CVS Pharmacy (Ground Lease | St

NET LEASE INVESTMENT OFFERING

CVS Pharmacy (Ground Lease | St. Louis MSA) 696 North Lindbergh Blvd (Highway 67) Florissant, MO 63031 TABLE OF CONTENTS

TABLE OF CONTENTS

I. Executive Profile II. Location Overview III. Market & Tenant Overview Executive Summary Photographs Demographic Report Investment Highlights Aerial Market Overview Property Overview Site Plans Tenant Overview Maps

NET LEASE INVESTMENT OFFERING DISCLAIMER STATEMENT

DISCLAIMER The information contained in the following Offering Memorandum is proprietary and strictly confidential. STATEMENT: It is intended 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 a single tenant CVS Pharmacy ground lease located within SUMMARY: the St. Louis Metropolitan Area. The CVS Pharmacy is located within a densely populated area of St. Louis County. The property is located along Lindbergh Boulevard which is a primary north-south thoroughfare in St. Louis County. The new twenty-five year CVS Pharmacy ground lease expires in January 2042.

The 1.49 acre property is strategically positioned just south of the signalized intersection of Lindbergh Boulevard and St. Denis Street. Lindbergh Boulevard is a primary north-south thoroughfare in St. Louis County that experiences traffic counts in excess of 52,750 vehicles per day. The CVS Pharmacy property is located less than two miles north of Interstate 270 which experiences traffic counts in excess of 126,000 vehicles per day. The CVS Pharmacy will greatly out position a 24-hour Walgreens which is located immediately to the south and is an inline location. This is a strategic location for CVS as there are no other CVS Pharmacy in the immediate trade area. The surrounding area is densely populated with approximately 100,000 people living within a three mile radius of the property. Lambert-St. Louis International Airport, the primary airport serving the St. Louis Metropolitan Area, is located approximately five-miles south of the property. Retailers located in the trade area include Target, Home Depot, Lowe’s, ALDI, Dierbergs Grocery Store, Schnucks Grocery Store, PNC Bank, Bank of America and many other national and local retailers.

The CVS Pharmacy ground lease is for twenty-five years and expires January 31, 2042. The ground lease features five 5-year renewal option periods. The rent for the first renewal option period is the greater of the previous year’s rent or fair market value. The next four 5-year option periods feature 10% rental escalations in each. There are absolutely no landlord responsibilities. CVS is the nation’s second-largest drugstore chain and is a publicly traded company with a market capitalization in excess of $105 billion. CVS is an investment grade rated company with a Standard and Poor’s rating of BBB+.

NET LEASE INVESTMENT OFFERING INVESTMENT HIGHLIGHTS

INVESTMENT • Located within the St. Louis MSA HIGHLIGHTS: • Investment grade rated tenant (S&P: BBB+)

• Long term ground lease with 24 years remaining

• New construction (2016)

• No landlord responsibilities

• Positioned along Lindberg Boulevard (Highway 67) which is a primary north-south thoroughfare in St. Louis County that experiences traffic counts in excess of 52,000 vehicles per day

• Densely populated area with approximately 100,000 people living within a three mile radius of the property

• Less than two miles north of Interstate 270 which experiences traffic counts in excess of 126,000 vehicles per day

• Approximately five miles north of Lambert-St. Louis International Airport

• Retailers located in the trade area include Target, Home Depot, Lowe’s, ALDI, Dierbergs Grocery Store, Schnucks Grocery Store, PNC Bank, Bank of America and many other national and local retailers

• Strategic CVS location that will out position a 24-hour inline Walgreens store located immediately to the south

NET LEASE INVESTMENT OFFERING PROPERTY OVERVIEW

PROPERTY Price: $4,300,000 OVERVIEW: Cap Rate: 5.00%

Net Operating Income: $215,000

Lease Commencement Date: January 4, 2016

Rent Commencement Date: July 17, 2016

Lease Expiration Date: January 31, 2042

Renewal Options: Five 5-Year (First Option at Greater of $215,000 or FMV)

Rental Escalations: 10% in Options 2 through 5

Tenant: CVS Pharmacy

Credit Rating: Investment Grade (S&P: BBB+)

Year Built 2016

Lease Type: Ground Lease – No Landlord Responsibilities

Building Size: 13,225 SF

Land Size: 1.49 Acres

NET LEASE INVESTMENT OFFERING PHOTOGRAPHS

NET LEASE INVESTMENT OFFERING AERIAL

) D P V

0 0 0 , 2 5 (

D R A V E L U O B H G R E B D I N L

(126,000 VPD)

NET LEASE INVESTMENT OFFERING SITE PLANS

N L I N D B E R G H B O U L E VA R D

DRIVE-THRU ST. DENIS STREET

SUBJECT PROPERTY

NET LEASE INVESTMENT OFFERING SITE PLANS

CHARBONIER ROAD

EXISTING C&C TRUCK MEINEKE TOPS ACCURATE EXISTING TRANSMISSION BP GAS

11,200 V.P.D. (2011) 25 M.P.H.

