FA L LS CH ASE VIL L AG E C E N T E R - PA D S I T E

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1 FA L LS CH ASE VIL L AG E C E N T E R - PA D S I T E L a g n i a p p e Way - TALLAH ASSE E, FLORIDA OFFERING MEMORANDUM Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2016 Marcus & Millichap. Activity ID: Y

2 Financial Overview OFFERING SUMMARY PRICE: $2,667,323 CAP RATE: 6.50% NOI: $173,376 PRICE PER SQUARE FOOT: $ RENT PER SQUARE FOOT: $25.00 YEAR BUILT: 2017 APPROXIMATE LOT SIZE: 2.05 Acres GROSS LEASEABLE AREA: 7,204 TYPE OF OWNERSHIP: Fee Simple *Project - Related to CAM on Parcel where the Building Sits **Center - CAM related to access roads located within the Center and all other costs under the CCRs ***Based Off First Year Operating Budget Base Rent $180,100 Expense Reimbursements Real Estate Taxes $15,858 Insurance $1,322 CAM for Project* $11,038 CAM for Center** $2,928 Management Fee $1,576 Total Expense Reimbursements $32,722 Effective Gross Income $212,822 Expenses*** Real Estate Taxes $15,858 Insurance $1,322 CAM Repairs & Maintenance $6,176 Utilities $1,915 Grounds $2,947 CAM for Center** $2,928 Total CAM $13,966 Management Fee (4% of EGI) $8,300 Total Expenses $39,446 Net Operating Income $173,376 Tenant Guarantor GLA % of GLA Lease Lease Term Annual Rent Lease Increases Commence Expiration Remaining Rent (PSF) Type Options MATTRESS ONE SOS Furniture Company, Inc 3, % 5/10/2017 5/31/ Years $87,500 $ % in Year 3 and 9 NN 2, 5-Year AT&T Prime Communications, LP 1, % 1/10/2017 1/31/ Years $32,600 $ % in Option NN 1, 5-Year WHARF CASUAL SEAFOOD Stephen Early Duggar Sr 2, % 8/16/2017 8/31/ Years $60,000 $ % Annually in Options NN 2, 5-Year FILE PHOTO SUMMARY Total 7, % $180,100 Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2016 Marcus & Millichap. Activity ID: Y

