Lowe's & Target

LOWE’S & TARGET SHADOW-ANCHORED RETAIL CENTER GROUND LEASE CHICK-FIL-A PAD INCLUDED

NAP NAP

621 WOODBURY GLASSBORO ROAD SEWELL NEW JERSEY (PHILADELPHIA MSA)

ACTUAL SITE EXCLUSIVELY MARKETED BY

SARAH HUGHES CAFARO BRITT RAYMOND First Vice President Vice President SRS National Net Lease Group SRS National Net Lease Group

366 Madison Avenue, 5th Floor 366 Madison Avenue, 5th Floor New York, NY 10017 New York, NY 10017 D 212.710.5249 D 929.229.2614 M 856.905.4645 M 704.517.4712 [email protected] [email protected] NY License No. 10401264759 NY License No. 10401234463

MATTHEW MOUSAVI KYLE FANT Managing Principal Senior Associate SRS National Net Lease Group SRS National Net Lease Group

610 Newport Center Drive, Suite 1500 366 Madison Avenue, 5th Floor Newport Beach, CA 92660 New York, NY 10017 D 949.698.1116 D 929.229.2613 M 714.404.8849 M 973.632.1386 [email protected] [email protected] CA License No. 01732226 NY License No. 10401281546

Broker of Record: David Wirth, SRS Real Estate Partners -Northeast, LLC NJ License #1007635

3 ACTUAL SITE INVESTMENT PROPERTIES GROUP PROPERTY PHOTO

4 ACTUAL SITE INVESTMENT PROPERTIES GROUP INVESTMENT SUMMARY

SRS Investment Properties Group is pleased to offer the opportunity to acquire Mantua Square, a 100% leased, 55,403 SF retail center comprised of three separate buildings in Sewell (Mantua Township), New Jersey (Philadelphia MSA). The center features PetSmart, Dollar Tree, and Chick-Fil-A (single tenant, ground leased, drive- thru pad), and is shadow anchored by Lowe’s Home Improvement and Target (both NAP). Both Lowe’s and Target own and occupy their respective parcels. The balance of the tenant lineup includes Sally Beauty Supply, Great Clips, Advanced Physical Therapy, and Szechuan Asian Cuisine. The e-commerce resistant, varied tenant lineup of restaurants, daily needs, discount retailer, pet store, and medical use tenants promote crossover shopping within the shopping center. In addition, national brands account for over 86% of the base rental income in the center.

The subject property is ideally located along Woodbury Glassboro Road with an average of 21,500 vehicles passing per day. The site features large monument signage along Woodbury Glassboro Road. In addition, the site is located just off the 55 State Highway on/off ramp (45,200 cars per day). Mantua Square benefits from its location between major retailers Target and Lowe’s Home Improvement, who both draw customers from a wide trade area and generate significant traffic. Other notable tenants in the immediate trade area include Wendy’s, Dunkin Donuts, Verizon, and more. The site features strong demographics in the 5-mile trade with a population exceeding 138,000 residents and more than 53,000 workers. The 1-mile radius features average household incomes exceeding $132,000. Mantua, New Jersey is located 19 miles south of downtown Philadelphia, and just 15 miles from the Philadelphia International Airport.

5 ACTUAL SITE INVESTMENT PROPERTIES GROUP PROPERTY PHOTOS

6 ACTUAL SITE INVESTMENT PROPERTIES GROUP OFFERING SUMMARY Offering

PRICING $13,960,000

Price / SF: $252

NET OPERATING INCOME $977,183

CAP RATE 7.00%

MAJOR TENANTS: PetSmart Dollar Tree Chick-Fil-A (pad)

OCCUPANCY: 100%

Property Specifications

RENTABLE AREA 55,403 SF

LAND AREA 18.39 Acres

PROPERTY ADDRESS 621 Woodbury Glassboro Road, Sewell (Mantua Township), NJ 08080

YEAR BUILT 2008

PARCEL NUMBER 10-00242-0000-00007-02

OWNERSHIP Leased Fee (Chick-Fil-A pad) Fee Simple (Remaining Center)

