OFFERING MEMORANDUM FAMILY DOLLAR · today. Dollar Tree is a growth company and has identified the opportunity for approximately 26,000 stores across North America. For 2018, the

REPRESENTATIVE

OFFERING MEMORANDUM

FAMILY DOLLARHull (Athens MSA), GA

AERIALOFFERING SUMMARY

8964 Highway 29 South, Hull, GA 30646

DEMOGRAPHIC SUMMARY 1 MILE 3 MILE 5 MILE

POPULATION 1,447 10,804 23,294

AVG. HOUSEHOLD INCOME $46,334 $47,819 $48,786

POPULATION GROWTH 3.39% 2.07% 3.61%

PRICE $1,345,000

CAP RATE 7.25%

NOI $97,500

RENTABLE SQUARE FEET 8,247 SF

PRICE/SF $163

YEAR BUILT 2018

LOT SIZE 1.54 AC

TENANT TRADE NAME Family Dollar

LEASE GUARANTOR Corporate

LEASE TYPE Double Net

ROOF & STRUCTURE Landlord Reponsibility

LEASE TERM 10-Years

RENT COMMENCEMENT DATE December 2018

LEASE EXPIRATION DATE December 2029

TERM REMAINING ON LEASE 10-Years

INCREASES 7% & 5% Increases in Options

OPTIONS 6, 5-Year Options

OPTION RENT

Years 1 1 - 1 5Years 16-20Years 21-25Years 26-30Years 31-35Years 36-40

(Option 1)(Option 2)(Option 3)(Option 4)(Option 5)(Option 6)

$104,475$109,699$115,184$120,943$126,990$133,340

TENANT RESPONSIBILITIES Taxes, CAM, Insurance & HVAC

LANDLORD RESPONSIBILITIES Roof, Structure & Parking Lot

Atlanta

Hull

Athens

PORT OF SAVANNAH

• New 8,247 SF build to suit Family Dollar currently under construction and scheduled for delivery in December 2018.

BRAND NEW CONSTRUCTION STORE

UNIVERSITY OF GEORGIA

INVESTMENT GRADE TENANT

SUPERIOR DOLLAR STORE LOCATION

• Hull is well-located approximately 6 miles from Athens, GA and is part of the Athens-Clarke County MSA.

• Athens is the 6th largest city in GA with an estimated population of 209,271.• Athens is home to the University of Georgia (46,000+ Student & Faculty).• Athens is 70 miles Northeast of downtown Atlanta.

ATHENS MSA

• Founded in 1785, UGA is the state’s flagship and largest university with 46,000+ Student & Faculty

• The campus encompasses 762 acres and employees over 10,665 people.• The University is ranked 16th overall among all public universities in the

U.S. and offers 140 degree programs with an endowment of $1.64 billion • UGA, most commonly known for football, offers 21 varsity sports and has

won 41 national championships, 29 since 1999.

• Well located approximately 5 miles away from Athens, GA at a signalized intersection on U.S. 29 with 18,600 VPD

• This Family Dollar is well positioned at a strong retail intersection on a dense retail corridor.

• Surrounding national retailers include CVS, Ingles, Starbucks, Shell, BB&T Golden Pantry, and more.

NEW LONG TERM CORPORATE LEASE• New 10-Year lease expected to commence in December 2018.• Rental Increases every 5-Years beginning in year 11.• The Lease is NN with minimal landlord responsibilities.• Tenant is responsible for Taxes, CAM, Insurance and HVAC.

• Dollar Tree/Family Dollar recently upgraded to investment grade credit rating | S&P BBB-

• Largest most successful single-price-point retailer in North America.• Dollar Tree/Family Dollar Operate 15,000+ stores across 48 states and five

Canadian provinces.• Annual Revenues exceed $22 Billion.

ATHENS

UNIVERSITY OF GEORGIA

DOWNTOWN ATHENS

AERIALINVESTMENT HIGHLIGHTS

THE ARCHES

SATISFIED CUSTOMERS, RECORD FINANCIAL RESULTS & ENHANCED SHAREHOLDER VALUE

Dollar Tree, Inc., the parent company of Family Dollar, is the world’s leading operator of $1 price point variety stores, posting revenues of $22.2 billion in 2017. The Company also operates nearly 8,200 stores under the Family Dollar banner, which provides customers with a broad selection of competitively priced merchandise in convenient neighborhood store locations. Overall, Dollar Tree operates more than 15,000 stores across the 48 contiguous states and five Canadian provinces, supported by a coast-to-coast logistics network and more than 176,000 associates.

A Fortune 200 company, Dollar Tree has served North America for more than thirty years. The Company’s store support centers are in Chesapeake, Virginia and Matthews, North Carolina. Dollar Tree continues to grow its store base, create jobs, and add new customers online at www.DollarTree.com.

