Marine Products

Home , City Creek Center

JEFFREY MITCHELL, CCIM MIKE MEDINA MARINE PRODUCTS [email protected] [email protected] direct 702.374.0211 direct 801.416.1049 949 WEST 1700 SOUTH 5505861-SA00 View Profile SALT LAKE CITY, UT View Profile TABLE OF CONTENTS

EXECUTIVE 4 SUMMARY PROPERTY 5 OVERVIEW INVESTMENT 8 OVERVIEW 9 FINANCIALS 10 MAPS 13 TENANT PROFILE ECONOMIC 16 INFORMATION 18 DEMOGRAPHICS

MARINE PRODUCTS 2 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com MARINE PRODUCTS CONFIDENTIALITY AND DISCLOSURE

949 WEST 1700 SOUTH Mountain West Commercial Real Estate has been retained on an exclusive basis to market the property SALT LAKE CITY, UT described as 949 West 1700 South, Salt Lake City, UT. Broker has been authorized by seller of the property to prepare and distribute the enclosed information for the purpose of soliciting offers to purchase from interested parties. More detailed financial, title and tenant lease information may be made available upon request following the mutual execution of a letter of intent or contract to purchase between the Seller and PREPARED BY the prospective purchaser. You are invited to review this opportunity and make an offer to purchase based upon your analysis. If your offer results in the Seller choosing to open negotiations with you, you will be JEFFREY MITCHELL, CCIM asked to provide financial references. The eventual purchaser will be chosen based upon an assessment of [email protected] direct 702.374.0211 price, terms, ability to close the transaction and such other matters as the Seller deems appropriate. 5505861-SA00 View Profile The Material is intended solely for the purpose of soliciting expressions of interest from qualified investors for the acquisition of the Property. The Material is not to be copied and /or used for any other purpose or MIKE MEDINA made available to any other person without the express written consent of Broker or Seller. The Material [email protected] does not purport to be all-inclusive or to contain all of the information that a prospective buyer may direct 801.416.1049 require. The information contained in the material has been obtained from the Seller and other sources View Profile and has not been verified by the Seller or its affiliates, agents, representatives, employees, parents, subsidiaries, members, managers, partners, shareholders, directors, or officers, makes any representation or warranty regarding such pro forma. Purchaser must make its own investigation of the Property and any existing or available financing, and must independently confirm the accuracy of the projections contained in the pro forma.

Seller reserves the right, for any reason, to withdraw the Property from the Market. Seller has no obligation, express or implied, to accept any offer. Further, Seller has no obligation to sell the Property unless and until the Seller executes and delivers a signed agreement of purchase and sale on terms acceptable to the Seller, in its sole discretion. By submitting an offer, a purchaser will be deemed to have acknowledged the foregoing and agreed to release Seller and Broker from any liability with respect thereto.

Property walk-throughs are to be conducted by appointment only. Contact Broker for additional information.

Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 3 EXECUTIVE SUMMARY

Mountain West has been selected to offer a single tenant absolute NNN leased investment occupied by The Marine Products. This property is a unique investment opportunity in Salt Lake City, Utah. The real estate is well positioned in the Salt Lake Valley and only 3 minutes off the UT-201 Interchange. As the exclusive dealer in Utah for MP, Moomba, & Supra Boat the location provides an ease of access for the customers across the Wasatch Front.

The asset includes 2.64 Acres of land with 430 +/- feet of frontage along the 1700 South corridor to the intersection of 900 West. With 1700 South and 900 West generating over 25,000 vehicles per day the visibility and presence of the location is outstanding. The property includes three structures providing ample retail space, shop space, and covered storage. The site is well designed with 1.31 acres of secured fenced yard area for boat storage, in addition to the ample customer and display parking along 1700 South.

Marine Products is a company that has been in business since 1971, known for its vast inventory of products with robust sales at this location and a strong online presence they offer convenience and a great customer experience through all sales channels, making MP a leader in the boat dealership industry. The company has been recognized for multiple Dealer awards and is a major sponsor for boating events and athletes. With an average Marine Products employee being with the company for 20 years, they provide customers with the highest level of expertise.

In summary, the asset is a high-quality investment, which includes a large 2.64 acre parcel of land, three building structures for a combined total of approximately 38,696 square feet, and a Tenant that has been a staple in the community since 1971. VISIT WEBSITE

MARINE PRODUCTS 4 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com PROPERTY OVERVIEW

SITE Located in the South Salt Lake I-15 Industrial Corridor on the corner of 17th South and 9th West. Central between I-15 (N-S) and I-80 (E-W) Freeways.

