Offering Memorandum

HERTZ3390 Harrison Ave • Beaumont, TX 77706

N O N - E N D O R S E M E N T A N D D I S C L A I M E R N O T I C E

Confidentiality and DisclaimerThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap Real

Estate Investment Services, Inc. ("Marcus & Millichap") and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing

Brochure has been prepared to provide summary, unverified 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. Marcus & Millichap 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, PCB's or asbestos, the compliance with 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 Marketing

Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has

Marcus & Millichap 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. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate

Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.

THE TEXAS REAL ESTATE COMMISSION (TREC) REGULATES REAL ESTATE BROKERS AND SALES AGENTS, REAL ESTATE INSPECTORS,HOME WARRANTY COMPANIES,

EASEMENT AND RIGHT-OF-WAY AGENTS AND TIMESHARE INTEREST PROVIDERS. YOU CAN FIND MORE INFORMATION AND CHECK THE STATUS OF A LICENSE HOLDER AT

WWW.TREC.TEXAS.GOV. YOU CAN SEND A COMPLAINT AGAINST A LICENSE HOLDER TO TREC. A COMPLAINT FORM IS AVAILABLE ON THE TREC WEBSITE. TREC ADMINISTERS

TWO RECOVERY FUNDS WHICH MAY BE USED TO SATISFY A CIVIL COURT JUDGMENT AGAINST A BROKER, SALES AGENT, REAL ESTATE INSPECTOR, OR EASEMENT OR RIGHT-

OF-WAY AGENT, IF CERTAIN REQUIREMENTS ARE MET. IF YOU HAVE QUESTIONS OR ISSUES ABOUT THE ACTIVITIES OF A LICENSE HOLDER, THE COMPLAINT PROCESS OR THE

RECOVERY FUNDS, PLEASE VISIT THE WEBSITE OR CONTACT TREC AT:

TEXAS REAL ESTATE COMMISSION

P.O. BOX 12188

AUSTIN, TEXAS 78711-2188

(512) 936-3000

Non-Endorsement NoticeMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporations logo or name

is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or

commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.

PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

HERTZ

Beaumont, TX

ACT ID ZAA0280420

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N E T L E A S E D D I S C L A I M E R

Marcus & Millichap 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, Marcus & Millichap has not and will

not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap 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. Marcus &

Millichap 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 Marcus & Millichap Real Estate Investment Services 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.

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TABLE OF CONTENTS

SECTION

INVESTMENT OVERVIEW 01Offering Summary

Location Overview

Regional and Local Map

Aerial Photo

FINANCIAL ANALYSIS 02Acquisition Financing

MARKET OVERVIEW 03Market Analysis

Demographic Analysis

HERTZ

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HERTZ

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INVESTMENT

OVERVIEW

OFFERING SUMMARY

Price $549,642

Net Operating Income $38,475

Capitalization Rate – Current 7.00%

Price / SF $743.76

Rent / SF $52.06

Lease Type NN

Gross Leasable Area 739 SF

Year Built / Renovated 2018

Lot Size 0.57 acre(s)

