CLIVE, IA (DES MOINES MSA)

Listed in conjunction with real estate broker David B Zacharia License B64850000 PRICING & FINANCIAL ANALYSIS CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

Christian Brothers Automotive 15250 Hickman Rd Clive, IA 50325

OFFERING SUMMARY ANNUALIZED OPERATING DATA Price $3,227,000 Year(s) Annual Increase Cap Rate 6.25% Years 1-5 $201,600 - Net Operating Income $201,600 Year 6 $204,624 1.50% Year Built 2019 Year 7 $207,693 1.50% Gross Leasable Area 5,229 SF Year 8 $210,809 1.50% Lot Size 0.91 Acres Year 9 $213,971 1.50% Year 10 $217,180 1.50% LEASE SUMMARY Year 11 $220,438 1.50% Lease Term 15 Years Year 12 $223,745 1.50% Lease Commencement At Close of Escrow Year 13 $227,101 1.50% Lease Expiration 15 Years from COE Year 14 $230,507 1.50% Remaining Term 15 Years Year 15 $233,965 1.50% Lease Type NNN NET OPERATING INCOME $201,600 Roof & Structure Tenant Increases 1.5% Starting in Year 6 For Financing Options Please Contact: Options 5 x 10 Year Greg Holley | Managing Partner Options to Purchase No High St Capital (O) 469-998-7200 | (C) 714.514.2990 [email protected]

FINANCIAL ANALYSIS 2 TENANT OVERVIEW CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

COMPANY SUMMARY Company Christian Brothers Automotive Ownership Private Christian Brothers Automotive was founded in 1982 because there was a void in the auto repair industry. Customer service and Market Cap See Agent for Details honest, genuine auto repair service was tough to find. They haven’t Sales Volume See Agent for Details changed their focus in thirty years. They still have some of the Number of Locations 200+ original employees on board, and they still believe that it’s possible to provide the best auto repair service with the best customer Years in Business 35+ Years service. Christian Brothers is progressing on a growth initiative Headquarters Houston, TX that would take their brand to over 200 stores throughout the southeast, lower midwest and southwest United States by 2020. Website www.cbac.com

PROPERTY DESCRIPTION 3 INVESTMENT HIGHLIGHTS CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

• Long-Term Absolute Triple-Net Lease SNAPSHOT • Zero Landlord Responsibility • 15-Year Primary Term with Options up to 65 Years • One and One-Half Percent Annual Rent Escalations Starting in Year 6 Estimated Vehicles Average Household • Strong Corporate Guarantee Per Day Income • Christian Brothers started in 1982, is Growing at 15-20 Locations per 33,100 $151,613 Year, Currently Has Over 200 Locations and Never Closed a Store • Traffic Counts on Hickman Rd Exceed 33,000 Vehicles per Day • The Population Within a 5-Mile Radius in 2019 is over 110,000 People with a Projected Total of 125,000 in 2024. The Population within 3 Miles has Grown Nearly 36% since 2010.

• The Average Household Income Within a 1-Mile Radius is over $151,000 Projected Population Population: 5 Mile Growth 2020-2025 Radius • Surrounding Retailers Include Nebraska Furniture Mart, Walgreens, Hy-Vee, , , Arby’s, Wendy’s, IHOP, AutoZone, 15.03% 111,195 Pancheros Mexican Grill and Many, Many More

PROPERTY DESCRIPTION 4 ELEVATION CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

Note: this is the generic evelation plan for a typical Christian Brothers Automotive location. Actual subject property may vary depending on location.

PROPERTY DESCRIPTION 5 SITE PLAN CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

Note: this is the generic site plan for all Christian Brothers Automotive locations. Actual subject property may vary depending on location.

PROPERTY DESCRIPTION 6 AERIAL MAP CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

HICKMAN RD 33,100 VPD

EASON ELEMENTARY SCHOOL

WAUKEE MIDDLE SCHOOL

WAUKEE HIGH SCHOOL PRAIRIEVIEW SCHOOL

PROPERTY DESCRIPTION 7 LOCAL MAP CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

PROPERTY DESCRIPTION 8 MARKET OVERVIEW CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

Des Moines, IA

OVERVIEW Des Moines is the capital and the most populous Monsanto and DuPont Pioneer have large operations city in the U.S. state of Iowa. It is also the county in or near the metropolitan area. In recent years, seat of Polk County. The city was incorporated Microsoft, Hewlett Packard and Facebook have built on September 22, 1851, as Fort Des Moines, which data-processing and logistical facilities in the Des was shortened to “Des Moines” in 1857. It is on and Moines area. named after the Des Moines River, which likely was adapted from the early French name, Rivière des Des Moines is an important city in U.S. presidential Moines, meaning “River of the Monks”. The city’s politics; as the state’s capital, it is the site of the population was 216,853 as of the 2018 population first caucuses of the presidential primary cycle. estimate. The five-county metropolitan area is Many presidential candidates set up campaign ranked 89th in terms of population in the United headquarters in Des Moines. States with 655,409 residents according to the 2018 estimate by the United States Census Bureau, and Des Moines is also home to the main campuses of is the largest metropolitan area fully located within three four-year private colleges: Drake University, the state. Grand View University and Mercy College of Health Sciences. Also in the city are the Iowa State Fair Des Moines is a major center of the US insurance Grounds with Heritage Village (displaying early farm industry and has a sizable financial services and machinery and replicas of pioneer buildings) and the publishing business base. The city is the headquarters Iowa Museum of Agriculture. The annual state fair, for the Principal Financial Group, the Meredith held in August, is the city’s premier event, drawing Corporation, Ruan Transportation and Wellmark hundreds of thousands of visitors. In 2017, Des Blue Cross Blue Shield. Other major corporations Moines was ranked as the #1 Minor League Sports such as Wells Fargo, Voya Financial, Nationwide city in the US by SportsBusiness Journal. Mutual Insurance Company, ACE Limited, Marsh,

