ANDY'S FROZEN CUSTARD 20 YR. ABSOLUTE NETimages4.loopnet.com/d2/QNLKFX2-GBV93D_E2d4CIAP1S5...SVN |...

SVN | Rankin Company, LLC | 2808 S. Ingram Mill, Suite A100, Springfield, MO 65804 SALE BROCHURE

ANDY'S FROZENCUSTARD 20 YR.ABSOLUTE NET3541 PLANO PKWYTHE COLONY, TX 75056

Lee McLean III, CCIMSenior [email protected]

Peter ColvinCouncil Chair of Single [email protected]

ANDY'S FROZEN CUSTARD ABSOLUTE NET | 3541 PLANO PKWY THE COLONY, TX 75056 SVN | Rankin Company, LLC |

OFFERING SUMMARY

Sale Price: $1,175,000

Sale Type: Leasehold Interest

Cap Rate: 7.5%

Lease Type: Absolute Net

Building Size: 1,168 SF

Leased Land: Yes (not included)

Lot Size: 32,433 SF

Annual Rent Increase: 1.5%

Leased Through: November 30, 2036

Market: The Colony, TX

Submarket: North Dallas, TX

The SVN Colvin Team and SVN Rankin are excited to offer this very attractive and affordable Texas investment property inthe fast-growing North Dallas Suburban area of Lewisville/The Colony. This sharp looking building was completed in late2016 for Andy’s Frozen Custard. The lease is for 20 years, is absolute triple net and has annual rent increases! The tenantis an experienced Andy’s franchisee.

This opportunity offers an advantage to deduct more depreciation expense than a regular fee simple property does asyou are buying just the building. You can depreciate 100% of your cost, giving you more of a tax shelter on your cashflow. The underlying land lease is paid for by the tenant and co-terminous with the Andy’s lease and renewals.

PROPERTY OVERVIEW

This beautiful new building has a valuable drive through window lane and is located in the primary retail cluster,surrounded by Panera, Taco Bell, Cheddar's, 7-Eleven and many more national retailers.

Andy's Frozen Custard is considered to be largest dessert-only franchise in the world! Andy's can now be found in 10states, and has more than 50 locations open with several more under construction.

LOCATION OVERVIEW

Property Summary

ANDY'S FROZEN CUSTARD ABSOLUTE NET | 3541 PLANO PKWY, THE COLONY, TX 75056 SVN | Rankin Company, LLC |

The SVN Colvin Team and SVN Rankin are excited to offer this very attractive and affordable Texasinvestment property in the fast-growing North Dallas Suburban area of Lewisville/The Colony.This sharp looking building was completed in late 2016 for Andy’s Frozen Custard. The lease is for 20years, is absolute triple net and has annual rent increases! The tenant is an experienced Andy’sfranchisee.

This opportunity offers an advantage to deduct more depreciation expense than a regular fee simpleproperty does as you are buying just the building. You can depreciate 100% of your cost, giving you moreof a tax shelter on your cash flow. The underlying land lease is paid for by the tenant and co-terminouswith the Andy’s lease and renewals.

PROPERTY OVERVIEW

This beautiful new building has a valuable drive through window lane and is located in the primary retailcluster, surrounded by Panera, Taco Bell, Cheddar's, 7-Eleven and many more national retailers.

Andy's Frozen Custard is considered to be largest dessert-only franchise in the world! Andy's can now befound in 10 states, and has more than 50 locations open with several more under construction.

