Popeyes Kitchen 2108 Wall Street | Spring Hill, TN 37174

Andy J Heck 314.833.4388 C: (314) 740.0926 iebrealestate.com Saint Louis, Missouri O: (314) 797.7550 [email protected] Disclaimer

IEB Real Estate, LLC (the “Company”) prepared this memorandum (“Memorandum”) solely from documents and information (the “Materials”) provided to the Company by the seller of the subject property (the “Property”). The Company has not conducted an independent investigation of the facts contained in the Materials or the Property, has no knowledge of the accuracy or truthfulness of the facts contained in the Materials, makes no warranty regarding the accuracy or truthfulness of any information disclosed in the Materials, and disclaims any liability with respect to any inaccuracies or misinformation contained in the Materials. Furthermore, the Company is not aware of any adverse material fact respecting the seller or the Property.[, except for those facts expressly disclosed in this Memorandum.] Prospective buyers will have the opportunity to obtain additional information regarding the facts contained in the Materials and disclosed in this Memorandum during the due diligence period. Investment Overview

AR Group of Tennessee, LLC took over a certain lease dated November 5th, 2014 from the previous ’ franchisee on June 5th, 2017. This location was among a package of multiple Popeyes operations in the Nashville MSA sold to AR Group of TN in 2017. The franchisee now operates 12 Popeyes units throughout the state of Tennessee and the greater Nashville MSA. The building was built and commenced operations early 2015 in a thriving suburb of Nashville. Asking Price: $1,641,808 Lot Size: 0.90 Acres NOI: $94,404 Building Size: 2,695 Square Feet Cap Rate: 5.75% Lease Term: 14.5 years Remaining

Lease Type: Absolute NNN Guarantor: AR Group of TN, LLC (12 units) Lease Expiration Date: 1/31/2035 Rent Escalations: In Options Lease Options: 1, 10-year option to renew *Ownership = Fee Simple and does include a detention pond maintenance and easement agreement in which the owner is currently responsible, along with the neighboring Firestone owner, to maintain the landscaping which is typically done during the grass-cutting seasons for a duration of 8-9 months during which costs are equal to $140/month Years Annual Rent Monthly 1 - 20 $94,404 $7,867 Option –10 years $118,008 $9,834 Tenant Overview: AR Group of TN

• AR Group of Tennessee, LLC operates 12 units in the state of Tennessee with its average sales per location well exceeding the national average. • AR Group of Tennessee, LLC purchased multiple Popeyes’ operations in 2017 in which the lease required the sublessee to have a net tangible worth of at least $3MM. • The franchisee’s parent company operates Five World Class Popeyes certified training centers. • Along with the Popeyes product, the franchisee’s parent company also operates Dunkin’ Donuts and Bell locations across the Northeast and Southeast with a total of over 100 units. • The franchisee’s parent company was awarded the Multi-Unit Franchisee MVP and American Dream Award at the 2016 Multi-Unit Conference. Tenant Overview: Popeyes

Popeyes is an American multi-national chain of founded in 1972 in , Louisiana. Since 2008, its full brand name is Popeyes Louisiana Kitchen, Inc and it was formerly named Popeyes Chicken and Biscuits as well as Popeyes Famous Fried Chicken and Biscuits. It is currently a subsidiary of -based Brands International which also wholly owns and and is the 5th largest operator of fast food restaurants in the world.

Popeyes is the 2nd largest quick service chicken restaurant group, measured by number of units, after KFC. More than 3,100 Popeyes restaurants are in more than 40 states and 30 countries worldwide. About 30 locations are company-owned and the rest franchised.

In August of 2019, Popeyes released their chicken to compete with Chick-fil-A’s . The company saw its overall customer foot traffic grow by 255% after the release of the sandwich prompting responses from nearly every fast food chain including McDonald’s, Chick-Fil-A, and Wendy’s. Primarily due to the sandwich’s release in 2019, the company reported a 16% sales increase in Q3 over the previous year and made a profit of $47MM. Popeyes has used the sandwich release and its use of technology for online ordering and delivery options to bolster sales and brand recognition to become one of the largest chicken fast food restaurants in the world. Aerial View

Columbia Pike/TN-6 Downtown Nashville 24,018 Vehicles Per Day 26 MILES

Subject Property Aerial View 2

Spring Hill Academy Preschool

Summit High School 74,699 Vehicles Per Day Longview Elementary School

Allendale Elementary School

Duplex Road 9,000+ Vehicles Per Day Spring Hill Elementary School Spring Hill High School Parcel View Demographics Overview

Demographics 1 MILE 3 MILE 5 MILE Population 7,213 38,981 57,785 Average Age 32.8 32.4 33.2 Average HH Income $101,327 $99,887 $92,672 Area Overview: Spring Hill, TN 37174

• Spring Hill is listed as the 14th fastest growing city in the Nation. • Spring Hill has gone through rapid development and growth in recent years causing General Motors to re-open their auto plant and hiring an additional 1,000 new local employees. • In addition to General Motors re-opening, companies such as Ryder and Goodwill have announced new facilities in Spring Hill and Mars, Inc has opened a facility in nearby Thompson’s Station, TN. • In November 2015, the Spring Hill Board of Mayer and Aldermen approved the ‘Spring Hill Rising: 2040’ comprehensive plan. The plan outlines the city’s long-term development vision and ways to accomplish that vision Contact Information

IEB Real Estate, LLC

727 Craig Road, Suite 201 Saint Louis, Missouri 63141 iebrealestate.com (314) 833.4388

Andy J Heck Investment Real Estate Advisor

Cell: (314) 740.0926 Office: (314) 797.7550 [email protected]

IEB Real Estate is dedicated to creating long-term relationships with its clients, demonstrating integrity and ingenuity in all its interactions, and above all - providing unparalleled, client-centric service.