MARKET OVERVIEW 9 DEMOGRAPHIC STATISTICS CHRISTIAN BROTHERS AUTOMOTIVE - CLIVE, IA

1 MILE 3 MILE 5 MILE Population: 2024 Projection 9,343 63,873 125,104 2019 Estimate 8,273 55,525 111,195 2010 Census 8,172 40,831 85,167 Growth 2019-2024 12.93% 15.03% 12.51% Growth 2010-2019 1.24% 35.99% 30.56% 2019 Population Hispanic Origin 201 1,830 4,810 2019 Population by Race: White 7,455 49,227 98,244 Black 101 1,461 3,288 Am. Indian & Alaskan 19 129 237 Asian 593 3,739 7,525 Hawaiian & Pacific Island 4 19 42 Other 102 950 1,859 U.S. Armed Forces: 1 33 121 Households: 2024 Projection 3,256 24,039 49,443 2019 Estimate 2,866 20,843 43,949 2010 Census 2,738 15,208 33,737 Growth 2019 - 2024 13.61% 15.33% 12.50% Growth 2010 - 2019 4.67% 37.05% 30.27% Owner Occupied 2,697 17,098 33,211 Renter Occupied 170 3,745 10,738 2019 Avg Household Income $151,613 $118,723 $111,097 2019 Med Household Income $128,014 $98,835 $89,366 2019 Households by Household Inc: <$25,000 135 1,795 4,179 $25,000 - $50,000 277 3,043 7,482 $50,000 - $75,000 306 3,219 6,973 $75,000 - $100,000 283 2,480 5,814 $100,000 - $125,000 375 2,852 5,762 $125,000 - $150,000 477 2,226 4,191 $150,000 - $200,000 322 2,452 4,395 $200,000+ 692 2,776 5,154 Demographic data © CoStar 2020

MARKET OVERVIEW 10 CONFIDENTIALITY AGREEMENT

The information contained in the following marketing package is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from STRIVE and David B Zacharia and it should not be made available to any other person or entity without the written consent of STRIVE and David B Zacharia. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the marketing package. If you have no interest in the subject property at this time, please return this marketing package to STRIVE and David B Zacharia.

This marketing package has been prepared to provide summary, unverified financial and physical information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. STRIVE and David B Zacharia have not made any investigation, and makes no warranty or representation with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this marketing package has been obtained from sources we believe to be reliable; however, STRIVE and David B Zacharia have not verified, and will not verify, any of the information contained herein, nor have STRIVE and David B Zacharia conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT STRIVE AND DAVID B ZACHARIA AGENT FOR MORE DETAILS.

This information has been secured from sources we believe to be reliable, but STRIVE and David B Zacharia make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. © 2020 STRIVE and David B Zacharia Net Lease Disclaimer

STRIVE and David B Zacharia hereby advises all prospective purchasers of Net Leased property as follows:

The information contained in this Marketing Package has been obtained from sources we believe to be reliable. However, STRIVE and David B Zacharia have not and will not verify any of this information, nor has STRIVE and David B Zacharia conducted any investigation regarding these matters. STRIVE and David B Zacharia make no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.

As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Package is not a substitute for your thorough due diligence investigation of this investment opportunity. STRIVE and David B Zacharia expressly deny any obligation to conduct a due diligence examination of this Property for Buyer.

Any projections, opinions, assumptions or estimates used in this Marketing Package are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs.

Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the property.

By accepting this Marketing Package you agree to release STRIVE and David B Zacharia and hold each harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property. Information About Brokerage Services Texas law requires all real estate license holders to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords.

TYPES OF REAL ESTATE LICENSE HOLDERS: • A BROKER is responsible for all brokerage activities, including acts performed by sales agents sponsored by the broker. • A SALES AGENT must be sponsored by a broker and works with clients on behalf of the broker.

A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents): • Put the interests of the client above all others, including the broker’s own interests; • Inform the client of any material information about the property or transaction received by the broker; • Answer the client’s questions and present any offer to or counter-offer from the client; and • Treat all parties to a real estate transaction honestly and fairly.

