Hilltop Corner - Lewisville, TX by STRIVE

HILLTOP CORNER LEWISVILLE, TX

PRICING & FINANCIAL ANALYSIS

H ILLTO P CO R NE R

Hilltop Corner 2680 Denton Tap Rd Lewisville, TX 75067

OFFERING SUMMARY Price Cap Rate

$1,527,000 6.17%

Net Operating Income

$94,142

Price PSF

$108.12

Occupancy

74.0%

Year Built

2008

Gross Leasable Area Lot Size

14,123 SF 1.83 Acres

F I N A N C I A L A N A LY S I S

PRICING & FINANCIAL ANALYSIS

H ILLTO P CO R NE R

PROJECTED INCOME & EXPENSES

CURRENT

Base Rent - Occupied Space GROSS POTENTIAL RENT

PSF

EXPENSES

$139,475

$9.88

Real Estate Taxes

$139,475

$9.88

Insurance

Expense Reimbursements

CURRENT

PSF

$24,665

$1.75

$5,087

$0.36

CAM

CAM Recoveries

$10,848

$0.77

Landscaping

$8,500

$0.60

Management Fee Recoveries

$0.00

Maintenance

$10,992

$0.78

Insurance Recoveries

$1,737

$0.12

Utilities - Electric

$1,291

$0.09

Real Estate Tax Recoveries

$8,421

$0.60

Utilities - Trash

$2,981

$0.21

$21,007

$1.49

Utilities - Water

$8,010

$0.57

$160,482

$11.36

$31,774

$2.25

$4,814

$0.34

$31,774

$2.25

$66,340

$4.70

$4,814

$0.34

$5,087

$0.36

$24,665

$1.75

$66,340

$4.70

$94,142

$6.67

Total Expense Reimbursements EFFECTIVE GROSS REVENUE Operating Expenses

Management Fee

Total CAM Management Fee Total Insurance Total Real Estate Taxes Total Recoverable Expenses Net Operating Income Capitalization Rate Capital Reserves at $0.15 PSF Cash Flow before Debt Service Market Loan Cash Flow after Debt Service Cash-on-Cash Return

