[email protected] (888) 525-5695 x10 Dan Cooper€¦ · Domtar Corp., Norfolk Southern, Alco Chemical, Colonial Pipeline and Buzzi Unicem. The William Wrigley Jr. Company has

Cooper Commercial Investment Group 6120 Parkland Blvd., Suite 206 Cleveland, OH 44124 www.coopergrp.com

Bob Havasi [email protected] (888) 525-5695 x10

Dan Cooper [email protected] (888) 525-5695 x12 In Connection with Licensed Georgia Broker

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INVESTMENT SUMMARY

Investment Highlights ….....…………………… 4

Investment Overview ……….……..………….. 5

Location Overview………………....……………. 6

FINANCIAL ANALYSIS

Offering Summary ……………………………..... 8

Rent Roll …………………………………………….. 9

PROPERTY ANALYSIS

Site Plan ..….………………….………………...….... 11-12

Aerial Map ……………………...…………………… 13

Location Maps .……………………………………. 14

Demographics .……………………………………. 15

TENANT ANALYSIS

Tenant Profiles …….……………………………… 17-19

Disclosure & Confidentiality …...……………. 20

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INVESTMENT HIGHLIGHTS 100% Occupied, 3-Tenant Trophy Center: Well-Known,

National Tenants, Buffalo Wild Wings, Mattress Firm and Aspen Dental

High Visibility and Great Accessibility Off Main Roadway (31,500 VPD) with Attractive, Contemporary Curb Appeal & Prominent Pylon Signage

Newer 2015 Construction with Long-Term, Corporate 10-Yr. Leases In Place and Mid-Term Rental Increases

Growing Chattanooga MSA: Ranked 8th Out of America's 100 Largest Metro Areas for the “Best Bang For Your Buck,” According to Forbes Magazine

Adjacent to Shadow Anchor Walmart Supercenter (24-Hour) and Outlot to a Hobby Lobby, PetCo and Marshall’s Anchored Power Center & Direct Vicinity of Other Complimentary Retailers: SuperCuts (Regis), Moe’s Southwest Grill, Panera Bread, Ross Dress for Less, GameStop & More

Strong Demographics in One of Chattanooga’s Up & Coming Areas: Avg. Household Incomes Over $58,000 Within 1-Mile and Direct Access to High Population Density of Nearly 262,000 People Within 10-Miles in the Chattanooga MSA

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Parkway Plaza Shopping Center

