NOR

MCDONOUGH, GA (ATLANTA MSA)

ABSOLUTE NNN CORPORATE 15-YEAR LEASE WITH 11 YEARS REMAINING

HOOTERS

75

JONESBORO ROADJONESBORO ROAD

16,600 VPD

ATLANTA27 MILES 75Contact the

team

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. Buyer must verify the information and bears all risk for any inaccuracies.

JOE CACCAMOjcaccamo@capitalpacific.comPH: 415.274.7394CA DRE# 01191110

IN CONJUNCTION WITH GA LICENSED BROKER: Steve MillerMiller Realty Services, Inc.smiller@millerrealtyservices.com770.409.0266

HENRY TOWN HENRY TOWN CENTERCENTER

132,000 VPD

2

HOOTERS1858 JONESBORO ROAD, MCDONOUGH, GA 30253

HOOTERS IS A PAD TO A 700,000 SF SHOPPING CENTER FEATURING SUPER TARGET, HOME DEPOT,

BELK, MARSHALLS, AND HOMEGOODS

6.25%CAP

$2,754,000PRICE

NOI: $172,141LEASE TYPE: Absolute NNNLEASE TERM: 15-Years (11 Remaining)LEASE OPTIONS: Two 5-year optionsLEASABLE AREA: 4,334 SFLAND AREA: 1.14 AcresYEAR RENOVATED: 2018

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. Buyer must verify the information and bears all risk for any inaccuracies.

3

Overview

THE OFFERINGHooters is a pad to Henry Town Center, a 700,000 square foot shopping center anchored by Super Target, Home Depot, Belk, Marshalls, and HomeGoods. Located in the Atlanta MSA, this corporate Hooters has 11 years remaining on its original 15-year absolute NNN lease with zero Landlord maintenance or management responsibilities. The lease features 1.5% annual rent bumps, and two 5-year options to extend. In 2015, Hooters extended its lease at this location and in July 2018, Hooters spent approximately $300,000 on major renovations to the subject property including new signage, interior, and parking lot.

The subject property is located in the primary retail hub of McDonough. It is located just off I-75, a major north-south interstate highway through the southeastern region of the U.S., with traffic counts exceeding 132,000 VPD, providing excellent visibility and access to the shopping center.

• Located in the major retail hub for the McDonough area, just off Interstate 75

• Located in front of the major shopping center in the trade area with very strong anchors including a Super Target, Home Depot, Belk, Marshalls, and HomeGoods

DESIRABLE LOCATION

4

Investment Highlights

SURROUNDING RETAIL

HIGHLIGHTS• Approximately $300,000 in renovations

completed in 2018• Located in Atlanta MSA• 11 years remaining• Zero Landlord maintenance or

management responsibilities

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. Buyer must verify the information and bears all risk for any inaccuracies.

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. Buyer must verify the information and bears all risk for any inaccuracies.

