FILE PHOTO

214.915.8890 Property. New 2,256+ SF building on +0.86 acres. JOE CAPUTO Tenant. Starbucks Corporation | FY 2017 financials: $22.4 billion in revenue and $4.1 billion in net income | Over 28,000 locations worldwide. [email protected] Lease structure. New 10-year, corporate net lease with 10% rent increases every 5 years in primary term and option periods. RUSSELL SMITH Location. Starbucks is strategically located off exit 65 of US-75 (55,000 VPD) near its intersection with Grayson Dr. (5,000 VPD) in Denison, TX. The site will benefit [email protected] as it will feature direct access and excellent visibility through strong signage to US-75. Additionally, the subject property will serve the more than 3,000 employees that ALEX TOWER work at the Texoma Medical center, the adjacent Hilton Garden Hotel (130 rooms), and the Residence at Gateway Village (180 units). The subject property is in close [email protected] proximity both Sherman Town Center (606,494 SF) and Midway Mall (600,000 SF), two regional malls in the immediate trade area containing tenants such as Dillard’s, Target, Home Depot, Walmart, Ross, JC Penney, Old Navy, Burlington, Petco, Discount Tire, CVS, Buffalo Wild Wings, Applebee’s, Panera, Chick-fil-A, Taco Bell, Chipotle, Sonic, KFC, and many others. Additional tenants in the trade area include Sam’s Club, Lowe’s, Kohl’s, ALDI, Academy, Tractor Supply Co, O’Reilly, Taco Cabana, Wing Stop, Whataburger, Jimmy John’s, McDonald’s, and more. Denison is approximately 4-miles from TX-OK border and 75-miles from DFW Metroplex. PAGE 2: TABLE OF CONTENTS | DISCLAIMER Trivanta (“Agent”) has been engaged as an agent for the sale of the property located at PAGE 3: INVESTMENT | TENANT | LEASE OVERVIEW 5131 S. US-75, Denison, TX by the owner of the Property (“Seller”). The Property is being offered for sale in an “as-is, where-is” condition and Seller and Agent make no representations or warranties as to the accuracy of the information contained in this PAGE 4: TENANT OVERVIEW CONTINUED Offering Memorandum. The enclosed materials include highly confidential information and are being furnished solely for the purpose of review by prospective purchasers of the PAGE 5-8: AERIAL PHOTOS interest described herein. The enclosed materials are being provided solely to facilitate the prospective investor’s own due diligence for which it shall be fully and solely responsible. The material contained herein is based on information and sources deemed to be reliable, PAGE 9-10: SITE PLAN but no representation or warranty, express or implied, is being made by Agent or Seller or any of their respective representatives, affiliates, officers, employees, shareholders, PAGE 11: ELEVATION partners and directors, as to the accuracy or completeness of the information contained herein. Summaries contained herein of any legal or other documents are not intended to be comprehensive statements of the terms of such documents, but rather only outlines of PAGE 12-14: LOCATION OVERVIEW some of the principal provisions contained therein. Neither the Agent nor the Seller shall have any liability whatsoever for the accuracy or completeness of the information contained PAGE 15-16: LOCATION MAPS herein or any other written or oral communication or information transmitted or made available or any action taken or decision made by the recipient with respect to the Property. Interested parties are to make their own investigations, projections and conclusions without PAGE 17: DEMOGRAPHICS reliance upon the material contained herein. Seller reserves the right, at its sole and absolute discretion, to withdraw the Property from being marketed for sale at any time and for any reason. Seller and Agent each expressly reserves the right, at their sole and absolute discretion, to reject any and all expressions of interest or offers regarding the Property and/or to terminate discussions with any entity at any time, with or without notice. This offering is made subject to omissions, correction of errors, change of price or other terms, prior sale or withdrawal from the market without notice. Agent is not authorized to make any representations or agreements on behalf of Seller. Seller shall have no legal commitment or obligation to any interested party reviewing the enclosed materials, performing additional investigation and/or making an offer to purchase the Property unless and until a binding written agreement for the purchase of the Property has been fully executed, delivered, and approved by Seller and any conditions to Seller’s obligations hereunder have been satisfied or waived. By taking possession of and reviewing the information contained herein, the recipient agrees that (a) the enclosed materials and their contents are of a highly confidential nature and will be held and treated in the strictest confidence and shall be returned to Agent or Seller promptly upon request; and (b) the recipient shall not contact employees or tenants of the Property directly or indirectly regarding any aspect of the enclosed materials or the Property without the prior written approval of the Seller or Agent; and (c) no portion of the enclosed materials may be copied or otherwise reproduced without the prior written authorization of Seller and Agent.