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INVESTMENT OVERVIEW The Cooper Commercial Investment Group has been exclusively retained by ownership to sell the 100% fee simple interest in Parkway Plaza Shopping Center, a 12,200 S.F. center boasting high-profile tenants, Buffalo Wild Wings, Aspen Dental and Mattress Firm. The property is located in the highly desirable bedroom community of Fort Oglethorpe, Georgia, a suburb of Chattanooga, Tennessee. Parkway Plaza is positioned in a tri-state corridor being located in Georgia, but just 5-miles to the Tennessee border and 35 miles to the Alabama line drawing shoppers from every direction. The property is being offered for $6,395,000, representing a 6.00% CAP Rate. The new center was built in 2015 and all tenants executed new, 10-year NNN leases with mid-term rental increases. Due to the significant rental increases in year-6 of all of the leases, the increased NOI would generate a 6.60% CAP Rate based on today’s sales price. This makes the center a very stable asset to an investor with the popular tenants’ having 8+ years of original term remaining. The attractive contemporary construction is 100% occupied and center’s advantageous location welcomes the tenants’ success and desire to be located at the property. Additionally, with the property’s young age, an investor will have minimal repairs and maintenance responsibilities to the property as the property also includes a transferrable roof warranty through 2025. The property is positioned on a signalized corner and surrounded by retail. Parkway Plaza sits as an outlot to a power center, which includes Marshalls, PetCo, and Hobby Lobby, while being adjacent to the Walmart Supercenter. The center is also surrounded by many other complimentary national retailers, including Moe’s Southwest Grill, Panera Bread, Super Cuts, Ross Dress for Less, Hibbett Sports, GameStop, Verizon and many, many more. The property has highly visible frontage and is located in the main shopping district of the city directly off the heavily traveled Battlefield Parkway creating easy access. Traffic counts along Battlefield Parkway are approximately 31,500 vehicles per day. The tenants located at the center benefit strongly from being positioned just outside of Chattanooga with the direct access to the large population base of nearly 262,000 people within 10-miles. Furthermore, the Chattanooga MSA is supported by several major employers, including Access America Transport, BlueCross BlueShield of Tennessee, CBL & Associates, Chattem, the world's first Coca-Cola bottling plant, Coker Tire, FSGBank, Gordon Biersch Brewery Restaurant Group, Republic Parking System, and U.S. Xpress Enterprises Inc. The city also hosts large branch offices of Cigna, AT&T, T-Mobile USA and UBS. Recently, Volkswagen Group of America inaugurated its Chattanooga Assembly Plant. The $1 billion plant serves as the group's North American manufacturing headquarters and brings thousands of employees to the area. Amazon also opened a 1,000,000 S.F. distribution center creating even more employment and people to the area. Other notable companies that have distribution facilities in the city include a new FedEx Distribution Facility, Alstom, BASF, DuPont, Invista, Komatsu, Rock-Tenn, Plantronics, Domtar Corp., Norfolk Southern, Alco Chemical, Colonial Pipeline and Buzzi Unicem. The William Wrigley Jr. Company has a prominent presence in Chattanooga, now the sole production facility for Altoids breath mint products. With the amount of employees residing in the growing area, the asset is positioned to succeed for many years to come.

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Fort Oglethorpe is located only 5 minutes from Chattanooga, Tennessee, and is part of the Chattanooga, TN–GA Metropolitan Statistical Area. The suburb of Chattanooga is located approximately 90 minutes north of Atlanta, Georgia. The City of Fort Oglethorpe is positioned in a tri-state corridor being located in Georgia, a suburb of Chattanooga, Tennessee and only 35 miles to Alabama. Fort Oglethorpe is a fascinating city with a history rich in local and national color. The city is home to the 6th Cavalry and the WAC’s. Generations of Americans serving their country entered or left their service through the gates of the city. Fort Oglethorpe also serves as the entrance to the Chickamauga National Military Park, the oldest and largest of America’s Civil War Parks. Fort Oglethorpe, Chattanooga, and the Tennessee River Valley, are wonderful places to live, to visit, and remember.

Chattanooga is the 4th largest city in the state of Tennessee. The local economy includes a diversified and growing mix of manufacturing and service industries. "Sustainability" is a key concept for industry and government working together for enlightened development. Notable Chattanooga businesses include Access America Transport, BlueCross BlueShield of Tennessee, CBL & Associates, Chattem, the world's first Coca-Cola bottling plant, Coker Tire, FSGBank, Gordon Biersch Brewery Restaurant Group, Republic Parking System, and U.S. Xpress Enterprises Inc. The city also hosts large branch offices of Cigna, AT&T, T-Mobile USA and UBS. Recently, Volkswagen Group of America inaugurated its Chattanooga Assembly Plant. The $1 billion plant, opened and serves as the group's North American manufacturing headquarters. Other notable companies that have distribution facilities in the city include Alstom, Amazon.com, BASF, DuPont, Invista, Komatsu, Rock-Tenn, Plantronics, Domtar Corp., Norfolk Southern, Alco Chemical, Colonial Pipeline and Buzzi Unicem. The William Wrigley Jr. Company has a prominent presence in Chattanooga, now the sole production facility for Altoids breath mint products.

