CVS Hollywood Avenue Shreveport, LA OFFERING MEMORANDUM. Representative Photo. CVS, Shreveport, LA 1

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1 CVS 2755 Hollywood Avenue Shreveport, LA OFFERING MEMORANDUM Representative Photo CVS, Shreveport, LA 1

2 Representative 2 Offering Photo Memorandum

3 contents 04 investment highlights financial OVERVIEW tenant overview area OVERVIEW exclusively listed by rahul chhajed Senior Associate DIR (949) MOB (818) LIC # (CA) michael moreno Senior Associate michael.moreno@matthews.com DIR (949) MOB (818) LIC # (CA) aron cline SVP & Senior Director aron.cline@matthews.com DIR (949) MOB (818) LIC # (CA) Beau j. box BROKER OF RECORD LIC # BROK A-ACT CVS, Shreveport, Representative LA 3Photo

4 executive summary investment highlights Representative Photo 10,908 SF Freestanding CVS (BBB+ S&P) on Approximately 1.57 Acres Primary Lease Term Through 12/31/18 with Four Renewal Options Remaining Hard Corner at Signalized Intersection Excellent Signage and Visibility ± 140,000 residents within a 5-mile radius Building is situated on a ± 1.57 AC lot 4 Offering Memorandum

5 financial overview CVS 2755 Hollywood Avenue Shreveport, LA List Price... $1,500,000 CAP Rate - Current % Gross Leasable Area...± 10,908 SF Lot Size... ± 1.57 Acres Year Built Annualized Operating Data Monthly Rent Annual Rent Cap Rate Increases Current - 12/31/2018 $25, $303, % 1.70% Option 1 $25, $309, % 1.70% Option 2 $26, $314, % 1.70% Option 3 $26, $320, % 1.70% Option 4 $27, $325, % 1.70% * Tenant is not expected to renew the lease* Tenant Summary Tenant Trade Name CVS Type of Ownership Fee Simple Lease Guarantor Eckerd Corporation Lease Type NNN Roof and Structure Tenant Responsible Original Lease Term 20 Years Lease Commencement Date 12/02/1998 Lease Expiration Date 12/31/2018 Term Remaining on Lease ± 1.25 Years Increases 1.70% Options Four, 5-Year Options Representative Photo CVS, Shreveport, LA 5

6 tenant overview 6 Offering Memorandum Representative Photo

7 Property Name CVS Property Type Net Leased Drug Store Company Trade Name CVS Health Corporation (NYSE: CVS) Ownership Public Credit Rating (S&P) BBB+ No. of Locations ± 9,700 No. of Employees ± 243,000 Headquartered Woonsocket, Rhode Island Web Site Year Founded 1963 TENANT OVERVIEW CVS Health Corporation, together with its subsidiaries, provides integrated pharmacy health care services. It operates through Pharmacy Services and Retail/LTC segments. The Pharmacy Services segment offers pharmacy benefit management solutions, such as plan design and administration, formulary management, Medicare Part D services, mail order and specialty pharmacy services, retail pharmacy network management services, prescription management systems, clinical services, disease management programs, and medical pharmacy management services. The Retail/LTC segment sells prescription drugs, over-the-counter drugs, beauty products and cosmetics, personal care products, convenience foods, seasonal merchandise, and greeting cards, as well as provides photo finishing services. The company was formerly known as CVS Caremark Corporation and changed its name to CVS Health Corporation in September Hook-SupeRx, LLC operates as a subsidiary of CVS Health Corporation and retails drugs in the United States. It is based in Indianapolis, Indiana and does business as CVS Pharmacy. GEOGRAPHIC REACH CVS drugstores span across 49 U.S. states, the District of Columbia, Brazil and Puerto Rico. The company also operates Longs Drugs banner in California, Hawaii, Nevada and Arizona. Around 1,000 store locations throughout 31 states and in Washington D.C. also have Minute Clinics. STRATEGY CVS continues to evolve from being a general pharmacy store, expanding into more specialty fields of the fast-growing healthcare market. The company s Retail Pharmacy Store Development plan, which focuses on entering new markets, adding stores in existing markets, and relocating stores to more convenient sites, has been essential for business growth and in keeping up with Walgreens. CVS has been successful in its ventures for its store count has increased from 7,388 stores at the end of 2011 to nearly 9,700 stores today. In addition to opening new stores, CVS has made efforts to increase sales at existing ones. Prescription drugs account for more than two-thirds of its sales, and the retailer is attempting to grow revenues from over-the-counter medications and general merchandise through its growing private-label product offering. CVS, Shreveport, LA 7

