Christian Brothers - Beaumont, TX

BEAUMONT, TX

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONT

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. © 2015 Vitorino Group

PRICING & FINANCIAL ANALYSIS

CBAC - Beaumont

Lease summary

Lease Term 15 Years

Lease Commencement At Close of Escrow

Lease Expiration 15 Years from COE

Remaining Term 15 Years

Lease Type NNN

Roof & Structure Tenant

Increases 1.5% Starting in Yr 6

Options 5 x 10 Year

Options to Purchase No

Offering summary

Price $2,400,000

Cap Rate 6.25%

Net Operating Income $150,000

Year Built 2015

Gross Leasable Area 5,069 SF

Lot Size 0.96 AcresRepresentative Photo

annualized Operating data

Primary Term Annual Increase

Yrs 1-5: $150,000 -

Yr 6: $152,250 1.50%

Yr 7: $154,533 1.50%

Yr 8: $156,851 1.50%

Yr 9: $159,204 1.50%

Yr 10: $161,592 1.50%

Yr 11: $164,016 1.50%

Yr 12: $166,476 1.50%

Yr 13: $168,973 1.50%

Yr 14: $171,508 1.50%

Yr 15: $174,081 1.50%

Net OperatiNg iNcOme $150,000

6140 Delaware StreetBeaumont, TX 77706

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TENANT & LEASE INFORMATION

Christian Brothers Automotive was founded in 1982 because there was a void in the auto repair industry. Customer service and honest, genuine auto repair service was tough to find. They haven’t changed their focus in thirty years. They still have some of the original employees on board, and they still believe that it’s possible to provide the best auto repair service with the best customer service. In 2008, Christian Brothers announced a growth initiative that would take their brand to approximately 200 stores throughout the southeast, lower midwest and southwest United States by 2017.

tenant summary

Tenant Christian Brothers Automotive

Ownership Private

Market Cap See Agent For Details

Sales Volume See Agent For Details

Number of Locations 125+

Years In Business 30+ Years

Headquarters Houston, TX

Website www.cbac.com

nOtes:(1) Property will be available to close escrow on or after 5/28/2016

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INVESTMENT HIGHLIGHTS

• Long-Term Absolute Triple-Net Lease

• Zero Landlord Responsibility

• 15-Year Primary Term with Options up to 65 Years

• One and One-Half Percent Annual Rent Escalations

• Strong Corporate Guarantee

• Great Location on Beaumont’s Main Reatil Corridor

• Traffic Counts Along the Nearest Intersection are Over 25,000 Vehicles Per Day

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5This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. © 2015 Vitorino Group

CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTELEVATION

Note: this is the generic evelation plan for a typical Christian Brothers Automotive location. Actual subject property may vary depending on location.

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTSITE PLAN

Note: this is the generic site plan for all Christian Brothers Automotive locations. Actual subject property may vary depending on location.

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTAERIAL MAP

Parksdale Mall

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTLOCAL MAP

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTREGIONAL MAP

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTMARKET SUMMARY

BEAUMONT, TX

Beaumont is located in southeast Texas along the Texas/Louisiana border, near the Gulf of Mexico and about 90 miles from Houston. Locals commonly refer to this area as the Golden Triangle, referencing the larger cities in our region - Beaumont, Port Arthur and Orange. Smaller cities include Port Neches, Nederland, Groves, Vidor and Bridge City.

Beaumont is the birthplace of Spindletop, the largest oil discovery in Texas, that jumpstarted Texas’ transformation into a major petroleum producer and industrial power.

Beaumont is home of Lamar University, a national Carnegie Doctoral Research university. Home to more than 14,000 students, Lamar University sits on a 270-acre campus just a short drive from Beaumont’s downtown museum and entertainment district. Lamar University offers more than 100 programs of study leading to bachelor’s, master’s and doctoral degrees.

Over the years, several corporations have called Beaumont home. For example, Gulf States Utilities

had its headquarters in Beaumont until its absorption by Entergy Corporation in 1993. GSU’s Edison Plaza headquarters is still the tallest building in Beaumont (as of 2011). With Spindletop, several energy companies developed in Beaumont, and some continue.

A significant element of the region’s economy is the Port of Beaumont, the nation’s fourth largest seaport by tonnage. The 842d Transportation Battalion, and the 596th Transportation Group are both stationed at the port in Beaumont.

