SUBJECT PROPERTY
EXCLUSIVE OFFERING | $2,720,000 - 6.25% CAP
Taco cabana
101 south industrial boulevard, euless, tx (Dallas/Fort Worth)
EXP DALLAS
214.522.7200
JOE CAPUTO
[email protected]
BOB MOORHEAD
[email protected]
property. 3,700+ SF building built in 2011 on 0.91+ acre site.
tenant. Lessee: Texas Taco Cabana, L.P. - a wholly owned subsidiary of Fiesta Restaurant Group, Inc. (NASDAQ: FRGI). 157 corporate owned and operated
Taco Cabana locations in Texas, Oklahoma, New Mexico, and Georgia.
lease structure. Brand new, 20-year, corporate, NNN lease with 1.0% rent increases beginning year 11.
location. Hard corner location at the southeast corner of the Texas Highway 183 (138,329 Cars / Day) and South Industrial Boulevard (28,556 Cars / Day)
intersection. The subject property is anchored by Home Depot and Office Depot and adjacent to Denny’s and Starbucks. Taco Cabana is across Texas Highway
183 from Trinity High School (2,180 Students) and 3.3-miles west of the south entrance to D/FW International Airport (4th busiest globally).
Table of contents | Disclaimer
Taco cabana
101 south industrial boulevard, euless, tx
Disclaimer
PAGE 1:
COVER
PAGE 2:
TABLE OF CONTENTS | DISCLAIMER
PAGE 3:
INVESTMENT | TENANT | LEASE OVERVIEW
PAGE 4-5:
PROPERTY PHOTOS
PAGE 6:
AERIAL PHOTO
PAGE 7:
LOCATION OVERVIEW
PAGE 8-9:
LOCATION MAPS
PAGE 10:
DEMOGRAPHICS
SUBJECT PROPERTY
EXP Realty Advisors, Inc. (“Agent”) has been engaged as an agent for the sale of the
property located at 101 South Industrial Boulevard, Euless, TX by 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.
2
Investment overview
Taco cabana
101 south industrial boulevard, euless, tx
Lease overview
Initial Lease Term:
20-Years
Rent Commencement:
January 2013
Lease Expiration:
January 2033
Lease Type:
Absolute NNN | No Landlord Responsibility
Initial Term Rent Increases:
1.0% Annually Starting Lease Year 11
PRICE:
$2,720,000
CAP RATE:
6.25%
NET OPERATING INCOME:
$169,900
BUILDING AREA:
3,700+ Square Feet
LAND AREA:
0.91+ Acres
Annual Rent (Current): $169,900
PARKING:
42 Spaces
Annual Rent Year 11:
$171,599
Annual Rent Year 16:
$180,352
YEAR BUILT:
2011
Annual Rent Year 12:
$173,314
Annual Rent Year 17:
$182,155
OWNERSHIP:
Fee Simple Interest
Annual Rent Year 13:
$175,048
Annual Rent Year 18:
$183,977
OCCUPANCY:
100%
Annual Rent Year 14:
$176,798
Annual Rent Year 19:
$185,817
Annual Rent Year 15:
$178,566
Annual Rent Year 20:
$187,675
Tenant overview
Options Term:
4, 5-Year Options to Renew
Option Term Rent Increases:
Years 1-3: 1% Annually | Years 4-5: None
LESSEE: Texas Taco Cabana, L.P. (Corporate Entity)
TACO CABANA | www.tacocabana.com
Taco Cabana is quick service restaurant chain specializing in Tex-Mex cuisine and is a wholly owned subsidiary of Fiesta Restaurant Group, Inc. (NASDAQ:
FRGI). The Taco Cabana concept serve fresh, handmade Mexican food, including sizzling fajitas, quesadillas, hand rolled flautas, enchiladas, burritos, tacos,
fresh-made flour tortillas, a selection of “made from scratch” salsas and sauces, frozen margaritas and beer. Most menu items are handmade daily in each
restaurant, which feature open display cooking, including fajitas cooking on an open-flame grill and a machine making fresh tortillas. Taco Cabana restaurants
feature interior, semi-enclosed and patio dining areas, which provide a vibrant decor and relaxing atmosphere. Additionally, Taco Cabana restaurants provide its
guests the option of take-out, as well as the convenience of drive-thru windows. Taco Cabana has 157 company owned locations in Texas, Oklahoma, New
Mexico, and Georgia as well as 5 franchisee owned locations.
