Property Type: Retail
Address: 22840 Lakeshore Blvd.
Euclid, OH 44123
|CAP Rate: 9%|
Square Feet: 80,344
Tenancy Type: Mixed
The Cooper Commercial Investment Group has been exclusively retained by ownership to sell the 100% fee simple interest in the 80,344 S.F. grocery anchored, Lakeshore Plaza, located in Euclid, Ohio. Offered for a reduced price of $6,120,000, representing an attractive 9.00% CAP; an investor has the opportunity to acquire a grocery anchored, value-add asset in an extremely dense residential market. Priced at an exceptionally low sales price of $76/S.F. and high 14.35% projected year-1 cash-on-cash return, the property has significant upside potential through lease-up of the vacant space (17%), while still cash-flowing generously with recent renewals and executed leases.
The grocery anchored center is home to Marcís, who has strong sales and continues to target the value conscious family shopper for discount closeout and grocery items. Marcís has continued to grow since 1979 and now has over 60 stores throughout the Cleveland, Akron, Canton, Youngstown and Columbus markets. This Marcís location recently extended their lease early, which shows their commitment to the center and market it serves. Besides offering a diverse mix of other complimentary tenants, there is low risk of any significant tenant loss as Marcís, Chase Bank and Rent-A-Center have terms through 2022 and beyond.
The center also completed renovations in 2013 ($1.3 Million) creating an inviting appearance and modern curb appeal off Lakeshore Blvd., one of the cityís most traveled roadways. The plaza also received a newer roof with transferable warranty. The center has great visibility and frontage with a considerable amount of parking and is positioned at a corner with many access points. Traffic counts along Lakeshore Blvd. are approx. 31,000 VPD and the property is also positioned just 1-mile from I-90 with over 115,000 VPD. Additionally, the center is positioned in a strong, densely populated (138,660k people) middle to upper class area with average household incomes near $60,500 within 5-miles.
Lakeshore Plaza is home to several tenants that have been at the location for many years, along with some newer tenants that have found an ideal location being located in the neighborhood shopping corridor. A major attribute for tenants is the desirable location surrounded by an abundance of rooftops, along with its close proximity to the highway and several major employers. Euclid is home to the Lincoln Electric Company (2 miles), who is the cityís largest employer and boasts over 2,200 employees between the main plant and corporate headquarters. Additionally, Euclid is home to world renowned Cleveland Clinicís, Euclid Hospital (2 miles), a 371-bed hospital offering a complete continuum of care and is one of the region's leading sub-acute care, outpatient rehabilitation and orthopaedic centers. The city will also soon be home to a 650,000 S.F. Amazon Fulfillment Center (2 miles), which will add an additional 1,000+ employees to the area. Furthermore, the Euclid school district has over 2,100 students at the high school, which is located just 1.5 miles from Lakeshore Plaza. With the upgraded newer center, Marcís early extension, its location near major highway in an ideal community, the property gives an investor the opportunity to acquire an investment that is positioned to be a high-quality asset for many years to come.
Full Offering Memorandum