Parcel Map

7 ACTUAL SITE INVESTMENT PROPERTIES GROUP INVESTMENT HIGHLIGHTS

Mantua Square | 100% Occupied | Anchored by Petsmart and Located Along Woodbury Glassboro Road (21,500 VPD) | Dollar Tree | Single Tenant Chick-Fil-A Pad Freeway Access | Large Monument Signage • 100% occupied center features a strong tenant lineup including PetSmart, • Located along Woodbury Glassboro Road (21,500 cars per day) Dollar Tree, and Chick-Fil-A (ground leased, drive-thru pad) • In addition, the site is located just off the State Highway 55 (45,200 cars per day) • National brands account for over 86% of the base rental income in the center • Convenient location with nearby direct on/off-ramp access • Shops tenants are Sally Beauty Supply, Great Clips, Advanced Physical Therapy, and Szechuan Asian Cuisine Close Proximity to Philadelphia • Mantua, New Jersey is located 19 miles south of downtown Philadelphia E-Commerce Resistant Tenants | Right Size Boxes • Just 15 miles from the Philadelphia International Airport • E-commerce resistant tenant lineup of restaurants, daily needs, discount • Philadelphia is the sixth most populous city with a population exceeding 1.5 retailer, pet store, and medical uses million • Provides security for an investor • PetSmart and Dollar Tree feature ideal, up to date footprint and junior box Strong Demographics | Affluent Six Figure Incomes sizing to tenant specifications • The affluent 1-mile radius features average household incomes exceeding $132,000 Long-Term Favorable Assumable Loan In Place • The site features strong demographics in the 5-mile trade with a population • Outstanding Loan Balance as of Oct-2019 is $7,568,943 exceeding 138,000 residents and more than 53,000 workers • Interest Rate at 4.66% with loan Maturity in Aug 2030

Lowe’s Home Improvement and Target Shadow Anchor | Dominant Retail Corridor • Ideal location between two major retailers Lowe’s Home Improvement and Target • Both draw customers from a wide trade area and generate significant crossover traffic • Immediate area along Woodbury Glassboro Road is the dominant retail corridor in the area

8 INVESTMENT PROPERTIES GROUP PROPERTY OVERVIEW

Location Access Traffic Counts Improvements Located within Glassboro Road/ County Route Woodbury Glassboro Road/ There is approximately Mantua Township 553: 1 Access Point County Route 553: 55,403 SF of in Gloucester County 21,500 Cars Per Day existing building area.

State Highway 55: 45,200 Cars Per Day

Parking Parcel Year Built Zoning There are approximately Parcel Number: 2008 PC - Planned Commercial 229 parking spaces 10-00242-0000-00007-02 on the owned parcel. The parking ratio is Acres: 18.39 approximately 4.13 stalls per 1,000 SF of leasable area. Square Feet: 801,068 SF

9 INVESTMENT PROPERTIES GROUP ROWAN COLLEGE AT GLOUCESTER COUNTY

Mantua Blvd.

8,300 CARS PER DAY

WOODBURY GLASSBORO ROAD / COUNTY 21,500ROUTE 553 CARS PER DAY

10 INVESTMENT PROPERTIES GROUP 45,200 CARS PER DAY

55 STATE HIGHWAY

WOODBURY GLASSBORO ROAD / COUNTY ROUTE 553

Mantua Blvd.

21,500 CARS PER DAY 8,300 CARS PER DAY

11 INVESTMENT PROPERTIES GROUP SEWELL ELEMENTARY SCHOOL 45,200 55 STATE HIGHWAY CARS PER DAY

8,300 CARS PER DAY

WOODBURY GLASSBORO ROAD / COUNTY ROUTE 553

21,500 CARS PER DAY

12 INVESTMENT PROPERTIES GROUP BANKBRIDGE GLOUCESTER REGIONAL COUNTY HIGH INSTITUTE OF SCHOOL 21,500 TECHNOLOGY CARS PER DAY COUNTY ROUTE 553

ROWAN COLLEGE AT GLOUCESTER COUNTY

SEWELL ELEMENTARY 20,600 SCHOOL CARS PER DAY

47 STATE HIGHWAY CHESTNUT RIDGE MIDDLE SCHOOL

WASHINGTON TOWNSHIP HIGH SCHOOL PITMAN 45,200 55 STATE HIGHWAY HIGH SCHOOL CARS PER DAY JEFFERSON HEALTH CARE CENTER PITMAN MIDDLE SCHOOL

13 INVESTMENT PROPERTIES GROUP SUITE NAME SQ FT 629 Szechuan Asian 1,500 631 Sally Beauty 1,500 633 Advanced Physical Therapy 1,500 635 Dollar Tree 15,000 637 Petsmart 27,403 641 Steak Out 1,625 643 Dazzling Nails 1,300 645 Great Clips 1,300 Pad Chick-Fil-A 4,275

DAZZLING NAILS 21,500 CARS PER DAY

WOODBURY GLASSBORO ROAD / COUNTY ROUTE 553

MANTUA BLVD.