Dollar Tree acquired Family Dollar in mid-2015 for $8.5 Billion in an aggressive expansion that continues today. Dollar Tree is a growth company and has identified the opportunity for approximately 26,000 stores across North America. For 2018, the company’s real estate plans include 650 new stores (350 Dollar Tree and 300 Family Dollar), 450 Family Dollar store renovations, 100 relocations or expansions and 50 Family Dollar to Dollar Tree re-banners. The company has developed a strong and efficient distribution network to support its ability to grow and maintain a low-cost operating structure. Family Dollar currently operates 22 distribution centers and broke ground on their 23rd facility in Warrensburg, Missouri in 2017.

2013 2014 2015 2016 2017

7.8 8.6

15.5

20.722.2

NET SALES($ in Billions)

INVESTMENT GRADE

BBB-

TAYLOR MCMINNMARCU S & M I LL ICHAP

TENANT PROFILE

BBB-INVESTMENT

GRADE TENANT S&P BBB-

450FAMILY DOLLAR

STORE RENOVATIONS ARE PLANNED

FOR 2018

$22.2 BNET SALES

IN 2017 40 QTRS OF SAME-STORE

SALES GROWTH

176,000+ACTIVE

ASSOCIATES EMPLOYED BY

DOLLAR TREE INC.

15,000+STORES

ACROSS 48 STATES & CANADA

AERIALAERIAL 1

29441

441

78

78

78

129

106

10

1072

8,15014,700

16,300

18,600

14,800

10,500

Hull Sanford ES616 Students

CaterpillarPowerPartners, Inc.

HULL

Athens-Ben Epps Airport - AHN

37,606 STUDENTS

4,563 STUDENTS

WALGREENS

AERIALAERIAL 2

DEMOGRAPHIC SUMMARY 5 MILE

POPULATION 23,294

AVG. HOUSEHOLD INCOME $48,786

POPULATION GROWTH 3.61%

AERIALELEVATIONS

AERIALSITE PLAN

The Athens-Clarke County metropolitan area serves as an employment, cultural, educational and business center for surrounding counties and all of Northeast Georgia. Long marked on the map as a center for the arts, learning and cuisine; a music capital; and home to the University of Georgia and Athens Tech, Athens is also noted for a rich manufacturing history and a strong industrial base. From food processing to pharmaceuticals, to plastics and now Caterpillar bulldozers, numerous manufacturers have flourished in Athens-Clarke County for many years. Boasting a diverse business mix, Athens is home to major Fortune 500 companies and local entrepreneurial startups alike. The University of Georgia is located in the heart of the city and is the state’s flagship public university and a Tier I research institution. The university is tied for 16th overall among all public national universities in the 2018 U.S. News & World Report rankings and is recognized as “Public Ivy,” a publically-funded university considered to provide education comparable to Ivy League standards.

ATHENSTHE CLASSIC CITY

42,169TOTAL STUDENT

POPULATION IN ATHENS

2.0%JOB GROWTH

OUTPACES THE NATION

$1.64 BUNIVERSITY OF GA’S

2018 ANNUAL BUDGET

MARKET SUMMARY

Atlanta is the hub and economic engine of the Southeast, which is the fastest growing region in the U.S. The city’s thriving economy and job base, coupled with its high quality and low cost of living, make it an ideal destination to draw young and educated talent from the region’s major universities. With low cost of doing business, an educated workforce and high quality of living. Diversified and substantial investment from corporations and state and local goernments make Atlanta an incredible place to do business. As further proof that Atlanta is a mainstay of global commerce, this fast-growing metropolis is also host to the busiest airport in the world, Hartsfield-Jackson Atlanta International Airport with more than 100 million flights per day.

16FORTUNE 500

COMPANIESCALL ATLANTA

HOME

785,000NEW JOBS FORECAST

THROUGH 202530% HIGHER THAN

US AVERAGE

6 MILLION8TH MOST POPULOUS

MSA IN THE USEST. 2025 POPULATION

6.9 MILLION

ATLANTACAPITOL OF THE SOUTHEAST


MARKET SUMMARY

© 2018 TAYLOR MCMINN RETAIL GROUP | 1100 ABERNATHY ROAD N.E. | BLDG. 500, SUITE 600 | ATLANTA, GA 30328

DON MCMINNSENIOR VICE PRESIDENT INVESTMENTS

NET-LEASE [email protected]

678-808-2762

ZACH TAYLORFIRST VICE PRESIDENT INVESTMENTS

RETAIL [email protected]

678-808-2780

Purchaser’s Initials ______ Seller’s Initials ______

Dated:

Don McMinn Marcus & Millichap 1100 Abernathy Road, NE, Suite 600 Atlanta, GA 30328

Phone: (678) 808-2780 Fax: (815) 550-1286

[email protected]

Re: 8964 Highway 29 South, Hull, GA 30646 (Family Dollar) Dear Don: Please accept this offer to purchase the above referenced Property. This letter expresses Purchaser’s interest in purchasing the Property under the following terms and conditions:

Purchaser ____________________________________________________

Purchaser’s Address

____________________________________________________

Purchaser’s Phone/Fax

____________________________________________________

Purchaser’s Email Address

____________________________________________________

Offer Price ____________________________________________________

Earnest Money $25,000 earnest money deposit due within forty-eight (48) hours of the Effective Date of the Contract. The Earnest Money shall be increased to $50,000 at the expiration of the Inspection Period and shall become non-refundable barring any other listed contingencies.

Inspection Period 21 Calendar Days from the Effective Date, which shall mean the date on which the latter of the parties executes a Contract. All available Due Diligence Documents (“Documents”) will be forwarded immediately upon the Effective Date of the Contract.



Financing Period (Please Check One)

☐ All Cash (No Financing Period) ☐ Financing: Purchaser shall have ten (10) days from the Effective Date of the Contract to apply for and obtain a financing commitment. In addition, Purchaser shall have 30 days from the expiration of the effective date of the contract to complete loan processing. Purchaser shall use its best efforts to secure and obtain a new first mortgage loan in the amount of $______________ on terms which are acceptable to Purchaser.

Closing Date (Please Check One)

☐ New Property: Within 10 Calendar Days after rent commencement and receipt of tenant estoppel. ☐ Existing Property Within 10 Calendar Days after the expiration of the Inspection Period (or Financing Period if applicable).

Closing Costs Seller shall pay for the transfer tax. Buyer shall pay for Title.

Purchaser and Seller shall each bear its own attorneys expenses. All other Closing Costs shall be split 50-50 between Buyer and Seller.

Property Condition Property is being sold “AS IS” with Seller making representations

or warranties concerning the property.

Contract within 10 days:

Within Ten (10) Calendar Days of the Effective Date of this Letter of Intent, Purchaser and Seller shall enter into a binding Contract (the “Contract”). Seller will Draft the Contract and Failure to reach an agreement will allow the Seller to consider this agreement void and accept offers from other parties.

Broker Commission Purchaser acknowledges that Purchaser has employed

________________________, (“Purchaser’s Brokers”) to represent them in this transaction. Any commissions due the Purchaser’s broker (if applicable) shall be paid by the Seller directly.

1031 Exchange Purchaser ☐ is / ☐ is not (check one) completing an IRS 1031

Tax Deferred Exchange, to which the Seller agrees to cooperate providing there is no cost or expense to Seller. Purchaser has $_____________ in an exchange account from a transaction which closed escrow on _____________. Purchaser will provide Seller, upon request, proof of such funds.

Confidentiality Purchaser and Purchaser’s agents and representatives hereby covenant with Seller that Purchaser and Purchaser’s agents and representatives shall not, without the prior written consent of Seller (which consent may be withheld in Seller’s sole and absolute discretion), disclose to any other person (other than Purchaser’s


accountants and attorneys) or entity by any means whatsoever: (i) any information pertaining to the Documents; (ii) any information pertaining to the Contract; or (iii) any information or documentation (written or oral) provided by Seller or Seller’s agents and representatives concerning Seller, Seller’s business, Tenant, Tenant’s business or the Property.

This Letter of Intent is contingent upon the prospective Purchaser’s willingness to execute Seller’s standard Purchase Agreement as well as review and approval of the details of the transaction proposed above by the appropriate principal parties of the Seller.

Please note that this Letter of Intent will be withdrawn if Purchaser has not received your acknowledgement by ________________ at 5:00 p.m. EST.

It is understood and agreed that the foregoing constitutes a Letter of Intent setting forth the major business points from our discussions. It is further understood that neither party intends to create any contractual rights or obligations as a result of entering into this Letter of Intent. No binding agreement or rights or obligations shall arise as the result of executing this letter or with respect to the proposed transactions, unless and until we execute definitive documentation incorporating the above provisions and other appropriate terms.

If the foregoing accurately reflects our discussions, please acknowledge same by returning a signed copy of this letter. Execution of this Letter of Intent by the undersigned agent in no way binds or obligates the Seller or any of its principals.

Agreed and Accepted | Purchaser By: _______________________________ Printed: ___________________________ Dated: ____________________________

Agreed and Accepted | Seller By: _______________________________ Printed: ___________________________ Dated: ____________________________