Total CAM

3.00%

Total Expenses

3.00%

6.17% $2,118 $92,023 $80,340 $11,683 3.62%

F I N A N C I A L A N A LY S I S

RE NT RO L L Tenant

H ILLTO P CO R NE R Suite

SQ FT

% of SQFT

Lease Dates

Minimum Rent

Recoveries

Total

Start

End

Annual

Monthly

PSF

Annual

PSF

Revenue

% of Revenue

Available

101

2,357

16.69%

$0.00

0.00%

Trom Inc

103

1,222

8.65%

02/15

02/20

$18,000

$1,500

$14.73

$0.00

$18,000

11.22%

Floor & Wall Design

105

1,135

8.04%

04/16

04/19

$15,600

$1,300

$13.74

$0.00

$15,600

9.72%

Our Hearts

107

4,822

34.14%

09/14

08/20

$57,875

$4,823

$12.00

$21,007

$4.36

$78,882

49.15%

CI Health Group

109

1,812

12.83%

08/17

07/19

$28,800

$2,400

$15.89

$0.00

$28,800

17.95%

Tapâ&#x20AC;&#x2122;s Liquor

111

1,455

10.30%

06/16

05/19

$19,200

$1,600

$13.20

$0.00

$19,200

11.96%

Available

113

1,320

9.35%

$0.00

0.00%

Total Count/GLA

14,123

100%

$139,475

$11,623

$160,482

100.00%

Occupied

10,446

74.0%

Available

3,677

26.0%

$13.35

10,446

100.0%

Total Avg Rent

$21,007

F I N A N C I A L A N A LY S I S

ESTIMATED REIMBURSEMENT REVENUE Tenant

Suite

SQ FT

% of SQFT

H ILLTO P CO R NE R CAM

Management Fee

Insurance

Real Estate Taxes

Total Recovery

Monthly

PSF

Monthly

PSF

Monthly

PSF

Monthly

PSF

Monthly

PSF

Available

101

2,357

16.69%

$0.00

Trom Inc

103

1,222

8.65%

$0.00

Floor & Wall Design

105

1,135

8.04%

$0.00

Our Hearts

107

4,822

34.14%

$904

$2.25

$0.00

$145

$0.36

$702

$1.75

$1,751

$4.36

CI Health Group

109

1,812

12.83%

$0.00

Tapâ&#x20AC;&#x2122;s Liquor

111

1,455

10.30%

$0.00

Available

113

1,320

9.35%

$0.00

14,123

100%

$904

TOTALS

$0.00

$145

$702

$1,751

F I N A N C I A L A N A LY S I S

LEASE PROVISIONS

Tenant

H ILLTO P CO R NE R

Suite

SQ FT

User Restrictions & Exclusive Rights

Renewal Options Options

Date

PSF

Available

101

2,357

Trom Inc

103

1,222

Tenant may not open another location with a similar business within 5 miles of the shopping center.

Floor & Wall Design

105

1,135

1x5

5/1/2019

MKT + NNN

Tenant may not open another location with a similar business within 5 miles of the shopping center.

Our Hearts

107

4,822

1x5

9/1/2020

MKT

Tenant may not open another location with a similar business within 5 miles of the shopping center.

CI Health Group

109

1,812

1x3

8/1/2019

MKT + NNN

Tapâ&#x20AC;&#x2122;s Liquor

111

1,455

1 x 10

6/1/2019

MKT

Tenant may not open another location with a similar business within 5 miles of the shopping center.

Available

113

1,320

TOTAL

14,123

F I N A N C I A L A N A LY S I S

TE NA NT INF ORMAT I ON

H ILLTO P CO R NE R

DBA

Our Hearts Day Habilitation Center

Entity on Lease

Dallas Omni Care, Inc.

Corporate/Franchise

Corporate

Locations

Credit Rating

Not Rated

Public/Private

Private

Line of Business

Our Hearts Day Habilitation Center provides services for mentally disabled adults and children. Its mission is to provide a unique environment filled with laughter, love and learning. Our Hearts Day Habilitation Center fosters an environment that encourages clients to utilize and enhance their social skills, daily living skills and maintain their educational achievements.

DBA

Mcana, LLC

Entity on Lease

Floor Wall Design

Corporate/Franchise

Corporate

Locations

Credit Rating

Not Rated

Public/Private

Private

Line of Business

Floor Wall Design focus on providing the finest quality products available from all the leading brands and manufacturers to help beautify your home. They can help with your redecorating project with outstanding service and continued value for each and every customer. Floor Wall Design provides a wide range of choices, offering everything from carpet and hardwood to ceramic tile and natural stone, laminate, or vinyl flooring. They also offer custom granite countertops, kitchen cabinets, complete kitchen and bathroom remodel. Weâ&#x20AC;&#x2122;re a one stop shop for all your flooring needs!

PROPERTY DESCRIPTION

I N VE S TMENT HI GHLI GHT S

H ILLTO P CO R NE R

• Value-Add Opportunity: The Property is currently 74% occupied providing investors with potential upside through the lease-up of the remaining 26% of available space.

• Small, Very Leasable Spaces: The average size space in Hilltop Corner is only 2,018 square feet. This makes the property extremely leasable as the tenant pool for this size space is the largest in the industry.

• Exceptional Positioning with High Traffic Counts: Hilltop Corner benefits from its position along Denton Tap Road, a major thoroughfare with more than 49,000 vehicles a day, right off of Highway 35E and Highway 121.

