Alexander Valley Resort

Investment Opportunities


WINE COUNTRY OUTLETS AT THE ALEXANDER VALLEY RESORT

Wine Country Outlets
The Property and surrounding amenities

The Property consists of approximately 13 acres located in the City of Cloverdale, in Northern California‘s Sonoma County Wine Country. The proposed Outlet Mall is located on the corner of Asti Road and Santana Drive, is adjacent to and less than 20 yards from the North/South on and off ramps of California Interstate Highway 101 to the west and sits directly adjacent and north of the proposed Alexander Valley Resort project ("AVR"). The Property lies approximately 30 miles north of Santa Rosa and the Charles M. Schultz Regional Airport with connections to SFO, LAX and other major transportation hubs.

The adjacent AVR project is a 254 acre wine country resort consisting of an approximate 150 room hotel, 40 resort villas, an upscale restaurant, a full service spa, and business conference center. Included in the resort is an 18 hole-golf course with practice facilities, clubhouse, 130 home sites and a commercial wine tasting facility at the entrance to the resort. AVR has the unique status of being the only new golf/spa/hotel/resort/commercial/residential project that is fully entitled in either the Napa or Sonoma region of Northern California. (Visit the AVR website at alexandervalleyresort.com for additional details).

The Cloverdale municipal airport abuts the AVR project to the south and the North Coast Railroad line runs through the AVR property and connects Cloverdale with the major cities of Sonoma and Marin County to the south and ultimately to San Francisco just 80 miles away. Passenger rail service by the Sonoma Marin Area Rail Transit ("SMART") is anticipated to begin within the next 5 years. The Cloverdale railroad station is located just ¼ of a mile north of the Property.

The proposed Project is located in the Alexander Valley, one of Northern California’s most famous viticulture areas. In the immediate vicinity is some of the finest grape growing and wine making regions in the world. The Alexander Valley is flanked to the north by the Anderson Valley region, to the west by the Dry Creek Valley, to the east by the Knights Valley region and to the south by Chalk Hill and the famous Russian River Valley region. Within an hour radius of the Property are more than 20 American Viticulture Areas ("AVA’s") and more than 200 wineries and tasting rooms. Francis Ford Coppola’s newly opened winery, restaurant and family recreational facility is just ten minutes south of the Property and reflects a significant investment by the Coppola Family.

Approximately 500 yards north of the Property is a planned Indian gaming casino to be constructed on 75 acres of land. The proposed full service casino is planned to consist of an 80,000 square foot gaming lounge with about 2,000 slot machines, table games, restaurants, amphitheater, a 244 room hotel and large parking facility that will accommodate approximately 3,400 cars. The Tribe’s Environmental Impact Study estimates over 9,500 vehicle trips per day to their facility.

The Project

The planned Outlet Mall will consist of approximately 124,000 square feet of retail space and will include:

  1. Five (5) anchor tenant spaces ranging in size from 12,000 s.f. up to 30,000 s.f.
  2. Four (4) free standing pad locations ranging in size from 5,500 s.f. to 8,000 s.f. which may be divided into smaller increments of 1,200 to 1,500 s.f. and up.
  3. Seven (7) shop areas nestled in between the anchors with increments as small as 1,200 s.f. and up to 3,000 s.f.
  4. 495 parking stalls for a ratio of 4 cars per 1,000 s.f. of store space.
  5. The Project traffic analysis estimates 3,300 vehicle trips per day to the center.

Demographics

Sonoma County has a diverse economy with high-tech, retail and manufacturing playing a major roll, but the underlying strength of the County is based on the upscale wine and tourism industry. The demographics regarding growth in this segment will continue to be driven by the affluent nature of the near by SF/By Area, boomers retiring with significant disposable wealth and, the growing demand for wine and the wine based leisure activities and tourism.

Population 2008 est. ........................... 483,751
Households 2008 est. ........................ 182,041
Med Household Income: .................... $68,962
Average Age: .......................................... 39.1

Over $1 billion is spent in Sonoma County by visitors each year ($2.78 million a day) In 2006, total taxable sales in Sonoma County were nearly $7.9 billion and retail sales made up 70% of that total.

Cloverdale is a quaint community in northern Sonoma County with small town charm. It was recently voted second place in Budget Travels "Coolest Small Town" competition. Cloverdale has a diverse population and a diverse business atmosphere. It is a gateway to the Mendocino coast and the Redwood Empire to the north. The city proper covers 2.7 square miles and is surrounded by oak-studded rolling hills, outstanding recreational opportunities, wineries, vineyards and small farms.

Cloverdale statistics are as follows:

  5 miles 10 miles 20 miles
Population 2009 est. 11,032 13,521 86,383
Population 2014 projected... 12,082 14,512 90,903
Avg. Household Inc. 2009... $69,863 $74,926 $77,354
# of Households 2009 est. 3,989 4,822 31,717
# of Households 2014 proj. 4,339 5,158  

Highway 101 Annual Average Daily Traffic Counts (2009) .......... 38,800
(Taken from Caltrans north/south and south/north calculations)

Cloverdale has a business friendly city council and a city manager form of government with a proactive Chamber of Commerce and an engaged community in order to achieve its goals of well-planned growth and significant economic development.

The Competition

There are three competing outlet malls in the area. Each one has been established for several years and are developed and managed by reputable companies. These malls are tenanted by national and regional retailers known commonly to a wide range of the population. These competing malls are:

Premium Outlets Petaluma, CA 46 miles south of the Project
Napa Premium Outlets Napa, CA 73 miles south/east of the Project
Vacaville Premium Outlets Vacaville, CA 105 miles east of the Project

It is the intent of the developer to compliment these malls with tenancies in the Project that do not duplicate the tenancy of these competing malls.

WCO Site Plan

 

 

WCO @ AVR Site Plan