2 PRICE | CAP RATE: $2,000,000 | 5.25% Lease Term: 10-Years, Plus (4), 5-Year Options to Extend

NET OPERATING INCOME: $105,000 Projected Rent Commencement: October 2018

BUILDING AREA: 2,256+ Square Feet Projected Lease Expiration: October 2028

LAND AREA: 0.86+ Acres Lease Type: Corporate Net Lease

YEAR BUILT 2018 Rent Increases: 10% Every 5 Years In Primary Term & Options Annual Rent Yrs 1-5: $105,000 LANDLORD RESPONSIBILITY: Roof & Structure Annual Rent Yrs 6-10: $115,500 OWNERSHIP: Fee Simple Interest Option 1 | Yrs 11-15: $127,050 OCCUPANCY: 100% Option 2 | Yrs 16-20: $139,755

Option 3 | Yrs 21-25: $153,730

Option 4 | Yrs 26-30: $169,103

Starbucks Corporation, a Washington Corporation.

STARBUCKS | www.starbucks.com | NASDAQ: SBUX Starbucks Corporation is an international coffee and coffeehouse chain based in Seattle, Washington, United States. Starbucks is the largest coffeehouse company in the world, with over 28,000 stores globally, including around 13,000 in the United States, followed by nearly 1,000 in Canada and more than 900 in Japan. Starbucks sells drip brewed coffee, espresso-based hot drinks, other hot and cold drinks, snacks, and items such as mugs and coffee beans. Through the Starbucks Entertainment division and Hear Music brand, the company also markets books, music, and film. Many of the company’s products are seasonal or specific to the locality of the store. Starbucks-brand ice cream and coffee are also offered at grocery stores. Starbucks retail stores are located in high-traffic, high-visibility locations. Its stores are located in or near a variety of settings, including downtown and suburban retail centers, office buildings and university campuses. The Company sells whole bean and ground coffees, including the Starbucks and Seattle’s Best Coffee brands, as well as a selection of premium Tazo teas, VIA and other related products, to institutional foodservice companies that service business and industry, education, healthcare, office coffee distributors, hotels, restaurants, airlines and other retailers. From Starbucks founding in later forms as a local coffee bean roaster and retailer, the company has expanded rapidly. In the 1990s, Starbucks was opening a new store every workday, a pace that continued into the 2000s. The first store outside the United States or Canada opened in the mid-’90s, and overseas stores now constitute almost one third of Starbucks stores. In fiscal 2017, the company reported revenues of $22.4 billion and net income of $4.1 billion

3 ~ 28,000 77

Source:starbucks.com 4 5 Sherman Town Center (606,494 SF)

Midway Mall (600,00 SF)

Texoma Medical Center (3,000+ employees, 326 beds)

Gateway Village Master Planned Community (2,225 acres)

6 Texoma Medical Center (3,000+ employees, 326 beds)

Downtown Denison (Approx. 5-miles)

Grayson College Heritage Pkwy. (7,000 VPD) (7,000 Pkwy. Heritage (5,014 students)

Woodlawn Country Club

Industrial Park Sherman Midway Mall Town Center (600,00 SF) (606,494 SF)

US-82 (26,000 VPD)

Sherman, TX

7 The Residence at Gateway Village Gateway Village Master Planned Community Gateway Village (180 units) (2,225 acres) Master Planned Community (2,225 acres)

