823-825 RANCHO DRIVE, LAS VEGAS, NV 89106 S/SWC Washington & Rancho Offering Memorandum

*Example of building under construction, final building will vary.

Presented By: Dave Johnson • o: 702.221.2500 ext 314 • [email protected] Phillip Baca • o: 702.221.2500 ext 301 • [email protected] NewMarket Advisors 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

The information contained herein has been given to us by the owner of the property or other sources deemed reliable. We have no reason to doubt its accuracy, but we do not guarantee it. All information should be verified prior to purchase or lease. Site plan subject to change without prior notice. August 8, 2019 823-825 RANCHO DRIVE, LAS VEGAS, NV 89106 Property Overview

The site is just north of the I-95 freeway and has three 40 foot pylon signs making it very visible coming off the freeway EXECUTIVE SUMMARY at the Rancho exit. Rancho is a very heavily traveled street in the Valley. In addition to the high population density, the 2 mile daytime population is high with over 27,000 employees. Current neighboring Tenants include McDonalds, Burger King, Popeye’s Chicken, Wendy’s, Walgreens, Starbucks, Churches Chicken, Wells Fargo & Dollar Tree. DEMOGRAPHICS MAPS &

Silver State Bell Restaurant Holdings, LLC (SSBRH), the holding company of Taco Bell franchisee Silver State Bell, LLC (SSB), operates over 75 Taco Bell restaurants in Nevada, making them the largest Taco Bell franchisee in Nevada. Silver State FINANCIAL FINANCIAL Bell Restaurant Holdings is also affiliated with Golden Gate Bell Restaurant Holdings, LLC (GGBRH) and A&C Ventures Inc. SUMMARY (ACV), the largest Taco Bell franchisee in California, together making them one of the largest Taco Bell franchisees in the nation with close to 200 locations. VALUATION

Address 823-825 Rancho Drive, Las Vegas, NV 89106 Occupancy 100%

Price $2,500,000 Total Tenants 1

Cap Rate 4.00% Number Buildings 1 COMPARABLES

Building Size 1,974 SF Parcel Number 139-29-701-004

Lot Size 27,720 SF Parcel Zoning C-1 (Local Business)

Parking 21 Spaces Jurisdiction Clark County OVERVIEW MARKET HVAC NEW

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

• New Reconstruction 2019 EXECUTIVE SUMMARY

• Complete Remodel

• Convenient Traffic Access DEMOGRAPHICS

• High Population Density MAPS &

• 20-Year NNN Lease FINANCIAL FINANCIAL • 100% NNN Lease SUMMARY

• Tenant takes care of all common area taxes, insurance, and building

• Iconic & Growing Brand VALUATION • New 20 Year lease with 10% Escalations every 5 Years COMPARABLES OVERVIEW MARKET

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

*Example of building under construction, final building will vary. *Example of building under construction, final building will vary. NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

SITE FINANCIAL FINANCIAL SUMMARY VALUATION COMPARABLES OVERVIEW MARKET

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

2019 ESTIMATED DEMOGRAPHICS EXECUTIVE POPULATION 1 Mile 3 Miles 5 Miles SUMMARY 2019 Estimated Population 18,233 168,307 528,850 2024 Projected Population 20,441 187,180 587,990 2010 Census Population 16,999 153,531 477,118 Projected Growth 2019-2024 2.4% 2.2% 2.2% DEMOGRAPHICS 3 MAPS & Historical Growth 2000-2019 0.9% 0.6% 0.6% 2

Income 1 Average Household Income $69,936 $52,247 $54,039 FINANCIAL FINANCIAL Median Household Income $51,073 $44,012 $47,921 SUMMARY Per Capita Income $22,538 $19,495 $20,146

Households

2019 Estimated Households 5,870 61,341 194,970 VALUATION 2024 Projected Households 6,323 65,713 208,336 2010 Census Households 5,243 52,766 165,354 2000 Census Households 5,047 55,086 169,530 Projected Growth 2019-2024 1.5% 1.4% 1.4% COMPARABLES Historical Growth 2000-2019 0.9% 0.6% 0.8%

