IHOP / Five Guys Investment Offering

5755 North Point Parkway, Suite 262 808 . Oglethorpe Hwy, Hinesville, GA Alpharetta, GA 30022 770.481.1960 www.shanegroup.net

File Photo: Not Actual Location; Property is currently Under Construction IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

This offering is a 2-tenant IHOP & Five Guys located in Hinesville, Georgia, home to Fort Stewart Army Base, approximately 30 minutes southwest of Savannah. IHOP (12-Unit Operator) executed a 20-Year NNN Lease with 10% increases every 5 years. Five INVESTMENT SUMMARY Guys (Corporate Lease / 1,500 Locations Worldwide) executed a 10-Year Net Lease with 10% increases every 5 years. Currently under construction, IHOP will tentatively open in December 2018 and Five Guys in early 2019. The property occupies an excellent AERIAL MAPS location, directly across from a Dick’s, TJMaxx and Hobby Lobby-anchored power center, and is near to Lowe’s and a Walmart SITE PLAN Supercenter. The property has excellent visibility on West Oglethorpe Hwy with over 35,800 cars per day. This immediate area is flourishing with new development, including a 3-tenant center, directly next door, opening in 2019 and a power center across the BUILDING ELEVATIONS street that recently opened in 2017 and includes PetSmart, Starbucks, LongHorn, Chick-Fil-A and more. Other nearby retailers FINANCIAL OVERVIEW include a new Krispy Kreme, McAlister’s Deli, and a Discount Tire under construction.

LEASE ABSTRACT

LOCATION MAPS  2 Tenants / Long Leases / Passive Ownership DEMOGRAPHICS  IHOP: 20-Year NNN Lease (Tenant Responsible for Roof)  Five Guys: 10-Year Corporate Net Lease  Directly across from Dick’s / TJMaxx / Hobby Lobby Power Center and Near to Lowe’s and Walmart Supercenter  Near Fort Stewart (288,000-Acre Army Base)  “Suburb” of Savannah—Located 30 Minutes Southwest

BUILDING: 6,900 SF | LAND: 3.20 ACRES | YEAR BUILT: 2018

IHOP / Five Guys occupies an excellent location, directly across from a new Dick’s, TJMaxx and Hobby Lobby power center and near to Lowe’s and Walmart. It is located in Hinesville, Georgia near Fort Stewart Army Base. Fort Stewart is over 288,000 acres and home to 22,500 employees including 18,500 full time soldiers, 4,000 Army Civilian workers, and more than 18,000 military retirees. Fort Stewart is the Army’s Premier Power Projection Platform on the East Coast and has an economic impact of $4.9 Billion to Coastal Georgia. There are over 67,000 people within a 10-mile trade area with an average household income of approximately $60,000 per year. Additionally, there is a daytime population of over 32,000 people within 5 miles. The site is on West Oglethorpe Hwy, a major thoroughfare with over 35,800 cars per day.

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

BUILDING ELEVATIONS

FINANCIAL OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

Plus 2 other National Tenants (signed LOI)

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

BUILDING ELEVATIONS

FINANCIAL OVERVIEW

LEASE ABSTRACT

LOCATION MAPS 13,000 Cars DayPer

DEMOGRAPHICS

W. Oglethorpe Hwy 35,800 Cars Per Day Proposed Proposed Future Future Retail Retail

Plus 2 other National Tenants (signed LOI)

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN Fort Stewart (downtown area) BUILDING ELEVATIONS * Expanded Area is over FINANCIAL OVERVIEW 288,000 Acres * Home to 22,500 Employees LEASE ABSTRACT including 18,500 full-time soldiers, 4,000 Army Civilian workers, and LOCATION MAPS more than 18,000 military retirees. DEMOGRAPHICS * Over 3,400 family housing units plus over 6,177 barracks. * Comprised of 22.4mm SF of facilities totaling $7.5 Billion. * Economic Impact of $4.9 Billion in Coastal Georgia! Downtown Hinesville

