Representative Photo MURPHY EXPRESS BRAND NEW 20 YEAR GROUND LEASE LEATHER CHAPS & JACKSON CREEK HWY, MONUMENT, CO OFFERING MEMORANDUM

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1 Representative Photo MURPHY EXPRESS BRAND NEW 20 YEAR GROUND LEASE LEATHER CHAPS & JACKSON CREEK HWY, MONUMENT, CO OFFERING MEMORANDUM

2 CONFIDENTIALITY & DISCLAIMER STATEMENT This Offering Memorandum contains select information pertaining to the business and affairs of Murphy Oil located at Leather Chaps and Jackson Creek Hwy, Monument, CO ( Property ). It has been prepared by Matthews Retail Advisors. This Offering Memorandum may not be allinclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Retail Advisors. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or 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 be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence. By acknowledging your receipt of this Offering Memorandum for the Property, you agree: 1. The Offering Memorandum and its contents are confidential; 2. You will hold it and treat it in the strictest of confidence; and 3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller. Owner and Matthews Retail Advisors expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered. If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum. A prospective purchaser s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Retail Advisors or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property. 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 the state of affairs of the Property since the date this Offering Memorandum.

3 MURPHY OIL LEATHER CHAPS AND JACKSON CREEK HWY, MONUMENT, CO TABLE OF CONTENTS 04. Executive Summary 06. Property Overview 13. Tenant Overview 15. Area Overview 17. Demographics Kyle Matthews Broker of Record License No. ER O M colorado@matthews.com

4 EXECUTIVE SUMMARY Lease Investment Highlights Brand new, high-quality construction 20 Year Lease with 9% rent increases every 5 years throughout the lease term Hands off investment, absolute NNN lease Tenant paid for cost of the improvements for constructing the building Extremely safe investment, rent below market Corporate Guaranteed Lease Location Located across the street from major retail hub anchored by Walmart and Home Depot Property is located on strong signalized corner New development nearby includes Natural Grocers, Goodwill, Tractor Supply, and Advance Auto Parts Monument, CO is part of Colorado Springs MSA which is a top 100 MSA Colorado Springs, CO is the fastest growing MSA in the state and one of the fastest growing MSA s in the country Monument, CO has experienced substantial growth, doubling in size over the last 15 years Average household income in 1, 3, and 5 mile radius are over $125,000 per year, double the national average Colorado Springs has received numerous awards and accolades including being named the best city to retire by Forbes Magazine Tenant Corporate guaranteed lease with Murphy Oil USA, Inc Murphy USA is rated BB+ credit, which is one grade below investment credit Murphy USA (MUSA) is a publicly traded company with a market cap of nearly $3B 4 I Matthews Retail Advisors

5 Executive Summary MURPHY EXPRESS Leather Chaps and Jackson Creek Hwy Monument, CO List Price... $1,736,842 CAP Rate - Current % Gross Leasable Area...± 1,200 SF Lot Size... ± Acres Year Built Annualized Operating Data Monthly Rent Annual Rent Rent/SF Current - 5 $6, $82, % Years 6-10 $7, $89, % Years $8, $98, % Years $8, $106, % Option 1 $9, $116, % Option 2 $10, $126, % Option 3 $11, $138, % Option 4 $12, $150, % Tenant Summary Tenant Trade Name Murphy OIl Type of Ownership Fee Simple Lease Guarantor Corporate Lease Type Absolute NNN Ground Lease Landlord Responsibility None Lease Dated June 5, 2015 Rent Commencement Date November 15, 2016* Lease Expiration Date November 30, 2036* Term Remaining on Lease 20 Years Increases 9% every 5 years Options Four (4), Five (5) years *Estimated Matthews Retail Advisors 5

6 PROPERTY OVERVIEW 6 Murphy Oil

7 Physical Description Property Name Property Address Murphy Express Leather Chaps & Jackson Creek Hwy Monument, CO Site Description Number of Stories One Year Built 2016 Gross Leasable Area (GLA) ± 1,200 SF Lot Size ± Acres Type of Ownership Fee Simple Landscaping Professional Topography Generally Level Construction Foundation Framing Exterior Parking Surface Roof Concrete Slab Steel Stone / Brick Asphalt Flat Matthews Retail Advisors 7

8 Property - Currently Under Construction Major Retail Hub - ± 450K SF of Retail 8 Murphy Express

9 Property - Currently Under Construction Matthews Retail Advisors 9

10 Aerial Jackson Creek Pkwy ± 7,000 ADT 10 Murphy Express

11 Regional Map Matthews Retail Advisors 11

12 Tenant Map 12 Murphy Express

13 TENANT OVERVIEW 13 Murphy Express Representative Photo

14 Property Name Property Type Parent Company Trade Name Ownership Credit Rating Rating Agency Market Cap Stock Symbol Board Murphy Express Net Leased Convenience Store Murphy USA Public BB+ Standard and Poor s $2.71B MUSA NYSE No. of Employees ± 4,400 Headquartered Web Site El Dorado, AR Murphy Oil USA, INC operates as a subsidiary of Murphy USA, INC. Murphy USA Inc. operates a chain of retail stores in the United States. The company s retail stores offer motor fuel products and convenience merchandise. As of December 31, 2015, it operated 1,335 retail stores located primarily in the Southwest, Southeast, and Midwest United States. Murphy USA Inc. was incorporated in 2013 and is headquartered in El Dorado, Arkansas. Matthews Retail Advisors 14

