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Child Care

Tutor Time

8305 14 Mile Rd, Sterling Heights, MI 48312

Listing Price: $2,495,000

Cap Rate
7.50%
Tenant Name
Tutor Time
Years Remaining On Lease
3.9
Guarantor
Corporate Guarantee
Rentable SF
10,710
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$17.49

Investment Overview

Marcus & Millichap is pleased to present Tutor Time, located in Sterling Heights, Michigan. Tutor Time is one of the nation's leading Child Care and Learning Center establishments, with nearly 200 locations across 17 states. Tutor Time is wholly owned by parent company Learning Care Group, Inc, who operates 11 childcare brands, spanning over 1,050 locations, 20,000 employees, and has an annual enrollment count of over 156,000 students. Tutor Time comes with a corporate guaranty by Tutor Time Learning Centers, LLC, and is headquartered in Novi, Michigan, just 30-miles from the Sterling Heights. The subject property is a long-standing build-to-suit location, which was constructed in 2000. The subject property measures 10,710 square-feet and is situated on an oversized parcel measuring 1.744 acres. As a catalyst to this build-to-suit, Tutor Time signed an initial 20-year lease which ran until 12/31/2021. In 2021, Tutor Time showed commitment and success at the site via extending their lease for an additional five years, which now runs until 12/31/2026, with two five year options remaining. During the current term, annual rent is increases by 2.0 percent year-over-year, and both options have year-over-year rental bumps as well which hedges against inflation. Tutor Time is bound by a landlord favorable modified triple-net lease and is responsible for all operating expenses which includes Tax, CAM and Insurance expenses. Ownership benefits from a prominent and well-backed brand, favorable lease structure, top-quality construction, and true irreplaceable real estate. The subject property is located in Sterling Heights, which is part of the Detroit MSA. Detroit is ranked as the 14th largest MSA in the nation and is home to over 4.39 million people. Tutor Time is located near the hard-corner of 14-Mile and Van Dyke Ave, which combine to see over 70,900 vehicles per day. The subject property benefits from being immediately surrounded by dense residential neighborhoods, a top-tier retail corridor including major traffic drivers such as Walmart, Meijer, Menards, and most importantly the thriving daytime workforce. Sterling Heights and adjacent neighboring towns such as Warren are home to some of Detroit and Macomb’s most crucial industrial and manufacturing users, which amplify daytime population and the need for nearby childcare options. The nearby labor force exceeds 400,000, and includes renowned companies such as General Motors, Chrysler Group, Stellantis, Ford Motor, General Dynamics Land Systems, Amazon, KUKA and Faurecia North America. This Tutor Time location is the closest to all of the plants and offers both permanent residents and the nearby workforce one of the most convenient childcare options. Immediate permanent demographics are dense and mature with population counts of 6,977 within one mile, 105,460 within three miles and 294,043 within five miles.

Investment Highlights

  • Tutor Time | Sterling Heights, Michigan | Detroit MSA with Total Population Over 4.39 Million People
  • One of the Nation's Premier Child Care Brands | Over 200 Locations Across 17 States | Corporate Guaranty
  • Wholly Owned Subsidiary of the Learning Care Group, Inc | Owns and Operates Over 1,050 Locations Across Nation | Annual Enrollment Exceeding 156,000 | Over 20,000 Employees
  • Mission Critical Location for Tutor Time and Learning Care Group, Inc | Surrounded by Dense Residential Neighborhoods and Daytime Workforce | Major Need for Child Care Options
  • Hedge Against Inflation with 2.0 Percent Annual Bumps in Current Term | 5.0 Percent Bump Going into Year One of both Options and 1.50 Percent Annual Bumps In-Between | Two Five Year Options Remaining
  • True Irreplaceable Real Estate | Directly Off Hard Corner Seeing Over 70,900 Vehicles Per Day | Located at Junction of Residential, Industrial and Retail Hubs
  • Immediately Surrounded by Detroit and Macomb's Most Crucial Industrial and Manufacturing Users such as General Motors, Chrysler Group, Stellantis, Ford Motor, General Dynamics Land Systems, Amazon, KUKA and Faurecia North America | Macomb County's Labor Force Exceeds 400,000 Workers | Lack of Child Care Options Nearby
  • Commitment and Success at Site | Recently Renewed for Five Years through 12/31/2026 | Build to Suit Location for Tutor Time back in 2000

