Burger King OFFERING MEMORANDUM 5353 Plank Road | Baton Rouge, LA

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Burger King, Baton Rouge, LA | ™ contents 04 EXECUTIVE SUMMARY

05 financial OVERVIEW

07 tenant overview

11 area OVERVIEW exclusively listed by Mitchell Glasson

Associate

[email protected] DIR (949) 432-4502 MOB (707) 364-5650 LIC # 02016029 Aron Cline

SVP & Sr. Director

[email protected] DIR (949) 432-4509 MOB (818) 632-0233 LIC # 01904371 beau Box BROKER OF RECORD LIC # 0000072286

Burger King, Baton Rouge, LA | executive summary

investment highlights • Operations were Recently Acquired by GPS Hospitality, the 3rd Largest Burger King Operator in the US

• 30 Year Operating Location and Affordable Rent - Previous Tenant Locked In Two Long Term Extensions, GPS is Currently Paying only 55% of the National Average Burger King Rent; Opportunity for Landlord to Increase Return

• GPS has Experienced Tremendous Growth, Strategically Acquiring Over 200 Locations within the Past Year Placing Their Operating Total at 431 Restaurants

• The Operator was Named the “Fastest Growing Private Company” and is on Track to Hit CEO Tom Garret’s $1 Billion Sales Goal

• Long-Term Investment Outlook - Cheap Rent Coupled with the Tenant’s Immense Success is a Strong Indicator of Future Appreciation

• Over 140,000 People within a 5 Mile Radius

• Strategically Located on Plank Road the main thoroughfare to Baton Rouge Metropolitan Airport

• Direct National Tenants include Walgreen’s, McDonald’s, Krispy Kreme, Raising Cane’s, Exxon, Advanced Auto Parts, AutoZone, IHOP, Chase, and more

• The Investment’s Fast Food Concept Benefits from Close Proximity of Southern University and A&M College, Cristo Rey Baton Rouge High School, Dalton Elementary, East Baton Rouge Parish School, and more

4 | Matthews financial overview Burger King, Baton Rouge, LA | Burger King 5353 Plank Road Baton Rouge, LA 70805 List Price ��$806,667 CAP Rate - Current �� 7.50% Gross Leasable Area �� ± 3,271 SF Lot Size ��± 0.68 Acres

Annualized Operating Data Monthly Rent Annual Rent Cap Rate Current $5,041.67 $60,500 7.50% Option 2 $5,545.83 $66,550 8.25%

Tenant Summary

Tenant Trade Name Burger King Type of Ownership Fee Simple Lease Guarantor GPS Hospitality Lease Type NNN Roof and Structure Tenant Responsible Original Lease Term 10 Years Lease Commencement Date 1/26/2006 Rent Commencement Date 12/8/2006 Lease Expiration Date 12/7/2016 Term Remaining on Lease 4+ Years Increases 10% every five (5) Years Options Two (2), Five (5) Years tenant overview Burger King, Baton Rouge, LA | tenant overview

Property Name Burger King Parent Company Trade Name Restaurant Brands International, Inc. (NYSE: QSR) Ownership Public Credit Rating (Standard & Poor’s) B+ Revenue $1.15 B Net Income $233.70 M No. of Locations ± 15,000 No. of Employees ± 34,248 Headquartered Miami, FL Website www.bk.com Year Founded 1953

TENANT OVERVIEW

Burger King Worldwide operates the world’s #2 hamburger chain by sales with almost 15,000 restaurants in the US and more than 100 other countries. Every day, more than 11 million guests visit Burger King Restaurants around the world and they do so because Burger King is known for serving high-quality, great-tasting and affordable food. In addition to its popular Whopper sandwich, the chain offers a selection of burgers, chicken sandwiches, salads, and breakfast items, along with beverages, desserts, and sides. Burger King’s menu has expanded from a basic offerings of burgers, French fries, sodas, and milkshakes to a larger and more diverse set of products. Many of the eateries are stand-alone locations offering dine-in seating and drive-through services; the chain also includes units in high-traffic locations such as airports and shopping malls. Burger King Worldwide is owned and operated by Restaurant Brands International.

GEOGRAPHIC OUTREACH

Burger King has restaurant locations throughout the US and more than 100 other countries. The US and Canada are responsible for about 65% of revenues. Like most other giants of the fast-food industry, Burger King has expanded its nationwide and international presence primarily through franchising. But the company has reduced its domestic expansion efforts recently. Burger King has used joint ventures to expand in countries like China, Mexico, Russia, and Singapore.

GPS HOSPITALITY

GPS Hospitality is a rapidly growing franchisee group. GPS recently expanded their national footprint into five new states with the acquisition of 194 Burger King restaurants. This recent acquisition doubles the company’s size and puts it firmly among the top three largest Burger King franchisees in the US with 424 locations nationwide. GPS Hospitality is on track to meet its goal of becoming a $1 billion company in sales in just 10 years.

