WALGREENS Investment Offering 2200 E Pioneer Pkwy Arlington, TX 76010

WALGREENS investment offering 2200 E Pioneer Pkwy Arlington, TX 76010

ACTUAL SITE TABLE OF CONTENTS DISCLAIMER

This Marketing Package was prepared by Wertz Real Estate Investment Services and DZ Net Lease Realty, LLC (“Broker”) solely for the use of prospective buyer considering the purchase of the Property within (the “Property”) and is not to be used for any other purpose. Neither the Broker nor the Owner of the Property make any representation or warranty, expressed or implied, as to the completeness or accuracy of the material contained in the Marketing Package.

Prospective purchasers of the Property are advised that changes may have occurred in the physical or financial condition of the Property since the time this Marketing Package or the financial statements herein were prepared. Prospective purchasers acknowledge that this Marketing Package and the financial statements herein were prepared by Broker, and not by Owner, and are based upon assumptions or events beyond the control of both Broker and Owner, and therefore may be subject to variation. Other than current and historical revenue and operating expense figures for the Property, Owner has not, and will not, provide Broker or any prospective purchaser with any projections regarding the Property. Prospective purchasers of the Property are advised and encouraged to conduct their own comprehensive review and analysis of the Property.

Financial Overview The Marketing Package is a solicitation of interest only and is not an offer to sell the Property. The Owner 3 and Broker expressly reserve the right, at their sole discretion, to reject any or all expression of interest or offers to purchase the Property and expressly reserve the right, at their sole discretion, to terminate Tenant Overview 4 discussions with any entity at any time with or without notice. The Owner shall have no legal commitments or obligations to any entity reviewing the Marketing Package Executive Summary or making an offer to purchase the Property unless and until such offer is approved by Owner pursuant to 5 its Governing Authorities and the signature of the Owner or Owner’s representative is affixed to a Real Estate Purchase Agreement prepared by Owner. Property Photos 6-11 This Marketing Package is confidential. By accepting the Marketing Package, you agree (i) that you will hold and treat the Marketing Package and its contents in the strictest confidence, (ii) that you will not Location Map photocopy or duplicate any part of the Marketing Package, (iii) that you will not disclose the Marketing 12 Package or any of its contents to any entity without the prior authorization of the Owner, and (iv) that you will not use the Marketing Package in any fashion or manner detrimental to the Owner or Broker. Area Map 13 Broker has obtained the information contained in this Marketing Package from sources we believe to be reliable. However, we have not verified its accuracy and make no guarantee, warranty or representation Market Overview about it. It is submitted subject to the possibility of errors, omissions, changes of price, rental or other 14 conditions, prior sale, lease or financing, or withdrawal without notice. We include projections, opinions, assumptions, or estimates for example only, and they may not represent current or future performance of the Property. You and your tax and legal advisors should conduct your own investigations of the physical Demographic Report 15 condition of the Property and of the financial performance of its future Ownerships.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT BROKER FOR MORE DETAILS.

For more information contact: John R. Wertz Greg LaBarre Tel: (619) 218-6427 Tel: (619) 997-1242 Listed in conjunction with Texas broker [email protected] [email protected] David B. Zacharia licence 634656 of CA Lic No. 01448585 CA Lic. No. 02069301 DZ Net Lease Realty, LLC 9002821 Listed in conjunction with Texas broker David B. Zacharia licence 634656 of DZ Net Lease Realty, LLC 9002821 financial overview

ACTUAL SITE OFFERING SUMMARY

PRICE $4,060,000 DOWN PAYMENT 100% / $4,060,000

RENTABLE SQUARE FEET 13,905 SF

cap rATE 6.43% NOI $261,000 year built 1996 lot size 1.52 Acres type of ownership Fee Simple

TENANT SUMMARY

TENANT TRADE NAME Walgreens OWNERSHIP Public LEASE GUARANTOR Corporate LEASE TYPE NN roof & structure Landlord Responsible original lease term 20 years lEASE COMMENCEMENT DATE November 1, 1996 lease expiration date October 31, 2021 term remaining on lease Two + (2+) Years OPTIONS TO RENEW (7) 5-year options RIGHT OF FIRST REFUSAL Yes (10 days)

