Offering Memorandum

5910 AUBURN BOULEVARDC I T R U S H E I G H T S , C A 9 5 8 2 1

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 Disclaimer

The 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 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.

Non-Endorsement Notice

Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation's 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.

5910 Auburn Blvd

Citrus Heights, CA

ACT ID ZAA0030069

2

INVESTMENT

OVERVIEW

5910 AUBURN BOULEVARDC I T R U S H E I G H T S , C A 9 5 8 2 1

OFFICES NATIONWIDE AND THROUGHOUT CANADA

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VITAL DATA

Price $3,950,000 CAP Rate 7.33%

Net Operating Income $289,403

Loan Amount $2,678,100

Loan Type Proposed New

Interest Rate / Amortization 4.85% / 30 Years

Gross Leasable Area (GLA) 40,800 SF

Price/SF $96.81

Current Occupancy 88.7%

Year Built / Renovated 1979 d

Lot Size 3.39 acre(s)

E X E C U T I V E S U M M A R Y

O F F E R I N G P R I C E

$3,950,000C A P R A T E

7.33%

Disclaimer: Marcus & Millichap does not make any claims/guarantees regarding the accuracy of the information shown in this Offering Memorandum. It is up to the buyer’s discretion to verify the information.

I N V E S T M E N T O V E R V I E W

➢ 88.7% Occupied Center

➢ $96.81 Per Square Foot

➢ Large Monument Sign

➢ 3.39 Acre Parcel

I N V E S T M E N T H I G H L I G H T S

Marcus & Millichap has been selected to exclusively market the sale of 5910 Auburn Blvd, located in Citrus Heights California. The neighborhood center consists of three

retail buildings , which combine for a total of 40,800 square feet. The center is currently 88.7% occupied and presents investors with the opportunity to acquire a near

fully leased retail center on Auburn Boulevard Corridor with stabilized cash flow.

Constructed in 1979 and positioned on a 3.39 Acre parcel, the building is located conveniently in close proximity to Interstate-80. The 14 retail tenants occupy two

buildings for a total of 32,700 Sqft and the Industrial tenant occupies the 8,100 Sqft building.

Citrus Heights is centrally located 11 miles east of Downtown Sacramento, between the regions major freeways Highway 50 & Interstate 80. Additionally the city is under

going massive gentrification, attracting a very young base of people who are buying homes, renting apartments and living in Citrus Heights.

P R O P E R T Y P H O TO

P R O P E R T Y P H O TO

A E R I A L M A P

R E G I O N A L M A P

5 9 1 0 A U B U R N B L V D

FINANCIAL

ANALYSIS

5910 AUBURN BOULEVARDC I T R U S H E I G H T S , C A 9 5 8 2 1

OFFICES NATIONWIDE AND THROUGHOUT CANADA

WWW.MARCUSMILLICHAP.COM

T E N A N T S U M M A R Y

95% 5%14

11.30%88.70%

As of June, 2019

Disclaimer: Marcus & Millichap does not make any claims/guarantees regarding the accuracy of the information shown in this Offering Memorandum. It is up to the buyer’s discretion to verify the information.

O P E R A T I N G S T A T E M E N T

Disclaimer: Marcus & Millichap does not make any claims/guarantees regarding the accuracy of the information shown in this Offering Memorandum. It is up to the buyer’s discretion to verify the information.

P R I C I N G D E T A I L

1979

88.7%

Disclaimer: Marcus & Millichap does not make any claims/guarantees regarding the accuracy of the information shown in this Offering Memorandum. It is up to the buyer’s discretion to verify the information.

MARKET

OVERVIEW

5910 AUBURN BOULEVARDC I T R U S H E I G H T S , C A 9 5 8 2 1

OFFICES NATIONWIDE AND THROUGHOUT CANADA

WWW.MARCUSMILLICHAP.COM

SACRAMENTOOVERVIEW

The Sacramento-Roseville-Arden-Arcade metro is composed of four counties: Sacramento, El

Dorado, Placer and Yolo, located in the middle of the 400-mile-long Central Valley of California.

Unlike the nearby San Francisco Bay Area, Sacramento is seismically quiet. The area contains

nearly 2.3 million people.

Sacramento, home of the state capitol, is the most populous city, with approximately 501,000

residents, followed by Elk Grove and Roseville with 164,400 and 130,400, respectively. During

the next five years, a more affordable cost of living and infill redevelopment projects will help

draw businesses and residents to the area.