Fort Stewart-Hunter Army Airfield is the Army’s Premier Power Projection Platform on the East Coast responsible for training, equipping, deploying , and redeploying active and reserve component Army units, and it’s home to the historic 3rd Infantry Division. Stewart’s 288,000 acres provide unequaled joint training opportunities along the Eastern seaboard for all branches of military. It also plays a critical role in deployment capabilities. The largest military aircraft can land at Hunter, load the biggest equipment in the Army inventory, and then deploy equipment and soldiers within an 18-hour wheels-up timeline to contingency operations anywhere in the world. Stewart-Hunter is an Army Community of Excellence earning the Chief of Staff’s top award 5 times from 2004 to 2015 for being the best place to live, train, work and raise a family. The installations earned the Bronze award in 2018.

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY PHASE I (SUBJECT PROPERTY): AERIAL MAPS IHOP / Five Guys SITE PLAN Approximately 6,900 SF Building Approximately 3.20 Acres BUILDING ELEVATIONS Delivery Dec 2018 / Jan 2019

FINANCIAL OVERVIEW PHASE II (Delivery Late 2019):

LEASE ABSTRACT 2 other My EyeLab / Chipotle (Lease National Pending) / Domino’s (Lease Pending) LOCATION MAPS Tenants Approximately 6,775 SF Building (signed LOI) Approximately 1.60 Acres DEMOGRAPHICS

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

BUILDING ELEVATIONS

FINANCIAL OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

Front Elevation

Rear Elevation

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

BUILDING ELEVATIONS

FINANCIAL OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

Right Elevation

Left Elevation

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY SCHEDULED BASE RENTAL

AERIAL MAPS 4,500 SF New 20 Year Lease $ 175,000 10% Increases every 5yrs PRICE SITE PLAN Three 5 Yr Options $3,922,500 BUILDING ELEVATIONS

FINANCIAL OVERVIEW 2,400 SF New 10 Year Lease 78,000 LEASE ABSTRACT 10% Increases every 5yrs CAP RATE Two 5 Yr Options LOCATION MAPS 6.45%

DEMOGRAPHICS TOTAL SCHEDULED INCOME 253,000

RECAPTURE (estimated per lease) IHOP 39,375 BUILDING / GLA Five Guys 10,800 6,900 SF 50,175

GROSS OPERATING INCOME $ 303,175 LAND EXPENSES (estimated per lease) Taxes $ 28,350 3.20 ACRES Insurance 2,325 CAM 19,500

$ 50,175 YEAR BUILT 2018 NET OPERATING INCOME* $ 253,000

* IHOP reimburses all expenses, including Taxes, Insurance, CAM and Admin Fee; they even reimburse for roof. * Five Guys reimburses all expenses, including Taxes, Insurance, CAM and Admin Fee; Landlord pays roof and structure. * Roof Warranty will be transferred to new owner.

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

Tenant IHOP Franchisee (12 Unit Operator) Guarantor Two Personal Guaranties (call Listing Agent for INVESTMENT SUMMARY Building 4,500 SF AERIAL MAPS Term 20 Years (commencement expected Dec 2018); 10% increases every 5 Years; Three 5-Year Options SITE PLAN Rent Schedule Year Annual Base Rent Monthly Base Rent BUILDING ELEVATIONS 1 to 5 $175,000 $14,583.33 FINANCIAL OVERVIEW 6 to 10 $192,500 $16,041.67 11 to 15 $211,750 $17,645.83 LEASE ABSTRACT 16 to 20 $232,975 $19,414.58

LOCATION MAPS Option 1 21 to 25 $256,218 $21,321.50 Option 2 26 to 30 $281,839 $23,434.83 DEMOGRAPHICS Option 3 31 to 35 $310,023 $25,835.25

Taxes Insurance Tenant pays Estimated Monthly Pro Rata Share CAM } Utilities Paid directly by Tenant Admin Tenant pays 10% Admin Fee on CAM Expenses; billed by Landlord Landlord Expenses None; lease is NNN. Roof and other common Landlord expenses billed back pro-rata to Tenant

About the Tenant This IHOP franchisee has more than 15 years of operator experience.

