OFFERING MEMORANDUM LONGHORN STEAKHOUSE (Ground Lease) Brooksville, FL Representative Photo Patrick Nutt Managing Partner 954.302.7365 | [email protected] LongHorn Steakhouse | Financial Summary Asking Price Cap Rate Rent Schedule $2,600,000 5.00% Term Increases Annual Rent Monthly Rent Years 1-5 - $130,000 $10,833.33 12350 Cortez Blvd Years 6-10 10% $143,000 $11,916.67 Brooksville, FL 34613 Years 11-15 (Option 1) 10% $157,300 $13,108.33 Asset Summary Years 16-20 (Option 2) 10% $173,030 $14,419.67 Net Operating Income (NOI) $130,000 Years 21-25 (Option 3) 10% $190,333 $15,861.08 Years 26-30 (Option 4) 10% $209,366 $17,447.17 Rent/Month $10,833.33 Investment Highlights Rentable Square Feet 5,842+/- SF • Brand new construction Land Area 1.66+/- Acres • 10-year NNN ground lease • Parent company owns The Capital Grille, Seasons 52, and Olive Garden Tenant LongHorn Steakhouse • Great location along busy Cortez Blvd (35,000 VPD) Guarantor Corporate (Rare Hospitality International, Inc.) • Outparcel to a brand new Cheddar’s, First Watch, Tijuana Flats and Chase Bank Lease Type NNN Ground Lease • Brooksville is a growing Tampa suburb conveniently connected by I-75 and the Suncoast Parkway Landlord Responsibilities None Store Opens Est. 10/15/2018 Lease Term Remaining 10 Years Rent Commencement Est. 10/15/2018 Lease Expiration Est. 10/31/2028 Increases 10% Every 5 Years Including Options Options Four (4), Five (5) Year Calkain Companies | 2 Tenant Overview About LongHorn Steakhouse LongHorn Steakhouse is an American casual dining restaurant chain that is owned and operated by Darden Restaurants, Inc., headquartered in Orlando, Florida. As of 2016, LongHorn Steakhouse generated $1.6 billion in sales in its 481 locations. LongHorn Steakhouse has a Western/Texan theme. Each location is decorated with oil paintings, photos, and selected Western memorabilia that support this theme. The restaurant is best known for serving various kinds of steak, including its “Flo’s Filet”. In addition to steak, the menu also includes ribs, chicken, salmon, lobster, shrimp, and salads. Appetizers include their “Texas Tonion” and “Wild West Shrimp”; and side dishes are also served. The restaurant offers a full bar with draft and bottled beer, wine, and several signature margaritas. A lunch menu that includes soups, salads, sandwiches, and hamburgers is available. Tenant # of Locations Sales (as of 2016) Parent Company Founded Snapshot 481+ $1.6B Darden Restaurants 1981 Calkain Companies | 3 Location Overview Subject Site Brooksville Orlando Spring Hill 4 75 275 Lakeland 4 Clearwater Tampa St. Petersburg Spring Hill 5 miles Tampa 53 miles St. Petersburg 66 miles Distance To Clearwater 50 miles Lakeland 62 miles Orlando 83 miles Calkain Companies | 4 12350 Cortez Blvd | Brooksville, FL 34613 Western Way Coastal Landing Cortez Blvd 35,000 VPD Subject Site Keep all map content (except background) above this margin for website cropping purposes 12350 Cortez Blvd | Brooksville, FL 34613 Sold by Calkain Cortez Blvd Opening Soon 35,000 VPD Subject Site Keep all map content Subject Site (except background) above this margin for website cropping purposes Location Brand New 35,000 VPD Population Highlights Construction Pass the Site 81,300+ within 5 miles 12350 Cortez Blvd | Brooksville, FL 34613 Under Construction Subject Site Opening Soon Cortez Blvd Sold by Calkain Keep all map content (except 35,000 VPD background) above this margin for website cropping purposes Site Plan Cortez Blvd 35,000 VPD Subject Site Under Construction Calkain Companies | 8 Location Overview, 1/3/5 Miles 1 Mile 3 Miles 5 Miles Population 2018 Population 3,783 35,748 81,386 2023 Population 3,978 37,985 86,573 2018 Median Age 66.2 50.3 49.0 Households 2018 Total Households 1,848 14,353 32,587 2023 Total Households 1,936 15,128 34,451 Median Household Income 2018 Median HH Income $32,534 $42,061 $45,182 2023 Median HH Income $35,922 $48,755 $52,414 Average