Property

Discovery Plaza Sacramento, CA

Property
Type
Retail
Investment Type
Property
Asset Profile
Core Plus
Min. Investment
$50K
Estimated Hold
5-7Y
Target Return (IRR)
16%
Target Annual Cash
10%
Target Equity Multiple
2.38x
This deal is oversubscribed
 

Offered By

U.S. Realty Partners, Inc. Experienced Sponsor

Westlake Village, CA

Login or Register to See More Details

Available to Registered Users

  • Get to know the sponsor behind the offering with key information
  • See an overview of their experience and success
  • Understand their investment strategies
  • Easy access to contact the sponsor directly to learn more
Assets Under
Management

Currently
$300MM
Exited
$20MM
Portfolio LTV
65%
Historical
Realized Returns

Total IRR
18.2%
Equity Multiple
2.2x
Annual Cash
10%
Years Of
Experience

As Principals
20+ years
In Business
5 years
Size
6 Staff
* All information is reported by U.S. Realty Partners, Inc. as of 6/21/2017.
 

About this Property

U.S. Realty Partners and Compass Acquisition Partners are seeking investors to co-invest in the Discovery Plaza located at 1500 West El Camino Avenue, Sacramento, California. The property was built in 1980 and consists of approximately 90,049 square feet of leasable area situated on approximately 8.84 acres of ground leased land. It is a dominant shopping center in the trade area and is anchored by Bel Air Supermarket, Wells Fargo Bank, Taco Bell, Dominos, UPS Store, Bank of America (NAP) and Starbucks. Bel Air Supermarket is owned by the regionally dominant Raley’s supermarket chain which was founded in 1935 and currently has 122 stores, $3B+ in revenue, 12,000 employees and a 25%+ share of the grocery market in Sacramento County, California.

This is a stable cash flowing shopping center with built in rent increases. Over 64% of the tenant roster is comprised of national and regional high quality daily needs, restaurant and service oriented tenants that have a high level of resistance to internet competition. The Company is purchasing the property based solely on in-place income. Approximately 60% of the tenants have been at the property for at least 10 years and many have leases at less than current market rents.

Read more Read less

Key Points

  • Grocery anchored center with high performance Bel Air supermarket. Sales per week are approximately 35% higher than the national average. Sales are over $600 per square foot.
  • Dense day and evening population. This “daily needs oriented” shopping center caters to a population of more than 130,000 people within 3-miles with average household income of over $75,500. Tenant mix is well insulated from internet retailer competition.
  • Favorable long term (10 year) fixed rate financing at approximately 4.4% with 3 years of interest only payments.
  • Highly visible location at major intersection. Very strong daily traffic counts of over 32,000 cars per day
  • Long term tenancy. 15 of the tenants have operated at the property for over 15 years.
  • Long term ground lease with term until June 2090 allows for favorable investor tax treatment. Entire investment is depreciable under current tax laws.
  • Favorable purchase price is based on a +/- 7.7% cap rate (before transaction costs) on in-place income.
 

Financials

Login or Register to View Financials

Available to Accredited Investors:

  • Get an overview of important financial details to make a smarter investment
  • Analyze the financial pro forma to see how projected returns are distributed over time
  • Review source and uses and other important details
 

Location Details

Sacramento, CA

Discovery Plaza receives a tremendous amount of exposure as it is strategically located at the intersection of W. El Camino Avenue and Truxel Road. Traffic counts exceed 17,800 cars per day on El Camino Avenue and more than 14,500 cars per day on Truxel Road. Additionally, the property is surrounded by a dense population of more than 130,000 people within the 3-mile trade area and average household incomes over $70,500. The center features excellent frontage and visibility to both W. El Camino Avenue and Truxel Road.

Read more Read less
 

Documents

Login or Register to View Documents

Available to Accredited Investors:

  • View, download, and print the offering PPM (Private Placement Memorandum)
  • View, download, and print the detailed financial projections
  • Access all of the important documents for this offering in one place
 

Frequently Asked Questions

Below are some of the most frequently asked questions about this offering.

The first projected distribution is scheduled for November 2017.

Distributions are scheduled to go out on a monthly basis via ACH direct deposit.

No, this offering is only available to US residents.

RealCrowd is free for investors. RealCrowd charges a technology access fee to the operating partner for our services. We do not charge investors any upfront fees, ongoing asset management fees or promote/carried interest in the investments.

RealCrowd offerings are open to US-based accredited investors. RealCrowd does not recommend or advise on any offering on our platform. While we have minimum history and experience threshold for sponsors who post on our platform, if you are unable to perform your own due diligence, please consult with an attorney or financial advisor prior to making an investment.

RealCrowd is a marketplace that connects investors with qualified sponsors. We strive for transparency and impartiality. For this reason, we do not participate in any offerings on our site.

Have a Question?

Send U.S. Realty Partners, Inc. and/or RealCrowd a message. If you have a question about this offering ask U.S. Realty Partners, Inc.. If you have a question about the transaction process or other general inquiry, RealCrowd will be happy to help.

We'll get back to you soon!

In the meantime, you can create an account to view detailed information about Discovery Plaza.

In the meantime, please review the offering documents and financials.

Access passive income deals and become a better investor today with our free eight day educational email series.

Free e-book "Commercial Real Estate 101" for signing up.