NET LEASE INVESTMENT OFFERING

Denny’s 4541 Sunset Road Charlotte, NC 28216 TABLE OF CONTENTS

I. Executive Summary II. Location Overview III. Market & Tenant Overview Executive Summary Site Plan Tenant Profile Investment Highlights Aerials Location Overview Property Overview Map Demographics Photos

NET LEASE INVESTMENT OFFERING DISCLAIMER STATEMENT

DISCLAIMER The information contained in the following Offering Memorandum is proprietary and strictly confidential. It STATEMENT: is intended to be reviewed only by the party receiving it from The Boulder Group and should not be made available to any other person or entity without the written consent of The Boulder Group.

This Offering Memorandum has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. The Boulder Group has not made any investigation, and makes no warranty or representation.

The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, The Boulder Group has not verified, and will not verify, any of the information contained herein, nor has The Boulder Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

NET LEASE INVESTMENT OFFERING EXECUTIVE SUMMARY

EXECUTIVE The Boulder Group is pleased to exclusively market for sale a single tenant net leased Denny’s SUMMARY: property located in Charlotte, North Carolina. The property is strategically located along a primary thoroughfare immediately off of Interstate 77 with direct on/off access. Denny’s is committed to this location as evidenced by their long operating history at this location (since 1993) and execution of a new 10-year lease in 2013. The lease features two 5-year renewal option periods with 10% rental increases. This is a high performing location with low rent-to-sales. Denny’s is one of America’s largest franchised full-service restaurant chains with over 1,700 around the world.

The 4,840 square foot restaurant is located along Sunset Road, the primary east-west thoroughfare in the area. Sunset Road experiences traffic counts of 25,000 vehicles per day. The property is immediately off of Interstate 77 with on and off access to the 118,000 vehicles that travel the highway per day. There are more than 58,650 people living within a three-mile radius of the property.

The property is located in the Sunset/Beatties Ford submarket, a rapidly growing residential and second largest commercial/industrial business market in Charlotte. Industrial businesses are attracted to the area because of the convenient access provided by Interstate 77. Retailers in the immediate area include Food Lion, Walgreens, CVS Pharmacy, Advance Auto Parts, JustSave Foods and a number of quick service restaurants. Businesses in the area include BIC Corporation, Anixter, US Foods, Roadrunner Transportation Services, and Masonite Corporation. Further contributing to the strength of the immediate area is the numerous residential communities such as Montgomery Gardens (287-units) and Ivy Hollow (228-units) which are both within walking distance to the Denny’s property.

There are 6 years remaining on the Denny’s lease which expires October 31, 2023. The triple net lease features 10% rental escalations in each of the two 5-year renewal option periods. Denny’s offers a casual, come-as-you- are dining atmosphere and affordable meals served 24 hours a day. Denny’s is publicly traded on the Nasdaq Stock Market (Symbol: DENN) with a market capitalization in excess of $815 million. The tenant, RJC LLC, is an experienced Denny’s franchisee group operating over 30 units in the . RJC LLC’s total store sales revenue is expected to exceed $42,000,000 in 2017. The property is scheduled to undergo a remodeling in 2018.

NET LEASE INVESTMENT OFFERING INVESTMENT HIGHLIGHTS

INVESTMENT • Located in the city of Charlotte HIGHLIGHTS: • Long operating history at this location (since 1993)

• Recently executed a new lease showing commitment to the location

• Absolute triple net with zero landlord responsibilities

• Two 5-year renewal option periods with 10% rental escalations

• Low rent-to-sales

• Located along Sunset Road (25,000 VPD), the primary east-west thoroughfare in the area

• Immediately off of Interstate 77 (118,000 VPD) with interchangeable access on and off of the thoroughfare

• Over 58,650 people living within a three-mile radius of the property

• Close proximity to residential communities, hotels, businesses and industrial parks

• Positioned in a corridor featuring Food Lion, Walgreens, CVS Pharmacy, Advance Auto Parts, JustSave Foods and a number of quick service restaurants

• Denny’s is one of America’s largest franchised full-service restaurant chains with over 1,700 restaurants

• Denny’s is a publicly traded company on the Nasdaq (Symbol: DENN) with a market capitalization in excess of $815 million.

• RJC LLC, the Franchisee, is the sixth largest Denny’s franchisee group operating over 30 units in Alabama, Georgia, North Carolina, South Carolina, Tennessee

• Restaurant is being remodeled in 2018

NET LEASE INVESTMENT OFFERING PROPERTY OVERVIEW

PROPERTY Price: $1,200,000 OVERVIEW: Cap Rate: 6.25%

Net Operating Income: $75,000

Renewal Options: Two 5-Year

Rental Escalations: 10% in Renewal Option Periods

Lease Commencement Date: October 14, 2013

Lease Expiration Date: October 31, 2023

Tenant: RJC LLC d/b/a Denny’s

Year Built / Remodeled: 1993 / 2018

Lease Type: NNN - No Landlord Responsibilities

Parking: 74 Spaces

Building Size: 4,840 SF

Land Size: 1.53 Acres

Property Address: 4541 Sunset Road, Charlotte, NC 28216

NET LEASE INVESTMENT OFFERING SITE PLAN

REAMES ROAD

BANNER EL DRIVE

SUNSET ROAD (25,000 VPD) N

NET LEASE INVESTMENT OFFERING AERIAL

Sunset/Beatties Ford Business Park

S u n se t R o a d

(2 5 ,0 0 0 V P D )

