EXCLUSIVESunTrust (Ground LISTING Lease) | Purcellville, VA Offering Memorandum

SunTrust (Ground Lease) | Purcellville, VA

Actual Site

ANDREW FALLON EXECUTIVE MANAGING DIRECTOR (703) 787-4733 [email protected] CALKAIN.COMCALKAIN.COM

1 SunTrust (Ground Lease) | Purcellville, VA Offering Memorandum

Rent Schedule Financial Summary Term Increases Annual Rent Monthly Rent 2/15/2012 - 2/28/2017 - $350,000.00 $29,166.67 160 Purcellville Gateway Dr | Purcellville, VA 3/1/2017 - 2/28/2022 10% $385,000.00 $32,083.33 Asking Price $7,475,000 | Cap Rate 5.15% 3/1/2022 - 2/28/2027 10% $423,500.00 $35,291.67 3/1/2027 - 2/28/2032 10% $465,850.00 $38,820.83 Net Operating Income (NOI) $385,000 3/1/2032 - 2/28/2037 10% $512,435.00 $42,702.92 (Option 1) Rent/Month $32,083.33 3/1/2037 - 2/28/2042 10% $563,678.50 $46,973.21 Rentable Square Feet 3,826+/- SF (Option 2) 3/1/2042 - 2/28/2047 10% $620,046.35 $51,670.53 Land Area 0.51+/- Acres (Option 3) 3/1/2047 - 2/28/2052 Tenant Name SunTrust 10% $682,050.99 $56,837.58 (Option 4) Credit Rating S&P: BBB+

Stock Symbol NYSE: STI Investment Highlights Guarantor Corporate •• 14 year bank ground lease Ownership Type Ground Lease •• Investment grade credit (S&P: BBB+)

Lease Type NNN •• New construction, opened December 2017 •• 10% rent increases every 5 years & throughout option periods Landlord Responsibilities None •• Part of the Harris Teeter anchored Purcellville Gateway Shopping Center Year Built 2017 with other national retail tenants including Chick-fil-A, Starbucks & MOD Pizza Lease Term Remaining 14 Years •• Washington, DC suburb Rent Commencement February 15, 2012 •• Located off Route 7 in Northern on Berlin Turnpike and E Main Street with traffic counts of 17,400 VPD Lease Expiration February 28, 2032 •• Northern VA market with high 2.05% annual population growth Increases 10% Every 5 Years •• Average HH income of $121,063 within 1 mile

Options Four (4), Five (5) Year •• Corner pad at signalized entrance, great visibility

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Site Photos

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Tenant Overview

About SunTrust Bank SunTrust (NYSE: STI) is the holding company and publicly traded side of SunTrust Bank, one of the country’s biggest regional banks. As of September 2016, SunTrust Bank operates 1,400 bank branches and 2,160 ATMs across 11 southeastern states and Washington, DC. SunTrust Banks, Inc. is a purpose-driven company dedicated to lighting the way to financial well-being for the people, businesses, and communities it serves. Headquartered in , the Company has three business segments: Consumer Banking and Private Wealth Management, Wholesale Banking, and Mortgage Banking. Its flagship subsidiary, SunTrust Bank, operates an extensive branch and ATM network throughout the high-growth Southeast and Mid-Atlantic states, along with 24-hour digital access. Certain business lines serve consumer, commercial, corporate, and institutional clients nationally. As of September 30, 2016, SunTrust had total assets of $205 billion and total deposits of $159 billion. The Company provides deposit, credit, trust, investment, mortgage, asset management, securities brokerage, and capital market services.

