KENTUCKY FRIED CHICKEN

Offering Memorandum

Confidentiality and Disclaimer

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Insight

Commercial Real Estate and should not be made available to any other person or entity without the written consent of Insight Commercial Real Estate. This Marketing Bro-

chure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property.

The information contained herein is not a substitute for a thorough due diligence investigation. Insight Commercial Real Estate has not made any investigation, and makes no

warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square

footage of the property and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the

physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occu-

pancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Insight Commercial

Real Estate has not verified, and will not verify, any of the information contained herein, nor has Insight Commercial Real Estate conducted any investigation regarding these

matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropri-

ate measures to verify all of the information set forth herein.

Non-Endorsement Notice

Insight Commercial Real Estate is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any

corporation’s logo ir name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Insight Commercial Real Estate, its affili-

ate subsidiaries, or any agent, product, service, or commercial listing of Insight Commercial Real Estate, and is solely included for the purpose of providing tenant lessee infor-

mation about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.

PLEASE CONSULT INSIGHT COMMERCIAL REAL ESTATE BROKER, JASON WELLS, FOR MORE DETAILS.

KENTUCKY FRIED CHICKEN

Chickasha, OK

Insight Commercial Real Estate hereby advises all prospective purchasers of Net Leased property as follows:

The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Insight Commercial Real Estate has not and will

not verify and of this information, nor has Insight Commercial Real Estate conducted any investigation regarding these matters. Insight Commercial Real Estate makes no

guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.

As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing

any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Insight Commercial Real Estate ex-

pressly denies any obligation to conduct a due diligence examination of this Property for Buyer.

Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of

this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors.

Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful independent investigation of any net leased property to determine to your satisfac-

tion with the suitability of the property for your needs.

Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial

documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future

success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with

little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or prop-

erty taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other

conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the

property and the value of any long-term lease, including the likelihood of locating a replacement if the current tenant should default or abandon the property, and the lease

terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the

property.

By accepting this Marketing Brochure you agree to release Insight Commercial Real Estate and hold it harmless from any kind of claim, cost, expense, or liability arising out

of your investigation and/or purchase of this net leased property.

THE OFFERING

Property Kentucky Fried Chicken

Address 1228 South 4th St.

