OFFERING MEMORANDUM
A prime Southern California mixed-use retail and automotive property ideally located on the Southeast signalized corner of San Fernando Boulevard and Elmwood Avenue, directly across the street from Tesla and Ikea in Burbank, CA
Burbank, CA 91502
INVESTMENT ADVISORS Brandon Michaels
Senior Managing Director of Investments Senior Director, National Retail Group Tel: 818.212-2794
[email protected] CA License: 01434685
Matthew Luchs
First Vice President Investments COO of The Brandon Michaels Group Tel: 818.212.2727
[email protected] CA License: 01948233
Zachary Saloff Investments Associate National Retail Group Tel: 818.212.2810
[email protected] License #02123343
brandonmichaelsgroup.com
Contents
04
ExecutiveSummary
12
PropertyOverview
16 22
Area Overview
FINANCIAL ANALYSIS
Executive Summary
Burbank, CA 91502
The Brandon Michaels Group of Marcus & Millichap has been selected to exclusively represent for sale 800 South San Fernando Boulevard, an approximately 6,764 square foot mixed-use property located on 9,981 square feet of land in the high-end, affluent Los Angeles County sub-market of Burbank, CA. This mixed-use property features both retail and automotive space. The retail showroom is located along San Fernando Boulevard and the automotive portion of the property is located along Elmwood Avenue. The automotive portion of the property includes open space and garage space with four roll-up doors.
800 South San Fernando Boulevard will be delivered vacant at the close of escrow, with the exception of two small month to month tenants who occupy a portion of the retail showroom and pay a nominal rent, making this an excellent opportunity for an owner-user or value-add investor.
The property features 65 feet of frontage along San Fernando Boulevard and 105 feet of frontage along Elmwood Avenue.
Traffic counts exceed 19,200 vehicles per day.
800 South San Fernando Road is located half a mile from the Interstate 5 Golden State Freeway, benefiting from direct
freeway access. The subject property is surrounded by a host of national retailers, including Tesla, Ikea, CVS Pharmacy, Ralphs, Starbucks, Walgreens, Del Taco, 7-Eleven, The Habit Burger Grill, and Trader Joe’s. The subject property is located less than one mile from First Street Village, a 6-story 275-unit mixed- use development project.
The Offering
A prime Southern California mixed-use retail and automotive property ideally located on the Southeast signalized corner of San Fernando Boulevard and Elmwood Avenue, directly across the street from Tesla and Ikea in Burbank, CA
5 Executive Summary
Alemeda A ve Alemeda A
ve
GRA
FFITH PARK
BURBANK BURBANK
S. Glenoaks Blvd S. Glenoaks Blvd S. San Fernando Blvd
S. San Fernando Blvd
Alemeda A ve Alemeda A
ve
Golden State Fwy Golden State Fwy
BURB
ANK AIRPORT
Burbank, CA 91502
7 Executive Summary
IKEA BURBANK
DOWNTOWN BURBANK
EXCELLENT BURBANK, CA LOCATION, JUST ACROSS THE STREET FROM TESLA AND IKEA
• Signalized corner location with excellent visibility and frontage
• Ideally located directly across the street from a Tesla Dealership as well as Ikea
• Surrounded by national tenants such as CVS Pharmacy, Ralphs, Starbucks, Walgreens, Del Taco, 7-Eleven, The Habit Burger Grill, and Trader Joe’s
• Located less than one mile from First Street Village, a 6-story 275-unit mixed-use development project
• Located approximately four miles from Avion Burbank, a 60-acre development project featuring 17 buildings comprised of creative office, creative industrial, retail, and hotel space
UNIQUE OFFERING WITH TWO SMALL MONTH TO MONTH TENANTS PRESENTS A MULTITUDE OF POTENTIAL OPTIONS
• The subject property consists of one 6,764 square foot building comprised of both retail storefront and automotive space, allowing an owner-user to occupy the retail and or automotive space
• The retail storefront is located along San Fernando Boulevard, which sees daily traffic counts north of 19,200 vehicles per day
• Features four roll-up doors as well as open space for automotive use
• Property will be delivered mostly vacant at the close of escrow
investment highlights
WARNER BROS. STUDIOS, BURBANK
BURBANK TOWN CENTER
STRONG UNDERLYING
DEMOGRAPHICS AND DENSE IMMEDIATE POPULATION IN THE BURBANK, CA SUBMARKET
• There are over 44,000 people located within one mile of the property, 158,100 within three miles of the property, and 481,300 within five miles of the property
• There are over 17,600 households located within one mile of the property, 62,100 within three miles, and 191,600 within five miles of the property
• Average household income within one mile of the property surpasses $82,200, $106,100 within three miles, and $102,700 within five miles of the property
investment highlights
9 Executive Summary
1
4
2
1 2
3
4 6
5 8
7 9
3
Golden State Fwy Golden State Fwy
S. San Fernando Blvd S. San Fernando Blvd
E. Elmwood A ve E. Elmwood A
ve NEARBY AMENITIES
Retail 1. IKEA 2. Tesla 3. CVS 4. Ralphs 5. EZ Storage 6. Car Max
7. The Home Depot 8. Trojan Storage 9. Public Storage Restaurants 1. Starbucks 2. The Habit 3. Blue Room 4. Baskin Robbins
Burbank, CA 91502
property summary
Address 800 S. San Fernando Boulevard Burbank, CA 91502
Price $3,500,000
Building Size 6,764 SF
Lot Size 9,981 SF
Price/SF (Building) $517
Price/SF (Land) $351
Pro Forma CAP Rate 6.51%
Current Occupancy Vacant
Parking 5 Spaces; Ratio of 0.75/1,000 SF
Year Built 1944
APN Number 2453-038-001
Zoning BUC4*
11 Property Overview
Property Overview
Burbank, CA 91502
property description
LOCATION
800 S. San Fernando Blvd Burbank, CA 91502
SITE
The property is located at the intersection of S. San Fernando Boulevard and E.
