Absolute NNN Land Lease Chicago MSA

New Construction Convenience Store & Fuel Center

Annual Rent $198,000 No Landlord Responsibilities Tenant pays all taxes, maintenance & insurance on the leased premises

Pre-Listing Offer Price: $3,775,000 5.25% Cap Rate

SWC IL Route 31 & Tek Drive Crystal Lake,

Opening December 2020

Prototypical Tenant Facility Wrigley Building | North Tower 410 North Michigan Avenue, Suite 850 Chicago, Illinois 60611 (312) 519-7100 www.bluestonestp.com Overview

$569 billion 9.5 million GDP Population 0.9% (0.2%) GDP Growth Population Growth ~$55,600 5.2% Per Capita Personal Income Unemployment Rate

With a population of over 9,500,000, the Chicago-Naperville-Joliet, IL-IN WI Metropolitan Statistical area is the third largest MSA in the United States after New York (with a population of nearly 20,000,000) and Los Angeles (population of 13,300,000).

A world-class commercial, industrial and cultural city, Chicago functions as a major center for America’s heartland and remains the most important passenger and freight hub in the country with the largest annual number of air departures and the most rail traffic in the nation. The Chicago metropolitan area is the largest inland port in North America. The region’s confluence of rail, truck, and air infrastructure make it a critical shipping node for North American freight. Approximately 16.4 million TEUs of cargo (twenty-foot equivalent unit – the standard size cargo shipping container (20’ long x 8’ tall x 8’ wide) moved through the region’s rail-truck intermodal facilities in 2016, an increase of nearly 38 percent since 2009.

The City of Crystal Lake is an upper middle-income suburb 40 miles northwest of downtown Chicago. Crystal Lake is a vibrant community served by two primary state highways: IL Route 14 (Northwest Highway) and IL Route 31. The METRA commuter railway has a station in the recently renovated historic downtown district that also features a local shopping district and is home to the Raue Center for the Performing Arts. Dominant Market Leader in Chicagoland

With more than $2 billion in annual retail sales, Thorntons is one of the nation’s most prominent convenience store and fuel center operators in the petroleum marketing industry. Founded in 1971 by James H. Thornton, the firm operates 200 high volume convenience stores and fuel centers in six states (KY, IL, IN, OH, TN, and FL). On February 11, 2019 the Thornton family sold its ownership interest in the company to a joint venture between BP Products of North America, Inc. and ArcLight Capital Partners, LLC for more than $1 billion. Thorntons has consistently ranked in the top five percent (5.0%) in its industry in fuel volume per unit, convenience store sales per unit, and EBITDA per unit. In the Chicago metropolitan market, Thorntons is the most dominant c-store and fuel retailer ranking #1 in average annual fuel gallons per unit, average annual c-store sales per unit, average store size (in square footage), and the average number of fueling positions per unit as illustrated on this page.

The subject property is located approximately 40 miles from downtown Chicago on the southwest corner of IL Route 31 (32,900 average daily traffic (ADT)) & Tek Drive in the City of Crystal Lake, Illinois. The annual rent in years 1 – 5 is $198,000 and the primary term of the ground lease is 20 years.

Thorntons’ retail facility is a “Pump & Go” commercial fueling facility situated on a 3.874 acre parcel of land that features a new 5,500 square foot Thorntons convenience store with 10 multi-product fuel dispensers (20 fueling positions) for cars, 4 fast-flow commercial diesel fueling lanes for trucks, 24 parking stalls for cars and 14 for trucks. Thorntons commercial fueling facility will service the needs of the 4,000 trucks per day traveling IL Route 31. LEASE ABSTRACT PROPERTY HIGHLIGHTS Lease Summary SWC IL Route 31, Crystal Lake, Illinois SWC IL Route 31, Crystal Lake, Illinois

Lease Type Ground Lease NNN Lot Size 3.874 acres Annual Rent: $198,000 Landlord Responsibilities None Building Size | G.L.A. 5,500 sqft 20 Year NNN Ground Lease Initial Lease Term 20 Years Multi-Product Dispensers 10 10% Rent Increases every 5 years Rent Commencement September 21, 2020 Parking Stalls: Cars | Trucks 24 | 14 No Landlord Responsibilities Construction Start Date June 15, 2020 Daily Traffic – IL Route 31 32,900 Tenant directly pays all taxes, maintenance & insurance Estimated Opening Date December 15, 2020 City Population (2013 est.) 40,743 Tenant Capital Investment $ 5,500,000 Average Household Income $ 78,311

Lease Expiration Date September 30, 2040 Percent of Population: PARENT COMPANY White | Latino | Asian 86.1% | 11.1% | 2.1% Option Periods 6 x 5 Years TLK Operating Company, LLC A joint venture between BP Products Right of First Refusal No North America, Inc. and ArcLight Right of First Offer Yes – After Year 10 Capital Partners, LLC Option to Purchase No TENANT | GUARANTOR ON LEASE Annual Rent Years 1 – 5 $ 198,000 Thorntons LLC, a Delaware limited Annual Rent Years 6 – 10 $ 217,800 liability company by statutory conversation from Thorntons Inc., a Annual Rent Years 11 – 15 $ 239,580 subchapter S corporation as of the date of acquisition on 2/11/2019 Annual Rent Years 16 – 20 $ 263,538 Option #1 | Years 21 – 25 $ 289,892