1000 W LAND AREA 10,390 ADT The subject consists of one parcel totaling 2.64 acres or 114,998 SF. 12,391 ADT 1700 S PARKING The property has sufficient parking as required for customers and staff. FRONTAGE & ACCESS N OT A PART The property can be accessed from both 1700 South and Quayle Avenue. 0.1 7 AC The property has over 430 ft of Frontage on 1700 South. N OT A PART 0.1 7 AC

0.24 AC TRAFFIC COUNTS 0.22 AC

N OT A PART 1700 South 12,391 ADT N OT A PART 900 West 14,536 ADT 1 51 4405021 0000 ZONING 2.64 AC CG IMPROVEMENTS N OT A PART 1 .22 AC Buildings: Retail/Warehouse, Boat Shop, Storage Year Built/Age: 1961-1996/21-56 Years

Effective Age: 10 Years 0.25 AC

Gross Size: 38,696 SF N OT A PART

900 W Foot Print: 33,245 SF PEARL ST Retail Office vs. Shop Storage: ±65% Coverage Ratio: 29% Building-to-Land Ratio: 34% QUAYLE AVE

BUILDING AREA SIZE SUMMARY MAIN BUILDING SHOP BUILDING WAREHOUSE BUILDING

14,536 ADT Main Level 19,601 Service Bays 5,000 Warehouse 7,144 2nd Level Retail 4,821 Garage Storage 1,500 2nd Level Break Room 630 Total 25,052 6,500 7,144 VIEW DRONE VIDEO GRAND TOTAL 38,696

PRICING INVESTMENT HIGHLIGHTS PURCHASE PRICE $7,233,418 • Absolute NNN Investment NET OPERATING INCOME $397,838 • Long Term Lease CAP RATE 5.50% • Annual Increases LEASE INFORMATION • Large Parcel TENANT TRADE NAME Marine Products LEASE TYPE Absolute NNN • Established Tenant with Long Term Operation History EXPIRATION 12/31/2028 LEASE TERM 10 Years

LEASE TERM REMAINING 8 Years LEASE AND OPTION DETAIL RENTAL INCREASES 3% Annually MONTHLY ANNUAL LEASE TERM START RENT/SF % INCREASE RENT RENT EXTENSION OPTIONS One 10-Year Option INITIAL TERM - YEAR 1 2019 $31,250.00 $375,000.00 $9.69 3.00 % TENANT'S FIRST RIGHT OF Yes REFUSAL INITIAL TERM - YEAR 2 2020 $32,187.50 $386,250.00 $9.98 3.00% PROPERTY TAXES Tenant Responsible INITIAL TERM - YEAR 3 2021 $33,153.17 $397,838.00 $10.28 3.00% INSURANCE Tenant Responsible INITIAL TERM - YEAR 4 2022 $34,147.75 $409,773.00 $10.59 3.00% UTILITES Tenant Responsible INITIAL TERM - YEAR 5 2023 $35,172.17 $422,066.00 $10.91 3.00% MAINTENANCE Tenant Responsible INITIAL TERM - YEAR 6 2024 $36,227.33 $434,728.00 $11.23 3.00% INITIAL TERM - YEAR 7 2025 $37,314.17 $447,770.00 $11.57 3.00 % INITIAL TERM - YEAR 8 2026 $38,433.58 $461,203.00 $11.92 3.00% INITIAL TERM - YEAR 9 2027 $39,586.58 $475,039.00 $12.28 3.00% INITIAL TERM - YEAR 10 2028 $40,774.17 $489,290.00 $12.64 3.00%

MARINE PRODUCTS 8 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com FINANCIALS

10-YEAR CAP RATE MATRIX

Asking Price $ 7,233,418.00 ANNUAL INCREASES 3% PERIOD MONTHLY NOI ANNUAL NOI CAP RATE 2021 $33,153.17 $397,838.00 5.50% 2022 $34,147.76 $409,773.14 5.67% 2023 $35,172.19 $422,066.33 5.83% 2024 $36,227.36 $434,728.32 6.01% 2025 $37,314.18 $447,770.17 6.19% 2026 $38,433.61 $461,203.28 6.38% 2027 $39,586.61 $475,039.38 6.57% 2028 $40,774.21 $489,290.56 6.76% 2029 $41,997.44 $503,969.28 6.97% 2030 $43,257.36 $519,088.35 7.18% 2031 $44,555.08 $534,661.00 7.39%

