RENT-A-CENTER & AUBUCHON HARDWARE Actual Property 32 Clinton Street Gouverneur, NY 13642 Confidentiality and Disclaimer Marcus & Millichap hereby advises all prospective purchasers of Net including the likelihood of locating a replacement tenant if the current M&M, its affiliates or subsidiaries, or any agent, product, service, or Leased property as follows: tenant should default or abandon the property, and the lease terms commercial listing of M&M, and is solely included for the purpose of that Buyer may be able to negotiate with a potential replacement providing tenant lessee information about this listing to prospective The information contained in this Marketing Brochure has been tenant considering the location of the property, and Buyer’s legal customers. obtained from sources we believe to be reliable. However, Marcus & ability to make alternate use of the property. Millichap has not and will not verify any of this information, nor has By accepting this Marketing Brochure you agree to release Marcus & ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. Marcus & Millichap conducted any investigation regarding these Millichap Real Estate Investment Services and hold it harmless from PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR matters. Marcus & Millichap makes no guarantee, warranty or any kind of claim, cost, expense, or liability arising out of your MORE DETAILS. representation whatsoever about the accuracy or completeness of investigation and/or purchase of this net leased property. any information provided. SPEICAL COVID-19 NOTICE CONFIDENTIALITY AND DISCLAIMER As the Buyer of a net leased property, it is the Buyer’s responsibility All potential buyers are strongly advised to take advantage of their to independently confirm the accuracy and completeness of all The information contained in the following Marketing Brochure is opportunities and obligations to conduct thorough due diligence and material information before completing any purchase. This Marketing proprietary and strictly confidential. It is intended to be reviewed only seek expert opinions as they may deem necessary, especially given Brochure is not a substitute for your thorough due diligence by the party receiving it from Marcus & Millichap and should not be the unpredictable changes resulting from the continuing COVID-19 investigation of this investment opportunity. Marcus & Millichap made available to any other person or entity without the written pandemic. Marcus & Millichap has not been retained to perform, and expressly denies any obligation to conduct a due diligence consent of Marcus & Millichap. This Marketing Brochure has been cannot conduct, due diligence on behalf of any prospective purchaser. examination of this Property for Buyer. prepared to provide summary, unverified information to prospective Marcus & Millichap’s principal expertise is in marketing investment purchasers, and to establish only a preliminary level of interest in the properties and acting as intermediaries between buyers and sellers. Any projections, opinions, assumptions or estimates used in this subject property. The information contained herein is not a substitute Marcus & Millichap and its investment professionals cannot and will Marketing Brochure are for example only and do not represent the for a thorough due diligence investigation. Marcus & Millichap has not not act as lawyers, accountants, contractors, or engineers. All current or future performance of this property. The value of a net made any investigation, and makes no warranty or representation, potential buyers are admonished and advised to engage other leased property to you depends on factors that should be evaluated with respect to the income or expenses for the subject property, the professionals on legal issues, tax, regulatory, financial, and by you and your tax, financial and legal advisors. future projected financial performance of the property, the size and accounting matters, and for questions involving the property’s square footage of the property and improvements, the presence or physical condition or financial outlook. Projections and pro forma Buyer and Buyer’s tax, financial, legal, and construction advisors absence of contaminating substances, PCB’s or asbestos, the financial statements are not guarantees and, given the potential should conduct a careful, independent investigation of any net leased compliance with State and Federal regulations, the physical condition volatility created by COVID-19, all potential buyers should be property to determine to your satisfaction with the suitability of the of the improvements thereon, or the financial condition or business comfortable with and rely solely on their own projections, analyses, property for your needs. prospects of any tenant, or any tenant’s plans or intentions to and decision-making.) continue its occupancy of the subject property. The information Like all real estate investments, this investment carries significant contained in this Marketing Brochure has been