Shopping Neighborhood

Challenger Plaza

803 E Nasa Pkwy, Webster, TX 77598

Listing Price: $13,460,000

Cap Rate
7.51%
Gross SF
75,600
Rentable SF
75,600
Price/Gross SF
$178.04
Lot Size
6.44 acres
Year Built
1984

Investment Overview

Marcus & Millichap is pleased to offer the opportunity to acquire Challenger Plaza, a value-add Neighborhood Shopping Center located in the Clear Lake City market of Houston, TX. Challenger Plaza is currently 87 percent occupied, providing upside potential in leasing the vacant space. Tenants consist of IHOP (Corporate Guarantee), Infinite Eats, Rowdy's Western Bar & Dance Hall (18 Years as a Western Bar at current location), Interfaith Caring Ministries, Texas All Smiles, and many other service-oriented tenants. All existing leases are triple-net and each tenant is responsible for HVAC. Constructed in 1984, the subject property consists of two buildings (Left Wing & Right Wing) extensively renovated in 2007 and 2013 situated on 6.43 acres.

Challenger Plaza features a concrete block exterior with Stucco and stone facade and all new storefront glass. The parking lot is concrete and both roofs were replaced in 2007 and 2008 respectively. There are 485 existing parking spaces in front of the buildings and a parking ratio of 6.41/1,000 square feet. There are 21 tenant spaces that range in size from 730 SF to 13,605 SF.

There are three vacancies consisting of mostly smaller spaces ranging from 2,100 SF to 5,270 SF. The property is offered at a 7.5 percent CAP rate on actual numbers with significant upside yielding well over an 8.6 percent CAP rate at stabilization on a Pro Forma basis.

Investment Highlights

  • Value-Add Investment Opportunity I All NNN Leases With Staggered Lease Terms
  • 75,600-Square Foot Neighborhood Shopping Center I Currently 87% Occupied
  • IHOP (Corporate Guarantee) I Long Term Tenant Since 1993 I Excellent Store Sales
  • Located on Busy Nasa Road One (Nasa Parkway) I Traffic Counts Over 50,000 VPD
  • Comprised of Two Buildings Situated On 6.43 Acres I Five Ingress/Egress Points
  • Adjacent to Falls at Clear Lake-400 Unit Apartment Complex

Exclusively Listed By

Shopping Neighborhood

Challenger Plaza

Listing Price: $13,460,000

Cap Rate
7.51%
Gross SF
75,600
Rentable SF
75,600
Price/Gross SF
$178.04
Lot Size
6.44 acres
Year Built
1984

Investment Highlights

  • Value-Add Investment Opportunity I All NNN Leases With Staggered Lease Terms
  • 75,600-Square Foot Neighborhood Shopping Center I Currently 87% Occupied
  • IHOP (Corporate Guarantee) I Long Term Tenant Since 1993 I Excellent Store Sales
  • Located on Busy Nasa Road One (Nasa Parkway) I Traffic Counts Over 50,000 VPD
  • Comprised of Two Buildings Situated On 6.43 Acres I Five Ingress/Egress Points
  • Adjacent to Falls at Clear Lake-400 Unit Apartment Complex

Investment Overview

Marcus & Millichap is pleased to offer the opportunity to acquire Challenger Plaza, a value-add Neighborhood Shopping Center located in the Clear Lake City market of Houston, TX. Challenger Plaza is currently 87 percent occupied, providing upside potential in leasing the vacant space. Tenants consist of IHOP (Corporate Guarantee), Infinite Eats, Rowdy's Western Bar & Dance Hall (18 Years as a Western Bar at current location), Interfaith Caring Ministries, Texas All Smiles, and many other service-oriented tenants. All existing leases are triple-net and each tenant is responsible for HVAC. Constructed in 1984, the subject property consists of two buildings (Left Wing & Right Wing) extensively renovated in 2007 and 2013 situated on 6.43 acres.

Challenger Plaza features a concrete block exterior with Stucco and stone facade and all new storefront glass. The parking lot is concrete and both roofs were replaced in 2007 and 2008 respectively. There are 485 existing parking spaces in front of the buildings and a parking ratio of 6.41/1,000 square feet. There are 21 tenant spaces that range in size from 730 SF to 13,605 SF.

There are three vacancies consisting of mostly smaller spaces ranging from 2,100 SF to 5,270 SF. The property is offered at a 7.5 percent CAP rate on actual numbers with significant upside yielding well over an 8.6 percent CAP rate at stabilization on a Pro Forma basis.

Exclusively Listed By

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