STARBUCKS 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 TABLE OF CONTENTS

PAGE 03 Investment Summary 04 Retail Aerial 05 Lease Summary 06 Retail Aerial 07 Rent Schedule 08 Shopping Center Photos 09 Site Plan 10 About the Brand 11 Location Overview

CONTACT INFORMATION Joel Cukier Vice President (424) 343-2844

02 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS INVESTMENT SUMMARY

Tenant Starbucks $2,666,667 2,200 SF Street Address 2405 N. Chester Ave $ List Price GLA City Bakersfield State CA 3.75% 13,600 SF Zip 93308 % Cap Rate Lot Size GLA 2,200 SF Lot Size 13,600 SF $100,000 Year Built 2020 $ NOI

Brand New​ Development ​with the Largest Coffeehouse Chain in the World - The site features a brand new 10-year lease with four (4), 5-year options and 10% increases every 5 years throughout the base term and option periods, providing an excellent hedge against inflation. 2021 High Quality Construction - The state-of-the-art Starbucks development features a dedicated drive thru and outdoor patio seating which will maximize sales revenue. During the fourth quarter of 2020, approximately 75% of all Starbucks’ U.S. sales were generated through the drive-thru. Around the Corner from North High School - The site is strategically located less than one block from North High School (2,000+ students). Excellent Site Visibility with Strong Traffic Counts - Ideally positioned with great frontage & visibility on the heavily trafficked intersection of Chester Ave & China Grade Loop with combined traffic counts of 20,000+ per day. Limited Competition - This site is the only Starbucks in with the closest Starbucks over 4.5 miles away from this site.

03 CONTACT JOEL CUKIER STARBUCKS RETAIL AERIAL

04 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS Lease summary

Lease Type Triple-Net (NNN) Real Estate Taxes Tenant Responsible Type of Ownership Fee Simple Insurance Tenant Responsible Original Lease Term 10 Years Roof & Structure Landlord Responsible Commencement Date 12/01/2020 Lease Guarantor Corporate Lease Expiration 11/30/2030 Company Name Starbucks Term Remaining 9.5+ Years Ownership Public Increases 10% Every 5 Years Years in Business 49 Options Four (4), 5-year Number of Locations 28,218

Minimal Landlord Responsibilities - Tenant shall be responsible for maintaining all plumbing, HVAC, electrical, and lighting facilities and equipment within the Premises. Tenant shall reimburse landlord for the operating expenses, real property taxes, and landlord’s insurance. Landlord shall be responsible for roof and structure. Corporate Guarantee from Investment Grade Credit Tenant - Starbucks (SBUX) is the world’s leading coffee retailer with annual revenue of more than $22 billion and an “investment grade” credit rating (S&P: BBB+), providing an investor with superior financial security. Excellent Demographics - There are over 157,000 people living within a five-mile radius to the property with an average household income exceeding $60,000 annually. Pad-Site to Chester Loop Shopping Center - Chester Loop Shopping Center is a 90,000 sq. ft. shopping center anchored by Crunch Fitness and AutoZone, further driving traffic to the Pad-Sites. Surrounded by National Retailers - Major national brands in the immediate vicinity include AutoZone, , Dollar General, Crunch Fitness, Bank of America, Wendy’s, Rite Aid and Chase Bank.

05 CONTACT JOEL CUKIER STARBUCKS RETAIL AERIAL

06 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS RENT SCHEDULE

Period Term Annual Rent Monthly Rent Increase CAP Rate 12/01/2021 - 11/30/2026 Base Term $100,000 $8,333.33 - 3.75% 12/01/2026 - 11/30/2031 Base Term $110,000 $9,166.67 10% 4.13% 12/01/2031 - 11/30/2036 1st Option $121,000 $10,083.33 10% 4.54% 12/01/2036 - 11/30/2041 2nd Option $133,100 $11,091.67 10% 4.99% 12/01/2041 - 11/30/2046 3rd Option $146,410 $12,200.83 10% 5.49% 12/01/2046 - 11/30/2051 4th Option $161,051 $13,420.92 10% 6.04%

07 CONTACT JOEL CUKIER STARBUCKS Shopping Center Photos

08 CONTACT JOEL CUKIER STARBUCKS SITE PLAN

09 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS ABOUT THE BRAND

Starbucks Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As of early 2021, the company had 32,660 stores in 83 countries, including 16,637 company operated stores and 16,023 licensed stores.