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EXECUTIVE SUMMARY

OFFERING SUMMARY

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FINANCING

Down Payment All Cash

Net Cash Flow 7.00% / $38,475

Cash on Cash Return 7.00%

Total Return 7.00% / $38,475

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OFFERING SUMMARY

MAJOR EMPLOYERS

EMPLOYER# OF EMPLOYEES

*

Texas Home Health America LP 5,540

CB&i LLC 2,875

Baptistal Hospital of SE Texas 1,700

Memorial Hermann Baptist Beaum 1,620

Beaumont Refinery 1,392

Dawson Marine Inc 1,000

Beaumont State Center 750

Sanserve 712

JEFFERSON COUNTY 600

Walmart 600

Education Futures Group LLC 596

Lamar University-Beaumont 576

DEMOGRAPHICS

1-Miles 3-Miles 5-Miles

2018 Estimate Pop 8,292 64,827 112,295

2010 Census Pop 8,456 64,491 111,477

2018 Estimate HH 3,587 25,877 43,942

2010 Census HH 3,695 25,853 43,757

Median HH Income $49,600 $44,692 $45,015

Per Capita Income $34,029 $28,479 $26,807

Average HH Income $78,306 $70,849 $67,841

* # of Employees based on 5 mile radius

HERTZ

OFFERING SUMMARY

Renovated in 2018

Corporate Guarantee

24 Parking Spaces Available

2% Yearly Rent Increases

Proximity to Multiple Hotel Chains

Settled on 0.57 Acre Lot

INVESTMENT HIGHLIGHTS

Marcus & Millichap is pleased to exclusively list a single tenant building occupied by Hertz Rent A Car and located in Beaumont

(Jefferson County), Texas. Hertz is located at 3390 Harrison Avenue, directly off of Route 10. Currently operating on a 5 year NN

Lease, the approximately 739 square foot building is within proximity to multiple national retailers, eateries and hotel chains.

Beaumont is a city in and the county seat of Jefferson County, Texas, in the United States,[5] within the Beaumont Port Arthur

Metropolitan Statistical Area. Beaumont had a population of 117,267 at the time of the 2010 census, making it the 30th most

populated city in the state of Texas. Beaumont is home of Lamar University, a national Carnegie Doctoral Research university

with 14,966 students, including undergraduates and post graduates. Over the years, several corporations have been based in

this city, including Gulf States Utilities which had its headquarters in Beaumont until its takeover by Entergy Corporation in 1993.

GSU's Edison Plaza headquarters remains the tallest building in Beaumont

INVESTMENT OVERVIEW

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HERTZ

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INVESTMENT

OVERVIEW

12

TENANT PROFILES

HERTZ

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Hertz

The Hertz Corporation, a subsidiary of Hertz Global Holdings Inc., is an

American car rental company based in Estero, Florida that operates 10,200

corporate and franchisee locations internationally. As the second-largest US

car rental company by sales, locations, and fleet size, Hertz operates in 150

countries, including North America, Europe, Latin America, Africa, Asia,

Australia, the Caribbean, the Middle East, and New Zealand.[2] The Hertz

Corporation owns Dollar and Thrifty Automotive Group

General Information

Tenant Name Hertz

Website https://www.hertz.com/rentacar/reservation/

Parent Company N/A

Headquartered Estero, FL

Rentable Square Feet 739 SF

Percentage of RBA 100.00%

Lease Commencement 2/1/2018

Lease Expiration 1/31/2023

No. of Locations 10,200+

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CLOSE PROXIMITY TO:

3390 Harrison Ave, Beaumont, TX 77706

Renovated in 2018

Corporate Guarantee

24 Parking Spaces Available

2% Yearly Rent Increases

Proximity to Multiple Hotel Chains

Settled on 0.57 Acre Lot

Beaumont is a city in and the county seat of

Jefferson County, Texas, in the United

States,[5] within the Beaumont Port Arthur

Metropolitan Statistical Area. Beaumont had a

population of 117,267 at the time of the 2010

census, making it the 30th most populated city

in the state of Texas. Beaumont is home

of Lamar University, a

national Carnegie Doctoral Research university

with 14,966 students, including undergraduates

and post graduates. Over the years, several

corporations have been based in this city,

including Gulf States Utilities which had its

headquarters in Beaumont until its takeover

by Entergy Corporation in 1993. GSU's Edison

Plaza headquarters remains the tallest building

in Beaumont

LOCATION OVERVIEWTENANT SUMMARYPRICING AND VALUATION MATRIX

PROPERTY NAMEHERTZ

PRICING AND VALUATION MATRIX

PROPERTY NAMEHERTZ

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LOCATION OVERVIEW

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3390 Harrison Ave, Beaumont, TX 77706

