Single-Tenant Absolute NNN KFC - Pizza Hut Restaurant

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8939 West 7 Mile Road, Detroit, MI 48221 PRICE: $1,207,000 CAP RATE: 5.

101 714-875-2400 Direct pmatusik@primenetlease.

1 8939 West 7 Mile Road, Detroit, MI PRICE: $1,207,000 CAP RATE: 5.30% LEASE: 19 YEARS REMAINING 440+ Franchisee Guarantee SUBJECT PROPERTY HIGHLIGHTS Exclusively Listed by: Paul R. Matusik Ext Direct pmatusik@primenetlease.com Representative Photo Representative Photo In Association with US Realty A Licensed Michigan Broker ( ) 440+ Unit Franchisee Guarantee! 19 Years Remaining On Primary Lease Term! Remodel in Progress! Rent Increases in Base Term and Option Periods! Located along 7 Mile Road (20,000 cars per day)! 460,000 Residents Within 5-Mile Radius of Property! Long term operating History at Site! Absolute NNN Lease No Landlord Responsibilities!

2 8939 West 7 Mile Road, Detroit, MI PRICE: $1,207,000 CAP RATE: 5.30% About The Investment The subject property affords investors the rare opportunity to acquire a superbly located KFC/Pizza Hut located in Detroit, MI. Built originally in 1973 and slated to be completely remodeled by early 2018, the 2,400 square foot building has successfully operated as an KFC Restaurant since Due to its location KFC/Pizza Hut enjoys great street/traffic visibility along 7 Mile Road a major thoroughfare with over 20,000 cars per day. Other retailers in the immediately across the street include Rite Pharmacy, Home Depot, Michigan First Credit Union, Checkers Burgers and Little Caesars Pizza. Due to limited competition, this location has excellent store sales and a low rent to sales ratio of only 6.5%. The lease is absolute net in nature and requires absolutely zero landlord responsibilities. There are currently over 19 years remaining on an initial lease term that is complimented by (4), 5-year option periods that extend through There are 7% rent increase every 5 years during the lease term and in each option period. The lease is backed by KBP Foods, Inc, one of the largest QSR franchisee with more then 440+ restaurants system wide. Company wide gross sales exceeded $400 million in FQSR, LLC is the tenant on the lease, which also guarantees all 449 restaurants in the system. ANNUALIZED OPERATING DATA Rent Increases Annual Rent Current $ 64,000 July 1, 2021 $ 68,480 July 1, 2026 $ 73,736 July 1, 2031 $ 78,402 July 1, 2036* $ 83,890 July 1, 2041* $ 89,763 *Denotes Option Period NET OPERATING INCOME $64,000 TOTAL RETURN $64,000 LEASE ABSTRACT Tenant: Lease Commencement: July 2016 Lease Expiration: June 2036 Renewal options: Rent Increases: Type of Ownership: No. of Tenant Locations: 440+ PROPERTY INFORMATION Address Exclusively Listed by: Paul R. Matusik Ext Fax pmatusik@primenetlease.com Lic # KBP, Foods. (440+ units) (4), 5-Year Options 7.0% Every 5 years Fee Simple Offering Price $1,207,000 Price / SF $ Cap Rate 5.30% Net Annual Operating Inc. $64,000 Year Built /Remodeled 1973/2018 Rentable Square Feet 2,400 Land Area 8939 West 7 Mile Road Detroit, MI Acres

3 Photos PRICE: $3,990,000 SUBJECT

4 Map SUBJECT

5 Satellite Map

Tenant KBP-Foods KBP Foods is a leading national quick-service restaurant company operating in the United States.

KFC Also know as Kentucky Fried Chicken, is an American fast food restaurant chain that specializes in fried chicken.

with almost 20,000 locations globally in 123 countries. KFC is a subsidiary of YUM! Brands, Inc.

The company is known for its Italian-American cuisine menu including pizza and pasta, as well as side dishes and desserts.

, NYSE: YUM and formerly Tricon Global Restaurants, Inc., is an American fast food company. A Fortune 500 corporation. Yum!

