Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

1Alan Dickinson p 904-993-2222 p AlanRe@me.comJorge Suazo p 904-386-2800 p Jorge@dickinsoncommercial.com

FOR SALE

North Beach Center9% CAP Rate

11% CAP Rate Pro Forma

$4,800,000 w/o Dunkin Donuts$5,500,000 with Dunkin Donuts

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

Table of Contents

For Sale: North Beach Center 725 Atlantic Blvd. Atlantic Beach, Florida 32233

1. Executive Summary

2. Letter from Managing Member

3. Investment Analysis

4. Income / Expense

5. Tenant Detail Ledger

6. Floor Plan

7. Rent Rolls

8. Tenant Notes

9. Assumable Loan

10. Site Plan

11. Photos

14. Maps

The Property

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

1

Executive SummaryFor Sale North Beach Center (7 blocks from the ocean)

Location 725 Atlantic Blvd, Atlantic Beach, Florida 32233

Type Mixed Use:• Retail• Flex• Office

Net Rentable 58,152.96 SF

NOI $432,000 ($488,000 with Dunkin Donuts Outparcel)

Price $4,800,000($5,500,000 with Dunkin Donuts Outparcel)

CAP RateCAP Rate Pro Forma

9.00%11.00%

Acreage 4

Year Built 2003

Assumable Mtg $3,100,000 Balance$350,856 Yearly Payment6.25% Interest Rate (Fixed)Fixed Rate 12 years remaining

Opportunity Own one of the last shopping center ever to be built in Atlantic Beach

Highlights Limited competing retailBarriers of entry from future competitionIncreasing demographic wealth at beaches

Investment Analysis The North Beach Center is a stable investment opportunity leased below market rent comparables in an area perpetually increasing in wealth. The Dunkin Donuts outparcel is also offered for sale at a 7% CAP rate. Access sale information via this link: http://www.dickinsoncommercial.com/docs/DunkinDonutsPackage.pdf

Sales Information Alan Dickinson, 904-993-2222, AlanRe@me.comJorge Suazo, 904-386-2800, Jorge@dickinsoncommercial.com

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

2

Letter from Managing MemberTo whom it may concern:

My name is Alan Dickinson. I am the managing member and 30% owner of the subject property. I am the developer, contractor, leasing agent and property manager for North Beach Center. No one

knows the property better than I do; no one can do a better job keeping the center 100% rented. I will stay in the deal and provide my services to anyone who wants to partner with me and buy out my 2 other partners who own a total of 70%. Over the past 4 years we have been very cooperative with our ten-ants in rent reductions and the future for NBC is a $150,000 overall rent increase over the next 5 to 10 years. My leasing strategy has always been a “bird in hand is better than 2 in the bush”. I value retention, people and their businesses. We have invested in many of these businesses by way of rent reductions.

In 2008 our NOI was $600,000/year and now it is $430,000/year. In the next few years a small increase overall of only $2.00 per square foot will increase the NOI by $116,000.

Note that we are allowing the Bistro to collect the rent from the Gallery 725 which will be ending soon. The Gallery725rentisthelandlord’sincome.Further,therearwarehouseandofficeshowroomspacesare$2.00 per square foot undervalued. Most of our front retail / restaurants are paying below market. We haveanexcellentloaninplacewithaterrificlender.Itisa20yearamortizedloanwithonly12years remaining. The note is paid down to $3,000,000 and now most of our payments go towards principal. The noteisassumableandin12yearswewillenjoytheassetasretiredfreecashflow.Uponpayoffofourloan,a 70% buyer would collect 70% of the current debt payment of $30,000 per month and in addition we should have another $20,000 per month income. For example, in 12 years, a 70% buyer should be col-lectingasmuchas$35,000permonthor$420,000peryearprofitontheirinvestment.Thinkofitasyour retirement in a dwindling Social Security market or your kids wealth transfer for their security.

I have been an excellent partner and handle all facets of the asset 100%, including management and leasing. The shopping center is well located in an area of limited competition and barriers to entry. The area of Atlantic / Neptune Beach are thriving middle and upper class neighborhoods.

Iwelcometheopportunitytomeetwithyoutodiscussthisfineproperty.