In addition to corporate business interests, there are many retail shops in Chattanooga, including three shopping malls: Hamilton Place, Eastgate Mall and Northgate Mall in Hixson. The Tennessee Aquarium has become a major waterfront attraction that has helped to spur development. Chattanooga has garnered numerous accolades for its transformation of its image. The city has won three national awards for outstanding "livability" and nine Gunther Blue Ribbon Awards for excellence in housing and consolidated planning. Chattanooga is ranked 8th out of America's 100 largest metro areas for the “Best Bang for Your Buck", according to Forbes Magazine. The city draws over a million tourists to its main attractions, such as the Tennessee Aquarium, Rock City, Ruby Falls, Civil War monuments of Battlefield Parkway.

Additionally, The University of Tennessee at Chattanooga is the second largest campus of the University of Tennessee System, with a student population of over 10,000. Chattanooga State Community College is a two-year community college with a total undergraduate enrollment of roughly 11,000 students. Chattanooga is also home to a branch of the University of Tennessee College of Medicine, which provides medical education to third and fourth year medical students, residents, and other medical professionals in southeast Tennessee.

LOCATION OVERVIEW

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Rental Income:

Tenant Reimbursements:

Potential Gross Income:

Vacancy (Actual %):

Effective Gross Income:

Expenses:

NOI:

$389,060

$59,824

$448,884

($0)

$448,884

$64,733

$384,151

Price:

Gross Leasable Area:

NOI:

CAP Rate:

Year Built:

Lot Size:

Parking:

Exterior:

$6,395,000

12,200 S.F.

$384,151

6.00%

2015

Approx. 1.79 Acres

Approx. 135 Spaces

Brick/Metal

SUMMARY

Operating Data

Pro Forma 2018

2016 2018 $/SF

INCOME:

Potential Rental Income

Rental Income $ 396,128 $ 389,060 $ 31.89

Tenant Reimbursements

CAM 51,932 16,000 1.31

Real Estate Taxes 37,352 3.06

Insurance 3,600 0.30

Admin. Fee 2,872 0.24

Gross Potential Rental Income $ 448,060 $ 448,884 $ 36.79

Vacancy (Actual) 0.00% $ - $ -

Effective Gross Income $ 448,060 $ 448,884 $ 36.79

OPERATING EXPENSES:

Management Fee 2.00% $ 7,781 $ 0.64

Real Estate Taxes 35,523 37,352 3.06

Insurance 3,553 3,600 0.30

Utilities 5,942 6,000 0.49

CAM 9,260 10,000 0.82

Total Expenses $ 54,278 $ 64,733 $ 5.31

Net Operating Income $ 393,782 $ 384,151 $ 31.49

Capitalization Rate 6.00%

Valuation $ 6,395,000

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% of Tenant Lease Lease Rent/ Annual Lease Rental Option

Tenant GLA Total Since Start Expiration S.F. Rent Type Bumps Rate

4,400 36.07% 2015 10/1/2015 9/30/2025 $37.00 $162,800 NNN 10/1/2021 $40.00/SF

(2) 5-Yr. Option 1: $44.00/SF Option 2: $48.40/SF

3,600 29.51% 2015 11/1/2015 10/31/2025 $34.85 $125,460 NNN 11/1/2021 $38.34/SF

(3) 5-Yr. Option 1: $42.17/SF Option 2: $46.39/SF Option 3: $51.03/SF

4,200 34.43% 2015 12/1/2015 11/30/2025 $24.00 $100,800 NNN 12/1/2021 $26.40/SF

(3) 5-Yr. Option 1: $29.04/SF Option 2: $31.94/SF Option 3: $35.14/SF

Total Building 12,200 100.00% $31.89 $389,060

Vacancy - 0.00% $ - $ -

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37 Parkway Drive 1 mi radius 3 mi radius 5 mi radius 10 mi radius

