OFFERING MEMORANDUM WARTBURG,TN ADVANCE AU TO PA RT S

1105 KNOXVILLE HWY Wartburg, TN 37887

PRESENTED BY:

WILL HOLMAN O: 636.628.2111 [email protected] MO #1999033650

ADDISON LIJEWSKI O: 636.628.2111 [email protected] MO #2019023222

BROKER OF RECORD: WALKER HUEY T N # 3 4 3 1 2 3 PROPERTY SUMMARY

PROPERTY HIGHLIGHTS S A L E P R I C E $ 1 , 4 76 , 3 9 0 10.5 Years Remaining on Current Term 4 (5) Year Renewal Options OFFERING SUMMARY Triple Net Lease - Landlord Responsibilities limited to slab, oundation, and structural walls BUILDING SIZE: 7, 0 0 0 S F 5% Base Rent Increases at Each Option L O T S I Z E : 1 . 6 4 A c r e s Advance Auto recently extended the Lease 10 Years showing conidence in the location PRICE / SF: $ 2 1 0 . 9 1 Higher than Average Sales or Advance Auto Parts C A P R AT E : 5 . 4 5 %

NOI: $ 8 0 , 4 6 3 DEMOGRAPHICS 3 MILES 5 MILES 10 MILES

YEAR BUILT: 2 0 0 7 TOTAL HOUSEHOLDS 6 2 8 1 , 5 1 2 5 , 4 3 6

TOTAL POPULATION 2 , 3 2 9 5 , 2 5 3 1 6 , 1 4 5

AVERAGE HH INCOME $ 4 4 , 7 2 8 $ 4 4 , 5 9 1 $ 4 5 , 8 1 8

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 2 PROPERTY DESCRIPTION PROPERTY DESCRIPTION SVN | Holman Norden is pleased to present a 100% ee simple interest in an Advance Auto Parts property located at 1105 Knoxville Hwy, Wartburg, TN. The subject property is located next to Wartburg's Central High School, o o Highway 62. The 7000 SF store was built speciically or Advance Auto in 2007 and is operated on a long-term NNN Lease. Advance Auto recently extended the current lease term 10 years along with 4 (5) Year Options to Renew thus showing their conidence in the location. This location has earned higher than average sales multiple years in a row. Advance Auto Parts, Inc. is a leading automotive aermarket parts provider that serves both proessional installer and do-it-yoursel customers. The company now operates over 4,800 stores and 150 Worldpac branches in the United States, Canada, Puerto Rico, and the U.S. Virgin Islands.

LOCATION DESCRIPTION Wartburg is located 45 miles west o Knoxville, , and is the county seat o Madison County. The city is situated around the junction o U.S. Route 27, which connects it to Kentucky to the north and Harriman and Interstate 40 to the south. Wartburg is situated among the Crab Orchard mountains, a sub-range o the . It is a requent destination or its outdoor experiences, including Obed Wild and Scenic River, State Park, and Lone Mountain State Forest. The Catoosa Wildlie Management Area is located to the west, and the Big South Fork National River and Recreation Area is located several miles to the north. The subject property is strategically located along the main thoroughare in Wartburg alongside many other national retailers. The population or the area grew 3% in 2010, and nearly another 1% in 2019, with a median amily income o $37,917. The subject property is located next to Central High School which has an enrollment o 400. Additionally, this store is one o only two auto parts stores in a 20 mile radius, making it a necessity to the citizens o Wartburg. All o this combines to make a strong location or Advance Auto Parts.

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 3 ADDITIONAL PHOTOS

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 4 RETAILER MAP

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 5 LOCATION MAPS

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 6 ABOUT THE TENANT: ADVANCE AUTO PARTS

TENANT HIGHLIGHTS TENANT OVERVIEW

4,811 locations in 48 States & Territories as o October 2020 COMPANY: -Advance Auto Parts (NYSE: AAP)

S&P Credit Rating BBB FOUNDED: - 1 9 3 2

$9.7B in Sales in 2019 LOCATIONS: - 4 , 8 1 1 +

Increased Net Sales, Comparable Store Sales, and Operating Income in TOTAL REVENUE: -$9.7B (2019) 2020 NET INCOME: -$487M (2019)

ADVANCE AUTO PARTS SUMMARY N E T W O R T H : -$11.86B (2019)

Advance Auto Parts, Inc. is a leading automotive aermarket parts provider that HEADQUARTERS: -Raleigh, NC 27604 serves both proessional installer and do-it-yoursel customers. Advance operates WEBSITE: -www.AdvanceAutoParts.com stores and Worldpac branches in the United States, Canada, Puerto Rico, and the U.S. Virgin Islands. The Company also serves independently owned Carquest branded stores across these locations in addition to Mexico and various Caribbean Islands. Advance Auto continues to expand and thrive as an industry leader.

