NNN SingleTire Tenant Investment Offering Centers, Inc. NNN Leased Investment – Nashville, TN Tire Centers, Inc. (TCI) NNN Lease Nashville, TN Tire Centers Absolute NNN Lease 328 Fesslers Lane Nashville, TN 37210 $1,050,000 9.84% Cap Built in 1996 Approx. 4+ years Remaining on the lease Fee Simple Building and Land Tire Centers, Inc. is a wholly owned subsidiary of Michelin of France Brent L. Hensley (760) 452.2401 brent@1031nnnsearch.com 216 N. Coast Hwy 101 Encinitas, CA 92024 www.1031nnnsearch.com Joey Valenti Centennial Retail Services (615) 234-4908 jvalenti@centenretail.com Tire Centers, Inc. NNN Leased Investment – Nashville, TN Property Description The subject property consists of the ownership of improved land (1.83 acres) occupied by a 12,133 square foot commercial building constructed of concrete and metal. The commercial/industrial building was completed in 1996. The building was designed with 4 service bays for both cars and large delivery trucks. The property is used by TCI for automotive service center for retail sales of tires and other automotive repairs and service. The building has a 1,500 s.f. of office and showroom; 1,800 s.f. of shop area; and 8,833 s.f. of warehouse space. Located in Nashville's Industrial Business District, this property is conveniently located just south of the downtown interstate loop at the Fesslers exit. The location provides for easy access to I-40, I-440 and I-24 highways. This is a central location in Nashville being close to downtown, the main post office and the Nashville International Airport. Surrounding businesses include Boswell's Harley Davidson, Ram Tools and the Neely Cable Company. Nashville is the capital of the state of Tennessee and the county seat of Davidson County. It is located on the Cumberland River in the north-central part of the state. The city is a center for the health care, publishing, banking and transportation industries, and is home to a large number of colleges and universities. It is most notably known as a center of the music industry, earning it the nickname "Music City". The property sits 6 miles from Vanderbilt University. DEMOGRAPHIC SUMMARY (As of 2011) 1 Mile: 3,794 with an average household income of $28,097. 3 Mile: 79,082 with an average household income of $47,018. 5 Mile: 209,857 with an average household income of $54,654. Tire Centers, Inc. NNN Leased Investment – Nashville, TN Tenant Information Tires Center, LLC, (formerly, “Tires Centers, Inc.”) is a manufacturer of auto and truck tires as well as a national tire retailer/distributor for multi-line tire brand stores known as T3 Tire Centers. Tires Center, LLC operates T3 Tire Centers as its retailer to supply new and re-tread truck tires. The tires are manufactured at the Tire Centers, LLC plant/distribution subsidiary located in Statesville, North Carolina. Tires Centers, LLC has a D&B rating of 1R3 (D&B rating combines Tenant with its parent company) and as of December 31, 2003, had a net worth of $28.88 million and working capital of $120,040,000. Tire Centers, LLC employs 2,361 people and at year end had 2003 sales of $626.9 million. www.t3tires.com Tires Center, LLC was started by B.F. Goodrich in 1985 as Tire Centers, Inc. Tire Centers, Inc. prior to being merged with a subsidiary of Michelin North America, Inc., named Michelin Retail Holdings LLC on April 22, 1999. After the merger, the name was changed to Tire Centers, LLC. Michelin North America, Inc. is now the sole member of the LLC. Tires Center, LLC is a 100% owned subsidiary of Michelin North America Inc. and a subsidiary of Michelin Corporation (DUNS number 044691848), based in Greenville, South Carolina. Michelin North America Inc. has a D&B rating of 1R3 and employs over 16,000 people in the U.S. Michelin Corporation has been under the present management control for 54 years with 100% of its capital stock owned by its parent company, Michelin Corporation of Greenville, SC. Michelin North America Inc., Wilmington, DE, incorporated in Delaware June 19, 1989 and operates as a holding company for certain of the North American operations of the European parent corporation, which include Tires Center, LLC, Michelin Tire, Michelin Americas Research & Development Corp. and Uniroyal Goodrich. Uniroyal Goodrich Tire Company, Akron, OH, started in August 1986 and is a manufacturer for Michelin of pneumatic car and truck tires. Michelin North America Inc. is a subsidiary of Michelin Corporation (Greenville, SC) and started in 1922. Michelin Corporation owns 100% of the capital stock for Michelin North America Inc. Michelin North America Inc. manufacturers wholesales pneumatic car, truck and aircraft tires and sells through its Tires Center, LLC, a distribution network of approximately 7 million square feet in the U.S. and Canada. www.michelin-us.com The top parent company of this group of companies is Compagnie Generale Des Etablissements Michelin, based in Clermont Ferrand, France, and is a publicly traded holding company started in 1832 and engaged primarily in manufacture of pneumatic tires. This parent company has in excess of 20 subsidiaries (including the Tenant) worldwide. Ref: (www.dnb.com or 1-800-234-3867). Tire Centers, Inc. NNN Leased Investment – Nashville, TN INVESTMENT SUMMARY Financial Information: Price: Cap Rate: NOI: Rent Increases: $1,050,0000 9.84% $103,395.48.00 Cumulative CPI not to exceed 9% every 3 years. Next increase scheduled 1/1/2015. Property Information: Building Size: Lot Size: Address: Year Built: 12,133 +/- square feet 1.83 acres or 43,738 +/- square feet 328 Fessler Lane, Nashville, TN 37210 1996 Lease Information: Tenant & Guarantor: Rent Commencement Date: Expiration Date: Renewal Options: Rent Increases: Remaining Term: Tire Centers, Inc., an Ohio corporation January 1, 1997 December 31, 2017 None Annual 1% including option periods Approx. 4+ years Tire Centers, Inc. is responsible, and consistently pays for all property taxes, insurance and maintenance for the property. Original 20 year absolute NNN lease. Assumable Loan: None, offered free and clear of any mortgages. Tire Centers, Inc. NNN Leased Investment – Nashville, TN MAPS Local Nashville Map Regional Map of Nashville and Tire Centers, Inc. Location Tire Centers, Inc. NNN Leased Investment – Nashville, TN AERIAL IMAGES Tire Centers, Inc. NNN Leased Investment – Nashville, TN Tire Centers, Inc. NNN Leased Investment – Nashville, TN