2-TENANT NET LEASED INVESTMENT HUT/ 2042 W. 47TH STREET, CHICAGO, IL

NET LEASED INVESTMENT PROPERTY

URBAN IN-FILL

LOCATION

FOR MORE INFORMATION CONTACT:

Michael Kaider NNN Specialist First Vice President +1 630 573 7015 [email protected] 2 /Subway • 2042 W. 47th Street • Chicago, IL EXECUTIVE SUMMARY Rent Roll the street. constructed $100BackoftheYardsmillion highschoollocateddirectlyacross 47thStreet West along asset exceed 20,000perday. vehicles Recentareaimprovementsincludethenewly the of in front counts Traffic radius. 5-mile a The locationboasts a population density ofover900,000 people within center itselfis100%leasedandhasanaverageleasetermofover8years. 4 Lesson Chicago’ssouthwestside.The (Kroger) anchoredshoppingcenter to TheYardsat theentrance The assetsits Food Plaza, a260,481-square-foot Chicagoland. Subwayisonacorporatelease. Hut is operated by JGJ Management, which operates a total of 10 locations in with PizzaHutat rent increases5%annuallyand Subway at 2% annually. Pizza window.and willhaveararedrive-thru lease have abovemarket Bothleases Subway executed a5-yearextension.justfresh years andrecently and a Pizza Hut in Chicago, Illinois. PizzaHut has beenat the sitefor nearly 20 CBRE ispleasedto present forsalethisnetleasedassetoccupiedby a Subway TENANT Pizza Hut Subway 3,012 1,753 1,259 SF 10 Years 5 Years TERM $26.51 $24.00 $30.00 RATE TYPE NNN NNN ANNUAL $79,842 $42,072 $37,770 RENT ANNUAL INC. 5% 2% OPTIONS 1 5-Year 2 5-Year Pizza HutRent: Offering Price: Subway Rent: Rent Increases: Lease Expiration: Lease Commencement: Tenants: Building Size: Parcel Size: Cap Rate: Total NOI: Landlord Responsibilities: Tenant Responsibilities: INVESTMENT SUMMARY Subway: 2%annuallywithtwo5-yearoptions Pizza Hut: Pizza JGJ Management,LLC,d/b/aPizzaHut 5%annuallywithone5-yearoption ±0.54 acres/±23,455SF CAM, Taxes andInsurance Subway RealEstate,LLC Pizza Hut: Pizza Hut: Roof andStructure $42,072 /Year $37,770 /Year Subway: TBD Subway: TBD $1,300,000 3/31/2019 3/17/2014 ±3,012 SF $79,842 $24 PSF $30 PSF 6.15% 3 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL SATELLITE VIEW 4 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL AERIAL VIEW 5 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL • • • • • • INVESTMENT HIGHLIGHTS thru window. Rare Drive-Thru Feature:TheSubway location willfeature adrive- and economicdevelopment. nearly $35 million worth of funds fromtheCityto support infrastructure City ofChicagoCommitment:TheBacktheYards recentlyobtained Yards highschoollocateddirectlyacrossthestreet. include thenewlyconstructed$100Backof improvements million area Recent day. Avenue per vehicles 47th 20,000 of and excess in radius counts traffic has 5-mile a within people 900,000 over of Dense UrbanLocation: for over10years. of 8years with65%ofthetenantshavingbeeninoccupancy in excess trend upward. Thecenteris100%leased,withanaverageleaseterm Kroger opened and has verystrongsalesvolumeswhichcontinue to Prime Retail Location: has annualincreasesof2%. RentalIncreases: Pizza Hut has annualof increases 5% and Subway corporate held. operating at this location for nearly 20 years. The Subway lease is and hasbeen 10 locations Management) withover (JGJ a franchisee asset with both a Pizza Hut and a Subway. Pizza Hut is operated by Strong National Retailers: This location in Chicago was the first store first the was Chicago in location This Thelocationboasts a population density Unique opportunity to acquire anetleased 6 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL SITE PLAN: Yards Plaza S PLAZAYARDS ( S NAP) U B J E C T

7 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL LEASE PLAN an areaofminimal flooding, usuallydepicted asabovethe500-year floodlevel.Floodinsurance isnotrequired. According to FEMA CommunityMapPanel 17031C 0520JdatedAugust19, 2008,thepropertyislocated inFloodZoneX, Flood ZoneDisclosure:

8 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL ADDITIONAL TENANTSINTHESHOPPINGCENTER 9 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL REGIONAL &LOCATOR MAPS 10 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL Total #ofRestaurants: Total Employees: Fortune 500 Ranking: Standard &Poor’s Rating: NYSE: new perday,five makingitaleaderininternationalretaildevelopment. over opened system Brands Yum! the States, United the Outside foodcategories. pizzaandMexican-style of thechicken, the globalleaders restaurantbrands–KFC®,Pizza Hut®andTacocompany’s – are Bell® the 100BestCorporateby Magazine.The Citizens Responsibility of list withrevenues morethan$13 billion and in 2014 was named among countries and territories. Yum! Brandsisranked#216 on the FORTUNE500 companieswithover40,000 restaurants inmorethan125 Yum! Brands,Inc.,basedinLouisville,Kentucky, isoneoftheworld’slargest About Parent CompanyYum! Brands chain todeliverchicken,sidesandcompletechickendinners. brand in the U.S. called WingStreet®, making Pizza Hut the first big American “Pizza andMore”menustrategy. Thechainhasalsodevelopedanewsub- vibrant casualdiningrestaurantsinmanyinternationalmarketsandoffera hasalwaysbeenattheheartofbusiness.PizzaHutisbuilding Dine-In military bases–istheclearleaderinU.S. andisgrowinginternationally. business –foundinshoppingmalls,largeretailchains,travelcentersandon over 600 new “Delco” stores specializing in delivery and carry-out. Its Express and emerging markets. In the past three years in the U.S., the chain has built advantage ofitsexistingscaleandquicklygrowthebrandinbothdeveloped fastest growing part of its business. With Delivery, the chain’s strategy is to take Pizza Hutbeganbuildingdeliverycarryoutunitsin1988andtodayitisthe Yum! ChinaandIndiadivisions. in theU.S. and nearly 5,500 outside the U.S. – in86 countries, excludingthe 1, 2014, Pizza Hut has over 13,300 restaurants – including over 7,800 units THE TENANTS

also the first ever to offer online purchasing. As of January of As purchasing. online offer to ever first the also was not only the first to provide America with , but the world.Atrueinnovatorinpizzacategory, thechain more pizza, and wings thanany otherrestaurant in Kansas, and today is aniconicglobal brand that delivers Wichita, in ago years 55 began Hut company. Pizza Hut®, a subsidiaryofYum! Brands,istheworld’slargest

40,000+ 539,000 216 BBB/Stable YUM and Peter Buck, who opened the first Subway in 1965. The chain had Thechain in 1965. Subway estimated salesinexcessof$1.1billionfor2013. first the opened who Buck, Peter and Fredis ownedbyDeLuca Associates co-founders given subleases.Doctor’s however,franchised; are are corporatelyheldandfranchisees allleases kids’ paks,fresh cookiesand beverages. Virtually all Subway locations are , chips, in theworld.Therestaurantsofferhotandcoldsandwiches, countries, chain making itthelargestquickservice 107 in locations 42,000 Associates,hasmorethan Doctor’s Subway,by ownedandfranchised 11 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL LEASE ABSTRACT -PIZZAHUT Annual BaseRent Lease Extensions Lease Term PermittedUse Demised Premises Tenant Landlord Responsibilities Reimbursements Option Rent One 5-year extension 5 Years The operation of a pizza restaurant under the trade name Pizza Hut, and for no other use or purpose SF 1,753 JGJ Management, LLC Roof and Structure Tenant is responsiblefor CAM, Taxes and Insurance Option 1 Year 5 Year 4 Year 3 Year 2 Year 1 $29.17 PSF $29.17 PSF $27.78 $26.46 PSF $25.20 PSF $24.00 PSF FMV with 5% Annual Increases $51,138.78 / Year/ $51,138.78 Year/ $48,703.60 Year/ $46,384.38 Year/ $44,175.60 Year/ $42,072.00 12 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL LEASE ABSTRACT -SUBWAY Landlord Responsibilities Reimbursements Option Rent Annual BaseRent Lease Extensions Lease Term PermittedUse Demised Premises Tenant Roof and Structure Tenant is responsible for CAM, Taxes and Insurance Two 5-year extensions 10 Years soups, chips, ,soft and breakfast items. The retail saleand consumption on and off the Premises of hot and cold submarine ,round sandwiches, salads, 1,259 SF Subway Real Estate, LLC All Options Year 10 Year 9 Year 8 Year7 Year 6 Year 5 Year 4 Year 3 Year 2 Year 1 $35.85 PSF $35.15 PSF $34.46 PSF PSF $33.78 $33.12 PSF PSF $32.47 $31.84 PSF $31.21 PSF $30.60 PSF $30.00 PSF 2% Annual Increases $45,138.65 / Year/ $45,138.65 Year/ $44,253.57 Year/ $43,385.86 Year/ $42,535.15 Year/ $41,701.13 Year/ $40,883.46 Year/ $40,081.83 Year/ $39,295.91 Year/ $38,525,40 Year/ $37,770.00 13 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL DEMOGRAPHICS HOUSING INCOME HOUSEHOLDS POPULATION Source: Nielsen 2014 Est.AverageHousingValue 2014 Est.MedianHousingValue 2014 Est.RenterOccupiedUnits 2014 Est.OwnerOccupiedUnits 2014 EstimatedVacant Units 2014 EstimatedOccupiedUnits 2014 EstimatedHousingUnits 2014 EstimatedPer CapitaIncome 2014 Est.AverageHouseholdIncome 2000 Cen.MedianHouseholdIncome 2019 Prj. MedianHouseholdIncome 2014 Est.MedianHouseholdIncome 2014 Est.AverageHouseholdSize Growth 2014-2019 Growth 2010-2014 2000 CensusHouseholds 2010 CensusHouseholds 2019 Projected Households 2014 EstimatedHouseholds 2014 EstimatedMedianAge Growth 2014-2019 Growth 2010-2014 2000 CensusPopulation 2010 CensusPopulation 2019 Projected Population 2014 EstimatedPopulation 2042 2014 EstimatedAverageAge

