1900 Scufflegrit Road . Marietta, GA 30066 INVESTMENT ADVISORS

BRANDON MICHAELS Senior Managing Director of Investments Senior Director, National Retail Group Tel: (818) 212-2794 Fax: (818) 212-2710 [email protected] License: CA #01434685 www. BrandonMichaelsGroup . com

PROPERTY OVERVIEW

FINANCIALS

COMPARABLES BRANDON MICHAELS GROUP SOUTHERN CALIFORNIA'S PREMIER SALES TEAM AREA OVERVIEW 16830 Ventura Blvd. Suite 100, Encino, CA 91436 www.marcusmillichap.com

2 3 Walgreens is ranked number 1 among food and drugstores 1900 Scufflegrit Road . Marietta, GA 30066 by Fortune magazine World’s Most Admired Companies.

The Brandon Michaels Group of Marcus & Millichap is pleased to present for sale the Walgreens located at the southeast signalized intersection of Scufflegrit Road and Sandy Plains Road in Marietta, Georgia. The signalized corner location has traffic counts reaching 27,450 vehicles per day. Walgreens is ideally situated on 1.97 acres of land, creating a unique opportunity to acquire one of the top performing triple net tenants in the country with long term development potential. The subject property includes a drive-thru pharmacy and benefits from excellent parking (75 spaces), outstanding visibility, and exceptional accessibility. Within the surrounding area of Walgreens, there are multiple national retailers including Goodwill, Publix Super Market, Wendy’s, Papa John’s Pizza, Sally Beauty and others.

Walgreens has occupied this property since the building was originally built in 2003. The lease is triple net and expires in October 2023 with a five (5) year option. The site is located off I-75 at a signalized intersection with multiple ingress and egress exits. The property corner is adjacent to a QuikTrip and The Sandy Plains Exchange, an upscale Publix anchored shopping center.

The City of Marietta is located in central Cobb County, Georgia and is the largest city within the county. Marietta is one of ’s largest suburbs with a population of 61,048.

Walgreens is one of the largest drug retail chain in the United States. The lease is backed by a corporate guarantee with investment grade credit rated of BBB by Standard & Poor’s. Walgreens has more than 8,000 stores in all 50 states. In December 2014, Walgreens completed its strategic combination with Alliance Boots to establish Walgreens Boots Alliance, Inc., forging the first global pharmacy-led, health and wellbeing enterprise. Annual revenue exceeds $116 billion. Through Walgreens strategic partnership with Alliance Boots, Walgreens Boot Alliance is now a global leader in pharmacy-led health and well-being, and combined have over 13,200 stores in 11 countries as well as one of the largest global pharmaceutical and wholesale distribution networks. In addition, Walgreens Boots Alliance is one of the world’s largest purchasers of prescription drugs and many other health and well-being products. The company’s size, scale, and expertise help to expand and address the rising cost of prescription drugs in the USA and worldwide.

4 EXECUTIVE SUMMARY 5 INVESTMENT GRADE CREDIT EXCELLENT LOCATION IN MARIETTA, GEORGIA

• Walgreens Boots Alliance is the largest retail pharmacy, health and daily • Population of over 187,716 people within a 5-mile radius living destination across the USA and Europe. • Average household income over $110,141 within a one-mile radius • Investment Grade Tenant - BBB rating by Standard & Poor’s • Close proximity to both residential and commercial areas • Corporate Guarantee | Nasdaq: WBA • The City of Marietta is located in central Cobb County, Georgia and is • Walgreens Boots Alliance ranks No. 1 in the Food and Drug Stores in- the largest city within the county. dustry of Fortune magazine’s 2017 list of the World’s Most Admired Com- panies • Marietta is one of Atlanta’s largest suburbs with a population of 1900 Scufflegrit Road . Marietta, GA 30066 61,048 • Walgreens Boots Alliance has over $116 billion in annual sales revenue

• Walgreens Boots Alliance has over 13,200 stores in 11 countries

13,500 12,039 187,716 72,030 $2,077,590 Traffic volume counts of 12,039 businesses in a Population Within 5-mile Radius Households Within 5-mile $2,077,590 of consumer 13,500 along Scufflegrit Rd 5-mile radius Radius spending in a 5-mile radius D R SCUFFLEGRIT RD NS AI PL Y ND SA