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TENANT overview

The Walgreen Company PROPERTY NAME Walgreens Founded in 1901 as a single drugstore, Walgreens today is a PROPERTY ADDRESS 2200 E Pioneer Pkwy provider of trusted care in communities around the U.S. Through Arlington, TX 76010 constant innovation, Walgreens has a history of breaking new ground to meet its customers’ needs and improve their health, PROPERTY TYPE Drugstore from offering self-service stores beginning in the 1950s to PARENT COMPANY Walgreens Boots Alliance developing a 5-star rated mobile app today. In its pharmacies, Walgreens was the first major drugstore chain to put prescriptions oWNERSHIP Public into child-resistant containers in the 1960s (long before it was LEASE GUARANTOR Corporate required by law) and in 2016 was the first to offer safe medication disposal kiosks in its stores. stock symbol WBA This drive to innovate led Walgreens to merge with BOARD NASDAQ European-based Alliance Boots in 2014 to form Walgreens Boots TERM REMAINING ON LEASE Two + (2+) Years Alliance, Inc., the first global pharmacy-led, health and well-being OPTIONS TO RENEW 7 enterprise. Combining Walgreens with the Boots pharmacy chain ( ) 5-year options and pharmaceutical distributor Alliance Healthcare has created lease type NN opportunities to bring global beauty brands to Walgreens U.S. LANDLORD RESPONSIBILITY Roof & Structure customers and offer more value to pharmacy patients through global pharmaceutical supply chains and group purchasing. Drive thru Yes As today’s health care and retail markets continue to evolve, net operating income $261,000 customers are redefining value and convenience as they change no. of locations 9,500+ the way they shop and adopt new technologies. Anticipating these changes, Walgreens is accelerating its transformation as a headquartered Deerfield, IL customer-led company and creating a new health care and retail website www.walgreens.com experience. years in the business Since 1901

INVESTMENT OVERVIEW INVESTMENT HIGHLIGHTS

The subject property is a double drive-thru Walgreens store • Top 5% of all Stores Nationwide (Walgreens Exercised 1st located in Arlington, Texas. This location is one of Walgreens’ Option Without Renegotiating Rent) better performing stores in the country, reflected by the strong reported store sales and Walgreens exercising their first option • Dense Infill Location with a Growing Population Exceeding without renegotiating rent. The 5-mile radius for the subject 390,000 Residents in a 5-Mile Radius property boasts a population of 390,143 people with a growth expectancy of 6.26% over the next five years. • 22+ Year Historical Occupancy as a Walgreens

The main frontage road, East Pioneer Parkway, exceeds 43,000 • Strategically Located at a Signalized Intersection and Provides a vehicles per day with continuous growth projected. Surrounded Double Drive-Thru by single and multi-family housing, national and local retailers, this • Traffic Counts Exceed 52,000 Vehicles Per Day Walgreens site is a staple within the area and does not have competing drug stores in the immediate vicinity which is • Little Competition from Competing Drugstores showcased by the high store sales generated. This is a great location for an investor looking for a stable, long term commitment • Less Than 4-Miles to Dallas Cowboys Stadium, Texas Rangers from one of the nation’s strongest corporately guaranteed tenants. Stadium, and Six Flags

Nearby schools include Lincoln College of Technology, Sam • Walgreens is the second largest Drugstore company in the Houston High School, Hutcheson Junior High School, Johns United States with over 9,500 drugstores Elementary School, and Adams Elementary School.

National retailers in the area include KFC, Wendy’s, Taco Bell, Papa John’s Pizza, Wing Stop, Popeyes Louisiana Kitchen, Burger King, Boston Market, Jack in the Box, Little Caesars Pizza, Church’s Chicken, Boost Mobile, America’s First National Bank, Chase Bank, Sherwin Williams Paint Store, U-Haul Moving and Storage, Shell, Family Dollar, Dollar General, Family Dollar, Planet Fitness, O’Reilly Auto Parts and more.