8 property overview the offering Property Name Property Address CVS 2755 Hollywood Avenue Shreveport, LA Assessor s Parcel Number parcel map Site Description Number of Stories Gross Leasable Area (GLA) Lot Size Type of Ownership Parking Parking Ratio One ± 10,908 SF ± 1.57 Acres (68,346 SF) NNN ± 65 Surface Spaces 5.96 : 1,000 SF Hollywood Ave ±11,000 ADT 8 Offering Memorandum

9 surrounding tenants CVS, Shreveport, LA 9

10 area overview Shreveport, LA As the third-largest city in the state of Louisiana and the seat of Caddo Parish, Shreveport extends along the Red River. Shreveport was once a major player in United States oil business, and at one time could boast Standard Oil of Louisiana as a locally based company. Recently, Shreveport has largely transitioned into a service economy specifically within the gaming industry and tourism. demographics POPULATION 1 Mile 3 Mile 5 Mile 2022 Projection 10,483 65, , Estimate 10,691 66, , Census 11,249 70, , Census 11,277 77, ,820 HOUSEHOLDS 1 Mile 3 Mile 5 Mile 2022 Projection 3,716 25,699 58, Estimate 3,771 26,036 59,258 INCOME 1 Mile 3 Mile 5 Mile 2017 Est. Average Household Income $35,616 $48,229 $56, Offering Memorandum

11 top employers 1. Barksdale Air Force Base 2. Caddo Public Schools 3. State of Louisiana 4. University Health 5. Willis-Knighton Health System 6. Bossier Parish School System 7. City of Shreveport 8. Wal-Mart/Sam s Stores 9. Christus Schumpert Health System 10. Harrah s/horseshoe Casinos economic development The Shreveport-Bossier City was recently named as a growing area for the technology industry by technology magazine Innovation and Tech Today. The recent increase in tech industry jobs through employers such as CSRA and Eatel has put the area on a shortlist of places to watch. The growing number of technology and IT companies located in the region has created nearly 3,000 new tech jobs in the last few years. In addition to the tech growth, the region has seen an increase of Fortune 500 companies like CenturyLink and IBM to technology start-ups such as CyberReef Solutions. Shreveport allows those who live there to work virtually anywhere. Shreveport-Bossier City MSA is the commercial and cultural center of the tri-state area where Arkansas, Louisiana and Texas meet. Shreveport is home to the Barksdale Air Force base, which consists of the Air Force Global Strike Command, Eighth Air Force and Second Bomb Wing and supports the local economy with over 12,300 employees and an annual economic impact of nearly $1 billion. Home to four riverboat casinos/hotels as well as Harrah s Louisiana Downs, providing stable employment opportunities as well as an ample tourist population. CVS, Shreveport, LA 11

12 CONFIDENTIALITY & DISCLAIMER STATEMENT This Offering Memorandum contains select information pertaining to the business and affairs of CVS located at 2755 Hollywood Avenue, Shreveport, LA ( Property ). It has been prepared by Matthews Real Estate Investment Services. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence. By acknowledging your receipt of this Offering Memorandum for the Property, you agree: 1. The Offering Memorandum and its contents are confidential; 2. You will hold it and treat it in the strictest of confidence; and 3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller. Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered. If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum. A prospective purchaser s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property. This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.

13 exclusively listed by rahul chhajed Senior Associate DIR (949) MOB (818) LIC # (CA) michael moreno Senior Associate michael.moreno@matthews.com DIR (949) MOB (818) LIC # (CA) aron cline SVP & Senior Director aron.cline@matthews.com DIR (949) MOB (818) LIC # (CA) Beau j. box BROKER OF RECORD LIC # BROK A-ACT CVS 2755 Hollywood Avenue Shreveport, LA CVS, Shreveport, LA 13