Tenant Snapshot # of Locations 1,400+ Stock Symbol NYSE: STI Credit Rating S&P: BBB+

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Purcellville Gateway Center

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Location Overview

Distance To: Leesburg, VA 8 miles Dulles Int Airport 25 miles Washington, DC 48 miles Hagerstown, MD Alexandria, VA 54 miles

Subject Site Frederick, MD

Baltimore, MD

7 Leesburg, VA

Dulles Int Airport Washington, DC

Alexandria, VA

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160 Purcellville GatewaySurrounding Dr | Purcellville, Retail VA

Woodgrove High School

Purcellville Gateway 7 Harry Byrd Hwy/Route 7 26,000 VPD

Chick-fil-A

N Hatcher Ave

E Main St 12,000 VPD Catoctin Corner Subject Site

7 SunTrust (Ground Lease) | Purcellville, VA Offering Memorandum

160 Purcellville GatewaySurrounding Dr | Purcellville, Retail VA Berlin Tpke 5,400 VPD

Chick-fil-A

Catoctin Corner Subject Site

E Main St 12,000 VPD

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160 PurcellvillePurcellville Gateway Gateway Dr | Purcellville, Site Plan VA

Chick-fil-A

Subject Site Berlin Tpke 5,400 VPD

E Main St 12,000 VPD

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SunTrust Site Plan

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Market Overview

Purcellville, VA Purcellville is an award-winning town of nearly 8,500 residents located in Loudoun County, approximately 40 miles west of Washington, DC. It has been honored for its green initiatives, most recently with the prestigious Siemens Sustainability Award for Small Communities. Once a stop along the W&OD rail line, Purcellville has maintained its historic old-town feel through the restoration and maintenance of its many downtown structures, reflecting the Victorian architecture popular during the early 1900s. Today, Purcellville is the economic hub of western Loudoun County and a popular weekend destination for antiquing, entertainment, farmer’s markets, wineries, breweries, distilleries and restaurants. Train Station

Patrick Henry College Downtown Purcellville

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In The News

Department of Economic Development Announces Record-Breaking Year Loudoun Economic Development Executive Director Buddy Rizer (center) speaks before the county business community at the FY17 Annual Report Reveal July 27 at Selma Mansion in Leesburg. Rizer is joined on the balcony by Supervisor Suzanne Volpe (left) and “Loudoun County Virginia: Preserving Tradition, Embracing Innovation” photographer David Galen (right) and author Dusty Smith (far right). Fiscal year 2017 was one of tremendous growth, according to the Loudoun County Department of Economic Development. The DED revealed some of the FY2017 report findings at an event July 27 at the Over the last three years, Loudoun has attracted more than $7.2 billion in Selma Mansion in Leesburg. Guests received a summary of the report as well as a investment and 10,000 new jobs, Rizer said. Rizer credited Loudoun’s diverse book commissioned by the DED to tell Loudoun’s story. economy, which encompasses the technologically advanced like data centers as “In what other county can we be the data center capital of the world but then have well as a large rural component. the incredible beauty that we see here tonight, and the rich history we have in our “It’s that diversity in our economy that sets us up for the future and it’s easy for us county?” Supervisor Suzanne Volpe (R-Algonkian) said. “We need to cherish our to take for granted the success we’ve had in Loudoun County but we should never heritage while being innovative.” take that for granted. It comes from all of our hard work,” Rizer said. According to the annual report, the DED worked with more than 100 businesses Rizer also said the economic success of the county comes from inter-departmental that moved to or expanded in the county between July 1, 2016 and June 30, 2017. cooperation, specifically citing the Board of Supervisors. He said the Board has Those businesses invested a combined total of $3.3 billion in Loudoun, bringing made it easy to do business in Loudoun and by working to create a supportive, the department’s three-year total to more than $7.2 billion in new, announced welcoming environment, the county has prospered. He also cited the County’s commercial investment. This is the largest amount of business investments in the Attorney’s Office, Department of Planning and Zoning, County Administrator Tim country for counties Loudoun’s size, DED Executive Director Buddy Rizer said. Hemstreet and all county staff. This is the department’s third record-breaking year in a row, following $1.6 billion “If all of us do work together, if all of us work work to create the right kind of in FY15 and $2.3 billion in FY16. environment, it is possible for us to go forward. It’s possible for us to make the The companies that moved to or expanded in Loudoun in FY17 are from a wide kind of economy we can be proud of in an environment that still remains very range of industries, which include cyber security, health IT, aviation and aerospace, committed to what we grew up on in Loudoun County,” Rizer said. “For me, when data centers, craft beverage producers and IT organizations of many kinds. we all work together, anything can be Loudoun possible.”

