Buttermilk Towne Center

NORTHEAST QUADRANT OF INTERSTATE 71/75 & BUTTERMILK PIKE (STATE ROUTE 371)

CRESCENT SPRINGS (CINCINNATI MSA), KENTUCKY Buttermilk Towne Center INVESTMENT HIGHLIGHTS SUBJECT OFFERING

id-America Real Estate Corporation has been retained by the owner to Msell Buttermilk Towne Center located in the Cincinnati suburb of Crescent Springs, Kentucky. Buttermilk Towne Center provides a unique opportunity to acquire a high-quality grocery and home improvement anchored regional center with upside potential strategically located in the dense middle-upper income Northern Kentucky suburbs of Greater Cincinnati.

The subject offering consists of the leasehold interest on retail improvements and land subject to a long-term lease with the City of Crescent Springs and Industrial Building Revenue Bonds (Real Estate Tax Abatement) expiring on December 1, 2032, at which time the retail improvements and land may be purchased by Ground Lessee for $1.00.

Location: Northeast Quadrant of Interstate 71/75 & Buttermilk Pike (State Route 371) Crescent Springs (Cincinnati MSA), Kentucky

GLA: 290,033 SF

Occupancy: 100%

Anchors: Home Depot, Field & Stream, LA Fitness, Remke Markets, and Petco

Year Built: 2005, expanded 2017

Traffic Counts: Interstate 71/75 - 157,700 VPD Buttermilk Pike - 34,900 VPD Buttermilk Towne Center

IRREPLACEABLE LOCATION – Ideally positioned seven miles from downtown Cincinnati near the Interstate 71/75 and Buttermilk Pike interchange, the center has outstanding visibility with 157,700 vehicles passing the site along Interstate 71/75 and 34,900 vehicles along Buttermilk Pike on a daily basis. As part of the Greater Cincinnati area, the center serves KEY a substantial consumer population of more than 202,000 residents within a five-mile radius of the center. Buttermilk is surrounded by established middle-upper income communities with average household incomes of $90,200 within a three- mile radius of the center. Buttermilk also caters to a robust daytime population in excess of 266,000 employees within five miles, providing a strong base for sales.

FEATURES STRONG TENANT LINE-UP – Buttermilk Towne Center provides significant consumer draw through its dynamic anchor tenant mix that features destination-oriented retailers including Home Depot, Remke Markets, Field & Stream (Dick’s Sporting Goods, Inc.), LA Fitness, and Petco. These anchor tenants are complemented by a strong line-up of national and regional retailers, including PNC Bank, FedEx Kinko’s, Palm Beach Tan, Hand & Stone, Marco’s Pizza, and Sweet Frog Yogurt.

LONG TERM LEASES – The asset features long-term leases providing minimal rollover risk and a reliable income stream. Buttermilk Towne Center is 100% leased with a weighted average lease term remaining of 6.9 years. The center also has minimal exposure to shop space which accounts for only 9% of the gross leasable area.

DURABLE INCOME STREAM – Buttermilk offers the opportunity to own true triple net ground leased locations for Home Depot and PNC Bank along with Remke Markets, Field & Stream (Dick’s Sporting Goods), LA Fitness, and Petco that together account for approximately 91% of the offering square footage and 83% of the total potential gross revenue in 2019.

$ UPSIDE POTENTIAL – Buttermilk Towne Center provides the opportunity to add significant value by developing up to 22,000 square feet of additional inline space, plsu four outlots with Interstate 71/75 frontage and an office pad north of Home Depot.

LEVERAGED RETURNS – The property is being offered free and clear of any existing debt, allowing a purchaser to procure an attractive market rate loan that should substantially enhance investment yields.