Exclusively Listed By

Broker of Record

  • Steven Chaben

    Senior Vice President / Regional Manager

    (248) 415-2600

    License(s) MI: 6502387903

    Michigan

Financing By

Listing Price: $2,495,000

Cap Rate
7.50%
Tenant Name
Tutor Time
Years Remaining On Lease
3.9
Guarantor
Corporate Guarantee
Rentable SF
10,710
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$17.49

Investment Highlights

  • Tutor Time | Sterling Heights, Michigan | Detroit MSA with Total Population Over 4.39 Million People
  • One of the Nation's Premier Child Care Brands | Over 200 Locations Across 17 States | Corporate Guaranty
  • Wholly Owned Subsidiary of the Learning Care Group, Inc | Owns and Operates Over 1,050 Locations Across Nation | Annual Enrollment Exceeding 156,000 | Over 20,000 Employees
  • Mission Critical Location for Tutor Time and Learning Care Group, Inc | Surrounded by Dense Residential Neighborhoods and Daytime Workforce | Major Need for Child Care Options
  • Hedge Against Inflation with 2.0 Percent Annual Bumps in Current Term | 5.0 Percent Bump Going into Year One of both Options and 1.50 Percent Annual Bumps In-Between | Two Five Year Options Remaining
  • True Irreplaceable Real Estate | Directly Off Hard Corner Seeing Over 70,900 Vehicles Per Day | Located at Junction of Residential, Industrial and Retail Hubs
  • Immediately Surrounded by Detroit and Macomb's Most Crucial Industrial and Manufacturing Users such as General Motors, Chrysler Group, Stellantis, Ford Motor, General Dynamics Land Systems, Amazon, KUKA and Faurecia North America | Macomb County's Labor Force Exceeds 400,000 Workers | Lack of Child Care Options Nearby
  • Commitment and Success at Site | Recently Renewed for Five Years through 12/31/2026 | Build to Suit Location for Tutor Time back in 2000

Investment Overview

Marcus & Millichap is pleased to present Tutor Time, located in Sterling Heights, Michigan. Tutor Time is one of the nation's leading Child Care and Learning Center establishments, with nearly 200 locations across 17 states. Tutor Time is wholly owned by parent company Learning Care Group, Inc, who operates 11 childcare brands, spanning over 1,050 locations, 20,000 employees, and has an annual enrollment count of over 156,000 students. Tutor Time comes with a corporate guaranty by Tutor Time Learning Centers, LLC, and is headquartered in Novi, Michigan, just 30-miles from the Sterling Heights. The subject property is a long-standing build-to-suit location, which was constructed in 2000. The subject property measures 10,710 square-feet and is situated on an oversized parcel measuring 1.744 acres. As a catalyst to this build-to-suit, Tutor Time signed an initial 20-year lease which ran until 12/31/2021. In 2021, Tutor Time showed commitment and success at the site via extending their lease for an additional five years, which now runs until 12/31/2026, with two five year options remaining. During the current term, annual rent is increases by 2.0 percent year-over-year, and both options have year-over-year rental bumps as well which hedges against inflation. Tutor Time is bound by a landlord favorable modified triple-net lease and is responsible for all operating expenses which includes Tax, CAM and Insurance expenses. Ownership benefits from a prominent and well-backed brand, favorable lease structure, top-quality construction, and true irreplaceable real estate. The subject property is located in Sterling Heights, which is part of the Detroit MSA. Detroit is ranked as the 14th largest MSA in the nation and is home to over 4.39 million people. Tutor Time is located near the hard-corner of 14-Mile and Van Dyke Ave, which combine to see over 70,900 vehicles per day. The subject property benefits from being immediately surrounded by dense residential neighborhoods, a top-tier retail corridor including major traffic drivers such as Walmart, Meijer, Menards, and most importantly the thriving daytime workforce. Sterling Heights and adjacent neighboring towns such as Warren are home to some of Detroit and Macomb’s most crucial industrial and manufacturing users, which amplify daytime population and the need for nearby childcare options. The nearby labor force exceeds 400,000, and includes renowned companies such as General Motors, Chrysler Group, Stellantis, Ford Motor, General Dynamics Land Systems, Amazon, KUKA and Faurecia North America. This Tutor Time location is the closest to all of the plants and offers both permanent residents and the nearby workforce one of the most convenient childcare options. Immediate permanent demographics are dense and mature with population counts of 6,977 within one mile, 105,460 within three miles and 294,043 within five miles.

Exclusively Listed By

Broker of Record

  • Steven Chaben

    Senior Vice President / Regional Manager

    (248) 415-2600

    License(s): MI: 6502387903

    Michigan

Financing By

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