RITE AID Offered: $5,698,000 4100 Tree Way, Antioch, CA 94531 CHARLES H. LE, BROKER ASC./CIVIL ENGINEER Offering Memorandum RE/MAX BEVERLY HILLS, (310) 622-3663

PRIcING AND FINANcIAl ANAlysIs PROPERty DEscRIPtION DEMOGRAPhIcs

CONFIDENTIALITY & DISCLAIMER STATEMENT

This Offering Memorandum contains select information pertaining to the business and affairs of Rite Aid located at 4100 Lone tree Way, Antioch,

CA 94531 (“Property”). It has been prepared by Re/Max Beverly Hil ls. This Offering Memorandum may not be a ll - inclusive or contain all of

the information a prospect ive purchaser may desire. The information contained in this Offering Memorandum is confidential and

furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made

available to any other person without the written consent of Seller or Coll iers International. The mater ial is based in part upon

information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their of

f icers, employees, or agents makes any representat ion or warranty, express or implied, as to the accuracy or completeness of this

Offering Memorandum or any of its contents and no legal l iabil ity is assumed or shall be impl ied with respect thereto. Prospect ive

purchasers should make their own project ions and form their own conclusions without reliance upon the mater ial contained herein and

conduct their own due dil igence.

By acknowledging your receipt of this Offering Memorandum for the Property, you agree:

1. The Offering Memorandum and its contents are confident ia l ;

2. You will hold it and treat it in the str ictest of confidence; and

3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any

fashion or manner detr imental to the interest of the Seller.

Owner and Re/Max Beverly Hil ls expressly reserve the r ight, at their sole d iscret ion, to reject any and all expressions of interest or

offers to purchase the Property and to terminate d iscussions with any person or entity reviewing this Offering Memorandum or making an

offer to purchase the Property unless and unti l a written agreement for the purchase and sale of the Property has been fully executed

and delivered.

If you wish not to pursue negotiat ions leading to the acquisit ion of the Property or in the future you d iscontinue such negotiat ions, then

you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospect ive purchaser’s sole and exclusive rights with respect to this prospective transact ion, the Property, or information provided

herein or in connection with the sale of the Property shall be l imited to those expressly provided in an executed Purchase Agreement

and shall be subject to the terms thereof. In no event shall a prospect ive purchaser have any other claims against Seller or Re/Max Beverly

Hil ls or any of their aff i l iates or any of their respect ive of f icers, Directors, shareholders, owners, employees, or agents for any damages,

l iabil ity, or causes of action relating to this sol ic itation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or const itute an indication

that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.

TABLE OF CONTENTS PRICING & FINANCIAL ANALYSIS

Investment Highlights ............................................................ 2

Executive Summary ............................................................... 3

Brand overview ................................................................. 4

Lease Abstract ................................................................... 5

PROPERTY DESCRIPTION

Tenant Overview ................................................................ 8

Parcel Map......................................................................... 9

Bird’s Eye Map................................................................. 10

Tenant Map ..................................................................... 11

Regional Map ............................................................... 12 - 14

DEMOGRAPHICS

City Overview | Antioch, CA ................................ 16

Demographics Report ......................................................... 17

EXCLUSIVELY LISTED BY: CHARLES H. LE BROKER ASC./ CIVIL ENGINEER RE/MAX BEVERLY HILLS #1 TOP PRODUCER (9,10,11,12,13,14) @ RE/MAX BEVERLY HILLS

P: (310) 622-3663 / (310) 276 5478 CHARLES@CHARLESHLE.COM WWW.CHARLESHLE.COM

PRICING & FINANCIAL ANALYSIS

CHARLES H. LE BROKER ASC./ CIVIL ENGINEER RE/MAX BEVERLY HILLS #1 TOP PRODUCER (9,10,11,12,13,14)

@ RE/MAX BEVERLY HILLS P: (310) 622-3663 / (310) 276 5478 E: charles@charleshle.com WWW.CHARLESHLE.COM

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Property

INVESTMENT HIGHLIGHTS

• ATTRACTIVE 5.33% CAP RATE & NN LEASE ON 2 ACRE OF LAND

• HOUSEHOLD INCOMES OVER $95,000 WITHIN A ONE-MILE RADIUS

• HANDSOME 5.5% RENTAL INCREASE EVERY 5 YEAR OPTION

• RITE AID NATIONAL BRAND NAME TENANT, TOP FORTUNE 500 COMPANY

• MAJOR SIGNALIZED HARD CORNER, TRAFFIC COUNTS OVER 40,000 CARS PER DAY

• JUST 1 BLOCK FROM DALLAS RANCH MIDDLE SCHOOL AND 4 BLOCKS FROM DEER VALLEY HIGH SCHOOL

• RIGHT NEXT DOOR TO EPIC CARE, PARTNERS IN CANCER - A CANCER TREATMENT FACILITY

• TWO DOORS DOWN FROM THE 100+ UNIT SENIOR LIVING FACILITY

• RECENTLY REMODELED TO A WELLNESS STORE, AND ADDED A FRESH COAT OF PAINT TO THE EXTERIOR TO DEMONSTRATE THEIR COMMITMENT TO THE LOCATION

