Fee Simple Title to Parcel in a Save Mart and Longs Drugs

Anchored Center

Parcel is Ground Leased to Starbucks, Who Constructed

and Now Maintain the Building at Their Expense

20-Yr Lease (40 Yrs Counting Options) with No Landlord

Responsibilities

Rental Increases Throughout Term & Options

Ground Leased Starbucks Stockton, CA

Investment Overview:

pad portion of Village at Weber Ranch, a neighborhood shopping center anchored by S-Mart (a Save Mart brand) and Longs Drugs. Included in this offering is the fee title to parcel 66, ground leased to Starbucks and improved with a brand new ±1,734 square foot Pad with a drive thru. Starbucks has reportedly invested over $1 million to construct the improvements at the site.

Fee title to the parcel will be delivered with this offering. The Buyer will receive the full advantage of no maintenance responsibilities and direct payment of utilities, taxes and common area maintenance costs by the tenant with no Landlord involvement.

• New Pad in Save Mart (S-Mart branded) and Longs Drugs Center

• Ground Lease with No Landlord Responsibilities

• 10% Rental Increases Every 5 Years

• Fee Simple Title to Land Will Be Delivered

• Tenant Maintains the Property and Site with no Landlord Involvement

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Pric� $�����,���

CAP Rate: �.25%

Yr 1 NOI: $60,000

Increases: 10% Every 5 Yrs

Term: 20 Yrs plus 2, 10-yr options

Property: 4966 West Lane Stockton, CA APN 096-140-66 (San Joaquin County)

Land Area Included: ± 25,174 SF

Year Built: 2009

5010 West Lane Stockton, CA

COPYRIGHT © 2009. ALL USE, DISCLOSURE AND/OR REPRODUCTION NOT SPECIFICALLY AUTHORIZED IS PROHIB-ITED. ALL RIGHTS RESERVED. (“Agent”) has presented this confidential Investment Memo-randum to assist the recipient in evaluating the “Property” and it is intended for your use only. This confidential material contains brief, selected information pertaining to the Property and shall not be considered all-inclusive or unchanged since the date of preparation. No warranty as to the accuracy or completeness is expressed or implied. The information has been received from sources believed to be reliable but is not guaranteed. Agent disclaims all liabilities in connection with any inaccuracies or incompleteness. The Buyer should independently verify each item of information and have the same reviewed by its tax advisor and/or legal counsel. The Buyer agrees that (a) the materials are of a highly confidential nature and will be held in the strictest confidence or shall be returned to Agent upon request; (b) the Buyer shall not contact any property manager, employee or tenant of the Property regarding the enclosed materials or the Property, without prior approval of Agent; and (c) the Buyer understands and agrees that Agent represents the seller and not the Buyer. Neither the seller nor Agent shall have any obligation to pay any commission, finder’s fee, or other compensation to any broker or other person dealing with the Buyer. The Buyer may provide information to persons retained for the purpose of evaluating the Property after first obtaining a signed confidentiality agreement from such persons to keep such information confidential. The Buyer shall defend, indemnify and hold harmless the seller, Agent and its affiliates from and against any claims, demands, damages, liabilities, costs or expenses, including reasonable attorneys’ fees, relating to any claim for a com-mission, finder’s fee or other compensation by any broker or other person dealing with the Buyer. The Property is being sold on an “as-is, where-is” and “with all faults” basis. Net income projections are speculative in nature, and may not provide for all potential costs or expenses

related to ownership and operation of the property. Expenses and projected income set forth herein are market-based estimates, and not based on experience, inspection or prior knowledge of the property. We advise all purchasers to independently investigate the property to determine its suitability for investment.

5010 West LaneStockton, CA

Offering Summary

DEMOGRAPHICS

Area Profile 1-mile 3-miles 5-miles

Est Population 24,900 156,400 301,700 Growth 2000-07 17.3% 14.5% 16.8% Avg H’hold Income $49,800 $54,400 $59,600

TRAFFIC COUNTS

Location ADT Location

E March Lane 35,200 W of West Ln West Lane 32,900 S of March Ln

LEASE SUMMARY

Premises ±25,174 square feet of land and all easements and appurtenances thereto

Improvements ±1,734 square foot building with drive thru, constructed by tenant in 2008

Commencement March, 2008

Expiration February, 2028 (20 Years from Commencement Date)

Renewal Options Two consecutive 10-Year extension terms, with 1 year’s notice

Rent Schedule Years 1-5: $60,000 Years 6-10: $66,000 Years 11-15: $72,600 Years 16-20: $79,860

Option Rent Years 21-25: $87,846 Years 26-30: $96,631 Years 31-35: $106,294 Years 36-40: $116,923

Maintenance Tenant is responsible for maintenance of the building, drive-thru and trash area, compliance with CC&Rs, and payment of common area maintenance costs directly to the center’s Maintenance Director.

Real Estate Taxes Tenant pays directly. If taxes increase as a result of reassessment due to transfer, Tenant is not responsible for more than one increase in any 5 consecutive year period.

Right of First Refusal Within 10 days from notice of an offer to purchase the property, Tenant has the first option to purchase on the same price and terms.

Property Photos

WEST LANE

The Site

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. Buyer must verify the information and bears all risk for any inaccuracies.

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site plan not to scale only Starbucks is included in this offering; all others are labeled for reference only

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LOCATED IN HIGH DENSITY RESIDENTIAL AREA

Stockton is the economic hub and county seat for the San Joaquin County, growing from an agricultural

and industrial focus to include strong retail and residential development in recent years. The city’s

economic expansion and aggressive revitalization of downtown include a new waterfront arena,

a baseball stadium, retail and multi-housing. Nearly forty new industries have come into the area

in recent years, including national companies such as Safeway, Del Monte and Honda, attracted by

Stockton’s central location and access to major transportation routes. Interstate 5 and State Highway

99 flank the city, and a deepwater channel connects the city to the San Francisco Bay.

Location Overview

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. Buyer must verify the information and bears all risk for any inaccuracies.

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