LOCATION OVERVIEWTENANT SUMMARYPRICING AND VALUATION MATRIX

PROPERTY NAMEHERTZ

PRICING AND VALUATION MATRIX

PROPERTY NAMEHERTZ

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REGIONAL AND LOCAL MAP

AERIAL PHOTO

HERTZ

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PROPERTY PHOTO

HERTZ

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PROPERTY PHOTO

HERTZ

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PROPERTY PHOTO

HERTZ

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HERTZ

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FINANCIAL

ANALYSIS

#

PROPERTY SUMMARY

OFFERING SUMMARY

#

NOTES

HERTZ

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OFFERING SUMMARY

HERTZ

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MARKET

OVERVIEW

MARKET OVERVIEW

OVERVIEW

BEAUMONT

The Beaumont metro is located in East Texas off the Gulf of Mexico and

is one of the nation’s largest petrochemical refining areas. It shares

borders with the Houston metro to the west and the Lake Charles market

in Louisiana to the east. The metro consists of the counties of Newton,

Hardin, Jefferson and Orange and contains 412,000 people. The cities of

Beaumont, Port Arthur and Orange are known as the Golden Triangle.

Beaumont is the most populous city with 119,000 residents, followed by

Port Arthur with 55,000.

Energy-sector activities play a significant part in the metro’s economy. Companies represented in

the area include Gulf Oil, Magnolia Petroleum Co. and Exxon Mobil. The area is home to a large

portion of the nation’s refining capacity.

Aside from corporate headquarters and the energy industry, large employers represent diverse

employment sectors and generate large staff counts. These include Conn’s, Lamar University,

Christus St. Elizabeth Hospital and Memorial Baptist Hospital.

The Sabine-Neches Waterway ranks among the top in the U.S. in terms of commercial military

outload and is one of the nation’s largest waterway by cargo volume.

DEMOGRAPHICS

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ECONOMY

METRO HIGHLIGHTS

* Forecast

Sources: Marcus & Millichap Research Services; BLS; Bureau of Economic Analysis; Experian; Fortune; Moody’s Analytics; U.S. Census Bureau

HERTZ

PORT ACTIVITY

The Port of Beaumont contributes to significant economic activity in the region.

It is one of the nation’s largest seaports based on tonnage.

INDUSTRIAL AND MANUFACTURING SECTORS

Large industrial facilities in the area include the Exxon Mobil refinery and

chemical plants for Goodyear and DuPont.

CORPORATE HEADQUARTERS

Corporate headquarters represent a variety of industries and include

companies such as Jason’s Deli.

412K

2018POPULATION:

153K

2018HOUSEHOLDS:

37.1

2018MEDIAN AGE:

$49,600

2018 MEDIAN HOUSEHOLD INCOME:

U.S. Median:

38.0U.S. Median:

$58,8001.5%

Growth2018-2023*:

0.3%

Growth2018-2023*:

