Fifteen Year Net Lease Investment NEC Interstate 45 & Greens Rd Houston, TX

Fifteen Year Net Lease Investment NEC Interstate 45 & Greens Rd Houston, TX

Exclusively Listed by DANNY GARDINER Director (602) 385-1328 dannygardiner@pcaemail.com CHAD TIEDEMAN Senior Managing Director (602) 288-3472 ctiedeman@pcaemail.com Broker of Record - TX MATTHEW NINE Campus Real Estate Solutions License #: 433029 3131 East Camelback Road, Suite 340 Phoenix, Arizona 85016 P 602-957-9800 F 602-957-0889 www.pcainvestmentsales.com

Table of Contents 04 INVESTMENT OVERVIEW Property Summary 05 PROPERTY OVERVIEW Site Plan Lease Abstract 07 TENANT OVERVIEW Tenant Profile 08 10 PHOTOGRAPHY Property Photography AREA OVERVIEW Aerials Demographics 14 CONTACT Confidentiality Agreement

Property Summary ASKING PRICE $7,396,000 CAP RATE 7.50% ANNUAL BASE RENT $554,715 (May 2019) Investment Highlights Long-term 15-year net lease with 11 years remaining on the primary term Significant capital invested into the building shows the tenant s commitment to the location Strong annual increases make this a desirable investment opportunity TOTAL BUILDING SIZE ±66,080 SF Roof replaced in 2014 and the tenant is responsible for roof maintenance TOTAL LAND SIZE ±5.13 Acres One of the fastest growing markets in the U.S. requiring a large skill labor force YEAR BUILT PRIMARY LEASE TERM 1981/2014 (Remodel) Fifteen (15) Years location Highlights 4 RENT INCREASES Annually Near George Bush Intercontinental Airport, less than 4-miles from the subject property RENT COMMENCEMENT April 2014 LEASE TYPE PROPERTY ADDRESS Net Lease 243 Greens Road Houston, TX 77060 Dense neighborhoods surround the property with nearly 283,000 residents within a 5-mile radius Strong employment corridor includes over 129,000 daytime employees within a 5-mile radius Property is located just off the heavily traveled Interstate 45 with ±239,000 vehicles per day

Property Site Plan GREENS POINT DR GREENS RD ±15,043 VPD 5

Lease Abstract TENANT GUARANTOR PRIMARY LEASE TERM Tulsa Welding School/Houston Campus, Inc., an Oklahoma Corporation Tulsa Welding School, Inc. Fifteen (15) Years Term Years Increase Date Annual Rent Primary 1 - $452,648.00 Primary 2 May 2015 $479,080.00 Primary 3 May 2016 $505,512.00 RENT COMMENCEMENT April 2014 LEASE TYPE Net Lease Primary 4 May 2017 $535,248.00 Primary 5 May 2018 $543,838.40 Primary 6 May 2019 $554,715.17 RENT INCREASES RENEWAL OPTIONS Annually One, Ten Year Option Primary 7 May 2020 $565,809.47 Primary 8 May 2021 $577,125.66 Primary 9 May 2022 $588,668.17 6 PROPERTY TAXES INSURANCE UTILITIES COMMON AREA EXPENSES HVAC ROOF & STRUCTURE Paid by Tenant* Paid by Tenant* Paid by Tenant Paid by Tenant* Paid by Tenant* *Landlord is responsible for payment, but tenant reimburses amount to landlord Paid by Landlord (Roof Replaced in 2014, Tenant Responsible for Maintenance) Primary 10 May 2023 $600,441.54 Primary 11 May 2024 $612,450.37 Primary 12 May 2025 $624,699.38 Primary 13 May 2026 $637,193.36 Primary 14 May 2027 $649,937.23 Primary 15 May 2028 $662,935.97