LINDSEY LN.

N. LINDBERGH BLVD. EXISTING 51,593 V.P.D. (2011) 35 M.P.H. TITLE MAX

EXISTING TRAFFIC SIGNAL (4-WAY) 15' PARKING SETBACK

8 40' BUILDING SETBACK

9 9

W. WASHINGTON ST.

T EXISTING TRAFFIC SIGNAL (4-WAY)

7 7 4 4

11,200 V.P.D. (2011) 25 M.P.H.

ST. DENIS ST.

MISSOURI DEPT. OF MOTOR VEHICLE AND DRIVER LICENSE

SUBJECT PROPERTY

NET LEASE INVESTMENT OFFERING MAPS

NET LEASE INVESTMENT OFFERING DEMOGRAPHIC REPORT

DEMOGRAPHIC Population 1-Mile 3-Mile 5-Mile REPORT: Total Population 13,804 99,120 165,120 Total Households 5,637 39,425 65,158

Income 1-Mile 3-Mile 5-Mile

Average Household Income $59,523 $62,883 $62,061

NET LEASE INVESTMENT OFFERING MARKET OVERVIEW

Florissant, Missouri MARKET Florissant is a second-ring suburb of St. Louis, located in northern St. Louis County, Missouri. The exact date the first OVERVIEW: settlers went to the Valley of Florissant is unknown, but it is one of the oldest settlements in the state of Missouri. The village, called “Fleurissant,” or “Blooming” in English, by its French settlers and “St. Ferdinand” by its Spanish rulers, was a typical French village of the time. As late as 1889, the town was predominantly French-speaking.

Following World War II, Florissant went from a small village community to a large suburban center, as developers began building subdivisions on what was formerly farmland and empty acreage. Approximately 18,000 houses were built between 1947 and 1980, and the population swelled to its peak of about 76,000 in the mid-1970s, making it the largest city in St. Louis County

Florissant was ranked in the top 100 Best Places to Live by Money Magazine in 2012. Other recent reports have Florissant ranked as the #1 Best Small City to Retire To in America and the 2nd Safest City in Missouri. As of the 2010 United States census, the population was just over 52,000, which made Florissant the 12th largest city in Missouri.

www.florissantmo.com

St. Louis, Missouri St. Louis is an independent city and major U.S. port in the State of Missouri, built along the western bank of the Mississippi River, on the border with Illinois. The city has an estimated 2015 population of 315,685 and is the cultural and economic center of the Greater St. Louis area (home to 2,916,447 people), making it the largest metropolitan area in Missouri and the 19th-largest in the United States.

The city of St. Louis was founded in 1764 by French fur traders Pierre Laclède and Auguste Chouteau, and named after Louis IX of France. In 1764, following France’s defeat in the Seven Years’ War, the area was ceded to Spain and retroceded back to France in 1800. In 1803, the United States acquired the territory as part of the Louisiana Purchase.

The economy of metro St. Louis relies on service, manufacturing, trade, transportation of goods, and tourism. Its metro area is home to major corporations, including Anheuser-Busch, Express Scripts, Centene, Boeing Defense, Emerson, Energizer, Panera, Enterprise, Peabody Energy, Ameren, Ralcorp, Monsanto, Scottrade, Edward Jones, Go Jet, Purina and Sigma-Aldrich. St. Louis has also become known for its growing medical, pharmaceutical and research presence.

St. Louis has 2 professional sports teams: the St. Louis Cardinals of Major League Baseball and the St. Louis Blues of the National Hockey League. The city is commonly identified with the tall Gateway Arch in Downtown St. Louis.

explorestlouis.com TENANT OVERVIEW

TENANT CVS Pharmacy CVS Pharmacy is engaged in the retail drugstore business. The Company operates 7,700 locations in 42 states and Puerto OVERVIEW: Rico. CVS is the nation’s second-largest drugstore chain and the third-largest pharmacy benefits manager. As a retail division of CVS Caremark, CVS retail locations sell prescription drugs and a wide variety of general merchandise including over-the-counter medication, beauty products and cosmetics, film and photo finishing services, seasonal merchandise and convenience foods. CVS also offers healthcare services through their MinuteClinic locations, most of which are located within their stores. CVS is headquartered in Woonsocket, Rhode Island and was founded in 1963.

CVS Pharmacy is a publicly traded company on the New York Stock Exchange (Symbol: CVS) with a market capitalization in excess of $105 billion. CVS is an investment grade rated tenant with a Standard & Poor’s rating of BBB+.

Website: www.cvs.com Number of Locations: 7,700 Stock Symbol: CVS : NYSE Standard & Poor’s Rating: BBB+ Market Capitalization: $105 billion Employees: 130,000

NET LEASE INVESTMENT OFFERING Randy Blankstein President 847.562.0003 [email protected]

Jimmy Goodman Partner 847.562.8500 [email protected]

666 Dundee Road, Suite 1801 Northbrook, IL 60062