32,660 BBB+ Number of Locations Credit Rating

$26.5 Billion 346,000 $ Annual Revenue Number of Employees

Starbucks Reports Q1 2021 Results Starbucks to Expand Digital Efforts Starbucks Looks to Set Q2 Record Starbucks Sets Vision for the Future Starbucks consolidated net revenues of The company will expand contactless & Starbucks is expected to report record Updates ongoing growth model $6.7 billion and opened 278 new stores. digitial efforts in the next 18 months. second-quarter revenue of $6.8 billion. signaling company is stronger than ever. Read More > Read More > Read More > Read More >

10 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS LOCATION OVERVIEW

Bakersfield, CA Bakersfield is a charter city in Kern County, California, United States. It is the county seat and largest city of Kern County. The city covers about 151 sq. mi. near the southern end of the and the Central Valley region. Bakersfield is a significant hub for both agriculture and energy production. Kern County is the most productive oil-producing county and the fourth-most productive agricultural county (by value) in the United States. Industries in and around Bakersfield include natural gas and other energy extraction, mining, petroleum refining, distribution, food processing, and corporate regional offices. Bakersfield has long been known as a stopover for those traveling between Los Angeles and San Francisco. But people who consider putting down roots in the area will find a healthy job market and an affordable place to raise a family. In fact, it’s Bakersfield’s strong sense of community and family and its booming oil and agriculture industries that keep the region thriving. It is the 53nd largest city by population in the U.S. (larger than Honolulu, St. Louis, or Pittsburgh) & 9th largest city by population in CA (ranked between Oakland and Anaheim).

In some ways, Bakersfield feels like Texas: Oil rigs dot the horizon, and honky-tonks are easy to come by. But the metro area’s location in the fertile San Joaquin Valley has instilled in residents the love of fresh, locally sourced foods, which is at the heart of California culture. Bakersfield has hundreds of miles of bike paths and lanes and nearly 60 parks, offering locals plenty of opportunities to enjoy the outdoors. Plus, residents are a short drive from the Sierra Nevada Mountains and some of California’s expansive national forests. Bakersfield is home to a multi-generational, multi-cultural population. Diversity can be seen throughout the region from the wide variety of small mom-and-pop restaurants and shops selling international foods and goods. Bakersfield residents find plenty of ways to enjoy the region’s pleasant weather, from parks within the city limits to trails in the nearby Sequoia and Los Padres national forests. Take a trip to the historic Fox Theater and enjoy numerous community events. Although major league sports don’t have a presence in the area, hometown fans cheer on their minor league favorite, the Bakersfield Condors hockey team. Racing fans can take their pick of asphalt, dirt, autocross or drag racing at nearby tracks.

11 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS

Meadows Field Airport Meadows Field Airport is owned by the County of Kern and is one of six airports operated by the Department of Airports. “BFL” serves more than 1.4 million people in or near the Southern San Joaquin Valley. Meadows Field Airport is less than 3 miles away from the subject property and is located approximately 7 miles north of . Highway 99 and Merle Haggard Dr. provide the most direct access to the passenger terminal. The airport is approximately 1,400 acres in size. It is the main airport for the Bakersfield area, and one of two international airports in the San Joaquin Valley. Also known as Kern County Airport #1. The National Plan of Integrated Airport Systems for categorizes it as a primary commercial service airport (more than 10,000 enplanements per year). Kern County has planned several improvements to the airport over the next 20 years, all of which are based on future demand.

12 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308TY ZIP>> STARBUCKS Meadows Field Airport

13 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS LOCATION OVERvIEW

1. 13 Min Drive 5.1 Miles From Subject Property

2. 10 Min Drive 2.6 Miles From Subject Property

3. Bakersfield Fox Theater 14 Min Drive 3.8 Miles From Subject Property

4. Buck Owen’s Crystal Palace 14 Min Drive 4.3 Miles From Subject Property

5. 16 Min Drive 4.3 Miles From Subject Property

6. Bakersfield Museum of Art 14 Min Drive 4.1 Miles From Subject Property

14 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS LOCATION OVERvIEW

01 02 03

Bakersfield College Kern County Museum Bakersfield Fox Theater Bakersfield College is a public community college The Kern County Museum is a history museum The theater, which opened on Christmas Day, 1930, that serves about 22,000 students each semester focusing in the history of Kern County. One of the is a historic performing arts and community events or 31,000 annually, and offers Associate degrees, prominent features is Pioneer Village. Located on 16 center located in downtown Bakersfield, and hosts a certificate programs. acres, it contains over 50 original buildings. variety of events.

04 05 06

Buck Owens’ Crystal Palace Mechanics Bank Arena Bakersfield Museum of Art Buck’s own music memorabilia is on display at this Mechanics Bank Arena is a multi-purpose arena The Bakersfield Museum of Art is an art museum with live country music venue serving food & drinks. It is located downtown at the corner of Truxtun Avenue four galleries, which contains a permanent collection a chance to experience country music’s legendary and N. Street. It has a capacity of more than 8,500 mainly from regional artists, as well as room for music venue and more. visitors. traveling art exhibits.