NORTH CAROLINA 77 Bill Lee Fairway (118,000 VPD)

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NET LEASE INVESTMENT OFFERING AERIAL

Sunset/Beatties Ford Business Park

Sunset Road (25,000

NORTH CAROLINA 77 Bill Lee Fairway (118,000 VPD) VPD)

N

NET LEASE INVESTMENT OFFERING MAP

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NET LEASE INVESTMENT OFFERING EXTERIOR PHOTOS

NET LEASE INVESTMENT OFFERING TENANT PROFILE

TENANT Denny’s is a full-service house, coffee shop, fast casual family restaurant chain. Since first introducing PROFILE: their famous Grand Slam in 1977, Denny’s has been known for its innovative menu. Denny’s is known for always being open, serving , lunch, and dinner around the clock. Denny’s does not close on holidays and nights, except where required by law. Many of the restaurants are located in proximity to freeway exits, bars, and in service areas. Denny’s started franchising in 1963, and most Denny’s restaurants are now franchisee-owned.

Back in 1953, Harold Butler founded Denny’s in Southern California with a commitment to provide classic American fare in a warm and welcoming environment with excellent service. It’s that commitment that has made Denny’s a beloved name in the family dining category. Denny’s iconic French diamond signs dotting America’s highways and local communities serve as a welcome symbol of trust and quality. Denny’s offers a casual, come-as-you-are dining atmosphere and affordable meals served 24 hours a day.

Today with more than 1,700 restaurants and nearly 100% brand awareness, Denny’s is one of America’s largest and most loved full-service family restaurant chains. Denny’s is publicly traded on the Nasdaq Stock Market (Symbol: DENN) with a market capitalization in excess of $815 million.

Website: www.dennys.com Stock Symbol: DENN (Nasdaq Stock Market) Market Capitalization: $815 million Number of Locations: 1,700+ North American Headquarters: Spartanburg, South Carolina

NET LEASE INVESTMENT OFFERING LOCATION OVERVIEW

LOCATION Charlotte is the largest city in the state of North Carolina. It is the county seat of OVERVIEW: Mecklenburg County with a population of over 842,000 people making it the 17th-largest city in the United States based on population. The Charlotte metropolitan area ranks 22nd- largest in the U.S. with a population of over 2,470,000. Between 2004 and 2014, Charlotte was ranked as the country’s fastest growing metro area, with 888,000 new residents. Based on U.S. Census data from 2005 to 2015, it also tops the 50 largest U.S. cities as the millennial hub. It is the second-largest city in the southeastern United States, third-fastest growing major city in the United States and listed as a “gamma-minus” global city by the Globalization and World Cities Research Network.

Charlotte has six Fortune 500 companies in its metropolitan area. Listed in order of their rank, they are: Bank of America, Lowe’s in suburban Mooresville, Duke Energy, Nucor (steel producer), Sonic Automotive and Sealed Air Corp. The Charlotte area includes a diverse range of businesses, including foodstuffs such as Chiquita Brands International, Harris Teeter, Snyder’s-Lance, Carolina Foods Inc, Bojangles’, Food Lion, Compass Group USA, and Coca-Cola Bottling Co. Consolidated (Charlotte being the nation’s second largest Coca-Cola bottler); motor and transportation companies such as RSC Brands, Continental Tire the Americas, LLC., Meineke Car Care Centers, Carlisle Companies (along with several other services), along with a wide array of other businesses. Charlotte is home to the corporate headquarters of Bank of America and the east coast operations of Wells Fargo, which along with other financial institutions made it the third-largest banking center in the United States.

Nearly 60 percent of the country’s population lives within a two-hour flight of Charlotte, North Carolina, and 6.9 million people live within a 100-mile radius. Charlotte Douglas International Airport, the national hub of US Airways, is the 14th largest airport in the nation based on passenger totals, the 31st largest airport worldwide based on passenger totals and 8th in the nation for total operations, averaging 655 flights daily by 11 major airlines and 14 regional carriers. These flights provide non-stop service to 179 cities.

Charlotte is the largest and most accessible city between Washington, D.C., and Dallas, Texas. Due to its mid-Atlantic location, getting to Charlotte is easy from anywhere in the country or the world, hence its nickname “the International Gateway to the South.”

www.charlottenc.gov

NET LEASE INVESTMENT OFFERING DEMOGRAPHICS

DEMOGRAPHIC REPORT: Population 1 Mile 3 Mile 5 Mile Total Population 5,634 58,653 159,293 Total Households 1,805 21,558 59,727

Income 1 Mile 3 Mile 5 Mile

Average Household Income $51,460 $59,828 $61,397

NET LEASE INVESTMENT OFFERING Randy Blankstein President 847.562.0003 [email protected]

Jimmy Goodman Partner 847.562.8500 [email protected]

666 Dundee Road, Suite 1801 Northbrook, IL 60062

www.bouldergroup.com