15 AREA OVERVIEW Monument, CO Monument is a swiftly growing town located at the base of the Rampart Range in El Paso County, Colorado. Monument is bordered by Pike National Forest on the west, Colorado Springs and the United States Air Force Academy on the south, the City of Castle Rock on the north and rolling plains to the east. The town population was 5,742 at the 2012 census. Monument is home to both small businesses and large chains such as Home Depot and Walmart; and the large manufacturer Synthes. Individually owned shops and services located in the downtown s Monument Plaza offer a unique blend of shopping, all within walking distance of one another. Located off Highway 105, shoppers will find galleries, home décor, book and specialty stores, as well as restaurants and professional service businesses. Jackson Creek Center, a more recent commercial expansion of the Monument stores that are located east of I-25, offers national big box chain store shopping (i.e., Walmart, Home Depot, etc.) mixed with smaller retail and service businesses, as well as office condominiums and restaurants. Top Employers - Colorado Springs MSA # Employer 1 Memorial Health Services 2 Penrose-St. Francis Health Services 3 Lockheed Martin Corporation 4 Atmel Corporation 5 Hewlett Packard 6 The Broadmoor Hotel 7 Progressive Insurance Company 8 Verizon Business 9 ITT Industries Inc. - Systems Division 10 Focus on the Family 15 Murphy Matthews Express Retail Advisors 15

16 Colorado Springs Metropolitan Statistical Area The Springs, once known as a resort city, has a strong military presence and a growing commercial economy led by varying components of the high-tech industry. Several military installations, including the U.S. Air Force Academy and the Space Command are located within or near the city. The surrounding prairie provides grazing land for cattle and sheep. Summer weather is notably pleasant and dry, with only 15 days above 90 degrees. The Rockies to the west and Denver to the north provide a broad range of outdoor recreation and other entertainment. Colorado Springs is the second largest city in the state. Colorado Springs has grown into a thriving metropolitan area of more than 600,000 people. Within a 1 hour drive north, Colorado Springs has access to the Denver Metro market with more than 2.5 million people and the Pueblo market to the south with more than 160,000 people. Tourism Colorado Springs, also known as Olympic City USA, is home to beautiful landscapes, miles of hiking trails, rich history, the United States Olympic Committee Headquarters, 21 National Olympic Governing Bodies, over 50 National Sport Organizations, and the U.S. Olympic Training Center. The City s natural beauty draws visitors from across the country and the world. One of the most defining features is Pikes Peak, which inspired the patriotic song America the Beautiful. Among Colorado s 14ers, Pikes Peak reaches 14,115 feet above sea level and towers more than 8,000 feet above the City. You can drive, hike, bike or take the Broadmoor Pikes Peak Cog Railroad to the summit. Colorado Springs is also home to The Manitou Incline, one of the most popular hiking trails in Colorado. Accolades Best Places to Retire in 2016 (Forbes) Number 1 Big Cities to Live in (Money Magazine) Number 3 On the Rise US Destination (Trip Advisor) Matthews Retail Advisors 16

17 Demographics Population 1-Mile 3-Mile 5-Mile 2021 Projection 3,188 28,947 53, Estimate 2,786 25,991 49, Census 2,210 22,144 42, Census ,874 22,852 Growth % 11.37% 9.74% Growth % 17.37% 15.07% Growth % % 86.74% Households 1-Mile 3-Mile 5-Mile 2021 Projection 985 9,602 17, Estimate 870 8,697 15, Census 708 7,608 13, Census 235 3,783 7,664 Growth % 10.40% 10.82% Growth % 14.31% 16.45% Growth % % 73.06% Income 1-Mile 3-Mile 5-Mile Income < $15, % 2.33% 2.99% Income $15,000 - $24, % 3.36% 3.65% Income $25,000 - $34, % 4.85% 4.97% Income $35,000 - $49, % 6.89% 7.48% Income $50,000 - $74, % 15.09% 15.02% Income $75,000 - $99, % 17.37% 15.64% Income $100,000 - $124, % 12.74% 12.56% Income $125,000 - $149, % 9.53% 9.11% Income $150,000 - $199, % 12.87% 13.32% Income $200,000 - $249, % 5.38% 5.49% Income $250,000 - $499, % 7.30% 7.47% Income $500, % 2.28% 2.29% 2016 Est. Average Household Income $130,989 $127,657 $127, Est. Median Household Income $104,495 $100,206 $100, Murphy Express

18 Kyle Matthews Broker of Record License No. ER O M colorado@matthews.com