1FedEx | Columbus, GA

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FedEx GroundD OT H A N , A L A B A M A 3 6 3 0 3

O F F E R I N G M E M O R A N D U M

4 6 7 4 W E S TG AT E P K W Y

I N D U S T R I A L

EXCLUSIVE LISTING AGENTS

ALEX HARROLDAssociate

alex.harrold@matthews.comDIR 310.919.5790MOB 310.977.1651LIC # 02009656 (CA)

GARY CHOUFVP & Senior Director

gary.chou@matthews.comDIR 310.919.5827MOB 714.928.8016LIC # 01911222 (CA)

KYLE MATTHEWSBROKER OF RECORD

LIC # 110253

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EXECUTIVE SUMMARY

PROPERTY DETAILS

AREA OVERVIEW

TENANT REPORT

CONTENT

I N D U S T R I A L

Offering Memorandum4

INVESTMENT HIGHLIGHTS

EXECUTIVESUMMARY

FedEx Ground4674 Westgate Pkwy Dothan, AL 36303

List Price ..................................................................................................... $3,200,000

CAP Rate - Current .............................................................................................. 9.88%

Blended Cap ........................................................................................................10.86%

Price/Sq. Ft. ......................................................................................................... $75.09

Gross Leasable Area ................................................................................ ± 42,614 SF

Lot Size ...................................................................................................... ± 12.4 Acres

Year Built ................................................................................................................. 2008

Expansion Capability ..................................................................Yes ± 60,000 sq. ft.

• Value-Add Opportunity - The Property sits on a huge 12.4 acre lot and the building is oriented so that it can be expanded by ± 60,000 sq. ft. for increased capacity. FedEx only leases 6.9 acres - The additional 5.5 acres is included in the sale with minimal property taxes ($500/year)

• Commitment to the location - FedEx performed their own parking/yard expansion in 2014 at a cost of approximately $800,000

• Strategic Location - Dothan, AL is a strategic location for the Industrial Sector as it is the South East Hub City of Alabama with 8 main arterial highways leading towards the greater markets of Alabama, Georgia and Florida.

• Twelve (12) 8’x9’ dock-high doors (48”) doors, Six (6) 18’x16’ van drive-in doors, One (1) 14’x16’ van drive-in door, Twelve (12) 5’x8’ van-high (24”) back-up doors

• Significant Tenant Credit - FedEx Ground is the highest yielding FedEx Corp. service line and has the largest connected network of industrial facilities in the country

Annualized Operating DataMonthly Rent Annual Rent Rent/SF Cap Rate

Current - 7/31/2018 $26,337 $316,043 $7.42 9.88%

8/1/2018 - 10/31/2020 $28,971 $347,647 $8.16 10.86%

Option 1: 11/1/2020 - 10/31/2022 $30,419 $365,030 $8.57 11.41%

Option 2: 11/1/2022 - 10/31/2024 $31,940 $383,281 $8.99 11.98%

Tenant Summary

Tenant Trade Name FedEx Ground

Type of Ownership Fee Simple

Lease Guarantor FedEx Ground Package System, Inc

Lease Type NN Roof and Structure Only

Roof and Structure Landlord Responsible

Taxes, Insurance and Utilities Tenant Responsible

Original Lease Term 12 Years

Lease Commencement Date 7/25/2008

Lease Expiration Date 10/31/2020

Term Remaining on Lease ± 3 Years

Options Two, 2-Year Options

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Offering Memorandum

Oceanside Blvd ± 31,792

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THE OFFERING

Property Name FedEx Ground

Property Address4674 Westgate Pkwy

Dothan, AL 36303

Site Description

Number of Stories One

Year Built 2008

Gross Leasable Area (GLA) ± 42,615 SF

Ceiling Height ± 18’ Clear Height

Lot Size ± 12.4 Acres (540,144 SF)

Type of Ownership Fee Simple

Landscaping Professional

Topography Generally Level

PARCEL MAP

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Construction Expansion Capability: Yes ± 60,000 sq. ft.

8’x9’ Dock-High (48”) Doors: Twelve (12)

18’x16’ Van Drive-in Doors: Six (6)

14’x16’ van Drive-In Doors: One (1)

5’x8’ van-high (24”) back-up doors: Twelve (12)

Parking Spaces 101 Employee Spaces, 25 trailer parking spaces and 29 van parking spaces

PROPERTYDETAILS

7FedEx | Columbus, GA

Offering Memorandum

AREA OVERVIEW

FedEx | Columbus, GA

SURROUNDING RETAIL CENTERS AND INDUSTRIAL TENANTS

PROPERTY DEMOGRAPHICS

POPULATION 1-Mile 3-Mile 5-Mile

2022 Projection 814 14,129 44,930

2017 Estimate 827 13,930 44,612

HOUSEHOLDS 1-Mile 3-Mile 5-Mile

2022 Projection 334 5,900 18,449

2017 Estimate 338 5,820 18,283

INCOME 1-Mile 3-Mile 5-Mile

2017 Est. AverageHousehold Income

$61,062 $42,438 $53,717

DOTHAN, AL DEMOGRAPHICS

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1 0 Offering Memorandum

TENANT MAP

FedEx | Columbus, GA

Dothan, Alabama is a town in the southeastern corner of Alabama. The town is right near the state line of both Georgia and Florida. Dothan is the county seat of Houston County. The cost of living in Dothan County is 14.2% below the national average and is consistently one of the lowest cost of living in the state of Alabama and has some of the lowest state taxes in the country making it an affordable place to live.

