Investment OFFERING $2,326,000 Hardee s

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1 SUBJECT PROPERTY Investment OFFERING $2,326, BOB MOORHEAD JOE CAPUTO RUSSELL SMITH property. New Construction, 2,987+ SF building on acres. tenant. Atlantic Star Foods, LLC, operates over 38 restaurants in Georgia and South Carolina, specializing in. Guarantor, Summit Restaurant Holdings, LLC, operates 104 restaurants, 101 being locations. lease structure. Brand new, 20-year, Absolute NNN lease with 7% rent increases every 5-years in initial term and options. location. is strategically located along Cobb Parkway (38k Cars / Day) and Jim Owens in Kennesaw, GA. Cobb Parkway is a portion of US-41 that carries traffic through northern Fulton and Cobb counties. Population within a 5 mile radius of the subject property is projected to grow by 5.43% over the next 5 year period ending in This growth coupled with prime accessibility has led to the development of various shopping centers with a variety of national credit tenants. Within a 3-mile radius of the subject property, there is over 1,000,000 square feet of retail. National credit tenants in the area include Walmart, Lowe s, Home Depot, Best Buy, Super Target, Kroger, Starbucks, McDonald s, Kohl s. Rite Aid, Firestone, Subway, Petsmart, Petco, Payless, Discount Tire, Firehouse Subs, Chili s, Panera Bread, and countless others. Kennesaw is located 30-miles north of Atlanta, GA.

2 Table of contents Disclaimer PAGE 1: PAGE 2: PAGE 3: PAGE 4-5: PAGE 6: PAGE 7: PAGE 8-9: PAGE 10: COVER TABLE OF CONTENTS DISCLAIMER INVESTMENT TENANT LEASE OVERVIEW AERIAL PHOTOS SITE PLAN LOCATION OVERVIEW LOCATION MAPS DEMOGRAPHICS Disclaimer Trivanta ( Agent ) has been engaged as an agent for the sale of the property located at Jim Owens & Cobb Parkway, Kennesaw, GA 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 Offering Memorandum. The enclosed materials include highly confidential information and are being furnished solely for the purpose of review by prospective purchasers of the 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, 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, 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 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 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 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. Georgia Broker of Record: Pamela Atwater Atwater Commercial Real Estate Services 2

3 Investment overview PRICE: $2,326,000 NET OPERATING INCOME: $133,729 PROJECTED BUILDING AREA: 2,987+ Square Feet LAND AREA: Acres YEAR BUILT: 2014 LANDLORD RESPONSIBILITY: None OWNERSHIP: Fee Simple Interest OCCUPANCY: 100% Lease overview Initial Lease Term: 20-Years, Plus 4, 5-Year Options to Renew Rent Commencement: December 2014 Lease Expiration: December 2034 Lease Type: Absolute NNN Rent Increases: 7% Increase Every 5 Yrs In Term & Options Year 1-5 Annual Rent (Current): $133,729* Year 6-10 Annual Rent: $143,090* Year Annual Rent: $153,106* Year Annual Rent: $163,823* Year Annual Rent (Option 1): $175,291* Year Annual Rent (Option 2): $187,561* Year Annual Rent (Option 3): $200,691* Tenant overview LESEE: ATLANTIC STAR FOODS, LLC GUARANTOR: SUMMIT RESTAURANT HOLDINGS, LLC Year Annual Rent (Option 4): $214,739* *Rent is based on estimated construction costs and will be adjusted accordingly upon building completion. Annual Rents shown above are estimates. Consequently, the Purchase Price may change based upon the agreed to CAP rate. ATLANTIC STAR FOODS, LLC / SUMMIT RESTAURANT HOLDINGS, LLC Atlantic Star Foods, LLC, operates over 38 restaurants in Georgia and South Carolina, specializing in. Buddy Brown, operator of Atlantic Star Foods, LLC, and several other / Carl s Jr. entities, is currently the second largest franchisee in the CKE restaurant system. Summit Restaurant Holdings, LLC, currently operates 104 restaurants, 101 being locations. HARDEE S is an American restaurant chain, which predominantly operates in the South and Midwest states. It has evolved through several SUBJECT corporate PROPERTY ownerships since its establishment in It is currently owned and operated by CKE Restaurants. Along with its sibling restaurant chain, Carl s Jr., PRIOR is the TO 5 th largest PANDA fast-food EXPRESS restaurant EXPANSION chain in the United States after Subway, McDonald s, Burger King and Wendy s. As of November 2013, there are 1,977 locations in 30 states. CARL KARCHER ENTERPRISES, INC. Founded by Carl s Jr. entrepreneur Carl Karcher in 1964, Carl Karcher Enterprises (CKE) today owns, operates, franchises and/or licenses 3,243 quick-service restaurants (QSR) in 43 states, primarily under the brand names Carl s Jr. and, both of which offer innovative, premium products intended to appeal to a target audience of young, hungry guys. CKE Restaurants is the parent company of Carl s Jr.,, Green Burrito, and Red Burrito restaurant chains. The company employs a dual branding technique for Carl s Jr. with Green Burrito. Similarly has a dual branding strategy with Red Burrito. Carl s Jr. primarily operates in western US and West Coast regions. In 2013, CKE Restaurants, Inc. was purchased by the private equity firm Roark Capital Group, based out of Atlanta. Roark s franchise and multi-unit portfolio includes 29 brands that collectively have more than 15,000 locations and $15 billion in system-wide revenues across 50 states and 68 countries. Roark s total locations include nearly 13,000 domestic locations and more than 2,300 international locations. They also include nearly 13,000 franchise locations (operated by 4,200 franchisees) & 2,300 company-owned locations. The firm has $3 billion of equity capital under management. 3

