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Kentucky Fried Chicken (KFC) | Albany, GAOffering Memorandum

SHEREE STROME, CCIMASSOCIATE DIRECTOR

(404) 900-5629 [email protected]

KEELEE PETERSONASSOCIATE DIRECTOR


Representative Photo

EXCLUSIVE LISTINGOffering Memorandum

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C A L K A I N .C O MC A L K A I N .C O M

Kentucky Fried Chicken (KFC) | Albany, GA


1723 E Oglethorpe Blvd | Albany, GA

Asking Price $1,800,000 | Cap Rate 5.58%

Net Operating Income (NOI) $100,507

Rent/Month $8,375.60

Rent/SF $44.55

Rentable Square Feet 2,256+/- SF

Land Area 1.52+/- Acres

Tenant Name JRN Inc.

Guarantor Corporate

Ownership Type Fee Simple

Lease Type NNN

Landlord Responsibilities None

Store Opened 2009

Lease Term Remaining 11 Years

Rent Commencement January 1, 2009

Lease Expiration December 31, 2028

Increases 1.75% Every Year

Options Four (4), Five (5) Year

Rent Schedule

Term Increases Annual Rent Monthly RentCap Rate at $1,800,000

2009 - $85,978.00 $7,164.83 -

2010 1.75% $87,482.62 $7,290.22 -

2011 1.75% $89,013.56 $7,417.80 -

2012 1.75% $90,571.30 $7,547.61 -

2013 1.75% $92,156.30 $7,679.69 -

2014 1.75% $93,769.03 $7,814.09 -

2015 1.75% $95,409.99 $7,950.83 -

2016 1.75% $97,079.66 $8,089.97 -

2017 1.75% $98,778.56 $8,231.55 -

2018 1.75% $100,507.18 $8,375.60 5.58%

2019 1.75% $102,266.06 $8,522.17 5.68%

2020 1.75% $104,055.71 $8,671.31 5.78%

2021 1.75% $105,876.69 $8,823.06 5.88%

2022 1.75% $107,729.53 $8,977.46 5.98%

2023 1.75% $109,614.80 $9,134.57 6.09%

2024 1.75% $111,533.06 $9,294.42 6.20%

2025 1.75% $113,484.89 $9,457.07 6.30%

2026 1.75% $115,470.87 $9,622.57 6.42%

2027 1.75% $117,491.61 $9,790.97 6.53%

2028 1.75% $119,547.71 $9,962.31 6.64%

Average Cap 6.10%

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Financial Summary


serves more than 12 million customers each day in more than 115 countries and territories around the world. KFC operates more than 17,000 restaurants in the Unites States and internationally. KFC’s parent company is Yum! Brands, Inc., the world’s largest restaurant company in terms of system restaurants, with more than 40,000 locations in more than 130 countries and territories and employing more than one million associates. Yum! is ranked number 201 on the Fortune 500 list, with revenues exceeding $13 billion in 2012.

KFCFRANCHISE.COM

About JRN, IncJRN, Inc. is a Kentucky Fried Chicken, Taco Bell and Pizza Hut Franchisee operating restaurants in the Southeast and Midwest regions of the US. They operate 155 restaurants in 11 states and are based in Columbia , TN.

KFC CorporationKFC Corporation, based in Louisville, Kentucky, is one of the few brands in America that can boast a rich, decades-long history of success and innovation. It all started with one cook who created a soon-to-be world-famous recipe more than 70 years ago, a list of secret herbs and spices scratched out on the back of the door to his kitchen. That cook was Colonel Harland Sanders, of course, and now KFC is the world’s most popular chicken restaurant chain, specializing in that same Original Recipe® along with Extra Crispy™ chicken, home-style sides and buttermilk biscuits. There are over 20,500 KFC outlets in more than 125 countries and territories around the world. And you know what? There’s still a cook in a kitchen in every last one of them, freshly preparing delicious, complete family meals at affordable prices.

KFC FranchiseBased in Louisville, Kentucky, KFC Corporation is the franchisor of the world’s most popular chicken restaurant chain, specializing in Original Recipe®, Extra Crispy™, Kentucky Grilled Chicken® and Extra Crispy™ Tenders with home-style sides, Hot Wings™ pieces and freshly made chicken sandwiches. Famous for its Original Recipe® fried chicken, which is made with the same secret blend of 11 herbs & spices that Colonel Sanders perfected more than a half century ago, KFC has been serving customers complete, freshly prepared family meals since Colonel Harland Sanders founded the concept in 1952.

It is estimated that, on average, more than 185 million people see a KFC commercial at least once a week—that’s more than half the U.S. population. The KFC system

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Tenant Overview



Investment Highlights • NNN lease with 11 years remaining

• Established location

• Signalized intersection

• Above average store sales

• 21,970 VPD

• 5 miles from MillerCoors Albany Brewery

Oglethorpe Blvd 21,970 VPD

Edison Dr

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Distance To:Macon, GA 105 miles

Atlanta, GA 179 miles

Savannah, GA 227 miles

Columbia, SC 300 miles

Atlanta, GA

Albany, GA

Location Overview

Subject Site

Columbia, SC

Macon, GA

Marietta, GA

Savannah, GA

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Subject Site

19

19


Henderson Park and

Community Center

Dougherty Middle School


Dougherty High School

Relax Inn Albany

Dougherty Loan & Tax

Luxury Inn

Fish Fillet

Deep South Inn

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19


Subject Site

Albany Police Department

Dougherty Loan & Tax

China East

Henderson Park and

Community Center

Fish Fillet

Dougherty Middle School

Luxury Inn


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Radius 1 Mile 3 Miles 5 MilesPopulation2016 Population 4,324 25,282 53,290

