OFFERING MEMORANDUM 15,463 SF MULTI-TENANT SHOPS - LoopNet
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OFFERING MEMORANDUM
15,463 SF MULTI-TENANT SHOPS
SEC RAY ROAD AND COOPER ROAD GILBERT, ARIZONA
For Sale Exclusively by:
Brian Gast Eli Castronova
602-682-8155 602-682-8175
brian.gast@velocityretail.com ec@velocityretail.com
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
EXECUTIVE SUMMARY
ASSET OVERVIEW
Two (2) Multi-Tenant Shop Buildings,
PROPERTY DETAIL: Part of Cooper Square Shopping
Center
709 & 727 W. Ray Rd., Gilbert, AZ
STREET ADDRESS:
85233
YEAR CONSTRUCTED: 1999
Pad C Shops 4,945 SF
SIZE: Inline Shops B 10,518 SF
Total 15,463 SF
TENANCY:
83.4% 12,902 SF
(8 of 10 shops occupied)
Pad C Shops 29,829 SF
LAND AREA: Inline Shops B 38,984 SF
Total 68,813 SF
Leading Edge Academy 52,539 SF
Life Community Church 16,065 SF
OTHER CENTER Greulich’s Auto Repair 4,000 SF
TENANTS (NAP): Shell Fuel Center 5,065 SF
Vantage West Credit Union 4,000 SF
Total 81,669 SF
SHOPPING CENTER: 97,132 SF
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
PHOENIX METRO LOCATION MAP
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
SOUTHEAST VALLEY LOCATION MAP
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
THE SHOPS AT COOPER SQUARE
SEC RAY RD & COOPER RD. GILBERT, AZ
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
THE SHOPS AT COOPER SQUARE
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
INVESTMENT HIGHLIGHTS
Velocity Retail is pleased to offer to the retail investment marketplace the Shops at Cooper Square (the “Property”) that is a package of
two multi-tenant shop buildings with a total 15,462 SF of leasable space. The Shops at Cooper Square is part the 97,132 SF Cooper
Square Shopping Center (the ”Center”) located at the SEC of Ray Rd. and Cooper Rd. Gilbert, Arizona. (Phoenix MSA).
Cooper Square shop tenants include an attractive mixture of internet resistant services and restaurants. The Center is further anchored
by Leading Edge Academy K through 12th grade Charter School and Life Community Church, who purchased the former Albertson’s
box in 2014. On the hard corner of the center is a Shell Fuel Station. Vantage West Credit Union recently signed a lease to open a
branch in the ex-Chase Bank building fronting Cooper Road and Greulich’s Auto Repair operates on the eastern edge of the Center. All
combined Cooper Square is a highly active shopping center that is actively managed and well maintained by the current owner’s
management company who collects a 10% of Reimbursable CAM management fee from Cooper Square tenants for its center
management services.
The Property generates consistent rental income from tenants currently occupying 83.4% of the available shops space. The rent roll is
well seasoned with a significant number of the tenants having been in business in the Center for over ten years each and three new
tenants, that signed leases and opened in the last twelve months, bring a fresh energy to the shopping center and further stabilization to
the rental income stream. The Property net operating income can be further enhanced by moving the $15.86 PSF average rent roll rental
rate, that is at the low end of the submarket range, higher as tenant leases are renewed and by leasing up the two remaining available
shop suites thereby bringing the Property to 100% occupancy.
Trade Area Overview
The Property is very well located being 3 miles north of a Loop 202 Freeway full-diamond interchange; 3.5 miles from the highly regarded
1,000,000 SF plus San Tan Village Lifestyle Center; 3 miles to the eclectic Downtown Gilbert Restaurant District, 1 mile to the Walmart
Super Center; 1 mile from the Islands Master Planned Community; and 1 mile from Chandler Gilbert Community College. A solid steady
stream of traffic flows by the Property. Cooper Road, the main north/south arterial for the trade area, has a 23,400 daily traffic count and
Ray Road., the main east/west arterial generates another 21,613 vehicles per day. A brand new 40,000 SF EOS Fitness is currently under
construction immediately across the street from the Property on the northwest corner of the intersection further validating the
attractiveness of this high traffic location.
Demographics
The City of Gilbert is an upper level demographic area and a preferred Southeast Phoenix Valley place to live with a highly educated
workforce and strong home ownership family orientated residency. The neighborhoods around the Center consists of a high quality of
housing stock with a dense local population count of over 20,000 residents living within 1 mile and 154,000 residents within 3 miles of
the Center. Median annual income within in a 5-mile radius is $82,000 and over $100,000 in the one-mile distance.
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
FINANCIAL SUMMARY
Financial Summary In-Place Proforma
As-Is 12 mo.
