REPRESENTATIVE PHOTO FRED S SUPER DOLLAR 996 Alabama Highway 203 Elba, AL 36323 OFFERING MEMORANDUM
2 TABLE OF CONTENTS INVESTMENT OVERVIEW Property Overview Area Demographics Tenant Overview Location Overview 4 7 8 9 REPRESENTATIVE PHOTO
3 DISCLAIMER All materials and information received or derived from B Plus E LLC, its directors, officers, agents, advisors, affiliates and/or any third party sources are provided without representation or warranty as to completeness, veracity, or accuracy, condition of the property, compliance or lack of compliance with applicable governmental requirements, developability or suitability, financial performance of the property, projected financial performance of the property for any party s intended use or any and all other matters. Neither B Plus E LLC, its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy or completeness of the any materials or information provided, derived, or received. Materials and information from any source, whether written or verbal, that may be furnished for review are not a substitute for a party s active conduct of its own due diligence to determine these and other matters of significance to such party B Plus E LLC will not investigate or verify any such matters or conduct due diligence for a party unless otherwise agreed in writing. EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE. CONTACT INFO Spencer Henderson 415.315.9287 shenderson@benetlease.com Scott Scurich 415.302.6498 sscurich@benetlease.com Jon Nesbitt AL #: 47101962 Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections and investigations including through appropriate third party independent professionals selected by such party. All financial data should be verified by the party including by obtaining and reading applicable documents and reports and consulting appropriate independent professionals. B Plus E LLC makes no warranties and/or representations regarding the veracity, completeness, or relevance of any financial data or assumptions. B Plus E LLC does not serve as a financial advisor to any party regarding any proposed transaction. All data and assumptions regarding financial performance, including that used for financial modeling purposes, may differ from actual data or performance. Any estimates of market rents and/or projected rents that may be provided to a party do not necessarily mean that rents can be established at or increased to that level. Parties must evaluate any applicable contractual and governmental limitations as well as market conditions, vacancy factors and other issues in order to determine rents from or for the property. Legal questions should be discussed by the party with an attorney. Tax questions should be discussed by the party with a certified public accountant or tax attorney. Title questions should be discussed by the party with a title officer or attorney. Questions regarding the condition of the property and whether the property complies with applicable governmental requirements should be discussed by the party with appropriate engineers, architects, contractors, other consultants and governmental agencies. All properties and services are marketed by B Plus E LLC in compliance with all applicable fair housing and equal opportunity laws.
19 PROPERTY OVERVIEW 996 Alabama Highway 203 Elba, AL 36323 INVESTMENT HIGHLIGHTS NOI $78,724 Lease Structure NN Building SF +/-17,000 RPSF $4.94 Original Lease Term 7 Years Remaining Term 3 Years Renewal Options 1; 5 Year Parking +/- 30 Termination Options None Fills Local Market Gap Only national Pharmacy/Convenience store serving the area. Close Proximity to Large Trailer Manufacturer Dorsey Trailers is a nationally known industry leading custom trailer manufacturer. The company was founded in Elba in 1911 and has been in place since. 1 Mile Distance From Airport Carl Folsom Airport is Elba's only public use airport. FINANCIAL OVERVIEW Annual Fred s Rent $84,000 Ice Machine Rental Income $4,200 Total Income $88,200 Annual Property taxes $5,793.08 Annual Insurance $2,782.56 Annual Lot Maintentence $900 Total Annual Expenses $9,475.64 NOI $78,724 PAGE 4
20 PROPERTY PICTURES 996 Alabama Highway 203 Elba, AL 36323 PAGE 5
21 PROPERTY PICTURES 996 Alabama Highway 203 Elba, AL 36323 PAGE 6
22 DEMOGRAPHICS MAP 996 Alabama Highway 203 Elba, AL 36323 POPULATION 5 Miles 10 Miles 15 Miles Total Population 3,461 11,707 26,156 Median Age 40.6 41.0 41.2 Median Age (male) 39.9 40.7 40.9 Median Age (Female) 41.4 41.3 41.1 HOUSEHOLDS & INCOME 5 Miles 10 Miles 15 Miles Total Households 1,295 4,470 10,193 # of Persons/HH 2.7 2.6 2.6 Average HH Income $43,772 $45,963 $49,230 Average House Value $100,642 $99,062 $113,266 PAGE 7
TENANT OVERVIEW Fred s Inc. (NASDAQ: FRED, Fred s ) Tracing its history back to an original store in Coldwater, Mississippi, opened in 1947, today Fred s Inc. is headquartered in Memphis, Tennessee, and operates 601 general merchandise and pharmacy stores, including 14 franchised locations, and three specialty pharmacy-only locations. With a unique store format and strategy that combines the best elements of a value-focused retailer with a healthcare-focused drug store, Fred s stores offer more than 12,000 frequently purchased items that address the everyday needs of its customers and patients. This includes nationally recognized brands, proprietary Fred s label products, and a full range of value-priced selections. The Company has two distribution centers, one in Memphis, Tennessee, and Dublin, Georgia. Tenant Summary Tenant Name Fred s Super Dollar Founded 1947 Number of Locations 628 Total Revenue $2.13B Stock Ticker FRED Headquarters Memphis, Tennessee Website https://www.fredsinc.com/ PAGE 8
24 LOCATION OVERVIEW 996 Alabama Highway 203 Elba, AL Elba is the seat of Coffee County in southern Alabama. The city is a historical railroad town that has become not only a great place to live, but also a great place to visit. Elba is the home base of operations for the Pea River which makes so many activities possible. Also, the city is full of history and has many historical landmarks tourists come to see. One of the many historical sites is Veterans Memorial Park, which has a UH-1 heliopter and a M101A2 on display. The city of Elba is a growing town, with its close proximity to major aerospace manufacturers, as well as the Hyundai plant near Montgomery. In addition, Coffee County has a higher percentage of underemployed workers than the state average. PAGE 9
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