OWNER INCOME

2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Leased Income 375,000$ $ 386,250 $ 397,838 409,773$ $ 422,066 434,728$ 447,770$ 461,203$ 475,039$ 489,290$

Projected Annual Income 375,000$ 386,250$ 397,838$ $ 409,773 422,066$ 434,728$ 447,770$ 461,203$ 475,039$ 489,290$ Blended Annual Rate 9.69$ 9.98$ $ 10.28 10.59$ 10.91$ 11.23$ 11.57$ 11.92$ 12.28$ 12.64$ Vacancy Loss 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Eﬀec�ve Gross Income 375,000$ 386,250$ 397,838$ $ 409,773 422,066$ 434,728$ 447,770$ 461,203$ 475,039$ 489,290$

Opera�ng Expenses (NNN Paid by Tenant) -$ $ - $ - -$ -$ -$ -$ -$ -$ -$

Net Opera�ng Income 375,000$ $ 386,250 $ 397,838 409,773$ 422,066$ 434,728$ 447,770$ 461,203$ 475,039$ 489,290$

Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 9 AREA RETAIL T 19,180 ADT 1300 S 18,509 ADT 15,708 ADT AD ,387 10,367 ADT CALIFORNIA A VE 17

18,586 ADT

10,658 ADT

5,013 ADT

10,390 ADT

30,339 ADT

7,320 ADT

2 SITE

12,391 ADT 11,505 ADT 1700 S 12,232 ADT 11,210 ADT &'%15

TRAX MAIN LINE

+,89

15,980 ADT

14,536 ADT

10,412 ADT

5,804 ADT

300 W

33,426 ADT

FRONTRUNNER SOUTH 314,330 ADT 314,330 5,257 ADT STATE ST 108,265 ADT Exit! 11,171 ADT 305B 2100 S 25,566 ADT 20,282 ADT Exit! 305A

108,265 ADT Exit! 0 =>201 17 108,265 ADT

900

38,169 ADT

9,765 ADT TRAX GREEN LINE S LINE 0

Exit! 305A

14,406 ADT

15,840 ADT

0 7,385 ADT

Exit! 304 ADT

MAIN ST

28,658 ADT

224,

Exit! &'%80 150,998 ADT 124

MARINE PRODUCTS &'%15 +,89 F:\Projects\LV\M itchell\M arineProducts\OM .aprx - 1 1 /23/2020 lplant 10 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com

MAJOR TENANTS T S CITY CREEK CENTER US

B Taubman Centers TH E GATEWAYM Vestar Development Co. U

COL NORDSTROM WEST ELM DAVE & BUSTER'S M ACY' S RESTORATI ON 22 15

0 H ARDWARE &'% MAIN ST H&M R 0 D 0 NORTH TEMPLE ST S W 0 0 0 0 U P R RTH CA M E O UNN 0 TRAX MAIN LINE SOUTH TEMPLE ST N TR 0 N O 0

R F 0 100 S &'%80 0 215 0

&'% 0 R

D I

400 S H OUTH ECCH

0 TRAX RED LINE 0 0 W S C P A A Y M 0 Emigration 0 PU C 0 1 S DR 86 O 500 S I

WEST TEMPLE ST R A Canyon M 600 S

89 TROLLEY SQUARE +, D R 800 S Salt Lake POTTERY BARN NYON EMIGRATIO N CA 0 City SUNNYSIDE AVE

21 0 1300 S CALIFORNIA A VE

1300 E

F SITE O O T 1700 S H IL L D

R 323

3200 W SOUTH F RONTAGE R D W 2100 S 201 0 0 0

=> 9 PARLEYS WAY

REDWOOD RD 0 STATE ST 0 0 0 S LINE 0 0

0 0 E

0 7 &'%80

PARKWAY BLVD INE 2700 S REEN L FR 0 TRAX G O HW N Y T 186

RUNN

R South R

SO C

MAIN ST

0 H

M 3100 S U Salt Lake

O T West H N D

S ValleyVALLEY FAI R M ALL T Vestar Development Co. 0 &'%215 City 3300 S &'%215 JC PENNY HOBBY LOBBY