8 | Matthews the offering

Property Name Burger King 5353 Plank Road Property Address Baton Rouge, LA 70805 Assessor’s Parcel Number 162-241-18-00 parcel map Zoning PD-1

Site Description Number of Stories 1 Gross Leasable Area (GLA) ± 3,271 SF Lot Size ± 0.68 Acres Oceanside Blvd ± 31,792 Type of Ownership NNN Parking 55 Surface Spaces Parking Ratio 16 : 1,000 SF Landscaping Professional

Topography Generally Level 40,116 ± Blvd College

Construction Foundation Concrete Slab Framing Wood Exterior Brick Parking Surface Asphalt Roof Flat

Burger King, Baton Rouge, LA | 9 tenant map

10 | Matthews area overview

Baton Rouge, LA Situated on the Mississippi River, Baton Rouge represents the best of Louisiana’s vibrant culture. The state capital, Baton Rouge is a thriving city that is home to both LSU and Southern University and numerous businesses and industrial facilities. Known for its unique food and its lively music, Red Stick has something for everyone - including a local government that cares. Baton Rouge is Louisiana’s Capital City and the hub of all things Louisiana. Baton Rouge is centrally located just an hour from both New Orleans and Lafayette. Baton Rouge is the perfect city to explore the all of the culture Louisiana has to offer. Baton Rouge houses over 300 years of history that can be tasted in delectable food, seen throughout the distinct architecture and learned through unique culture.

Baton Rouge demographics

POPULATION 1 Mile 3 Mile 5 Mile HOUSEHOLDS 1 Mile 3 Mile 5 Mile 2022 Projection 10,216 68,077 136,451 2022 Projection 3,642 23,854 52,236 2017 Estimate 10,350 68,623 136,985 2017 Estimate 3,672 23,917 52,088 2010 Census 10,892 71,417 141,039 INCOME 1 Mile 3 Mile 5 Mile 2017 Est. Average 2000 Census 11,238 73,901 145,873 $39,616 $43,046 $51,979 Household Income

Burger King, Baton Rouge, LA | 11 Top Employers - Baton rouge economy Employers Employees Baton rouge enjoys a strong economy that has helped the city be ranked as one of the “Top 10 Places for Young Adults”. The Baton Rouge’s metro State of Louisiana 22,120 area’s economy is growing at a faster rate than predicted. In the past two Turner Industries 9,671 years, Baton Rouge has seen above 3% in job growth. The Baton Rouge area’s job growth has outperformed peer cities like Austin, Birmingham, and East Baton Rouge Parish Public Schools 6,250 Columbia. The regional added around 9,000 jobs in the 2016 and forecasts Louisiana State University 5,600 to add another 6,000 jobs in 2017. City of Baton Rouge 4,612

Higher education

Louisiana State University and Agricultural and Mechanical College, generally known as Louisiana State University is a public, coeducational university that is the flagship campus of the Louisiana State University System. Enrollment stands at over 31,000 students, with 1,300 full-time faculty members.

Southern University and A&M College is parts of the only historically black land grant university system in the United States. Southern became a land-grant school in 1890, and an Agricultural and Mechanical department was established. The university is the largest HBCU in Louisiana. Virginia college opened in October 2010 and offers students training in areas like Cosmetology, Business, Health and Medical Billing.

12 | Matthews baton rouge attractions baton rouge zoo The Baton Rouge Zoo is the perfect place for family- friendly fun all year long. The zoo is home to animals from around the world including tigers, black rhinos, flamingos, alligators and giraffes. The Baton Rouge Zoo also takes strides in the conversation and protection of animals by participating in 30 international Species Survival Plans for critically endangered species. The zoo also hosts a number of events throughout the year including the Zoo Lights and Brew at the Zoo, among others.

old louisiana state capitol LSU Tiger Stadium The Old State Capitol offers a look into Louisiana’s rich LSU sports and particularly the football program have culture. The National Historic Landmark stands high a huge economic impact in Baton Rouge. An LSU on a bluff overlooking the Mississippi River. It houses football game is a huge attraction. Tiger Stadium has the Old State Capital Museum of Political History that become the fifth largest stadium in the nation and contains several state of the art exhibits. The “Castle packs nearly 100,000 fans. LSU home football games on the River” is the recipient of distinguished awards are events talked about year round and happenings for architecture and exhibit design. Atop the cast iron in Tiger Stadium are passed down from generation staircase offers a view of the stained glass cathedral to generation. Poll after poll has proclaimed Tiger dome in the unique blend of Gothic and Victorian Stadium as one of the greatest sites anywhere for a architecture. football game - college or professional. SUBEC PROPER

regional map CONFIDENTIALITY & DISCLAIMER STATEMENT

This Offering Memorandum contains select information pertaining to the business and affairs of Burger King located at 5353 Plank Road, Baton Rouge, LA 70805 (“Property”). It has been prepared by Matthews Retail Advisors. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Retail Advisors. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.

By acknowledging your receipt of this Offering Memorandum for the Property, you agree:

1. The Offering Memorandum and its contents are confidential;

2. You will hold it and treat it in the strictest of confidence; and

3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.

Owner and Matthews Retail Advisors expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Retail Advisors or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum. exclusively listed by

Mitchell Glasson

Associate

[email protected] DIR (949) 432-4502 MOB (707) 364-5650 LIC # 02016029 Aron Cline

SVP & Sr. Director

[email protected] DIR (949) 432-4509 MOB (818) 632-0233 LIC # 01904371 beau Box BROKER OF RECORD LIC # 0000072286

Burger King ™ 5353 Plank Road | Baton Rouge, LA