A LICENSE HOLDER CAN REPRESENT A PARTY IN A REAL ESTATE TRANSACTION:

AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner’s agent through an agreement with the owner, usually in a written listing to sell or property management agreement. An owner’s agent must perform the broker’s minimum duties above and must inform the owner of any material information about the property or transaction known by the agent, including information disclosed to the agent or subagent by the buyer or buyer’s agent.

AS AGENT FOR BUYER/TENANT: The broker becomes the buyer/tenant’s agent by agreeing to represent the buyer, usually through a written representation agreement. A buyer’s agent must perform the broker’s minimum duties above and must inform the buyer of any material information about the property or transaction known by the agent, including information disclosed to the agent by th e seller or seller’s agent.

AS AGENT FOR BOTH - INTERMEDIARY: To act as an intermediary between the parties the broker must first obtain the written agreement of each party to the transaction. The written agreement must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker’s obligations as an intermediary. A broker who acts as an intermediary: • Must treat all parties to the transaction impartially and fairly; • May, with the parties’ written consent, appoint a different license holder associated with the broker to each party (owner and • buyer) to communicate with, provide opinions and advice to, and carry out the instructions of each party to the transaction. • Must not, unless specifically authorized in writing to do so by the party, disclose: ӽ that the owner will accept a price less than the written asking price; ӽ that the buyer/tenant will pay a price greater than the price submitted in a written offer; and ӽ any confidential information or any other information that a party specifically instructs the broker in writing not to disclose, unless required to do so by law.

AS SUBAGENT: A license holder acts as a subagent when aiding a buyer in a transaction without an agreement to represent the buyer. A subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first.

TO AVOID DISPUTES, ALL AGREEMENTS BETWEEN YOU AND A BROKER SHOULD BE IN WRITING AND CLEARLY ESTABLISH: • The broker’s duties and responsibilities to you, and your obligations under the representation agreement. • Who will pay the broker for services provided to you, when payment will be made and how the payment will be calculated.

LICENSE HOLDER CONTACT INFORMATION: This notice is being provided for information purposes. It does not create an obligation for you to use the broker’s services. Please acknowledge receipt of this notice below and retain a copy for your records.

Regulated by the Texas Real Estate Commission Information available at www.trec.texas.gov IABS 1-0 469.844.8880 STRIVERE.COM

Listed in conjunction with Iowa real estate broker David B Zacharia license B64850000 Real estate disclosure for the state of Iowa revised 09.05.18

This disclosure is to be attached to listing and buyer agency agreements, marketing, and offers

David B Zacharia, Iowa broker license B64850000 and Jason Vitorino, Texas broker license 512565 shall preform the below duties:

543B.56 Duties of licensees. 1. Duties to all parties in a transaction. In providing brokerage services to all parties to a transaction, a licensee shall do all of the following: a. Provide brokerage services to all parties to the transaction honestly and in good faith. b. Diligently exercise reasonable skill and care in providing brokerage services to all parties. c. Disclose to each party all material adverse facts that the licensee knows except for the following: (1) Material adverse facts known by the party. (2) Material adverse facts the party could discover through a reasonably diligent inspection, and which would be discovered by a reasonably prudent person under like or similar circumstances. (3) Material adverse facts the disclosure of which is prohibited by law. (4) Material adverse facts that are known to a person who conducts an inspection on behalf of the party. d. Account for all property coming into the possession of a licensee that belongs to any party within a reasonable time of receiving the property. 2. Duties to a client. In addition to the licensee’s duties under subsection 1, a licensee providing brokerage services to a client shall do all of the following: a. Place the client’s interests ahead of the interests of any other party, unless loyalty to a client violates the licensee’s duties under subsection 1, section 543B.58, or under other applicable law. b. Disclose to the client all information known by the licensee that is material to the transaction and that is not known by the client or could not be discovered by the client through a reasonably diligent inspection. c. Fulfill any obligation that is within the scope of the agency agreement, except those obligations that are inconsistent with other duties that the licensee has under this chapter or any other law. d. Disclose to a client any financial interests the licensee or the brokerage has in any business entity to which the licensee or brokerage refers a client for any service or product related to the transaction. 3. Prohibited conduct. In providing brokerage services, a licensee shall not do either of the following: a. Accept a fee or compensation related to a transaction from a person other than the licensee’s client, unless the licensee has provided written notice to all parties to the transaction that a fee or compensation will be accepted by the licensee from such per son. b. Act in a transaction on the licensee’s own behalf, on behalf of the licensee’s immediate family or brokerage, or on behalf of an organization or business entity in which the licensee has an interest, unless the licensee has provided written disclosure of the interest to all parties to the transaction. 95 Acts, ch 17, §2; 96 Acts, ch 1054, §2 Referred to in §543B.57, §543B.58, §543B.61 Iowa Code 2017, Chapter 543B (17, 0)

Please mark with an “X,” who David B Zacharia, Iowa broker license B64850000 and ______, ______licensee are representing below: ___ Seller ___ Buyer ___ Seller and Buyer. Both Seller and Buyer agree to DUAL AGENCY where Iowa broker represents both Seller and Buyer equally.

Please sign and date below acknowledging agreement to this Disclosure. ______Seller Date ______Buyer Date