FOR SALE Absolute NNN Ground Lease with Rent Increases

SHAW’S SUPERMARKET (Ground) SWC D’Amante Drive & Loudon Road (State Route 9) Concord, New Hampshire

Contact Owner/Broker: James D. LaRocca, Managing General Partner 20 Eucalyptus Knoll, Mill Valley, CA 94941-2288 (Lic.#00797740) 415/388-5557 ∙ Fax 415/388-5553 ∙ [email protected]

The information herein, while not guaranteed as to accuracy or completeness, has been secured from sources deemed reliable. SHAW’S SUPERMARKET (Ground) SWC (20) D’Amante Drive & Loudon Road (State Route 9) Concord, New Hampshire 03301

Shaw’s Supermarkets, Inc., a Massachusetts corporation was founded in 1860 and is a wholly-owned subsidiary of Boise, Idaho-based Albertsons, LLC, which is controlled by the private equity firm Cerberus Capital Management. Albertsons is the second largest supermarket company in the United States (behind Kroger), operating stores, manufacturing plants and distribution centers across 35 states and the District of Columbia under 19 brands, including Albertsons, Safeway, Vons, Jewel-Osco, Shaw’s, Star Market, Acme, Tom Thumb, Randalls, United Supermarkets, Pavilions, Haggen, and Carrs. The company operates 155 stores under the Shaw’s and Star Market banners and is the largest grocery store chain in New England. Most Shaw’s stores feature Wild Harvest departments, which offer organic preservative- free foods, and about 90 locations (including the subject property) have their own pharmacy. The store performs impressively. For more information, go to www.shaws.com U and www.albertsons.com.

Concord, New Hampshire is the capital city of New Hampshire (an income tax free state) and is centered on the Merrimack River. It has a population of 42,590 and is the county seat of Merrimack County. Concord’s main industries are health care and insurance companies. The surrounding natural spots provide a number of outdoor recreational activities, including hiking, skiing, wildlife, canoeing, golf, visiting farms, orchards and historic sites. The store is located across the street from Steeplegate Mall, which is anchored by The Bon-Ton, JC Penney, and Sears. Nearby retailers include The Home Depot, Michael’s, Target, Best Buy, Walmart Supercenter, and Sam’s Club. It has convenient access and visibility from Loudon Road (State Route 9), which has an estimated 15,000 traffic count daily average. The 5-mile trade area has a 2016 estimated 40,200 population and $80,974 average household income. The property is 75 miles northwest of Boston’s Logan International Airport.

PURCHASE PRICE $7,900,000 5.5% Capitalization Rate $432,575 Annual NNN Rent (3/1/17-2/28/22)

EXISTING LOAN $4,200,000± 4.27% P&I fixed rate, due 11/11/24, $251,931± Annual P&I Debt Service non-recourse, assumable by qualified buyer for 1% fee plus lender’s costs or prepayable for $587,000± defeasance.

DOWN PAYMENT $3,700,000± 4.9%± Cash-on-Cash Return $180,644± Annual Cash Flow 7.0%± Combined Return 4.9%± cash-on-cash + 2.1%± loan reduction (1st 5 years average) AREA LAND 10.48± acres 8.69± acres (Shaw’s) + 1.79± acres (Extra) BUILDING (Constructed 2002) 70,000± sq.ft. (including mezzanine) owned by Shaw’s PARKING 353 spaces (including 8 handicapped)

LEASE: 10± years remain of a 25-year initial term expiring February 28, 2027 plus six 5-year options. Absolute NNN Ground Lease. Tenant owns the building and is responsible for taxes, insurance, and maintenance of its building and the ground. Rent increases 10% every 5 years, including options. Next increase is March 1, 2022 to $475,832.50 Annual NNN Rent (3/1/22-2/28/27). Demographic and Income Profile

Shaw's - Concord, NH 20 D'Amante Drive Concord NH 03301 Latitude: 43.2231 Ring: 5 mile radius Longitude: -71.4895