In addition to companies doing business within the city limits, several large industrial facilities are located within the city’s five mile extraterritorial jurisdiction boundaries including the ExxonMobil Beaumont refinery and chemical plants, Goodyear Beaumont chemical plant, and DuPont chemical plant. Jason’s Deli has its headquarters in Beaumont.

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTDEMOGRAPHIC SUMMARY

Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri Forecasts for 2015 and 2020. Esri converted Census 2000 data into 2010 geography.

Geography: 10 Miles

pOpulatiON

In the identified area, the current year population is 144,906. The five-year projection for the population in the area is 147,777 representing a change of 1.98% from 2015 to 2020. Currently, the population is 48.6% male and 51.4% female. The median age in this area is 36.9, compared to U.S. median age of 37.9.

HOuseHOlds There are currently 56,461 households in your selected geography. The number of households has changed by 5.47% since 2000. It is estimated that the number of households in your area will be 57,665 five years from now, which represents a change of 2.23 % from the current year. The average household size in your area is 2.50 persons.

iNcOme In 2015, the median household income for your selected geography is $42,299, compare this to the Entire US average which is currently $53,217. It is estimated that the median household income in your area will be $49,538 five years from now, which represents a change of 17.11% from the current year.

The current year per capita income in your area is $24,542, compare this to the Entire US average, which is $28,597. The current year average household income in your area is $61,681 compare this to the Entire US average which is $74,699.

race aNd etHNicity The current year racial makeup of your selected area is as follows: 47.2% White, 39.8% Black, 0.6% Native American and 3.3% Asian/Pacific Islander. Compare these to Entire US averages which are: 71.60% White, 12.70% Black, 0.18% Native American and 5.02% Asian/Pacific Islander.

People of Hispanic origin are counted independently of race. People of Hispanic origin make up 13.9% of the current year population in your selected area. Compare this to the Entire US average of 17.6%.

HOusiNg In 2015, there were 14,428 owner occupied housing units in your area and there were 6,799 renter occupied housing units in your area. Median home value in the area is $135,994.

emplOymeNt In 2015, there are 60,407 employees in your selected area, this is also known as the daytime population. Currently 62.5% of employees are employed in white-collar occupations in this geography, and 19.7% are employed in blue-collar occupations. In 2014, unemployment in this area is 5.4%. In 2015, the average time traveled to work was 15 to 19 minutes.

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CHRISTIAN BROTHERS AUTOMOTIVE - BEAUMONTDEMOGRAPHIC STATISTICS

traffic cOunts

incOme 3 mile 5 miles 10 miles

$ 0 - $14,999 14.1% 17.4% 18.6%

$ 15,000 - $24,999 11.7% 13.0% 13.1%

$ 25,000 - $34,999 10.5% 11.2% 11.3%

$ 35,000 - $49,999 12.3% 12.1% 12.4%

$ 50,000 - $74,999 17.0% 15.9% 15.4%

$ 75,000 - $99,999 11.9% 10.9% 10.7%

$100,000 - $149,999 13.8% 11.9% 12.1%

$150,000 - $199,999 4.4% 3.8% 3.2%

$200,000 + 4.5% 3.8% 3.1%

2015 Median Household Income $51,548 $44,420 $42,299

2015 Per Capita Income $30,336 $26,537 $24,542

2015 Average Household Income $71,657 $64,986 $61,681

pOpulatiOn 3 mile 5 miles 10 miles

2000 Population 53,817 89,070 142,141

2010 Population 58,794 93,118 145,236

2015 Population 60,224 94,742 144,906

2020 Population 61,609 96,534 147,777

HOuseHOlds 3 mile 5 miles 10 miles

2000 Households 22,792 35,567 53,532

2010 Households 24,787 37,561 55,186

2015 Households 25,461 38,384 56,461

2020 Households 26,050 39,143 57,665

2015 Average Household Size 2.34 2.44 2.50

2000 Owner Occupied Housing Units 14,255 21,925 34,059

2000 Renter Occupied Housing Units 8,536 13,642 19,473

2000 Vacant 1,589 3,279 5,356



2015 Vacant 2,667 4,690 7,092



2020 Vacant 2,688 4,840 7,401

25,450

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 Vitorino Group and it should not be made available to any other person or entity without the written consent of Vitorino Group. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to Vitorino Group.