14 INVESTMENT PROPERTIES GROUP 15 ACTUAL SITE INVESTMENT PROPERTIES GROUP LOCATION MAP

PHILADELPHIA 33 min 18 miles

2018 ESTIMATED POPULATION 1 Mile 3,987 3 Mile 42,056 5 Mile 138,767 2018 AVERAGE HOUSEHOLD INCOME 1 Mile $132,164 SEWELL 3 Mile $110,707 5 Mile $99,471 2018 ESTIMATED TOTAL EMPLOYEES 1 Mile 1,965 3 Mile 15,367 5 Mile 53,850

16 INVESTMENT PROPERTIES GROUP AREA OVERVIEW Sewell, New Jersey Sewell is an unincorporated community within Mantua Township in Gloucester County, New Jersey, United States. It is named for United States Senator William Joyce Sewell. Sewell is served as United States Postal Service ZIP code 08080. As of the 2010 United States Census, the population for ZIP Code Tabulation Area 08080 was 37,433. Sewell is notable for containing the Inversand marl pit, the last operational greensand mine in the world. The location has become renowned for its paleontology and is similar to many of the sites studied by early paleontologists, particularly Edward Drinker Cope. It is also home to the Barnsboro Inn, the oldest bar in New Jersey. Sewell is also home to Rowan College at Gloucester County and the Gloucester County Institute of Technology, both located within Deptford Township. The community is a planned stop on the Glassboro–Camden Line, a proposed 18-mile (28.97 km) diesel multiple unit (DMU) light rail line. Tall Pines State Preserve is a 111-acre (45 ha) nature preserve that opened in November 2015 as Gloucester County’s first state park and is located along the border of Deptford Township and Mantua Township. Originally a forest that was turned into an asparagus field and then a golf course, the land was preserved through the efforts of the South Jersey Land and Water Trust, the Friends of Tall Pines, Gloucester County Nature Club, and the New Jersey Green Acres Program. Gloucester County is a county located in the U.S. state of New Jersey. As of the 2017 Census estimate, the county’s population was 292,206, making it the state’s 14th-most populous county Gloucester County is located south of Philadelphia and northwest of Atlantic City. It is part of the Camden, New Jersey Metropolitan Division of the Philadelphia-Camden-Wilmington Metropolitan Statistical Area as well as the Delaware Valley Combined Statistical Area.

17 INVESTMENT PROPERTIES GROUP AREA OVERVIEW Philadelphia, Pennsylvania Philadelphia, known colloquially as Philly, is the largest city in the U.S. state and Commonwealth of Pennsylvania, and the sixth-most populous U.S. city, with a 2018 census-estimated population of 1,584,138. Since 1854, the city has been coterminous with Philadelphia County, the most populous county in Pennsylvania and the urban core of the eighth-largest U.S. metropolitan statistical area, with over 6 million residents as of 2017. Philadelphia is also the economic and cultural anchor of the greater Delaware Valley, located along the lower Delaware and Schuylkill Rivers, within the Northeast megalopolis. The Delaware Valley’s population of 7.2 million ranks it as the eighth-largest combined statistical area in the United States. The Philadelphia area’s many universities and colleges make it a top study destination, as the city has evolved into an educational and economic hub. Philadelphia is the center of economic activity in Pennsylvania and is home to five Fortune 1000 companies. The Philadelphia skyline is expanding, with a market of almost 81,900 commercial properties in 2016, including several nationally prominent skyscrapers. Philadelphia has more outdoor sculptures and murals than any other American city. Fairmount Park, when combined with the adjacent Wissahickon Valley Park in the same watershed, is one of the largest contiguous urban park areas in the United States. Philadelphia is the center of economic activity in Pennsylvania with the headquarters of five Fortune 1000 companies located within city limits. As of 2019, the Philadelphia metropolitan area is estimated to produce a gross metropolitan product (GMP) of $490 billion, an increase from the $445 billion calculated by the Bureau of Economic Analysis for 2017, representing the eighth largest U.S. metropolitan economy. Philadelphia was rated by the GaWC as a ‘Beta’ city in its 2016 ranking of world cities. Philadelphia’s economic sectors include financial services, health care, biotechnology, information technology, trade and transportation, manufacturing, oil refining, food processing, and tourism. Financial activities account for the largest economic sector of the metropolitan area, which is also one of the largest health education and research centers in the United States. Philadelphia’s annualized unemployment rate was 7.8% in 2014, down from 10% the previous year. This is higher than the national average of 6.2%. Similarly, the rate of new jobs added to the city’s economy lagged behind the national job growth. In 2014, about 8,800 jobs were added to the city’s economy. Sectors with the largest number of jobs added were in education and health care, leisure and hospitality, and professional and business services. Declines were seen in the city’s manufacturing and government sectors.

