OFFERING MEMORANDUM

DEL TACO - CORPORATE LEASE 4380 North Nellis Boulevard, LAS VEGAS, NEVADA

CONFIDENTIALITY AND DISCLAINMER

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiv-

ing it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Mar-

keting Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of inter-

est in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made

any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial

performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB’s or

asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business pro-

spects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Bro-

chure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information

contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes 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.

NON-ENDORSEMENT NOTICE

Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of

any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Mil-

lichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of

providing tenant lessee information about this listing to prospective customers.

NET-LEASED DISCLAIMER

Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows: The information contained in this Marketing Brochure has

been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will not verify any of this information, nor has Marcus &

Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee, warranty or representation whatsoever about the

accuracy or completeness of any information provided. As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the

accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due

diligence investigation of this investment opportunity. Marcus & Millichap expressly denies any obligation to conduct a due diligence examination of this

Property for Buyer. Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the

current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax,

financial and legal advisors. Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net

leased property to determine to your satisfaction with the suitability of the property for your needs. Like all real estate investments, this investment carries

significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and

tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the

lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or

no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent

or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic,

environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all

matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the

current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant consid-

ering the location of the property, and Buyer’s legal ability to make alternate use of the property. By accepting this Marketing Brochure you agree to release

Marcus & Millichap Real Estate Investment Services and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation

and/or purchase of this net leased property.

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. 2018 Activity ID Z0140131

Broker of Record:

Todd Manning

Tel 702-215-7100

License: B.1001879. CORP

TABLE OF CONTENTS • Investment Highlights

• Executive Summary

• Offering Summary

• Aerial Map

• Property Pictures

• Demographics

EXECUTIVE SUMMARY The subject property is a single-tenant, freestanding Del Taco located in

Las Vegas, Nevada. There are currently eight and half years remaining

on an absolute NNN corporate guaranteed lease with ten percent rental

increase every five years during initial lease terms and option years (CPI

ten percent maximum). Del Taco is located at a busy intersections, with

daily combined average traffic counts approximately 38,767 CPD at the

intersection of East Craig Road and North Nellis Boulevard. The subject

property is closely located to Nellis Air Force Base with over 40,000 total

military population including family members and military retirees in

the area. Immediate tenants include McDonald’s, Jack in the Box,

7-Eleven, Shell, IHOP, La Quinta Inn, AutoZone, Taco Bell and more.

Las Vegas is the most populous city in Nevada and the county seat of

Clark County. Las Vegas is a major resort city, internationally renowned

for gambling, shopping, and fine dining. The city bills itself as The

Entertainment Capital of the World, and is famous for its consolidated

casino-hotels and associated entertainment. Las Vegas is the number

one domestic convention location in the world with over 22,000

conventions held annually. Moreover, the city is the destination to over

42 million visitors a year, which is estimated to generate over fifty

billion annually for the state. Las Vegas is home to world-class

entertainment, dining, shopping opportunities, premier hotels and

casinos, and so much more. The city is ranked eleventh in the nation for

job growth with construction being one of the biggest gains. The Las

Vegas economy is thriving with new development, including NFL

Stadium home to Raiders, Las Vegas Park and Arena, Resorts World

Casino, Faraday Future electric car facility, Topgolf international

location, and more, providing further stimulation and demand for the

Las Vegas market.

INVESTMENT HIGHLIGHTS

• Corporate Guaranty Lease with Eight and Half Years Remaining

• Absolute NNN Lease - Zero Landlord Responsibilities

• The Subject Property is a 2,710 Square Foot Building Situated on .95 Acre Lot

• Excellent Traffic Counts - Approximately 38,767 Cars Per Day Com-bined on East Craig Road and North Nellis Boulevard.

