REPRESENTATIVE PHOTO DOLLAR GENERAL QUINTER, KS

DOLLAR GENERAL QUINTER, KS

Overview DOLLAR GENERAL 440 HIGHWAY 212, QUNITER, KS 67752 $1,037,682 PRICE 6.90% CAP LEASEABLE SF 9,100 SF LEASE EXPIRATION 5/31/2031 LAND AREA 1.33 Acres YEAR BUILT 2016 LEASE TYPE Absolute NNN PARKING 30 Spaces New 15-year absolute net lease. Zero Landlord responsibilities. Corporate guaranteed lease. #128 2017 Fortune 500. 2016 revenues of over $22 billion. This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 2

Investment Highlights THE OFFERING provides an opportunity to acquire a Dollar General in Quinter, KS. Dollar General generated almost $22 billion in gross revenue in fiscal 2016 and in excess of $1.25 billion in net income. As of August 19, 2017, Dollar General operated 14,000 stores in 44 U.S. states. Since going public in 2009, the stock has more than tripled in value as of the end of Q1, 2017. Dollar General is ranked #128 on the Fortune 500 list as of June 2017. Dollar General s credit is BBB and the company s credit rating has been raised five times since 2009, most recently in October, 2015. Dollar General has a better credit rating than both of its large competitors. Contact the team JOHN ANDREINI jandreini@capitalpacific.com PH: 415.274.2715 CA BRE#: 01440360 THE RETAIL MARKET This is the only Dollar General location within 20 miles of the site. The closest Dollar General is located twenty minutes away in Wakeeney, Kansas. IN CONJUNCTION WITH KS LICENSED BROKER: Adam S. Blue Area Real Estate Advisors ablue@openarea.com 816.876.2511 DOLLAR GENERAL IS THE COUNTRY S LARGEST SMALL-BOX DISCOUNT RETAILER This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 3

Aerial CITY OF QUINTER KANSAS CITY GOVE COUNTY MEDICAL CENTER DEANA S DELI & BAKERY CITY OF QUINTER RAY S PHARMACY QUINTER JUNIOR- SENIOR HIGH OLD HIGHWAY 40 9,100 VPD CASTLE ROCK STREET QUINTER ELEMENTARY FLOWER COTTAGE MAIN STREET 2,570 VPD 70 NORTH SHOP 212 COBBLESTONE INN & SUITES PIZZA STATION 70 4 This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

Income & Expense PRICE $1,037,682 Price Per Square Foot: $114.03 Capitalization Rate: 6.90% Total Rentable Area (SF): 9,100 Lot Size (AC): 1.33 STABILIZED INCOME PER SQUARE FOOT Scheduled Rent $7.87 $71,600 Effective Gross Income $7.87 $71,600 LESS PER SQUARE FOOT Taxes NNN $0.00 Insurance NNN $0.00 Total Operating Expenses NNN $0.00 EQUALS NET OPERATING INCOME $71,600 This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 5

Rent Roll TENANT INFO LEASE TERMS RENT SUMMARY TENANT NAME SQ. FT. PERCENT OF GLA CURRENT RENT MONTHLY RENT YEARLY RENT MONTHLY RENT/FT YEAR RENT/FT Dollar General 9,100 05/14/16 05/31/31 $71,600 $5,967 $71,600 $0.66 $7.87 Option 1 06/01/31 05/31/36 $6,563 $78,761 $0.72 $8.66 Option 2 06/01/36 05/31/41 $7,220 $86,637 $0.79 $9.52 Option 3 06/01/41 05/31/46 $7,942 $95,300 $0.87 $10.47 Option 4 06/01/46 05/31/51 $8,736 $104,828 $0.96 $11.52 TOTALS: 9,100 $71,600 $5,967 $71,600 $0.66 $7.87 This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 6

Lease Abstract PREMISE & TERM TENANT Dollar General BUILDING SF 9,100 SF LEASE TYPE Absolute Net TERM 15 Years RENT COMMENCEMENT May 14, 2016 EXPIRATION May 31, 2031 OPTIONS Four 5-year Options RENT BASE RENT DATE RANGE MONTHLY RENT ANNUAL RENT 5/14/2016-5/31/2031 $5,967 $71,600 OPTION RENTS (ESTIMATED) DATE RANGE MONTHLY RENT ANNUAL RENT #1. 6/1/2031-5/31/2036 $6,563 $78,761 #2. 6/1/2036-5/31/2041 $7,220 $86,637 #3. 6/1/2041-5/31/2046 $7,942 $95,300 #4. 6/1/2046-5/31/2051 $8,736 $104,828 EXPENSES LEASE PROVISIONS TAXES Tenant is responsible for the direct payment of property taxes to the taxing authority at least 20 days prior to the delinquency date. INSURANCE Tenant is responsible for maintaining commercial general liability insurance, including contractual liability, on the demised premises with a combined single limit in an amount sufficient to protect Landlord and Tenant. Tenant further agrees to main a special cause of loss policy insuring all improvements on the demised premises. UTILITIES Tenant is responsible for direct payment of all utilities to the appropriate billing authority. TENANT S OBLIGATIONS Tenant is responsible for all maintenance and repair to the entirety of the Premises, including all interior and exterior, structural and nonstructural repairs and replacement. LANDLORD S OBLIGATIONS Zero responsibilities. ASSIGNMENT/SUBLETTING Tenant may assign, transfer, or mortgage its interest in the premises without the prior written consent of Landlord, provided however Tenant shall give Landlord written notice within ten (10) business days. RIGHT OF FIRST OFFER None. This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 7