PRICE $2,754,000 Capitalization Rate: 6.25%

Total Rentable Area (SF): 4,334

Lot Size (AC): 1.14

STABILIZED INCOME PER SQUARE FOOTScheduled Rent $39.72 $172,141

Effective Gross Income $39.72 $172,141

LESS PER SQUARE FOOTTaxes NNN $0.00

Insurance NNN $0.00

Total Operating Expenses NNN $0.00

EQUALS NET OPERATING INCOME $172,141

5

Income & Expense

TENANT INFO LEASE TERMS RENT SUMMARY CAP RATE BASED ON ANNUAL RETURN

TENANT NAME SQ. FT. CURRENT RENT

MONTHLY RENT

YEARLY RENT

MONTHLY RENT/FT

YEARLY RENT/FT CAP RATE

Hooters 4,334 6/1/2015 5/31/2016 $13,383 $160,600 $3.09 $37.06 5.83%

6/1/2016 5/31/2017 $13,618 $163,411 $3.14 $37.70 5.93%

6/1/2017 5/31/2018 $13,856 $166,270 $3.20 $38.36 6.04%

6/1/2018 5/31/2019 $14,098 $169,180 $3.25 $39.04 6.14%

6/1/2019 5/31/2020 $172,141 $14,345 $172,141 $3.31 $39.72 6.25%

6/1/2020 5/31/2021 $14,596 $175,153 $3.37 $40.41 6.36%

6/1/2021 5/31/2022 $14,852 $178,218 $3.43 $41.12 6.47%

6/1/2022 5/31/2023 $15,111 $181,337 $3.49 $41.84 6.58%

6/1/2023 5/31/2024 $15,376 $184,510 $3.55 $42.57 6.70%

6/1/2024 5/31/2025 $15,645 $187,739 $3.61 $43.32 6.82%

6/1/2025 5/31/2026 $15,919 $191,025 $3.67 $44.08 6.94%

6/1/2026 5/31/2027 $16,197 $194,368 $3.74 $44.85 7.06%

6/1/2027 5/31/2028 $16,481 $197,769 $3.80 $45.63 7.18%

6/1/2028 5/31/2029 $16,769 $201,230 $3.87 $46.43 7.31%

6/1/2029 5/31/2030 $17,063 $204,752 $3.94 $47.24 7.43%

Option 1 6/1/2030 5/31/2031 $17,361 $208,335 $4.01 $48.07 7.56%

6/1/2031 5/31/2032 $17,665 $211,981 $4.08 $48.91 7.70%

6/1/2032 5/31/2033 $17,974 $215,690 $4.15 $49.77 7.83%

6/1/2033 5/31/2034 $18,289 $219,465 $4.22 $50.64 7.97%

6/1/2034 5/31/2035 $18,609 $223,306 $4.29 $51.52 8.11%

Option 2 6/1/2035 5/31/2036 $18,934 $227,213 $4.37 $52.43 8.25%

6/1/2036 5/31/2037 $19,266 $231,190 $4.45 $53.34 8.39%

6/1/2037 5/31/2038 $19,603 $235,235 $4.52 $54.28 8.54%

6/1/2038 5/31/2039 $19,946 $239,352 $4.60 $55.23 8.69%

6/1/2039 5/31/2040 $20,295 $243,541 $4.68 $56.19 8.84%

TOTALS: 4,334 $172,141 $14,345 $172,141 $3.31 $39.72 AVERAGE RETURN: 7.24%

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. Buyer must verify the information and bears all risk for any inaccuracies. 6

Rent Roll

JONESBORO ROAD

PARKING FOR HENRY TOWN CENTER

MONUMENT SIGN

JONESBORO ROAD

MILL ROAD

75

7This site plan is a rendering that has been created based on sources we believe to be reliable. We make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

4,334RENTABLE SF

1.14ACRES

NOT A PARTNOT A PART

16,600VPD

132,000VPD

Site Plan

Hooters of America, LLC is an iconic American restaurant chain that is based in Atlanta, Georgia. There are more than 430 locations in 38 across the United States and 27 countries. Originally founded in 1983 in Clearwater, Florida as a single neighborhood restaurant, it became a wide success with hundreds of new restaurants, both corporate and franchisee-owned.

Hooters has a high brand-equity concept, known for their high level of customer service, fun atmosphere, and great food. It offers a sports bar feel with a wide menu selection of wings, appetizers, drinks, burgers, sandwiches, tacos, seafood, salads, and more.

LOCATIONS IN 38 U.S. STATES AND 27 COUNTRIES430+

Hooters of America, LLC was recently sold to investment companies Nord Bay Capital and TriArtisan Capital Advisors. However, Hooters will still retain a stake in the company so it’s unlikely that most of the things that make the chain so iconic are going away any time soon. To start, the two private equity firms plan to expand Hooters’ fast-casual concept, Hoots, across the country. Hoots is a counter-service-only restaurant that features a one-page menu with Hooter’s most popular items and allows customers to order at the counter and take their food to-go or eat at in-store dining tables.

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. Buyer must verify the information and bears all risk for any inaccuracies.

8

Tenant Overview

Subject Property

SUBJECT PROPERTY

ATLANTA27 MILES

HARTSFIELD-JACKSON ATLANTA INTL. AIRPORT

20 MILES

9

Subject Property

10

Interior Perspective of Remodel

• New paint scheme on all non-brick exteriors and metal roofs

• New LED light element on parapet and miscellaneous repairs as needed

• New interior finishes throughout: walls, ceilings, exposed structural columns, and beams

• Brand new seating package including new booths and new themed tables throughout

• Updates to lighting package throughout the interior

• New bar design, increasing taps count to 24-32 taps

• Enclose kitchen, re-grout tile, and replace tile where needed

HOOTERS completed major renovations to the subject property in the summer of 2018. Spending approximately $300,000, the remodel demonstrates the company’s commitment to the site. Below is a summary of renovations:

INTERIOR PHOTOS

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. Buyer must verify the information and bears all risk for any inaccuracies.

11

1815 The Exchange • Atlanta, GA • 30339

INTERIOR RENDERINGS

2016 – McDonough, GA

1815 The Exchange • Atlanta, GA • 30339

EXTERIOR FRONT RENDERING

2016 – McDonough, GA

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. Buyer must verify the information and bears all risk for any inaccuracies.

