Heritage Crossing

Olathe, Kansas

Offered Exclusively By:

800 East 101st Terrace, Suite 120

Kansas City, Missouri 64131

(816) 251-4600

Robert Heise

Principal Owner/Agent

CONFIDENTIALITY AND CONDITIONS

The information contained in this offering material (“Brochure”) is confidential, furnished solely for the

purpose of a review by a prospective purchaser of the Heritage Crossing building and pads (“Property”)

and is not to be used for any other purpose or made available to any other person without the express

written consent of Heise-Meyer, L.L.C. (“Heise-Meyer”).

This Brochure was prepared by Heise-Meyer and has been reviewed by KC Road Partners, LP

(“Owner”). It contains selected information pertaining to the Property and does not purport to be all-

inclusive or to contain all of the information which a prospective purchaser may desire. All financial

projections are provided for general reference purposes only and are based on assumptions relating to the

general economy, competition, and other factors beyond control and, therefore, are subject to material

change or variation. Prospective purchasers should make their own projections and conclusions without

reliance upon material contained herein. An opportunity to inspect the Property will be made available to

qualified prospective purchasers.

In this Brochure, certain documents, including leases and other materials, are described in summary

form. The summaries do not purport to be complete nor, necessarily, accurate descriptions of the full

agreements involved, nor do they constitute a legal analysis of such documents. Interested parties are

expected to independently review all documents.

This Brochure is subject to prior placement, errors, omissions, changes or withdrawal without notice and

does not constitute a recommendation, endorsement or advice as to the value of the Property by Heise-

Meyer or the Owner. Each prospective purchaser is to rely upon its own investigation, evaluation and

judgment as to the condition of the Property and advisability of purchasing the Property described herein,

including engineering and environmental inspections to determine the existence of potentially hazardous

materials used in the construction or maintenance of the building or located at the site.

Owner and Heise-Meyer expressly reserve the right, at their sole discretion, to reject any or all

expressions of interest or offers to purchase the Property and/or to terminate discussions with any party

at any time with or without notice. Owner shall have no legal commitment or obligation to any purchaser

reviewing this Brochure or making an offer to purchase the Property unless a written agreement for the

purchase of the Property has been fully executed, delivered, and approved by the Owner and any

conditions to Owner’s obligations thereunder have been satisfied or waived. Heise-Meyer is not

authorized to make any representations or agreements on behalf of Owner.

This Brochure is the property of Heise-Meyer and may be used only by parties approved by Heise-Meyer.

The Property is privately offered and, by accepting this Brochure, the party in possession hereof agrees

(i) to return it to Heise-Meyer immediately upon request of Heise-Meyer or Owner and (ii) that this

Brochure and its contents are of a confidential nature and will be held and treated in the strictest

confidence. No portion of this Brochure may be copied or otherwise reproduced or disclosed to anyone

without the prior written authorization of Heise-Meyer and Owner.

The terms and conditions set forth above apply to this Brochure in its entirety.

HERITAGE CROSSING, OLATHE, KANSAS

Aerial from the North

JohnsonCounty

Government Plaza

SantaFe MiddleSchool

OlatheNorth HighSchool

OlatheCommunityCenter

FarmersMarketKC

HarleyDavidson

Olathe East HighSchoolOlatheNorthWest HighSchool

ShoppingTarget -Home Depot - Best Buy - Joe’s BBQ

John Deere

Colleg

e Blvd

119thSt

119thSt

127thSt

HaroldSt

135thSt

SantaFeSt

KansasCityRd

RidgeviewRd

Renner Blvd

Aerial From the South

Shopping

Target -Home Depot

Olathe MunicipalCourt

RidgeviewElementary

JohnsonCountyCourtHouse

JohnsonCountyCourtServicesOlatheCityCouncilOlatheCourtServices

Garmin OlatheSouth HighSchool

151st St

E Old 56Hwy

SantaFeSt135thSt

RidgeviewRd

Harrison

St

KansasCity

Rd

151st St

TERMS OF SALE Offers Should Include:

Price

Earnest Money Deposit

Due Diligence Period

Contingencies

Purchaser References

Sources of Funds (Equity & Debt)

Closing Period Offering Price: No Asking Price Offering Procedure: Owner and Heise-Meyer, LLC will assess the qualifications of any party submitting a non-binding letter of intent in accordance with Owner’s objectives. In making this assessment, consideration will be given to a number of facors, including, but not limited to, price, timing of closing and the perceived ability of the investor to complete the transaction. Investor Rationale:

Olathe has continued growing population

Solid mix of multiple tenants

Strong in-fill neighborhood location

MARKET OVERVIEW Kansas City MSA Shopping Center Retail -source CoStar Q2 2015 Q2 2016 %Change Total GLA (sf) 113,755,211 113,324,221 -0.38% Avg Lease Rate $12.40 $12.56 1.29% Avg Occ. Rate 92.4% 93.1% 0.7% Kansas City Home Sale Price – source Kansas City Regional Association of Realtors