• Located at a Signalized Corner - Excellent Visibility

• Ten Percent Rent Increase Every Five Years - Ten Percent (Max) CPI During Initial and Option Years

• Del Taco is Second Largest Fast Food Mexican Chain in the U.S. - 565+Locations

• Del Taco Recently Expanded Delivery with GrubHub, the Nation’s Leading Online and Mobile Food-Ordering and Delivery Marketplace

• Del Taco is a Publicly Traded Company (NASDAQ: TACO)

• Over Seven Mega Projects that Require 10,000+ Job Openings to Complete in Las Vegas

• Close Proximity to Nellis Air Force Base with a Work Force of about 9,500 Military and Civilians - Total Military Population Numbers more than 40,000 Including Family Members and Military Retirees in the Area

• Significant Developments in Las Vegas - NFL Stadium Home to Raiders to be Completed in 2020, Recently Expanded Las Vegas Convention Center, Resorts World Casino, Steve Wynn’s Paradise Park and New Hotel Casino, 4,000+ Room Mega Hotel by Marriott (The Drew Las Vegas), and More, Providing Further Stimulation and Demand for the Las Vegas Market.

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. 2018 Activity ID Z0140131

OFFERING SUMMARY

PRICE

$ 2,743,000 CAP RATE

6.25% LEASE TERM REMAINING

8.5 YEARS NET OPERATING INCOME

$ 171,484 GROSS LEASABLE AREA

2,710 SF +/-

LOT SIZE

.95 ACRES +/-

4380 North Nellis Boulevard Las Vegas, NV 89115

Tenant Trade Name Del Taco

Lease Type Absolute NNN

Lease Guarantor Corporate

Initial Lease Term 20 Years

Lease Expiration Aug 2028

Term Remaining 8.5 Years

Increases 10% CPI Max Every 5 Years

Options Four Five-Years

Type of Ownership Fee Simple

Roof and Structure Tenant

LEASE SUMMARY

RENT SCHEDULE

Annual Rent Rent Increases

Current - Aug 2023 $171,484.08

Sept 2023 - Aug 2028 $188,632.49 10% Max CPI

Option 1 $207,495,74 *10% Max CPI

Option 2 $228,245.31 10% Max CPI

Option 3 $251,069.84 *10% Max CPI

Option 4 $276,176.83 10% Max CPI

* 1st & 3rd Option - rent shall be the fair market value however

shall not be less than 110% or greater than 120% of rent prior to

each such Option Term

PROPERTY OVERVIEW

Gross Leasable Area (GLA) 2,710 SF +/-

Lot Size .95 Acres +/-

Year Built 2001

APN 140-04-310-003

Access Two Access Points

North Nellis Blvd & East Craig Rd

Traffic Counts (CPD) East Craig Rd - 20,329 CPD

N Nellis Blvd - 18,438 CPD

E Craig Road

20,329 CPD

N Nellis Blvd

18,438 CPD

Aviation

Inn

McDonald’s

Headquartered in Lake Forest, California, Del Taco is the second largest Mexican fast-food restaurant chain (behind Taco Bell) in the United States. The publicly-owned company (NASDAQ: TACO) boast 2018 revenue of nearly $500M, a 7.2% YOY increase. Founded in 1964, Del Taco has more than 550 restaurants (310 corporate locations and 241 franchise loca-tions) in 15 states across the United States, with a concentra-tion in California, Oregon and Washington. The menu includes classic Mexican dishes such as tacos, burritos, quesadillas and nachos, as well as American favorites including hamburgers, crinkle-cut fries and shakes. Further, many locations open 24 hours a day.

Founded by Ed Hackbarth and David Jameson, the Yermo, California taco stand made the equivalent of 900 tacos in sales on its first day. In 1978, Del Taco expanded to 100 restaurants and grew their menu to include the bun taco and ice cream sundaes. Ten years later, the chain vastly increased its geographic scope by merging with the Naugles restaurant chain. By the 2000s, the chain nearly doubled in size, and continued its dedication to fresh quality ingredients and superior customer service. The nation’s leading consumer review magazine named Del Taco as having the “Best Value for Your Money” in its annual America’s Best Fast Food survey (August 2014).