Business Total Businesses 330 8,787 27,476

Total Employees 3,490 123,633 387,761 OVERVIEW MARKET

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

Tenant Name Building / Unit Rentable SF Base Rent $/SF/Year CAM/Tax Lease EXECUTIVE Numbers Expiration SUMMARY

Taco Bell N/A 1,974 Base Rent $100,000 with 10% Rent $50.63 NNN 01/01/2040 Increase Every 5 Years The lease has 4-5 Year Options

Total: 1,974 $100,000.00 DEMOGRAPHICS MAPS & FINANCIAL FINANCIAL SUMMARY VALUATION COMPARABLES OVERVIEW MARKET

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

4570 W Cactus EXECUTIVE Las Vegas, NV 89141 SUMMARY

Tenant: Jack in the Box Type: Class A QSR Drive-Thru Sale Price: $2,280,000 Size:2,668 Cap Rate 4.35%

Sold: May 2019 1 DEMOGRAPHICS MAPS & 101 S Rainbow Blvd Las Vegas, NV 89145

Tenant: Taco Bell Type: Class A QSR Drive-Thru Sale Price: $3,000,000 Size:2,650 FINANCIAL FINANCIAL Cap Rate 4.50% SUMMARY Sold: April 2019 2

10450 S Decatur Blvd Las Vegas, NV 89141

Tenant: Taco Bell VALUATION Type: Class A QSR Drive-Thru Sale Price: $4,250,000 Size: 2,668 Cap Rate: 4.25% Sold: January 2019 3

6898 N Hualapai Way COMPARABLES Las Vegas, NV 89149

Tenant: Taco Bell Type: Class A QSR Drive-Thru Sale Price: $2,950,000 Size: 2,560 Cap Rate: 4.75%

Sold: October 2018 OVERVIEW 4 MARKET

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

3833 W Flamingo EXECUTIVE Las Vegas, NV 89103 SUMMARY

Tenant: Chick-Fil-A Type: Class “A” QSR Drive-thru Asking Price: $7,285,000 Size: 4,173 SF Asking Cap Rate: 3.5%

PSF: $1,745 DEMOGRAPHICS 1a MAPS &

3833 W Flamingo Las Vegas, NV 89103

Tenant: Del Taco Type: Class “A” QSR Drive-thru Asking Price: $3,875,000 FINANCIAL FINANCIAL Size: 4,173 SF SUMMARY Asking Cap Rate: 4.0% PSF: $928 1b

4866 Maryland Pkwy Las Vegas, NV 89119 VALUATION Tenant: Jack in the Box Type: Class “B” QSR Drive-thru Asking Price: $2,732,000 Size: 2,608 SF Asking Cap Rate: 4.5% PSF: $1,047 2 COMPARABLES 3661 E Bonanza Las Vegas, NV 89110

Tenant: Taco Bell Type: Class “B” QSR Drive-thru Asking Price: $2,635,000 Size: 2,379 SF Asking Cap Rate: 4.75% OVERVIEW

PSF: $1,107 MARKET 3

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

The Strip Airports

The Las Vegas Strip was visited by a record 42.2 EXECUTIVE McCarran International Airport is the primary SUMMARY million visitors in 2017. Many of the largest commercial airport in Las Vegas and serves as the hotel, casino, and resort properties in the world initial visitor gateway to one of the most exciting are located on the Strip. Its hotels, casinos, resort destinations in the world. It is ranked the restaurants, residential high-rises, entertainment 8th busiest airport in North America. 42.2 M offerings, and skyline have established the Strip 45,813,502 In addition to McCarran Airport, North Las Vegas as one of the most popular and iconic tourist Airport and Henderson Airport accounted for DEMOGRAPHICS

visitors destinations in the world. passengers 425,564 passengers in 2016. MAPS &

Sports Conventions Las Vegas is becoming a sports-team mecca The Las Vegas Convention Center is one of the with five official sports teams: National Hockey busiest facilities in the world with a 3.2M SF facility League - Golden Knights; Major League located within a short distance of more than FINANCIAL FINANCIAL Baseball - Aviators; Women’s National Basketball 100,000 guest rooms. The center is undergoing a SUMMARY Association - Aces; United Soccer League - Lights $1.4B, state-of-the-art expansion and renovation 5 FC; National Football League - Raiders (coming 6.3 M+ project. Phase Two will be adding 1.4M SF and 2020). Las Vegas is also home to NASCAR, will be completed in 2021, while Phase Three will sports teams National Finals Rodeo, and UFC. attendees be renovating the existing center by 2023.