Occupancy: 83.40% 95.00%
Net Operating Income: $189,407 $228,352
Price: $2,875,000 $2,875,000
Cap Rate: 6.59% 7.95%
Income / Expense Statement
Potential Gross Income $245,196 $245,196
($15.86 psf avg. NNN rate)
Vacancy $40,610 $12,260
Effective Gross Income $204,586 $232,936
Expense
$76,502 $87,097
Reimbursement
Total Income 281,088 $320,033
Property Expenses
$91,681 $91,681
($5.93 psf)
Net Operating Income $189,407 $228,352
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.com
RENT ROLL
The Shops at Cooper Square - Rent Roll
Lease Annual Rent
Tenant Suite SF Occupied Term Start Expires Remaining Rent Per Mo. PSF Increases
Pad C Shops Years Years
Nitro Ice Creamery 709-1 1,312 1,312 5 7/2/2018 8/30/2023 4.7 $23,580 $1,965.00 $17.97 3% annually
Happy Cleaners & Tailors 709-2 933 933 10 5/10/2006 5/31/2021 2.5 $14,928 $1,244.00 $16.00
Budo Martial Arts 709-3 2,700 2,700 7 6/1/2016 8/30/2023 4.7 $37,233 $3,102.75 $19.44 3% annually
Total 4,945 4,945 $75,741 $6,311.75 $15.32
Inline Shops B
Dragon Wok 727-B1 2,607 2,607 5 11/24/2004 1/31/2021 2.1 $43,200 $3,600.00 $16.57
Friendly Nails 727-B2 1,035 1,035 5 11/18//99 1/31/2020 1.0 $16,622 $1,385.19 $16.06
Vacant 727-B3 1,035 0 $0 $0.00 $0.00
Vacant 727-B4 1,525 0 $0 $0.00 $0.00
Los Favaritos Taco Shop 727-B5 1,898 1,898 5 6/1/2001 6/30/2022 3.5 $36,600 $3,050.00 $19.28
Capital Mark Interiors 727-B6 1,415 1,415 5 9/8/2017 12/31/2022 4.0 $18,395 $1,532.91 $13.00 3% annually
Pilot Mortgage 727-B7 1,002 1,002 5 5/1/2018 8/30/2023 4.7 $14,028 $1,169.00 $14.00 3% annually
Total 10,517 7,957 $128,845 $10,737.10 $16.19
Combined Total 15,462 12,902 $204,586 $17,048.86 $15.86
Occupied 12,902 83.4%
Vacant 2,560 16.6%
Total 15,462 100.0%
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.comTENANT SUMMARY
Tenant Summary
Nitro Live Liquid Nitrogen Flash Freeze Ice Cream – 4 locations – Arizona Coyotes & Cardinals Vendor – In Business
Icecreamery since 2010
Dragon Wok Fine Chinese Restaurant – Award Winning Food and Dining Experience - Operating since 2004
Los Favoritos Fresh, Authentic Mexican Food -– 12 locations – Well known Brand – Established in 2001
Budo Shingkan Japanese Martial Arts School – Mesa & Gilbert’s Best Source for Classical Japanese Martial
Budo Martial Arts
Arts Training - Opened at Cooper Square in 2016
Happy Cleaners & Drop Shop Only / No Plant on Premises – Includes Sewing & Alteration Services - Family Run – Operating
Tailors since 2006.
Capital Mark Kitchen and Bathroom Design & Install Specialist – BBB A+ rated Business- - Hands on Owner Operated
Interiors Established 2010.
Friendly Nails Loyal Client Following – Over 18 years in business – Started in 1999
Licensed Home Mortgage Originator with over 25 years industry experience – Veteran Owned – Established in
Pilot Mortgage
2010
Other Center Tenants (NAP)
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.comDEMOGRAPHICS
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.comOFFERING DISCLAIMER
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, expressed or implied, is being made by Velocity Retail Group, LLC. (“Broker”) or Cooper Square Shops, LLC (“Seller”) or
any of their respective representatives, affiliates, officers, employees, partners and directors, as to the accuracy or completeness of the
information contained herein nor does it purport to be all-inclusive or to contain all of the information which prospective investors may
need or desire. All projections have been developed by Broker or Seller, and are based upon assumptions relating to the general
economy, competition and other factors beyond Broker’s control, which therefore make the contents of same subject to variation.
Broker or Seller make no representation as to the accuracy or completeness of the information contained herein, and nothing contained
herein is, or shall be relied on as, a promise or representation as to the future performance of the Property. Although the information
contained herein is believed to be accurate, Seller, its agents and employees, disclaim any responsibility for inaccuracies and suggest
prospective purchasers exercise independent due diligence in verifying all such information. Further, Broker, Seller, its agents and
employees disclaim any and all liability for representations and warranties, expressed and implied, contained in, or for omissions from,
the Offering Memorandum or any other written or oral communication transmitted or made available to the recipient. The Offering
Memorandum does not constitute a representation that there has been no change in the business or affairs of the Property since the
date of preparation of the Offering Memorandum. Analysis and verification of the information contained herein is solely the
responsibility of the prospective purchaser. 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 outline some of the principal provisions contained therein.
Neither the Brokers nor Seller shall have any liability whatsoever for the accuracy or completeness of the information contained or any
other written or oral communication or information transmitted to make 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.
Interested buyers should be aware that the seller is selling the property in its “as is” condition with all faults, without representations or
warranties of any kind or nature. Prior to and after contracting to purchase, as appropriate, buyer will be given a reasonable opportunity
to inspect and investigate the Property and all improvements thereon, either independently or through agents of the buyer’s choosing.
The information provided herein and which may hereafter be provided with respect to the property being marketed was obtained from a
variety of sources. Neither Seller nor Broker have made any independent investigation or verification of the information presented or to
be presented with respect to the property. Seller and Broker make no representations or warranties as to the accuracy or completeness
of such information. Recipient acknowledges that it will solely rely upon the results of its own investigations notwithstanding the delivery
of these materials.
Interested Buyers should be aware that certain members of Broker have a partnership interest with the Owner. Velocity Retail Group,
LLC is a licensed real estate broker in the State of Arizona.
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
velocityretail.comCONTACT INFORMATION
Brian Gast Eli Castronova
Senior Vice President Senior Vice President
Direct: 602-682-8155 Investments and Capital Markets
Mobile: 602-828-0410 Direct: 602-682-8175
bg@velocityretail.com Mobile: 602-999-5425
ec@velocityretail.com
2415 E Camelback Road, Suite 400
Phoenix, AZ 85016
602-682-8100
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