Sincerely,

Alan Dickinson

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

3

Investment Analysis

North Beach Center has always been 100% leased. In 2007, the NOI was $600,000 and offers to purchase were as high as $8.4 million. Today, the NOI is lower due to

the landlord working with tenants as they adjusted to the harsh economic climate of the past several years. Each tenant will comment on the landlord’s ability to work with them to stay in business was a key factor in staying open. While most businesses cut costs, including advertising, the landlord dropped rent rates, took out full-page ads, and helped pay for social media consulting. NOI will achieve $600,000 again for several reasons:

• The property is being sold far below the actual $5.5 million it cost to construct. In ad-dition, the restaurants and tenants combined added an another $2 million in recent buildouts!

• The surrounding Atlantic Beach and Neptune Beach areas have seen a steady increase in wealth and an infusion of money every year.

• Theareaismuchmoreaccessibletobusinessemploymentwiththefinishingoftheeastern loop of I-295 and the increase in lanes on Atlantic Boulevard. More people can live and work at the beach.

• There are barriers to entry for new retail centers due to a lack of under-developed parcels. This makes existing properties more valuable.

• The tenant mix in the Center are a healthy balance between restaurants and women services.

• The rents at the Center are among the lowest in the Beaches market and are trending to go higher with an improving economy.

• Relatively new, the North Beach Center is a thriving entity within Atlantic Beach and is well entwined in the fabric of surrounding neighborhoods, the businesses are on firstnamebasiswiththeircustomers.Yearsofbuildingeachtenant’sbusinesshascre-ated stability and is the reason the property has been historically 100% leased.

• Leasing the North Beach Center is relatively easy. If a vacancy does hapen, the land-lord puts a “For Lease” sign at the front of the propety on Atlantic Boulevard and usu-ally,within30daystheappropriatetenantisidentified.

• We encourage prospective owners to contact Alan Dickinson at AlanRE@me.com or 904-993-2222; Or speak to Jorge Suazo at 904-386-2800 or Jorge@DickinsonCom-mercial.com.

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

4

Income / ExpenseBase Rent (all leases triple net)with Dunkin Donuts Outparcel

$432,104$488,000

PassthroughsCAM $63,187RE Taxes $80,127Insurance $25,892Total Expenses $169,306

Net Operating Income $432,103

Market CAP 9%Market Valuewith Dunkin Donuts Outparcel

$4,856,000$5,500,000

CAM BreakdownManagement Fee $18,830Repairs/Maintenance $7,943Lawn and Grounds $6,776Building Exterior $3,627Signage $1,910Plumbing Repair $3,073Telephone Expense (Security Alarm) $2,617Pest Control $775Parking Lot $3,120Trash $12,794Water / Irrigation $1,683Total $63,187

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

5

Tenant Description

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

6

Floor Plan

#213,316

#127,000 #9

3,000#6

7,000

#6

#165,333

#153,832

#5#4

#3#2

#1

#11

#204,801

#195,375

#185,350

#172,300

Outpacel located to the South, across the parking lot.

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

7

Rent Rolls

Add an additional $56,200 per year in rent from the available Dunkin Donuts ground lease outparcel that would make the total price of the North Beach Center $5,500,000.

Atlantic-Penman, LLC

NORTH BEACH CENTER / ACTUAL AND PRO-FORMA RENT ROLL

2012

Atl-Penman RentRoll-Tenant-Pro-Forma-F (2).xlsx NBC RentRoll

Tenant Unit Total Sq.Ft.

Tenant Key Plan Annual Base Rent

Price PSF

Monthly Base Rent CAM

CAM PSF Sales Tax

Lease Rent Collections

Increase PSF

Pro-Forma Rents

Boom Shaka Laka Food Shack 1 2,115.00 Hawaiian BBQ $24,322.56 $11.50 $2,026.88 $881.25 $5.00 $203.57 $3,111.70 $0.00 $3,111.69

GoldFinders Interior Consign 3 1,680.00Used Furniture - Consignment $17,834.88 $10.62 $1,486.25 $666.40 $4.76 $150.69 $2,303.34 $2.00 $2,603.52

