"Net Lease Bank For Sale"
NET LEASED INVESTMENT OFFERING TCF Bank Ground Lease (Investment Grade) 6501 Richfield Parkway Richfield, MN 55423 (Minneapolis MSA) www.bouldergroup.com TABLE OF CONTENTS NET LEASED INVESTMENT OFFERING TABLE OF CONTENTS 1) Confidentiality & Disclaimer 2) Executive Summary 3) Property Overview 4) Site Plan 5) Aerial 6) Map 7) Tenant Profile 8) Demographic Comparison Report 9) Location Overview 10) Contact Information www.bouldergroup.com CONFIDENTIALITY & DISCLAIMER NET LEASED INVESTMENT OFFERING CONFIDENTIALITY CONFIDENTIALITY & DISCLAIMER 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 The Boulder Group and should not be made available to any other person or entity without the written consent of The Boulder Group. This Offering Memorandum 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. The Boulder Group has not made any investigation, and makes no warranty or representation. The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, The Boulder Group has not verified, and will not verify, any of the information contained herein, nor has The Boulder Group 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. www.bouldergroup.com EXECUTIVE SUMMARY NET LEASED INVESTMENT OFFERING EXECUTIVE SUMMARY The Boulder Group is pleased to exclusively market for sale a single tenant TCF Bank ground lease located within the Minneapolis MSA. TCF Bank is an investment grade company with a Standard & Poor’s Rating of BBB-. The TCF Bank is located on a 1.01 acre parcel as an outlot to a Super Target and Home Depot anchored shopping center. The lease features 10% rental escalations every five years with the next escalation in 2017. This is a proven location for TCF bank as evidenced by its well above average deposits for a bank branch. The property is located in Cedar Point Commons Shopping Center, a 350,000 square foot retail center anchored by Super Target and Home Depot. Cedar Point Commons is located off Highway 77 (66,000 VPD) at the intersection of 66th Street and Richfield Parkway. 66th Street has a full access interchange with Highway 77 less than ¼ mile from the property. Constant traffic is abundant along Highway 77 as the Mall of America is located approximately two miles south of Cedar Point Commons along Highway 77. Additionally, there is a IKEA adjacent to the Mall of America. The property is located in a dense area with over 300,000 people living within five miles of the property. There are high barriers to entry in the area as the land directly across Highway 77 is used for the Minneapolis/St. Paul International Airport. TCF Bank’s original ground lease term was for 20 years with four 5-year renewal options and the lease expires in October 2027. The net operating income increases by 10% every five years during the primary term as well as the option periods. TCF Bank is a publicly traded company on the New York Stock Exchange (TCB), with a market capitalization of $2 billion. TCF Bank is an investment grade rated company with a Standard & Poor’s rating of BBB-. INVESTMENT HIGHLIGHTS • Investment grade rated company (S&P: BBB-) • Located within the Minneapolis MSA • Long term ground lease • Superior bank branch deposits • No landlord responsibilities • 10% rental escalations every five years (Next escalation in 2017) • Located as an outparcel to a Super Target and Home Depot • Located off Highway 77 Interchange (66,000 VPD) • Two miles from the Mall of America and an IKEA • Over 300,000 people living within five miles of the property www.bouldergroup.com PROPERTY OVERVIEW NET LEASED INVESTMENT OFFERING PROPERTY OVERVIEW Price: $2,946,428 Cap Rate: 5.60% Rent Schedule: NOI Escalation Date $ 165,000 $ 181,500 11/1/2017 $ 199,650 11/1/2022 $ 219,615 11/1/2027 (Option 1) $ 241,577 11/1/2032 (Option 2) $ 265,734 11/1/2037 (Option 3) $ 292,308 11/1/2042 (Option 4) Renewal Options: Four 5-Year Renewal Rate: 10% each option period Lease Commencement Date: October 16, 2007 Lease Expiration Date: October 31, 2027 Tenant: TCF Bank Credit Rating: BBB- (Standard and Poor’s) Year Built 2007 Lease Type: Ground Lease – NNN* Rentable Square Feet: 4,500 SF Land Size: 1.01 Acres * Should structural repairs be required during the last three years of the Tenant's primary term or any renewal term, Tenant shall not be required to make such structural repairs should Tenant deliver to Landlord a written waiver of all rights to renew the Lease beyond the term in effect. www.bouldergroup.com SITE PLAN NET LEASED INVESTMENT OFFERING PLAN SITE PLAN www.bouldergroup.com AERIAL NET LEASED INVESTMENT OFFERING AERIAL www.bouldergroup.com MAP NET LEASED INVESTMENT OFFERING MAP www.bouldergroup.com TENANT PROFILE NET LEASED INVESTMENT OFFERING TENANT PROFILE TCF is a Wayzata, Minnesota‐based national bank holding company with $17.8 billion in total assets as of March 31, 2012. TCF has over 430 branches in Minnesota, Illinois, Michigan, Colorado, Wisconsin, Indiana, Arizona, and South Dakota, providing retail and commercial banking services. TCF also has business lines in commercial leasing and equipment finance, including leverage lending in all 50 states, commercial inventory finance business in the U.S. and Canada, and indirect auto finance business in over 30 states. They are the 11th largest VISA Classic debit card issuer in the U.S. by sales volume. Website: www.tcfbank.com Number of Locations: 430+ Stock Symbol: TCB : NYSE Standard & Poor’s Rating: BBB- Market Capitalization: $2 billion www.bouldergroup.com DEMOGRAPHIC COMPARISON REPORT NET LEASED INVESTMENT OFFERING DEMOGRAPHIC COMPARISON REPORT Population 3-mi. 5-mi 7-mi Total Population 98,609 303,180 586,475 Total Households 41,304 129,123 254,769 Income Median Household Income $53,756 $51,126 $50,403 Average Household Income $69,602 $70,132 $72,149 www.bouldergroup.com LOCATION OVERVIEW NET LEASED INVESTMENT OFFERING LOCATION OVERVIEW Richfield is located in Hennepin County, Minnesota, approximately 8 miles south of Downtown Minneapolis. Richfield has a population of over 35,000. Best Buy is the city’s largest employer and its corporate headquarters is located in Richfield. Other largest employers in Richfield include US Bank, Richfield Public Schools and Target. Hennepin County is the most populous county in the state of Minnesota. One in every five Minnesotans lives in Hennepin County. At the time of the 2010 U.S. Census, Hennepin County had a population of 1,152,425. www.ci.richfield.mn.us Minneapolis- Minneapolis-St. Paul is the most populous urban area in Minnesota is nicknamed the “Twin Cities”. Minneapolis is the most populous city in Minnesota and St. Paul serves Minneapolis-St. as the state’s capital. The Minneapolis St. Paul MSA is the 16th largest in the United Minneapolis-St. Paul area is home to States with a total population of 3,317,308. The Minneapolis (Target, 19 of the 20 Fortune 500 headquarters (Target, 3M and General Mills) located within Minnesota and has the second largest economy in the Midwest only behind Chicago. The largest companies in Minneapolis include Target, US Bank, Xcel Energy, Ameriprise Financial and Thrivent Financial. www.ci.minneapolis.mn.us www.bouldergroup.com CONTACT INFORMATION NET LEASED INVESTMENT OFFERING CONTACT INFORMATION 666 Dundee Road Suite 1801 Northbrook, IL 60062 Randy Blankstein Jimmy Goodman President Partner 847.562.0003 847.562.8500 firstname.lastname@example.org email@example.com www.bouldergroup.com