Elmwood Avenue.
BUILDING SIZE
6,764 SF
LOT SIZE
9,981 SF
PARKING
5 Parking Spaces; A Parking Ratio of 0.75 Parking Spaces per 1,000 SF
ZONING
BUC4*
TRAFFIC COUNTS
S San Fernando Boulevard:
Over 19,000 Vehicles Per Day
13 Property Overview
property PHOTOS
15 Property Overview
Area Overview
Burbank, CA 91502
burbank, california
Burbank is a city in Los Angeles County in Southern California, United States, 12 miles northwest of downtown Los Angeles.
Billed as the “Media Capital of the World” and only a few miles northeast of Hollywood, numerous media
and entertainment companies are headquartered or have significant
production facilities in Burbank, including The Walt Disney Company, Warner Bros. Entertainment, ABC Studios, Freeform, Marvel Studios, Nickelodeon, Cartoon Network, iHeartMedia, Inc., and Insomniac Games. Other post production, film processing, special effects, equipment rental and related businesses are also in Burbank.
The city is also home to the Hollywood Burbank Airport, which is the largest privately owned municipal airport in
the United States. It was the location of Lockheed’s Skunk Works, which produced some of the most secret and technologically advanced airplanes, including the U-2 spy planes that uncovered the Soviet Union missile components in Cuba in October 1962.
The Hollywood Burbank Airport has two easy-to-navigate terminals served by Alaska Airlines, American, Delta, JetBlue, JetSuite, Southwest and United. Daily non-stops include Dallas, Denver, Las Vegas, Oakland, New York, Phoenix, Portland, Sacramento, Salt Lake City, San Francisco, San Jose and Seattle.
Burbank is home to four distinct neighborhoods: Downtown Burbank, Magnolia Park, the Airport District and Media District.
Burbank is considered the Media Capital of the World
17 Area Overview
LOCATION OVERVIEW
800 South San Fernando Road is ideally located in the heart of Burbank, CA, an upscale and affluent Los Angeles County sub- market best known for its rich history in the aviation, cinematic, and entertainment industries
800 South San Fernando Boulevard is ideally located within Burbank, best known for its deep industry roots in aviation, cinema, and entertainment. The property is also located multiple substantial development projects.
Burbank’s history in aviation began in the 1930’s, what we now know as the Hollywood Burbank Airport was the largest commercial airport in the Los Angeles airport until the construction of LAX. Amelia Earhart, Wiley Post and Howard Hughes all flew in and out of the Hollywood Burbank Airport (formerly known as Union Air Terminal). The growth of the aviation industry attracted dozens of restaurants, hamburger stands, and shops to the area to accommodate the many employees associated with the industry.
Burbank has a rich history in the entertainment industry, as Columbia Pictures, Disney, Warner Bros., and NBC have all had locations in Burbank. Warner Bros., NBC, and Disney are all located along the southern edge of Burbank, in an area that is commonly referred to as the Media District. Burbank’s history in entertainment goes hand in hand with its history in the cinematic industry – several famous movies have been shot in Burbank or it’s studios, such as: Casablanca, High Noon, Blazing Saddles, Mary Poppins, The Princess Diaries, and Apollo 13.
Burbank is bordered by Glendale to the south, North Hollywood to the West, Sun Valley to the north, and La Crescenta-Montrose to the East.
800 S San Fernando Boulevard is located less than one mile from First Street Village, a 6-story 275-unit mixed-use project located at Magnolia Boulevard and 1st Street in Burbank. First Street Village is located on approximately 3.4 acres of land, and will feature three low-rise buildings comprised of 275 apartment units and 19,000 square feet of ground-floor retail and restaurant space. The project will also feature two subterranean levels of parking.
The property is located approximately four miles from Avion Burbank, a 60-acre development project featuring 17 buildings comprised of creative office, creative industrial, retail, and hotel space. The project is set to feature 1.25 million square feet of building, and is being constructed in phases, with the final phase scheduled for completion in April of 2023.
This dense immediate sub-market benefits from over 44,000 people within one mile of the property, 158,100 within three miles of the property, and 481,300 within five miles of the property. There are over 17,600 households located within one mile of the property, 62,100 within three miles, and 191,600 within five miles of the property. Average household income within one mile of the property surpasses $82,200, $106,100 within three miles, and $102,700 within five miles of the property.
