Mark Alviano | 919.674.3681 | malviano@trinity-partners.com

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NET LEASED INVESTMENT OFFERING

Applebee’s - Springfield, Ohio

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Springfield

Cincinati

Columbus

Dayton

investment opportunityTrinity Partners is offering for sale Applebee’s NNN Investment - Springfield Ohio, representing fee simple interest in land and free-standing building improvements under a single tenant absolute (NNN) net lease with the world’s second largest Applebee’s franchisee. Over 16 years remain on a long-term 20-year base lease, and two 5-year options to extend. Applebee’s opened this location in 1995 and completed an extensive renovation in 2015. Last reported annual gross sales were 9.8% higher than the prior year and 26.8% above the system-wide average store sales. The property updates and exceptionally strong sales performance, combined with annual rent escalations through the lease expiration and renewal option periods, and an absolute net lease structure, provide an attractive yield, relative financial security and stability for the investor.

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INVESTMENT SUMMARY

PROPERTY NAME

ADDRESS

YEAR 1 NET OPERATING INCOME

TENANT/FRANCHISE

LEASE GUARANTOR

LEASE EXPIRATION

TERM REMAINING

APPLEBEE’S NNN INVESTMENT - SPRINGFIELD, OHIO

1800 WEST 1ST STREET SPRINGFIELD, OHIO 45504

$166,909 (effective 1/1/18)

RMH FRANCHISE CORPORATION DBA APPLEBEE’S

FRANCHISEE

DECEMBER 20, 2033

16 YEARS

LEASE TERM 20 YEARS

RENEWAL OPTIONS Two - 5 year options

offered at $3,034,709CAP RATE 5.50%

ANNUAL RENT ESCALATIONS

1.0%

tenant summaryAbout Applebee’s Applebee’s Neighborhood Grill and Bar is a leading chain of casual dining restaurants that provides full service, consistent food, reasonable prices and quality service in a family friendly setting. Each Applebee’s restaurant reflects its local neighborhood, with décor and memorabilia highlighting local landmarks, events, and athletic teams.

Applebee’s was founded in Atlanta, Georgia in 1980 by Bill and TJ Palmer. The Palmer’s company was sold to WR Grace and Company in 1983; however, Bill Palmer was retained as President. Palmer guided the chain’s entrepreneurial beginnings into the current system. Palmer personally became an Applebee’s franchisee in 1985 and still owns a significant number of locations.

Headquartered in Kansas City, MO, Applebee’s is one of the world’s largest casual dining brands. Currently, there are approximately 2,000 Applebee’s restaurants that operate in 49 states, one U.S. territory and 16 foreign countries. The Applebee’s organization employs approximately 28,000 people.

The top 3 largest Applebee’s franchisees operate 39% of the restaurant chain. They include Apple American Group, with approximately 480 locations, RMH with 175 locations and Apple Gold Group with 133 locations.

About FranchisorApplebee’s Services, Inc., and its affiliates, franchise and operate restaurants under Applebee’s Neighborhood Grill & Bar and are a DineEquity, Inc (NYSE: DIN) brand. DineEquity is one of the largest full-service restaurant companies in the world. With more than 3,600 Applebee’s and IHOP restaurants in 18 countries, a 99%-franchised system of more than 350 franchisee partners, and approximately 200,000 team members (at franchised and company-operated restaurants).

About Tenant The property is leased to RMH Franchise Corporation (RMH), currently the second largest Applebee’s franchisee with 175 locations in 15 states including Alabama, Arizona, Florida, Illinois, Indiana, Kansas, Kentucky, Mississippi, Missouri, Nebraska, Ohio, Oklahoma, Pennsylvania, Texas and Wyoming. With over 7,000 employees, RMH maintains corporate

support offices in Lincoln, NE, Lexington, KY and Atlanta, GA and is led by Jeff Neumann, Chief Executive Officer.

RMH is wholly owned by ACON Franchise Holdings (AFH), portfolio company of ACON Investments, an international private equity firm based in Washington, DC.

Most recently, in August 2015, RMH announced the acquisition of 33 Applebee’s restaurants located in Indiana and Ohio. The restaurants were purchased from Apple Sauce, Inc., a franchisee based in Crestview Hills, KY.

RMH’s growth has primarily been from acquisitions of established franchises, including 45 restaurants from Concord Hospitality, 15 from Apple Illinois and 78 restaurants from Thomas and King.

For more information, visit www.rmhfranchise.com.

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market overviewSpringfield, Ohio is located approximately 45 miles west of Columbus and 25 miles northeast of Dayton. The town is located in Clark County in southwestern Ohio and is positioned on the Mad River, Buck Creek and Beaver Creek. In the past decade, approximately 400 million dollars has been invested in downown Springfield. Presently, 4.8 million dollars has been raised for a new nonprofit “SpringForward”. The focus of this initiative is “targeting investments on existing properties to revitalize the city’s urban center.” The city has redeveloped several old factory sites and continues to commit to the revitalization of the city. Over the past several years, numerous projects were completed including National Road Commons Park, Springfield Regional Medical Center (largest employer with approximately 2,600 employees) and the renovation of the historic Bushnell Building.

Springfield is proud to be the home of Wittenburg University, a four-year private liberal arts university founded in 1845, and recognized as one of the most highly rated liberal arts universities in the nation - the setting is urban and encompasses 114 acres. The university serves almost 2,000 undergraduates.

DEMOGRAPHICS

2010 POPULATION

2016 POPULATION

3-MILES 5-MILES 7-MILES

POPULATION

42,990

42,785

84,123

83,838

100,913

100,366

2010 HOUSEHOLDS

2016 HOSUEHOLDS

HOUSEHOLDS

16,770

46,799

34,047

34,238

40,696

40,870

2016 MEDIAN HOUSEHOLD INCOME

INCOME

$36,422

2016 AVERAGEHOUSEHOLD INCOME

2016 PER CAPITAL INCOME

$38,583 $41,155

$49,884 $51,661 $54,839

$20,293 $21,524 $22,752

Source: ESRI

Mark Alviano Director of Investment Sales

919.674.3681malviano@trinity-partners.com

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