LONGHORN GROUND LEASE

5755 North Point Parkway, Suite 262 1095 Cobb Place Blvd NW, Kennesaw, GA Alpharetta, GA 30022 770.481.1960 www.shanegroup.net

File Photo: site under construction LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

LongHorn (Darden/RARE Hospitality) has executed a 15-year NNN Corporate Ground Lease with 10% increases every 5 years. The location is superb, nearby to over 4mm SF of retail, including a new 44-acre mixed-use center anchored by Whole Foods. The INVESTMENT SUMMARY property is situated on Ernest W. Barrett Pkwy which has a car count of over 60,500 per day, and is just off N. Cobb Pkwy, with another 37,400 cars per day. It’s also located less than a mile from two interstates (I-75 and I-575). Ground rent for LongHorn is AERIAL MAPS only $32 PSF, while other new ground rents in this immediate area are $45 to $78 PSF (see aerial map for details). LongHorn has SITE PLAN over 490 locations and 2017 Revenue of $1.6 Billion. It is a subsidiary of Darden (NYSE: DRI, Market CAP: $11.3 Billion) which has over 1,700 locations and 2017 Revenue of $7.1 Billion. TENANT OVERVIEW

LEASE ABSTRACT

LOCATION MAPS  New 15-Year NNN Corporate Ground Lease DEMOGRAPHICS  Over 97,000 Cars Per Day at Nearby Intersection  Rents at $32 PSF vs $45—$78 PSF (other new ground leases)  Major Retail Node: Over 4.2mm SF of Retail  Nearby new Whole Foods 44-Acre Mixed-Use Development  Significant Daytime Population: over 114,000 within 5 miles

Site Under Construction: Opening 3rd Qtr 2018

BUILDING: 5,842 SF | LAND: 1.70 ACRES | YEAR BUILT: 2018

LongHorn is located in Kennesaw, GA, a high-growth suburb approximately 30 miles north of downtown Atlanta. There are approximately 170,000 people within 5 miles of the property with an average HH income just over $88,000. Additionally, there is a tremendous daytime population of 60,000 within 3 miles and over 114,000 within 5 miles. The population has grown 10% to 20% in this area since 2010 and is expected to grow another 7% to 10% over the next 5 years. As noted above, the property is located on Barrett Pkwy (60,500 cars per day), near the corner of N. Cobb Pkwy (37,400 cars per day), conveniently off I-575 (78,500 cars per day) and I-75 (145,900 cars per day). The property is located near the new 44-acre mixed-use development anchored by Whole Foods, Academy Sports, and Hobby Lobby. Additionally, it is centrally located within a major retail node consisting of over 4mm SF of retail, including the 1.2mm SF Town Center Mall (see the aerials for details). Finally, Kennesaw State University, the third largest Kennesaw, GA college in GA with over 35,000 students is approximately 3 miles to the north.

See accompanying Confidentiality Statement. LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

TENANT OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

Barrett Pkwy 60,500 Cars Per Day

4

2 New Ground Lease Rents 1 Subject: LongHorn — $32 PSF N. Cobb Pkwy 1. Panda Express — $45 PSF 3 37,400 Cars Per Day 2. Freddy’s Burgers — $45 PSF 3. Popeye’s Chicken — $50 PSF 4. SunTrust Bank — $78 PSF

See accompanying Confidentiality Statement. LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

INVESTMENT SUMMARY Interstate 75 Interstate 575 AERIAL MAPS 145,900 Cars Per Day 78,500 Cars Per Day Town Center Mall at Cobb SITE PLAN

TENANT OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

N. Cobb Pkwy 37,400 Cars Per Day

Barrett Pkwy 60,500 Cars Per Day

See accompanying Confidentiality Statement. LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

TENANT OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

See accompanying Confidentiality Statement. LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

LongHorn LongHorn was founded in 1981 by one man on a mission to bring legendary to the people of Atlanta, Georgia. By 1990, the had spread throughout the East, Midwestand Southwest INVESTMENT SUMMARY and Puerto Rico. LongHorn Restaurant & Saloon became LongHorn Steakhouse in 1996 and, in 2007, , Inc. purchased the restaurant. AERIAL MAPS

SITE PLAN Website: www.longhornsteakhouse.com Locations: 490+ TENANT OVERVIEW Founded: 1981 in Atlanta, GA Headquarters: Orlando, FL LEASE ABSTRACT Parent Company: Darden Restaurants (see below) Revenue (2017): $1.6 Billion LOCATION MAPS

DEMOGRAPHICS RARE Hospitality RARE Hospitality International, Inc. is a wholly-owned subsidiary of Darden Restaurants, Inc. It owns and operates substantially all of the LongHorn Steakhouse and The Capital Grill restaurants.