PROPERTY NAME

MARKETING TEAM

HERTZ

DEMOGRAPHICS

Source: © 2018 Experian

Created on April 2019

POPULATION 1 Miles 3 Miles 5 Miles

2023 Projection

Total Population 8,179 64,797 112,371

2018 Estimate

Total Population 8,292 64,827 112,295

2010 Census

Total Population 8,456 64,491 111,477

2000 Census

Total Population 8,497 64,997 109,246

Current Daytime Population

2018 Estimate 19,310 103,523 157,142

HOUSEHOLDS 1 Miles 3 Miles 5 Miles

2023 Projection

Total Households 3,550 26,133 44,476

2018 Estimate

Total Households 3,587 25,877 43,942

Average (Mean) Household Size 2.33 2.46 2.49

2010 Census

Total Households 3,695 25,853 43,757

2000 Census

Total Households 3,881 25,857 42,732

Occupied Units

2023 Projection 3,550 26,133 44,476

2018 Estimate 4,083 29,449 49,962

HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles

2018 Estimate

$150,000 or More 9.13% 8.40% 7.73%

$100,000 - $149,000 12.41% 10.25% 10.32%

$75,000 - $99,999 12.12% 9.89% 9.86%

$50,000 - $74,999 16.07% 17.37% 18.14%

$35,000 - $49,999 11.42% 12.30% 12.62%

Under $35,000 38.87% 41.79% 41.33%

Average Household Income $78,306 $70,849 $67,841

Median Household Income $49,600 $44,692 $45,015

Per Capita Income $34,029 $28,479 $26,807

HOUSEHOLDS BY EXPENDITURE 1 Miles 3 Miles 5 Miles

Total Average Household Retail Expenditure

$66,113 $61,470 $61,269

Consumer Expenditure Top 10 Categories

Housing $17,460 $16,320 $16,303

Transportation $13,168 $12,331 $12,283

Shelter $9,445 $8,854 $8,863

Food $6,804 $6,338 $6,319

Personal Insurance and Pensions $6,134 $5,476 $5,457

Health Care $4,298 $4,083 $3,999

Utilities $4,195 $3,984 $3,971

Entertainment $2,785 $2,566 $2,546

Household Furnishings and Equipment

$1,844 $1,674 $1,675

Cash Contributions $1,824 $1,710 $1,661

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

Population By Age

2018 Estimate Total Population 8,292 64,827 112,295

Under 20 26.16% 27.51% 28.25%

20 to 34 Years 21.79% 20.84% 22.05%

35 to 39 Years 7.18% 6.29% 6.34%

40 to 49 Years 11.68% 11.11% 11.04%

50 to 64 Years 19.41% 19.25% 18.69%

Age 65+ 13.76% 15.01% 13.63%

Median Age 36.35 36.26 34.78

Population 25+ by Education Level

2018 Estimate Population Age 25+ 5,612 42,693 72,132

Elementary (0-8) 4.19% 6.08% 5.78%

Some High School (9-11) 6.21% 8.60% 8.34%

High School Graduate (12) 28.66% 30.54% 31.93%

Some College (13-15) 27.06% 24.24% 24.72%

Associate Degree Only 5.47% 5.51% 6.02%

Bachelors Degree Only 18.00% 15.47% 14.56%

Graduate Degree 8.93% 7.91% 7.19%

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Income

In 2018, the median household income for your selected geography is

$45,015, compare this to the US average which is currently $58,754.

The median household income for your area has changed by 37.37%

since 2000. It is estimated that the median household income in your

area will be $52,198 five years from now, which represents a change

of 15.96% from the current year.

The current year per capita income in your area is $26,807, compare

this to the US average, which is $32,356. The current year average

household income in your area is $67,841, compare this to the US

average which is $84,609.

Population

In 2018, the population in your selected geography is 112,295. The

population has changed by 2.79% since 2000. It is estimated that the

population in your area will be 112,371.00 five years from now, which

represents a change of 0.07% from the current year. The current

population is 48.04% male and 51.96% female. The median age of

the population in your area is 34.78, compare this to the US average

which is 37.95. The population density in your area is 1,430.76 people

per square mile.

Households

There are currently 43,942 households in your selected geography.

The number of households has changed by 2.83% since 2000. It is

estimated that the number of households in your area will be 44,476

five years from now, which represents a change of 1.22% from the

current year. The average household size in your area is 2.49 persons.

Employment

In 2018, there are 73,390 employees in your selected area, this is also

known as the daytime population. The 2000 Census revealed that

58.74% of employees are employed in white-collar occupations in

this geography, and 41.40% are employed in blue-collar occupations.

In 2018, unemployment in this area is 9.97%. In 2000, the average

time traveled to work was 20.00 minutes.

Race and Ethnicity

The current year racial makeup of your selected area is as follows:

37.14% White, 46.92% Black, 0.05% Native American and 3.77%

Asian/Pacific Islander. Compare these to US averages which are:

70.20% White, 12.89% Black, 0.19% Native American and 5.59%

Asian/Pacific Islander. People of Hispanic origin are counted

independently of race.

People of Hispanic origin make up 17.03% of the current year

population in your selected area. Compare this to the US average of

18.01%.

PROPERTY NAME

MARKETING TEAM

HERTZ

Housing

The median housing value in your area was $104,802 in 2018,

compare this to the US average of $201,842. In 2000, there were

25,814 owner occupied housing units in your area and there were

16,917 renter occupied housing units in your area. The median rent at

the time was $392.

Source: © 2018 Experian

DEMOGRAPHICS

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