18 INVESTMENT PROPERTIES GROUP AREA DEMOGRAPHICS

1 MILE 3 MILES 5 MILES

2018 Estimated Population 3,987 42,056 138,767 2023 Projected Population 4,016 42,708 141,484 2010 Census Population 3,989 41,553 135,026 Projected Annual Growth 2018 to 2023 0.15% 0.31% 0.39%

2018 Estimated Households 1,378 15,266 50,300 2023 Projected Households 1,387 15,507 51,273 2010 Census Households 1,377 15,043 48,978 Projected Annual Growth 2018 to 2023 0.13% 0.31% 0.38% Historical Annual Growth 2010 to 2018 0.01% 0.18% 0.32%

2018 Estimated White 94.93% 90.59% 85.41% 2018 Estimated Black or African American 1.61% 4.87% 8.88% 2018 Estimated Asian or Pacific Islander 1.88% 2.81% 3.32% 2018 Estimated American Indian or Native Alaskan 0.53% 0.17% 0.19% 2018 Estimated Other Races 0.40% 0.79% 1.86% 2018 Estimated Hispanic 4.04% 3.88% 6.30%

2018 Estimated Average Household Income $132,164 $110,707 $99,471 2018 Estimated Median Household Income $100,716 $88,827 $79,264 2018 Estimated Per Capita Income $45,768 $41,075 $36,489

2018 Estimated Total Businesses 135 1,327 4,273 2018 Estimated Total Employees 1,965 15,367 53,850

19 INVESTMENT PROPERTIES GROUP RENT ROLL

Pro Pro Rental Increases Lease Lease Market Suite Tenant Name Size Rata Rent Rent Rent Rent Rata Increase Rent Rent Rent Rent Start End Rent Lease Options # SF (SF) Monthly $/SF/Mo Annual $/SF/Yr ($) Date Inc. Monthly $/SF/Mo Annual $/SF/Yr Date Date $/SF/Yr 629 Szechuan Asian 1,500 3% $2,375 $1.58 $28,500 $19.00 3% ------Dec-11 Dec-21 $18.00 None Cuisine

631 Sally Beauty 1,500 3% $1,500 $1.00 $18,000 $12.00 2% ------May-16 May-21 $18.00 2 (5-year) Supply Opt 1: $13.20 sf/yr Opt 2: $15.00 sf/yr 633 Advanced 1,500 3% $1,944 $1.30 $23,325 $15.55 2% Nov-19 2.5% $1,993 $1.33 $23,910 $15.94 Nov-11 Oct-21 $18.00 None Physical Therapy Nov-20 2.5% $2,043 $1.36 $24,510 $16.34

635 Dollar Tree 15,000 27% $13,250 $0.88 $159,000 $10.60 15% ------Jul-10 Jul-20 $11.00 3 (5-year) Opt 1: $11.10 sf/yr Opt 2: $11.60 sf/yr Opt 3: $12.10 sf/yr 637 Petsmart 27,403 49% $48,526 $1.77 $582,314 $21.25 56% ------Oct-08 Jan-24 $21.00 3 (5-year) Opt 1: $22.25 sf/yr Opt 2: $23.35 sf/yr Opt 3: $24.45 sf/yr 641 Steak Out 1,625 3% $4,247 $2.61 $50,960 $31.36 5% ------Dec-08 Dec-23 $34.00 3 (5-year) Opt 1: $35.12 sf/yr Opt 2: $39.33 sf/yr Opt 3: $44.05 sf/yr 643 Dazzling Nails 1,300 2% $3,868 $2.98 $46,410 $35.70 4% ------Nov-08 Nov-23 $34.00 1 (5-year) Opt 1: $41.05 sf/yr

The above information has been obtained from sources we believe to be reliable, however we cannot accept responsibility for its correctness. 20 INVESTMENT PROPERTIES GROUP RENT ROLL

Pro Pro Rental Increases Lease Lease Market Suite Tenant Name Size Rata Rent Rent Rent Rent Rata Increase Rent Rent Rent Rent Start End Rent Lease Options # SF (SF) Monthly $/SF/Mo Annual $/SF/Yr ($) Date Inc. Monthly $/SF/Mo Annual $/SF/Yr Date Date $/SF/Yr 645 Great Clips 1,300 2% $3,582 $2.76 $42,978 $33.06 4% ------Feb-09 Feb-24 $34.00 1 (5-year) Opt 1: $38.02 sf/yr