CONSTITUTION BLVD Millcreek 3500 S ROSS PETCO &'%15 +,89

0 OLD N AVY U LTA E

H 2 I G HL

A N

D 300

R W

500 W 0 D TRAX MAIN LIN MEA OW BR OOK EXPY 3900 S

4100 S D V Holladay L E HB Taylorsville Murray C

SAT A W Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 11 AREA LAKES

&'%84 +,89 BE AR LAKE

+,91 &'%15 WILLARD BAY FLAMING GORGE RESERVOIR RESERVOIR

JORDANELLE =>67 RESERVOIR &'%80 =>201

Erda SITE DEER CREEK RESERVOIR 189 +, +,40

STRAWBERRY U TAH LAKE RESERVOIR

+,50 +,6

&'%70

+,191

La Sal

+,491 +,89 &'%15

LAKE POWELL B l u ff

+,163

+,89A MARINE PRODUCTS 12 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com TENANT PROFILE

• Located in Salt Lake City • Continuous Operation since 1971 • Received the coveted WSIA Dealer of the Year Award 3 times in the past 6 years • Sponsors 4 Wakeboard schools that teach wakeboarding and other watersport lessons • Company prioritizes employee retention (average employee tenure: 20 years) • $1,584,203.71 in 2020 YTD Net Operating Income • Sharp increase in sales Feb- Aug 2020 • May to Aug 2020 sales hitting almost $4Mil in each month. • Year or Year sales increases near 100% VISIT WEBSITE

Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 13 MARINE PRODUCTS PROFIT AND LOSS

M A RI N E P RO D U C TS P RO F I T AND LOSS

Rolling 12 Month Profit and Loss Statement 2019 2020 Description September October November December January February March April May June July Aug 12 Mth Total Jan-Aug 2020

CONSOLIDATED OPERATIONS

INCOME TOTAL SALES $1,090,630.01 $ 780,071.11 $ 239,480.81 $ 410,065.25 $ 133,570.32 $ 430,601.58 $ 720,015.63 $ 862,153.14 $ 3,898,213.19 $4,385,304.17 $4,589,605.47 $ 3,560,337.92 $ 21,100,048.60 $ 18,579,801.42 COST OF SALES $ 933,086.34 $406,758.17 $ 180,459.09 $ 325,825.01 $ 75,215.04 $ 318,773.49 $ 568,154.16 $656,269.29 $ 3,193,754.24 $ 3,554,154.62 $ 3,611,953.69 $2,896,543.75 $ 16,720,946.89 $ 14,874,818.28 GROSS PROFIT $ 157,543.67 $ 373,312.94 $ 59,021.72 $ 84,240.24 $ 58,355.28 $ 111,828.09 $ 151,861.47 $205,883.85 $ 704,458.95 $ 831,149.55 $ 977,651.78 $ 663,794.17 $ 4,379,101.71 $ 3,704,983.14

OPERATING EXPENSES

TOTAL EXPENSES $ 268,482.98 $257,795.59 $ 300,957.64 $ 228,505.25 $ 230,620.80 $ 305,247.75 $236,078.62 $ 149,464.18 $ 231,770.97 $ 291,049.83 $ 349,286.37 $ 320,351.19 $ 3,169,611.17 $ 2,113,869.71 OPERATING PROFIT (LOSS) $ (110,939.31) $ 115,517.35 $ (241,935.92) $ (144,265.01) $ (172,265.52) $ (193,419.66) $ (84,217.15) $ 56,419.67 $ 472,687.98 $ 540,099.72 $ 628,365.41 $ 343,442.98 $ 1,209,490.54 $ 1,591,113.43

OTHER INCOME Total Other Income $ 3,862.02 $ 1,646.87 $ 187.36 $ 8,612.95 $ (18.00) $ 286.78 $ - $ - $ - $ 0.40 $ 36.43 $ - $ 14,614.81 $ 305.61

OTHER DEDUCTIONS Total Other Deductions $ (8,957.35) $ 14.29 $ (422.99) $ 217.18 $ (75.87) $ (4,989.06) $ 987.27 $ 1,146.32 $ (85.13) $ 1,208.48 $ 265.40 $ 350.10 $ (10,341.36) $ (1,192.49)

OTHER EXPENSES Total Other Expenses $ 100.04 $ 24.40 $ 116.06 $ - $ 150.00 $ 1,235.60 $ 1,310.40 $ 1,472.80 $ 1,328.00 $ 1,348.00 $ 1,502.47 $ 60.55 $ 8,648.32 $ 8,407.82