SUBJECT PROPERTY
FIESTA RESTAURANT GROUP | www.frgi.com
TO PANDA
EXPRESS
Fiesta Restaurant Group, Inc., through its subsidiaries, owns and operates quick-casual restaurants under the ‘Pollo Tropical’ andPRIOR
‘Taco Cabana’
brand
names EXPANSION
in the
United States. The company’s Pollo Tropical restaurants offer tropical and Caribbean inspired menu items, featuring grilled chicken marinated in proprietary blend
of tropical fruit juices and spices. As of April 1, 2012, Fiesta operated 86 Pollo Tropical and 157 Taco Cabana restaurants, franchised 38 restaurants, and had
7,900 employees companywide. The company was incorporated in 2011, and is based in New York, NY. Fiesta Restaurant Group, Inc. operates independently of
Carrols Restaurant Group, Inc. as of April 26, 2012 due to a recently completed spinoff. As of July 1, 2012 Fiesta Restaurant Group had revenues of $493 million
over the previous 12 months. At this time company net income was $3.92 million, a 7.87% year-on-year increase as well as $11.58 million in cash flow from
operating activities over this time period. Fiesta Restaurant Group does not guarantee lease.
3
Property photo
Taco cabana
101 south industrial boulevard, euless, tx
SUBJECT PROPERTY
4
Property photo
Taco cabana
101 south industrial boulevard, euless, tx
SUBJECT PROPERTY
5
Aerial photo
Taco cabana
Industrial Boulevard (28,556 Cars / Day)
101 south industrial boulevard, euless, tx
Trinity
High
School
Texas Highway 183 (138,329 Cars / Day)
Texas Health
Harris Methodist Hospital-HEB
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Location overview
Taco cabana
101 south industrial boulevard, euless, tx
IMMEDIATE TRADE AREA
Taco Cabana is located at the southeast corner of the Texas Highway 183 (138,329
Cars / Day) and South Industrial Boulevard (28,556 Cars / Day) intersection. Texas
Highway 183 is a controlled access freeway that provides direct access to D/FW
International Airport (3.3-miles west of site) from both Fort Worth and Dallas. D/FW
International Airport, which is the 4th busiest airport in the world in terms of traffic
movements is the primary reason for these traffic volumes and the vast retail
development in the immediate trade area. Industrial Boulevard is a north-south
arterial road that connects Texas Highway 183 with Texas Highway 121 (98,050
Cars / Day) to the north.
The subject property is an outparcel to Home Depot and Office Depot. Starbucks,
Quality Inn, and Denny’s are also adjacent to the subject property. Taco Cabana is
across Industrial Boulevard from Euless Town Center (272,173 SF).
This
development is anchored by Aldi, ITZ Family Food & Fun, and Ross. Other retailers
in the immediate trade area include Tom Thumb, Albertson’s, Walgreens, Texas
Roadhouse, Dollar General, KFC, Chase Bank, Braum’s, Family Dollar, and Papa
John’s.
Trinity High School (2,180 Students), a nationally known high school football
powerhouse is located across Texas Highway 183 from Taco Cabana. Texas
Wesleyan University (3,378 Students) and LeTourneau University (4,604 Students)
have satellite facilities caddy-corner to the subject property. Texas Health Harris
Methodist Hospital-HEB, which has nearly 300 beds and more than 550 active
physicians on its medical staff, is located 1.7-miles west of Taco Cabana. With
1,600 employees, this medical facility is the 2nd largest job provider in the HEB area.
The mean annual household income within a 3-mile radius of the subject property is
$78,902. The unabated growth that the trade area has undergone is expected to
continue with a projected 8.9% increase within 3-miles of the site.
HURST-EULESS-BEDFORD (HEB) AREA
The subject property is located in the Dallas-Fort Worth suburb of Euless, TX
(Population: 51,277). Euless is the largest city in the Hurst-Euless-Bedford (HEB)
area, a subregion of 3 suburban municipalities; Hurst, Euless, and Bedford. The 3
cities that make up the HEB area have a combined population of 135,593. The city
of Euless is an 18-minute drive northwest of the Fort Worth central business district
and the southwestern portion of D/FW International airports is inside the Euless city
limits. Additionally, the HEB area offers the convenience of the Burlington Northern
Santa Fe Railroad Intermodal Facility, proximity to the commerce-friendly Alliance
Airport, and a network of major freeways.