Based in Louisville, Kentucky, it is one of the world's largest fast food restaurant companies in terms of system units with

6 Tenant KBP-Foods KBP Foods is a leading national quick-service restaurant company operating in the United States. KBP Foods is the fastest growing OSR Franchise in the US. It currently operates 449 restaurants in 20 states. KFC Also know as Kentucky Fried Chicken, is an American fast food restaurant chain that specializes in fried chicken. Headquartered in Louisville, Kentucky, it is the world's second-largest restaurant chain (as measured by sales) after McDonald's, with almost 20,000 locations globally in 123 countries. KFC is a subsidiary of YUM! Brands, Inc. Pizza Hut Pizza Hut is an American restaurant chain and international franchise founded in 1958 by Dan and Frank Carney. The company is known for its Italian-American cuisine menu including pizza and pasta, as well as side dishes and desserts. Pizza Hut has over 15,000 locations worldwide as of 2015 and is also a subsidiary of YUM! Brands Inc. YUM! Brands Yum! Brands, Inc., NYSE: YUM and formerly Tricon Global Restaurants, Inc., is an American fast food company. A Fortune 500 corporation. Yum! operates the brands Taco Bell, KFC, Pizza Hut, and Wingstreet worldwide. Based in Louisville, Kentucky, it is one of the world's largest fast food restaurant companies in terms of system units with 43,617 restaurants (including 2,859 that are company -owned and 40,758 that are franchised) around the world in over 135 countries and territories. Company wide revenues were $6.3 Billion in 2016 with net income of $1.61 Billion. Current stock price stand at $74, with a market cap of $26 Billion.

City of Detroit City of Detroit Detroit is the most populous city in the U.S. state of Michigan, the largest city on the United States Canada border, and the seat of Wayne County.

3 million people, making it the third-largest in the Midwest.

7 City of Detroit City of Detroit Detroit is the most populous city in the U.S. state of Michigan, the largest city on the United States Canada border, and the seat of Wayne County. The municipality of Detroit had a 2015 estimated population of 677,116, making it the 21st-most populous city in the United States. The metropolitan area, known as Metro Detroit, is home to 4.3 million people, making it the third-largest in the Midwest. Detroit is best known as the center of the American automobile industry, and the "Big Three" auto manufacturers General Motors, Ford, and Chrysler are all headquartered in Metro Detroit. The city has numerous Universities, the largest, Wayne State is a comprehensive public research university Detroit and the third largest in the state with just over 27,000 students. Other notable universities include University of Detroit Mercy (4,900 students) and University of Michigan Dearborn (9,300 students) Detroit's diverse culture has had both local and international influence, particularly in music, with the city giving rise to the genres of Motown and techno, and playing an important role in the development of jazz, hip-hop, rock, and punk music. The erstwhile rapid growth of Detroit left a globally unique stock of architectural monuments and historic places of the first half of the 20th century, and since the 2000s conservation efforts managed to save many architectural pieces and allowed several largescale revitalizations, including the restoration of several historic theatres and entertainment venues, highrise renovations, new sports stadiums, and a riverfront revitalization project. More recently, the population of Downtown Detroit,Midtown Detroit, and various other neighborhoods has increased. Top 10 Employers 1. Detroit Medical Center (11,000+ Employees) 6. US Government (6,000+ Employees) 2. City of Detroit (9,000+ Employees) 7. Wayne State University (6,000+ Employees) 3. Quicken Loans (9,000+ Employees) 8. Chrysler (5,000+ Employees) 4. Henry Ford Health Systems (8,000+ Employees) 9. Blue Cross/ Blue Shield (5,000+ Employees) 5. Detroit Public Schools (6,000+ Employees) 10. General Motors (4,300+ Employees)

EXCLUSIVE OFFERING KFC 400 W 11TH COLLIERS NNN GROUP STREET LISTING AGENTS: Ruben Sandoval Market Analyst. Adam T. Lucatello Vice President

EXCLUSIVE OFFERING KFC 400 W 11TH COLLIERS NNN GROUP STREET LISTING AGENTS: Ruben Sandoval Market Analyst. Adam T. Lucatello Vice President COLLIERS NNN GROUP EXCLUSIVE OFFERING 400 W 11TH STREET TRACY,, CA C 95376 EXCLUSIVE LISTING AGENTS: Adam T. Lucatello Vice President Tel: (209)475-5118 adam.lucatello@colliers.com CA License No. 01336956