• Tremendous Trade Area with High Growth & Incomes: Hilltop Corner is a true neighborhood center in this affluent suburb of Dallas. High growth has been consistent in this area as evidenced since 2010 with an average of 12.29% growth within one, three and five miles. This same trade area has indications of an average of 11.85% growth projected over the next five years. Within a three mile radius of Hilltop Corner there are currently 115,151 residents increasing to 243,604 people within five miles of the Property. Additionally, the household incomes of the resident population within three and five miles radius are $97,801 and $102,474 respectively. PROPERTY DESCRIPTION

S I T E PL A N

H ILLTO P CO R NE R

Denton Tap Rd PROPERTY DESCRIPTION

F LO OR PLA N

Suite

H ILLTO P CO R NE R

Tenant

101

Available

103

Trom, LLC

105

Floor & Wall Design

107

Our Hearts Day Center

109

CI Health Group

111

Tap’s Liquor

113

Available

Trom, LLC

Available

CI Health Group

Tap’s Liquor

PROPERTY DESCRIPTION

A E R I AL MA P

H ILLTO P CO R NE R

DENTON TAP RD

49,530 VPD E ROUND GROVE RD

43,037 VPD MUSIC CITY MALL LEWISVILLE

PROPERTY DESCRIPTION

L E A SE COMPA RABLES

Property

H ILLTO P CO R NE R

GLA

Yr Built/ Renovated Occupancy

Major Tenants

Available SF

Rental Rates

NNN

Tapp Liquor, CI Health Group Our Heart, Floral Wall Design

3,677

$12.00 - $16.00

$4.46

Hilltop Corner Shopping Center ï&#x201A;« 2680 Denton Tap Rd Lewisville, TX

14,123

1996

74.0%

Vista Park Center 1 291 E Round Grove Rd Lewisville, TX

36,241

1999

72.8%

Pet Supplies Plus, Sport Clips, Check N Go, Planet Tan, Boba World, Pho Que Huong, Allstate

9,851

$16.00-$27.00

$5.50

Edmonds Plaza East & West 2 771 W Round Grove Rd Lewisville, TX

15,550

2014

100.0%

Park Dental Clinic, The Liquor Outpost, Burgerim, EZ Fumes, Victory Nail Bar Construction Engineers

$20.00 - $22.00

$5.84

The Shoppes at Round Grove 3 310 E Round Grove Rd Lewisville, TX

13,838

2005

100.0%

The Smokin Chef BBQ, Slim 4 Life, Pho Xpress, Coffee Holic, Texas Hot Tub Company

$14.00 - $19.00

$6.50

Round Grove Crossing 4 297 W Round Grove Rd Lewisville, TX

15,063

2002

100.0%

Enlighten Learning, Goodyear, Mama's Pizza, Baan Thai, Keystone Dental, Lewisville Foods

$7.00 - $16.00

$4.34

Deer Crossing 5 301 W Round Grove Rd Lewisville, TX

14,000

1986

77.1%

Shell, Texas Cleaners, Ying Chinese, Snazzy Cleaners & Laundry

3,200

$12.00 - $14.00

$4.00

PROPERTY DESCRIPTION

L E A SE COMPA RABLES

H ILLTO P CO R NE R

Hilltop Corner 1

Vista Park Center

Edmonds Plaza East & West

The Shoppes at Round Grove

Round Grove Crossing

Deer Crossing

1 3

PROPERTY DESCRIPTION

LO C AL MA P

H ILLTO P CO R NE R

PROPERTY DESCRIPTION

REG IONA L MA P

H ILLTO P CO R NE R

PROPERTY DESCRIPTION

M A R KET S U MMARY

H ILLTO P CO R NE R

Dallas - Fort Worth, TX

OVERVIEW Dallas encompasses half of the Dallas/Fort Worth Metroplex and is the third-largest city in Texas and the ninth-largest city in the United States. Dallas is home to the third-largest concentration of Fortune 500 companies in the country and is the largest economic center of the Dallas/Fort Worth metropolitan area. The Metroplex has strong submarket occupancy rates, is home to more shopping centers per capita and has one of the largest concentrations of corporate headquarters for publicly traded companies in the United States. The city is the largest economic center of the 12-county Dallas–Fort Worth–Arlington metropolitan area, which had a population of 6,810,913 people as of July 1, 2013. The metropolitan economy is the sixth largest in the United States, with a 2012 real GDP of $420.34 billion. In 2013 the metropolitan area led the nation with the largest year-over-year increase in employment, and advanced to become the fourth-largest employment center in the nation (behind New York City, Los Angeles, and Chicago) with more than three million non-farm jobs. In the

