ARCHER STATION LA Fitness, Ross Dress for Less, AT&T & Athletico Physical Therapy 2620-2640 W Pershing Road Chicago, IL 60632 TABLE of CONTENTS

NET LEASE INVESTMENT OFFERING ARCHER STATION LA Fitness, Ross Dress for Less, AT&T & Athletico Physical Therapy 2620-2640 W Pershing Road Chicago, IL 60632 TABLE OF CONTENTS TABLE OF CONTENTS I. Executive Profile II. Financial Overview III. Location Overview IV. Market & Tenant Overview Executive Summary Class C Tax Incentive Photographs Demographic Report Investment Highlights Rent Roll Aerial Market Overview Property Overview ProForma Analysis Site Plan Tenant Overview Maps NET LEASE INVESTMENT OFFERING DISCLAIMER STATEMENT DISCLAIMER The information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended STATEMENT: 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 Archer Station, a fully leased four tenant shopping center located in SUMMARY: the city of Chicago. Archer Station is fully leased to LA Fitness, Ross Dress for Less, AT&T and Athletico Physical Therapy. The center is positioned in a densely populated urban in-fill location with significant barriers to entry. LA Fitness is a free standing building with a long term lease with 14 years remaining. Archer Station is strategically located at the signalized intersection of Archer Avenue and Pershing Road in the city of Chicago. This intersection experiences traffic counts in excess of 36,000 vehicles per day. The surrounding area is densely concentrated with commercial and residential buildings providing for significant barriers to entry. There are over 46,000 people living within a one mile radius of the property. The property is benefitted by its proximity to Interstate 55 which is located approximately one-half mile north of the property. Interstate 55 is the primary artery linking Chicago to its southwest suburbs and experiences traffic counts in excess of 172,000 vehicles per day. The 35th & Archer CTA Orange Line “L” Station is located blocks from the property and links residents in the surrounding area to downtown. Archer Station is a green development and includes features such as permeable pavers in the parking lots as well as all of the buildings having been built to a higher energy efficiency level: ASHRAE + 14%. The original 15 year LA Fitness lease expires on February 28, 2031. The lease features 10% rental escalations every five years throughout the primary term and in each of the four 5-year renewal option periods. The 10 year Ross Dress for Less lease commenced December 2016. The lease features a 10% rental escalation in the sixth lease year and escalations in each of the four 5-year renewal option periods. AT&T executed a new 7 year lease that features a 10% rental escalation in the sixth lease year. Athletico executed a new 7 year lease with a 5.9% rental escalation in the fifth lease year and annual escalations in each two 5-year renewal option periods. NET LEASE INVESTMENT OFFERING EXECUTIVE SUMMARY EXECUTIVE LA Fitness is a privately-owned American health club chain with over 800 clubs across the United States and Canada. LA SUMMARY: Fitness is the dominant market leader in the Chicago MSA with approximately 40 locations in the area. The LA Fitness has generated substantial traffic to the property from residents of the surrounding neighborhood and has experienced significant new membership enrollment since opening. Ross Dress for Less is an off-price apparel and home fashion retailer with 1,500 locations in 34 states and the District of Columbia. Ross Stores, Inc. is an investment grade rated company with a Standard and Poor’s rating of A-. The company is publicly traded on the NASDAQ (ROST) with a market capitalization in excess of $24 billion. AT&T is the largest telecommunications company in the word and the second largest provider of mobile in the United States. As of 2016, it is the 17th-largest mobile telecom operator in the world, with 130.4 million mobile customers. AT&T is a publicly traded company (NYSE: T) with a market capitalization in excess of 146.8 Billion. AT&T is an investment grade rated company with a Standard & Poor’s rating of BBB. The guarantor of the lease is Custom Communications, Inc. which operates 84 AT&T retail stores. Athletico Physical Therapy is in the field of physical therapy, orthopedic rehabilitation, sports medicine and athletic training. Athletico began in