DEMOGRAPHIC PROFILE WITHIN 5-MILE RADIUS:

POPULATION HOUSING UNITS MEDIAN HOME VALUE DAYTIME POPULATION AVERAGE HH INCOME MEDIAN AGE 202,008 81,997 $143,800 266,236 $67,993 36.5 LEASING Anderson Road

B100

A100 A102 A104 A106 B102 International Village Apartments B108 B110 (114 units) PLAN B112

B114

Potential Office

2.15 Acres / 11,400 SF OUTA

MAJA

Potential OUTB Development Pad (22,000 SF) MAJD MAJB MAJC

1.7465 Acres / 11,480 SF

Clocktower Way 1.2488 Acres / 6,000 SF 1.445 Acres

1.3297 Acres pylon / 6,000 SF / 4,000 SF

I-71/75 (157,700 VPD)

Tenant Name Unit Square Feet Tenant Name Unit Square Feet Tenant Name Unit Square Feet Hand & Stone A100 2,400 Palm Beach Tan B108 2,960 LA Fitness MAJB 45,867 ABC Phones of North A102 1,750 Elegant Nail Spa B110 1,500 Field & Stream MAJC 50,380 Sweet Frog Yogurt A104 1,350 Big League Haircuts B112 2,300 Home Depot (Ground Lease) MAJD 102,513 FedEx Kinko's A106 2,200 Empire Buffet B114 6,486 Petco OUTB 12,500 Marco's Piza B100 1,600 PNC (Ground Lease) OUTA 4,500 Total 290,033 Salon Concepts B102 4,200 Remke Market MAJA 47,527 Buttermilk Towne Center LOCATION & MARKET • Buttermilk Towne Center is located in Crescent Springs, Kentucky, one of several affluent communities located on the southern bank of the Ohio River in northern Kenton County, approximately seven miles southwest of downtown Cincinnati. Kenton County is the third most populous county in Kentucky and one of three counties comprising the Northern Kentucky area, which has become one of the fastest growing areas in the state.

• The Northern Kentucky area is located on the southern side of the Greater Cincinnati area, a diverse three-state, fifteen county metro-region that is the largest metropolitan area in Ohio with 2.18 million residents, and 29th largest metropolitan area in the United States. Cincinnati is a world class American business center and is home to the world headquarters for nine Fortune 500 and fifteen Fortune 1000 companies including Proctor & Gamble, Kroger, Macy’s, Fifth Third Bank, American Financial Group, AK Steel, and more.

• Buttermilk Towne Center is part of a destination-oriented trade area that has emerged around the Interstate 71/75 and Buttermilk Pike interchange in order to serve the rapidly growing and prosperous communities of the Northern Kentucky area. In addition to the prominent tenant line-up at Buttermilk Towne Center, the market features major retailers including Walmart, Walgreens, Kroger, Staples, and Dollar Tree. In total, this infill trade area includes approximately 1.4 million square feet and is 98% leased.

• The market also serves a substantial daytime office population including the nearby CirclePort, a 650-acre mixed-use “smart” business park, which is a large employment hub in the Greater Cincinnati area. Overall, there are approximately 266,000 daytime employees within a five-mile radius of the center. Both the Cincinnati-Northern Kentucky International Airport and CirclePort are focused around the interchange of I-71/75 and the Cincinnati area interstate “beltway” of I-275, which is only two miles southwest from Buttermilk. Buttermilk Towne Center SITE AERIAL Buttermilk Towne Center

Distance from Subject: 1Mile 3 Mile 5 Mile 2018 Population 9,675 55,107 202,008 Forecasted 2023 Population 9,768 55,641 206,911 DEMOGRAPHICS % Change 2018 to 2023 1.0% 1.0% 2.4% The customer profile surrounding Buttermilk Towne Center is established and 2018 Households 4,291 22,830 81,997 largely middle-upper income residential, with a strong daytime employment Forecasted 2023 Households 4,316 22,973 84,096 population base. % Change 2018 to 2023 0.6% 0.6% 2.6% 2018 Median Home Value $246,905 $198,381 $143,800 2018 Daytime Population 11,319 70,333 266,236 2018 Average Household Income $103,822 $90,202 $67,993 2018 Median Household Income $66,517 $62,590 $48,271 2018 Per Capita Income $44,523 $37,613 $28,022 2018 Median Age 39.4 39.4 36.5

ST747 ST134 ST126 West Chester Twp Deerfield Twp ¤£52 ¤£127 ¦¨§74 ST46 OHIO ST229 Colerain Twp 129 128 Springfield Twp ST ST ST134 Miami Twp ST101 ST1 Green Twp ¤£42