T-Mobile Arena Resort Projects VALUATION Home to the Las Vegas Golden Knights, the arena Currently 11 major projects are happening on also hosts concerts, awards shows and sporting the resort corridor, including new resorts The events including the 2018 Stanley Cup finals, the Drew and Resorts World on the North end of the Academy of Country Music Awards, the Billboard strip; the new Circa Hotel downtown, Wynn West and Wynn Golf; the Convention Center, The Park Music Awards, the iHeartRadio Music Festival, the by MGM, Palace Station and Palms renovations/ 200,000 11 COMPARABLES Latin Grammys, the Miss USA beauty pageant, expansions; and the Vegas Extreme Park “The seatsand WWE professional wrestling events. projects Edge”, and MSG Sphere projects.

Education Stadium Projects Las Vegas is home to both University of Nevada Las Vegas has five new stadium projects underway Las Vegas (UNLV), and the College of Southern or recently completed. The $1.9 billion Raiders Nevada (CSN). UNLV enrolled 30,471 students Stadium is set to open for the 2020 season, along OVERVIEW in 2018, while CSN currently enrolls 31,768 with the headquarters and practice facility in MARKET students. The new UNLV School of Medicine has Henderson. The Las Vegas Ballpark in Summerlin 62,000+ 60 students, matriculated on July 17, 2017. The 5 will host the Aviators in 2019, right next to the school is the first to grant the Doctor of Medicine new Golden Knights facility, while Cashman Field students(MD) degree in Southern Nevada. stadiums is renovating to support the Lights FC soccer. NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

Overview DEMOGRAPHIC SNAPSHOT EXECUTIVE LAS VEGAS, NEVADA SUMMARY Las Vegas is home to the world-famous Las Vegas Strip, the Entertainment Capital of the World, and 12 of the world’s 20 largest hotels. It encompasses 8,012 square miles in southern Nevada, and includes 2018 the cities of Las Vegas, North Las Vegas, Henderson, Boulder City and Mesquite. The urban areas of the POPULATION county surrounding the strip are often referred to as Las Vegas. For the last decade, Las Vegas has been one Total Population 2,186,479 of the fastest-growing metro areas in the nation. Currently, 3.5 million visitors and around 4,000 to 6,000 DEMOGRAPHICS new residents enter Clark County each month. An expanding skilled labor force, a favorable tax structure, Male Population 49.7% MAPS & a pro-business environment and a great climate all contribute to Las Vegas’ phenomenal growth. These Female Population 50.3% factors have also led to the city being recognized by Inc. Magazine as one of the top entrepreneurial cities in America, and Entrepreneur magazine has ranked Nevada as the number one western state for both Median Age 37 economic growth and entrepreneurial activity. Employees 932,844

Las Vegas is more economically diversified than ever INCOME FINANCIAL FINANCIAL SUMMARY before, with the local economy primarily service-based, Average HH Income $80,002 with lodging and gaming-related businesses dominating. Approximately 149,213 hotel rooms provide space for Median HH Income $64,264 over 42 million people who visit Las Vegas each year, HOUSEHOLDS including 5.8 million convention delegates. Las Vegas casinos, comprising approximately 169,370 slot machines Total Households 837,821

and more than 4,700 live gaming tables, generate more RACE VALUATION than $9.6 billion in revenue each year. White 55.7%