2021 Population 4,262 24,869 52,639

2016 Male Population 46.4% 47.1% 47.1%

2016 Female Population 53.6% 52.9% 52.9%

2016 Median Age 26.9 27.4 31.7

Households2016 Total Households 1,701 8,018 18,952

2021 Total Households 1,673 7,857 18,682

2016 Average Household Size 2.53 2.79 2.61

Median Household Income2016 Median Household Income $19,434 $21,484 $24,827

2021 Median Household Income $19,322 $21,765 $25,141

Average Household Income2016 Average Household Income $27,807 $32,146 $37,629

2021 Average Household Income $28,957 $33,881 $40,027

2016-2021 Annual Rate 0.81% 1.06% 1.24%

Per Capita Income2016 Per Capita Income $11,075 $12,524 $14,972

2021 Per Capita Income $11,506 $13,126 $15,841

2016-2021 Annual Rate 0.77% 0.94% 1.13%

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Demographics


Albany, GAAlbany is a city in the U.S. state of Georgia, and is the seat of Dougherty County. Located in southwest Georgia, it is the principal city of the Albany, Georgia metropolitan area. The population was 75,769 at the 2014 U.S. Census, making it the eighth-largest city in the state. the Albany, Georgia Metropolitan Statistical Area (MSA) had an estimated population of 157,308 and ranked 252nd in the U.S. in 2010.

Albany sits at the center of Southwest Georgia, a storied region closely tied to America’s early Indian culture, the antebellum age of the Old South and the time-less sport of fishing and hunting. Lying below the land around Albany is the

Floridan Aquifer, an ocean of fresh water that feeds the area’s rivers and creeks and fuels its economy.

Today, although the city is surrounded by pecan groves, pine trees, farms and plantations, almost none of the population is employed in agriculture. It is heavily mechanized. The city itself, however, is surrounded by a river which separates the two divisions of Albany.

Health care, education and the Marine Corps Logistics Base Albany are the largest employers. Manufacturing, transportation, and retail trade are also important foundations of Albany’s economy, and the city acts as a hub for commerce in southwest Georgia.

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Market Overview


SHEREE STROME, CCIMASSOCIATE DIRECTOR


KEELEE PETERSONASSOCIATE DIRECTOR


Who Are We? We are a national commercial real estate firm that provides consulting and brokerage services to both private and institutional clientele with an expertise on triple net lease investments. We pride ourselves on being a world class leader by providing our clients a full array of commercial real estate investment brokerage and asset management solutions, including advisory, research, estate planning and wealth management.

We have built solid relationships throughout our decades of experience and innovation, implementing long-term allocation within the context of each client’s particular risk tolerance and identifying how best to acquire and dispose of income producing properties for each entities’ specific set of investment criterion. At Calkain, our foresight and past performance are leading the net lease investment industry.

Our HistoryLike most success stories, Calkain was formulated from humble beginnings. Jonathan W. Hipp, President and CEO, took the initiative to build upon his decades of experience and performance and left a large international brokerage firm to become an independent and innovative leader within the triple net lease investment community. Armed with a sole employee and a single office, the firm has grown exponentially since its infancy in 2005.

With the growth in staff, seasoned professionals have been attracted to Calkain’s model of innovation, entrepreneurship and the fostering of long-lasting and meaningful relationships. Industry experts have joined Calkain in the hopes of implementing the skills they have honed in complementary aspects of real estate investment.

Through a tremendous endeavor, tireless hours have been committed to continually prove that Calkain is America’s Net Lease Company®. Its countless accolades received from the world’s leading business publications, including Forbes™, Fortune™ and the New York Times™ have confirmed that Calkain is a true leader in triple net lease investing services.

Client Testimonial

“USRA has worked with Calkain on numerous occasions. They have always been meticulous in their work ethic, providing superior service and extremely prompt attention to our needs. I highly recommend them.

- Jack Genende, Partner | U.S. Realty Advisors, LLC. (USRA)

$11.5 Billion in Closed Transactions

$350 Million

in Active Listings

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C A L K A I N .C O MC A L K A I N .C O M

About Calkain

DISCLAIMER: The information contained in this document is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Calkain and its subsidiaries, and should not be made available to any other person or entity without the written consent of Calkain. This document has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property(s). The information contained herein is not a substitute for a thorough due diligence investigation. Calkain and its subsidiaries have not made any investigation, and make no warranty or representation, with respect to the income or expenses for the subject property(s), the future projected financial performance of the property, the size and square footage of the property(s) and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regula-tions, 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(s). The information contained in this document has been obtained from sources we believe to be reliable; however neither Calkain and its subsidiaries nor the Seller have verified, and will not verify, any of the information contained herein, nor has Calkain and its subsidiaries or the Seller conducted any investigation regarding these matters and make 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.

Corporate Headquarters Washington, DC12930 Worldgate Drive | Suite 150 Herndon, VA 20170 T: (703) 787-4714 • F: (703) 787-4783

Tampa400 N. Tampa Street | Suite 2660 Tampa, FL 33602 T: (813) 282-6000 • F: (813) 282-6098

South Florida200 SW 1st Avenue | Suite 880 Fort Lauderdale, FL 33301 T: (954) 302-7365

Atlanta111 Village Parkway, Building 2 | Suite 202 Marietta, GA 30067 T: (404) 900-5629

Boston101 Federal Street | Suite 1900 Boston, MA 02110 T: (617) 261-8584

CALKAIN.COM

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