¦¨§275 ¨§75 ST134 £50 ¦ INDIANA ¤ 131 ¤£50 ST132 ST 48 Buttermilk ST Towne Center CINCINNATI ¤£68 Union Twp 133 Newport ST ST138 ST8 Anderson Twp Covington ST20 ¦¨§71 ST8 ININNI - NON N O INNION IPO Crescent Springs hio £50 Riv ¤ er ST18 Florence ST129 ST62 262 56 ST177 £27 ST ST £25 ¤ 338 ¤ 9 ST KENTUCKY ST ST774 Buttermilk Towne Center PROPERTY DESCRIPTION • Buttermilk Towne Center today contains 290,033 square feet of leasable area and is situated on approximately 46 acres. Additionally, the center includes five undeveloped outparcels totaling 8.4 acres, and space between LA Fitness and Field & Stream to add approximately 22,000 square feet of inline space.

• The center was developed in 2005 and features a sophisticated architectural look with high-quality construction, including combination stucco and brick facades with raised brick columns, ornamental lamp posts, and an eighty-foot clock tower/pylon sign with superb freeway visibility from Interstate 71/75.

• The center was expanded in 2017 to add a freestanding Petco store.

• Buttermilk Towne Center features a solid parking ratio with 4.8 spaces per 1,000 square feet of leasable space. Buttermilk Towne Center TENANCY • Buttermilk Towne Center is a 100% leased core-quality, grocery-anchored regional center, featuring an exceptional tenant line-up of high profile, creditworthy anchor tenants, specialty retailers, and restaurants.

• The center features exceptional long-term stability with an average weighted lease-term remaining of 6.9 years. The subject is anchored by Home Depot (2026 expiration), Field & Stream (Dick’s Sporting Goods, Inc., 2024 expiration), Remke Markets (2026 expiration), LA Fitness (2026 expiration), Petco (2028 expiration), and PNC (2035 expiration). Together these six total 83% of the income stream and 91% of the GLA o Home Depot (NYSE: HD) is the world’s largest home improvement retailer with revenues of over $100 billion in its last fiscal year and an S&P bond rating of “A”. o Field & Stream (NYSE: DKS) is Dick’s Sporting Goods’ specialty retail concept that offers a vast assortment of outdoor equipment, accessories, and services with a focus on hunting, fishing, and camping. Dick’s is the largest U.S. sporting goods retailer with FY 2018 revenues of $8.6 billion and 915 stores. o Remke Markets, a wholly-owned subsidiary of Fresh Encounters, operates nine upscale supermarkets in the Greater Cincinnati area under its banner. The grocer relocated to Buttermilk in 2006 from a previous store in the trade area. Parent company, Fresh Encounter, operates approximately 60 supermarkets throughout Ohio, Kentucky, and Indiana under a variety of banners including Needlers, Community Markets, and Sack N’ Save. o LA Fitness is one of the largest and fastest growing club chains in the fitness industry, with over 700 locations throughout the United States and Canada and estimated 2017 revenues of $2.1 billion. o Petco recently opened at Buttermilk in November 2017. The leading pet specialty retailer is listed as #100 on Forbes’ 2017 list of America’s largest private companies, with an estimated $4.1 billion in annual revenues and 25,000 employees.

• In addition, a significant opportunity to add value to the already strong base at Buttermilk Towne Center exists through the potential to develop an additional 22,000 square feet of rentable space between the LA Fitness and Field & Stream buildings, as well as develop four outlots along I-71/75, and an office service outlot north of Home Depot. FINANCIAL Buttermilk Towne Centre offers a Purchaser the opportunity to acquire a core quality regional center with upside potential. The property is being offered “free and clear” of any debt without a specific asking price.

In-Place Net Operating Income: $3,109,419 For further information contact owner’s exclusive representatives.

The Wrigley Building Benjamin J. Wineman 410 North Michigan Avenue, Suite 1100 (A Licensed KY Broker) Chicago, Illinois 60611 Direct: 630.954.7336 Direct: 630.954.7300 [email protected]

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies.