CIRCLE K, AKRON, OH NNN | Single Tenant | 8.3 Years Remaining Strong Corporate Guarantee 1842 Newton Street Akron, OH 44305 Open 24 hrs - Convenience Only New Listings Posted Daily at FranklinSt.com INVESTMENT HIGHLIGHTS • Corporate Credit Rated Tenant priced under a Million • Largest Company-Owned Convenience Store Operator in the US • Established Hard Corner in metro Akron suburb • 24 hrs Convenience Store Only between Two Local Bars • 1 more 5 year renewal remaining with 10% Increase • Location operating for 39 years since 1980 INVESTMENT SUMMARY Franklin Street is pleased to present this Corporate Circle K investment property located on a hard corner in Akron, OH. This Convenience Store Only & 24hr Operation Store is well located on a hard corner in the dense residential neighborhood of Goodyear Heights which is in the north east quadrant of town and conveniently positioned immediately between two local bars on the left and the right of the property. It has been an established fixture in the community operating for over 39 years since opening in 1980. Circle K based in Tempe, AZ is owned and operated by Alimentation Couche-Tard Inc. (Couche-Tard). Couche-Tard based in Laval, Canada outside of Montreal is the largest independent convenience store operator in terms of number of company-operated stores in the United States. It is also one of the largest company-owned convenience store operators in the world with more than 16,000 stores across Canada, the United States, Europe, Mexico, Japan, China, and Indonesia. Couche-Tard has a current market cap of over $42.2 billion, revenue of $58.9 billion, gross profit of $8.1 billion and is Standard & Poor’s rated BBB & Moody’s rated Baa2, (Investment Grade) and is Traded on the Toronto Stock Exchange under (TSX:ATD.A) & (TSX:ATD.B) The lease remaining is a 8.3 year NNN lease (Thru 6th Renewal Per 2nd Amendment Exhibit A) with at 10% rent increase upon the 7th and last 5 year renewal option that begins July 1st, 2027through June 30th, 2032. Priced at only $650,000, this could be a great below million-dollar corporate asset with a higher return and potential for future upside! CIRCLE K, AKRON, OH | AKRON, OH 44305 | OFFERING MEMORANDUM 2 OFFERING HIGHLIGHTS 1842 Newton Street, Akron, OH 44305 PRICE: $650,000 CAP RATE: 6.15% NET OPERATING INCOME: $39,999.96 LAND AREA: 0.25 ACRES / 10,993 SF BUILDING SIZE: 2,540 SF YEAR BUILT: 1980 PARCEL NUMBERS: 6821616 & 6821617 GUARANTOR: CIRCLE K / COUCHE-TARD LEASE TYPE: NNN LANDLORD RESPONSIBILITIES: NONE OWNERSHIP: FEE SIMPLE OCCUPANCY: 100.0% TENANCY: SINGLE TERM REMAINING: 8.3 YEARS* RENT INCREASES: IN OPTIONS 6,527 AADT 210,332+ RENT COMMENCEMENT: 6/26/1981 Travel daily along Newton St. The area has 210,332+ residents within 5 miles RENT EXPIRATION: 6/30/2027 of the property *Thru 6th Renewal Per 2nd Amendment Exhibit A. CIRCLE K, AKRON, OH | AKRON, OH 44305 | OFFERING MEMORANDUM 3 LEASE ABSTRACT Circle K Stores, Inc. and Couche-Tard acquired Mac’s Convenience Stores, LLC a Delaware LLC Mac’s Convenience Stores, LLC, a Delaware LLC successor in interest to Consolidated Foods Corporation “The Lawson Milk Company Division”, the signatory on the lease was acquired by Sara Lee Corp, sold to Dairy Mart in 1985 and then acquired by Couche-Tard in 1999 who rebranded all their locations to Circle K in 1995. Circle K Stores, Inc (“Circle K”), is a convenience store and gasoline service station operator based in Tempe, Arizona. For 63 years, customers have come to recognize the convenience and quality associated with the Circle K brand. What began in 1951 with the purchase of three Kay’s Food Stores in El Paso, Texas, has become one of the nation’s largest chains of company-operated convenience stores. Circle K is known for fast and friendly service all over the world. Circle K is owned and operated by Alimentation Couche-Tard Inc. (Couche-Tard). Couche-Tard is one of the largest company-owned convenience store operators in the world with more than 16,000 stores across Canada, the United States, Europe, Mexico, Japan, China, and Indonesia. Lease Type NNN Circle K is brand owned and operated by Alimentation Couche-Tard Inc. (Couche-Tard). Couche-Tard based in Laval, Canada outside of Montreal is the largest independent convenience store operator in terms of number of company-operated stores in the United States. It is also one of the largest company-owned convenience store operators Demised Premises in the world with more than 16,000 stores across Canada, the United States, Europe, Mexico, Japan, China, and