4 Aerial photo Awtery Middle School (800 Students) North Cobb High School (2,900 Students) 4

5 Aerial photo 5

6 SITE PLAN 6

7 Location overview IMMEDIATE TRADE AREA is strategically located along Cobb Parkway (38k Cars / Day) and Jim Owens in Kennesaw, GA. Cobb Parkway is a portion of US-41 that carries traffic through northern Fulton and Cobb counties. US-41 is a north-south Highway that runs from Miami, Florida to the Upper Peninsula of Michigan. Population within a 5 mile radius of the subject property is projected to grow by 5.43% over the next 5 year period ending in This growth coupled with prime accessibility has led to the development of various shopping centers with a variety of national credit tenants. Within a 3-mile radius of the subject property, there is over 1,000,000 square feet of retail. National credit tenants in the area include Walmart, Lowe s, Home Depot, Best Buy, Super Target, Kroger, Starbucks, McDonald s, Kohl s. Rite Aid, Firestone, Subway, Petsmart, Petco, Payless, Discount Tire, Firehouse Subs, Wendy s, Taco Bell, Chili s, Panera Bread, and countless others. North Cobb High School (2,900 students) and Awtery Middle School (800 Students) are located 1-mile north of the site. KENNESAW, GA / COBB COUNTY Kennesaw is a city in Cobb County, Georgia, located in the greater Atlanta metropolitan area. It had a population of 29,783 according to the 2010 census. One of the most striking features of Kennesaw s growth over the last 25 years has been the advances in educational levels. In 1970, for example, approximately 20% of the residents had only elementary school education and just 220, and six percent of 3,548 residents were college graduates. Now the status is reversed with approximately 20% of city residents being college graduates and approximately five percent with elementary-level education. During the next 20 years Kennesaw is expected to grow more than any other part of the Atlanta Region. The growth is a direct consequence of Town Center Mall, located at the convergence of I-75 and I-575, just over a mile from the western end of Kennesaw. The area containing the mall and the stretch of I-75 near the mall will grow from 7,383 jobs in 1990 to 44,000 in 2020, while the Kennesaw Census Tract will grow from 3,000 jobs in 1990 to 12,000 jobs in It is important to note the differences in employment by sector for the two tracts. Retail is the dominant sector in both tracts, but in the Town Center tract it accounts for 54% of all jobs, only 41% in the Kennesaw tract. By 2020, both economies will diversify in relative terms, with retail accounting for 44% of Town Center jobs and 35% of Kennesaw jobs, along with 28% for services and 13% for government. Cobb County is a suburban county located outside of and adjacent to Atlanta, GA and has a current population of 688,078. Cobb County is ranked as the most educated county in the state of Georgia, 12th most educated in the US, and is ranked among the 100 wealthiest counties in the US. Dobbins Air Force Base is located in Cobb County adjacent to Smyrna and Marietta. This facility has a full time staff of 1,800 personnel and hosts the 94 th Airlift Wing unit. Due largely to Dobbins Air Foce Base