POINT LOMA MULTI TENANT INVESTMENT

1221 ROSECRANS STREET, SAN DIEGO, CA 92106

OFFERING MEMORANDUM

INVESTMENT ADVISOR

BRIAN QUINN858.875.4672bquinn@flockeavoyer.comLicense ID: 01009041

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TABLE OF CONTENTS

EXECUTIVE SUMMARYIntroduction/Investment Overview....................

PROPERTY INFORMATIONSite Map.........................................................................Offering Overview.....................................................Site Plan.........................................................................Tenant Profiles............................................................Rent Roll........................................................................Demographics.............................................................Competition Aerial....................................................

MARKET INFORMATIONAbout Point Loma.....................................................

DISCLAIMER................................................................

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INTRODUCTION

Flocke & Avoyer Commercial Real Estate, as exclusive agent, is pleased to offer for sale a fully-leased, two-tenant retail building located at 1221 Rosecrans Street, San Diego, CA 92106.

INVESTMENT OVERVIEW

PURCHASE PRICE: $3,180,000

ANNUAL INCOME: $133,248

CAP RATE: 4.19%

PROPERTY SPECIFICATIONS

ADDRESS:1221 Rosecrans StreetSan Diego, CA 92106

APN: 531-325-13-00

BUILDING SIZE: 3,271 SF

LAND SIZE: 10,571 SF

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R

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SHELTER ISLAND DR.

CARLETON ST.

DICKENS ST.

AVENIDA DE PORTUGAL

SC

OTT

ST.

SHELTER ISLAND VILLAGE

SITE

1221 ROSECRANS STREET, SAN DIEGO, CA 92106APN: 531-325-13-00

±3,271 SF

OFFERING OVERVIEW

• Great corner location in Shelter Island/Point Loma

• High income demographic area Average Household Income over $140,000

• High traffic on Rosecrans Street +32,000

• Signalized intersection

• Only a few blocks from America’s Cup Harbor, San Diego’s newest marina

• Tenants in immediate area:

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ROSECRANS STREET

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TON

STR

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Kyla Nails & Spa

±800 SF ±871 SF±1,600 SF

Trash Encloser

SITE PLAN

*This site plan is not a representation, warranty or guarantee as to size, location, or identity of any tenant, and the improvements are subject to such changes, additions, and deletions as the architect, landlord, or any governmental agency may direct.

Kyla Nails & Spa

TENANT: Pickford Realty

TRADE NAME: Berksire Hathaway

SIZE:Suite A ±1,600 SFSuite C ±,871 SFTotal: ±2,471 SF

LEASE TERM:August 28, 2012 - January 31, 2023

OPTION: None

*MINIMUM RENT:$102,950.59 Annual $8,579.22 Month $3.47/SF/Month

RENT INCREASES:3% annual increase every February

TENANT:Ly Van Le and Trang Thanh Ngo

TRADE NAME: Kyla Nails & Spa

SIZE: Suite B: ±800 SF

LEASE TERM:April 1, 2009 - March 31, 2024

OPTION:One 5 year Option at FMV

MINIMUM RENT:$30,720.00 Annual $2,560.00 Month$3.20/SF/Month

RENT INCREASES:3% annual increase every April

TENANT PROFILES

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*February 2020 Monthly Rent

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Suite Tenant SF Name Monthly RentRent

IncreasesMonthly

NNNLease Start

Lease Expiration Options

A & CBerkshireHathaway

2,471 SFBerkshire Hathaway

*$8,579.223% every February

2,911.16 8/28/2012 1/31/2023 None

BKyla Nails

& Spa800 SF

Kyla Nails & Spa

$2,560.003% every

April942.50 4/1/2009 3/31/2024

1 (5) year option at

FMV

TOTALS: 3,271 $11,139.22 $3,853.66

TOTAL ANNUAL INCOME:

Base Yearly Rent $133,670

NNN Amount $46,244

$179,914

LESS:

CAM Charges $14,695

Property Taxes/Insurance $29,611

Property Management $2,360

($46,666)

NET OPERATING INCOME: $133,248

RENT ROLL / INCOME PROTECTION

Figures and statements appearing on this form represent our best knowledge and belief based on information gathered regarding the above property. This analysis is to be taken, therefore, as an esti-mate and not as a guarantee or warranty. Information contained herein is subject to independent verification and no liability for errors or omissions is assumed. You should rely on your own independent

analysis and investigation regarding the above property and on the advice of your legal counsel and tax consultant.

*February 2020 Monthly Rent

TRAFFIC COUNTS (CARS PER DAY)

AVERAGE HHI* POPULATION DAYTIME POPULATION

Rosecrans Street: ±33,395Shelter Island Drive: ±24,524

1 Mile: $140,387

3 Miles: $113,540

5 Miles: $109,747

1 Mile: 14,346

3 Miles: 73,601

5 Miles: 205,170

1 Mile: 10,956

3 Miles: 81,974

5 Miles: 277,386

DEMOGRAPHICS

*Demographics produced using private and government sources deemed to be reliable. The information herein is provided without representation or warranty. Additional information available upon request. 11

ABOUT POINT LOMA?

SAN DIEGO INTERNATIONAL

AIRPORT

LIBERTYSTATION

SHEL

TER

ISLA

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HARBOR ISLAND

CORONADONAVAL BASE

PROPERTY

COMPETITION AERIAL

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POINT LOMAMARINAS & YACHT CLUBS Point Loma has several marinas; Bay Club Hotel & Marina, Kona Kai Resort & Marina, San Diego Yacht Club, Southwestern Yacht Club & Silvergate Yacht Club housing over 4,000 slips.