GoldFinders Interior Consign 15 5,115.00Used Furniture - Consignment $18,669.75 $3.65 $1,555.81 $1,291.54 $3.03 $199.31 $3,046.66 $2.00 $3,958.84

Nail & Spa 2 1,124.28 Beauty Salon $11,403.57 $10.14 $950.30 $451.57 $4.82 $98.13 $1,500.00 $4.00 $1,900.71

Shore Things of North Beach 4 1,680.00 Beach Theme Gift Store $31,216.08 $18.58 $2,601.36 $666.40 $3.09 $228.74 $3,496.50 $0.00 $3,496.50

Gallery 725 5 1,680.00 Art Gallery $0.00 $12.00 $0.00 $0.00 $5.00 $0.00 $0.00 $0.00 $2,546.60

North Beach Bistro 6 7,095.00 High-end Restaurant $66,355.08 $9.35 $5,529.59 $2,916.66 $4.93 $591.24 $9,037.49 $3.00 $10,931.98

Benito's Italian Restaurant 9 3,000.00Italian Restaurant and Pizzeria $21,000.00 $7.00 $1,750.00 $1,250.00 $5.00 $210.00 $3,210.00 $2.00 $3,745.00

Kloset Karma, LLC 11 1,103.00Used Clothing Store - Consignment $17,548.73 $15.91 $1,462.70 $463.26 $5.00 $134.82 $2,060.78 $3.00 $2,351.57

Big Fish 12 7,000.00High-end Seafood Restaurant $71,315.52 $10.19 $5,942.96 $2,468.25 $4.25 $588.79 $9,000.00 $1.00 $9,637.13

Chao Framing, LLC 16 5,330.44Picture Framing and Artists Assembly $19,855.89 $3.73 $1,654.66 $1,345.35 $3.03 $210.00 $3,210.00 $1.50 $3,925.96

Karen Orr 17 2,302.44 Wood work $12,829.20 $5.57 $1,069.25 $380.75 $3.03 $101.50 $1,551.50 $2.00 $2,176.19

Ashford/One Ocean Resort 18 5,350.00High-end Hotel Laundry Facility $29,853.00 $5.58 $2,487.88 $1,350.88 $3.03 $268.71 $4,107.47 $0.00 $4,107.33

Atlantic Beach Performance 19 5,375.00 Boot Camp Style Fitness $22,709.38 $4.23 $1,892.81 $1,357.19 $3.03 $227.50 $3,477.50 $2.00 $4,438.05

First Coast Center for Arts 20 4,801.00 Dance and Other Arts $24,705.95 $5.15 $2,058.78 $1,212.25 $3.03 $228.97 $3,500.00 $2.33 $4,499.22Atlantic Pottery Supply 21 3,316.00 Pottery Wholesale Store $11,000.00 $3.33 $916.67 $833.33 $3.03 $122.50 $1,872.50 $2.00 $2,471.86

TOTAL USABLE SPACE 58,067.16 $400,619.58 $33,385.89 $17,535.06 $3,564.48 $54,485.45 $65,902.14Less Vacancy

TOTAL LEASED (100%) 58,067.16 $400,619.58 $33,385.89 $17,535.06 $3,564.48 $54,485.45 $65,902.14

Annual Payment $653,825 $790,826Annual Without Sales Tax $611,052 $739,089Purchase Price $4,800,000 $4,800,000Annual Expenses $210,421 $210,421NOI $400,631 $528,669Plus CAM Revenue of $31,472.36 $31,472 $31,472Adjusted NOI with CAM Revenue $432,103 $560,141

CAP Rate (Lease and Pro-Forma) 9.00% 11.67%

Pro-Forma sale price at 8.5% Cap Rate $6,589,895

* SEE NEXT PAGE FOR TENANT PRO-FORMA COMMENTS *

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

8

Tenant Notes * CONTINUED FROM PREVIOUS PAGE *NORTH BEACH CENTER / ACTUAL AND PRO-FORMA TENANT COMMENTS

Lease Rent Collections Pro-Forma Rents

Boom Shaka Laka Food Shack 1 $3,111.70 $3,111.69 For 8 years Tijuana Flats (Burrito Co) occupied unit #1 paying $5,200/mo. $3,111.70 is very fair.