3 Investment Overview Marcus & Millichap is pleased to present this brand-new construction, three-tenant pad site to Fallschase Village Center in Tallahassee, Florida; which is an income tax free state. The tenants Mattress1One, AT&T, and Wharf Casual Seafood are operating under net leases fully reimbursing for common area maintenance, real estate taxes, and insurance. Mattress1One and Wharf Casual Seafood signed 10-year leases. Mattress1One has 4 percent rent increases in year three and year nine. The asset is anchored by Mattress1One, a regional mattress retailer with more than 300 locations in Florida, Texas, and Georgia. Prime Communications, Limited Partnership is the largest privately held AT&T authorized retailer with more than 550 locations across 21 states. Wharf Casual Seafood is regional fast-casual dining concept backed by a personal guaranty from owner. The subject property benefits from its affiliation with Fallschase Village Center, which is currently a 450,000-square foot retail power center anchored by Walmart, Costco, and Bass Pro Shops. Fallschase Village Center plans to add another 300,000-square feet of retail, which includes a 68,000-square foot luxury movie theatre. Cobb Theatre will feature 14 screens with oversized reclining seats and the Cobbster s Kitchen, where guests can eat made-to-order burgers and steaks. Also directly adjacent to the movie theatre is a 13-acre residential development project. Arbor Crossing at Buck Lake plans to deliver more than 200 luxury apartments. Additionally, this asset benefits from its visibility along Mahan Drive and strong demographics. There are more than 33,000 vehicles per day along the Mahan Drive/Route-10 retail corridor and more than 108,000 residents with an average household income greater than $74,000 within five miles. Additional tenants in the immediate vicinity include: Publix, Academy Sports, McDonald s, Dollar Tree, Applebee s, Big Lots, Burger King, Brand New Construction Three-Tenant Pad Site to Fallschase Village Center in Tallahassee, Florida Income Tax Free State Mattress1One, AT&T, and Wharf Casual Seafood Operating Under Net Leases Reimbursing for Common Area Maintenance, Real Estate Taxes, and Insurance Mattress1One and Wharf Seafood Signed 10-year leases With Two, Five-Year Renewal Options Prime Communications, Limited Partnership Signed a Five-Year Lease With One, Five-Year Renewal Option Largest Privately Held AT&T Authorized Retailer With More Than 500 Locations 2017 AT&T Authorized Retailer of the Year Fallschase Village Center 450,000-Square Foot Retail Power Center With Plans to Add another 300,000 Square Feet of Retail Space Anchored by Strong National Tenants Walmart, Costco, and Bass Pro Shops Cobb Theatre Coming to Fallschase Village Center in ,000-Square Foot, 14-Screen Luxury Movie Theatre with Oversized Reclining Seating and a Full Kitchen and Bar Arbor Crossing at Buck Lake Luxury Apartment Community Development is Directly Adjacent to Cobb Theatre and Subject Property 13-Acre Development with Plans to Deliver 208 Apartments Highly Visible from Route-10/Mahan Drive More Than 33,000 Vehicles Per Day Strong Demographics More Than 108,000 Residents With an Average Household Income Greater than $74,000 Within Five Miles Additional Tenants in the Immediate Vicinity Include: Publix, Academy Sports, McDonald s, Dollar Tree, Applebee s, Big Lots, Burger King, and More. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2016 Marcus & Millichap. Activity ID: Y

4 Tenant Overview - AT&T Mattress1 One Wharf Casual Seafood L a g n i a p p e Way - TALLAH ASSE E, FLORIDA Prime Communications has more than 550 locations coast-to-coast in 21 states, the largest privately held AT&T Authorized Retailer in the United States. Established in 1999, Prime takes great pride in being one of AT&T s premier partners. Prime Communications was named the Authorized Retailer of the Year by AT&T for As the premier Authorized Retailer, Prime Communications executed on an aggressive growth strategy in Prime opened more than 90 new stores and remodeled or relocated more than 60 other stores to better locations nationwide. The Prime team is comprised of an inclusive and diverse group of people businessmen and women, industry leaders and sales experts. A rich entrepreneurial spirit permeates in everything Prime does, creating an environment where creativity, leadership and teamwork are rewarded, and where individuals and stores can see and feel the fruits of their success. Mattress1 One is the number one mattress store for Florida and Texas residents shopping for a great price on top name brand mattresses like TempurPedic, icomfort, Sealy, Serta, Simmons, Stearns and Foster, and Kingsdown. The company carries a full line of mattresses including traditional, gel foam and memory foam mattresses in all sizes from twin to king and everything in between. With more than 300 stores across Florida, Texas, and now Georgia, Mattress1One makes mattress shopping convenient, quick, and easy. PROFILE Wharf Casual Seafood is a family friendly restaurant serving high quality, fresh seafood at a great value. Southern Hospitality and a family feel are at Wharf s core. The Wharf philosophy is seafood can be affordable, fast AND top-notch quality at the same time; one does not have to be sacrificed for the other. Wharf strives to offer healthy, quality choices for its customers each and every day, in a fast, casual atmosphere. Early, Eva, and Stephen Duggar and Noah Griggs have been in the restaurant and seafood business for over 30 years and have used their expertise to create a franchise model like no other. They have developed a quick serve, cooked to order, high quality seafood concept serving the finest seafood in traditional southern style, as well as a wide variety of delightful low calorie and healthy options. PROFILE PROFILE TRADE NAME AT&T TRADE NAME Mattress1One TRADE NAME Wharf Casual Seafood OWNERSHIP Private OWNERSHIP Private OWNERSHIP Private Prime Communications, Limited SOS Furniture Company, Incorporated E. Duggar, Incorporated Partnership LEASE GUARANTOR Corporate Guaranty NUMBER OF LOCATIONS LEASE GUARANTOR 170+ Units HEADQUARTERED WEB SITE LEASE GUARANTOR Corporate NUMBER OF LOCATIONS 550 Units HEADQUARTERED Sugar Land, Texas WEB SITE RANK 2017 Authorized Retailer of the Year E. Duggar, Incorporated + Personal Guaranty from Stephan Early Duggar Sr. Orlando, FL NUMBER OF LOCATIONS 5 Units HEADQUARTERED Tallahassee, Florida WEB SITE Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2016 Marcus & Millichap. Activity ID: Y