6 INVESTMENT HIGHLIGHTS 7 PROPERTY INFORMATION LOCATION

1900 Scufflegrit Road 1900 Scufflegrit Road Property Address Marietta, GA 30066 Marietta, GA 30066

Asking Price $4,950,000 SITE

Cap Rate 7.76% The subject property is located at the southeast corner of Scufflegrit Road and Sandy Plains Road. Price/SF $358 SQUARE FOOTAGES Building SF 13,813 SF The total building SF is 13,813 SF. The total lot size is 85,813 SF.

Land SF 1.97 Acres (85,813 SF) YEAR BUILT

Year Built 2003 The property was built in 2003.

Zoning NRC/LRO CROSS STREETS The cross streets are Sandy Plains Road (East/West) and APN 16-0776-0-001-0 Scufflegrit Road (North/South). Type of Ownership Fee Simple TRAFFIC COUNTS 13,500 Vehicles pass along Scufflegrit Road every day, and 27,450 vehicles per day travel along Sandy Plains Road. SUMMARY OF TERMS FRONTAGE Interest Offered: 100 percent fee simple interest in a 13,813 SF single-tenant 322 Feet on Scufflegrit Road. 312 Feet on Sandy Plains Road. Walgreens situated on 1.97 acres of land, located at 1900 Scufflegrit Road, Marietta, GA 30066 PARKING 75 Free surface spaces are available; ratio of 5.43/1,000 SF. Terms of the Sale: Property is being offered on a free and clear basis. ZONING

Property Tours: The zoning is NRC/LRO. Prospective purchases are encouraged to visit the site prior to APN NUMBER submitting offers. All property tours must be coordinated through the listing team. The APN number is 16-0776-0-001-0. PROPERTY OVERVIEW

8 9 10 WALGREENS QUCIK FACTS COMP WALGREENS BOOTS ALLIANCE TENANTWebsite PROFILEHeadquarters No. ofEmployees No. ofLocations Board Stock Symbol Credit Rating Lease Guarantor Sales Volume Ownership Tenant Trade Name ANY PROFILE AMERICA LOCATIONS ACROSS NORTH 13,200 www.Walgreens.com Deerfield, Illinois 400,000 13,200 Nadaq WBA Standard &Poor’s BBB by Walgreens Boots Alliance $117.4 billion Public Walgreens # INDUSTRY BY FORBES MAGAZINE IN THEFOOD ANDDRUG STORE 1 ANNUAL REVENUE $117M Botanics, LizEarleandSoap&Glory. well asglobalhealthandbeauty products brands suchasNo7, Walgreens, DuaneReade, Boots andAlliance Healthcare, as other healthandwellbeing products. Itsportfolio now includes the world’s largest purchasers ofprescription drugsandmany of Walgreens Boots Alliance. Inaddition, Walgreens isoneof Walgreens is today partof the Retail Pharmacy USA division a century’s worth ofexperience incustomer andpatientcare. pharmaceutical wholesaling.Both companies have more than health care services through community pharmacy care and geographic footprints, shared values andaheritageof trusted two leadingcompanies withiconic brands, complementary and wellbeingenterprise.Thecombination brought together Alliance, Inc.,forging the first globalpharmacy-led,health combination withAlliance Boots to establishWalgreens Boots In December 2014,Walgreens completed itsstrategic office isin Illinois. theChicago suburb ofDeerfield, founded in1901. inChicago,Illinois, TheWalgreens headquarters Columbia, PuertoRico, and the U.S.Virgin Islands.Itwas with more than 8,000 stores 50states, inall the Districtof Walgreens isoneof the largest drugstore chainsin the U.S., WALGREENS # BASED COMPANIES FORTUNE MAGAZINE LARGEST U.S. 35 • • • • WALGREENS BOOTS ALLIANCE AT AGLANCE rising cost ofprescription drugsin the USA andworldwide. The company’s size,scale,andexpertise help to expand the supply andaddress the purchasers ofprescription drugsandmany other healthandwell-being products. than 20countries. Inaddition, Walgreens Boots Alliance isoneof the world’s largest more than 230,000 pharmacies,doctors, health centers andhospitalseachyear inmore wholesale anddistributionnetworks, withover 390distributioncenters delivering to over 13,200stores in11countries aswell asoneof the largest globalpharmaceutical is now agloballeader inpharmacy-led,healthandwell-being retail, and together have Through Walgreen’s strategic partnership withAlliance Boots, Walgreens Boots Alliance WALGREENS BOOTS ALLIANCE A uniqueplatform for growth indeveloped andemerging markets No7, Botanics, LizEarle,andSoap&Glory and Alliance Healthcare, aswell asglobalhealthandbeauty product brands, suchas A portfolio ofretail andbusiness brands, includingWalgreens, DuaneReade, Boots solutions andoptimalefficiencies Unmatched supply chainandprocurement expertise, offeringcustomers innovative Walgreen Co.,have beennamed to the list. 24th consecutive year that Walgreens Boots Alliance or itspredecessor company, Fortune magazine’s 2017listof the World’s MostAdmired Companies.This is the Walgreens Boots Alliance ranks No.1in the Food andDrugStores industry of FORM WALGREENS BOOTS ALLIANCE LEADING COMPANIES MERGING TO 2 11 12 OPERATING DATA OPERATING ROLL RENT INCOME ANDEXPENSE Total Return Before Taxes PrincipleReduction Pre-Tax CashFlow LoanPayment Net Operating Income Effective Gross Income NNN Charges Scheduled LeaseIncome