GoldFinders Interior Consign 3 $2,303.34 $2,603.52 For 4 years this tenant has not had a rent increase; a $2 psf increase is fair market rate in pro-forma rent.

GoldFinders Interior Consign 15 $3,046.66 $3,958.84 Tenant is only paying $3.65 net for fully air conditioned retail drop ceiling space; a $2 psf increase is fair market rent.

Nail & Spa 2 $1,500.00 $1,900.71 This tenant was paying $2,400/mo before we let them have a major rent reduction; a minimum $4 psf increase is fair market rent.

Shore Things of North Beach 4 $3,496.50 $3,496.50 Excellent tenant

Gallery 725 5 $0.00 $2,546.60 We let the Bistro collect the gallery rent which is the landlord's rent. $12 base plus $5 cam is fair market rent.

North Beach Bistro 6 $9,037.49 $10,931.98 Bistro used to pay $11,000/mo without the Gallery 725 rent.

Benito's Italian Restaurant 9 $3,210.00 $3,745.00 For 5 years we collected $4,600/mo from high-end hair and clothing store. This space could lease for $2 psf base more rent.

Kloset Karma, LLC 11 $2,060.78 $2,351.57 This space is only 1,000 Sq. Ft. and a $3.00 per sq. ft. increase is reasonable fair market rent.

Big Fish 12 $9,000.00 $9,637.13 Fair rent; only a $1 psf increase in pro-forma rent.

Chao Framing, LLC 16 $3,210.00 $3,925.96 Rent can be increased; a $1.5 psf increase is fair market rent.

Karen Orr Manufacturing 17 $1,551.50 $2,176.19 Rent is below market; a $2 psf increase is fair market rent.

Ashford/One Ocean Resort 18 $4,107.47 $4,107.33 Long-term lease

Atlantic Beach Performance 19 $3,477.50 $4,438.05 Very nice space $4.23 per sq. ft. net is very low

First Coast Center for Arts 20 $3,500.00 $4,499.22 Very, very low rent. Sprinklered demised walls, HVAC, lighting.

Atlantic Pottery Supply 21 $1,872.50 $2,471.86 Ridiculously low rent; a $2 psf increase is fair market rent.

Monthly Payment $54,485.44 $65,902.15Plus CAM Revenue $2,622.67 $2,622.67Cap Rates 9.00% 11.67%

In 2008 the Shopping Center was collecting a base rent of $600,000 per year. The landlord was more than fair to its tenants and would always lower rent upon request.The tenants will all say nice things about their landlord and the landlord value them as friends, not just tenants. Landlord maintained 100% occupancy over the past4 horrible years and the shoppin center income is now at its lowest point in history of the past 11 years since it opened. This shopping center is very stable and the spacesrent quickly. The location of Atlantic Beach is middle to high-end income levels. The rents will increase minimum $2.00 per sq. ft. times 58,067 sq. ft. quickly. A $100,000increase in rents over the next 5 years should be achievable. This would achieve a base rent yearly of $500,000.One potential buyer's comment recently was concerning the fact many leases expire in 2013. These businesses have invested large dollars into each space. We have neverhad renewal or leasing problems; at the current price per square foot where could they go?

Add an additional $56,200 per year in rent from the available Dunkin Donuts ground lease outparcel that would make the total price of the North Beach Center $5,500,000.

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

9

Assumable Loan

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center Tenants Site Plan

View this Site Plan at: http://www.DickinsonCommercial.com/docs/tenants-site-plan.pdf

SA

ILF

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Atlantic Boulevard

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

11

Photos

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

12

Photos

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

13

Photos

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

14

Property Maps

Disclaimer: Projections, opinions, and estimates are not facts and should not be taken as such. All information should be verified on your own before making any conclusions or actions.

North Beach Center 725 Atlantic Boulevard Atlantic Beach, Florida

15

Additional Opportunity

Visit the Dickinson Commercial website to learn more about an op-

portunity to own the adjacent Dunkin Donuts/Baskin Robbins!

http://www.dickinsoncommercial.com/docs/DunkinDonutsPackage.pdf