Offering Memorandum 9233 PARK MEADOWS DRIVE Lone Tree, CO 80124

Peter Peluso Will Matthews [email protected] [email protected] 720.529.2984 720.529.2896

THE OFFERING

Legend Investment Group is pleased to present investors with the opportunity to acquire a mixed-use property in one of the largest commercial districts in . The property is fully occupied by a diverse mix of tenants including restaurant, medical, office, and service-oriented providers. Many of the tenants have a long-term history at this location with Office Evolution and Panera Bread recently executing 10-year lease renewals.

Ideally situated at the entrance to Lone Tree’s entertainment district and less than 1 mile away from ’s biggest , Park Meadows, the property benefits from the synergistic traffic generated. With over 185 stores and restaurants as well as major anchor retailers like Costco, Home Depot, and Ikea this location represents one of the most robust trade areas of Denver.

The offering presents several opportunities for growth including a separate 1-acre parcel currently leased to Key Bank at a below market rate, a City approved Drive-thru addition as well as upside in rents. Many tenants have attractive annual increases as well as additional upside potential through conversion to net leases. C 470 C 110,000 vpd 470

Yosemite St

28,000 vpd

Park Meadows Dr 22,000 vpd Highlights | 4 HIGHLIGHTS

LONE TREE ENTERTAINMENT DISTRICT DIVERSE TENANCY - REPLACEABLE RENTS Ideally situated at the entrance to Lone Tree’s entertainment district the property Occupied by a diverse range of tenancy including restaurant, medical, benefits from the synergistic traffic generated by neighboring entertainment office, and service-oriented providers. Panera Bread has been in occupancy oriented and hospitality focused tenants. for 15 years with a recent 10-year lease extension being completed in 2017 demonstrating their long-term commitment to this location. Office Evolution also signed a recent 10-year lease extension at a very replaceable rental rate. INVESTMENT UPSIDE Property comes with a separately parceled 1-acre lot currently leased to Key Bank on a below market gross lease. City approved drive-thru addition to the PARK Panera Space. Below market Office Evolution rental rate which is supported by Located less then 1 mile away from Colorado’s biggest shopping mall the recent leasing activity within the property at higher rates. Furthermore, many property is within proximity to over 185 stores and restaurants as well as major of the tenants have attractive annual increase with additional upside through anchor retailers like Costco, Home Depot, and Ikea. further conversation of gross leases to net. Income

Base Income $816,582 Expense Reimbursements $130,391 Effective Gross Income $946,973 INVESTMENT SUMMARY Vacancy Reserve - 2.5% -$23,674 Gross Effective Income $923,298 Operating Expenses $406,342 Net Operating Income $516,956 PRICE $7,545,000 CAP 6.85% Expenses Reimbursements: Monthly Annualized

Flawless Enterprises $300 $3,600 ReMax $1,921 $23,052 Panera $4,460 $53,520 Panera Utilities $1,585 $19,019 Office Evolution Utilities $2,600 $31,200 Total $10,866 $130,391 *Office Evolution & Flawless Enterprises utilities are an average, as they are required to pay actual pro rata share of each month's utilities

Operating Expenses:

Legal Fees $1,012 HVAC Repairs $6,574 Real Estate Taxes $236,029 Advertising and Marketing $2,178 Accountant $2,824 Cleaning $22,423 Insurance $7,065 Management Fee - 3% EGI $28,000 Fire and Safety $6,225 Elevator Maintenance $2,100 Plumbing Repairs $2,810 Utilities $85,930 Misc $3,172 Total $406,342 PROPERTY SUMMARY

ADDRESS 9233 Park Meadows Dr. PARKING 62 Spaces Lone Tree, CO 80124

RENTABLE BLDG. AREA 25,336 SF PARCEL # 2231-03-3-05-019

BLDG. AREA 28,325 SF PARCEL # 2231-03-3-05-020

LAND AREA 152,286 SF COUNTY Douglas

YOC/RENOVATION 1999/2003

Property Summary | 6 RENT ROLL

CURRENT OPTIONS TENANT SF RENT PSF TERM END DATE RENT INCREASES CAM REIMBURSEMENT/OTHER RENT TO RENEW Allstate 1,100 $2,000.00 $21.82 12/31/2023 (1) 3-year None Increases in CAM over Base Year Electrical Pro-rata beginning 2/1/2020 Flawless Enterprises (1) 2 -year & 2,216 $7,072.00 $38.30 10/31/2022 3% Annual - November | If tenant exercises extension term in (Eco Salon) (1) 5-year 2020, 10/2023 rent is abated $1,921/month adjusted based on ReMax 1 2,004 $4,155.57 $24.88 9/4/2023 (1) 5-year 5% Annual - November increase in CAM of this base amount ReMax 2 2,500 $7,374.61 $35.40 9/4/2023 None 4% Annual - May None Not less then amount Solution for Tuition 500 $2,042.00 $49.01 12/31/2020 (2) 5-year None tenant Sec 4.1 Super Smooth 2,000 $4,082.58 $24.50 5/31/2024 None 4% Annual - January Utility Reimbursement starting 1/1/22 (Waxing the City) Panera 4,000 $10,962.67 $32.89 3/31/2027 (4) 5-year 4/1/22-3/31/27 - $11,519.33 $4,460/mo plus $1,584.88 for Utilities Utility Reimbursement Approx. Office Evolution 9,266 $23,809.04 $30.83 5/31/2026 (1) 5-year 2% Annual - June $2600/month Cool Car Guy 250 $1,050.00 $50.40 2/29/2024 None 5% Annual - March None

