Starbucks Coffee 1470 Robert Street South

Starbucks Coffee 1470 Robert Street South | West St. Paul, MN | 55118

NET LEASED DISCLAIMER

Upland Real Estate Group, Inc. 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, Upland Real Estate Group, Inc. has not and will not verify any of this information, nor has Upland Real Estate Group, Inc. conducted any investigation regarding these matters. Upland Real Estate Group, Inc. makes 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. Upland Real Estate Group, Inc. expressly denies 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, legal and other advisors.

Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation ofany 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, financial and other advisors must request and carefully review all legal, financial and other documents related to the property and tenant. While 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 ofthe 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.

All information, including price change and withdrawal from the market, is subject to change without notice.

By accepting this Marketing Package you agree to release to Upland Real Estate Group, Inc. and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.

CONFIDENTIALITY AND DISCLAIMER: 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 Upland Real Estate Group, Inc. and should not be made available to any other person or entity without the written consent of Upland Real Estate Group, Inc. This Marketing Package has been prepared to provide summary, unverified 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. Upland Real Estate Group, Inc. has 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, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property or any other matter related to the subject property. The information contained in this Marketing Package has been obtained from sources we believe to be reliable; however, Upland Real Estate Group, Inc. has not verified, and will not verify, any of the information contained herein, nor has Upland Real Estate Group, Inc. 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.

DEBORAH K. VANNELLI, CCIM | KEITH A. STURM, CCIM | AMANDA C. LEATHERS | 612.332.6600 PAGE 2

Starbucks HIGHLIGHTS West St. Paul, MN

PRICE: $1,792,000 CAP: 5.25% NOI: $94,054

 Starbucks is the world’s #1 specialty coffee retailer with more than 25,000 coffee shops.

 Starbucks reported 2016 annual revenues of $21.32 billion, a 10% increase compared to fiscal 2015, and has an S&P investment grade rating of A.

 Starbucks has operated at this location for over 12 years, with eight years remaining on the lease extension.

 Ideally located on Robert Street South with 21,300 VPD in front of the property.

 Strong demographics: 5-mile population of 247,873 and average household income of $78,165.

Not Actual Photo  Busy retail corridor includes Menards, Lowe’s, Goodwill, CVS, U.S. Bank, TCF Bank, Super Target, LA Fitness, Walmart, and many more.

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Upland has not reviewed or verified this information. Buyer must verify the information and bears all risk for any inaccuracies. DEBORAH K. VANNELLI, CCIM | KEITH A. STURM, CCIM | AMANDA C. LEATHERS | 612.332.6600 PAGE 3

Starbucks PROPERTY OVERVIEW West St. Paul, MN

INVESTMENT SUMMARY LEASE INFORMATION

LEASE TYPE NN PRICE $1,792,000 LEASE TERM 10 YEARS CAP 5.25% One 5-year @ RENEWAL OPTIONS NOI $94,054.00 $125,189.50

LEASE COMMENCEMENT January 1, 2016 RENT/SF $50.84

LEASE EXPIRATION December 31, 2025 PRICE/SF $968.65

RENT ADJUSTMENTS LEASE NOTES: Net, Net. Landlord responsible for maintaining, repairing, and replacing the roof and roof membrane, foundation, and all structural YEARS 11-15: $94,054.00 components of the building. Original 10 year lease commenced on July 2005. Starbucks has exercised two 5-year renewal options commencing January 2016 and YEARS 16-20: $95,275.00 expiring December 2025. Starbucks has one remaining renewal option.

PROPERTY INFORMATION DEMOGRAPHIC INFORMATION 1470 Robert Street S, 1-MILE RADIUS 3-MILE RADIUS 5-MILE RADIUS ADDRESS West St. Paul, MN 55118 2017 POPULATION 11,318 75,303 247,873

BUILDING SIZE 1,850 SQ FT 2022 POPULATION 11,630 77,397 257,410

LOT SIZE 15,070 SQ FT 2017 MEDIAN HOUSEHOLD INCOME $51,440 $55,941 $53,940

COUNTY Dakota 2017 AVERAGE HOUSEHOLD INCOME $72,265 $79,780 $78,165

YEAR BUILT 2004 All demographic information is obtained from Site To Do Business, which compiles US Census Bureau data and Esri projections for 2017 and 2022.