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AERIAL PHOTO

Residential Neighborhood Residential Neighborhood

Residential Neighborhood

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E Pioneer Pkwy 43,000+ VPD

Sherry Street 9,000 VPD

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52,000+ VPD

AREA MAP

The information contained herein has been obtained from the owners or from other sources deemed reliable. We have no reason to doubt its accuracy but regret we cannot guarantee it. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. All properties subject to change or withdrawal without notice. Wertz Real Estate Investment Services, Inc. MARKET overview ARLINGTON (DALLAS MSA), TEXAS Arlington is part of the Mid-Cities region of the Dallas–Fort Worth–Arlington metropolitan area, approximately 12 miles east of downtown Fort Worth and 20 miles west of downtown Dallas. According to the U.S. Census Bureau's estimate, the city had a population of 396,394 in 2017, making it the third-largest municipality in the metropolitan area. Arlington is the forty-eighth-most populous city in the United States, the seventh-most populous city in the state of Texas. It is the largest city in the state that is not a county seat. Arlington is home to the University of Texas at Arlington, a major urban research university, the Arlington Assemblyplant used by General Motors, the Nuclear Regulatory Commission Region IV, Texas Health Resources, American Mensa, and D. R. Horton. Additionally, Arlington hosts the Texas Rangers at the Globe Life Park, the Dallas Cowboys at the AT&T Stadium, the Dallas Wings at the College Park Center, the International Bowling Campus (which houses the United States Bowling Congress, International Bowling Museum and the International Bowling Hall of Fame), and the theme parks Six Flags Over Texas (the original Six Flags) and Hurricane Harbor. Arlington has long been the home of the Texas Rangers baseball team. The Dallas Cowboys football team moved from Texas Stadium in Irving, Texas, in 2009 to the $1.3 billion AT&T Stadium, which is within walking distance of the Rangers Ballpark. Completed in 2009, it has attracted high-profile sporting events to Arlington, including the 2010 NBA All-Star Game, Super Bowl XLV in 2011, the 2013 NCAA Division I Men's Basketball South Regional Championships, and the 2014 NCAA Division I Men's Basketball Final Four. The University of Texas at Arlington is a public research university located in Arlington, Texas. The spring 2017 campus enrollment consisted of 41,933 students making it the largest university in North Texas and fourth largest in Texas. UT Arlington is the third largest producer of college graduates in Texas and offers over 180 baccalaureate, masters, and doctoral degree programs. In 2016, the Dallas-Fort Worth-Arlington, TX MSA total economic output rose to $471.2 billion.

7th Most Populous 4th Largest MSA Host to over 60,000 city in the State of Texas with in the Country with an economic students across its approx. 396,394 people in 2017 output of $471.2 Billion in 2016 higher-education facilities

DEMOGRAPHIC REPORT

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population 1 MILE 3 MILES 5 miles households 1 MILE 3 MILES 5 miles 2024 Projection 26,658 144,165 390,143 2019 Est. Avg. HH Income $49,412 $55,384 $67,960 2019 Estimate 25,290 135,436 367,148 2024 Projection 8,779 47,408 135,990 2010 Census 23,695 122,462 334,245 2019 Est. Households 8,347 44,631 128,489 Percent Change 2010-2019 6.73% 10.59% 9.84% 2010 Census 7,876 40,810 118,712 Percent Change 2019-2024 5.41% 6.45% 6.26% Percent Change 2010-2019 5.98% 5.98% 8.24% Median Age 29.60 30.10 32.63 Percent Change 2019-2024 6.59% 6.77% 7.59%

Wertz Real Estate Investment Services 3138 Roosevelt Street, Suite L Carlsbad, CA 92008 Tel: (619) 218-6427 Fax: (858) 408-1830 www.wertzrealestate.com

Listed in conjunction with Texas broker David B. Zacharia licence 634656 of DZ Net Lease Realty, LLC 9002821 .

DZ Net Lease Realty, LLC 9002851 [email protected] 702.304.9900

David B Zacharia 634656 [email protected] 702.304.9900