This accessibility has been the main driver behind the decades long growth in the
area. The Bell Helicopter Textron corporate headquarters is located in Hurst and
employs over 4,000 people making it the largest employer in the HEB Area and one
of the largest in the Dallas-Fort Worth Metroplex. Other major entities with
headquarters in the HEB area include LSG Sky Chefs (Euless), Carter BloodCare.
AMR Corporation, the parent company to American Airlines is located in an area of
Fort Worth that is adjacent to Euless.
The city of Hurst has continued its
commitment to capitalizing on the advantages offered by its choice location. The
city recently invested in constructing the Hurst Conference Center which provides
over 50,000 SF of event space and can accommodate up to 900 people.
DALLAS-FORT WORTH-ARLINGTON MSA
The Dallas–Fort Worth–Arlington Metropolitan Statistical Area (MSA), also
frequently referred to as the Dallas-Fort Worth Metroplex encompasses 12 counties
within the U.S. state of Texas. It is the economic and cultural hub of the region
commonly called North Texas or North Central Texas and is the largest land-locked
metropolitan area in the United States.
The 2010 U.S. Census has the Dallas-Fort Worth Metroplex population at
6,371,773. During the 12-month period from July 2008 to July 2009, the Dallas-Fort
Worth-Arlington metropolitan area gained 146,530 new residents, more than any
other metropolitan area in the United States. The area's population has grown by
about 1 million since the last census was administered in 2000. The Dallas–Fort
Worth–Arlington MSA is, by population, the largest metropolitan area in Texas, the
largest in the South, the 4th largest in the United States, and the 10th largest in the
Americas. The metropolitan area has the 6th largest gross metropolitan product
(GMP) in the United States, and approximately 10th largest by GMP in the world.
Dallas and its suburbs have one of the highest concentrations of corporate
headquarters in the United States. As such, one of the largest industries in the
Metroplex is conducting business. The Metroplex also contains the largest
Information Technology industry base in the state (often referred to as Silicon
Prairie or the Telecom Corridor), due to the large number of corporate IT projects
and the presence of numerous electronics, computing and telecommunication firms
such as Texas Instruments, HP Enterprises Services, Dell Services, i2, AT&T,
Ericsson, CA and Verizon in and around Dallas. On the other end of the business
spectrum, and on the other side of the Metroplex, the Texas farming and ranching
industry is based in Fort Worth. Several major defense manufacturers, including
Lockheed Martin, and Raytheon, maintain significant operations in the Metroplex.
ExxonMobil, the #1 corporation on the Fortune 500 listings, is headquartered in
Irving, Texas.
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Location map
Taco cabana
101 south industrial boulevard, euless, tx
8
Location map
Taco cabana
101 south industrial boulevard, euless, tx
9
Demographics
Taco cabana
101 south industrial boulevard, euless, tx
Demographic snapshot
Radius
1 Mile
3 Mile
5 Mile
2016 Projection
14,487
109,854
212,842
2011 Estimate
13,422
100,876
196,169
2010 Census
13,233
99,207
193,225
Growth 2011-2016
7.90%
8.90%
8.50%
Growth 2010-2011
1.40%
1.70%
1.50%
2016 Projection
5,810
47,307
90,592
2011 Estimate
5,368
43,493
83,612
2010 Census
5,282
42,721
82,302
Growth 2011-2016
8.20%
8.80%
8.30%
Growth 2010-2011
1.60%
1.80%
1.60%
Owner Occupied
3,214
21,687
41,753
Population:
Households:
2,154
21,805
41,859
2011 Avg Household Income
Renter Occupied
$73,104
$78,902
$83,322
2011 Med Household Income
$56,276
$59,540
$60,408
2011 Per Capita Income
$28,738
$34,099
$35,657
Income Less than $15,000
434
2,776
5,313
Income $15,000 - $24,999
412
3,413
6,517
Income $25,000 - $34,999
610
4,173
8,216
Income $35,000 - $49,999
857
7,164
13,390
Income $50,000 - $74,999
1,094
8,767
16,248
Income $75,000 - $99,999
753
6,185
10,695
Income $100,000 - $149,999
814
6,853
13,231
Income $150,000 - $199,999
229
2,326
5,191
Income $200,000+
164
1,837
4,811
Downtown Dallas, TX
2011 Households by Household Inc:
D/FW
Alliance
International
Town Center
Airport
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