COMPANY SUMMARY

Stock Symbol (NYSE) TACO

Enterprise Value $418 MILLION

No. of Locations 568

Year Founded 1964

Headquartered Lake Forest, CA

DEMOGRAPHICS

1 Miles 3 Miles 5 Miles

POPULATION 2023 Projection 15,374 83,636 285,470

2018 Estimate 14,298 76,187 263,253

2010 Census 12,570 68,157 237,645

2000 Census 9,791 51,658 182,306

INCOME

Average $45,470 $52,976 $56,237 Median $33,145 $41,183 $44,408 Per Capita $16,058 $16,416 $16,488

HOUSEHOLDS

2023 Projection 5,291 25,686 85,076 2018 Estimate 4,746 22,717 75,783 2010 Census 4,154 20,406 68,984 2000 Census 2,945 15,962 54,489

HOUSING

2018 $72,205 $124,076 $136,183 EMPLOYMENT

2018 Daytime Popu-lation 23,889 86,424 215,255 2018 Unemployment 7.19% 7.33% 7.16% 2018 Median Time Traveled 29 30 30

RACE & ETHNICITY

White 39.49% 38.87% 40.66% Native American 1.16% 0.83% 0.77% African American 26.54% 21.35% 17.38% Asian/Pacific Is-lander 4.29% 4.81% 5.18%

Las Vegas, Nevada

THE CITY OF LAS VEGAS The city of Las Vegas, often known simply as

“Vegas,” is a place of vast casinos, elaborate hotels, and spectacular entertainment venues that attracts masses of visitors from throughout the world. Las Vegas is a place of million-lightbulb signs and fantastic architecture, and of readily visible wealth. Within the city stands the largest glass pyramid in the world; one of the largest hotels in the country, with more than 5,000 rooms; and one of the most expensive hotels ever constructed, the Bellagio. The area along Las Vegas Boulevard and its adjoining near downtown streets—the famous “Strip”—is the “City Without Clocks,” whose multibillion-dollar economy is based on gambling, shopping, fine dining and nightlife.

CLARK COUNTY Las Vegas is Nevada’s economic center and is located within

Clark County that boasts a population of over 2 million. It is also the most populous city in the state of Nevada with an estimated population of 628,711 as of 2015. The only major city in the American West to have been founded in the 20th century, Las Vegas grew from a tiny, desert-bound railroad service center at the outset of the 20th century to the country’s fastest-growing metropolis at century’s end. This transformation was made possible by a combination of entrepreneurship, access to water, an extensive transportation network, and permissive state laws. In addition to lenient and business friendly state laws and regulations, residents and businesses in Nevada do not pay state income tax, promoting growth even further. Its metropolitan area, with more than twice the number of people outside the city limits as within them, contains roughly three-fourths of the state’s population.

GROWTH & DEVELOPMENT From the brand new T-Mobile Arena and the

$100 million pedestrian shopping area known as the Park, to Steve Wynn’s Paradise Park attraction and the 600,000-square-foot expansion of the Las Vegas Convention Center into the former Riviera site, Las Vegas is once again experiencing a large volume of construction and development. The housing market is stable as population growth and employment are on the rise - sup-porting increased housing demand. Downtown Las Vegas has also seen a large transformation thanks to the $350 million Downtown Project which has turned downtown into a thriving corridor of unique bars, lounges, eateries, and shops with a 231-unit luxury complex still yet to come. In addition to the major construction projects completed throughout 2016 and 2017, Las Vegas is also expanding its already world famous entertainment options to include professional sports. From the addition of the brand new NHL team, the Golden Knights, that palys in the T-Mobile Arena, new NFL stadium home to the Raiders, to be completed in 2020, Las Vegas is set to experience even more economic success in the coming years.

NFL Raiders Stadium NHL Golden Nights Stadium Las Vegas Convention Center Expansion Wynn’s Paradise Park & Casino

Las Vegas - Recent & Future Developments

Las Vegas Strip

Nellis Air Force Base

Broker of Record:

Todd Manning

Tel 702-215-7100

License: B.1001879. CORP