Triple net ground lease arbys for sale

NET LEASED INVESTMENT OFFERING

Arby’s (Ground Lease) 8720 Manchester Road Brentwood, MO 63144 (St. Louis MSA)

www.bouldergroup.com

TABLE OF CONTENTS NET LEASED INVESTMENT OFFERING

TABLE OF CONTENTS

1)

Confidentiality & Disclaimer

2)

Executive Summary

3)

Property Overview

4)

Aerials

5)

Site Plan

6)

Maps

7)

Tenant Profile

8)

Demographic Comparison Report

9)

Location Overview

10)

Contact Information

www.bouldergroup.com

CONFIDENTITALITY & DISCLAIMER NET LEASED INVESTMENT OFFERING

CONFIDENTIALITY & DISCLAIMER The information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from The Boulder Group and should not be made available to any other person or entity without the written consent of The Boulder Group. This Offering 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 Boulder Group has not made any investigation, and makes no warranty or representation. The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, The Boulder Group has not verified, and will not verify, any of the information contained herein, nor has The Boulder Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

www.bouldergroup.com

EXECUTIVE SUMMARY NET LEASED INVESTMENT OFFERING

EXECUTIVE SUMMARY The Boulder Group is pleased to exclusively market for sale a single tenant net leased Arby’s ground lease property located within the St. Louis MSA. The property is located within a strong retail corridor along Manchester Road, a primary east-west thoroughfare. There are over ten years remaining on the Arby’s ground lease that expires on November 14, 2024. The lease features 10% rental escalations every five years. The lease is guaranteed by the largest Arby’s franchisee, US Beef Corporation, which operates over 320 locations.

The 43,562 square foot Arby’s property is located along Manchester Road, a primary east-west thoroughfare that experiences traffic counts in excess of 20,000 vehicles per day. Manchester Road runs parallel with Interstate 64 connecting the city of St. Louis with its’ western suburbs. The surrounding area is densely concentrated with commercial buildings providing high barriers to entry. Additionally, the property is located less than one and one-half miles from the intersection of Interstate 64 and Interstate 170, which experiences traffic counts in excess of 300,000 vehicles per day. The surrounding area is densely populated with over 107,000 people living within a three mile radius earning average annual household incomes in excess of $93,000. The Arby’s is an outparcel to an Office Depot and Ace Hardware anchored center. The property is located approximately one and one-half miles from the Saint Louis Galleria, a 1.2 million square foot mall that is anchored

by Apple, Nordstrom, Macy’s, and Dillard’s. Additional retailers located nearby include Whole Foods, Target, Walmart Supercenter, Sam’s Club, Lowe’s, Home Depot and Schnucks.

The Arby’s ground lease has over ten years remaining and features 10% rental escalations every five years. There are four 5-year renewal option periods. The lease is guaranteed by US Beef Corporation, the largest Arby’s franchisee with over 320 locations.

INVESTMENT HIGHLIGHTS • Located within the St. Louis MSA • Long term ground lease with over 10 years remaining • 10% rental escalations every five years • No landlord responsibilities • Recent construction (2009) • Guaranteed by US Beef Corporation, Arby’s largest franchisee with over 320 locations • Located along Manchester Road, a primary east-west thoroughfare with traffic counts in excess of 20,000 VPD • Surrounding area is densely concentrated with commercial buildings providing high barriers to entry • Close proximity to the Interstate 64 & Interstate 170 interchange (300,000 VPD) • Located approximately one and one-half miles from the Saint Louis Galleria, a 1.2 million square foot mall that is anchored by Apple, Nordstrom, Macy’s, and Dillard’s

www.bouldergroup.com

PROPERTY OVERVIEW NET LEASED INVESTMENT OFFERING

PROPERTY OVERVIEW Price:

$1,355,357

Cap Rate:

5.60%

Rent Schedule:

NOI

Escalation Date

$75,900 $83,496 $91,872 $101,064 $111,180 $122,304

11/14/2019 11/14/2024 (Option 1) 11/14/2029 (Option 2) 11/14/2034 (Option 3) 11/14/2039 (Option 4)

Rental Escalations:

10% Every Five Years

Renewal Options:

Four 5-Year

Lease Commencement Date:

November 14, 2009

Lease Expiration Date:

November 13, 2024

Tenant:

Arby’s

Guarantor:

US Beef Corporation (320 Locations)

Year Built:

2009

Lease Type:

