Offering.Memorandum

COLFAX, CA

Buzz Thru Joe's & TJ'sRoadhouse

OFFERING MEMORANDUM

CONFIDENTIALITY AND DISCLAIMER

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB's or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

COLFAX, CA

Buzz Thru Joe's & TJ's Roadhouse

Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOUR

MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

NON-ENDORSEMENT NOTICE

Section 1 PRICING AND FINANCIAL ANALYSIS

Section 2 PROPERTY DESCRIPTION

TABLE OF CONTENTS

Buzz Thru Joe's & TJ's RoadhouseCOLFAX, CA


PRICING AND FINANCIAL ANALYSIS

Price $820,000

Down Payment 100% $820,000

Price per Square Foot (GLA) $113.89

Gross Leasable Area (GLA) 7,200

Year Built 1960

Lot Size 0.3 Acres

VITAL DATA

CAP Rate - Current 8.52%

Net Operating Income - Current $69,838

Total Return - Current 8.52% / $69,838

1

Comments

Buyer needs to measure the exact size of the lot during their

due diligence process.

Major Tenants


Tenant Name

Buzz Thru Joe's

TJ's Roadhouse Restaurant

Sierra Business Services

Hair and Nail Salon


Major Employers

CompanyLocal

Employees

Forestry and Fire Protection 104

Bear River High School 95

Colfax High School 85

Pioneer High School 80

Weimar Center Health & Education 75

Tully-Wihr Co 70

Fox Barrel Cider Company Inc 50

Winner Chevrolet Inc 50

Weimar Hills Middle School 45

Winner Chevrolet 44

Colfax Elementary School 42

Iowa Hill Elementary School 42

Demographics

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as tothe accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for anyinaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 V0400147 Marcus &Millichap. All rights reserved.

1-Mile 3-Miles 5-Miles

2013 Total 2,086 6,162 12,349

2018 Total 2,281 6,690 13,201

2013 Total 912 2,489 4,955

2018 Total 1,009 2,734 5,366

Median HH Income $63,833 $62,300 $64,829

Per Capita Income $35,948 $32,775 $33,654

Average (Mean) HH $82,093 $80,989 $83,524

OFFERING SUMMARY

2



Existing Financing

Loan Amount $320,000

Loan Type Seller

Interest Rate 6.000%

Amortization 24 Years

Due Date 12/31/2015

Lender Name Private Lender


FINANCING

3



No Data Available


Current Per SF

Real Estate Taxes $5,051 $0.70

Insurance $2,446 $0.34

Payroll Expense $1,248 $0.17

Professional Fees $225 $0.03

Total Repairs $4,778 $0.66

CAM

Utilities $10,593 $1.47

TOTAL CAM $10,593 $1.47

TOTAL EXPENSES $24,341 $3.38

Tenants (% OF GLA)

EXPENSES

4

Tenant Name: Buzz Thru Joe's

Lease Commencement: Month-to-Month

Lease Expiration: Month-to-Month

Gross Leasable Area (GLA): 1,200

Pro-Rate Share of Project: 17%


This is an independently owned and family-operated coffee shop that offers breakfast and lunch. The store also has a

drive-through facility and business is thriving despite being located very close to a Starbucks outlet and a McDonald's

outlet. The shop is a favorite amongst the locals and caters to the freeway travelers as well.

The tenant pays for PG&E, propane, water, sewer and garbage charges.


Lease Summary

Lease Years Annual Rent Monthly Rent Monthly Rent/SF

Month to Month $16,800.00 $1,400 $1.17

Base Rent


TENANT & LEASE SUMMARY

Tenant Name: TJ's Roadhouse Restaurant

Lease Commencement: 07/01/2011

Lease Expiration: 02/28/2016


Original Term: 5 Years


This is a family-owned and operated restaurant that offers breakfast, lunch and dinner. It is frequented by both local

residents and freeway travelers. They have a website at www.tjscolfax.com.

The tenant pays for PG&E, propane, water and garbage.

Lease Summary


5 Years $53,040.00 $4,420 $1.38

Base Rent

5





Tenant Name: Sierra Business Services

Lease Commencement: Month to Month

Lease Expiration: Month to Month

Gross Leasable Area (GLA): 600


The tenant occupies one space in the lower level of the building. They provide professional business services to clients

like tax preparation.