Sun Hae Kwon 750 $1,300.00 $20.80 6/30/2021 None 5% Annual - July None

My Denver Therapy 500 $600.00 $14.40 11/30/2020 None Fair Market Value None

Carlson CPA 250 $1,000.00 $48.00 10/31/2020 None None None

Key Bank ATM $2,600.00 5/31/2021 (2) 5-year None None

Total 25,336 $68,048.47

* ReMax 2 rent per May 2020 * Cool Car Guy rent per March 2020

Investment Summary | 7 DEMOGRAPHICS 1 MILE 3 MILE 5 MILE

POPULATION 9,361 74,190 220,124

AVG. HOUSEHOLD INCOME $163,058 $154,710 $149,744

HOUSEHOLDS 4,085 30,645 86,476

BUSINESSES 963 6,702 14,394

DAYTIME POPULATION 14,972 100,115 196,540

PARK EADOS DR COLORADO As a market, Colorado is continuing to show signs of stability and positive growth for the future. Colorado was the second-fastest growing state in terms of population between 2014 and 2015. In addition to higher-than-average economic performance, the state’s unique assets include: a good quality of life, low business costs, and an educated workforce. Colorado’s growing population will continue to help keep the residential real estate market healthy and bring more commercial activity state-wide. Currently 682,545 people call Denver home (the 21st most populous city in the U.S.) with 2.7 million people within the Denver Metro area. Affiliated Business Disclosure and Confidentiality Agreement

This Offering Memorandum has been prepared by Legend Investment Group (LIG) for use by a limited number of parties and has been obtained from sources believed reliable. While we do not doubt its accuracy, we have not verified it, and make no guarantee, warranty or representation about it. It is your responsibility to confirm, independently, its accuracy and completeness. All projections have been developed by LIG, Owner and designated sources, are based upon assumptions relating to the general economy, competition, and other factors beyond the control of Owner, and therefore are subject to variation. No representation is made by LIG or Owner as to the accuracy or completeness of the information contained herein, and nothing contained herein is or shall be relied on as a promise or representation as to the future performance of the property. Although the information contained herein is believed to be correct, Owner and its employees disclaim any responsibility for inaccuracies and expect prospective purchasers to exercise independent due diligence in verifying all such information. Further, LIG, Owner and their employees disclaim any and all liability for representations and warranties, expressed and implied, contained in, or for omissions from, the Offering Memorandum or any other written or oral communication transmitted or made available to the recipient. The Offering Memorandum does not constitute a representation that there has been no change in the business or affairs of the property or Owner since the date of preparation of the Offering Memorandum. Analysis and verification of the information contained in the Offering Memorandum is solely the responsibility of the prospective purchaser.

Additional information and an opportunity to inspect the property will be made available upon written request to interested and qualified prospective investors. Owner and LIG each expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers regarding the property and/or terminate discussions with any entity at any time with or without notice. Owner shall have no legal commitment or obligations to any entity reviewing this Offering Memorandum or making an offer to purchase the property unless and until such offer is approved by Owner, a written agreement for the purchase of the property has been fully executed, delivered and approved by Owner and its legal counsel, and any obligations set by Owner thereunder have been satisfied or waived.

This Offering Memorandum and the contents, except such information, which is a matter of public record or is provided in sources available to the public, are of a confidential nature. By accepting this Offering Memorandum, you agree that you will hold and treat it in the strictest confidence, that you will not photocopy or duplicate it, that you will not disclose this Offering Memorandum or any of the contents to any other entity (except to outside advisors retained by you, if necessary, for your determination of whether or not to make a proposal and from whom you have obtained an agreement of confidentiality) without the prior written authorization of Owner or LIG and that you will use the information in this Offering Memorandum for the sole purpose of evaluating your interest in the property and you will not use the Offering Memorandum or any of the contents in any fashion or manner detrimental to the interest of Owner or LIG. If you have no interest in the property, please return the Offering Memorandum forthwith. Peter Peluso [email protected] 720.529.2984 Will Matthews [email protected] 720.529.2896