Pad Chick-Fil-A 4,275 8% $7,792 $1.82 $93,500 $21.87 9% Nov-22 10.0% $8,571 $2.00 $102,850 $24.06 Oct-11 Oct-26 $22.00 4 (5-year) (ground lease pad) Opt 1: $26.20 sf/yr Opt 2: $28.83 sf/yr Opt 3: $31.71 sf/yr Opt 4: $34.88 sf/yr Total Occupied 55,403 100% $87,082 $1.57 $1,044,987 $18.86 100% Total Vacant 0 0% $0 $0 0% Total / Wtd. Avg: 55,403 100% $87,082 $1.57 $1,044,987 $18.86 100% Notes 1) Sally Beauty Co-Tenancy: If less than 50% of Shopping Center's GLA is not opening for business, tenant may pay 3% of Gross Receipts as base rent. 2) Dollar Tree Co-Tenancy: If Petsmart or its successors vacates, tenant may begin immediately paying 3% of Gross Sales (capped at 50% of all rents due) as alternate rent. If 80% of co-tenancy space remains vacant for a 6-month consecutive period, tenant must terminate or resume paying base rent. 3) Dollar Tree Option: Must notify 6 months before expiration of lease term. 4) Petsmart Co-Tenancy: If a) Lowe's, Target, or their replacement tenants are not operating or b) 30% of the GLA (includes Lowe's and Target buildings), Tenant may pay 50% of base rent as alternate rent. If co-tenancy is not cured for a 1-year period, tenant may terminate the lease with 90 day notice. Additionally, if co-tenancy is not cured within an 18-month period, tenant must terminate the lease or resume paying base rent.

The above information has been obtained from sources we believe to be reliable, however we cannot accept responsibility for its correctness. 21 INVESTMENT PROPERTIES GROUP REIMBURSEMENT SUMMARY

Pro Suite Tenant Name Size Rata Prop. Ins. CAM Mngmt. Admin Reimbursement Reimbursement Notes # SF (SF) Taxes Fee PSF Annual 629 Szechuan Asian 1,500 2.71% Net Net Net Net 15% $7.18 $10,773 15% Admin on CAM and Insurance.

631 Sally Beauty 1,500 2.71% Net Net Net Net 0% $6.80 $10,195 Full pass-through. 5% annual cumulative cap (excluding snow and utilities) over 1st year actuals. Cap is not being hit per 2018 CAM Rec.

633 Advanced Physical 1,500 2.71% Net Net Net Net 15% $7.18 $10,773 15% Admin on CAM and Insurance. Therapy 635 Dollar Tree 15,000 27.07% Net Net Net None 10% $4.68 $70,256 Pays pro-rata share of expenses based on 12,000 SF as opposed to 15,000. CAM cap of 105% over previous year (excluding snow and property insurance). 10% admin fee (excluding insurance and taxes). CAM cap for the year 2019 is at $14,007. 637 Petsmart 27,403 49.46% Net Net Net None 10% $6.06 $166,070 Does not reimburse for management fee, roof, or fire. 10% admin on CAM excluding utilities, sign, common rd, and stormwater maintenance. 641 Steak Out 1,625 2.93% Net Net Net Net 0% $6.80 $11,044 Full pass-through.

643 Dazzling Nails 1,300 2.35% Net Net Net Net 0% $6.80 $8,836 Full pass-through

645 Great Clips 1,300 2.35% Net Net Net Net 0% $6.80 $8,836 Full pass-through.

Pad Chick-Fil-A 4,275 7.72% Net Net Net None 5% $5.73 $24,514 5% admin in lieu of management (excluding real estate taxes). 5% cap on CAM over the previous year (excluding snow, utilities and liability insurance). CAM cap for the year 2019 is at $3,770. NAP Lowe's - - - - See Note - 0% - $25,394 Tenant pays 89% of Water Tank Maint, 75.1% of Stormwater, Sewer Lift and Common Road Maint and 36.43% of Inversand Stormwater maint. NAP Target - - - - See Note - 5% - $2,433 Tenant pays 51.5% of inversand stormwater repairs and maintenance, 5% admin.