FINANCIAL ANALYSIS Walgreens TENANT TOTAL 13,813 13,813 SF 100% % - $384,281 $192,958 $235,781 $384,281 $384,281 $384,281 CURRENT $191,323 $42,823 LEASE START 6/30/03 - LEASE EXP 6/30/23 - WALGREENS RENT INCREASES Option #3 Option #2 Option #1 Option #4 4 -5year OPTIONS - $398,094.00 $405,001.00 $32,023.42 $391,188.00 $411,907.00 $32,023.42 ANNUAL RENT RENT/SF $2.32 $2.32 $32,599.00 $33,750.08 $34,325.58 $33,174.50 MONTHLY $9,654.00 $9,654.00 PFRENT CAP RATE 8.04% 8.32% 7.90% 8.18% PFRENT/SF $0.70 $0.70 PRICING APN Number: Zoning: Current NOI: Land SF: Building SF: Price/SF (Land): Price/SF: Current CAPRate: Pricing: Address 1900 Scufflegrit Road Marietta GA30066 16-0776-0-001-0 $4,950,000 NRC/LRO $384,281 85,813 13,813 7.76% $358 $58 13 14 2 4 5 # 3 SALES COMPARABLES1 Average Atlanta, GA30342 3658 Roswell Rd Walgreens 30044 Lawrenceville, GA Trickum Rd 2990 Five Forks Walgreens Smyrna, GA30080 2670 CobbPky Walgreens 30043 Lawrenceville, GA 2365 Buford Dr Walgreens Murphy, NC28906 1630 Andrews Rd Walgreens ADDRESS $12,603,846 $5,500,000 SALES PRICE $6,035,000 $7,310,369 $5,313,000 $7,100,000 PRICE/SF $363.08 $366.67 $970.87 $469.58 $517.69 $418.23 PRICE/SF $113.03 $105.76 $198.18 $118.97 $58.08 $84.18 (LAND) BLDG SF 14,434 14,490 14,430 12,982 15,120 15,148 LAND SF LAND 65,340 63,598 57,064 67,431 59,677 91,476 CAP RATE 5.90% 5.50% 6.44% 5.21% 6.16% 6.18% 12/29/2017 2/20/2018 8/28/2018 4/28/2017 1/31/2017 CLOSE OF ESCROW -- SALES COMPARABLESSALES |CAP RATE COMPARABLESSALES |PRICE/SF 15 MARIETTA, GEORGIA COBB COUNTY, GEORGIA Marietta is located in central Cobb County, Georgia, Cobb County is a suburban county in the U.S. state of Georgia. As of 2017, the United States, and is the county’s seat and largest population was 755,754, making it Georgia’s third most-populous county. Its county city. As of the 2010 census, the city had a total seat and largest city is Marietta. population of 56,579. The 2017 estimate is 61,048, making it one of Atlanta’s largest suburbs. Marietta Along with several adjoining counties, Cobb County was founded on December 3, is the fourth largest of the principal cities (by 1832, by the Georgia General Assembly from the large Cherokee County territory— population) of the Atlanta metropolitan statistical land northwest of the Chattahoochee River which the state confiscated from the area. Cherokee Nation and redistributed to settlers via lottery, following the passage of the federal Indian Removal Act. The county was named for Thomas Willis Cobb, a U.S. POINTS OF INTEREST representative and senator from Georgia. It is believed that Marietta was named for his wife, Mary. The city has six historic districts, some on the National Register of Historic Places (these include Northwest Marietta, Whitlock Avenue, Washington Avenue, and Church-Cherokee Streets). The city’s welcome center is Cobb County is included in the Atlanta-Sandy Springs-Roswell, GA Metropolitan located in the historic train depot. Downtown is the town square and former location of the county courthouse. Statistical Area. It is situated immediately to the northwest of Atlanta’s city limits. The square is the site of several cultural productions and public events, including a weekly farmers’ market. The Marietta Players perform semi-professional theater year round. The Strand Theatre has been renovated back to its original design and features classic films and other events.