Site Plan 9,100 RENTABLE SF 1.33 ACRES 30 SPACES PYLON SIGN 212 212 This site plan is a rendering that has been created based on sources we believe to be reliable. We make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 8

Tenant Overview ABOUT DOLLAR GENERAL Dollar General (NYSE: DG) is a chain of more than 14,000 discount stores in 44 states, primarily in the South, East, Midwest, and Southwest. Offering basic household items, such as cleaning supplies, health and beauty aids, apparel, and food, it targets low, middle, and fixed-income shoppers. The company has grown into the country s largest smallbox discount retailer. Stores are often located in small towns off the radar of giant discounters. One of Dollar General s main advantages is that it offers prices as low or lower than Walmart but in more convenient locations. Dollar General has more stores than any other retailer and is easily the largest dollar store chain. 14,000 LOCATIONS IN 44 STATES INVESTMENT GRADE CREDIT Dollar General s credit is BBB and the company s credit rating has been raised five times since 2009, most recently in October, 2015. Dollar General has a better credit rating than both of its large competitors. This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 9

In the News DOLLAR GENERAL HITS A GOLD MINE IN RURAL AMERICA - IN THE POOREST TOWNS, WHERE EVEN WAL-MART FAILED, THE LITTLE-BOX PLAYER IS TURNING A PROFIT. October 11, 2017 (Bloomberg Businessweek) On a Friday in April, Bob Tharp, the mayor of Decatur, Ark., takes me to see what used to be the commercial heart of his town. There isn t much to look at beyond the husk of a Walmart Express: 12,000 square feet of cinder block painted in different shades of brown. The glass doors are locked, as they ve been for 14 months. For so many people in this town, to have to see this empty building every day, they couldn t drive by without getting tears in their eyes, Tharp recalls. The store had opened on a frigid morning in January 2015, just days into his mayorship. Pinch yourself and it is true, he d posted on Facebook the night before. For the first time in a decade, the 1,788 residents could buy groceries in town. But the reprieve was short. The following January, word came from Wal-Mart Stores Inc. s corporate headquarters, 18 miles to the east in Bentonville, that within the month the store would be closed. You rascals! Tharp remembers telling the executive who called to deliver the news. You come to these small towns, and you build these stores, and you cause all the mom and pops to close down, and now you re the only ones left standing, and you want to go home? Why would you do that to our community? The Walmart Express had been a pilot store, the smallest ever for the world s largest retailer, designed to test whether a national brand with major supplychain advantages could wrest a profit from towns long considered too sparsely populated. The answer, it seemed, was no: The company closed more than 100 stores across Arkansas and other southeastern states that day. Tharp did what he could to turn things around, putting out calls to urge a grocer, or any retailer, to move into the vacant building. He found no takers for a year, until at last, Dollar General Corp., which had operated a smaller store on the outskirts of Decatur s downtown since 2001, agreed to relocate to Main Street and start offering fresh meat, fruit, and vegetables. The Decatur store is one of 1,000 Dollar Generals opening this year as part of the $22 billion chain s plan to expand rapidly in poor, rural communities where it has come to represent not decline but economic resurgence, or at least survival. The company s aggressively plain yellow-and-black logo is becoming the small-town corollary to Starbucks Corp. s two-tailed green mermaid. (Although you can spot her on canned iced coffee at Dollar General, too.) Already, there are 14,000 one-story cinder block Dollar Generals in the U.S. outnumbering by a few hundred the coffee chain s domestic footprint. Fold in the secondbiggest dollar chain, Dollar Tree, and the number of stores, 27,465, exceeds the 22,375 outlets of CVS, Rite Aid, and Walgreens combined. And the little-box player is fully expecting to turn profits where even narrow-margin colossus Walmart failed. READ THE FULL ARTICLE 10

Location &Demographics POPULATION QUINTER 3-MILE 7-MILES 10-MILES 2010 1,101 1,456 1,737 2017 1,076 1,404 1,673 2022 1,053 1,373 1,637 2017 HH INCOME 3-MILE 7-MILES 10-MILES Average $64,386 $64,097 $64,221 Median $50,342 $50,545 $50,505 GREAT BEND (117 MILES) QUINTER is located in Gove County, Kansas, along Interstate 70 halfway between Kansas City and Denver. Historically a farming community, Quinter generates commerce through its small industry and ever-expanding Main Street businesses. Exceptional health care can be found at the Gove County Hospital, offering both long-term care and independent living facilities. Public education and licensed daycare centers provide Quinter children with quality learning and educational opportunities. Gove County is primarily agricultural with five small towns. Quinter, Park, Grainfield, Grinnell, and Gove City. The total population of the county is 3,162. THE AVERAGE HOUSEHOLD INCOME WITHIN A 3-MILE RADIUS IS OVER $64K This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies. 11

We d love to hear from you. JOHN ANDREINI jandreini@capitalpacific.com PH: 415.274.2715 CA BRE#: 01440360 IN CONJUNCTION WITH KS LICENSED BROKER: Adam S. Blue Area Real Estate Advisors ablue@openarea.com 816.876.2511 CAPITAL PACIFIC COLLABORATES. CLICK HERE TO MEET OUR SAN FRANCISCO TEAM: ZEB RIPPLE JOHN ANDREINI ZANDY SMITH JACK NAVARRA CHRIS KOSTANECKI JOE CACCAMO RICK SANNER CHRIS PETERS DAVE LUCAS AARON SUSMAN This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.