Tenant Profile WEBSITE OWNERSHIP www.weldingschool.com Private # OF LOCATIONS 3 Locations GUARANTEE ENROLLMENT Corporate Tulsa Welding School (TWS) was founded in 1949 by two welders who recognized a strong demand for skilled tradesman. More than 65 years later, TWS has evolved into an educational institution that prepares students for various skilled trade careers with a multitude of specialties and applications. The school now has three locations the original campus in Oklahoma, the second campus in Jacksonville, Florida, and the newest campus in Houston, Texas. 65+ Years in Business ±1,000 (1,250 student capacity) Over 20,000 TWS Graduates PROFESSIONAL WELDER $49,860 Annual Mean Wage of Houston Welders 7 MONTHS Professional Welders are found everywhere automotive, aerospace and aviation industries; bridges and bikes; shipyards, shops and skyscrapers wherever metal needs adhering, a welder is needed. By being trained as a skilled professional welder, you ll have career opportunities nationwide, and even worldwide. That means almost anywhere you want to go, welding can take you there. TWS GRADUATES ARE IN-DEMAND 53,700+ Estimated Employed Welders in Texas 7

Main Lobby Pipe Fitting Room Welding Lab 8

Common Area Faculty Office Space 9 Instructional Classroom

8 45 ±239,0 00 VPD VP 3 4 0, GR 10 S EEN RD ±15 D

HUMBLE GEORGE BUSH INTERNATIONAL AIRPORT ATASCOCITA 494 249 8 GOLF CLUB OF HOUSTON Y TOL HARD 45 69 L RD 548 610 HOUSTON 11 Houston s Top 30 Largest Employers With Welding Needs COMPANY # OF EMPLOYEES United ±14,941 Schlumberger ±12,069 Shell Oil Co. ±11,507 Exxon Mobil Corp ±11,000 National Oilwell Varco ±8,960 Chevron ±8,000 Home Depot ±7,880 Fluor ±7,750 Baker Hughes ±5,695 S&B Engineers ±5,500

Demographics POPULATION GROWTH 5-Mile HOUSEHOLD GROWTH 5-Mile AVERAGE HOUSEHOLD INCOME 2017 2000 183,456 2000 59,845 1-Mile $35,344 2010 247,618 2010 74,718 3-Mile $48,892 2016 282,728 2016 82,972 5-Mile $54,259 2021 307,995 2021 89,728 12

DAYTIME DEMOGRAPHICS 2017 Employees in the Area DAYTIME DEMOGRAPHICS 2017 Businesses in the Area 1-Mile 18,882 1-Mile 794 3-Mile 66,144 3-Mile 3,758 5-Mile 129,256 5-Mile 8,127 13

Confidentiality Statement This Confidential Offering Memorandum has been prepared by Phoenix Commercial Advisors (PCA) for use by a limited number of parties whose sole purpose is to evaluate the possible purchase of the subject property. This Memorandum has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. The information contained in this Memorandum has been obtained from sources we believe to be reliable. While we do not doubt its accuracy, we have not verified it and make no guarantee, warranty, or representation about it. It is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used, are for example only, and do not represent the current or future performance of the property. The value of this transaction to you depends on taxes and other factors which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine, to your satisfaction, the suitability of the property for your needs. All potential buyers must take appropriate measures to verify all of the information set forth herein. Both Phoenix Commercial Advisors (PCA) and the Owner disclaim any responsibility for inaccuracies and expect prospective purchasers to exercise independent due diligence in verifying all such information. The contained information is subject to change at any time and without notice. The recipient of the Memorandum shall not look to the Owner or Phoenix Commercial Advisors (PCA) for the accuracy or completeness of this Memorandum. Exclusively Listed by DANNY GARDINER Director (602) 385-1328 dannygardiner@pcaemail.com CHAD TIEDEMAN Senior Managing Director (602) 288-3472 ctiedeman@pcaemail.com Broker of Record - TX MATTHEW NINE Campus Real Estate Solutions License #: 433029 A prospective purchaser must make its own independent investigations, projections, and conclusions regarding the acquisition of the property without reliance on this Memorandum or any other Confidential Information, written or verbal, from the Broker or the Seller. The Owner expressly reserves the right, at its sole discretion, to reject any offer to purchase the property or to terminate any negotiations with any party, at any time, with or without written notice. Only a fully-executed Real Estate Purchase Agreement, approved by Seller, shall bind the property. Each prospective purchaser and/or broker proceeds at its own risk. All property showings are by appointment only. 3131 East Camelback Road, Suite 340 Phoenix, Arizona 85016 P 602-957-9800 F 602-957-0889 www.pcainvestmentsales.com