Lockheed Martin Aeronautics operates a manufacturing plant and offices in Marietta. These facilities employ approximately 7,000 people. ATLANTA-SANDY SPRINGS-MARIETTA, GA MSA The Atlanta metropolitan area, or Metro Atlanta, is officially designated by the United States Census Bureau as the Atlanta-Sandy Springs-Marietta Metropolitan Statistical Area, and is the most populous metro area in the U.S. state of Georgia and the 9 th largest metropolitan statistical area (MSA) in the United States. In addition to Atlanta proper, Metro Atlanta spans 28 counties in north Georgia and has a total population of 5,268,860, a 28.13% increase from With a gross metropolitan product of $270 billion, Atlanta's economy ranks 15 th among world cities and 6 th in the nation. These factors are significant contributors to Atlanta s status as an Alpha- World City. This coveted distinction is based on factors such as a city s impact on global business, political influence, population, cultural, and infrastructural characteristics. Several major national and international companies are headquartered in metro Atlanta, including 4 Fortune 100 companies: The Coca-Cola Company, Home Depot, United Parcel Service, and Delta Air Lines. Other major corporate headquarters in Atlanta and around the metro area include AT&T Mobility, Newell Rubbermaid, Arby's, Chick-fil-A, Earthlink, Equifax, First Data, Gentiva Health Services, Georgia-Pacific, NCR, Oxford Industries, RaceTrac Petroleum, Southern Company, Mirant, and Waffle House. The MSA also has a sizable financial sector. The Federal Reserve has its district headquarters in Atlanta and Sun Trust, the 7 th largest bank in the U.S. by assets, held is based there. The metro area is a major transportation hub, too. Hartsfield Jackson Atlanta International Airport, the world s busiest airport, is located 7 miles south of the Atlanta central business district. Interstate 75, which extends from Tampa, FL north to Canada, passes through the center of the city. Interstates 85 and 20 also intersect in Atlanta. These amenities have lured corporations such as Ford Motor Company, Publix, Kellog s, Toys r Us, Office Depot, and GE Appliance to locate major distribution centers in the area. The growth trend in the Metro Atlanta transportation sector continues with Federal Express planning to construct a 50- acre distribution site in the north Atlanta suburb of Norcross. 7

8 Location map 8

9 Location map 9

10 Demographics Demographic snapshot Radius 1 Mile 3 Mile 5 Mile Population: 2019 Projection 9,381 68, , Estimate 8,925 64, , Census 8,796 61, ,436 Growth % 5.96% 5.43% Growth % 4.23% 2.60% Households: 2019 Projection 3,377 23,729 52, Estimate 3,208 22,362 49, Census 3,151 21,389 48,228 Growth % 6.11% 5.49% Growth % 1.94% 0.63% Owner Occupied 2,576 17,424 36,566 Renter Occupied 632 4,938 12, Avg Household Income $73,468 $81,819 $86, Med Household Income $62,738 $68,173 $69, Households by Household Inc: <$25, ,021 7,137 $25,000 - $50, ,956 9,903 $50,000 - $75, ,398 10,056 $75,000 - $100, ,882 8,070 $100,000 - $125, ,586 5,192 $125,000 - $150, ,266 2,747 $150,000 - $200, ,305 3,482 $200, ,893 DOWNTOWN ATLANTA, ATLANTA, GA KENNESAW STATE UNIVERSITY, KENNESAW, GA 10