Dothan is one of the most progressive cities in the region. In addition to its low cost of living, the mild winter temperatures and variety of services like health care, education and entertainment makes Dothan an attractive place to settle. The Alabama College of Osteopathic Medicine opened in 2013 in Dothan for students to enroll in an education at this private institution.

DOTHAN, AL

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TENANT OVERVIEW

FEDEX CORPORATION

FedEx Corporation provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce, and business services. With annual revenues of $58 billion, the company offers integrated business applications through operating companies competing collectively and managed collaboratively, under the respected FedEx brand.FedEx Ground is a leading North American provider of ground small-package delivery services, providing service to the U.S. and Canada. FedEx Home Delivery®, the industry’s first ground service dedicated to residential delivery, is available from FedEx Ground and provides Saturday delivery for no additional charge. FedEx SmartPost® is a ground service that specializes in the consolidation and delivery of high volumes of low-weight, less time-sensitive business-to-consumer packages primarily using the U.S. Postal Service® for last mile delivery to residences. FedEx Ground business segment financial results include FedEx Supply Chain, one of the largest third-party logistics providers in North America.

FedEx Ground

The Company’s FedEx Ground segment operates through FedEx Ground Package System, Inc. (FedEx Ground), which is a North American provider of small package ground delivery services. The segment provides day-certain service to any business address in the United States and Canada, as well as residential delivery to residences in the United States through its FedEx Home Delivery service. As of May 31, 2016, the FedEx Ground segment operated a multiple hub-and spoke sorting and distribution system consisting of 575 facilities, including 33 hubs, in the United States and Canada. To provide FedEx Home Delivery service and FedEx SmartPost Service, the FedEx Ground segment leverages its pickup operation and hub and line haul network. FedEx Ground provides shipment tracing and proof-of-delivery signature functionality through its Website, fedex.com.

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FEDEX GROUND REVENUE (FY 2016)Revenue (in millions) $16,574

Margin 13.70%

Operating Income (in millions) $2,276

Average Daily Volume 7,526

This Offer ing Memorandum contains select informat ion pertaining to the business and af fa i rs of FedEx Ground located at 4674 Westgate Pkwy, Dothan AL 36303. I t has been prepared by Matthews Real Estate Investment Services. This Offer ing Memorandum may not be al l - inclusive or contain a l l of the informat ion a prospect ive purchaser may desire. The informat ion contained in th is Offer ing Memorandum is conf ident ia l and furnished solely for the purpose of a review by a prospect ive purchaser of the Property. I t is not to be used for any other purpose or made avai lable to any other person without the wri t ten consent of Sel ler or Matthews Real Estate Investment Services. The mater ia l is based in part upon informat ion suppl ied by the Sel ler and in part upon f inancial informat ion obtained from sources i t deems rel iable. Owner, nor their of f icers , employees, or agents makes any representat ion or warranty, express or impl ied, as to the accuracy or completeness of th is Offer ing Memorandum or any of i ts contents and no legal l iabi l i ty is assumed or shal l be impl ied with respect thereto. Prospect ive purchasers should make their own project ions and form their own conclusions without rel iance upon the mater ia l contained herein and conduct their own due di l igence.

By acknowledging your receipt of th is Offer ing Memorandum for the Property, you agree:

1 . The Offer ing Memorandum and i ts contents are conf ident ia l ;

2 . You wi l l hold i t and treat i t in the str ictest of conf idence; and

3. You wi l l not , d i rect ly or indirect ly, d isclose or permit anyone else to disclose this Offer ing Memorandum or i ts contents in any fashion or manner detr imental to the interest of the Sel ler.

Owner and Matthews Real Estate Investment Services expressly reserve the r ight , at their sole discret ion, to reject any and al l expressions of interest or of fers to purchase the Property and to terminate discussions with any person or ent i ty reviewing this Offer ing Memorandum or making an of fer to purchase the Property unless and unt i l a wr i t ten agreement for the purchase and sale of the Property has been ful ly executed and del ivered.

I f you wish not to pursue negot iat ions leading to the acquis i t ion of the Property or in the future you discont inue such negot iat ions, then you agree to purge al l mater ia ls relat ing to th is Property including this Offer ing Memorandum.

A prospect ive purchaser ’s sole and exclusive r ights with respect to th is prospect ive t ransact ion, the Property, or informat ion provided herein or in connect ion with the sale of the Property shal l be l imited to those expressly provided in an executed Purchase Agreement and shal l be subject to the terms thereof. In no event shal l a prospect ive purchaser have any other c la ims against Sel ler or Matthews Real Estate Investment Services or any of their af f i l iates or any of their respect ive of f icers , Directors , shareholders, owners, employees, or agents for any damages, l iabi l i ty, or causes of act ion relat ing to th is sol ic i tat ion process or the market ing or sale of the Property.

This Offer ing Memorandum shal l not be deemed to represent the state of af fa i rs of the Property or const i tute an indicat ion that there has been no change in the state of af fa i rs of the Property s ince the date this Offer ing Memorandum.

C O N F I D E N T I A L I T Y & D I S C L A I M E R S TAT E M E N T

15FedEx | Columbus, GA

EXCLUSIVE LISTING AGENTSALEX HARROLDAssociate

alex.harrold@matthews.comDIR 310.919.5790MOB 310.977.1651LIC # 02009656 (CA)

GARY CHOUFVP & Senior Director

gary.chou@matthews.comDIR 310.919.5827MOB 714.928.8016LIC # 01911222 (CA)

KYLE MATTHEWSBROKER OF RECORD

LIC # 110253

FedEx GroundD OT H A N , A L A B A M A 3 6 3 0 3

4 6 7 4 W E S TG AT E P K W Y

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I N D U S T R I A L