Household Income 2018 Average HH Income $45,548 $56,735 $59,961 Brookridge 2023 Average HH Income $51,425 $67,355 $71,539 5 Mile Radius | Demographics Population Median Age Avg HH Income 81,386 49.0 $59,961 Total Businesses Total Employees Net Worth 1,889 19,114 $134,316 Calkain Companies | 9 Market Overview Brooksville, FL Located in Hernando County, an hour north of Tampa along what local residents call Florida’s Nature Coast, Brooksville was settled in 1845. Rich with history and old-world charm, Brooksville is also a great place to visit for camping, fishing, kayaking and canoeing. The Withlacoochee State Forest also offers some of the best hiking and biking trails in the country. Whether a resident, business owner or visitor -- take full advantage of your time in Brooksville, explore some of the peaceful tree lined neighborhoods, tour hand painted city murals, visit and learn more at the museums, dine at sumptuous restaurants and browse the unique local shops. Into golf? Don’t miss the World Woods course. This vaunted 36-hole golf paradise in rural Brooksville offers visitors a chance to play the nationally-ranked Pine Barrens course. TreeUmph! Adventure Course Brooksville Brooksville Quarry Golf Course NJoy Spirits Distillery Calkain Companies | 10 About Us Calkain Companies LLC is a boutique commercial real estate investment banking firm that provides consulting and brokerage services to both private and institutional clientele with a focus on single tenant net lease investments. It prides itself on being an innovative leader by providing its clients a full array of commercial real estate investment brokerage and asset management solutions, including advisory, research, debt and equity placement and wealth management. Calkain has built solid, lasting relationships that have been the cornerstone of how they do business. Calkain approaches each assignment with an eye toward each client’s individual needs. Whether private or institutional investors, Calkain delivers real estate solutions that maximize value while building wealth for all of its clients. At Calkain, their foresight and innovation are leading the net lease investment industry. $12 Billion $400 Million Building a solid foundation for your investment portfolio in Closed Transactions in Active Listings calkain.com Washington, DC Fort Lauderdale Atlanta Boston Philadelphia New York 12930 Worldgate Dr 200 SW 1st Ave 111 Village Pkwy, Bldg 2 101 Federal St 3477 Corporate Pkwy 205 E 42nd St Ste 150 | Herndon, VA Ste 880 | Fort Lauderdale, FL Ste 202 | Marietta, GA Ste 1900 | Boston, MA Ste 100 | Center Valley, PA 14th Fl | New York, NY Tel: 703.787.4714 Tel: 813.282.6000 Tel: 404.900.5629 Tel: 617.261.8584 Tel: 610.410.5410 Tel: 646.736.5783 Disclaimer: The information contained in this document is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Calkain and its subsidiaries, and should not be made available to any other person or entity without the written consent of Calkain. This document has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property(s). The information contained herein is not a substitute for a thorough due diligence investigation. Calkain and its subsidiaries have not made any investigation, and make no warranty or representation, with respect to the income or expenses for the subject property(s), the future projected financial performance of the property, the size and square footage of the property(s) 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, 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(s). The information contained in this document has been obtained from sources we believe to be reliable; however neither Calkain and its subsidiaries nor the Seller have verified, and will not verify, any of the information contained herein, nor has Calkain and its subsidiaries or the Seller conducted any investigation regarding these matters and make 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..