Fort Oglethorpe, GA 30742

POPULATION

2017 Estimated Population 1,864 24,079 76,588 262,337

2022 Projected Population 1,905 24,774 78,862 272,141

2010 Census Population 1,682 22,977 74,977 254,405

2000 Census Population 1,073 18,872 67,326 230,812

Projected Annual Growth 2017 to 2022 0.4% 0.6% 0.6% 0.7%

Historical Annual Growth 2000 to 2017 4.3% 1.6% 0.8% 0.8%

2017 Median Age 43.3 41.2 40 38.4

HOUSEHOLDS

2017 Estimated Households 770 9,834 31,764 107,276

2022 Projected Households 796 10,236 33,318 113,707

2010 Census Households 697 9,305 30,548 101,407

2000 Census Households 431 7,622 27,519 92,623

Projected Annual Growth 2017 to 2022 0.7% 0.8% 1.0% 1.2%

Historical Annual Growth 2000 to 2017 4.6% 1.7% 0.9% 0.9%

RACE AND

ETHNICITY

2017 Estimated White 88.2% 89.6% 88.3% 70.2%

2017 Estimated Black or African American 4.8% 4.1% 5.6% 23.0%

2017 Estimated Asian or Pacific Islander 4.2% 2.6% 2.0% 2.1%

2017 Estimated American Indian or Native Alaskan 0.2% 0.3% 0.4% 0.3%

2017 Estimated Other Races 2.5% 3.4% 3.7% 4.4%

2017 Estimated Hispanic 1.9% 2.9% 3.7% 5.1%

INCOME

2017 Estimated Average Household Income $58,615 $55,378 $55,264 $61,164

2017 Estimated Median Household Income $54,419 $49,146 $48,023 $50,177

2017 Estimated Per Capita Income $24,515 $22,697 $22,994 $25,306

EDUCATION

(AGE 25+)

2017 Estimated Elementary (Grade Level 0 to 8) 3.4% 2.8% 4.7% 4.9%

2017 Estimated Some High School (Grade Level 9 to 11) 11.8% 11.5% 11.6% 10.8%

2017 Estimated High School Graduate 35.3% 32.7% 33.2% 30.1%

2017 Estimated Some College 21.3% 25.1% 24.1% 23.2%

2017 Estimated Associates Degree Only 11.6% 10.6% 8.6% 7.7%

2017 Estimated Bachelors Degree Only 12.9% 10.2% 11.2% 14.9%

2017 Estimated Graduate Degree 3.8% 7.2% 6.6% 8.5%

BUSINESS

2017 Estimated Total Businesses 323 1,227 2,982 15,046

2017 Estimated Total Employees 3,246 10,478 27,958 188,286

2017 Estimated Employee Population per Business 10.0 8.5 9.4 12.5

2017 Estimated Residential Population per Business 5.8 19.6 25.7 17.4

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It all started in 1982 with one restaurant in Columbus, OH. Since then,

Buffalo Wild Wings (NASDAQ: BWLD) has grown to have a store in every

state in the U.S. and continue to open B-Dubs® around the world. The

company thrives off three things: Wings. Beer. Sports.™ Buffalo Wild Wings is

an established and growing owner, operator, and franchisor of restaurants

featuring a variety of boldly-flavored, cravable menu items including Buffalo,

New York-style chicken wings spun in any of our 21 signature sauces and

seasonings. Restaurants create a welcoming neighborhood atmosphere that

includes an extensive multi-media system, a full bar and an open layout,

which appeals to sports fans and families alike. The Buffalo Wild Wings’

guests have the option of watching sporting events or other popular

programs on our projection screens and approximately 50 additional

televisions, competing in GameBreak™ and Buzztime® Trivia, or playing

video games.

www.buffalowildwings.com Source: www.buffalowildwings.com

Tenant Base Rent Schedule

Current:

Bump 2021:

Option 1:

Option 2:

Option 3:

Monthly

$8,400.00

$9,240.00

$10,164.00

$11,179.00

$12,299.00

PSF

$24.00

$26.40

$29.04

$31.94

$35.14

Common Area Maintenance:

Insurance:

Real Estate Taxes:

Admin. Fee:

Mgmt. Fee:

Pro Rata Share

Pro Rata Share

Pro Rata Share

5% on CAM Expenses (Excluding Utilities) Pro Rata Share

Tenant Recapture

Annual

$100,800.00

$110,880.00

$121,968.00

$134,148.00

$147,588.00

Corp. Headquarter:

# of Total Locations:

Ticker Symbol:

Lease Guaranty:

GLA:

Tenant Since:

Current Term Start:

Lease Expiration:

Rental Bumps:

Options:

Minneapolis, MN

1,220+

NASDAQ: BWLD

Buffalo Wild

Wings, Inc.