Ground Lease

Building Size:

2,812 SF

Land Acreage:

43,562 SF

www.bouldergroup.com

AERIALS NET LEASED INVESTMENT OFFERING

AERIALS N

SOUTH

BREN

T WOO D ROA

MANC

HESTE R ROA

D

17 3

,00

0V PD

D

170 HANLEY INDUSTRIAL PARK

64

www.bouldergroup.com

128,

000

VPD

AERIALS NET LEASED INVESTMENT OFFERING

AERIALS N

AD MANCHESTER RO D TWOOD ROA

SOUTH BREN

www.bouldergroup.com

SITE PLAN NET LEASED INVESTMENT OFFERING

SITE PLAN

N MANCHESTER ROAD

RU

DRIVE-TH

www.bouldergroup.com

MAPS NET LEASED INVESTMENT OFFERING

MAPS

www.bouldergroup.com

TENANT PROFILE NET LEASED INVESTMENT OFFERING

TENANT PROFILE Arby’s Restaurant Group, Inc. is the second largest quick-service sandwich chain in the U.S. with more than 3,400 restaurants system wide. Roark Capital Group acquired the company in July 2011 and owns 81.5% of the company, with The Wendy’s Company owning the other 18.5%. In addition to its classic Roast Beef and Beef ‘n Cheddar sandwiches, made in store daily, Arby’s is also known for its deli-style Market Fresh line of sandwiches and salads, Curly Fries and shakes. Arby’s operates in 48 states throughout the United States of America and Canada, Qatar, and Turkey. Its headquarters are in Sandy Springs, Georgia.

Website: Number of Locations: Headquarters: Parent Company:

www.arbys.com 3,400+ Sandy Springs, GA Roark Capital Group & The Wendy’s Company

US Beef owns and operates over 320 Arby’s famous roast beef restaurants in the eight contiguous Midwest states of Oklahoma, Arkansas, Kansas, Illinois, Colorado, Missouri, Idaho, and Wyoming. Since the Davis family opened their first Arby’s in 1969 in Tulsa, United States Beef Corporation has expanded rapidly and is recognized and acclaimed as one of the top performing franchise restaurateurs in the industry. US Beef is headquartered in Tulsa, Oklahoma.

Website: Number of Locations: Headquarters:

www.usbeefcorp.com 320 Tulsa, OK

www.bouldergroup.com

DEMOGRAPHIC COMPARISON REPORT NET LEASED INVESTMENT OFFERING

DEMOGRAPHIC COMPARISON REPORT

Population Total Population Total Households

1-mi

3-mi

5-mi

11,883 5,329

107,060 47,432

300,260 135,263

$61,958 $86,187

$58,391 $93,020

$51,578 $81,207

Income Median Household Income Average Household Income

www.bouldergroup.com

LOCATION OVERVIEW NET LEASED INVESTMENT OFFERING

LOCATION OVERVIEW Brentwood is a thriving community located in the heart of St. Louis County, just south of the County seat, Clayton, Missouri and one and one-half miles west of the City of St. Louis. Brentwood is just minutes from area attractions such as Forest Park, the St. Louis Science Center, the St. Louis Art Museum and the world renowned St. Louis Zoo. Brentwood is also in close proximity to Interstate 170, Interstate 44, and Interstate 64. As of the 2010 US Census, the city of Brentwood had a population of 8,055. www.brentwoodmo.org

St. Louis is a city in eastern Missouri located along the Mississippi River. The St. Louis metropolitan area, known as Greater St. Louis, includes the city as well nearby areas in Missouri and Illinois and is among the 20 largest metropolitan areas in the United States with a population of 2,900,605.

The economy of St. Louis relies on service, manufacturing, trade, transportation of goods, and tourism. The city is home to several major corporations, including Express Scripts, Emerson Electric, Monsanto, Anheuser-Busch, Reinsurance Group of America, Centene, Peabody Energy, Ameren, Graybar Electric, Enterprise Rent-A-Car and Edward Jones Investments. www.stlouis-mo.gov

www.bouldergroup.com

CONTACT INFORMATION NET LEASED INVESTMENT OFFERING

CONTACT INFORMATION

666 Dundee Road, Suite 1801 Northbrook, IL 60062 Randy Blankstein President 847.562.0003 randy@bouldergroup.com

Jimmy Goodman Partner 847.562.8500 jimmy@bouldergroup.com

www.bouldergroup.com