NET ADDITIONS & DEDUCTIONS $ (12,719.33) $ (1,608.18) $ (494.29) $ (8,395.77) $ 92.13 $ (4,040.24) $ 2,297.67 $ 2,619.12 $ 1,242.87 $ 2,556.08 $ 1,731.44 $ 410.65 $ (16,307.85) $ 6,909.72 NET PROFIT $ (98,219.98) $ 117,125.53 $ (241,441.63) $(135,869.24) $ (172,357.65) $(189,379.42) $ (86,514.82) $ 53,800.55 $ 471,445.11 $ 537,543.64 $ 626,633.97 $ 343,032.33 $ 1,225,798.39 $ 1,584,203.71

MARINE PRODUCTS 14 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com SKIER’S CHOICE BRAND INFO

Skier’s Choice is the proud manufacturer of Supra and Moomba performance inboard wakeboard and waterski towboats. Since 1981, every feature, every component, even the interior stitching has been precision engineered to enhance your experience and deliver the ultimate in performance. That’s the commitment of Supra and Moomba boats and the proof is in every boat they make.

Skier’s Choice is a privately held company located in the heart of boating country in Maryville, Tennessee. Skier’s Choice products are manufactured to deliver high value, class leading innovation, industry leading satisfaction and a premium customer experience. Their products are manufactured to stringent standards in a lean manufacturing facility dedicated to making a positive impact in their community and a minimum impact on the environment.

VISIT WEBSITE

Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 15 WHY UTAH?

• Utah Metros in Top 10 Milken List. Provo-Orem #1, Salt Lake City #4, Ogden-Clearfield #9.(2/21) • Utah in the 2020 Business Facilities State Rankings. (1/21) • Utah and Its Citites Lead Nation in Young Population. (6/2021) • Ogden Named a Top 20 City for Manufacturing. (9/2020) • St. George a Top Work-from Home Destination (9/2020) • 10 Categories Where Utah Claims #1 (best private-sector job growth, best state for entrepreneurs, best performing large system, best state for upward mobility, best state for the middle class, number of dark sky parks, children per capita, densest concentration of Jurassic-era dinosaur bones, tallest mountain peaks, Most volunteers) (9/2019)

Source: EDCUtah

#1 BEST STATE FOR #3 BEST STATE ENTREPRENEURS FOR BUSINESS

2019 2019

#1 BEST #2 BEST STATE TO ECONOMY START A BUSINESS 10/2020 2019

Source: Utah Governor’s Office of Economic Development MARINE PRODUCTS 16 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com POPULATION MEDIAN AGE 198,956 32.5

HOUSEHOLDS MED. HOUSEHOLD INCOME 84,816 $67,742 SALT LAKE CITY SALT

POPULATION MEDIAN AGE 2.6 M 31.4

HOUSEHOLDS MED. HOUSEHOLD INCOME 846,932 $86,412 WASATCH FRONT WASATCH

Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com 17 DEMOGRAPHICS

POPULATION BUFFERS - 1, 3, 5 MILES

1 MILE 3 MILES 5 MILES &'%15

8,422 105,876 331,868 F R 2020 EST. 2020 EST. 2020 EST. ONTRU

N POPULATION POPULATION POPULATION N ER 5 Miles +,89 1 MILE 3 MILES 5 MILES 8,855 113,274 354,100 Salt Lake TRAX GREEN LINE 2025 EST. 2025 EST. 2025 EST. &'%80 City 3 Miles POPULATION POPULATION POPULATION TRAX RED LIN E

1 Mile

HOUSEHOLDS & MEDIAN INCOME

=>201 1 MILE 3 MILES 5 MILES S LINE %80 2,282 43,571 134,697 &'

F 2020 EST. 2020 EST. 2020 EST. RON South

T HOUSEHOLDS HOUSEHOLDS HOUSEHOLDS RUNNER SOU Salt Lake West Valley City T

H 1 MILE 3 MILES 5 MILES Millcreek &'%215 $67,975 $57,300 $67,178 &'%15 2020 EST. 2020 EST. 2020 EST. INCOME INCOME INCOME

LINE N Taylorsville I A

M X Murray Holladay Kearns TRA

MARINE PRODUCTS 18 Mountain West Commercial | Office 801.456.8800 | www.mtnwest.com MARINE PRODUCTS

949 WEST 1700 SOUTH SALT LAKE CITY, UT

PREPARED BY JEFFREY MITCHELL, CCIM [email protected] direct 702.374.0211 5505861-SA00 View Profile

MIKE MEDINA [email protected] direct 801.416.1049 View Profile

312 East South Temple, Salt Lake City, UT 84111 Office 801.456.8800 | www.mtnwest.com