LOCATION OVERVIEW

Property Description


Exterior Photos


Neighborhood Businesses


Assessor's Map

INVESTMENT OVERVIEW

Price $1,175,000Annual Rent Increases 1.5%CAP Rate 7.5%Cash-on-Cash Return (yr 1) 8.54%Term Remaining on Initial Lease 19 yearsLease Structure Absolute Net

OPERATING DATA

Gross Scheduled Income $88,133Other Income $0Vacancy Cost $0Gross Income $88,133Operating Expenses $0Net Operating Income $88,133

FINANCING DATA

Down Payment $235,000Loan Amount $940,000Debt Service, Annual $68,058Debt Service Monthly $5,671Principal Reduction (yr 1) $31,493

*All investment figures based upon Lease Year 2 which commences December 1, 2017


Financial Summary


POPULATION 1 MILE 5 MILES 10 MILES

Total population 4,454 182,873 812,171

Median age 32.4 34.8 35.1

Median age (male) 31.3 34.5 34.4

Median age (Female) 34.3 35.1 35.7

HOUSEHOLDS & INCOME 1 MILE 5 MILES 10 MILES

Total households 1,604 72,330 322,430

# of persons per HH 2.8 2.5 2.5

Average HH income $102,133 $110,859 $97,327

Average house value $601,002 $363,161 $269,571

* Demographic data derived from 2010 US Census

Demographics Map

1 MILE 5 MILES 10 MILES

Total population 4,454 182,873 812,171

Median age 32.4 34.8 35.1

Median age (male) 31.3 34.5 34.4

Median age (female) 34.3 35.1 35.7

Total households 1,604 72,330 322,430

Total persons per HH 2.8 2.5 2.5

Average HH income $102,133 $110,859 $97,327

Average house value $601,002 $363,161 $269,571

* Demographic data derived from 2010 US Census


Demographics Report

Location Maps


2808 S. Ingram Mill, Suite A100Springfield, MO 65804T 417.887.8826C [email protected]

PROFESSIONAL BACKGROUND

Lee McLean III, CCIM has had a passion for commercial real estate for as long as he can remember. After attendingDrury University Lee immediately followed that passion into the industry. He has an extensive understanding of realestate development having worked as a key decision maker for McLean Enterprises, Inc, a family owned commercial &residential real estate development company. McLean Enterprises, Inc. has developed hotels, shopping centers andother commercial properties all over the United States. During his time there he managed the company portfolio, salesactivity as well as the ground-up development of commercial and residential subdivisions.

When Lee moved his focus to the brokerage side of the business he was the primary brokerage associate for PlazaRealty & Management Services, Inc. which is the commercial real estate and management arm of the John Q. HammonsCompanies. During his time in brokerage he has gained expertise in retail, office, industrial and commercial landproperties with a determination to add value for all of his clients. Lee maintains an emphasis in investment real estateincluding the sale of multifamily properties. Lee holds the Certified Commercial Investment Member (CCIM) designationwhich focuses on the investment segment of the commercial real estate industry.

Lee works with buyers, sellers, landlords & tenants in the local market as well as national corporate and franchisecompanies. A dedication for win-win negotiation and representation has allowed Lee to become a local expert inworking for and partnering with some of the largest companies and brokerage firms in the country including CBRE andothers. Some previous clients and customers include US Postal Service, Simmons National Bank, Ripley's Believe It orNot, Penn Station Subs, US Federal Properties Co., Cargill, KraftHeinz Co. and many more.

EDUCATION

Drury UniversityCCIM Institute

MEMBERSHIPS & AFFILIATIONS

• Certified Commercial Investment Member (CCIM)• National Association of Realtors• Springfield Business Journal 40 Under 40 Recipient (2014)• Springfield Chamber of Commerce• Children’s Foundation of Mid-America Board of Directors• Optimist Club International (Past President, local chapter)

LEE MCLEAN III, CCIM

Senior Advisor


Advisor Bio

580 Cascade West Parkway, S.E.Grand Rapids, MI 49546T 616.893.1398C [email protected]

PROFESSIONAL BACKGROUND

Peter and his son Chris have built a very strong national practice helping people buy and sell quality single tenantinvestment real estate leased long term to strong tenants.

Peter serves as the Chairman of the National Single Tenant Group for SVN. He is consistently one of the “Top 10 Advisorsin America” for the company out of 1600 + Advisors.

Peter has over 10 years of investment real estate experience and has completed nearly two billion dollars intransactions.

