Investment Highlights

NEW 15-YEAR ABSOLUTE NNN CORPORATE LEASE TO RAPIDLY GROWING QSR
» New 15-year absolute NNN corporate lease with 10% rental increases every five years, providing a hedge against inflation
» Dutch Bros (NYSE: “BROS”) went public in 2021 – now valued at over $5.6 billion
» Dutch Bros Inc. is one of the fastest-growing brands in the food service and restaurant industry in the U.S. by location count opening 31 stores across 9 states during Q2
» As of August 2022, Dutch Bros opened 61 stores in Texas with plans to open approximately 100 locations in the state by 2023
» In Q2 2022, company-operated store revenues increased 55.9% to $160.5 million, compared to $103.0 million during the same period of 2021
» Total revenues grew 44.2% to $186.4 million in Q2 2022 as compared to $129.2 million in the same period of 2021
» Dutch Bros exceeded $1 billion in systemwide sales in Q2 2022

HIGH-TRAFFIC SITE IN SOUTHERN TYLER’S RETAIL EPICENTER
» Excellent visibility with access to 35,071 vehicles per day along U.S. Route 69/South Broadway Avenue, a major north-south Texas thoroughfare that is part of a longer I-69 extension known as the NAFTA superhighway, that, when completed, will connect Canada to Mexico
» Located in Southern Tyler’s retail epicenter, the property is surrounded by major national tenants such as Walmart Supercenter, Target, Kohl’s, Academy Sports + Outdoors, World Market, AMC, and many more
» In 2021 the city of Tyler issued 63 new commercial permits, built 393 new single-family homes, and constructed 14 new office buildings, demonstrating the areas rapid expansion
» Between 2021 and 2026, industries in the Tyler area are expected to grow at an annual pace of 3.65%, which would lead to approximately $2 billion in economic gain
» Employment in Tyler is projected to increase by 2.17% annually, adding 12,400 jobs by 2026

EXCELLENT LOCATION IN HIGH-GROWTH TEXAS SUBURB
» Dense population of 80,413 within five miles (a 17% growth since 2010)
» Located in one of Texas’ fastest-growing affluent areas with an average annual household income of $106,787 within one mile of the site (projected 9% increase by 2027)
» Growth continues along the South Broadway Avenue corridor and Loop 323, with new restaurants such as Chuy’s, Saltgrass Steak House, Abuelo’s, Walk-Ons, and others providing additional job growth
» The Tyler metro area ranked first in Texas for job growth from December 2020 to December 2021, with 8,800 added jobs representing an 8.3% increase

NEW 2022 CONSTRUCTION IN A TAX-FREE STATE
» High-quality 2022 construction featuring a dedicated dual-lane drive-thru, walk-up window, and outdoor patio seating, providing additional customer convenience and boosting sales revenue
» Texas has no state income tax

Property Description

SOLD

» This Dutch Bros is located along U.S. Route 69/South Broadway Avenue, a major north-south Texas thoroughfare that is part of a longer I-69 extension known as the NAFTA superhighway, that, when completed, will connect Canada to Mexico (35,071 AADT)
» The site features excellent demographics, with a population of 80,413 within a five-mile radius (a 17%growth since 2010) with an affluent average annual household income of $106,787 within one mile of the site (projected to increase 9% by 2027)
» Located in Southern Tyler’s retail epicenter, the property is surrounded by major national tenants such as Walmart Supercenter, Target, Kohl’s, Academy Sports + Outdoors, World Market, AMC, and many more
» The Tyler metro area ranked first in Texas for job growth from December 2020 to December 2021, with 8,800 added jobs representing an 8.3% increase
» Growth continues along the South Broadway Avenue corridor and Loop 323, with new restaurants such as Chuy’s, Saltgrass Steak House, Abuelo’s, Walk-Ons, and others providing additional job growth
» This Dutch Bros Coffee is a high-quality 2022 construction featuring a dedicated dual-lane drive-thru, walk-up window, and outdoor patio seating, providing additional customer convenience and boosting sales revenue