TOURISM AND HOTELSPoint Loma is a tourist destination. There are over 3,000 hotel rooms in the area. Cabrillo National Monument receives over 800,000 visitors a year.

SPORTS FISHINGPoint Loma provides half-day, 3/4-day, all-day and multi-day trips. Patrons may charter an individual boat or participate in a trip with other devoted fishermen.

POINT LOMA NAZARENE UNIVERSITYPoint Loma Nazarene University is a private institution that has almost 3,000 undergraduate students. Its annual tuition fees are $30,360 (2013-14).

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POINT LOMAMARINAS & YACHT CLUBS Point Loma has several marinas; Bay Club Hotel & Marina, Kona Kai Resort & Marina, San Diego Yacht Club, Southwestern Yacht Club & Silvergate Yacht Club housing over 4,000 slips.

TOURISM AND HOTELSPoint Loma is a tourist destination. There are over 3,000 hotel rooms in the area. Cabrillo National Monument receives over 800,000 visitors a year.

SPORTS FISHINGPoint Loma provides half-day, 3/4-day, all-day and multi-day trips. Patrons may charter an individual boat or participate in a trip with other devoted fishermen.

POINT LOMA NAZARENE UNIVERSITYPoint Loma Nazarene University is a private institution that has almost 3,000 undergraduate students. Its annual tuition fees are $30,360 (2013-14).

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POINT LOMA MILITARY ASSETS

THE MILITARY SECTOR IS RESPONSIBLE FOR 317,000 OF THE REGION’S TOTAL JOBS

In the immediate Point Loma area, 50,000 military personnel and staff commute to and/or live in the neighborhood.

• 100,000 active duty and 30,000 full-time civilian workers.

• 26,000 civilian employees working for the Department of Defense or Department of Veteran Affairs.

• Defense spending creates jobs in a wide range of sectors including engineering, construction, shipbuilding, healthcare, research and other support services.

• SPAWAR Systems Center Pacific employs 4,500 people.

DISCLAIMERFlocke & Avoyer Commercial Real Estate (“FA”) has been retained as an exclusive advisor to the Seller for the sale of 1221 Rosecrans Street, San Diego, CA 92106 (“Property”).

This Offering has been prepared by FA for use bya limited number of parties and does not purportto provide a necessarily complete summary ofthe Property or any of the documents relatedthereto, nor does it purport to be all-inclusive orto contain all of the information which prospectiveinvestors may need or desire. All projections havebeen developed by FA, the Owner, and designated sources and are based upon assumptions relating to the general economy, competition, and other factors beyond the control of the Owner and FA, therefore, are subject to variation. No representation is made by FA or Owner as to the accuracy or completeness of the information contained herein, and nothing contained herein is, or shall be relied on as, a promise or representation as to the future performance of the Property. Although the information contained herein is believed to be correct, Owner and its employees disclaim any responsibility for inaccuracies and expect prospective purchasers to exercise independent due diligence in verifying all such information. Further, FA, Owner, and its employees disclaim any and all liability for representations and warranties, expressed and implied, contained in, or for omission from, this Investment Offering or any other written or oral communication transmittedor made available to the recipient. This Offeringdoes not constitute a representation that there has been no change in the business or affairs of the Property or the Owner since the date of preparation of the package. Analysis and verification of the information contained in this package is solely the responsibility of the prospective purchaser.

Additional information and an opportunity toinspect the Property will be made available

upon written request to interested and qualifiedprospective investors.

Owner and FA each expressly reserve the right,at their sole discretion, to reject any and allexpressions of interest or offers regarding theProperty and/or terminate discussions with anyentity at any time with or without notice. Ownershall have no legal commitment or obligation toany entity reviewing this Offering or making an offer to purchase the Property unless and until a written agreement for the purchase of the Property has been fully executed, delivered, and approved by Owner and its legal counsel, and any conditions to Owner’s obligations thereunder have been satisfied or waived. FA is not authorized to make any representations or agreements on behalf of Owner.

This Offering and the contents, except suchinformation which is a matter of public recordor is provided in sources available to the public(such contents as so limited herein are calledthe “Contents”), are of a confidential nature.By accepting the package, you agree (i) to holdand treat it in the strictest confidence, (ii) not tophotocopy or duplicate it, (iii) not to disclose thepackage or any of the contents to any other entity(except to outside advisors retained by you, ifnecessary, for your determination of whether ornot to make a proposal and from whom you haveobtained an agreement of confidentiality) withoutthe prior written authorization of Owner or FA, (iv) not use the package or any of the contents in any fashion or manner detrimental to the interest of Owner or FA, and (v) to return it to FA immediately upon request of FA or Owner. If you have no further interest in the Property, please return this Investment Offering forth with.

All information regarding this property is deemed to be reliable, however, no representation, guarantee or warranty is made to the accuracy thereof and is submitted subject to errors, omissions, change of price or withdrawal without notice.

FOR MORE INFORMTIONPLEASE CONTACT:

BRIAN QUINN858.875.4672bquinn@flockeavoyer.comLicense ID: 01009041

6165 Greenwich Drive, Suite 110San Diego, CA 92122619.280.2600flockeavoyer.com

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