4,200

2015

12/01/2015

11/30/2025

Yes, Year 6 (2021)

(3) 5-Yr.

Tenant Lease Abstract

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Aspen Dental is on a mission to give America a healthy mouth, and it starts with state-of-the-art offices in great locations throughout 36 states. Aspen Dental-branded practices offer patients convenient access to a full range of affordable, high-quality dental and denture services. Located in dense regional retail areas, the approximately 650 Aspen Dental-branded practices will service nearly 4 million patient appointments, including more than 900,000 new patients. More than 60 new Aspen Dental-branded practices are expected to open every year and provide high quality, affordable dental care to certain targeted demographic groups most in need of access to care. Each Aspen Dental branded practice is owned and operated by a licensed dentist. An unaffiliated company called Aspen Dental Management, Inc. (“ADMI”) provides administrative and business support services to Aspen Dental branded dental practices. ADMI licenses the “Aspen Dental” brand name to the independently owned and operated dental practices that use its business support services.

www.aspendental.com

Source: www.aspendental.com

Tenant Base Rent Schedule

Current:

Bump 2021:

Option 1:

Option 2:

Option 3:

Monthly

$10,455.00

$11,502.00

$12,651.00

$13,917.00

$15,309.00

PSF

$34.85

$38.34

$42.17

$46.39

$51.03

Common Area Maintenance:

CAM Cap:

Insurance:

Real Estate Taxes

Admin. Fee

Mgmt. Fee:

Pro Rata Share

5% CAP on Controllable

Expenses Over Previous Year

Pro Rata Share

Pro Rata Share

None

Pro Rata Share

Tenant Recapture

Annual

$125,460.00

$138,024.00

$151,812.00

$167,004.00

$183,708.00

Corp. Headquarter:

# of Total Locations:

Lease Type:

GLA:

Tenant Since:

Current Term Start:

Lease Expiration:

Rental Bumps:

Options:

Syracuse, NY

650+/- in 36 States

Aspen Dental

Management, Inc.

3,600

2015

11/01/2015

10/31/2025

Yes, Year 6 (2021)

(3) 5-Yr.

Tenant Lease Abstract

19

With more than 3,500 company-operated and franchised stores across 49 states, Mattress Firm has the largest geographic footprint in the United States among multi-brand mattress retailers. Founded in 1986, Houston-based Mattress Firm is the nation's leading specialty bedding retailer. In September 2016, the company was acquired by Steinhoff International for $3.8 billion, and Mattress Firm now operates as a subsidiary of Steinhoff. The company, through its brands including Mattress Firm, Sleepy's and Sleep Train, offers a broad selection of both traditional and specialty mattresses, bedding accessories and other related products from leading brands and manufacturers, including Serta, Simmons, Hampton & Rhodes and Dream Bed. The company set out to be a different kind of mattress retailer; focused on creating a unique shopping experience for the customer with a large selection of quality, brand name bedding products, competitive pricing and knowledgeable, well-trained associates.

www.mattressfirm.com

Source: www.mattressfirm.com

Tenant Base Rent Schedule

Current:

Bump 2021:

Option 1:

Option 2:

Monthly

$13,566.67

$14,666.67

$16,133.33

$17,746.67

PSF

$37.00

$40.00

$44.00

$48.40

Common Area Maintenance:

CAM Cap:

Insurance:

Real Estate Taxes

Admin. Fee

Mgmt. Fee:

Pro Rata Share

5% CAP on Controllable

Expenses Over Previous Year

Pro Rata Share

Pro Rata Share

None

Pro Rata Share

Tenant Recapture

Annual

$162.800.00

$176,000.00

$193,600.00

$212,960.00

Corp. Headquarter:

# of Total Locations:

Lease (Corporate):

GLA:

Tenant Since:

Current Term Start:

Lease Expiration:

Rental Bumps:

Options:

Houston, TX

3,500+

Mattress Firm, Inc.