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 7 LEASE TERMS & OPTIONS

UNIT LEASE LEASE ANNUAL % O F P R I C E L E A S E T E R M S I Z E (S F ) START END RENT GLA P E R S F/ Y R

CURRENT TERM 7, 0 0 0 Feb 1, 2007 Jan 31, 2032 $ 8 0 , 4 6 3 1 0 0 . 0 $ 1 1 . 4 9

O P T I O N 1 7, 0 0 0 Feb 1, 2032 Jan 31, 2037 $ 8 4 , 4 8 6 1 0 0 . 0 $ 1 2 . 0 7

O P T I O N 2 7, 0 0 0 Feb 1, 2037 Jan 31, 2042 $ 8 8 , 7 1 1 1 0 0 . 0 $ 1 2 . 6 7

O P T I O N 3 7, 0 0 0 Feb 1, 2042 Jan 31, 2047 $ 9 3 , 1 5 0 1 0 0 . 0 $ 1 3 . 3 1

O P T I O N 4 7, 0 0 0 Feb 1, 2047 Jan 31, 2052 $ 9 7, 8 0 4 1 0 0 . 0 $ 1 3 . 9 7

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 8 DEMOGRAPHICS MAP & REPORT POPULATION 3 MILES 5 MILES 10 MILES

TOTAL POPULATION 2,329 5,253 16,145

AVERAGE AGE 3 7. 3 3 7. 8 3 8 . 8

AVERAGE AGE (MALE) 3 5 . 7 3 6 . 3 3 7. 5

AVERAGE AGE (FEMALE) 4 1 . 4 4 1 . 3 4 1 . 0

HOUSEHOLDS & INCOME 3 MILES 5 MILES 10 MILES

TOTAL HOUSEHOLDS 628 1,512 5,436

# OF PERSONS PER HH 3 . 7 3 . 5 3 . 0

AVERAGE HH INCOME $44,728 $44,591 $45,818

AVERAGE HOUSE VALUE $96,694 $93,986 $94,300

* Demographic data derived rom 2010 US Census

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 9 SVN REAL ESTATE TEAM

Will Holman Addison Lijewski Managing Director Associate Advisor

Prior to orming SVN® | Holman Norden (SVN | HN), Will has had a successul At SVN Holman Norden, Addison specializes in Triple Net Investment and diverse career since starting in the Real Estate sales industry in 1984. properties. Addison currently serves in the Greater Midwest market while Growing up in a real estate development and construction amily, it only based in the St. Louis MSA. This central location allows Addison to connect made sense that he chose that as his career. Starting with sales and with clients across the country. Addison combines dedication, hard work, development o residential product types, Will quickly moved into the and knowledge to best serve her clients. commercial arena. Over the decades, his clients were primarily investors and owner/users, but he also assisted landlords and tenants. During this time Prior to joining SVN Holman Norden, Addison grew up in LaSalle-Peru, Illinois Will worked with multiple product types including Industrial, Retail, Multi- where her parents had a portolio o rental properties which irst got her Family, and Office providing unprecedented experience in which to beneit interested in Real Estate. Addison graduated Cum Laude rom the University his clients. Will has participated in over One Billion Six Hundred Million O Missouri Trulaske College O Business in May 2019 with a BSBA in Finance Dollars ($1,600,000,000) in transactions not only as the Broker as well as a & Banking with an emphasis in Real Estate and minor in Economics. While in Principal, Developer, and Builder. This gives Will a uniquely beneicial college, Addison worked within the banking industry or two and hal years viewpoint and skillset that greatly beneits his Net Leased Investment including a 6-month internship in Commercial Lending. Addison was also clients. ortunate to complete a 6-month internship with a commercial broker in the Columbia, Missouri area which exposed her to the Commercial Real Estate During his career, Will has been associated with some o the industry’s industry. Addison is excited to apply this previous experience to her career MEET leading irms. Prior to SVN | HN, Will served as Mid States Sales Manager and with SVN Holman Norden and enjoys working with a great team to help her Associate Director o the National Retail Group - Marcus & Millichap where excel in this industry. he sharpened his National Market Real Estate Investment skills. Just prior to THE TEAM that Will was a Principal, Managing Partner and Broker with Commercial Brokerage Group, Inc., a 22-person ull-service Commercial Real Estate, Biography Construction /Development irm, serving the entire St. Louis Regional Market [email protected] or 8+ years. 636.628.2111

