Investment Highlights

Very Attractive Value-Add Investment Opportunity in Booming Austin, Texas MSA.

Republic Square is currently 93.8% leased with 113,772 square feet of prime retail space located at the northeast corner of Interstate 35 and Williams Drive with additional frontage along N. Austin Ave/Hwy. 158. Anchored by Harbor Freight and Dollar Tree, Republic Square consists of a strong mix of 34 existing national, regional and local retailers and restaurants including Chipotle, Starbucks, One Main Financial, Sola Salon Suites and many others. Two potential arbitrage opportunities exist which could further enhance investor returns: Starbucks and Pizza Hut outparcels could be separately parceled and sold at materially lower cap rates.

Popular, Infill Neighborhood Shopping Center with Tremendous Highway Frontage and Access.

Republic Square is a very well established and popular neighborhood shopping center that is bound by three (3) high-traffic thoroughfares with more than 182,800 vehicles passing by the center daily. There are five perimeter access points and three large multi-tenant signs that provide ease of customer shopping and circulation throughout the center. Republic Square directly benefits from nearby Georgetown High School (2000+ students) and St. David’s Georgetown Hospital (114-bed facility) as well as significant new single-family residential development activity east of I-35 towards the SH-130 Toll Road. A sixth access point has been installed by TXDOT at the northwest corner of the shopping center proximal to I-35, and this curb cut will allow ingress/egress from the shopping center directly to the newly widened I-35 frontage road. At this same approximate location, a large 35-foot multi-tenant pylon sign facing I-35 has been installed by Republic Square’s ownership.

Cash Flow Stability with Strong Rental Growth & Below-Market Rents.

Dollar Tree and Harbor Freight recently extended their leases early for additional ten (10) year terms at higher rents. Dollar Tree’s lease expires January 31, 2036 and Harbor Freight’s lease expires October 31, 2035. The average base rent for tenants at Republic Square is $20.30 per square foot which is considered well below market. In the immediate submarket, base rents for competing centers typically average $28-$38/SF (for comparable space and size) thereby creating a significant opportunity to materially increase rents. Approximately 71% of tenants at Republic Square either have no existing renewal options or can renew at Future Market Value. Over a 10-year hold period, the compound annual growth rate (CAGR) is 4.18% which does not include the potential monetization of the Starbucks and Pizza Hut outparcels.

Exceptional Demographic Profile with Strong Daytime Population and Compelling Placer.ai Data.

Within a 1 & 3 mile radius of Republic Square, Average Household Income is $131,285 and $127,624, respectively. while population includes 7,805 residents and 47,837 residents, respectively. Within a 5-mile radius, population includes 88,930 residents with average household incomes of $137,568. Within a 3-mile radius, annual population growth rate of 3.25% is projected from 2024-2029 with average household incomes growing almost 2.5% annually. According to Placer.ai, Dollar Tree is in the top 5% of most visited Dollar Tree stores in the United States (6,400+ stores). Starbucks, Chipotle and Pizza Hut also have high percentile rankings at Republic Square per Placer.ai. More than 1.8 million shopper visits occur annually at Republic Square according to Placer.ai.