Total Occupied 55,403 100% Total Occupied $6.30 $349,124 86% Total Vacant 0 0% Total Vacant $0.00 $0 0% Total / Wtd. Avg: 55,403 100% Total Reimbursement $6.30 $349,124 86% Total Operating Expenses $7.31 $404,863 100%

22 INVESTMENT PROPERTIES GROUP CASH FLOW

Price / SF Annualized Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 For the Years Ending Mo 1 Annualized Oct-19 Sep-2020 Sep-2021 Sep-2022 Sep-2023 Sep-2024 Sep-2025 Sep-2026 Sep-2027 Sep-2028 Sep-2029 Sep-2030 ______Potential Gross Revenue Base Rental Revenue $18.86 $1,044,987 $1,046,773 $1,054,222 $1,059,370 $1,060,896 $1,095,829 $1,112,621 $1,121,631 $1,142,309 $1,145,492 $1,181,932 $1,202,546 Absorption & Turnover Vacancy $0.00 0 0 0 (9,548) 0 0 0 0 (11,069) 0 (15,127) 0 ______Scheduled Base Rental Revenue $18.86 1,044,987 1,046,773 1,054,222 1,049,822 1,060,896 1,095,829 1,112,621 1,121,631 1,131,240 1,145,492 1,166,805 1,202,546 Expense Reimbursement Revenue $6.30 349,182 349,182 359,896 366,285 381,057 392,915 405,061 417,554 426,310 443,770 454,563 471,830 ______Total Potential Gross Revenue $25.16 1,394,169 1,395,955 1,414,118 1,416,107 1,441,954 1,488,744 1,517,681 1,539,184 1,557,550 1,589,262 1,621,368 1,674,376 General Vacancy ($0.24) (13,534) (13,561) (13,706) (9,325) (14,153) (15,083) (15,500) (15,734) (10,677) (16,206) (12,664) (17,712) ______Effective Gross Revenue $24.92 1,380,634 1,382,394 1,400,412 1,406,782 1,427,801 1,473,661 1,502,182 1,523,450 1,546,872 1,573,056 1,608,704 1,656,663 ______Operating Expenses Property Taxes $4.23 234,289 234,289 241,318 248,557 256,014 263,694 271,605 279,753 288,146 296,790 305,694 314,865 Insurance $0.41 22,467 22,467 23,141 23,835 24,550 25,287 26,045 26,827 27,632 28,461 29,314 30,194 CAM $1.93 106,983 106,983 110,192 113,498 116,903 120,410 124,023 127,743 131,576 135,523 139,589 143,776 Management $0.75 41,419 41,472 42,012 42,203 42,834 44,210 45,065 45,703 46,406 47,192 48,261 49,700 ______Total Operating Expenses $7.31 405,158 405,211 416,664 428,094 440,301 453,601 466,739 480,027 493,759 507,965 522,858 538,535 ______Net Operating Income $17.61 975,476 977,183 983,749 978,688 987,500 1,020,060 1,035,443 1,043,423 1,053,113 1,065,091 1,085,846 1,118,129 ______Leasing & Capital Costs Tenant Improvements - 0 0 0 31,827 0 0 0 0 36,896 0 33,924 Leasing Commissions - 0 0 0 11,406 0 0 0 0 13,222 0 22,964 ______Total Leasing & Capital Costs - 0 0 0 43,233 0 0 0 0 50,119 0 56,888

Debt Service - (477,002) (477,002) (477,002) (477,002) (477,002) (477,002) (477,002) (477,002) (477,002) (477,002) (477,002) ______Cash Flow After Debt Service - 498,474 500,181 506,747 458,453 510,498 543,058 558,441 566,421 525,992 588,089 551,956 & Before Taxes ======

Occupancy Trends Average Physical Occupancy - 55,403 55,403 54,903 55,403 55,403 55,403 55,403 54,903 55,403 55,062 55,403 Average Physical Occupancy - % - 100.00% 100.00% 99.10% 100.00% 100.00% 100.00% 100.00% 99.10% 100.00% 99.38% 100.00%

Cap Rate - 6.99% 7.00% 7.05% 7.01% 7.07% 7.31% 7.42% 7.47% 7.54% 7.63% 7.78% Cash/Cash - 7.80% 7.83% 7.93% 7.17% 7.99% 8.50% 8.74% 8.86% 8.23% 9.20% 8.64%

23 INVESTMENT PROPERTIES GROUP

The above information has been obtained from sources we believe to be reliable, however we cannot accept responsibility for its correctness. CASH FLOW

