BURGER KING 101 Farm to Market 306 New Braunfels, TX 78130 TABLE of CONTENTS

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BURGER KING 101 Farm to Market 306 New Braunfels, TX 78130 TABLE of CONTENTS NET LEASE INVESTMENT OFFERING BURGER KING 101 Farm to Market 306 New Braunfels, TX 78130 TABLE OF CONTENTS TABLE OF CONTENTS I. Executive Profile II. Location Overview III. Market & Tenant Overview Executive Summary Photographs Demographic Report Investment Highlights Aerials Market Overview Property Overview Site Plan Tenant Overview Map NET LEASE INVESTMENT OFFERING DISCLAIMER STATEMENT DISCLAIMER The information contained in the following Offering Memorandum is proprietary and strictly confidential. STATEMENT: It 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 lease Burger King located in New SUMMARY: Braunfels, Texas. The property is strategically located along Interstate-35 in a dominant retail corridor. The Burger King has excellent visibility to the approximately 115,000 vehicles per day that travel along Interstate-35. The triple net lease features rental escalations in the primary term and in each renewal option period. The lease is guaranteed by Magic Fries, LLC, the entity operating all of the Sun Holdings, Inc.’s Texas Burger King restaurants. Sun Holdings, Inc. is the 9th largest total Franchise owner in the United States. The 4,196 square foot Burger King building is strategically located along Interstate-35 in a dominant retail corridor in the San Antonio–New Braunfels Metropolitan Statistical Area, approximately half way between Austin and San Antonio. The Burger King has excellent visibility and direct on and off access to the approximately 115,000 vehicles per day that travel along Interstate-35. The Burger King is well located in a major retail destination. A brand new HEB Plus grocery store was recently constructed across the street from the property. The property is located across the interstate from the Town Center at Creekside, which is anchored by Target, JC Penney, Best Buy, Belk, Dick’s Sporting Goods, TJ Maxx, Hobby Lobby and Creekside Cinemas 14. Additionally, the property is benefitted by its proximity to the recently constructed Resolute Health Hospital (138 beds). The Burger King is located in the immediate vicinity to a 1.3 million square foot Walmart distribution center that employs over 1,000 people. The surrounding area is experiencing tremendous expansion with annual population growth projected to be over 3% within three miles. There are approximately 63,000 people living within a five mile radius earning average household incomes of $75,000. The lease has over 15 years remaining and features 5% rental escalations in year 5, 10, and each renewal option period. The lease is triple net and features zero landlord responsibilities. NET LEASE INVESTMENT OFFERING INVESTMENT HIGHLIGHTS INVESTMENT • Located within the San Antonio Metropolitan Statistical Area, approximately half way between Austin and HIGHLIGHTS: San Antonio on Interstate-35 • Long term lease with over 15 years remaining • 5% rental escalations in year 5, 10, and each renewal option period • Absolute triple net lease with no landlord responsibilities • Over 3% annual projected population growth within three miles of the property • Located along Interstate 35 with excellent visibility to approximately 115,000 VPD • Dominant retail destination that features Target, JC Penney, Best Buy, Belk, Dick’s Sporting Goods, TJ Maxx, Hobby Lobby and HEB Plus grocery store • Immediate vicinity to a 1.3 million square foot Walmart distribution center that employs over 1,000 people • Located in New Braunfels, the 2nd fastest growing city among those with more than 50,000 residents in 2015 • Tenant recently completed renovation of the property illustrating their commitment to the location NET LEASE INVESTMENT OFFERING PROPERTY OVERVIEW PROPERTY Price: $2,144,070 OVERVIEW: Cap Rate: 5.75% Net Operating Income: $123,284 Rental Escalations: 5% in Year 5, 10 & Each Renewal Option Renewal Options: Three 5-Year Lease Commencement Date: October 1, 2015 Lease Expiration Date: September 30, 2032 Tenant: Fritz Management, LLC Guarantor: Magic Fries, LLC Year Built: 2000 Lease Type: NNN (No Landlord Responsibilities) Rentable Square Feet 4,196 SF Lot Size: 0.78 Acres NET LEASE INVESTMENT OFFERING PHOTOGRAPHS NET LEASE INVESTMENT OFFERING AERIAL (115,000 VPD) 35 138-bed NET LEASE INVESTMENT OFFERING SITE PLAN 306 S INTERSTATE - 35 FRONTAGE ROAD (115,000 VPD) 35 