W.

47th

Street

•

Chicago,

IL $178,163 $168,383 $10,948 $41,284 $27,963 $34,543 $33,137 1 Mile 13,072 15,898 14,051 13,146 12,968 13,072 54,340 49,818 48,786 49,293 -0.80% -0.56% -1.03% -1.05% 8,269 4,803 2,826 27.72 30.15 3.73 $183,296 $169,637 $12,113 $44,010 $32,020 $35,421 $34,179 2 Miles 172,399 160,272 159,422 159,783 43,977 52,958 24,656 19,321 47,045 43,872 44,036 43,977 -0.23% -0.30% 0.13% 0.24% 8,981 29.36 31.68 3.62 $190,365 $170,063 3 Miles 119,450 $12,635 $43,949 $30,486 $34,008 $32,876 107,786 384,594 345,981 343,520 344,725 99,106 20,344 57,101 42,005 98,691 99,308 99,106 -0.35% -0.36% 0.20% 0.42% 30.72 32.97 3.35 14 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL THE MARKET: Chicago • • • • POPULATION

Employees: 4+million 3rd largestMSAintheUS 9.8million Chicago MSA: City ofChicago:2.7million • • • • TRANSPORTATION

6 majorinterstates Hub for6of thenations7classI railroads O’Hare InternationalAirport-32.1millionpassengers annually Midway InternationalAirport -9.4millionpassengersannually • • • • ECONOMY •

4+ millionemployees 265,000 businesses 28 Fortune 500companies Gross DomesticProduct: $571million 46.2 milliontouristsannually • • • • • • CULTURE &RECREATION