The Franchisee currently operates 11 stores in Georgia and South Carolina; this will be the 12th location and two additional stores are planned. Prior to becoming a franchisee, this operator enjoyed a 22-year career at IHOP corporate working up to Regional Director for the Southeast overseeing the development and operations of more than 250 restaurants. With the corporate experience in development, it was a seamless transition to develop and operate franchised locations.

Considered to be an “A” operator by IHOP corporate, this tenant's restaurants are among the top 5% in the US, serving more than 2.1 million customers annually. They have received numerous corporate awards including 2014 IHOP Franchisee of the Year and three Regional Franchisee awards. Additionally, this operator has served on the board of the IHOP Franchisee Leadership Council for 12 years and also currently serves as Chairman of the Operations subcommittee.

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

Tenant Five Guys Properties, LLC

INVESTMENT SUMMARY Guarantor Corporate Lease

AERIAL MAPS Building 2,400 SF

SITE PLAN Commencement Date Expected 1st Quarter 2019

BUILDING ELEVATIONS Termination Date Ten Years

FINANCIAL OVERVIEW Term Ten Years with Two 5-Year Options

LEASE ABSTRACT Increases 10% every 5 Years

LOCATION MAPS Rent Schedule Year Annual Base Rent Monthly Base Rent DEMOGRAPHICS 1 to 5 $78,000 $6,500 6 to 10 $85,800 $7,150

Option 1 11 to 15 $94,368 $7,864 Option 2 16 to 20 $103,800 $8,650

About the Tenant Five Guys has been a Washington, DC area favorite since 1986. Early in 2003, Five Guys began offering franchise opportunities. In just under 18 months, Five Guys Enterprises sold options for more than 300 units. Now, 30 years after Five Guys first opened, there are almost 1,500 locations worldwide spanning the United States, Canada, United Kingdom, Europe and the Middle East; and another 1,500 units in development. Five Guys continues to receive generous media attention and has grown a cult-like following around the world.

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN

BUILDING ELEVATIONS

FINANCIAL OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

Fort Stewart 288,000 Acres

Hinesville, GA is approximately 40 Miles Southwest of Savannah, GA

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

INVESTMENT SUMMARY

AERIAL MAPS

SITE PLAN Fort Stewart BUILDING ELEVATIONS 288,000 Acres

FINANCIAL OVERVIEW

LEASE ABSTRACT

LOCATION MAPS

DEMOGRAPHICS

Directly across from Power Center (Dick’s, TJMaxx, others) Located nearby Fort Stewart

See accompanying Confidentiality Statement. IHOP / FIVE GUYS

770.481.1960 | www.shanegroup.net 808 . Oglethorpe Hwy, Hinesville, GA

Three Miles Five Miles Ten Miles Notes

INVESTMENT SUMMARY Population 2018 Population 32,750 53,693 67,614 AERIAL MAPS 2010 Population 32,085 52,031 63,585 5 Year Projected 32,480 53,584 69,027 SITE PLAN

BUILDING ELEVATIONS Households 2018 Households 12,004 18,548 23,552 FINANCIAL OVERVIEW % Owner Occupied 39.50% 36.00% 40.20% LEASE ABSTRACT % Renter Occupied 60.50% 64.00% 59.80% 2010 Households 11,589 17,702 21,857 LOCATION MAPS 5 Year Projected 12,010 18,664 24,239 DEMOGRAPHICS Income 2018 Average Household Income $62,742 $58,932 $58,912 5 Year Projected $70,896 $66,215 $65,885 Projected Growth Over the Next 5 Years 13.00% 12.36% 11.84%

Employment & Establishments 2018 Employees/Daytime Population 27,171 32,554 33,369 2018 Total Establishments 1,155 1,325 1,445

Race White 39.60% 42.40% 43.90% African American 45.80% 43.20% 42.40% Hispanic Origin (Any Race) 14.80% 15.30% 13.90% Native American / Alaskan Native 0.50% 0.60% 0.60% Asian/Pacific Islander 3.70% 3.30% 3.00% Two or More Races 6.10% 6.30% 6.00% Other Race 4.20% 4.30% 4.10%

See accompanying Confidentiality Statement.