Sourse: www.loudountribune.com | July 28, 2017

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Demographics

Radius 1 Mile 3 Miles 5 Miles Population 2017 Population 5,004 15,951 26,493 2022 Population 5,576 18,388 30,773 2010-2017 Annual Rate 1.07% 1.72% 2.01% 2017-2022 Annual Rate 2.19% 2.88% 3.04% 2017 Male Population 47.8% 48.9% 49.1% 2017 Female Population 52.2% 51.1% 50.9% 2017 Median Age 35.4 37.7 38.9 Households 2017 Total Households 1,629 5,123 8,640 2022 Total Households 1,823 5,899 10,026 2010-2017 Annual Rate 1.19% 1.71% 2.03% 2017-2022 Annual Rate 2.28% 2.86% 3.02% 2017 Average Household Size 2.97 3.06 3.03 Median Household Income 2017 Median Household Income $101,705 $119,917 $127,508 2022 Median Household Income $109,813 $132,725 $141,062 2017-2022 Annual Rate 1.55% 2.05% 2.04% Average Household Income 2017 Average Household Income $121,063 $147,817 $157,111 2022 Average Household Income $138,922 $167,993 $176,554 2017-2022 Annual Rate 2.79% 2.59% 2.36% Per Capita Income 2017 Per Capita Income $41,094 $48,414 $51,353 2022 Per Capita Income $47,060 $54,808 $57,567 2017-2022 Annual Rate 2.75% 2.51% 2.31%

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About Calkain

Who Are We? Calkain Companies LLC is a national commercial real estate firm that provides With the growth in staff, seasoned professionals have been attracted to Calkain’s consulting and brokerage services to both private and institutional clientele model of innovation, entrepreneurship and the fostering of long-lasting and with an expertise on triple net lease investments. We pride ourselves on being meaningful relationships. Industry experts have joined Calkain in the hopes of a world class leader by providing our clients a full array of commercial real estate implementing the skills they have honed in complementary aspects of real estate investment brokerage and asset management solutions, including advisory, investment. research, estate planning and wealth management. Through a tremendous endeavor, tireless hours have been committed to We have built solid relationships throughout our decades of experience and continually prove that Calkain is America’s Net Lease Company®. Its countless innovation, implementing long-term allocation within the context of each client’s accolades received from the world’s leading business publications, including particular risk tolerance and identifying how best to acquire and dispose of income Forbes™, Fortune™ and ™ have confirmed that Calkain is a producing properties for each entities’ specific set of investment criterion. At true leader in triple net lease investing services. Calkain, our foresight and past performance are leading the net lease investment industry. Our History Client Testimonial Like most success stories, Calkain was formulated from humble beginnings. “USRA has worked with Calkain on numerous occasions. They have always been Jonathan W. Hipp, President and CEO, took the initiative to build upon his meticulous in their work ethic, providing superior service and extremely prompt decades of experience and performance and left a large international brokerage attention to our needs. I highly recommend them. firm to become an independent and innovative leader within the triple net lease –Jack Genende, Partner | U.S. Realty Advisors, LLC. (USRA) investment community. Armed with a sole employee and a single office, the firm has grown exponentially since its infancy in 2005.

$11.5 Billion $350 Million in Closed Transactions in Active Listings

ANDREW FALLON EXECUTIVE MANAGING DIRECTOR (703) 787-4733 [email protected] CALKAIN.COMCALKAIN.COM

14 Contact Us

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DISCLAIMER: The information contained in this document is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Calkain and its subsidiaries, and should not be made available to any other person or entity without the written consent of Calkain. This document has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property(s). The information contained herein is not a substitute for a thorough due diligence investigation. Calkain and its subsidiaries have not made any investigation, and make no warranty or representation, with respect to the income or expenses for the subject property(s), the future projected financial performance of the property, the size and square footage of the property(s) and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regula- tions, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property(s). The information contained in this document has been obtained from sources we believe to be reliable; however neither Calkain and its subsidiaries nor the Seller have verified, and will not verify, any of the information contained herein, nor has Calkain and its subsidiaries or the Seller conducted any investigation regarding these matters and make 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.