5 FALLSCHASE VILLAGE CENTER - PAD SITE Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2016 Marcus & Millichap. Activity ID: Y

6 Area Overview & Demographics 1-Mile 3-Mile 5-Mile Population 2000 Population 1,896 35,423 88, Population 2,598 41, , Population 2,749 43, , Population 2,794 44, ,025 1-Mile 3-Mile 5-Mile Households 2000 Households ,338 38, Households 1,173 18,365 44, Households 1,239 19,646 47, Households 1,259 20,002 48,535 1-Mile 3-Mile 5-Mile Household (HH) Incomes 2017 Average HH Income $72,044 $70,676 $74, Median HH Income $56,524 $52,671 $53, Per Capita Income $32,471 $31,603 $32,727 Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2016 Marcus & Millichap. Activity ID: Y

7 Market Overview - Tallahassee, Florida Tallahassee is the capital of Florida, and only incorporated municipality in Leon County. Tallahassee became the capital of Florida in In 2015, the city population was 189,907, and Tallahassee metropolitan area population was 377,924. Tallahassee is the largest city in the Northwest Florida region as well as the main center for trade and agriculture in the Florida Big Bend and Southwest Georgia regions. Tallahassee is home to Florida State University, ranked in the nation s top 40 best public universities by U.S. News & World Report. It is also home to the Florida A&M University. Tallahassee Community College is a large community college which serves mainly as a feeder school to both Florida State and Florida A&M. Tallahassee qualifies as a significant college town with a student population exceeding 70,000. Tallahassee is home to the Florida State Capitol, Supreme Court of Florida, Florida Governor s Mansion, and nearly 30 state agency headquarters. The city is also known for its large number of law firms, lobbying organizations, trade associations and professional associations, including the Florida Bar and the Florida Chamber of Commerce. It is also a recognized regional center for scientific research, and home to the National High Magnetic Field Laboratory. In 2015, Tallahassee was awarded the All-American City Award by the National Civic League for the second time. Tallahassee is currently ranked as the 18th best college town in the nation by Best College Reviews. # Tallahassee Top Employers # of Employees 1 State of Florida 19,442 2 Florida State University 14,378 3 Leon County School Board 5,383 4 Tallahassee Memorial HealthCare 4,583 5 City of Tallahassee 2,811 6 Publix 2,200 7 Tallahassee Community College 1,518 8 Florida A&M University 1,767 9 Leon County 1, Capital Regional Medical Center 1,051 TALLAHASSEE Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a trademark of 2016 Marcus & Millichap. Activity ID: Y

8 Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows: The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided. As the Buyer of a net leased property, it is the Buyer s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Marcus & Millichap expressly denies any obligation to conduct a due diligence examination of this Property for Buyer. Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs. Like all real estate investments, this investment carries significant risks. Buyer and Buyer s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease 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 market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer s legal ability to make alternate use of the property. By accepting this Marketing Brochure you agree to release Marcus & Millichap Real Estate Investment Services and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.

9 FALLSCHASE VILLAGE CENTER - PAD SITE 4063 Lagniappe Way - TALLAHASSEE, FLORIDA Broker of Record Kirk Felici Marcus & Millichap Miami, FL Tel: Fax: License: BK