4,400

2015

10/01/2015

09/30/2025

Yes, Year 6 (2021)

(2) 5-Yr.

Tenant Lease Abstract

20

DISCLOSURE, CONFIDENTIALITY & DISCLAIMER

CONFIDENTIALITY AGREEMENT DISCLOSURE & DISCLAIMER The information within this Offering Memorandum will set forth an understanding regarding the relationship between the Recipient of this package (the “Recipient”) and The Cooper Group and the confidentiality of the investment information to be supplied to you and your organization for use in considering, evaluating and/or purchasing this property (the “Property”). The recipient acknowledges that all financial, contractual, marketing, and informational materials including but not limited to lease information, occupancy information, financial information, projections, data information and any other similar information provided by The Cooper Group which relates to the Property (collectively, the Confidential Information), whether said information was transmitted orally, in print, in writing or by electronic media is confidential in nature and is not to be copied or disseminated to any party without the prior consent of The Cooper Group. The Recipient acknowledges and agrees that the Confidential Information is of such a confidential nature that severe monetary damage could result from dissemination of that information to unauthorized individuals. The Recipient shall limit access to the Confidential Information to those individuals in the Recipient’s organization with a “need to know” and shall take all precautions reasonably necessary to protect the confidentiality of the Confidential Information. The Recipient acknowledges and agrees that the Confidential Information and any copies thereof are the property of The Cooper Group and that all such information will be returned to The Cooper Group upon written request. Any offers or inquiries from Recipient in connection with this investment proposal shall be forwarded, confidentiality, to The Cooper Group. Other than The Cooper Group, recipient agrees that neither Recipient nor The Cooper Group shall be obligated to pay any procuring broker fees in connection with this investment unless a separate written Brokerage Agreement is entered into and written acknowledgement of any procuring Brokerage Agreement is received from all parties to the investment transaction. Procuring brokers must provide written introductions of potential investors and receive written acknowledgment from The Cooper Group for representation to be recognized. This is a confidential Memorandum intended solely for your limited use and benefit in determining whether you desire to express further interest in the acquisition of the Property.

The Memorandum contains selected information pertaining to the property and does not purport to be a representation of the state of affairs of the Property or the owner of the Property, to be all-inclusive or to contain all or part of the information which perspective Recipients may require to evaluate the purchase of real property. All financial projections and information are provided for general reference purposes only and are based on assumptions relating to the general economy, market conditions, competition and other factors beyond the control of the owner or The Cooper Group. All references disclosed herein related to acreage, square footages and/or other measurements may be approximations and the best information available. The summaries of information included herein do not purport to be complete nor necessarily accurate descriptions of the full agreements referenced. Photos herein are the Property and respective owners and use of these images without the express written consent of the owner is prohibited. The owner and the Cooper Group expressly reserve the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property, and/or terminate discussions with any entity and any time with or without notice which may arise as a result of review of this Memorandum. Neither the owner or the Cooper Group, nor any of their respective directors, officers, affiliates or representatives make any representation or warranty, expressed or implied, as to the accuracy or completeness of this Memorandum or its contents; and you are to rely solely on your investigators and inspections of the property in evaluating a possible purchase of the Property. The information contained in this document has been obtained from sources to be reliable. While the Cooper Group does not doubt its accuracy, the Cooper Group has not verified it and makes no guarantee, warranty or representation about it. It is your responsibility to independently confirm the 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 tax and other factors which should be evaluated by your tax, financial and legal advisors.

Cooper Commercial Investment Group 6120 Parkland Blvd., Suite 206 Cleveland, OH 44124 www.coopergrp.com

Bob Havasi [email protected] (888) 525-5695 x10

Dan Cooper [email protected] (888) 525-5695 x12