Royal Crossing

Investment Highlights

Irreplaceable Location With Significant Traffic Draw.

At 86% leased, Royal Crossing is located at the southeast corner of Interstate 75/Central Expressway and Royal Lane in Dallas at a very dense, infill retail location. Central Expressway and Royal Lane combined produces more than 322,000 cars per day that pass by Royal Crossing and drives tremendous traffic to the center. Royal Crossing’s visibility and access from both major thoroughfares is exceptional.

Significant Leasing And Rental Rate Upside Opportunity.

With leasing the vacant space at Royal Crossing, an investor can drive net operating income in the first year by more than 13%. Excluding Mattress Firm and Fuzzy's Taco Shop, there are no fixed renewal options at Royal Crossing. Each existing tenant at the center either has no renewal options or has ‘at market’ renewal options thereby allowing an investor to significantly drive rents upon lease expiration throughout the hold period.

Compelling Rent Growth Profile.

Over a 5 hold year period, the compound annual growth rate exceeds 5.1% based on organic rent growth and using conservative market lease rate assumptions to lease the existing vacancy. The average base rent in Royal Crossing is $23.67/square foot which is considered well-below market for a Class A shopping center at a high-profile, infill location. Base rents at this center can be increased considerably over time from existing rent levels to current market rent levels.

Significant National Credit Exposure.

Anchored by Mattress Firm, Royal Crossing generates more than 63% of its rental income from national credit tenants. Fuzzy’s Taco Shop has recently signed a new lease at Royal Crossing and anticipates being open for business by August 1, 2017.

Exceptional Demographic Profile.

Royal Crossing benefits from an extremely dense daytime population with more than 222,000 people within a 3-mile radius and more than 22,000 people within a 1-mile radius. Over 529,000 people live within a 5-mile radius of Royal Crossing with average household incomes exceeding $92,000.

Unencumbered Asset.

Royal Crossing is being delivered to the marketplace free and clear of any existing debt thus allowing an investor to take advantage of today’s aggressive lending environment.

Site Plan

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Demographics