This offering memorandum has been prepared to provide summary, unverified financial and physical 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. Vitorino Group has not made any investigation, and makes no warranty or representation with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this offering memorandum has been obtained from sources we believe to be reliable; however, Vitorino Group has not verified, and will not verify, any of the information contained herein, nor has Vitorino 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. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT THE VITORINO GROUP AGENT FOR MORE DETAILS.

CONFIDENTIALITY AGREEMENT

Vitorino Group hereby advises all prospective purchasers of Net Leased property as follows:

The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, the Vitorino Group has not and will not verify any of this information, nor has the Vitorino Group conducted any investigation regarding these matters. The Vitorino Group makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.

As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. The Vitorino Group expressly denies any obligation to conduct a due diligence examination of this Property for Buyer.

Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs.

Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the property.

By accepting this Marketing Brochure you agree to release The Vitorino Group and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.

Net Lease Disclaimer

Before working with a real estate broker, you should know that the duties of a broker depend on whom the broker represents. If you are a prospective seller or landlord (owner) or a prospective buyer or tenant (buyer), you should know that the broker who lists the property for sale or lease is the owner’s agent. A broker who acts as a subagent represents the owner in cooperation with the listing broker. A broker

who acts as a buyer’s agent represents the buyer. A broker may act as an intermediary between the parties if the parties consent in writing. A broker can assist you in locating a property, preparing a contract or lease, or obtaining financing without representing you. A broker is obligated by law to treat you honestly.

IF THE BROKER REPRESENTS THE OWNER:The broker becomes the owner’s agent by entering into an agreement with the owner, usually through a written - listing agreement, or by agreeing to act as a subagent by accepting an offer of subagency from the listing broker. A subagent may work in a different real estate office. A listing broker or subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first. The buyer should not tell the owner’s agent anything the buyer would not want the owner to know because an owner’s agent must disclose to the owner any material information known to the agent.

IF THE BROKER REPRESENTS THE BUYER:The broker becomes the buyer’s agent by entering into an agreement to represent the buyer, usually through a written buyer representation agreement. A buyer’s agent can assist the owner but does not represent the owner and must place the interests of the buyer first. The owner should not tell a buyer’s agent anything the owner would not want the buyer to know because a buyer’s agent must disclose to the buyer any material information known to the agent.

IF THE BROKER ACTS AS AN INTERMEDIARY:A broker may act as an intermediary between the parties if the broker complies with The Texas Real Estate License Act. The broker must obtain the written consent of each party to the transaction to act as an

Approved by the Texas Real Estate Commission for Voluntary Use Texas law requires all real estate licensees to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords.

Real estate licensee asks that you acknowledge receipt of this information about brokerage services for the licensee’s records.

Information About Brokerage Services

intermediary. The written consent must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker’s obligations as an intermediary. The broker is required to treat each party honestly and fairly and to comply with The Texas Real Estate License Act. A broker who acts as an intermediary in a transaction:

With the parties’ consent, a broker acting as an intermediary between the parties may appoint a person who is licensed under The Texas Real Estate License Act and associated with the broker to communicate with and carry out instructions of one party and another person who is licensed under that Act and associated with the broker to communicate with and carry out instructions of the other party.

If you choose to have a broker represent you, you should enter into a written agreement with the broker that clearly establishes the broker’s obligations and your obligations. The agreement should state how and by whom the broker will be paid. You have the right to choose the type of representation, if any, you wish to receive. Your payment of a fee to a broker does not necessarily establish that the broker represents you. If you have any questions regarding the duties and responsibilities of the broker, you should resolve those questions before proceeding.

(1) shall treat all parties honestly;(2) may not disclose that the owner will accept a price less than the asking price unless authorized in writing to do so by the owner;(3) may not disclose that the buyer will pay a price greater than the price submitted in a written offer unless authorized in writing to do so by the buyer; and(4) may not disclose any confidential information or any information that a party specifically instructs the broker in writing not to disclose unless authorized in writing to disclose the information or required to do so by The Texas Real Estate License Act or a court order or if the information materially relates to the condition of the property.

exclusively listed

469.844.8880 | VITORINOGROUP.COM

Christian Brothers - Beaumont, TX

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