RITE AID VISALIA, CA $8,637,352 CAP 5.25% Stephen Harper, Broker (916) CA BRE #

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1 RITE AID VISALIA, CA $8,637,352 CAP 5.25% Among the TOP 2% of all Rite Aid locations Nationwide Rent To Sales Ratio BELOW 4% Exclusively Offered by: Stephen Harper, Broker (916) CA BRE # Dusty Bates, Senior Marketing Director (916) CA BRE #

2 EXCLUSIVELY MARKETED BY Dusty Bates, Broker (916) CA BRE # Dusty Bates, Senior Marketing Director (916) CA BRE # The Information contained in this document are obtained from sources believed reliable. While Broker does not doubt its accuracy, Broker has not verified it and makes no representation, warranty or guarantee about it. It is the responsibility of each investor to independently confirm the accuracy and completeness of this and/or any real estate investment. Any projections, opinions, assumptions or estimates contained herein are used for example only and do not represent the current or future performance of the property. The value of this offering to you is dependent financial, tax and other factors which should be evaluated by your tax, legal and financial advisors. You and your advisors should conduct a complete and careful independent investigation of this property/offering to determine to your satisfaction the suitability of the property/offering to your needs. The Brokers herein do not give legal, financial or tax advice and nothing herein should be construed as such.

3 Investment Summary OFFERING PRICE $8,637,352 NET OPERAITNG INCOME $453,461 CAP RATE 5.25% GUARANTY Rite Aid Corporation LEASE TYPE NN LANDLORD RESPONSIBILITIES Roof & Structure LEASE TERM 20 Year LEASE BEGIN February 2005 LEASE EXPIRATION March 2026 OPTIONS Six 5 Year RENT INCREASES 5% in each option period PROPERTY INFO Address RENTABLE AREA 17,272 YEAR BUILT/REMODELED 2006 OWNERSHIP 1735 E Walnut Ave Visalia, CA APN Fee Simple (Land and Building) Subject is rated within the top 2% of all Rite Aid locations nationwide Store sales exceed $12,000,000 Year Annual Rent 1-20 $453, (Option 1) $476, (Option 2) $499, (Option 3) $524, (Option 4) $551, (Option 5) $578, (Option 6) $607,681 Rent to Sales Ratio approximately ~4% 3,400 Residential units under construction in subject trade area. 9 Years remain on the initial lease term; with the subject store performing as one of the top stores nationwide and a rent to sales ratio well below industry standard the subject asset appears to be positioned well for a long period with the tenant in place.

4 EXECUTIVE SUMMARY LEASE SUMMARY The subject Rite Aid is ranked in the top 5% of the 583 locations in California and in the top 2% of all stores nationwide. Roughly 9 years left on the initial 20 year lease with Six (6) Five (5) year options to expense, each with a 5% increase in the base rent. Actual Site PROPERTY OVERVIEW The Subject is offered fee simple (land & building) with approximately 17,272 standalone building and +-70,749 sqft of land. The parcel sits at the signalized corner of East Walnut and South Ben Maddux Way, an intersection that averages approximately 22,000 Vehicles Per Day. Surrounding the site is a massive residential development with over 3,400 additional housing units under construction in the immediate trade area. LOCATION OVERVIEW Visalia is situated in the agricultural San Joaquin Valley of CA, approximately 230 miles southeast of San Francisco and 190 miles North of Los Angeles. It is the 5 th largest city in San Joaquin Valley and the, 44 th most populated city in California and 198 th in the US. As the county seat of Tulare county, Visalia serves as the economic and governmental center of one of the most productive single agricultural counties in the Unites States.

5 TENANT OVERVIEW Founded in 1927, Rite Aid is a retail drugstore chain that operates over 4,600 locations in 31 states through the US and district of Colombia. Rite Aid corporation is publicly traded on the New York Stock Exchange under the symbol RAD and has an annual revenue in excess of $26 billion. Rite Aid has experienced tremendous growth in 2011 it was ranked in the top 100 on the fortune 500 largest US corporations list. In 2013 Rite Aid earned the #1 spot on the Fortune 500 retail stocks list and #3 overall in the Fortune 500 stocks list with a 323% gain. In 2014 Rite Aid acquired Health Dialong Services Corp and RedClinic R&D services and walk-in clinics. The addition of these services to the Rite Aid company has positioned Rite Aid to go beyond supplying pharmaceuticals to becoming a full service company. In February 2016 Rite Aid acquired Envision Pharmaceutical Services to further the company s transition to the new full service company model. These recent acquisitions and the advent of the online retail boom has resulted in an increase of 444% in Rite Aid stock price in the past 3 years, and an increase of revenue to $29.31 billion.

6 2017 Estimated Population 1 Mile 12,540 3 Mile 75,526 5 Mile 145, Average Household Income 1 Mile..$57,169 3 Mile..$49,151 5 Mile...$52, Estimated Total Employees 1 Mile...2,070 3 Mile...39,774 5 Mile 54,459

7 Residential Development Future Development Residential Development Residential Development

8 E Walnut Ave ADT 10,600 (2013) S Ben Maddux Way ADT 9,973 (2011)

9 FOR MORE INFORMATION CONTACT Stephen Harper, Vice President (916) CA BRE # Dusty Bates, Senior Marketing Director (916) CA BRE # The Information contained in this document are obtained from sources believed reliable. While Broker does not doubt its accuracy, Broker has not verified it and makes no representation, warranty or guarantee about it. It is the responsibility of each investor to independently confirm the accuracy and completeness of this and/or any real estate investment. Any projections, opinions, assumptions or estimates contained herein are used for example only and do not represent the current orfuture performance of the property. The value of this offering to you is dependent on financial, tax and other factors which should beevaluated by your tax, legal and financial advisors. You and your advisors should conduct a complete and careful independent investigation of this property/offering to determine to your satisfaction the suitability of the property/offering to your needs. The Brokers herein do not give legal, financial or tax advice and nothing herein should be construed as such.