Indonesia. Couche-Tard has a current market cap of over 2,540 SF $42.2 billion, revenue of $58.9 billion, gross profit of $8.1 billion and is Standard & Poor’s rated BBB & Moody’s rated Baa2, (Investment Grade) and is Traded on the Toronto Stock Exchange under (TSX:ATD.A) & (TSX:ATD.B) Lease Commencement 6/26/1981 Kenneth (Ken) and Carl McGowen incorporated Mac’s Milk Limited in Ontario on April 4, 1962. On July 5, 1963, Silverwood Dairies Limited acquired 40% of the shares Term Remaining of Mac’s Milk Limited, and increased its holding to 80% on March 29, 1968, and 100% on January 12, 1972. In 1971, the company purchased 18 convenience stores operating under the “Little Z Convenience Stores” banner from Zehrs Markets. In 1974, it bought thirteen Mini-Mart convenience stores in Vancouver from a subsidiary of 8.3 Years (Thru 6th Renewal Per 2nd George Weston Limited and seven Starlite Variety Stores operating in Windsor, Ontario. The company was renamed “Mac’s Convenience Stores Limited” on May 7, 1975. Amendment Exhibit A) In 1976, Silverwood Dairies Limited purchased shares of Royal Oak Dairy, including operations of convenience stores under the Bantam and Astro names. In 1994, the company sold most of the Mac’s stores in Quebec to Alimentation Couche-Tard Ltd. Mac’s stores in Quebec were renamed “Dépan-Escompte Couche-Tard”. Silcorp, the Options parent company of Mac’s, acquired 163 Southern Ontario stores, and assets of rival Becker’s in November 1996. On April 14th, 1999, Alimentation Couche-Tard acquired One renewal remaining, 5-Year Option Silcorp including their Mac’s and Becker’s chains and Mac’s dropped its longtime cat logo “MacTavish” and replaced it with Couche-Tard’s owl logo. On September 23rd, Rent Increases 2015, Alimentation Couche-Tard announced that as a part of a global re-branding, all Mac’s stores would be converted to Couche-Tard’s Circle K banner. 10% on 7/1/2027 LEASE TERM LEASE YEARS LEASE DATES RENT SQFT MONTHLY RENT ANNUAL RENT RENT INCREASE Original Lease Term 1 - 15 6/26/81-6/30/96 $7.07 $1,484.00 $17,808.00 First Renewal Term 16 - 20 7/1/96-6/30/01 $7.77 $1,632.00 $19,584.00 10.0% TENANT: CIRCLE K / COUCHE-TARD Second Renewal Term 21 - 23 7/1/01-6/30/04 $8.12 $1,706.00 $20,472.00 4.5% STORE NUMBER: 5418 Third Renewal Term 24 - 28 7/1/04-6/30/09 $8.48 $1,780.00 $21,360.00 4.3% Fourth Renewal Term 29 - 33 7/1/09-6/30/19 $9.19 $1,929.00 $23,148.00 8.4% GUARANTEE: CIRCLE K / COURCHE-TARD Fifth Renewal Term 34 - 38 7/1/19-6/30/23 $15.87 $3,333.33 $39,999.96 72.8% # OF LOCATIONS: 16,000+ STORES Sixth Renewal Term 39 - 43 7/1/23-6/30/27 $17.06 $3,583.33 $42,999.96 7.5% REVENUE: $58.9B + IN REVENUE Seventh Renewal Term 44 - 48 7/1/27-6/30/32 $18.77 $3,941.66 $47,299.92 10.0% DISCLAIMER WEBSITE: WWW.CIRCLEK.COM The statements and figures herein are secured from sources we believe authoritative. References to square footage or age are approximate. This summary is for information only and does not constitute all or any part of an offer or contract. Buyer must verify all information and bears all risk for any inaccuracies. Seller does not warrant any inaccuracies and pricing is subject to change. CIRCLE K, AKRON, OH | AKRON, OH 44305 | OFFERING MEMORANDUM 4 ADDITIONAL PHOTOS CIRCLE K, AKRON, OH | AKRON, OH 44305 | OFFERING MEMORANDUM 5 REGIONAL & LOCAL MAP CIRCLE K, AKRON, OH | AKRON, OH 44305 | OFFERING MEMORANDUM 6 AERIAL VIEW - SURROUNDED BY DENSE NEIGHBORHOOD CIRCLE K, AKRON, OH | AKRON, OH 44305 | OFFERING MEMORANDUM 7 AERIAL VIEW CIRCLE K, AKRON, OH | AKRON, OH 44305 | OFFERING MEMORANDUM 8 LOCATION OVERVIEW AKRON, OH Akron, founded in 1825 is the county seat of Summit County, Ohio. Once known as the Rubber Capital of the World because of its tire production and headquarters of Goodyear, Akron is now known as a world-renowned center of polymer development and research. As of 2018, Akron had a population of 198,750 with an average household income of $51,799. The demographic ethnic composition of Akron is 2.7% Hispanic, 59.1% White, 32.4% African American, 0.3% American Indian and Alaska Native. Located just less than 40 miles south of Cleveland, Akron is home to the Summa Health System which employs nearly 6,000 employees and Goodyear which employs around 3,000 employees. Akron features serval sports teams including the Akron Rubber Ducks and many other attractions for its residents including the Akron Museum of Art and Akron Zoo. Akron is home of the National Inventor's Hall of Fame and Inventure Place and continues to develop its diverse set of businesses.