Hilton Garden Inn Denison/Sherman/ At Texoma Event Center (130 rooms)

Texoma Medical Center Grayson Dr. (5,000 VPD) (3,000+ employees, 326 beds)

Swamy Clinic Cosmetic Surgeons

8 9 10 v v

11 GRAYSON COUNTY POPULATION TO SURPASS 330K BY 2050 Hutchins, Michael, Feb. 10, 2018 –The Sherman-Denison Metropolitan Planning Organization recently received an updated vision of what the demographics of the region may looks like nearly 35 years in the future. As part of work on a county-wide thoroughfare plan, consultants presented the SDMPO technical advisory plan with projections for growth that greatly outpace what the region has historically seen. Huitt Zollars and Community Development Strategies presented a vision of the region in the year 2050 with a population of more than 330,000 residents. Among the communities expected to see the greatest growth in the forecast are Van Alstyne, Howe and Sherman. “We are basically saying suburbia arrives in Grayson County,” CDS President Steven Spillette said. “We are saying Grayson County will have very aggressive growth, so ‘get ready’ is the message.” The demographic forecast was commissioned as part of a thoroughfare plan that will outline the major transportation routes and roads throughout the region. The growth into Grayson County and Texoma is expected to be part of the growth north from the Dallas-Fort Worth Metroplex as the region continues to suburbanize. What makes the situation in Grayson County unusual is that it represents some of the first growth in “second ring” counties surrounding the Metroplex. As such, there is little precedent or data to look to compare when calculating growth. “Really, we haven’t seen a county that is one county removed from the central business district see this kind of growth,” SDMPO Executive Director Clay Barnett said. Past growth numbers The SDMPO last commissioned a demographic and growth forecast about five years ago as it was preparing for an update to its long-range planning documents. The model used state data that projected growth at about 1 percent based on historic data. However, these estimates range from about 1.8 percent growth from 2020 to 2025 to about 3.5 percent between 2045 and 2050. “With what we have seen in the last few years, even the state demographer seems to think that this (low estimate) is unreasonable,” Barnett said. In determining a growth model, consultants used historic and state growth charts and also compared the growth to other areas as they started to see the sprawl from Dallas. These areas include DFW suburbs in Collin and Denton counties and areas surrounding other large urban centers across the state. Under the projections, the first wave of growth is expected to hit between 2020 and 2030, with growth between 2025 and 2030 expected to be about 2.7 percent. The highest growth areas will be those in the southern portions of the county and those along the U.S. Highway 75 corridor including Howe, Van Alstyne and Sherman. Other city centers, including Denison, will also see growth but not to the levels that areas to the south will.Last year, the U.S. Census Bureau released its annual estimates of resident population for the Sherman-Denison Metropolitan Statistical Area that showed the region grew 2.1 percent from 2015 to 2016. That was the largest estimated year-to-year growth the area has seen this decade and placed the region as the 27th highest percent growth in the country. Local responses Following the meeting, officials with the cities of Sherman and Denison both said that the growth represents an opportunity for the cities, but were uncertain that they would become suburbs of Dallas. Instead, both said the area would become an exurb — a urban area of its own that still retains some influences from the greater Metroplex.. In response to the comments that the growth would be driven by population rather than jobs, Rex said the city of Denison has already taken strides to cement its place as the medical center of the region. However, he said there will be some times in development where the region is a bedroom community, describing it as a “chicken and the egg” situation. Meanwhile, Sherman City Manager Robby Hefton said the city will make efforts through developments to retain its unique qualities even as growth from the Metroplex influences the region. “As we head into growth, the question becomes how do we avoid losing our fingerprints and what makes us unique,” he said. One of these aspects that sets Sherman apart from other communities that have seen the influences of suburbanization is its wide industrial base, Hefton said. While communities like McKinney have seen growth from the expansion of Dallas, he said those communities do not have the industrial companies that Sherman does… 12 HARBOR VILLAGE