METRO HIGHLIGHTS

SOLID JOB CREATIONLower costs than nearby metros attract businesses and drive job

creation above the U.S. level. Many commuters into the Bay Area

also reside in the area.

POPULATION GROWTHEmployment opportunities and redevelopment efforts will contribute

to pushing Sacramento’s population growth above the national

average.

LOW COST OF LIVINGSacramento’s median home price is more affordable than many

other California metros.

ECONOMY▪ Sacramento is home to the state capitol, making the government sector important to the region’s economy, though less so than

in the past as the economy diversifies.

▪ Sacramento’s seismic stability and low business costs compared with the region attract major corporations seeking to establish

operations. Among these are Intel Corp., Apple Computer and Siemens Transportation Systems.

▪ DHL and United Parcel Service use the former Mather Air Force Base to ship freight. The former McClellan Air Force Base is now

an industrial park and includes tenants such as Northrop Grumman and J.C. Penney.

SHARE OF 2017 TOTAL EMPLOYMENT

MAJOR AREA EMPLOYERS

California State University Sacramento

Sutter Health

Kaiser Permanente

Raley’s Inc.

Intel Corp.

Catholic Healthcare West

University of California Davis

UC Davis Health System

Hewlett-Packard Co.

Target Corp.* Forecast

MANUFACTURING4%

GOVERNMENT

HEALTH SERVICES

EDUCATION AND

+OTHER SERVICES

3%

LEISURE AND HOSPITALITY FINANCIAL ACTIVITIES

16%

AND UTILITIES

TRADE, TRANSPORTATION CONSTRUCTION

PROFESSIONAL AND

BUSINESS SERVICES

1%INFORMATION

14%

6%

24% 11% 5%

16%

DEMOGRAPHICS

SPORTS

EDUCATION

ARTS & ENTERTAINMENT

▪ The metro is expected to add nearly 154,000 people over the next five years, resulting in the formation of nearly

71,000 households.

▪ A median home price well above the national median has produced a homeownership rate of 59 percent, compared

with the national rate of 64 percent.

▪ Among residents age 25 and older, 31 percent hold bachelor’s degrees and 11 percent also have a graduate or

professional degree.

Residents and visitors to Sacramento can enjoy many recreational activities. The region is home to professional sports teams such

as the Kings (NBA), Sirens (IWFL) and the River Cats. A short drive from the city leads to some of the world’s finest wine-

producing regions: the Napa, Sonoma and Alexander valleys. The area offers various cultural opportunities including the ballet,

opera, museums, a zoo and music festivals. In addition to four community colleges, there are two universities located in the

region: California State University, Sacramento, and University of California, Davis. Housing is relatively affordable in the

Sacramento region compared with the nearby San Francisco Bay Area, drawing many residents.

QUALITY OF LIFE

2017 Population by Age

0-4 YEARS

6%5-19 YEARS

20%20-24 YEARS

7%25-44 YEARS

27%45-64 YEARS

26%65+ YEARS

14%

* Forecast

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

37.2

2017MEDIAN AGE:

U.S. Median:

37.8

$63,900

2017 MEDIAN HOUSEHOLD INCOME:

U.S. Median:

$56,300

2.3M

2017POPULATION:

Growth2017-2022*:

6.6%

841K

2017HOUSEHOLDS:

8.4%

Growth2017-2022*:

Created on January 2019

DEMOGRAPHICS

POPULATION 1 Miles 3 Miles 5 Miles▪ 2023 Projection

Total Population 20,719 177,007 374,139▪ 2018 Estimate

Total Population 21,047 177,020 371,455▪ 2010 Census

Total Population 19,911 167,693 351,951▪ 2000 Census

Total Population 19,928 167,536 346,947▪ Current Daytime Population

2018 Estimate 17,841 135,463 305,796

HOUSEHOLDS 1 Miles 3 Miles 5 Miles▪ 2023 Projection

Total Households 9,001 68,701 145,033▪ 2018 Estimate

Total Households 9,049 67,761 141,968Average (Mean) Household Size 2.31 2.57 2.58

▪ 2010 CensusTotal Households 8,438 63,624 133,345

▪ 2000 CensusTotal Households 8,479 64,751 132,631

▪Occupied Units2023 Projection 9,001 68,701 145,0332018 Estimate 9,397 69,461 145,332

HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles▪ 2018 Estimate

$150,000 or More 3.37% 6.00% 8.26%$100,000 - $149,000 10.86% 12.23% 13.87%$75,000 - $99,999 11.45% 13.14% 13.83%$50,000 - $74,999 20.46% 20.01% 19.99%$35,000 - $49,999 16.09% 15.19% 13.93%Under $35,000 37.76% 33.45% 30.13%

Average Household Income $58,287 $67,263 $75,680Median Household Income $45,749 $51,486 $56,832Per Capita Income $25,200 $25,858 $29,077

HOUSEHOLDS BY EXPENDITURE 1 Miles 3 Miles 5 MilesTotal Average Household Retail Expenditure $63,265 $68,680 $72,955▪ Consumer Expenditure Top 10 Categories

Housing $18,719 $20,044 $21,257Shelter $12,237 $12,993 $13,724Transportation $10,382 $11,417 $12,117Food $6,259 $6,811 $7,237Personal Insurance and Pensions $4,998 $5,806 $6,544Health Care $3,468 $3,796 $4,048Utilities $3,069 $3,302 $3,483Entertainment $2,477 $2,710 $2,934Apparel $1,710 $1,859 $1,978Household Furnishings and Equipment $1,601 $1,784 $1,964

POPULATION PROFILE 1 Miles 3 Miles 5 Miles▪ Population By Age

2018 Estimate Total Population 21,047 177,020 371,455Under 20 23.12% 25.46% 25.14%20 to 34 Years 23.36% 22.06% 21.08%35 to 39 Years 6.75% 6.38% 6.25%40 to 49 Years 11.58% 11.70% 12.04%50 to 64 Years 18.67% 18.85% 19.92%Age 65+ 16.50% 15.56% 15.59%Median Age 37.50 36.86 37.97

▪ Population 25+ by Education Level2018 Estimate Population Age 25+ 14,867 120,494 254,496Elementary (0-8) 3.76% 3.66% 3.02%Some High School (9-11) 6.89% 7.23% 6.42%High School Graduate (12) 26.19% 27.71% 25.54%Some College (13-15) 31.55% 29.41% 29.65%Associate Degree Only 10.34% 10.76% 10.64%Bachelors Degree Only 13.78% 13.78% 16.11%Graduate Degree 6.08% 6.21% 7.42%

DEMOGRAPHICS

Source: © 2018 Experian

Income

In 2018, the median household income for your selected geography is $45,749,

compare this to the US average which is currently $58,754. The median household

income for your area has changed by 25.79% since 2000. It is estimated that the

median household income in your area will be $51,708 five years from now, which

represents a change of 13.03% from the current year.

The current year per capita income in your area is $25,200, compare this to the US

average, which is $32,356. The current year average household income in your area

is $58,287, compare this to the US average which is $84,609.

Population

In 2018, the population in your selected geography is 21,047. The population has

changed by 5.62% since 2000. It is estimated that the population in your area will

be 20,719.00 five years from now, which represents a change of -1.56% from the

current year. The current population is 47.41% male and 52.59% female. The

median age of the population in your area is 37.50, compare this to the US average

which is 37.95. The population density in your area is 6,691.48 people per square

mile.

Households

There are currently 9,049 households in your selected geography. The number of

households has changed by 6.72% since 2000. It is estimated that the number of

households in your area will be 9,001 five years from now, which represents a

change of -0.53% from the current year. The average household size in your area is

2.31 persons.

Employment

In 2018, there are 7,190 employees in your selected area, this is also known as the

daytime population. The 2000 Census revealed that 63.39% of employees are

employed in white-collar occupations in this geography, and 35.31% are employed in

blue-collar occupations. In 2018, unemployment in this area is 5.53%. In 2000, the

average time traveled to work was 30.00 minutes.

Race and Ethnicity

The current year racial makeup of your selected area is as follows: 74.84% White,

6.89% Black, 0.62% Native American and 4.05% 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 16.46% of the current year population in your

selected area. Compare this to the US average of 18.01%.

Housing

The median housing value in your area was $212,486 in 2018, compare this to the

US average of $201,842. In 2000, there were 4,563 owner occupied housing units in

your area and there were 3,917 renter occupied housing units in your area. The

median rent at the time was $592.