June 2015 2016 %Change

Cass County 180,171 233,493 30

Clay County 189,248 198,565 5

Jackson County 170,406 185,339 9

Platte County 238,174 259,869 9

Johnson County 293,205 314,412 7

Leavenworth County 198,579 192,180 -3

Miami County 215,0952 207,857 -3

Wyandotte County 112,748 149,083 32

Kansas City Region 212,129 228,951 8

Residential Building Permits – source Home Builders Association of Greater KC

June 2015 2016 %Change

Cass County 126 256 103

Clay County 785 673 -14

Jackson County 715 1,157 62

Platte County 202 610 202

Johnson County 1,592 1,704 7

Leavenworth County 107 127 19

Miami County 65 46 -29

Wyandotte County 84 117 39

Kansas City Region 2,148 2,793 30

GENERAL PROJECT DESCRIPTION Heritage Crossing is a redevelopment center in the City of Olathe. It is a 10 acre project that is 100% leased, 26,750 square foot building and approximately 5.6 acres of developed lots. It is a very well located in-fill area centrally located between numerous schools, employers and residences. Public and private investments have and will continue to validate this location for tenants over the long term. The shadow anchor to our project is the $22 million Olathe Community Center, aquatics, gym and meeting center across the street from our project. It is serving approximately 400,000 people every year.

http://www.olatheks.org/parksrec/communitycenter Other notable capital investments in the area include:

Mahaffie Farmstead Museum

Johnson County Court Services (the old Dillon store)

Raising of the BNSF RR through downtown Olathe

City investment in “Santa Fe hardscaping” from I-35 to downtown Olathe

Hy-Vee (and other retailers) at 119th & Ridgeview

The new 127th Street overpass Heritage Crossing is also located at the epicenter of Olathe employers and Olathe high schools:

Garmin headquarters straight south at 151st street

Sysco Foods ½ mile north along KC Road – 1,000 employees

Farmers insurance straight north at 119th street & Renner

Corporate Ridge Office Park – Ridgeview & K-10 o John Deere o Terracon o NBRC/AMP o Healthridge Fitness

Approximately 2,000 City/County employees are located straight west in downtown Olathe.

Olathe North High School is 3 blocks to the west on KC Road

Olathe South High School is at 151st & Ridgeview to the south

Olathe East High School is east at 127th & Blackbob

Olathe Northwest High School at College & Lone Elm

Olathe West High School is located at 135th & Hedge

FINANCIAL INFORMATION

Building A-2, a 26,750 SF neighborhood center, is 100% leased. It generates approximately $415,000 in annual NOI (Rent Roll is attached)

Pads A-3 thru A-6 represents 5.67 acres of developed pad sites ready for vertical development.

Pad A-1 is a fully developed pad site with the parking lot already constructed and the pad ready for construction.

The TIF (through December 2028) currently reimburses the developer approximately $38,000/year.

DMV has a substantial rent increase in October of 2016 and has indicated they would be willing to extend their lease for five years.

TIF INFORMATION Heritage Crossing secured a $3,160,000 tax increment financing agreement (TIF) with the City of Olathe. All real estate taxes except for school funds over and above the original tax base and 0.5% sales taxes generated within the district are reimbursed back to KC Road Partners, LP to pay off the $3,160,000 TIF. This agreement with the City of Olathe provides a substantial amount of security to the overall project.

The TIF term expires 12/31/2028. The City of Olathe will consider another TIF term on the 5.6 acres (pads A-3 thru A-6)upon completion of the next project.

All taxes generated over and above approximately $23,938 are reimbursed to developer

0.5% of all sales taxes generated in the project are reimbursed to the developer

All interest paid under the TIF loan is also reimbursable to developer

AVAILABLE DOCUMENTS For serious inquires and execution of a confidentiality agreement, the following documents are available and can be sent PDF via e-mail or hard copy upon request:

TIF Redevelopment Agreement and Amendment with the City of Olathe and KC Road Partners, LP

Copies of Leases

Building A-2 construction documents

PROPERTY SUMMARY

Location:

700 North Ridgeview, Olathe, Kansas

Total Land Area: 10 acres (approximate)

Parcels: (see site plan on next page)

A-1 1.5 +/- acre pad with parking built A-2 26,750 square feet leased building A-3 thru A-6 5.6 acres of pad sites

Occupancy: Building A-2 100% multi-tenant occupied

Lease Type: Triple net. Landlord responsible for roof and structure. Tenants P 1/12 the est CAM/Tax/Ins each month

Zoning: CP-2

Construction Type: Architectural concrete and steel

Year Built: 2007

Utilities:

All utilities serve the building. Power: 3 phase, 400 amps, 208/120

Fire Protection: Building is sprinklered

HVAC: All leased spaces have their own rooftop unit(s)

Condition: The Property is in first class condition.

Landscaping: Property is landscaped with shrubs and trees.

Roof:

Single Membrane TPO