Summary Census 2010 2016 2021 Population 39,459 40,200 40,764 Households 15,874 16,106 16,352 Families 9,362 9,456 9,578 Average Household Size 2.32 2.32 2.32 Owner Occupied Housing Units 8,877 8,701 8,856 Renter Occupied Housing Units 6,997 7,406 7,497 Median Age 40.4 41.4 42.0 Trends: 2016 - 2021 Annual Rate Area State National Population 0.28% 0.52% 0.84% Households 0.30% 0.62% 0.79% Families 0.26% 0.55% 0.72% Owner HHs 0.35% 0.62% 0.73% Median Household Income 2.09% 2.54% 1.89% 2016 2021 Households by Income Number Percent Number Percent <$15,000 1,693 10.5% 1,691 10.3% $15,000 - $24,999 1,440 8.9% 1,332 8.1% $25,000 - $34,999 1,843 11.4% 2,273 13.9% $35,000 - $49,999 2,015 12.5% 1,362 8.3% $50,000 - $74,999 2,642 16.4% 2,339 14.3% $75,000 - $99,999 2,254 14.0% 2,360 14.4% $100,000 - $149,999 2,373 14.7% 2,795 17.1% $150,000 - $199,999 1,037 6.4% 1,312 8.0% $200,000+ 809 5.0% 889 5.4%

Median Household Income $57,903 $64,212 Average Household Income $80,974 $87,962 Per Capita Income $33,373 $36,226 Census 2010 2016 2021 Population by Age Number Percent Number Percent Number Percent 0 - 4 2,071 5.2% 1,966 4.9% 1,949 4.8% 5 - 9 2,181 5.5% 2,081 5.2% 2,008 4.9% 10 - 14 2,285 5.8% 2,189 5.4% 2,107 5.2% 15 - 19 2,664 6.8% 2,428 6.0% 2,285 5.6% 20 - 24 2,571 6.5% 2,729 6.8% 2,521 6.2% 25 - 34 5,190 13.2% 5,545 13.8% 5,762 14.1% 35 - 44 5,414 13.7% 5,113 12.7% 5,301 13.0% 45 - 54 6,458 16.4% 5,883 14.6% 5,317 13.0% 55 - 64 5,042 12.8% 5,724 14.2% 5,843 14.3% 65 - 74 2,489 6.3% 3,488 8.7% 4,323 10.6% 75 - 84 1,866 4.7% 1,780 4.4% 2,078 5.1% 85+ 1,228 3.1% 1,275 3.2% 1,271 3.1% Census 2010 2016 2021 Race and Ethnicity Number Percent Number Percent Number Percent White Alone 36,490 92.5% 36,527 90.9% 36,347 89.2% Black Alone 834 2.1% 1,036 2.6% 1,259 3.1% American Indian Alone 118 0.3% 123 0.3% 128 0.3% Asian Alone 1,250 3.2% 1,584 3.9% 1,943 4.8% Pacific Islander Alone 6 0.0% 6 0.0% 7 0.0% Some Other Race Alone 152 0.4% 190 0.5% 227 0.6% Two or More Races 610 1.5% 734 1.8% 852 2.1%

Hispanic Origin (Any Race) 753 1.9% 992 2.5% 1,222 3.0% Data Note: Income is expressed in current dollars.

Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri forecasts for 2016 and 2021.

February 22, 2017

©2016 Esri Page 5 of 6 106 9 132 34,653 DAILY Broken Ground East Side Drive School 4 202 393 93

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9

ARENA SHOPPING CENTER

33,000 DAILY 47,000 DAILY STEEPLEGATE MALL

3 Loudon Road N State Street 132 15,000 DAILY

106 FORT EDDY PLAZA Pembroke Road

Regional Drive

9 CONCORD MUNICIPAL AIRPORT

CAPITOL SHOPPING CENTER

3 Airport Road

S Main Street

Old Turnpike Road

3 Manchester Street BOSTON

Sheep Davis Road

93 106 SHAW’S | 4

Regional Map

SHAW’S

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