OFFERING MEMORANDUM
Industrial Investment property in one of
America’s fastest growing Metro areas
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000
LEW MANGLOS, MBA, CCIM, SIOR
208 472 2841
lew.manglos@colliers.com
DEVIN OGDEN, MBA, CCIM, SIOR
208 472 1668
devin.ogden@colliers.com
3405 & 3409
ARTHUR STREET
Caldwell, Idaho
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.2
3405 & 3409 ARTHUR STREET
Property Overview
Highlights
» Storage yard
» Below market rents
» 1.1 miles from I-84 Karcher interchange
» Excellent location
Value
Sale Price: $1,500,000
Cap Rate:
Actual Proforma
3.86% 8.24%
Prole
Address: 3405 & 3409 Arthur St, Caldwell, ID
Building Size: ±12,000 SF, ±15,000 SF and ±2,112 SF
Land Size: 2.34 Acres
Parcel: R0277500000
Zoning: M-1
Construction: Metal
Doors:
3405: 5 — Grade Level
3409: 6 — Grade Level
3405 3409
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.3
3405 & 3409 ARTHUR STREET
Tenant Profiles
Hartung Glass Industries is one of
the fastest growing, most dynamic,
total service glass companies in North
America.
With tempering furnaces in multiple
locations, HGI has been providing
innovative solutions to Architects/
Designers, Glazing Contractors and
Glass Companies since 1924.
As an independent distributor, Electrical
Wholesale Supply works with reliable
manufacturers to oer you all types of
electrical supplies. You’ll nd products
that are well-made and competitively
priced.
With seventeen locations covering
Southern Idaho, Western Montana, and
Western Wyoming, there’s a trusted
branch near you.
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.4
3405 & 3409 ARTHUR STREET
Valuation
2019 Budget Proforma
Property Tax $15,005 $15,005
Property Insurance $1,933 $1,933
Landscaping $232 $232
Repairs & Maintenance $4,100 $4,305
Utilities $3,183 $3,342
Total Operating Expenses $24,453 $24,817
Actual Proforma
Annual Base Rent $76,059 $139,535
Expense Recovery $6,352 $15,965
Reserve (3%), Proforma
-
$(4,665)
Operating Expenses $(24,453) $(24,817)
Net Operating Income $57,958 $126,018
Cap Rate 3.86% 8.24% (3)
Building/
Suite
Tenant
Lease
Type
SF
Monthly
Rent
Rent/SF
Expense
Recovery
(Monthly)
Monthly
Rent
Rent/
SF
Expense
Recovery
(Monthly)
Lease
Expiration
Rent
Increases
Renewal Options
3405 Hartung Glass Industries
Modied
Gross
12,000 $4,250 $0.35 $109 $4,250 $0.35 $115 1/31/2023 None None (1), (2)
3409--A Electrical Wholesale Supply NNN 6,000 $2,088 $0.35 $420 $2,088 $0.35 $426 9/30/2023 None
One ve-year
option at $2297/
month
3409--B Vacant NNN 4,500 - - - $1,800 $0.40 $320 TBD - -
3409--D Vacant Warehouse NNN 4,500 - - - $1,800 $0.40 $320 TBD - -
Oce Vacant Oce NNN 2,112 - - - $1,690 $0.80 $150 TBD - -
Totals: 29,112 $6,338
$529 $11,628 $1,330
Rent Roll
Operating Expenses Valuation
Notes
(1) In addition to base rent, Tenant is responsible for utilities to its leased premises
(2) Assumes Tenant exercises current three-year option to renew
(3) Proforma cap rate includes assumed costs of $30,000 to renovate oce
Price Price/SF
$1,500,000 $52
PROFORMAACTUAL
PROFORMA
ACTUAL
PROFORMA2019 BUDGET
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.5
3405 & 3409 ARTHUR STREET
Survey/Site Plan
SURVEY SITE PLAN
Arthur Street
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.6
3405 & 3409 ARTHUR STREET
Location
SITE
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.7
3405 & 3409 ARTHUR STREET
Gallery
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.8
3405 & 3409 ARTHUR STREET
Demographics
*The Wall Street Journal reported in April 2018 that the median price of a single-family home in the Boise area has doubled from $147,000 in 2011 to $297,000 in 2018.
Site 1 Mile 3 Miles 5 Miles 10 Min Drive
POPULATION
2019 Estimated Population 7,490 58,888 84,392 66,501
2024 Projected Population 8,446 66,882 95,800 75,515
2010 Census Population 6,645 48,929 70,137 55,101
Projected Annual Growth ‘19-‘24 2.6% 2.7% 2.7% 2.7%
HOUSEHOLD
2019 Estimated Households 2,475 19,698 28,980 22,465
2024 Projected Households 2,685 21,403 31,438 24,393
2010 Census Households 2,122 15,968 23,444 18,143
Historical Annual Growth ‘00-‘19 1.8% 4.5% 4.6% 4.6%
INCOME
2019 Est. Average HH Income $45,724 $52,150 $55,869 $54,545
2019 Est. Median HH Income $42,745 $47,561 $49,413 $49,121
MISC.
2019 Median Home Value * $138,006 $163,427 $173,149 $169,927
2019 Median Rent $682 $727 $731 $733
2019 Est. Median Age 28.8 30.9 32.3 31.4
2019 Average Travel Time to Work 18.2 22.2 23 22.2
2019 Est. Labor Population Age 16+ 5,715 43,827 63,031 49,616
2019 Est. Total HH Expenditure $102.08 M $885.17 M $1.36 B $1.04 B
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.9
3405 & 3409 ARTHUR STREET
Area Overview — Caldwell
The City of Caldwell is the western edge of
Idaho’s largest metro area, Boise, where nearly
half of Idahoans reside. The area has established
a unique reputation for a high quality of life, a
prosperous business community, world re-known
recreation and a vibrant arts/culture/food scene.
