Investment Highlights
Master Planned Community / Extremely High Barriers to Entry in the Trade Area
100% Occupied | Shops At Plaza Empresa Features Small Users Which Cater To the Needs of the Community
Long-Term Tenant Operating Histories with a 12 Year Weighted Average Operating History With Only Seven Tenants
Health/Wellness and Food Users Comprise 95% of the Income Stream
Growing Income Stream with All Leases Having Annual Rent Increases with either No Options or FMV Options to Renew
Ideally Located Near Many Corporate Offices, Business Park, Residential & Schools
Executive Summary
Faris Lee Investments is pleased to offer a rare opportunity to purchase a portion of the Plaza Empresa Commercial Center in the affluent South County Orange County city of Rancho Santa Margarita. The offering is an ease of management NNN leased investment with seven tenants.The 100% occupancy enables an investor to benefit from immediate cash flow without the need for near term leasing. The strategic uses feature 95% of the income stream leased to health/wellness and food uses which continue to be high growth uses within retail properties. The tenants within the center are smaller users which serve the local community well. The weighted average occupancy is over 12 years demonstrating the success of the tenants and the needs their services meet within the local community. Additionally, the offering features annual rent increases for all tenants providing a growing income stream and potential value appreciation in the future. The leases provide the investor considerable flexibility in increasing rents in the future as the leases either have no option to renew or options at fair market value.Rancho Santa Margarita is a master planned community having extremely high barriers to entry. The master planned design helps to support the existing properties by strictly limiting future development which prevents future competition and helps to ensure higher rental rates in the future. This center of town location is located between two major thoroughfares within the trade area ? Santa Margarita Parkway (?56,000 VPD) and Antonio Parkway (?27,700 VPD). With the immediate trade area featuring residents having strong discretionary income (AHHI of $155,000), the tenants benefit from strong support from the community.