7 majorsportsteams 552 parks 26 milesoflakefront More than7,300restaurants More than200theaters 70 museums 15 Pizza Hut/Subway • 2042 W. 47th Street • Chicago, IL CONFIDENTIAL MEMORANDUM&DISCLAIMER investigation of the property to determine to your satisfaction the suitability of the propertyforyourneeds. the suitability of the propertytodetermine toyoursatisfaction investigation performance oftheproperty.advisors. Youand legal by yourtax,financial and otherfactorswhichshouldbe evaluated Thevalueof thistransactiontoyoudependsontax andyouradvisorsshouldconduct acareful,independent representation aboutit. Itisyourresponsibilitytoindependentlyconfirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example onlyand do notrepresentthe current or future Inc. does not doubt itsaccuracy, Inc. The information contained in this document has been obtained from sources believed reliable. WhileCBRE, © 2014 CBRE, Inc. has not verified itandmakes CBRE, no guarantee, warranty or a purchaseofrealproperty. Allfinancial projections which prospectiveinvestorsmay requiretoevaluate inclusive ortocontainallpart oftheinformation or theownerofProperty tobeall- (the“Owner”), a representationofthestateaffairsProperty pertaining totheProperty anddoesnotpurporttobe This Memorandumcontainsselectedinformation of theProperty. you desiretoexpressfurtherinterestintheacquisition your limiteduseandbenefitindeterminingwhether This isaconfidentialMemorandumintendedsolelyfor transaction describedinthisMemorandum. fiduciary dutiesowedtotheclient(s)itrepresentsin business inamannerconsistentwiththelawandany offeror orprospectiveofferor, butratherwillconductits that benefitsanyAffiliatetothedetrimentofother concert withorotherwiseconductitsbusinessinaway described inthisMemorandumandwillnotact interest oftheclient(s)itrepresentsintransaction all instances,however, Inc.willactinthebest CBRE, Affiliate inthesaleorpurchaseof Property. In obligation todiscloseyoutheinvolvementofany Inc.noranyinvolvedAffiliatewillhave CBRE, acknowledge thatpossibilityandagreeneither be thesuccessfulbidderforProperty. You hereby submit anoffertopurchasetheProperty andmay may described inthisMemorandum(the“Property”) other, Affiliatesmayexpressaninterestintheproperty Investors, Inc.orTrammell CrowCompany. Those,or may bereceivedbyourAffiliates,includingCBRE the sametransaction.For example,thisMemorandum represent variousclientswithcompetinginterestsin and development.AttimesdifferentAffiliatesmay management, valuation,investmentfundmanagement limited to,brokerageservices,propertyandfacilities of commercialrealestatebusinessesincluding, butnot entities (eachan“Affiliate”) engaginginabroadrange companies withmanysubsidiariesand/orrelated Inc.operateswithinaglobal familyof CBRE, Property unlessanduntilwrittenagreement(s)forthe Memorandum ormakinganoffer topurchasethe commitment orobligationtoany entityreviewingthis Memorandum. TheOwnershall havenolegal notice whichmayariseasaresultofreviewthis discussions withanyentityattimeorwithout or offerstopurchasetheProperty, and/ortoterminate discretion, torejectanyorallexpressionsofinterest The Ownerexpresslyreservedtheright,atitssole evaluating apossiblepurchaseoftherealproperty. your investigationsandinspectionsoftheProperty in or useofitscontents;andyouaretorelysolelyon arise byreasonofyourreceiptthisMemorandum contents, andnolegalcommitmentorobligationshall or completenessofthisMemorandumanyits warranty, expressedorimplied,astotheaccuracy representatives makeanyrepresentationor their respectivedirectors,officers,Affiliatesor Inc,noranyof Neither theOwnerorCBRE, Memorandum inanymanner. independently andnotrelyonthecontentsofthis summaries andotherdocumentsofwhatevernature Interested partiesareexpectedtoreviewallsuch descriptions ofthefullagreementsreferenced. not purporttobecompletenornecessarilyaccurate described insummaryform.Thesesummariesdo documents, includingleasesandothermaterials,are prospective purchasers.InthisMemorandum,certain will bemadeavailabletointerestedandqualified information andanopportunitytoinspecttheProperty measurements areapproximations.Additional references toacreages,squarefootages,andother made hereinaresubjecttomaterialvariation.All assumptions andotherinformationprovided Inc.Therefore,allprojections, the OwnerandCBRE, competition andotherfactorsbeyondthecontrolof relating tothegeneraleconomy, marketconditions, purposes onlyandarebasedonassumptions and informationareprovidedforgeneralreference Listing Agentmaybedisclosed totheSeller. B. Anyinformation givenbyProspective Purchaserto the Property, and Derrick AlmassyareactingasAgent(s)oftheSeller Bob Mahoney, RichFrolik, ChristianWilliamsand ListingAgent throughMikeKaider,A. GeorgeGood, and bythiswrittendisclosure,that: Prospective Purchaserhasbeeninformed,bothorally Prospective Purchaserherebyacknowledgesthat written consentoftheownerisprohibited. owners anduseoftheseimageswithouttheexpress Photos hereinarethepropertyoftheirrespective respective owners. displayed onthisdocumentarethepropertyoftheir United Statesandothercountries.allmarks Inc. and/oritsaffiliatedorrelatedcompaniesinthe CBRE andthelogoareservicemarksofCBRE, Inc. this MemorandumtoCBRE, further interestinpurchasingtheProperty, kindlyreturn If afterreviewingthisMemorandum,youhaveno Inc. detrimental totheinterestofOwnerorCBRE, Memorandum oranyofitscontentsinmanner Inc.Youor CBRE, alsoagreethatyouwillnotusethis without thepriorwrittenauthorizationofOwner Memorandum oranyofitscontentstootherentity confidence andthatyouwillnotdisclosethis nature, thatyouwillholdandtreatitinthestrictest Memorandum anditscontentsareofaconfident By receiptofthisMemorandum,youagreethat been satisfiedorwaived. obligationsthereinhave conditions totheOwner’s delivered andapprovedbytheOwnerany purchase oftheProperty havebeenfullyexecuted, NET LEASED INVESTMENT PROPERTY

2-TENANT NET LEASED INVESTMENT PIZZA HUT/SUBWAY 2042 W. 47TH STREET, CHICAGO, IL

FOR MORE INFORMATION CONTACT:

Michael Kaider NNN Specialist CBRE First Vice President 700 Commerce Drive +1 630 573 7015 Suite 550 [email protected] Oak Brook, IL 60523