IMMEDIATE TRADE AREA Starbucks is strategically located off exit 65 of US-75 (55,000 VPD) near its intersection with Grayson Dr. (5,000 VPD) in Denison, TX. Grayson Dr. is a local east-west thoroughfare that serves Grayson County, while US-75 is a major north-south US Highway that traverses 1,239-miles through the center of the country. The site will benefit as it will feature direct access and excellent visibility through strong signage to US-75. Additionally, the subject property will serve the more than 3,000 employees that work at the Texoma Medical center, the adjacent Hilton Garden Hotel (130 rooms), and the Residence at Gateway Village (180 units). The subject property is part of Gateway Village, a 2,225 acre master planned community developed to provide a maximum of 6,578 residential units, 784,080 square feet of commercial (including office, service, retail, light industrial and government uses), 825,898 square feet of town center commercial and mixed use (including office, service, and retail), four elementary schools and 115 acres of public parks. Denison is approximately 4-miles from TX-OK border and 75-miles from DFW Metroplex. The subject property is in close proximity both Sherman Town Center (606,494 SF) and Midway Mall (600,000 SF), two regional malls in the immediate trade area containing tenants such as Dillard’s, Target, Home Depot, Walmart, Ross, JC Penney, Old Navy, Burlington, Petco, Discount Tire, CVS, Buffalo Wild Wings, Applebee’s, Red Lobster, Cheddar’s, Panera, Chick-fil-A, Taco Bell, Chipotle, Sonic, KFC, and many others. Additional tenants in the trade area include Sam’s Club, Lowe’s, Kohl’s, ALDI, Academy, Tractor Supply Co, O’Reilly, Aaron’s, Olive Garden, Chili’s, Taco Cabana, Wing Stop, Whataburger, Popeyes, Jimmy John’s, McDonald’s, and more.

DENISON, TX / GRAYSON COUNTY The city of Denison, is located in northeastern Grayson County on US Highway 75, just 75 miles north of Dallas-Fort Worth and 4 miles south of the / state border. The population as of 2016 was 28,755 with a population increase of 4.64% since 2000. State Highway 120 passes through Denison from east to west and State Highway 84 borders northern Denison, providing direct access to Lake Texoma, which is the 12th largest man-made lake in the U.S. and offers 580 miles of shoreline. Denison is also the birthplace Dwight D. Eisenhower, the 34th President of the United States. Grayson County is the 29th largest of 254 counties in Texas with a 2015 population of just over 125,000. Grayson County consists of 940 square miles with a population density of approximately 106 residents per square mile. The Sherman–Denison Metropolitan Statistical Area, entirely consist of Grayson, anchored by the cities of Sherman and Denison. Residents enjoy a high quality of life with gently rolling and wooded terrain, which stretches northward to the shores of Lake Texoma and the Red River. Lake Texoma is formed by the Denison on the Red River in Bryan County, Oklahoma, and Grayson County, Texas, about 726 miles (1,168 km) upstream from the mouth of the river. Lake Texoma draws over 7 million visitors annually and is considered a lake for all seasons. Lake Texoma is also home to the Lakefest Regatta, widely considered to be the first inland charity regatta in the United States. The event typically attracts up to 100 keelboats and more than 500 sailors each spring. Denison also has 2 state parks, 2 wildlife refuges, 22 marinas / concessions, and 10 Corps of Engineers Class A parks. Major employers of the Grayson County area include the Texoma Medical center, which employs 2800 employees, Tyson Fresh Meats, Texas Instruments, Ruiz Foods and CIGNA Health. 13 DALLAS