latest rankings released in 2013, Dallas was rated as a “beta plus” world city by the Globalization and World Cities Study Group & Network. Dallas is also ranked 14th in world rankings of GDP by the Organization for Economic Co-operation and Development. The Dallas-Fort Worth Metroplex has one of the largest concentrations of corporate headquarters for publicly traded companies in the United States. The city of Dallas has 12 Fortune 500 companies, and the DFW region as a whole has 22. Dallas is the best-ranked city on the Regulatory Climate Index thanks to its efficient local regulations. Entrepreneurs and small businesses can expect a welcoming business environment across all five areas of local regulation. Dallas scores above average across each meaningful measure of an interaction that a business has with a local government agency through procedure, time, and cost. These rankings reflect the city’s continuing efforts to develop programs and initiatives to strengthen the business environment, provide access to capital, and encourage economic growth at the local level.

Q U I C K S TAT S

2 3rd 4th 22

Texas, Fastest Growing Economy in the U.S. (24/7 Wall St.) Fastest Growing Cities in the U.S. (Forbes) Largest Metropolitan Area in the United States Fortune 500 Companies Call DFW Home (Fortune)

10K

Home to over 10,000 corporate headquarters, making it the largest concentration in the U.S.

PROPERTY DESCRIPTION

D E M OG RA PHIC STAT I ST I CS

H ILLTO P CO R NE R

Radius

1 Mile

3 Mile

5 Mile

16,851 14,999 13,930 12.35% 7.67% 2,702

115,151 103,643 92,116 11.10% 12.51% 24,790

243,604 217,335 186,257 12.09% 16.69% 44,097

9,557 2,460 116 2,366 14 486 9

75,729 10,929 760 13,519 102 2,604 49

152,593 20,328 1,553 37,290 185 5,387 53

7,815 6,950 6,486 12.45% 7.15% 1,580 5,370 $78,878 $57,990

44,544 39,994 35,487 11.38% 12.70% 19,963 20,031 $97,801 $71,174

92,149 82,261 70,842 12.02% 16.12% 46,146 36,115 $102,474 $78,273

632 2,058 1,767 784 801 239 364 306

4,003 9,019 8,145 5,054 4,174 2,598 3,267 3,736

7,952 15,953 15,787 10,992 9,273 6,407 8,127 7,771

Population: 2022 Projection 2017 Estimate 2010 Census Growth 2017-2022 Growth 2010-2017 2017 Population Hispanic Origin

2017 Population by Race: White Black Am. Indian & Alaskan Asian Hawaiian & Pacific Island Other U.S. Armed Forces:

Households: 2022 Projection 2017 Estimate 2010 Census Growth 2017 - 2022 Growth 2010 - 2017 Owner Occupied Renter Occupied 2017 Avg Household Income (National Avg - $75,558) 2017 Med Household Income (National Avg - $53,889)

2017 Households by Household Inc: <$25,000 $25,000 - $50,000 $50,000 - $75,000 $75,000 - $100,000 $100,000 - $125,000 $125,000 - $150,000 $150,000 - $200,000 $200,000+

PROPERTY DESCRIPTION

CONFIDENTIALITY AGREEMENT The information contained in the following offering memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from STRIVE and it should not be made available to any other person or entity without the written consent of STRIVE. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to STRIVE. This offering memorandum has been prepared to provide summary, unverified financial and physical 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. STRIVE 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, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenantâ&#x20AC;&#x2122;s plans or intentions to continue its occupancy of the subject property. The information contained in this offering memorandum has been obtained from sources we believe to be reliable; however, STRIVE has not verified, and will not verify, any of the information contained herein, nor has STRIVE 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. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property. ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT STRIVE AGENT FOR MORE DETAILS.