NET LEASE INVESTMENT OFFERING MAPS AUSTIN - 36 MILES SAN ANTONIO - 36 MILES NET LEASE INVESTMENT OFFERING MAPS AUSTIN - 36 MILES SAN ANTONIO - 36 MILES NET LEASE INVESTMENT OFFERING DEMOGRAPHIC REPORT DEMOGRAPHIC Population 1-Mile 3-Mile 5-Mile REPORT: Total Population 4,755 24,859 63,084 Total Households 1,689 9,197 23,465 Income 1-Mile 3-Mile 5-Mile Average Household Income $70,071 $71,725 $74,982 NET LEASE INVESTMENT OFFERING MARKET OVERVIEW MARKET New Braunfels, Texas OVERVIEW: New Braunfels is a city in Comal and Guadalupe counties in Texas. It is the seat of Comal County and is a principal city of the San Antonio–New Braunfels metropolitan statistical area. The city has a 2015 estimated population of 70,543 people and was the nation’s second-fastest growing city among those with more than 50,000 residents in 2015, according to the U.S. Census Bureau. New Braunfels was established in 1845 by Prince Carl of Solms-Braunfels, Commissioner General of the Noblemen’s Society. Prince Solms named the settlement in honor of his home of Solms-Braunfels, Germany. The Noblemen’s Society organized hundreds of people in Germany to settle in Texas. Immigrants from Germany began arriving at Galveston in July 1844. By 1850, New Braunfels was the fourth-largest city in Texas. The city is situated along the Balcones Fault, where the Texas Hill Country meets rolling prairie land. Along the fault in the city, a string of artesian springs known as Comal Springs give rise to the Comal River, which is known as one of the shortest rivers in the world, as it winds 3 miles through the city before meeting the Guadalupe River. The town holds “Wurstfest”, a German-style sausage festival, every November, drawing on the city’s strong German heritage. Every December, the town celebrates Wassailfest in the historic downtown. New Braunfels draws a large number of tourists, particularly in the summer because of the cold-spring rivers that run through the city. New Braunfels is the site of the original water park, the Schlitterbahn WaterPark Resort. The Ernest Eikel Skate Park attracts many skate board enthusiasts. nbtexas.org NET LEASE INVESTMENT OFFERING MARKET OVERVIEW San Antonio, Texas San Antonio is the seventh most populous city in the United States and the second most populous city in the state of Texas with a population of 1,409,019. It was the fastest growing of the top 10 largest cities in the United States from 2000 to 2010, and the second from 1990 to 2000. San Antonio is the center of the San Antonio–New Braunfels Metropolitan Statistical Area. Commonly referred to as Greater San Antonio, the metropolitan area has a population of nearly 2.4 million based on the 2015 US Census estimate, making it the 25th-largest metropolitan area in the United States and third-largest in the state of Texas. Growth along the Interstate 35 and Interstate 10 corridors to the north, west and east make it likely that the metropolitan area will continue to expand. More than 26 million people visit San Antonio per year. San Antonio is home to six Fortune 500 companies and the South Texas Medical Center, the only medical research and care provider in the South Texas region. The Fortune 500 companies headquartered in San Antonio include Valero Energy Corporation, Tesoro Corporation, USAA, CST Brands Inc, NuStar Energy, and Clear Channel. San Antonio is strategically located as a significant distribution hub for products exchanged between Mexico and the United States. Over 50% of all goods exchanged between the US and Mexico travel through San Antonio. The city is home to the five-time NBA champion San Antonio Spurs and hosts the annual San Antonio Stock Show & Rodeo, one of the largest such events in the country. San Antonio is served by four major interstates: Interstate 35, Intestate 10, Interstate 37, and Interstate 410. The San Antonio International Airport (SAT) is located in Uptown San Antonio, approximately eight miles north of Downtown. www.sanantonio.gov Austin, Texas Austin is the capital of the Texas and the seat of Travis County. It is the 11th-most populated city in the U.S. and the 4th-most populated in Texas. It is the fastest growing city in the United States and the second most populated capital city. As of the U.S. Census Bureau’s July 1, 2015 estimate, Austin has a population of 931,830. Located in Central Texas in the foothills of Texas Hill Country, the city is home to numerous lakes, rivers, and waterways.
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