SHOPS AT DYNAMITE CREEK
NWC Tatum & Dynamite
Cave Creek, AZ
|Price per SF||$200.70 SF|
|Cap Rate||5.78% Actual/8.29% Proforma|
The subject property is a high quality shopping center that was built in 1999. The center is value priced for a center of this quality and affluent neighborhood. The architecture and landscaping of this center are very nice. The buildings are configured in a curving “L” shape that wrap the corner and there is one freestanding pad building leased to Honor Health included. There is a Shell gas station and convenience store on the hard corner and a Chase Bank pad that are not included with this offering.
Ace Hardware just extended their lease for 10 years. Average tenancy is 8.8 years. 37% (SF) of the tenants have been in the center for 10 years or more. 45% of the tenants have been in the center for 5 years or more. Only 5% of the tenants have been there for less than a year. 51% of the leases (SF) do not expire for at least 5 years and 33% have 8 or more years left.
All vacant suites are second generation and are in good condition to minimize tenant improvement costs. A prime end-cap space facing Tatum that was previously a restaurant is one of the vacant suites. Sample photos of the vacant suites can be seen on the photo tour webpage.
Two centers very close by at Tatum & Cave Creek sold recently. The full one sold at a 6.6 cap and $321/SF. The one that was 59% leased sold for $216/SF. A vacant two-tenant building just to the north at Lone Mountain sold recently for $351/sf.
The parking ratio is 5.03 per 1,000. This generous amount of parking creates leasing flexibility for parking intensive tenants.
Please watch the drone video for a tour of this quality property.