LONG TERM, ABSOLUTE TRIPLE NET LEASES WITH ANNUAL INCREASESSTRONG PERFORMING GAS STATION & AUTO REPAIR IN SAN DIEGO COUNTY

FUEL STATION

CAR WASH & AUTO REPAIR76

ESCONDIDO, CALIFORNIA

TWO-TENANT NNN INVESTMENT OPPORTUNIT Y

PROPERTY DETAILS

ADDRESS: 750 N Escondido Blvd Escondido, CA 92025

RENTABLE BUILDING AREA: 27,112 SF

OCCUPANCY: 100.0%

YEAR OF COMPLETION: 1990

NUMBER OF BUILDINGS: 3

# OF FUEL PUMPS: 28

SITE AREA: 1.81 Acres

OWNERSHIP: Fee Simple

ASSESSOR PARCEL NUMBER: 229-180-90

ZONING: Commercial General

PRICE: $8,350,000CAP RATE: 6.31%

INVESTMENT OVERVIEWHFF, as exclusive advisor, is pleased to offer the extraordinary opportunity to purchase the fee simple interest in a two-tenant automotive property (the “Property”), located in one of the most dynamic markets of San Diego County, Escondido. The property is leased to 76 Gas Station (Franchisee) and Star Auto Glass & Tint both on an Absolute NNN basis with over 12 years and 18 years left of original lease term respectively with fixed annual escalations. The Property is strategically located on a hard corner at the intersection of N Escondido Blvd and W Mission Avenue with over 34,600 cars per day passing the property. The property is surrounding by many national retailers including Stater Bros Markets, Food 4 Less, McDonalds, Wells Fargo, Burger King, Taco Bell, Dollar Tree, and Rite Aid.

INVESTMENT SUMMARY

PRICE: $8,350,000

YEAR ONE PROJECTED NOI1: $526,788

(1) Annual NOI as of 6/1/2018. Seller will credit difference in rent to buyer at closing should buyer close prior to 6/1/2018.

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FUEL STATIONCAR WASH & AUTO REPAIR76

76 GAS STATION LEASE SUMMARY

TENANT: 76 Gas Station (Franchisee)

SQUARE FEET: 20,877 SF

COMMENCEMENT DATE: 6/1/2015

EXPIRATION DATE: 5/31/2030

LEASE TYPE Absolute NNN

ANNUAL BASE RENT SCHEDULE:

ANNUAL RENT (6/1/2018): $451,272

INCREASES: 1% Annually through 2020, 2% Annually thereafter

STAR AUTO GLASS & TINT

TENANT: Star Auto Glass & Tint

SQUARE FEET: 6,235 SF

COMMENCEMENT DATE: 8/1/2016

EXPIRATION DATE: 7/31/2036

LEASE TYPE: Absolute NNN

ANNUAL BASE RENT SCHEDULE:

ANNUAL RENT (CURRENT): $75,516

INCREASES: 1.5% Annually

LEASE SUMMARIES

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FUEL STATIONCAR WASH & AUTO REPAIR76

NNN LEASE TO A NATIONAL GAS STATION BRAND

The Gas Station component is leased to a franchisee of 76 Gas, a leading gas station chain originally founded in California. In business for over 80 years, the company operates 1,800 locations in the United States. 76 is owned by Phillips 66 Company (NYSE: PSX) with annual revenue exceeding $84 Billion in 2016.

STABLE CASH FLOW WITH LONG TERM STABILITY

• Long Term Lease: 76 Gas has over 12 years remaining of fixed lease term remaining and Star Auto Glass & Tint has over 18 years of remaining fixed lease term offering stability for an investor.

• Attractive Rent Increases: Fixed 1-2% annual increases throughout the initial lease term and option periods.

• Strong Sales: The 76 Station has historically been one of the top stations for 76 on the West Coast by total gallons sold.

INVESTMENT HIGHLIGHTS

ZERO OWNER RESPONSIBILITIES

Absolute NNN leases for both tenants provide no landlord responsibilities or management requirements.

EXCELLENT 1031 EXCHANGE OPPORTUNITY

• Strong Inflation Hedge: Scheduled annual fixed rental increases produce high NOI growth, enhancing future cash on cash returns and providing a strong hedge against inflation.

• Debt Free: The Property is marketed free and clear of existing financing, creating the opportunity to place new financing tailored to an investor’s desired returns.

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FUEL STATIONCAR WASH & AUTO REPAIR76

INVESTMENT HIGHLIGHTS (CONTINUED)

HIGH TRAFFIC, REGIONAL

RETAIL PROPERTY

• Strategic Location: The Property is strategically located at the corner of N Escondido Blvd and W Mission Avenue with over 34,600 cars per day passing the property. The property is surrounding by many national retailers including Stater Bros Markets, Food 4 Less, McDonalds, Wells Fargo, Burger King, Taco Bell, Dollar Tree, and Rite Aid.

• High Consumer Spending: Within 3 miles the total amount spent on gasoline exceeds $116 million annually. The average household spends above $2,348 annually on gas in Escondido which is far greater than the average US household of below $2,000 annually.

• Strong Demographics: Within a 3 mile radius of the property the population exceeds 155,000 with annual household income exceeding $70,000.

• Ideal Regional Access: The Property is less than a mile from the intersections of the I-15 Freeway and State Route 78 (two of San Diego’s most trafficked arterials), providing simple access to an expansive customer base.

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FUEL STATIONCAR WASH & AUTO REPAIR76

W. MISSION AVENUE

N. ESCONDIDO BLVD.

hff lp.com

© 2018 Holliday Fenoglio Fowler, L.P., HFF Real Estate Limited (collectively, “HFF”), HFF Securities L.P. and HFF Securities Limited (collectively, “HFFS”) are owned by HFF, Inc. (NYSE: HF). HFF and its affiliates operate out of 25 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.

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DANIEL TYNER949.798.4125

dtyner@hfflp.comCA RE Lic. #01959818

NICK FOSTER949.798.4135

nfoster@hfflp.comCA Lic. #01831851

INVESTMENT ADVISORS

FUEL STATION

CAR WASH & AUTO REPAIR76

GREB BROWN949.798.4129

gbrown@hfflp.comCA Lic. #01335204

DEBT ADVISOR