Exterior and Interior Renderings

12

Surrounding Retail

75

JONESBORO ROADJONESBORO ROAD

132,000 VPD

16,600 VPD

ATLANTA27 MILES

Zoomed-In Aerial75

13This 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. Buyer must verify the information and bears all risk for any inaccuracies.

HENRY TOWN HENRY TOWN CENTERCENTER

14

Zoomed-Out Aerial75

75

20

75155

20

20

23

23

JONESBORO ROADJONESBORO ROAD

HAMPTON ROAD

HAMPTON ROAD

S ZACK H

INTO

N

S ZACK H

INTO

N

PARKW

AYPA

RKWAY

ATLANTA STREET

ATLANTA STREET

JONESBORO ROADJONESBORO ROAD

PEOPLES BAPTIST

ACADEMY

HENRY COUNTY

HIGH SCHOOL

HENRY COUNTY

MCDONOUGH METHODIST ACADEMY

CITY OF MCDONOUGH

CITY OF MCDONOUGH

WESLEY LAKES

ELEMENTARY

WESLEY LAKES

ACADEMY

COTTON FIELDS GOLF

CLUB

HENRY COUNTY MIDDLE SCHOOL

HENRY COUNTY

HENRY COUNTY

KAISER PERMANENTE

SOUTHERN CRESCENT TECHNICAL

COLLEGE

WALNUT CREEK

ELEMENTARY

HENRY COUNTY

24,950 VPD

132,000 VPD

16,600 VPD

21,900 VPD

18,600 VPD

ATLANTA27 MILES

Zoomed-Out Aerial

14

22,200 VPD

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. Buyer must verify the information and bears all risk for any inaccuracies.

POPULATION

1-MILE 3-MILES 5-MILES

2010 1,284 24,010 74,131

2019 2,424 29,343 86,714

2024 2,883 32,376 94,185

2019 HH INCOME

1-MILE 3-MILES 5-MILES

Average $92,223 $90,325 $82,194

Median $79,389 $71,388 $66,186

TOP EMPLOYERS IN HENRY COUNTY

EMPLOYER # OF EMPLOYEES

Henry County Schools 4,950

Luxottica Retail Group 2,000

Piedmont Henry Hospital 1,800

Henry County Government 1,656

PVH Corp 1,000

MCDONOUGH

ATLANTA(27 MILES)

THE AVERAGE HOUSEHOLD INCOME WITHIN A 1-MILE RADIUS

IS OVER $92K

GRIFFIN

CONYERS

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. Buyer must verify the information and bears all risk for any inaccuracies.

15

Demographics

COVINGTON

JACKSON

FAYETTEVILLE

HARTSFIELD-JACKSON ATLANTA INTL. AIRPORT

MCDONOUGH, GEORGIA

MCDONOUGH is situated about 27 miles south of Atlanta. It is the county seat of Henry County and has a population of approximately 25,782 residents. McDonough is a vibrant community with a charming downtown, numerous historic sites, festivals, and both unique stores and large national retailers drawing residents and visitors.

The city has two colleges within its city limits - Gordon State College and Mercer University. Gordon State College has about 3,663 students currently enrolled and Mercer University has a regional academic center with about 600 students currently enrolled.

HENRY COUNTY is comprised of four cities: Stockbridge, McDonough, Hampton, and Locust Grove. Henry County is home to many attractions such as helicopter rides in military aircraft, animal encounters, one of Georgia’s few remaining Civil War battlefields – and plenty of homegrown entertainment.

Future job growth over the next ten years is predicted to be 46.7%, which is higher than the U.S. average of 33.5%. Henry County is also a part of the Atlanta-Sandy Springs-Roswell MSA.

5.88 MILLIONATLANTA MSA POPULATION (ESTIMATED)

ATLANTA

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. Buyer must verify the information and bears all risk for any inaccuracies. 16

Location Overview

Contact us.

CAPITAL PACIFIC COLLABORATES. CLICK HERE TO MEET OUR SAN FRANCISCO TEAM.

IN CONJUNCTION WITH GA LICENSED BROKER: Steve MillerMiller Realty Services, Inc.smiller@millerrealtyservices.com770.409.0266

CAPITALPACIFIC.COM

JOE CACCAMOjcaccamo@capitalpacific.comPH: 415.274.7394CA DRE# 01191110

Copyright © 2019 Capital Pacific Partners

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. Buyer must verify the information and bears all risk for any inaccuracies.