PRICING EXISTING LOAN (LIFECO) - MUST BE ASSUMED SALE Purchase Price: $13,960,000 Outstanding Loan Balance (Oct-2019): $7,568,943 54% Exit Price: $15,973,000 Price PSF: $252 Down Payment: $6,391,057 46% Exit Cap: 7.00% Year 1 NOI: $977,183 Payment (annual): ($477,002) Loan Balance at Sale: $6,166,776 Year 1 Cap: 7.00% Interest Rate: 4.66% Est. Prepay. Penalty $105,035 Year 1 C/C: 7.83% Loan Constant: 6.30% Leveraged IRR: 11.24% Amortization Period: 30 years Unleveraged IRR: 8.16% Maturity: Aug 2030 Est. Prepay. Penalty (Oct 2019) $1,782,848

Loan Notes: 1) Prepayment Penalty is equal to the greater of a) 1% of OLB or b) the net present value of principal payments, interest payments, and balloon payments discounted at a rate equal to the Treasury Constant Maturity Nominal 10 on a monthly basis - contact Agent for specific details. 2) For this analysis we used an estimated discount rate of 2.00% for Oct 2019 and 3.00% for Oct 2029.

10-YEAR HOLD YEAR 0 YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6 YEAR 7 YEAR 8 YEAR 9 YEAR 10 Purchase Price (13,960,000) Loan Amount 7,568,943 Cash Flow 500,181 506,747 458,453 510,498 543,058 558,441 566,421 525,992 588,089 551,956 OLB at Sale (6,166,776) Sale Price 15,973,000 Prepayment (105,035) Total Cash Flow (6,391,057) 500,181 506,747 458,453 510,498 543,058 558,441 566,421 525,992 588,089 10,253,145

24 INVESTMENT PROPERTIES GROUP ASSUMPTIONS

GENERAL INFORMATION AE 11.8 MARKET ASSUMPTIONS SHOPS TENANTS ANCHOR TENANTS Analysis Start Date 10/1/2019 Market Rent See Rent Roll See Rent Roll Term 10 Years Rental Increases 3% Annual 10% every 5-years Inflation 3% Lease Term 5 Years 10 Years Market Rent Growth 3% Rental Abatements None None General Vacancy 5% * Renewal Probability 75% 75% Expense Growth 3% Vacant Space Turnover 6 Months 9 Months

Property Tax Growth 3% NNN, no mgmt. Expense Recapture NNN, incl. mgmt. (admin fees same as previous)

Tenant Improvements (PSF) New / Renewal $10 / $0 $10 / $0 Leasing Commissions New / Renewal 6% / 3% 6% / 3%

NOTES 1) *General vacancy excludes PetSmart, Dollar Tree, and Chick-Fil-A. 2) All expenses are per the 2019 budget. Management fee estimated at 3% EGI. 3) All tenants assumed to exercise option periods as noted on the rent roll.

25 INVESTMENT PROPERTIES GROUP BRAND PROFILE

PetSmart Dollar Tree

www.PetSmart.com Company Type: Public (NASDAQ: DLTR) Company Type: Private 2018 Employees: 56,300 Locations: 1,600+ 2018 Revenue: $22.25 Billion 2018 Net Income: $1.71 Billion PetSmart, Inc. is the largest specialty pet retailer of services and solutions 2018 Assets: $16.33 Billion for the lifetime needs of pets. The company offers consumables, such as 2018 Equity: $7.18 Billion pet food, treats, and litter; and hardgoods, which include pet supplies and Credit Rating: S&P: BBB- other goods comprising collars, leashes, health care supplies, grooming Credit Rating: Moody’s: Baa3 and beauty aids, toys, apparel, and pet beds and carriers, as well as Dollar Tree Stores, Inc. owns and operates a chain of discount variety aquariums and habitats, accessories, décor, and filters for fish, birds, stores in the United States. Its stores offer housewares, glassware, reptiles, and other small pets. The company employs approximately dinnerware, cleaning supplies, candies, snacks, foods, health and beauty 55,000 associateand operate more than 1,600 pet stores in the United products, toys, gifts, gift bags and wraps, party supplies, stationery, craft States, Canada and Puerto Rico as well as more than 200 in-store supplies, teaching supplies, books, seasonal décor items, and more. The PetSmart PetsHotel dog and cat boarding facilities. company also sells products online. It was formerly known as Only $1.00 Inc. and changed its name to Dollar Tree Stores, Inc. in January 1993. Dollar Tree, a Fortune 200 Company, now operates 15,000 stores across 48 states and five Canadian provinces as of August 2, 2018. Stores operate under the brands of Dollar Tree, Family Dollar and Dollar Tree Canada. The company was founded in 1986 and is based in Chesapeake, Virginia.