With access to several major highways, including I-15, Black/African American 12.7% U.S. 95, U.S. 93, & I-215, an international airport, and Asian or Pacific Islander 11.3% Union Pacific rail service, Las Vegas is becoming a major distribution hub. McCarran International Airport welcomes American Indian/Alaska Native 0.7% COMPARABLES

over 45 million passengers a year. Other or More Than One Race 19.6% OVERVIEW MARKET

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

History EXECUTIVE SUMMARY

The city of Las Vegas was established as a railroad town in 1905 and incorporated soon after in 1911. Gambling was legalized in the state of Nevada in 1931; the same year construction began on the Hoover Dam, which began the areas rapid growth. The first casino on what is today’s Strip was the El Rancho Vegas, opening on April 3, 1941 with 63 rooms. It stood for almost 20 years before being destroyed by fire in 1960. The outbreak of World War II brought the defense industry DEMOGRAPHICS to the valley. The isolated location, along with plentiful water and inexpensive energy, made Las MAPS & Vegas an ideal site for military and defense related industries. During the 1960’s, Howard Hughes wanted to make Las Vegas more glamorous and began building and investing in hotel and casino properties. What ensued was the idea of gambling as “gaming” and the transition of gambling into legitimate business enterprises. The opening of the Mirage Hotel and Casino in 1989 began the FINANCIAL FINANCIAL era of “megaresorts” which has continued to the present day. SUMMARY

Population

The combination of a warm climate and the comparatively low cost of living have contributed to the rapid growth in population

in the Las Vegas Metropolitan Area, and will continue to draw more VALUATION residents for the foreseeable future. Clark County experienced astounding growth as its population nearly doubled between 1990 and 2000, increasing from approximately 750,000 to 1.3 million during this period. This made it the fastest-growing MSA in the U.S., with almost double the growth of the next closest MSA, Austin, COMPARABLES Texas. From 2000 to 2010, this number grew 35.9%. Las Vegas is currently ranked as the 5th fastest growing MSA with an annual growth of 2.2%. OVERVIEW MARKET

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com

Education EXECUTIVE SUMMARY The University of Nevada at Las Vegas (UNLV) Downtown Las Vegas Campus is situated in one of the oldest areas of Las Vegas. The University officially opened in 1957 and now occupies 350 acres in the metropolitan area. The University of Nevada at Las Vegas offers more than 220 undergraduate and graduate programs, of which engineering, computer science, business, economics, and

hotel management are especially strong fields. The University also has a School of Medicine DEMOGRAPHICS

that is affiliated with the University Medical Center, and a school of Dental Medicine. There are MAPS & approximately 28,600 students currently enrolled at the University, with an average class size of about thirty people. It offers a 350-acre campus and the largest lecture hall seats approximately 200 students. There are more than 3,000 faculty and staff. UNLV offers undergraduate programs, as well as a School of Dentistry and the UNLV Cancer Institute and Biotechnology Center. In addition, students can participate in more than twenty kinds of intramural sports or seventeen different FINANCIAL FINANCIAL sports at the NCAA Division I intercollegiate level. SUMMARY

UNLV works to partner with government agencies and private industries to find innovative ways to bring economic Growth and development to the community and state while creating centers of academic excellence.

The University offers major programs in physics, business, engineering, VALUATION computer science, biological science, environmental studies and performing arts. The University’s solid liberal arts core curriculum provides a common experience for all students who earn their undergraduate degree at UNLV and the University’s William F. Harrah College of Hotel Administration is internationally recognized for its excellence’ COMPARABLES

The College of Southern Nevada (CSN) is the largest institution in the University and Community College System of Nevada, enrolling more than 34,000 students including those taking online courses. Among the top disciplines at CSN are dental hygiene, culinary arts, computing and information technologies, resorts and gaming, nursing and other health

professions, automotive technology, air conditioning, and criminal justice. OVERVIEW MARKET The International Academy of Design & Technology offers two and four-year programs in Fashion Design, Interior Design, and Visual Communications. The College of Southern Nevada is located in North Las Vegas and offers over 200 career fields and 80 Associate Degree programs.

NewMarket Advisors • 5245 South Durango Drive • Las Vegas, Nevada 89113 • newmarketadvisors.com