Chicago in 1991 and today has over 330 facilities throughout Arizona, Illinois, Indiana, Iowa, Michigan, Missouri, Ohio, South Dakota and Wisconsin, and employs over 4,000 clinical and administrative staff, and offers more than 40 specialty rehabilitation, outreach, and fitness services. Athletico is benefited by the adjacent LA Fitness which has experienced significant new membership enrollment since opening. NET LEASE INVESTMENT OFFERING INVESTMENT HIGHLIGHTS INVESTMENT • Located in the city of Chicago HIGHLIGHTS: • Rare new construction in-fill location • New green development construction • New long term leases • Leases feature rental escalation in the primary term • Tenants are industry leaders • Significant barriers to entry due to the densely concentrated immediately area • Positioned at a heavily trafficked signalized intersection • Over 46,000 people living within a one mile radius of the property • Approximately one-half mile south of Interstate 55 (172,000 vehicles per day) • Located blocks southwest from the CTA Orange Line ‘L’ 35th/Archer Station NET LEASE INVESTMENT OFFERING PROPERTY OVERVIEW Property The Class C tax incentive is a real estate tax incentive program PROPERTY established to provide tax relief to developers of properties OVERVIEW: Net Operating Income: $1,516,891 that were once subject to environmental contamination, but have been remediated and put into a commercial use. The Cap Rate: 6.50% incentive reduces taxes by an amount of 60% for the first Price: $23,841,615 ten years, 40% for the 11th year, 20% for the 12th year, and terminates thereafter. Landlord to pay the reduced Class C Class C Tax Incentive taxes while the Tenant reimburses the Landlord for the full NPV of Tax Incentive: $1,851,497 assessed amount. 100% of the additional income for Ross Dress for Less, AT&T & Athletico Physical Therapy is Total Purchase Price: $25,693,112 retained by the Landlord. For LA Fitness, 33% will be passed on to the Tenant with the Landlord retaining the remaining 67% as additional income. *See box for explanation and calculation of Class C Tax Incentive CLASS C TAX Ross Dress for Less LA Fitness AT&T & Athletico INCENTIVE Year Tax Incentive Year Tax Incentive Year Tax Incentive SCHEDULE: 1 $106,500 1 $114,168 1 $20,448 2 $106,500 2 $114,168 2 $20,448 3 $106,500 3 $114,168 3 $20,448 4 $106,500 4 $114,168 4 $20,448 5 $106,500 5 $114,168 5 $20,448 6 $106,500 6 $114,168 6 $20,448 7 $106,500 7 $114,168 7 $20,448 8 $106,500 8 $114,168 8 $20,448 9 $106,500 9 $114,168 9 $20,448 10 $106,500 10 $114,168 10 $20,448 11 $71,000 11 $76,112 11 $13,632 12 $35,500 12 $38,056 12 $6,816 NPV $817,799 NPV $876,681 NPV $157,017 TOTAL NPV $1,851,497 Note: The tax credit was calculated by discounting the future tax credit payments at a rate of 6.5% to obtain the net present value. For the purpose of analysis, the tax credit schedule has been annualized. NET LEASE INVESTMENT OFFERING RENT ROLL RENT Square Commencement Expiration Options Annual Rent Step-Up CAM/TAX/ ROLL: Tenant Feet Date Date Rent Escalations Date INS LA Fitness 40,000 February 10, 2016 February 28, 2031 Four 5-Year $960,000 $1,056,000 Year 6 NNN $1,161,600 Year 11 $1,277,760 Option 1 $1,405,536 Option 2 $1,546,090 Option 3 $1,700,699 Option 4 Ross Dress For Less 25,000 December 27, 2016 January 31, 2027 Four 5-Year $418,750 $460,500 Year 6 NNN $506,500 Option 1 $557,250 Option 2 $613,000 Option 3 FMV* Option 4 AT&T 2,100 January 17, 2017 January 31, 2024 Two 4-Year $81,900 $90,090 Year 6 NNN $90,090 Option 1 $99,099 Option 2 Athletico 2,720 December 28, 2016 December 31, 2023 Two 5-Year $92,480 $97,920 Year 5 NNN $99,878 Option 1 $110,274 Option 2 Total 69,820 $1,553,130 * Under no circumstance shall the rent in the fourth option be lower than the rent in the preceding third option period NET LEASE INVESTMENT OFFERING PROFORMA ANALYSIS PROFORMA Income ANALYSIS: Base Rent $1,553,130 Recoveries CAM/Insurance $174,550 Real Estate Taxes 418,920 Administration Fee1 13,955 Total Recoveries $607,425 Gross Rental Income $2,160,555 Vacancy Allowance (0%) $- Effective Gross Income $2,160,555 Expenses CAM/Insurance2 $(174,550) Real Estate Taxes3 (418,920) Management Fee4 (43,211) Reserves (6,982) Total $(643,663) Net Operating Income $1,516,891 Notes: 1) LA Fitness pays an administration fee equal to 10% of CAM.

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