LIFETOUCH NATIONAL SCHOOL STUDIOS W. O. S. OF SHUTTERFLY, INC - Offering Memorandum - LoopNet
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Offering Memorandum
LIFETOUCH NATIONAL SCHOOL STUDIOS
W. O. S. OF SHUTTERFLY, INC.
2 Pumphouse Rd • Vestal, NY 13850
NON-ENDORSEMENT AND DISCLAIMER NOTICE
Confidentiality and Disclaimer
The 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 Notice
Marcus & 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.
LIFETOUCH NATIONAL SCHOOL STUDIOS - W. O. S. OF SHUTTERFLY, INC.
Vestal, NY
ACT ID ZAA0070320
2
NET LEASED DISCLAIMER
Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows:
The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will
not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee,
warranty or representation whatsoever about the accuracy or completeness of any information provided.
As the Buyer of a net leased 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. Marcus &
Millichap 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 net leased 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 net leased 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 tenant 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 tenant 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 lease, including the likelihood of locating a
replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential
replacement tenant 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 Marcus & Millichap Real Estate Investment Services and hold it harmless from any kind of claim, cost,
expense, or liability arising out of your investigation and/or purchase of this net leased property.
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LIFETOUCH NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
OFFERINGSUMMARY
OFFERING SUMMARY
EXECUTIVE SUMMARY
OFFERING SUMMARY
Price $450,000
Net Operating Income $47,802
MAJOR EMPLOYERS
Capitalization Rate – Current 10.62%
Price / SF $75.00 # OF EMPLOYEES
EMPLOYER
*
Rent / SF $7.97 IBM 2,028
Lease Type NN
Pella Window Door 1,580
Gross Leasable Area 6,000 SF
Bae Systems Controls Inc 1,400
Year Built / Renovated 1900 / 1980 / 2012
Red Robin Gourmet Burgers Inc 1,240
Lot Size 1.15 acre(s)
Waters of Endicott 805
Wegmans 73 613
FINANCING Ei 600
Down Payment All Cash Walmart 500
Net Cash Flow 10.62% / $47,802 Willow Point Nursing Facility 500
Cash on Cash Return 10.62% Carrier Corporation 311
Total Return 10.62% / $47,802 Ensco Inc 297
Broom-Toga Bd Coop Eductl Svcs 282
DEMOGRAPHICS
1-Miles 3-Miles 5-Miles
2018 Estimate Pop 9,091 42,584 73,891
2010 Census Pop 9,291 43,782 75,643
2018 Estimate HH 4,104 18,980 28,862
2010 Census HH 4,205 19,494 29,727
Median HH Income $39,801 $50,993 $56,969
Per Capita Income $24,576 $30,303 $31,244
Average HH Income $53,714 $67,525 $76,432
* # of Employees based on 5 mile radius
#
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LIFETOUCH NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
OFFERING SUMMARY
INVESTMENT OVERVIEW
The subject property is leased to Lifetouch National School Studios, which was recently acquired by and is now a subsidiary of Shutterfly, Inc. The lease goes through
February of 2021 and provides for one three-year option with a 3% increase. Asking rents for single tenant buildings in the Binghamton-Endicott-Vestal area are
substantially higher than the subjects rent and are in the $20-30 psf range, which will provide for future upside.
Vestal, NY
Vestal, a part of the Greater Binghamton area, is located in the south western corner of Broome County. Approximately 52.5 square miles in size, Vestal's population has
grown from the 2010 census total of 28,043.
Vestal prides itself on being a "Full Service Town" with a police department, volunteer fire department, highway department, public library, museum and school system.
The award-winning Vestal Central School District offers a K-12 education to more than 4,000 students.
The Town of Vestal is home to the nationally recognized Binghamton University, a part of the State University of New York. Numerous malls and plazas offer excellent
shopping while Vestal's twenty parks and Rail Trail offer many recreational opportunities. Vestal is close to ski slopes for winter fun and New York's finger lakes for
summer recreation.
INVESTMENT HIGHLIGHTS
10.62% Cap Rate on Rent from the Largest School Portrait Vendor in the Country
Long Term Historical Occupancy
Tenant Recently Acquired by Shutterfly, Inc.
Below Market Rent
9,000 People with an Average Income of $53,000+ in a One-Mile Radius
NN Lease - Landlord Responsible only for Cap Ex > 5k, Roof and Structure
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LIFETOUCH NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
TENANT PROFILES
Lifetouch National School Studios
Location count is an estimate based on at least 550+ locations within JCPenney as well as
General Information
multiple locations in each state
Tenant Name Lifetouch National School Studios
Website www.lifetouch.com
Parent Company Shutterfly, Inc.
Headquartered Eden Prairie, MN
Rentable Square Feet 6,000 SF
Percentage of RBA 100%
Lease Commencement 3/1/2012
Lease Expiration 2/28/2021
No. of Locations 550+
126
LIFETOUCHNAME
PROPERTY NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
PRICING LOCATION
PRICING AND
AND TENANT SUMMARY
OVERVIEW
VALUATION
VALUATION MATRIX
MATRIX
2 Pumphouse Rd, Vestal, NY 13850
9.56% Cap Rate
Excellent Tenant
1.5 Years Remaining on NN Lease
Below Market Rent
Strong Demographics
Insulated SUNY Binghamton Market
The subject property consists of a 6,000 square
foot building situated on 1.15 acres with
frontage on Bridge Street. Bridge is the main
connection between Vestal and Endicott.
CLOSE PROXIMITY TO:
7#
LIFETOUCHNAME
PROPERTY NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
PRICING
PRICING LOCATION
AND TENANT
REGIONAL
AND SUMMARY
OVERVIEW
VALUATION
VALUATION MATRIX
AND LOCAL
MATRIX
MAP
2 Pumphouse Rd, Vestal, NY 13850
8#
LIFETOUCH NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
AERIAL PHOTO
9LIFETOUCH NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
OFFERINGSUMMARY
OFFERING SUMMARY
PROPERTY SUMMARY
NOTES: Cancellation Option Exists, but is removed upon sale
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10LIFETOUCHNAME
PROPERTY NATIONAL SCHOOL STUDIOS - W. O. S. OF
SHUTTERFLY, INC.
PRICING LOCATION
PRICING AND
AND TENANT SUMMARY
OVERVIEW
VALUATION
VALUATION MATRIX
DEMOGRAPHICS
MARKETINGMATRIX
TEAM
CREATED ON JULY 15, 2019
1 Miles 3 Miles 5 Miles
POPULATION
2023 Projection 9,089 42,440 73,873
2018 Estimate 9,091 42,584 73,891
2010 Census 9,291 43,782 75,643
2000 Census 9,157 44,091 74,954
INCOME
Average $53,714 $67,525 $76,432
Median $39,801 $50,993 $56,969
Per Capita $24,576 $30,303 $31,244
HOUSEHOLDS
2023 Projection 4,127 19,092 29,111
2018 Estimate 4,104 18,980 28,862
2010 Census 4,205 19,494 29,727
2000 Census 4,162 19,206 29,125
HOUSING
2018 $103,177 $114,965 $125,283
EMPLOYMENT
2018 Daytime
15,809 45,949 86,674
Population
2018
6.00% 4.87% 5.59%
Unemployment
2018 Median Time
19 19 19
Traveled
RACE & ETHNICITY
White 85.90% 88.17% 85.87%
Native American 0.20% 0.13% 0.10%
African American 7.24% 4.35% 4.20%
Asian/Pacific
2.45% 3.99% 6.27%
Islander
Source: © 2015 Experian
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