The landlord pays for all utilities.

Lease Summary


Month to Month $7,920.00 $650 $1.08

Base Rent

6





Tenant Name: Hair and Nail Salon

Lease Commencement: 01/01/2014

Lease Expiration: 01/01/2015

Gross Leasable Area (GLA): 600

Pro Rate Share of Project: 8%

The space has been leased to a hair and nail salon.

The landlord pays for all utilities.

Lease Summary


1 Year $7,800.00 $650 $1.08

Base Rent

7





Tenant Name: Vacant Space



The space is currently vacant. It was being occupied by the owner previously and was used as an office. It is being

advertised for rent at $1,150 per month.

8





9

504 & 520 South Auburn Street

Colfax, CA 95713

Price $820,000

Down Payment 100% $820,000

Gross Leasable Area (GLA) 7,200

Price/SF $113.89

CAP Rate - Current 8.52%

Lot Size 0.3 Acres

Year Built 1960


Annualized Operating Data


Income Current

Other Income $94,179

Gross Potential Income $94,179

Effective Gross Income $94,179

Total Expenses $24,341

Net Operating Income $69,838

Total Return 8.52% / $69,838

Location


ExpensesReal Estate Taxes $5,051

Insurance $2,446

Payroll Expense $1,248

Professional Fees $225

Total Repairs $4,778

CAM

Utilities $10,593

TOTAL CAM $10,593

TOTAL EXPENSES $24,341

EXPENSES/SF $3.38

FINANCIAL OVERVIEW


PROPERTY DESCRIPTION

The property was originally one parcel of 1.5 acres that housed a motel, motel owner's quarters, a two-story mixed-use building and a stand-alone building that was originally a gas station. The current owners recently subdivided the parcel into three separate parcels and sold the motel. They are now offering the two remaining parcels and the two buildings for sale.

One building has two stories. The upper level is 3,200 square feet and houses a full-service restaurant. The lower level is 2,600 square feet and is split into three rentable spaces, one of which is currently vacant and would be ideal for an office space. The second space houses a hair and nail salon and the third spaces houses a professional office that is a long-term tenant.

The second building houses a coffee shop. The site was originally a gas station but the gas tanks have been pulled out. The site had contamination but the California Water Board's Central Valley Regional Water Quality Control Board has issued a NO FURTHER ACTION REQUIRED letter dated December 4, 2013 (reference case # 310201).

The subject property is located in historic Colfax, a city in Placer County, California at the crossroads of Interstate 80 and State Route 174. It is part of the Sacramento–Arden-Arcade–Roseville Metropolitan Statistical Area. The population was 1,963 at the 2010 census. Some of the town's notable features include the newly restored train depot (which houses the Colfax Museum and Chamber of Commerce), the downtown shops on Main Street and Colfax High School, which serves a large surrounding area.

Investment Highlights

■ Two Stable Tenants

■ Great Location off of Interstate 80

■ 1,400-Square Foot Office Space Available For Rent

■ Prominent Signage Visible From Interstate 80

■ Ample Parking

■ Coffee Shop Tenant has Drive-Through Facility

11




INVESTMENT OVERVIEW

The Offering

Property Buzz Thru Joe's & TJ's Roadhouse

Property Address 504 & 520 South Auburn Street

Colfax, CA 95713

Site Description

Year Built 1960

Gross Leasable Area (GLA) 7,200 SF

Lot Size 0.3 Acres

Type of Ownership Partnership Interest

12




PROPERTY SUMMARY

13




PROPERTY PHOTOS

14




PROPERTY PHOTOS

15




PROPERTY PHOTOS

16




PROPERTY PHOTOS

17




PROPERTY PHOTOS

18




AREA MAPS

Local Map Regional Map

19




AERIAL PHOTO

COLFAX, CA

OFFERING MEMORANDUM

Buzz Thru Joe's & TJ'sRoadhouse

Offices Throughout the U.S and Canada

www.MarcusMillichap.com

Presented By:

Kent WilliamsBroker

Marcus & Millichap, San DiegoLicense: CA: 00823860

Tel: (858)373-3100Fax: (858)373-3110

Offering.Memorandum

Documents

joes tjs roadhousecolfax

subject property

yourmarcus millichap

financial condition

property andimprovements

property showings

property description

disclaimerthe information