Commercial Disclaimer STRIVE hereby advises all prospective purchasers of commercial property as follows: The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, STRIVE has not and will not verify any of this information, nor has STRIVE conducted any investigation regarding these matters. STRIVE makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided. As the Buyer of a commercial property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. STRIVE expressly denies any obligation to conduct a due diligence examination of this Property for Buyer. Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a commercial property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any commercial property to determine to your satisfaction with the suitability of the property for your needs. Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenants and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenants history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term leases, including the likelihood of locating replacement tenants if any of the current tenants should default or abandon the property, and the lease terms that Buyer may be able to negotiate with any potential replacement tenants considering the location of the property, and Buyer’s legal ability to make alternate use of the property. By accepting this Marketing Brochure you agree to release STRIVE and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this commercial property.

Information About Brokerage Services

Texas law requires all real estate license holders to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords. TYPES OF REAL ESTATE LICENSE HOLDERS: • A BROKER is responsible for all brokerage activities, including acts performed by sales agents sponsored by the broker. • A SALES AGENT must be sponsored by a broker and works with clients on behalf of the broker. A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents): • Put the interests of the client above all others, including the broker’s own interests; • Inform the client of any material information about the property or transaction received by the broker; • Answer the client’s questions and present any offer to or counter-offer from the client; and • Treat all parties to a real estate transaction honestly and fairly. A LICENSE HOLDER CAN REPRESENT A PARTY IN A REAL ESTATE TRANSACTION: AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner’s agent through an agreement with the owner, usually in a written listing to sell or property management agreement. An owner’s agent must perform the broker’s minimum duties above and must inform the owner of any material information about the property or transaction known by the agent, including information disclosed to the agent or subagent by the buyer or buyer’s agent. AS AGENT FOR BUYER/TENANT: The broker becomes the buyer/tenant’s agent by agreeing to represent the buyer, usually through a written representation agreement. A buyer’s agent must perform the broker’s minimum duties above and must inform the buyer of any material information about the property or transaction known by the agent, including information disclosed to the agent by th e seller or seller’s agent. AS AGENT FOR BOTH - INTERMEDIARY: To act as an intermediary between the parties the broker must first obtain the written agreement of each party to the transaction. The written agreement must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker’s obligations as an intermediary. A broker who acts as an intermediary: • Must treat all parties to the transaction impartially and fairly; • May, with the parties’ written consent, appoint a different license holder associated with the broker to each party (owner and • buyer) to communicate with, provide opinions and advice to, and carry out the instructions of each party to the transaction. • Must not, unless specifically authorized in writing to do so by the party, disclose: ӽӽ that the owner will accept a price less than the written asking price; ӽӽ that the buyer/tenant will pay a price greater than the price submitted in a written offer; and ӽӽ any confidential information or any other information that a party specifically instructs the broker in writing not to disclose, unless required to do so by law. AS SUBAGENT: A license holder acts as a subagent when aiding a buyer in a transaction without an agreement to represent the buyer. A subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first. TO AVOID DISPUTES, ALL AGREEMENTS BETWEEN YOU AND A BROKER SHOULD BE IN WRITING AND CLEARLY ESTABLISH: • The broker’s duties and responsibilities to you, and your obligations under the representation agreement. • Who will pay the broker for services provided to you, when payment will be made and how the payment will be calculated. LICENSE HOLDER CONTACT INFORMATION: This notice is being provided for information purposes. It does not create an obligation for you to use the broker’s services. Please acknowledge receipt of this notice below and retain a copy for your records.

Regulated by the Texas Real Estate Commission

Information available at www.trec.texas.gov IABS 1-0

exclusively listed 469.844.8880 | STRIVERE.COM