• RITE AID STOCK DRAMATICALLY INCREASED OVER 2,500% SINCE 2008 SHOWING THEIR LONG TERM VIABILITY IN THE DRUGSTORE MARKET

• CONVIENENT DRIVE THRU W/ LATE NIGHT OPERATIONAL HOURS, ATM AND WESTERN UNION LOCATED AT THIS RITE AID

• APPROXIMATE TO NATIONAL BRAND NAME & LOCAL TENANTS: MCDONALD, STARBUCK, SUBWAY, TACO BELL AMC THEATRES, CARL JR, BURGER KING AND MORE.

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EXECUTIVE SUMMARY

RITE AID 4100 Lone Tree Way Antioch, CA 94531

Suggested List Price..............................................$5,698,000 Rentable Square Feet .............................................±16,708 Sqft Price/SF…………………………………………………………………………$341.03 CAP Rate – current………………………………………………………..$5.33% Year Built……………………………………………………………………….2000 Lot Size…………………………………………………………………………..2 acres

ANNUALIZED OPERATING DATA

Current $25,286.99 $303,444 $18.16 5.33%

option 1 - 1/1/2021 $26,677.11 $320,125 $19.16 5.62%

option 2 - 1/1/2026 $28,069.44 $336,833 $20.16 5.91%

TENANT SUMMARY

Tenant Trade Name Rite Aid

Lease Guarantor Rite Aid Corporation

Roof and Structure Landlord Responsible

Lease Commencement Date 1/1/2000

Lease Expiration Date 12/31/2020

Increases None During Initial Term

Monthly Rent Annual Rent Rent/SF CAP Rate

Type of Ownership Fee Simple

Lease Type NN

Lease Term 20 years

Rent Commencement Date 1/1/2000

Term Remaining on Lease 5 years 9 Months

Options Six (6), Five (5) Year Options

option 3 - 1/1/2031 $29,461.77 $353,541 $21.16 6.21%

option 4 - 1/1/2036 $30,854.11 $370,249 $22.16 6.50%

option 5 - 1/1/2041 $32,246.44 $386,957 $23.16 6.79%

option 6 - 1/1/2046 $33,638.77 $403,665 $24.16 7.08%

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BRAND OVERVIEW

Rite Aid Corporation, through its subsidiaries, operates a chain of retail drugstores in the United States. The company sells prescription drugs and a range of other merchandise, including over-the-counter medications, health and beauty aids, personal care items, cosmetics, household items, food and beverages, greeting cards, seasonal merchandise, and other everyday and convenience products. It also offers various photo processing services in its stores. The company offers its products to customers covered by third party payors, such as insurance companies, prescription benefit management companies, government agencies, private employers, and other managed care providers. It has a strategic alliance with GNC. As of June 20, 2013, the company operated 4,615 stores in 31 states and the District of Columbia. Rite Aid Corporation was founded in 1927 and is headquartered in Camp Hill, Pennsylvania.

Source: Yahoo Finance

Property Name Rite Aid

Parent Company Trade Name Rite Aid Corporation

Credit Rating B

Revenue $25.526 Billion

Stock Symbol RAD

No. of Locations 4,615

Headquartered Camp Hill, PA 17011

Year Founded 1927

Property Type Drug Store

Ownership Public

Rating Agency Standard & Poor’s

Net income $249.4 Million

Board NYSE

No. of Employees 49,840

Website www.riteaid.com

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LEASE ABSTRACT

Tenant: Rite Aid - Thrifty Payless, Inc.

Property Address: 4100 Lone Tree Way, Antioch, CA 94531

Rent Commencement:

(a) the date on which tenant has opened for business on the Property; or (b) the date which is; forty-five (45) days after the date Landlord notifies tenant in writing (the "notice date") that construction of the Premises has been substantially completed in accordance with the Plans and Specifications prepared by tenant.

Lease Term: 20 year initial term

Ownership Fee Simple

Annual Rent: $303,443.91

Second Extension $336,833.28

Fourth Extension $370,249.28

Sixth Extension $403,665.28

Additional Rent None

Insurance Tenant Responsible

Roof/Structure Replacement Landlord Responsible

Tenant Address: 30 Hunter Lane, Camp Hill, PA 17011

Date of Lease: 11/5/1998

Lease Type: NN

Third Extension $353,541.28

Fifth Extension $386,957.28

Percentage Rent None

Real Estate Taxes Tenant Responsible

Utilities Tenant Responsible

Right of First Refusal None

First Extension $320,125.28

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Pricing and financial analysis Property Description Demographics