Option #2 | Years 26 – 30 $ 318,881

Option #3 | Years 31 – 35 $ 350,769

Option #4 | Years 36 – 40 $ 385,846

Option #5 | Years 41 – 45 $ 424,431

Option #6 | Years 46 - 50 $ 466,874 TenantTenant & Summary Lease Summary Thorntons is one of the nation’s most prominent operators of retail Thorntonsconvenience is one stores of the and nation’s fuel centers mostranking prominent #38 in operators CSP Top of 200 retailChains c-stores in its and Industry fuel centers - #38 in CSP Ranking of Top 200 Chains in Industry Recently Ranked in the Top 200 Privately Owned Companies in the PARENT COMPANY U.S. – Forbes Magazine TLK Operating Company, LLC AThorntons joint venture rankedbetween #1BP GasolineProducts NorthRetailer America, in Total Inc. and Customer ArcLight Capital Partners, LLC Satisfaction in 2018 – Energy Point TENANT | GUARANTOR ON LEASE As of 3/31/2020, Thorntons operated 202 Thorntonsstores across 6LLC states:, aKentucky,Delaware Illinois, limitedIndiana,liability Ohio,company Tennesseeby andstatutory that conversationgenerated morefrom thanThorntons $2 billionInc of., annuala subchapter S corporation as of the Thorntons Store Support Center retail sales in 2019 – Thorntons employs Louisville, dateapproximatelyof acquisition 3,000on 2 team/11/2019 members

HEADQUARTERS Thorntons LLC 2600 James Thornton Way Louisville, KY 40245 www.mythorntons.com

A summary of Thorntons LLC financials will be provided to a prospective buyer upon the receipt of an acceptable written offer and a signed confidentiality agreement Joint Venture Summary BP Joint Venture Closes on Acquisition of Thorntons On February 11, 2019, a joint venture Courier Journal, Louisville, KY 2/13/2019 between BP North America, Inc. & ArcLight Capital Closed on the On February 11, 2019, the shareholders of Thorntons Inc., a Delaware subchapter S corporation, Acquisition of Thorntons closed on the sale of all of their rights, title and interests in the family and ESOP owned company to an entity formed by BP Products North America, Inc. and ArcLight Capital Partners, LLC, TLK Operating Company, LLC for an amount estimated to be in excess of $1 billion. JOINT VENTURE

TLK Operating Company, LLC BP Products North America, Inc., an indirect and wholly-owned subsidiary of BP plc (NYSE: BP), operates the integrated U.S. Fuel Value Chain for BP that includes retail, refining and trading business PARTNERS IN JOINT VENTURE units. The retail business unit supplies fuel to 7,000 branded dealer units with its BP, ARCO and Amoco brands, operates 500 ARCO BP North America, Inc, branded convenience stores and fuel centers in the Pacific Northwest a wholly-owned subsidiary of BP plc and Northern California, and is the franchisor of 1,000 AMPM (NYSE: BP) convenience stores on the west coast. BP also operates 3 refineries in Houston, TX the U.S. that produce more than 800,000 barrels per day of refined petroleum products and is the global public face to the traded markets for oil, gas, power, refined products and foreign exchange serving more ArcLight Capital Partners through than 12,000 customers across the globe. ArcLight Energy Partners Fund VII Boston, MA Founded in 2001, ArcLight Capital Partners pioneered an asset-based private equity approach to investing in the dynamic global energy sector. Since its inception, ArcLight has invested approximately $22 billion in 108 transactions, generating strong realized returns for their limited partners for 68 exit transactions across diverse market cycles. Based in Boston, MA, their investment team targets midstream power and production opportunities with significant growth potential, current income and meaningful downside protection.

Since the date of acquisition, Thorntons has opened 10 new stores and plans to build another 12 stores during 2020 (which is record growth for the company). The firm expects to build 15 – 20 units per year thereafter. SITE Not Included SWC IL Route 31 & Tek Drive, Crystal Lake, Illinois Pre-Listing Price: $3,775,000 5.25% Cap Rate

Recent Comparable Sales for NNN Ground Leases C-Stores & Fuel Centers on Following Page FOR FURTHER INFORMATION CONTACT:

Rick Claes Mike MacKinnon Managing Partner Partner BSTP Midwest, LLC BSTP Midwest, LLC Telephone: (312) 519-7100 Telephone (630) 388-8550 [email protected] [email protected]

Wrigley Building | North Tower 410 North Michigan Avenue, Suite 850 Chicago, Illinois 60611 www.bluestonestp.com

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. SOLD SOLD ACTIVE BROKER LISTING SOLD

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