® Offices Independently Owned & Operated© 2013 All rights reserved

PRESENTED BY

SVN The Kase Group

Jacob AbusharkhManaging Director

[email protected]

BRE#01385529

Jeff GatesSenior Advisor415.231.5231

[email protected]

BRE#01768554

svn the kase groupkaseholdings.com/properties/proposals/aaron's rents... · 2015. 11. 23. ·...

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