PROPERTY DESCRIPTION

CHARLES H. LE BROKER ASC./ CIVIL ENGINEER RE/MAX BEVERLY HILLS #1 TOP PRODUCER (9,10,11,12,13,14) @ RE/MAX BEVERLY HILLS

P: (310) 622-3663 / (310) 276 5478 E: charles@charleshle.com

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TENANT OVERVIEW

THE OFFERING

Property Name................................................Rite Aid

Property Address ............................................4100 Lone Tree Way Antioch, CA 94531

Assessor’s Parcel Number ………………………………… 072-450-001-2

SITE DESCRIPTION

Number of Stories...........................................One

Year Built ........................................................2000

Gross Leasable area (GLA ..............................16,708 SF

Lot Size ..........................................................2 acres (86,641SF)

Type of Ownership ........................................Fee Simple

Parking........................................................±85 Surface Spaces

Parking Ratio...............................................5.09:1,000 SF

Landscaping .................................................Professional

Topography ..................................................Generally Level

CONSTRUCTION

Foundation...................................................Concrete Slab

Framing......................................................Wood

Exterior.........................................................Painted Stucco

Parking Surface …........................................Asphalt

Roof .............................................................Flat

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PARCEL MAP

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AERIAL MAP

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LOCAL TENANTS MAP

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REGIONAL MAP

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LARGER REGIONAL MAP

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STATE MAP

DEMOGRPAHICS

CHARLES H. LE BROKER ASC./ CIVIL ENGINEER RE/MAX BEVERLY HILLS #1 TOP PRODUCER (9,10,11,12,13,14) @ RE/MAX BEVERLY HILLS

P: (310) 622-3663 / (310) 276 5478 E: charles@charleshle.com

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RE/MAX BEVERLY HILLS

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CITY OVERVIEW | ANTIOCH, CA

Antioch (formerly, East Antioch, Smith's Landing, and Marshs Landing is a city in Contra Costa County, California, United States.) Located in the east Bay region of the San Francisco Bay area along the San Joaquin-Sacramento river delta, it is a suburb of San Francisco and Oakland. the town has seen an enormous amount of growth in the last 30 years, as the population of the Bay area continues to grow, and real estate prices force families to move towards the outskirts of the Bay area. the city has a municipal marina, along with other private marinas, boatyards, and yacht clubs. There is a public fishing pier in town, and another out near the Antioch Bridge. There is fishing in the San Joaquin river along the Antioch/Oakley regional Shoreline, located just upstream from highway 160’s Antioch Bridge (also known as Nejedly Bridge). this city’s downtown is often characterized as a diamond in the rough. With a population of over 100,000 people, Antioch has become the heart of eastern contra costa county, offering a variety of employment, shopping and vast recreational activities. Antioch is one of the few Bay area communities that offers affordable housing. There are a variety of house styles throughout Antioch, from condominiums to single family residences, priced for a variety of income levels. The pace of development in Antioch has spurred activity for financial and insurance institutions, contractors, and other types of service-oriented businesses. Increased development has created increased employment in schools, hospitals and other local service sectors. There is always something to do in Antioch; like the county Fair, playing a round of Golf, or roaring down slides at the Prewett Family Water Park. There really is something for everyone who lives, works and plays in Antioch.

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RE/MAX BEVERLY HILLS

Pricing and Financial Analysis Property Description Demographics

DEMOGRAPHICS REPORT

Population 1-Mile 3-Mile 5-Mile

2019 Projection 20,807 105,941 185,513

2014 estimate 18,987 99,734 173,184

2010 census 16,892 93,216 159,877

2000 census 9,639 81,326 129,497

Growth 2013-2018 9.58% 6.22% 7.12%

Growth 2010-2013 12.40% 6.99% 8.32%

Growth 2000-2010 75.25% 14.62% 23.46%

Households

2019 Projection 5,861 32,846 57,392

2014 estimate 5,385 30,988 53,734

2010 census 4,990 29,278 50,234

2000 census 2,893 26,444 41,840

Growth 2013-2018 8.84% 5.99% 6.81%

Growth 2010-2013 7.91% 5.84% 6.97%

Growth 2000-2010 72.49% 10.72% 20.06%

Income

$ 0 - $14,999 5.89% 8.63% 8.63%

$ 15,000 - $24,999 6.02% 8.15% 8.15%

$ 25,000 - $34,999 7.69% 8.35% 8.35%

$ 35,000 - $49,999 7.71% 11.93% 11.93%

$ 50,000 - $74,999 16.03% 19.02% 19.02%

$ 75,000 - $99,999 14.97% 13.89% 13.89%

$100,000 - $124,999 16.68% 11.24% 11.24%

$125,000 - $149,999 8.38% 6.54% 6.54%

$150,000 - $199,999 10.60% 7.37% 7.37%

$200,000 - $249,999 2.67% 2.18% 2.18%

$250,000 - $499,999 2.90% 2.26% 2.26%

$500,000+ 0.45% 0.45% 0.45%

average household income $96,849 $83,101 $86,769