Will has since continued to reine and expand his investment brokerage strategies and mentoring skills. His experience and expertise aid owners in developing successul strategies or their Single Tenant Net Leased, Retail, Industrial, and land properties. Since orming SVN | HN and aer utilizing the expansive network he has developed Will has been able to expand his client base throughout the 48 states. Focusing his transaction activity on properties in the Midwest, South, and Southeastern area o the country. This expanded territory combined with the ability to mentor and co-broker with agents across the country has brought substantial beneits to his clients.

[email protected] 636.628.2111

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 10 THE SVN DIFFERENCE

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 11 DISCLAIMER The material contained in this Oering Brochure is urnished solely or the purpose o considering the purchase o the property within and is not to be used or any other purpose. This inormation should not, under any circumstances, be photocopied or disclosed to any third party without the written consent o the SVN® Advisor or Property Owner, or used or any purpose whatsoever other than to evaluate the possible purchase o the Property.

The only party authorized to represent the Owner in connection with the sale o the Property is the SVN Advisor listed in this proposal, and no other person is authorized by the Owner to provide any inormation or to make any representations other than contained in this Oering Brochure. I the person receiving these materials does not choose to pursue a purchase o the Property, this Oering Brochure must be returned to the SVN Advisor.

Neither the SVN Advisor nor the Owner make any representation or warranty, express or implied, as to the accuracy or completeness o the inormation contained herein, and nothing contained herein is or shall be relied upon as a promise or representation as to the uture representation o the Property. This Oering Brochure may include certain statements and estimates with respect to the Property. These Assumptions may or may not be proven to be correct, and there can be no assurance that such estimates will be achieved. Further, the SVN Advisor and the Owner disclaim any and all liability or representations or warranties, expressed or implied, contained in or omitted rom this Oering Brochure, or any other written or oral communication transmitted or made available to the recipient. The recipient shall be entitled to rely solely on those representations and warranties that may be made to it in any inal, ully executed and delivered Real Estate Purchase Agreement between it and Owner.

The inormation contained herein is subject to change without notice and the recipient o these materials shall not look to Owner or the SVN Advisor nor any o their officers, employees, representatives, independent contractors or affiliates, or the accuracy or completeness thereo. Recipients o this Oering Brochure are advised and encouraged to conduct their own comprehensive review and analysis o the Property.

This Oering Brochure is a solicitation o interest only and is not an oer to sell the Property. The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions o interest to purchase the Property and expressly reserves the right, at its sole discretion, to terminate negotiations with any entity, or any reason, at any time with or without notice. The Owner shall have no legal commitment or obligation to any entity reviewing the Oering Brochure or making an oer to purchase the Property unless and until the Owner executes and delivers a signed Real Estate Purchase Agreement on terms acceptable to Owner, in Owner’s sole discretion. By submitting an oer, a prospective purchaser will be deemed to have acknowledged the oregoing and agreed to release the Owner and the SVN Advisor rom any liability with respect thereto.

To the extent Owner or any agent o Owner corresponds with any prospective purchaser, any prospective purchaser should not rely on any such correspondence or statements as binding Owner. Only a ully executed Real Estate Purchase Agreement shall bind the property and each prospective purchaser proceeds at its own risk.

WARTBURG, TN ADVANCE AUTO PARTS 1105 Knoxville Hwy Wartburg, TN 37887 SVN | HOLMAN NORDEN 12