15 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 STARBUCKS DEMOGRAPHICS

POPULATION 1-Mile 3-Mile 5-Mile

2025 Projection 19,194 145,092 318,249 2020 Estimate 18,803 142,101 310,157 2010 Census 18,337 138,429 293,500 Growth ‘20 - ‘25 2.08% 2.10% 2.61% Growth ‘10 - ‘20 2.54% 2.65% 5.68%

HOUSEHOLDS 1-Mile 3-Mile 5-Mile 2025 Projection 5,404 43,877 96,975 2020 Estimate 5,295 42,977 94,552 2010 Census 5,166 41,840 89,596 Growth ‘20 - ‘25 2.06% 2.09% 2.56% Growth ‘10 - ‘20 2.50% 2.72% 5.53% Average Income $47,160 $49,748 $59,727 Median Income $39,922 $37,988 $44,403

16 2405 N. CHESTER AVE, BAKERSFIELD, CA 93308 JAMES CAPITAL ADVISORS, INC. DISCLAIMER

The information contained in this Marketing Brochure has been obtained from sources believed to be reliable, but the accuracy or completeness of the information contained therein cannot be guaranteed. James Capital Advisors, Inc. (“Broker”) has not, and will not, verify any of this information, nor has Broker conducted, nor will it conduct, any investigation regarding these matters. Broker makes no representations, guar- antees, or warranties of any nature about the accuracy or completeness of any information provided. The information provided in this brochure is in no way a substitute for a thorough due diligence investigation by Buyer. Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to income and expenses for this property nor the future financial performance of the property. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties as to the size and square footage of the property, the presence of any contaminating substances at the property, the physical condition of the property or compliance with any State, Local or Federal regulations. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to the financial condition or future financial condition of any tenants, nor any future plans or intentions of tenants with regard to the continued occupancy of the property. All parties are aware that Broker has no affirmative obligation to conduct a due diligence examination of the property for any Buyer. Any and all projections or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. Therefore, Broker assumes no legal responsibility for accuracy or completeness of this information, and expressly disclaims all representations, guarantees, or warranties related thereto. The value of the property to any Buyer depends on numerous factors that must be evaluated by Buyer and Buyer’s legal, tax, construction, and financial advisors. Buyer and Buyer’s advisors should conduct a thorough, independent investigation of the property to determine its suitability for Buyer’s intended usage. This investment, as with all real estate investments, carries a substantial risk. As such, Buyer and Buyer’s legal and financial advisors are strongly advised to request and review all legal and financial documentations related to the property and tenants. A tenant’s past performance is not a guarantee of future performance. The lease rate stated for some properties may be based on a tenant’s projected sales with little or no record of actual performance or com- parable rents for the area in question. Returns are in no way guaranteed. Tenants may fail to pay the rent or property taxes or any other tenant obligations under the terms of the lease or may default under the terms of such lease. Regardless of tenant’s history of performance, and/or any lease guarantors and/or guarantees, Buyer is responsible for conducting Buyer’s own investigation of all matters related to any and all tenants and lease agreements. Broker is not, in any way, responsible for the performance of any tenant or for any breach or default by any tenant of any terms of any lease agreement related to the property. Further, Buyer is responsible for conducting Buyer’s own independent investigation of all matters related to the value of the property, including, but not limited to, the value of any long-term leases. Buyer must carefully evaluate the possibility of tenants vacating the property or breaching their leases and the likelihood and financial impact of being required to find a replacement tenant if the current tenant should default and/or abandon the property. Buyer must also evaluate Buyer’s legal ability to make alternate use of the property in the event of a tenant abandonment of the property. CONFIDENTIALITY This Marketing Brochure and the information contained within, is propriety and strictly confidential. It is intended to be used only by the party receiving it from Broker. It should not be made available to any other person or entity without the express written consent of Broker. release This Marketing Brochure has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless Broker from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. or Broker be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein. NON-ENDORSEMENT Broker is not affiliated with, endorsed by or sponsored in any way by any tenant or lessee identified in this Marketing Brochure. The presence of any entity’s logo or name is not intended in any way to indicate affiliation, sponsorship or endorsement by said entity of Broker.

17 www.jamescapitaladvisors.com @jamescapitaladvisors JAMES CAPITAL ADVISORS, INC. CONTACT INFORMATION

LISTING AGENTS

Joel (424) 325-2618 Cukier [email protected] Vice President CA RE Lic. 02005095

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