Peter specializes in 1031 Exchanges. He helps clients exchange their management intensive properties into safe, longterm "mailbox" money passive investments. His SVN Teammates count on Peter to handle their clients' 1031's as well.

Peter hosts The National Single Tenant Call and has been a featured speaker at national conferences and events.

Peter has won numerous local, regional, and national awards, including The CoStar Power Broker Award and The PartnerCircle Award (SVN's highest honor) for many consecutive years. He was voted The SVN Team Player of the Year for backto back years.

Peter and Chris helped create "The Dollar General Fund" which owns new NNN leased Dollar Generals that investors canpurchase units in for long term cash flow.

Peter and Chris co-founded “Easy Leasebacks" which has become a very popular vehicle for growing companies to usereal estate equity to creatively fund their growth.

Colvin earned degrees in business and music from Aquinas College in Grand Rapids, Michigan, where he resides with hiswife, Deb and sons. He enjoys going on adventures with his cool wife Deb, playing football with his college middlelinebacker Cody and playing tennis and growing the business with his son Chris.

EDUCATION

Degrees in Business and Music from Aquinas College in Grand Rapids MI.

PETER COLVIN

Council Chair Of Single Tenant Investments


Advisor Bio & Contact 2


The material contained in this Offering Brochure is furnished solely for the purpose of considering the purchase of the property within and is not to be usedfor any other purpose. This information should not, under any circumstances, be photocopied or disclosed to any third party without the written consent ofthe SVN® Advisor or Property Owner, or used for any purpose whatsoever other than to evaluate the possible purchase of the Property.

The only party authorized to represent the Owner in connection with the sale of the Property is the SVN Advisor listed in this proposal, and no other person isauthorized by the Owner to provide any information or to make any representations other than contained in this Offering Brochure. If the person receivingthese materials does not choose to pursue a purchase of the Property, this Offering Brochure must be returned to the SVN Advisor.

Neither the SVN Advisor nor the Owner make any representation or warranty, express or implied, as to the accuracy or completeness of the informationcontained herein, and nothing contained herein is or shall be relied upon as a promise or representation as to the future representation of the Property. ThisOffering Brochure may include certain statements and estimates with respect to the Property. These Assumptions may or may not be proven to be correct,and there can be no assurance that such estimates will be achieved. Further, the SVN Advisor and the Owner disclaim any and all liability for representationsor warranties, expressed or implied, contained in or omitted from this Offering Brochure, or any other written or oral communication transmitted or madeavailable to the recipient. The recipient shall be entitled to rely solely on those representations and warranties that may be made to it in any final, fullyexecuted and delivered Real Estate Purchase Agreement between it and Owner.

The information contained herein is subject to change without notice and the recipient of these materials shall not look to Owner or the SVN Advisor nor anyof their officers, employees, representatives, independent contractors or affiliates, for the accuracy or completeness thereof. Recipients of this OfferingBrochure are advised and encouraged to conduct their own comprehensive review and analysis of the Property.

This Offering Brochure is a solicitation of interest only and is not an offer to sell the Property. The Owner expressly reserves the right, at its sole discretion, toreject any or all expressions of interest to purchase the Property and expressly reserves the right, at its sole discretion, to terminate negotiations with anyentity, for any reason, at any time with or without notice. The Owner shall have no legal commitment or obligation to any entity reviewing the OfferingBrochure or making an offer to purchase the Property unless and until the Owner executes and delivers a signed Real Estate Purchase Agreement on termsacceptable to Owner, in Owner’s sole discretion. By submitting an offer, a prospective purchaser will be deemed to have acknowledged the foregoing andagreed to release the Owner and the SVN Advisor from any liability with respect thereto.

To the extent Owner or any agent of Owner corresponds with any prospective purchaser, any prospective purchaser should not rely on any suchcorrespondence or statements as binding Owner. Only a fully executed Real Estate Purchase Agreement shall bind the property and each prospectivepurchaser proceeds at its own risk.

Disclaimer

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