DALLAS - FORT WORTH - ARLINGTON MSA The Dallas – Fort Worth – Arlington Metropolitan Statistical Area (MSA) encompasses 13 counties within the U.S. state of Texas. It is the economic and cultural hub of the region commonly called North Texas or the Metroplex and is the largest land-locked metropolitan area in the United States. The projected Dallas-Fort Worth Metroplex population for 2016 was 7,268,910. During the 12-month period from July 2008 to July 2009, the Dallas-Fort Worth-Arlington metropolitan area gained 146,530 new residents, more than any other metropolitan area in the United States. The area's population has grown by about 1 million since the last census was administered in 2000. The Dallas–Fort Worth–Arlington MSA is, by population, the largest metropolitan area in Texas, the largest in the South, the 4th largest in the United States, and the 10th largest in the Americas. The metropolitan area has the 4th largest gross metropolitan product (GMP) in the United States, and approximately 10th largest by GMP in the world. The Metroplex has one of the highest concentrations of corporate headquarters in the United States. 20 Fortune 500 companies are headquartered in the area. The city of Dallas alone has the 3rd largest concentration of Fortune 500 headquarters in the country. The Metroplex also contains the largest Information Technology industry base in the state (often referred to as Silicon Prairie or the Telecom Corridor), due to the large number of corporate IT projects and the presence of numerous electronics, computing and telecommunication firms. The Telecom Corridor located just north of Dallas in Richardson is home to more than 5,700 companies including Texas Instruments which employs over 10,000 people at its headquarters. HP Enterprises Services, Dell Services, i2, AT&T, Ericsson, CA and Verizon also have headquarters or major operations in and around Dallas. The Texas farming and ranching industry, based in Fort Worth adds to the economic diversification of the area. Several major defense manufacturers, including Lockheed Martin, Bell Helicopter Textron, and Raytheon, maintain significant operations in the Metroplex. ExxonMobil, the #1 corporation on the Fortune 500 listings, is headquartered in Irving, Texas. 14 Denison

90-Miles

75-Miles

Fort Worth Dallas

15 16 5131 S US Hwy 75 5131 S US Hwy 75 1 mi radius 3 mi radius 5 mi radius 1 mi radius 3 mi radius 5 mi radius Denison, TX Denison, TX

2018 Estimated Population 62 13,152 49,449 2018 Est. Labor Population Age 16 Years or Over 51 10,673 39,388 2023 Projected Population 69 14,535 55,029 2018 Est. Civilian Employed 59.0% 55.7% 56.8% 2010 Census Population 60 11,649 45,325 2018 Est. Civilian Unemployed 0.7% 2.0% 2.2% 2000 Census Population 53 10,104 43,536 2018 Est. in Armed Forces - 0.1% 0.1% Projected Annual Growth 2018 to 2023 2.2% 2.1% 2.3% 2018 Est. not in Labor Force 40.3% 42.2% 41.0%

POPULATION

Historical Annual Growth 2000 to 2018 1.0% 1.7% 0.8% FORCE LABOR 2018 Labor Force Males 45.6% 45.8% 46.7% 2018 Labor Force Females 54.4% 54.2% 53.3% 2018 Estimated Households 27 5,371 19,228 2023 Projected Households 28 5,620 20,303 2010 Occupation: Population Age 16 Years or Over 32 5,924 22,291 2010 Census Households 26 4,787 17,755 2010 Mgmt, Business, & Financial Operations 15.7% 11.5% 9.8% 2000 Census Households 23 4,166 17,268 2010 Professional, Related 25.1% 22.4% 17.3% Projected Annual Growth 2018 to 2023 1.0% 0.9% 1.1% 2010 Service 22.8% 17.3% 18.6%

HOUSEHOLDS Historical Annual Growth 2000 to 2018 1.0% 1.6% 0.6% 2010 Sales, Office 16.7% 31.4% 32.2% 2010 Farming, Fishing, Forestry - - - 2018 Est. Population Under 10 Years 10.4% 11.9% 13.1% 2010 Construction, Extraction, Maintenance 12.6% 8.8% 10.0%

OCCUPATION 2018 Est. Population 10 to 19 Years 12.6% 12.3% 13.3% 2010 Production, Transport, Material Moving 7.1% 8.7% 12.0% 2018 Est. Population 20 to 29 Years 11.5% 12.7% 14.2% 2010 White Collar Workers 57.5% 65.2% 59.4% 2018 Est. Population 30 to 44 Years 14.8% 16.0% 16.6% 2010 Blue Collar Workers 42.5% 34.8% 40.6%

