Kum & Go - LoopNet

Kum & Go1000 East Kenosha Street, Broken Arrow, OK 74012

Offering Memorandum*Actual Photo

Kum & Go – Grinnell, IA

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MARKET OVERVIEW

Confidentiality Agreement & Disclaimer

The Offering Memorandum contains select information pertaining to the business and affairs of Kum & Go (“property”). It has been prepared by Prime Net Lease.This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in thisOffering Memorandum is confidential and furnished solely for the purpose of review by a prospective purchaser of the Property. It is not to be used for any otherpurpose or made available to any other person without the written consent of Seller or Prime Net Lease. The material is based in part upon information supplied bythe Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their offices, employees, or agents makes any representationor warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall beimplied with respect thereto Prospective purchasers should make their own projections and form their own conclusions without reliance upon the materialcontained herein and conduct their own due diligence.

Owner and Prime Net Lease expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property andto terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until writtenagreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to purse negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge allmaterials relating to this Property including this Offer Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to the prospective transaction, the Property, or information provided herein or in connection withthe sale of the Property shall be limited to those expressly provided in an executive Purchase Agreement and shall be subject to the terms thereof. In no eventshall a prospective purchaser have any other claims against Seller or Prime Net Lease or any of their affiliates or any of their respective officers, Directors,shareholders, owners, employees, or agents for any damages, liability , or cause of action relating to this solicitation process or the marketing or sale of theProperty.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in thestate of affairs of the Property since the date this Offering Memorandum.

BY ACCEPTING THIS CONFIDENTIAL OFFERING MEMORANDUM, YOU AGREE TO RELEASE PRIME NET LEASE AND HOLD IT HARMLESS FROM ANY KIND OFCLAIM, COST, EXPENSE, OR LIABILITY ARISING OUT OF YOUR INVESTIGATION AND/OR PURCHASE OF THIS NET LEASED PROPERTY.

Kum & Go – Broken Arrow, OK

TABLE OF CONTENTS

SECTION


P R E S E N T E D B Y

Michael MatusikVice PresidentDirect | 714.874.4004Fax | [email protected]: CA 01888322www.primenetlease.com

Paul R MatusikPresidentDirect | 714.875.2400Fax | [email protected]: CA 01351021www.primenetlease.com

INVESTMENT OVERVIEW 01Property Overview

Regional Map

Local Map

Aerial Photo

MARKET OVERVIEW 02Demographics

Market Overview

In Association with: Bang Realty-Oklahoma, Inc RE#177814


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INVESTMENT

OVERVIEW



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OFFERING SUMMARY

PRICING INFORMATION

Offering Price $1,950,000

NOI $146,244

Cap Rate 7.50%

Rentable Square Feet 4,286

Price Per Square Foot $454.97

Total Land Area 1.07 Acres

Ownership Type Fee Simple


LOCATION

1000 East Kenosha Street, Broken Arrow, OK 74012


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INVESTMENT HIGHLIGHTS


ZERO LANDLORD RESPONSIBILITYSTRONG TENANT

Absolute Triple Net Lease. There are Zero Management responsibilities, perfect for

buyers looking for a “hands-off” investment.

Superbly Located on the Signalized Hard Corner of East Kenosha St & South 177th E

Avenue in the heart of Broken Arrow, Oklahoma.

430+ Unit Operator, the 28th Largest Convenience Store Operator in the Nation which has been in business for 60 years!

EXCELLENT LOCATION

LONG TERM TENANT TULSA, OK MSA HIGHLY POPULATED AREA

This location has successfully operated as a Kum & Go for over 25 years. In 2017, K&G showed further commitment to the area

with a 5-year lease extension.

The property is located just 15 miles from downtown Tulsa, the second largest city in

the state of Oklahoma, with over 1.2 Million residents in it Metropolitan Area.

Highly populated area with over 90,000 residents withing a 5-mile radius of the

subject property.


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PROPERT SUMMARY

PROPERTY SUMMARY

The subject property affords investors the rare opportunity toacquire a superbly located Kum & Go. Built originally in 1997, the4,286 square foot building has successfully operated as a Kum &Go for over 25 years. In 2017, Kum & Go renewed the lease for anadditional 5 year term showing commitment to the location. Theproperty sits on a signalized hard corner in the heart of BrokenArrow, Oklahoma, on the corner of 117th E Avenue and EastKenosha Street, both which are major thoroughfares in the areaand provide access to highway 51. The property is located lessthan 2,000 feet from the onramp/offramps and is surrounded bynationally known tenants such as Walgreens, KFC, Taco, DollarGeneral and Raising Cane’s to name a few.

The lease is absolute net in nature and requires absolutely zerolandlord responsibilities. There are 3 years left on the currentlease.

The lease is backed by Kum & Go, L.C. which has more than 430convenience stores in 11 states (Iowa, Arkansas, Colorado,Minnesota, Missouri, Montana, Nebraska, North Dakota,Oklahoma, South Dakota and Wyoming ).