26 REPRESENTATIVE PHOTO INVESTMENT PROPERTIES GROUP BRAND PROFILE

Chick-fil-A Great Clips

www.chick-fil-a.com www.greatclips.com Company Type: Private Company Type: Private Locations: 2,300+ Locations: 4,200+

Chick-fil-A, Inc. owns, operates, and franchises a chain of quick-service Great Clips, Inc. operates a chain of salons in the United States and chicken restaurants in the United States. Its restaurant concepts include Canada. It offers an online check-in service, which enables customers to mall/in-line restaurants; stand-alone restaurants; drive-thru only outlets; add their name to the wait list of a Great Clips salon before they arrive. full-service restaurants; non-traditional outlets; and satellite/lunch- The company offers daily care and styling products for men, women, and counters. The company also includes a ‘50s diner-themed concept frill kids. The company also provides hair care products, including conditioners, restaurant; and a restaurant concept that offers fresh seafood items, as detanglers, gels, hair sprays/spritzes, mousses/foams, shampoos, shines, well as other Hawaii-inspired dishes. In addition, it offers catering services. smoothing/straightening products, texturizers, specialty products, thermal Chick-fil-A serves freshly prepared food in more than 2,300 restaurants in protectants, hair treatments, and volumizers; and body care products. It 47 states and Washington, D.C. The company was founded in 1946 and is franchises its business. Great Clips, Inc. was founded in 1982 and is based based in Atlanta, Georgia. in Minneapolis, Minnesota.

27 REPRESENTATIVE PHOTO INVESTMENT PROPERTIES GROUP BRAND PROFILE

advanced physical therapy Sally Beauty www.advancedphysicaltherapyofsj.com Company Type: Public (NYSE: SBH) Company Type: Private 2017 Employees: 14,035 Locations: 4 2017 Revenue: $3.94 Billion 2017 Net Income: $215.08 Million Advanced Physical Therapy Services, P.C. provides healthcare services. The 2017 Assets: $2.12 Billion Company offers physical and hand therapy, work conditioning, women’s Credit Rating: S&P: BB- healthcare, fitness center, employer worksite solutions, sports medicine, Credit Rating: Moody’s: Ba1 and specialty services. Advanced Physical Therapy Services serves customers in the United States. Sally Beauty Holdings, Inc., together with its subsidiaries, operates as a specialty retailer and distributor of professional beauty supplies. The company operates through two segments, Sally Beauty Supply and Beauty Systems Group. The Sally Beauty Supply segment offers beauty products, including hair color and care, skin and nail care, beauty sundries, and styling tools for retail customers and salon professionals. The company also distributes its products through full-service/exclusive distribution, open-line distribution, and direct and mega-salon stores. Sally Beauty Holdings, Inc. was founded in 1964 and is headquartered in Denton, Texas.

28 REPRESENTATIVE PHOTO INVESTMENT PROPERTIES GROUP SRS INVESTMENT PROPERTIES GROUP IS THE EXCLUSIVE NET LEASE CAPITAL MARKETS TEAM OF SRS REAL ESTATE PARTNERS.

275+ 25+ #1 1500+ $2.6B

RETAIL OFFICES LARGEST REAL ESTATE RETAIL LISTINGS TRANSACTION PROFESSIONALS SERVICES FIRM in 2018 VALUE in North America in 2018 exclusively dedicated to retail

This Offering Memorandum has been prepared by SRS Investment Properties Group (SRS) and has been approved for distribution by the owner. Although effort has been made to provide accurate information, neither the owner nor SRS can warrant or represent accuracy or completeness of the materials presented herein or in any other written or oral communications transmitted or made available to the purchaser. Many documents have been referred to in summary form and these summaries do not purport to represent or constitute a legal analysis of the contents of the applicable documents. Neither owner nor SRS represents that this offering summary is all inclusive or contains all of the information a purchaser may require. All of the financial projections and/or conclusions presented herein are provided strictly for reference purposes and have been developed based upon assumptions and conditions in effect at the time the evaluations were undertaken. They do not purport to reflect changes in the economic performance of the property or the business activities of the owner since the date of preparation of this Offering Memorandum. The projected economic performance of the property, competitive submarket conditions, and selected economic and demographic statistics may have changed subsequent to the preparation of the package. Qualified purchasers are urged to inspect the property and undertake their own independent evaluation of the property, the market and the surrounding competitive environment.

*Statistics are for 2018

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