Caldwell’s aordability and urban proximity
make it undeniably attractive for residents and
businesses alike.
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.10
3405 & 3409 ARTHUR STREET
Area Overview
Quality of Life
Referred to as the “Treasure Valley”, the region is home to about 675,000
people. The workforce of roughly 330,000, live within a 45-minute draw
area. Known for its extraordinary quality of life and aordable cost of living
(currently one of the lowest in the western states, according to the ACCRA
Cost of Living Index), the Valley is consistently ranked by Forbes, The Wall
Street Journal, Livability and Inc. Magazine as one of the best places in the
U.S. to live and work.
Commuting in the Valley
The major interstate serving the Treasure Valley is I-84, running through the
metro area’s major cities (Boise, Meridian, Nampa and Caldwell). Branching
o to the northeast is I-184, which runs into downtown Boise. Daily commutes
are easy, with several U.S. and state highways providing direct routes
and minimal trac. The average commute time is only 18 minutes. Public
transportation is handled by ValleyRide, Treasure Valley Transit and ACHD
Commuteride.
Recreation
The Boise River runs through downtown and is accessible through a
greenbelt system with over 25 miles of bike paths and 850 acres of parks.
Up in Foothills you’ll nd more than 135 miles of nationally acclaimed hiking
and mountain biking trails that extend from the city up to Bogus Basin Ski
Area. Only 17 miles from the city center Bogus Basin oers winter skiing
and summer adventure. With world-class golf courses, hiking, shing and
mountain biking, the recreation opportunities are virtually unlimited within a
30-minute drive.
Diversity
The City of Boise has been recognized for its work welcoming over 800
new citizens (refugees) each year from over 20 foreign countries. Annual
diversity events and resources include PRIDE activities, The Basque Cultural
Center, Hispanic Cultural Center and the Black History Museum. More than 90
dierent languages are spoken in the Boise School District and the Mexican
Consulate also has an oce in Boise.
What about logistics?
There are 50 motor freight
companies traveling 5
interstates, 20 U.S. highways
and 30 state highways that
serve the Boise Valley. More
than 1,600 miles of rail line
through Union Pacic and
Burlington Northern Santa Fe
provide connection points to
Canada, Mexico and the U.S.
They are aided by the state’s
regional line and 6 short line
railroads. Annually, the rail
system transports over 11
million tons of freight.
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000 | P.11
3405 & 3409 ARTHUR STREET
Area Overview
IDAHO TAX OVERVIEW
Sales and Use Tax in Idaho is 6%. This would apply to items
purchased or consumed in Idaho. Exemptions are available for
equipment and raw materials used directly in manufacturing,
processing, or fabrication; clean rooms used in semiconductor and
semiconductor equipment manufacturing; and any equipment or
material used in research and development activities.
We do not tax services including telecommunication services, and
utilities such as water, gas, electricity, or natural gas. In our region
we do not have any local option sales tax.
Property Tax personal (machinery/equipment) and real (land/
buildings) – based on market value.
2018 Average Rates:
Ada County: 1.1% - 1.8%
Bannock County: 0.8 - 1.2%
Bonneville County: 0.77%
Canyon County: 1.5% - 2.5%
Elmore County: 1.8%
Twin Falls Count: 0.82%
Idaho does not have an inventory tax.
Corporate Income Tax – Computed at 7.4% of the Idaho taxable
income of a corporation. Corporations that are taxable in Idaho
and another state or country or are part of a unitary group of
corporations, use a 3 factor formula to ascertain how much of the
business is conducted in Idaho. The apportionment formula is made
up of a property factor, a payroll factor, and a sales factor. These
three factors, with the sales factor being double weighted for all
taxpayers except for electrical and telephone companies, are totaled
and divided by 4 to compute the Idaho apportionment factor. The
Idaho apportionment factor is then applied to the business income of
the corporation to compute income assigned to Idaho. Non-business
income allocable to Idaho is added to the income apportioned to
Idaho to arrive at Idaho taxable income.
SALES &
USE TAX
6%
CORPORATE
INCOME TAX
7%
MINIMUM
WAGE
$7.25/hr
STATE UNEMPLOYMENT
INSURANCE RATE
1.91%
UNION MEMBERSHIP
(NAT’L AVG: 11.9%)
7.1%
PERSONAL INCOME TAX
RATE RANGE
Rate range on a bracketed
system based on income levels
1.6%-7.8%
#2 BEST
STATE
Property tax rate
(2013 Tax Foundation Study)
PROPERTY
EXEMPTION
First $100,000 of personal
property is exempt from taxation
right to work
IDAHO IS A
STATE
Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.colliers.com/idaho | 208 345 9000
This document has been prepared by Colliers International for advertising and general information only. Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not
limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, conditions and warranties
arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of Colliers International and/or its licensor(s). ©2019. All rights reserved
3405 & 3409
ARTHUR STREET
Caldwell, Idaho
LEW MANGLOS, MBA, CCIM, SIOR
208 472 2841
lew.manglos@colliers.com
DEVIN OGDEN, MBA, CCIM, SIOR
208 472 1668
devin.ogden@colliers.com