Starbucks TENANT INFORMATION West St. Paul, MN

PROPERTY Starbucks TENANT Starbucks Corporation

REVENUES $21.32 Billion (2016)

NET WORTH $5.88 Billion (2016)

S&P RATING A

The world's #1 specialty coffee retailer, Starbucks has more than 25,000 coffee shops in about 75 countries. The outlets offer coffee drinks and food items, as well as roasted beans, coffee accessories, and teas. Starbucks operates more than 12,000 of its own shops, which are located mostly in the US, while licensees and franchisees operate roughly 12,375 units worldwide (including many locations in shopping centers and airports). In addition, Starbucks markets its coffee through grocery stores, food service customers, and licenses its brand for other food and beverage products. The company's global expansion plans have a particular focus on the growing consumer markets in Asia and South America. Starbucks has its own coffee farm in China. However, almost 75% of Starbucks' revenue comes from the US. Starbucks’ annual revenue $21.32 billion for fiscal 2016. That was an increase of about $2.16 billion compared to fiscal 2015. Starbucks Corporation has a total net worth $5.88 billion.

Starbucks PROPERTY PHOTOS West St. Paul, MN

Starbucks SURROUNDING PROPERTIES West St. Paul, MN

Starbucks AERIAL West St. Paul, MN

Starbucks AREA INFORMATION West St. Paul, MN

Downtown St. Paul This Starbucks is located on Robert Street South in West Saint Paul, Minnesota. Robert Street is the main retail commerce area for many neighboring suburbs including Mendota Heights, Sunfish Lake, Inver Grove Heights, and South Saint Paul. Traffic counts along the nearest stretch of Robert Street average 21,300 vehicles per day, while US Highway 52, which is less than a mile east, averages 63,000 vehicles daily. Major retailers in this area include Walmart, Super Target, Home Depot, Lowe’s, Menards, Cub Foods, CVS Pharmacy, ALDI, Walgreens, Petco, Burlington Coat Factory, Culvers, Verizon, Chipotle, Party City, GameStop, Pep Boys, and many more. Other major draws in the immediate area include Southview Country Club, Somerset Country Club, the Dakota County Northern Services Center and the West St. Paul Sports Complex, which features lighted soccer, football, and baseball fields, batting cages, hiking and biking trails, playground equipment, picnic tables and a nature area. There are three high schools nearby: Henry Sibley, The Convent of Visitation and St. Thomas Academy (the former two are both private high schools). St. Thomas Academy’s ice arena is also home to the University of St. Thomas Men’s and Women’s hockey programs. West Saint Paul has invested $38.7 million in an overhaul of Robert Street South. It is the most expensive public works project in its history and is planned to be competed in 2016. This project has already spurred development in the area, such as the new LA Fitness and Payless at the intersection of Wentworth and Robert Street. The Starbucks property is approximately 5 miles from the state capitol building in St. Paul; 8 miles from the Minneapolis‐St. Paul International Airport; 10 miles from the Mall of America; and 15 miles from downtown Minneapolis, which contains the central business district as well as three stadiums, home to many of the state’s professional sports teams.

West St. Paul, Minnesota is a first‐ring suburb in the Minneapolis‐St. Paul MSA, also known as the Twin Cites, which offers the beauty and tranquility of a small town, as well as the diverse amenities of the city. Lush green fields, lakes, and wildlife are minutes from a vast array of stores, restaurants, theaters, professional sports venues, and educational institutions. West St. Paul is home to 15 parks, an ice arena, community pool, Dodge nature Center, and Southview Country Club. The major routes through the city include Lafayette Freeway (US 52), Robert Street, and MN Highway 110, with Interstate‐494 running just south of the city. The Twin Cities metro area has a population exceeding 3.4 million residents. Home to 19 Fortune 500 companies, including Target 3M, Medtronic, General Mills, Best Buy, Supervalu, Land O’ Lakes, U.S. Bancorp, Xcel Energy, and Ameriprise Financial, the Twin Cities is a thriving hub of business and commerce. While the Central Business District is focused in Minneapolis, St. Paul contains all the state’s political institutions, as it is the state capital, as well as popular attractions such as theScience Museum of Minnesota and the Xcel Energy Center. The metro area is also home to many institutions of higher education, most notably the University of Minnesota, which has a current enrollment over 51,000 students, making it the 6th largest university in the nation.

