Actual Site

OFFERING MEMORANDUM

PEP BOYSKennesaw, GA

Michael BerkAssociate404.835.7666 | mberk@calkain.com

Sheree Strome, CCIMAssociate Director404.900.5629 | sstrome@calkain.com

Asset Summary

Net Operating Income (NOI) $72,600

Rent/Month $6,050

Rent/SF $13.96

Rentable Square Feet 5,200+/- SF

Land Area 0.61+/- Acres

Tenant The Pep Boys: Manny, Moe & Jack

Credit Rating S&P: BB+

Stock Symbol NYSE: PBY

Guarantor Corporate

Ownership Type Fee Simple

Lease Type NN

Landlord Responsibilities Roof and Structure

Lease Term Remaining 4 Years

Rent Commencement February 23, 2017

Lease Expiration February 23, 2022

Increases 8% in Option Years

Options Three (3), Five (5) Year

Investment Highlights

• Corporate lease

• Located off Interstate 75 with 120,000 VPD

Rent ScheduleTerm Increases Annual Rent Monthly Rent

Years 1-5 - $72,600 $6,050

Years 6-10 (Option 1) 8% $78,408 $6,534

Years 11-15 (Option 2) 8% $84,680 $7,056

Years 16-20 (Option 3) 8% $91,455 $7,621

Asking Price$936,129

Cap Rate 7.75%

1466 George Busbee ParkwayKennesaw, GA 30144

Calkain Companies | 2

Pep Boys | Financial Summary

About Pep Boys

The Pep Boys: Manny, Moe & Jack (branded

and commonly abbreviated as Pep Boys) is an

American automotive aftermarket retail and

service chain.

Originally named Pep Auto Supply Company,

the Company was founded in Philadelphia,

Pennsylvania in 1921 by Emanuel (Manny) Rosenfeld, Maurice L. (Moe) Strauss,

W. Graham (Jack) Jackson, and Moe Radavitz.

Headquartered in the Philadelphia neighborhood of East Falls, Pep Boys provides

name-brand tires; automotive maintenance and repair; parts and expert advice for

the Do-It-Yourselfer; commercial auto parts delivery; and fleet maintenance and

repair to customers across the U.S. with Just Brakes, a wholly owned subsidiary of

The Pep Boys – Manny, Moe & Jack, Pep Boys operates more than 8,300 service

bays in over 930 locations in 35 states and Puerto Rico.

Tenant SnapshotTenant Snapshot

# of Locations

930

Credit Rating

S&P: BB+

2015 Revenue

$2.078 Bil

Market Cap

$2.78 Bil

Calkain Companies | 3

Tenant Overview

Hollywood

Knoxville, TNNashville, TN

Atlanta, GA

Memphis, TN

85

75

Chattanooga, TN

Alpharetta, GA

Birmingham, AL

Kennesaw, GA59

95

Subject Site

Alpharetta, GA 21 miles

Atlanta, GA 26 miles

Chattanooga, TN 117 miles

Birmingham, AL 165 miles

Knoxville, TN 188 miles

Nashville, TN 223 miles

Calkain Companies | 4

Location Overview

Distance To

75

75

Keep all map content (except background) above this margin for website cropping purposes

Subject Site

Cobb County International

Airport

Cobb Town Center

Atlanta Bonded Warehouse Corp.

I-75 120,000 VPD

1466 George Busbee Pkwy | Kennesaw, GA

Location Highlights

Interstate Exit Location

35,000 VPD Pass the Site

LA Fitness Outparcel

C

lick fo

r Street View

75

Keep all map content (except background) above this margin for website cropping purposes

Subject Site

Cherokee St 35,000 VPD

George Busbee Pkwy 15,000 VPD

Wooten

Lake

Rd 9,

000 V

PD

1466 George Busbee Pkwy | Kennesaw, GA

Site Photos

Calkain Companies | 7

1 Mile 3 Miles 5 MilesPopulation2018 Population 10,882 80,408 188,720

2023 Population 11,483 85,942 202,359

2018 Median Age 32.0 33.2 34.7

Households2018 Total Households 4,070 28,074 68,782

2023 Total Households 4,317 30,054 73,711

Median Household Income2018 Median HH Income $64,966 $69,861 $68,222

2023 Median HH Income $70,042 $75,558 $74,523

Average Household Income2018 Average HH Income $82,856 $87,657 $86,541

2023 Average HH Income $92,502 $97,696 $96,811

Population 188,720

Median Age 34.7

Avg HH Income $86,541

Total Businesses 7,761

Total Employees 82,807

Net Worth $116,197

5 Mile Radius | Demographics

75

575

Location Overview, 1/3/5 Miles

Calkain Companies | 8

About UsCalkain Companies LLC is a boutique commercial real estate investment banking firm that provides consulting and brokerage services to both private and institutional clientele with a focus on single tenant net lease investments. It prides itself on being an innovative leader by providing its clients a full array of commercial real estate investment brokerage and asset management solutions, including advisory, research, debt and equity placement and wealth management.

Calkain has built solid, lasting relationships that have been the cornerstone of how they do business. Calkain approaches each assignment with an eye toward each client’s individual needs. Whether private or institutional investors, Calkain delivers real estate solutions that maximize value while building wealth for all of its clients.

At Calkain, their foresight and innovation are leading the net lease investment industry.

Building a solid foundation for your investment portfolio

calkain.com

Disclaimer: The information contained in this document is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Calkain and its subsidiaries, and should not be made available to any other person or entity without the written consent of Calkain. This document has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property(s). The information contained herein is not a substitute for a thorough due diligence investigation. Calkain and its subsidiaries have not made any investigation, and make no warranty or representation, with respect to the income or expenses for the subject property(s), the future projected financial performance of the property, the size and square footage of the property(s) 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(s). The information contained in this document has been obtained from sources we believe to be reliable; however neither Calkain and its subsidiaries nor the Seller have verified, and will not verify, any of the information contained herein, nor has Calkain and its subsidiaries or the Seller conducted any investigation regarding these matters and make 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.

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