Darden Restaurants Darden Restaurants, Inc. (NYSE: DRI, Market CAP: $11.3 Billion, S&P: BBB) is the world's largest company- owned and operated full-service restaurant company. Darden features a portfolio of differentiated brands that include , LongHorn Steakhouse, Cheddar's Scratch Kitchen, , , , and Eddie V's. Our people equal our success, and we are proud to employ more than 175,000 team members in over 1,700 restaurants. Together, we create memorable experiences for 380 million guests each year in communities across North America.

Website: www.darden.com Locations 1,700+ NYSE / Market CAP: NYSE: DRI, Market CAP: $11.3 Billion Credit Rating: BBB (S&P), Baa2 (Moody's) Revenue (2017): $7.1 Billion Locations 1,700+

Darden Brands

See accompanying Confidentiality Statement. LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

Tenant Rare Hospitality International, Inc. (LongHorn)

INVESTMENT SUMMARY Building / Land 5,842 SF / 1.70 Acres AERIAL MAPS Commencement Date Anticipated 3rd Quarter 2018 SITE PLAN Termination Date 15 Years after Rent Commencement TENANT OVERVIEW Term 15 Years plus Four 5 Year Options LEASE ABSTRACT Increases 10% every 5 Years LOCATION MAPS

DEMOGRAPHICS Security Deposit None

Rent Schedule Year Annual Base Rent Monthly Base Rent

1 to 5 $185,000 $15,417 6 to 10 $203,500 $16,958 11 to 15 $223,850 $18,654

Option 1 16 to 20 $246,235 $20,520 Option 2 21 to 25 $270,859 $22,572 Option 3 26 to 30 $297,944 $24,829 Option 4 31 to 35 $327,739 $27,312

Taxes Paid by Tenant Insurance Paid by Tenant CAM Paid by Tenant Utilities Paid by Tenant Landlord Expenses None; Lease is completely NNN to Landlord

See accompanying Confidentiality Statement. LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

TENANT OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

Barrett Pkwy 60,500 Cars Per Day

See accompanying Confidentiality Statement. LONGHORN GROUND LEASE

770.481.1960 | www.shanegroup.net 1095 Cobb Place Blvd NW, Kennesaw, GA

One Mile Three Miles Five Miles Notes Population INVESTMENT SUMMARY 2017 Population 9,852 51,242 170,693 2012 Population 8,096 45,692 155,999 AERIAL MAPS 5 Year Projected 10,921 55,305 182,212 Growth Over the Past 5 Years 21.69% 12.15% 9.42% SITE PLAN Projected Growth Over the Next 5 Years 10.85% 7.93% 6.75% TENANT OVERVIEW Households LEASE ABSTRACT 2017 Households 4,600 20,169 64,411 % Owner Occupied 35.10% 43.40% 58.50% LOCATION MAPS % Renter Occupied 64.90% 56.60% 41.50% 2012 Households 3,797 17,725 58,655 DEMOGRAPHICS 5 Year Projected 5,097 21,821 68,782 Growth Over the Past 5 Years 21.15% 13.79% 9.81% Projected Growth Over the Next 5 Years 10.80% 8.19% 6.79%

Income 2017 Average Household Income $77,160 $78,119 $88,558 5 Year Projected $89,803 $89,508 $99,677 Projected Growth Over the Next 5 Years 16.39% 14.58% 12.56%

2017 Atlanta Average Household Income $81,382 Five Miles is 9% higher than Atlanta Avg. 2017 Georgia Average Household Income $70,633 Five Miles is 25% higher than Georgia Avg.

Employment & Establishments 2017 Employees/Daytime Population 12,647 60,081 114,058 2017 Total Establishments 717 3,730 8,828

Race White 51.60% 58.90% 64.10% African American 28.10% 24.40% 21.30% Hispanic Origin (Any Race) 10.00% 11.90% 12.30% Native American / Alaskan Native 0.30% 0.40% 0.30% Asian/Pacific Islander 12.10% 7.50% 6.20% Two or More Races 3.90% 3.60% 3.30% Other Race 4.00% 5.20% 4.80%

See accompanying Confidentiality Statement.