Downtown Minneapolis

Dodge Nature Center Southview Country Club

Starbucks SITE PLAN West St. Paul, MN

Starbucks MAPS West St. Paul, MN

Starbucks 1470 South Robert Street West St. Paul, MN

Starbucks MAJOR MINNESOTA RETAIL MARKETS West St. Paul, MN

Starbucks TOP MINNESOTA COMPANIES West St. Paul, MN

2017 Fortune 500 Rankings

State Rank Company Fortune 500 Rank City Revenues ($ Billions) Net Worth ($ Billions) 2016 Rank

1 UnitedHealth Group 6 Minnetonka $184.8 $38.274 6 2 Target Corporation 38 Minneapolis $69.5 $10.953 38 3 Best Buy Co., Inc. 72 Richfield $39.4 $4.709 71 4 CHS, Inc. 93 Inver Grove Heights $30.3 $7.852 84 5 3M Company 94 St. Paul $30.1 $10.298 93 6 U.S. Bancorp 125 Minneapolis $22.7 $47.298 131 7 Supervalu, Inc. 158 Eden Prairie $17.5 -$441.00 160

8 General Mills, Inc. 165 Minneapolis $16.5 $4.930 161

9 Land O’Lakes 209 Arden Hills $13.2 $1.904 215 10 Ecolab 211 St. Paul $13.1 $6.901 206 11 C.H. Robinson Worldwide 212 Eden Prairie $13.1 $1.258 208 12 Ameriprise Financial, Inc. 239 Minneapolis $11.7 $6.3 232 13 Xcel Energy, Inc. 256 Minneapolis $11.1 $11.021 257 14 Hormel Foods Corporation 295 Austin $9.5 $4.448 304 15 Thrivent Financial for Lutherans 316 Minneapolis $8.7 $7.726 318 16 Mosaic 377 Plymouth $7.1 $9.585 316 17 St. Jude Medical, Inc. 434 St. Paul $6.0 $4.578 465

Source: Fortune 500 (2017) from FORTUNE Magazine. Retrieved from: http://fortune.com/fortune500/list/filtered?statename=Minnesota [June 2017].

THE UPLAND ADVANTAGE PROVEN SUCCESS RECORD

Upland Real Estate Group, Inc., which was founded in 1995, is a  Completed in excess of 700 net leased sales transactions totaling over $1.85 billion Minneapolis based commercial real estate, brokerage, and investment  Combined sales experience of over 60 years company, which focuses on passive real investments, 1031 solutions,  Specialized in NNN investment market for more than 20 years real estate portfolio diversification, and wealth preservation. Upland offers "big business service" with the attentiveness you expect from a Upland’s 1031 investment specialists have successfully completed net boutique shop. lease sales transactions with tenants including, but not limited to: 7-Eleven Dollar General O’Reilly Auto Parts Our ability to swiftly match buyers with sellers is one of the many Advance Auto Family Dollar Petco reasons Upland Real Estate Group, Inc. is the nation's primary Applebee’s Gander Mountain Sherwin Williams resource for the purchase or sale of net leased, credit investment Arby’s Goodwill Starbucks BJ’s Wholesale properties. Many investors and 1031 tax deferred exchange buyers Jack in the Box Taco Bell Bridgestone/Firestone Jiffy Lube Tires Plus have benefited from the experience and expertise of our team of net Buffalo Wild Wings KinderCare Learning Center Tractor Supply leased investment sales specialists. Burger King Kohl’s Trader Joe’s Camping World McDonald’s Valvoline CVS Pharmacy National Tire & Battery Walgreens BENEFITS OF WORKING WITH UPLAND

 Nationally recognized CCIM accredited sales team

 Comprehensive and searchable online database

 Excellent reputations and credibility

 Online Letter of Intent forms

 Access to confidential off-market properties

 Extensive referral network

 Prompt follow-up and attention to detail

www.nnnsales.com L to R: Ebony Pruitt; Amanda Leathers; Keith Sturm, ccim; Deb Vannelli, ccim; Kelly Rasmussen DEBORAH K. VANNELLI, CCIM | KEITH A. STURM, CCIM | AMANDA C. LEATHERS | 612.332.6600 PAGE 15