AGE 2018 Est. Population 45 to 59 Years 21.1% 19.2% 18.4% 2018 Est. Population 60 to 74 Years 19.8% 17.6% 16.0% 2010 Drive to Work Alone 83.1% 83.6% 80.0% 2018 Est. Population 75 Years or Over 9.8% 10.2% 8.4% 2010 Drive to Work in Carpool 10.9% 9.5% 10.9% 2018 Est. Median Age 44.3 41.0 37.8 2010 Travel to Work by Public Transportation 0.1% 0.1% 0.1% 2010 Drive to Work on Motorcycle - - 0.1% 2018 Est. Male Population 46.8% 46.7% 47.6% 2010 Walk or Bicycle to Work 1.3% 1.4% 2.9% 2018 Est. Female Population 53.2% 53.3% 52.4% WORK TO 2010 Other Means 1.8% 1.7% 2.2%

2018 Est. Never Married 24.4% 28.3% 30.3% TRANSPORTATION 2010 Work at Home 2.8% 3.7% 3.9% 2018 Est. Now Married 46.4% 43.7% 40.8%

& GENDER& 2010 Travel to Work in 14 Minutes or Less 57.9% 51.2% 47.4% 2018 Est. Separated or Divorced 16.7% 17.1% 19.4% 2010 Travel to Work in 15 to 29 Minutes 25.6% 30.6% 33.0% MARITAL STATUS STATUS MARITAL 2018 Est. Widowed 12.5% 10.8% 9.6% 2010 Travel to Work in 30 to 59 Minutes 13.6% 10.4% 10.0% 2018 Est. HH Income $200,000 or More 5.9% 3.3% 2.9% 2010 Travel to Work in 60 Minutes or More 8.1% 5.1% 6.4%

2018 Est. HH Income $150,000 to $199,999 8.4% 6.2% 4.1% TIME TRAVEL 2010 Average Travel Time to Work 13.3 14.0 14.5 2018 Est. HH Income $100,000 to $149,999 11.8% 10.2% 9.7% 2018 Est. HH Income $75,000 to $99,999 12.6% 16.3% 13.7% 2018 Est. Total Household Expenditure $1.69 M $304 M $991 M 2018 Est. HH Income $50,000 to $74,999 15.9% 17.8% 18.8% 2018 Est. Apparel $59.2 K $10.6 M $34.5 M 2018 Est. HH Income $35,000 to $49,999 11.4% 14.8% 14.5% 2018 Est. Contributions, Gifts $119 K $20.4 M $64.4 M 2018 Est. HH Income $25,000 to $34,999 9.2% 8.6% 11.2% 2018 Est. Education, Reading $67.9 K $11.6 M $36.5 M

INCOME 2018 Est. HH Income $15,000 to $24,999 12.3% 10.6% 12.0% 2018 Est. Entertainment $94.3 K $17.0 M $55.1 M 2018 Est. HH Income Under $15,000 12.5% 12.3% 13.2% 2018 Est. Food, Beverages, Tobacco $257 K $46.8 M $154 M 2018 Est. Average Household Income $85,376 $73,135 $64,097 2018 Est. Furnishings, Equipment $58.0 K $10.4 M $33.4 M 2018 Est. Median Household Income $58,579 $56,753 $51,479 2018 Est. Health Care, Insurance $148 K $27.0 M $88.6 M 2018 Est. Per Capita Income $36,709 $29,974 $25,090 2018 Est. Household Operations, Shelter, Utilities $526 K $94.4 M $308 M 2018 Est. Miscellaneous Expenses $24.7 K $4.49 M $14.7 M

CONSUMEREXPENDITURE 2018 Est. Total Businesses 147 825 2,701 2018 Est. Personal Care $22.0 K $3.96 M $12.9 M 2018 Est. Total Employees 2,224 11,812 28,544 2018 Est. Transportation $315 K $57.9 M $190 M 17