PROPERTY AND LEASE INFORMATION

Address1000 East Kenosha Street

Broken Arrow, OK 74012

Net Operating Income $146,244.00

Year Built /Remodeled 1997

Rentable Square Feet 4,286

Land Area 1.07 Acres

Tenant: Kum & Go L.C.

Guarantor: Corporate

Lease Type: Absolute Net

Lease Commencement: January 1, 2017

Lease Expiration: December 31, 2022

Term Remaining: 3 Years

Type of Ownership: Fee Simple

No. of Tenant Locations: 430+

Right of First Refusal: Yes, 14 Days

PROPERTY HIGHLIGHTS

3 Years Remaining on Absolute Net Kum & Go Corporate Lease

100% Bonus Depreciation

Superbly Located on the Signalized Hard Corner of East Kenosha St & South 177th E Avenue in the heart of Broken

Arrow, Oklahoma.

Dense Retail Corridor containing national name brands such as Walgreens, KFC, Taco Bell, Subway, and Popeyes.

Excellent Visibility and Location on less than 2,000 feet from interstate Highway 51 offramp/onramp, just 15 miles

from Downtown Tulsa, Oklahoma.

Absolute NNN Lease— Zero Landlord Responsibilities

28th Largest Convenience Store Operator in the Nation which has been in business for 60 years!

ANNUALIZED OPERATING DATA

YEAR ANNUAL RENT

Current $146,244.00

ABOUT THE INVESTMENT



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PROPERTY OVERVIEWTENANT


Revenues: $2.7 Billion in 2018Rank: 28th largest convenience store operator in the nationRank: 177thlargest private company as ranked by Forbes

W.A. Krause and T.S. Gentle founded Kum & Go, L.C. on September 1, 1959. When the two Hampton entrepreneurs opened their small full-service gas station, they couldn’t have known it was only the beginning of a business which would become known for unmatched ingenuityand courageous risk-taking.

In 1963, based on a desire to further serve customers, Kum & Go, L.C. introduced the convenience store concept by offering fuel andmerchandise - converting their “gas station” into a “station store.” By late 1977, Kum & Go had grown to 65 convenience stores employing327 people. The 1980s brought further innovations in convenience with the addition of quick serve restaurants - including Blimpie, TacoJohn’s and Burger King - in several stores. Kum & Go opened its first store in Des Moines in 1984.

In 1988, the headquarters were moved from Hampton to West Des Moines - the fastest growing city in Iowa. By the end of the 80s, Kum &Go had 134 stores across the Midwest. In 1996, Kum & Go opened 22 new stores. In 1997, the company opened 14 new stores. In 1998,Kum & Go added 122 new stores. In early 1999, the company capped a decade of phenomenal growth with the acquisition of an additional45 stores. In 2002, Iowa gained another 12 stores, including seven in Des Moines, two in Fort Dodge and one each in Oskaloosa, Carrolland Grinnell.

The pioneering spirit of Kum & Go’s founders continue to drive the company forward into the future. As the fifth largest privately held,company-operated convenience store chain in the United States, Kum & Go operates more than 430 stores in 11 states throughout theMidwest. Thanks to the efforts of its more than 4,700 associates, Kum & Go continues to strive for excellence in customer service andconvenience - serving more than 400,000 customers each day.

Website: www.kumandgo.com

Founded: 1959

Number of Locations: 430 ±

Number of Employ 4,700 ±

Headquarters: West Des Moines, IA


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REGIONAL MAP



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LOCAL MAP


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AERIAL MAPAERIAL PHOTO


MARKET

OVERVIEW


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MARKET OVERVIEW



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$0 - $35K23%

$35K-$75K31%

$75K-$100K19%

$100K+27%

HOUSEHOLD INCOME

65+14%

50 - 6420%

40 - 4913%

30 - 3912%

20 - 2914%

0 - 1927%

AGE DISTRIBUTION

$57,375Average

37.7Average

1 MILE 3 MILE 5 MILE

Total Population 7,378 35,514 90,043

2010 Population 7,108 33,684 83,935

2024 Population 7,584 36,599 93,156

Employees 1,281 6,130 28,784

Total Businesses 146 728 3,030

Average Household Income $80,067 $91,738 $91,215

Median Household Income $70,482 $77,369 $75,115

Total Consumer Spending $73.61M $380.29M $954.5M

Median Age 37.9 37.4 37.1

Households 2,703 13,141 33,151

Percent College Degree or Above 23% 22 21

Average Housing Unit Value $172,486 $217,852 $217,328

DEMOGRAPHICS

P R E S E N T E D B Y

Michael MatusikVice PresidentDirect | 714.874.4004Fax | [email protected]: CA 01888322www.primenetlease.com

Paul R MatusikPresidentDirect | 714.875.2400Fax | [email protected]: CA 01351021www.primenetlease.com

In Association with: Bang Realty-Oklahoma, Inc RE#177814

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