The Marietta Museum of History exhibits the history of the city and county. The museum is home to thousands of artifacts including items from Marietta residents and businesses. The Marietta Gone with the Wind Museum, also called “Scarlett on the Square”, houses a collection of memorabilia related to Gone with the Wind, both the book and the film.[13] The William Root House Museum and Garden is the oldest wood frame house still standing in Marietta, built circa 1845. It was owned by William Root, one of Marietta’s founding citizens and merchants whose drugstore was located in the Square.[28]

The Big Chicken is a landmark on U.S. 41.

Miramax Films and Disney filmed scenes of the 1995 movie Gordy here. The 2014 film To filmed a scene in the Marietta Square.[29]

The city includes the Kennesaw House, one of only four buildings in Marietta not burned to the ground in Sherman’s March to the Sea. The Kennesaw House is home to the Marietta Museum of History[30] which tells the history of Marietta and Cobb County. AREA OVERVIEW AREA

16 17 1 MILE 3 MILES 5 MILES 59,714 48% 52% 2019 Population 6,504 73,976 187,7 16 Total Population of Marietta, GA. The median age is 34.1. MALE FEMALE 2019 Households 2,487 28,855 72,030

2019 Average Household Size 2.60 2.50 2.60 $102,129 12,039 Average HH income within 5-m radius Businesses within a 5-m radius 2019 Median Household Income $90,978 $78,514 $78,578 EDUCATION 2019 Average Household Income $110,141 $98,140 $102,129

2019 Owner Occupied Housing 2,202 18,622 48,196 Units

2019 Renter Occupied Housing 285 10,233 23,834 Units 187,716 48,196 59.28% 7. 2 % 23.12% 10.4% <$25,000 201 3,506 9,326 Population within 5-m radius Owner Occupied Households High School or Less Associate Degree Bachelor’s Degree Graduate Degree within 5-m radius $25,000 - $50,000 371 5,357 12,994

$50,000 - $75,000 401 4,948 12,266

$75,000 - $100,000 424 4,382 9,980

$100,000 - $125,000 320 3,390 7,939

$125,000 - $150,000 170 2,217 5,696

$150,000 - $200,000 377 2,678 6,355 $78,578 23,834 Median HH income within 5-m radius Renter Occupied Households $200,000+ 224 2,376 7,473 within 5-m radius DEMPGRAPHICS

18 19 BRANDON MICHAELS Senior Managing Director of Investments Senior Director, National Retail Group Tel: (818) 212-2794 [email protected] License: CA #01434685 www.BrandonMichaelsGroup.com