obtained from sources risks. Buyer and Buyer’s legal and financial advisors must request we believe to be reliable; however, Marcus & Millichap has not and carefully review all legal and financial documents related to the verified, and will not verify, any of the information contained herein, property and tenant. While the tenant’s past performance at this or nor has Marcus & Millichap conducted any investigation regarding other locations is an important consideration, it is not a guarantee of these matters and makes no warranty or representation whatsoever future success. Similarly, the lease rate for some properties, including regarding the accuracy or completeness of the information provided. newly-constructed facilities or newly-acquired locations, may be set All potential buyers must take appropriate measures to verify all of the based on a tenant’s projected sales with little or no record of actual information set forth herein. performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease NON-ENDORSEMENT NOTICE 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 Marcus & Millichap Real Estate Investment Services, Inc. (“M&M”) is market, economic, environmental or other conditions. Regardless of not affiliated with, sponsored by, or endorsed by any commercial tenant history and lease guarantees, Buyer is responsible for tenant or lessee identified in this marketing package. The presence of conducting his/her own investigation of all matters affecting the any corporation’s logo or name is not intended to indicate or imply intrinsic value of the property and the value of any long-term lease, affiliation with, or sponsorship or endorsement by, said corporation of Investment Highlights PRICE: $828,056 | CAP: 10.00% | NOI: $82,806 About the Investments The Offering ✓ Gouverneur, New York Purchase Price $828,056 ✓ Very Low Rent Location (Tenants Paying a Blended $4.44 CAP Rate 10.00% PSF) Annual NOI $82,806 ✓ Long Term Tenancy ✓ Rent-A-Center has Operated Here Since 1996 | Blended Price / SF $42.14 Tenant has Exercised Multiple Renewal Options Blended NOI / SF $4.44 ✓ Aubuchon Hardware has Operated Here Since 1998 | Tenant has Exercised Multiple Renewal Gouverneur, NY Property Description Options Property Rent-A-Center and Aubuchon Hardware ✓ Convenient Location in Downtown Retail Area | Main Shopping Center for Town Property Address 32 Clinton St ✓ Neighboring Retailers Include Family Dollar, City, State, ZIP Gouverneur, New York 13642 Tractor Supply, Save a Lot, Dollar General, USPS, Year Built 1970 Dunkin’ Donuts, McDonald’s and 7-Eleven Building Size 19,650 SF ✓ Location is Minutes from School System and Lot Size 0.64 Acres Main Medical Center ✓ Both Tenants Recently Exercised 5-Year Lease Extensions Type of Ownership Fee Simple ✓ Two Freestanding Buildings Adjacent to One Another Can be purchased with a 2-unit portfolio of RAC/Aubuchon Hardware ✓ Upside in Renting Vacant 1,000 SF Suite Next to RAC locations in Maine at a discounted Cap Rate, contact the Listing Agent for more information. About the Tenant / Brand ✓ Rent-A Center ✓ Incorporated in 1986, RAC Operates Nearly 3,000 Locations in the United States and Mexico ✓ RAC Provides New and Used Brand-Name Furniture, Appliances, Computers and Electronics ✓ Aubuchon Hardware ✓ Family-Owned and Operated Hardware Store Chain in the Northeastern United States with 105 Paint and Hardware Locations in Vermont, Massachusetts, New Hampshire, Maine, Connecticut and Upstate New York Rent-A-Center & Aubuchon – New York 3 Financial Analysis PRICE: $828,056 | CAP: 10.00% | NOI: $82,806 Gouveneurs, NY Current Year Commercial Rents $ 102,781 Reimbursements $ 18,687 Total Income $ 121,468 Operating Expenses $ 22,764 Management Fee 5% $ 6,073 Capital Reserves ($0.50 PSF) $ 9,825 Total Expenses $ 38,662 Annual Rent $ 82,806 Lease Next Rental Gouveneurs, NY Square Feet Lease Expiration Option Periods Commencement Increase Aubuchon Hardware 12,450.00 1/1/2017 12/31/2025 2% Annual 4, Five Year Rent-A-Center 6,200.00 10/4/1996 11/30/2025 N/A None Rent-A-Center & Aubuchon – New York 4 Concept Overview About Rent-A-Center Rent-A-Center (commonly referred to as RAC) is an American public furniture and electronics rent-to-own company based in Plano, Texas. The company was incorporated in 1986 and as of 2014 operates approximately 2,972 company-owned stores in the United States, Puerto Rico, and Mexico, accounting for approximately 35% of the rent-to-own market in the United States based on store count. In 2014, Fortune Magazine listed Rent-A-Center at number 711 on the Fortune 1000 list of the largest U.S. corporations, based on revenues alone. The rent-to-own business was started by Ernie Talley in Wichita, Kansas during the 1960s when he told customers of his store, Mr. T's Rental, that they had rented a washer and dryer for a long enough duration that they had paid for it in full and now owned it. Thomas Devlin, a former employee of Mr. T's rental, recognized the potential of renting name-brand products and partnered with W.