Media District
Home to world-famous TV and movie studios including The Walt Disney Company, Warner Bros. Studios, The Honda Stage at iHeartRadio Theater Los Angeles and ABC Television.
Magnolia Park
A hip neighborhood with quirky boutiques, vintage antiques, chic eateries, and cafes.
Downtown Burbank
Downtown Burbank provides visitors a wide variety of shopping, dining and entertainment. Not to mention city-wide free parking and free Wi-Fi Internet access.
Airport District
Savvy travelers know that the Hollywood Burbank Airport is L.A.’s most hassle-free, convenient, and friendly airport. Close to the Empire Center, high-tech businesses, state-of-the-art conference hotels, and the world famous West Coast Customs.
NEIGHBORHOODS OF BURBANK
19 Area Overview
DEVELOPMENT MAP & PIPELINE
Subject Property
Under Construction Completion
Development Pipeline Map
PROPERTY NAME DEVELOPER UNITS STORIES START YEAR FINISH YEAR
1 1407 West Glenoaks Boulevard 1407 W Glenoaks Blvd, Glendale, CA 91201 AGD-AGC 55 3 2017 2021
2 635 East Union Street 635 E Union St, Pasadena, CA 91101 40 4 2020 2021
3 Avalon Monrovia W Chestnut Ave & S Myrtle Ave, Monrovia, CA 91016 AvalonBay Communities 154 5 2020 2021
4 Esperanza at Duarte Station A 1700 Business Center Dr, Duarte, CA 91010 MBK Rental Living 344 5 2021 2023
5 First Street Village E Magnolia Blvd & N 1st St, Burbank, CA 91502 275 6 2020 2022
6 MW Lofts 711 E Walnut St, Pasadena, CA 91101 115 6 2020 2022
7 RinRose 3768 E Colorado Blvd, Pasadena, CA 91107 APPA Real Estate 100 5 2020 2022
8 The Huntington 1411 E Huntington Dr, Duarte, CA 91010 The Richman Group 161 4 2019 2022
9 The Link 3909 San Fernando Rd, Glendale, CA 91204 Pacific Development Partners LLC 143 5 2017 2020
TOTAL 1,387 43 - -
1
2
6 7 3
8 4 5
9
1-MILE 3-MILE 5-MILE
2021 Population 44,061 158,191 481,315
2021 Households 17,624 62,199 191,651
2021 Average Household Size 2.5 2.5 2.5
Annual Growth 2021-2026 -0.2% -0.1% -0.1%
2021 Median Age 40 41.6 40.5
2021 Owner Occupied Households 3,874 24,541 68,529 2021 Renter Occupied Households 13,574 37,245 122,009 2021 Average Household Income $82,268 $106,178 $102,797 2021 Median Household Income $60,685 $79,633 $75,645
Businesses 2,879 10,851 27,629
$106,178
Average HH income within a 3-mile radius
68,529
Owner Occupied Housing within a 5-mile radius
122,009
Renter Occupied Housing within 5-mile radius
27,629
Businesses within a 5-mile radius
481,315
Population within a 5-mile radius
191,651
Households within a 5-mile radius
DEMOGRAPHICS BY RADIUS
21 Area Overview
rent roll
TENANT SF SF% PRO FORMA RENT PRO FORMA RENT/SF
VACANT 6,764 100% $20,292.00 $3.00
TOTAL 6,764 100% $20,292.00 $3.00
OPERATING EXPENSES PER YEAR PER SF
Property Taxes @1.25% $43,750 $6.47
Insurance $2,706 $0.40
Utilities $3,044 $0.45
Trash Removal $2,706 $0.40
Grounds $2,097 $0.31
Repairs & Maintenance $4,735 $0.70
Management $9,740 $1.44
Reserves $1,353 $0.20
TOTAL $70,130 $10.37 / $0.86
INCOME AND EXPENSE PRO FORMA
Scheduled Lease Income $243,504
NNN Charges $70,130
Effective Gross Income $313,634
Vacancy @5% $15,682
Expenses $70,130
Net Operating Income $227,822
pro forma operating data
PRICING
Address 800 S. San Fernando Boulevard Burbank, CA 91502
Price $3,500,000
Building Size 6,764 SF
Lot Size 9,981 SF
Price/SF (Building) $517
Price/SF (Land) $351
Pro Forma CAP Rate 6.51%
Current Occupancy Vacant
Parking 5 Spaces; Ratio of 0.75/1,000 SF
Year Built 1944
APN Number 2453-038-001
Zoning BUC4*
23 Financial Analysis
INVESTMENT ADVISORS Brandon Michaels
Senior Managing Director of Investments Senior Director, National Retail Group Tel: 818.212-2794
[email protected] CA License: 01434685
Matthew Luchs
First Vice President Investments COO of The Brandon Michaels Group Tel: 818.212.2727
[email protected] CA License: 01948233
Zachary Saloff Investments Associate National Retail Group Tel: 818.212.2810
[email protected] License #02123343
brandonmichaelsgroup.com