Chickasha, OK 73018

Price $1,600,000.00

Capitalization Rate 6%

Price Per SF $434.66

PROPERTY DESCRIPTION

Year Built 2008

Gross Leasable Area 3,681sf

Zoning N/A

Type of Ownership Fee Simple

LEASE SUMMARY

Property Subtype Net Leased Restaurant

Tenant Kentucky Fried Chicken

Rent Increases 10% Every 5 Years

Guarantor Franchisee Guarantee

Lease Type NNN

Lease Commencement 7/25/2012

Lease Expiration 7/31/2027

Lease Term 15

Term Remaining on Lease 9.9 Years

Renewal Options Four 5-Year Renewals

Landlord Responsibility None

Tenant Responsibility NNN Expenses; Roof & Structure

Right of First Refusal/Offer No

Net Operating Income $95,838.00/yr

RENT SCHEDULE

YEAR RENT PSF ANNUAL RENT MONTHLY RENT

Current $26.04 $95,838 $7,986

8/1/2022-7/31/2027 $28.64 $105,421 $8,785

Five-Year Option 1 $31.50 $115,963 $9,664

Five-Year Option 2 $34.65 $127,560 $10,630

Five-Year Option 3 $38.12 $140,316 $11,693

Five-Year Option 4 $41.93 $154,347 $12,862

OFFERING SUMMARY

PRICE $1,600,000.00

NET OPERATING INCOME $95,838

CAPITALIZATION RATE—CURRENT 6%

PRICE / SF $434.66

RENT / SF $26.04

LEASE TYPE NNN

GROSS LEASABLE AREA 3,681 SF

YEAR BUILT / RENOVATED 2008

LOT SIZE 0.57 acres

FINANCING

Down Payment All Cash

Net Cash Flow 6%/$95,838

Cash on Cash Return 6%

MAJOR EMPLOYERS

EMPLOYER # OF EMPLOYEES*

Gabriel Ride Control Products 400

GRADY MEMORIAL HOSPITAL 367

Chickasha Public Schools 207

USAO 185

WalMart 182

Midwest Cooling Towers Inc 170

Grady County Fire Department 148

Chickasha Municipal Airport Auth. 130

Southern Plains Medical Center Inc 130

CM Aluminum Trailers 125

Hal Sensing 125

United States Dept of Army 121

DEMOGRAPHICS

3-Miles 5-Miles 1-Mile

17,133 19,288 2016 Estimate Pop 6,002

16,698 18,692 2016 Census Pop 5,962

6,841 7,681 2016 Estimate HH 2,581

6,618 7,386 2016 Census HH 2,543

$38,319 $39,913 Median HH Income $34,532

$21,998 $22,592 Per Capita Income $20,890

$53,388 $55,199 Average HH Income $45,991

Kentucky Fried Chicken (KFC) is located at 1228 South 4th Street in Chickasha, Oklahoma, approximately 30 minutes South of Oklahoma City, Oklahoma’s

largest city. The 3,681-square foot restaurant was constructed in 2008 and is situated on 0.57 acres of land. The property is leased to KBP Foods on an original

15-year, triple-net term with approximately 10 years remaining. In addition, there are four five-year options to follow.

KBP Foods operates 449 restaurants in 20 states and has Regional Vice Presidents in every major geographical region making them the largest KFC Operator in

the U.S. KBP Foods has been named one of the top 100 Private Companies & Corporate Report 100 Fastest Growing Companies by Ingram’s in June 2015. In

May of 2016, KBP Foods acquired 91 more KFC and Taco Bel l locations in several states as one of the largest YUM! Brands operators. KFC Corporation, based

in Louisville, Kentucky, is one of the few brands in America that can boast a rich, decades-long history of success and innovation. There are more than 20,000

KFC outlets in 125 countries and territories around the world.

Chickasha is a city in, and the county seat, business and employment center of, Grady County in Oklahoma. Chickasha is home to the University of Science and

Arts of Oklahoma and hosts and annual Festival of Lights celebration, located at Shannon Springs Park. The city is named for, and strongly connected to,

Native American heritage, as Chickasha is the Choctaw word for Chickasaw. Chickasha is located approximately 40 miles south of the Oklahoma City

metropolitan area. Easily accessible by travel on U.S. Highways 81 and 62, or on the four-lane Interstate 44, the city serves as the gateway to southwest

Oklahoma.

KFC is located at the intersection of South 4th Street and West Arkansas Avenue. The property is just north of Southland Shopping Center and surrounded by

national tenants, including Rue 21, CVS Pharmacy, Hibbett Sports, Walmart Supercenter, Walgreens, Subway, Verizon Wireless, and many more.

INVESTMENT HIGHLIGHTS

• Original 15-Year NNN Lease to KFC (Approximately 10 Years Remaining)

• Zero Landlord Responsibility

• Tenant (KBP Foods) is a Leading KFC Franchisee with 449 Locations in Operation

• High-Visibility/Traffic Location at the NW Corner of 4th Street and Arkansas Avenue

• Located Immediately Southwest of Oklahoma City

• Situated in Dense Retail Corridor Along 4th Street

• Strong Residential Base

1 Mile 3 Miles 5 Miles

POPULATION

2021 Projection 5,911 17,086 19,299

2016 Estimate 6,002 17,133 19,288

2010 Census 5,962 16,698 18,692

INCOME

Average $45,991 $53,388 $55,199

Median $34,532 $38,319 $39,913

Per Capita $20,890 $21,998 $22,592

HOUSEHOLDS

2021 Projection 2,543 6,871 7,740

2016 Estimate 2,581 6,841 7,681

2010 Census 2,543 6,618 7,386

2000 Census 2,717 6,648 7,319

HOUSING

2016 $72,066 $82,000 $83,481

EMPLOYMENT

2016 Daytime Population 6,596 21,129 22,597

2016 Unemployment 8.12% 7.02% 6.56%

2010 Median Travel Time 21 min. 22 min. 23 min.

RACE & ETHNICITY

White 72.88% 78.85% 79.69%

African American 13.10% 7.29% 6.58%

Asian/Pacific Islander 0.57% 0.66% 0.63%

Native American 0.04% 0.06% 0.06%

Insight Commercial Real Estate Brokerage, LLC is a full-service real estate

company specializing in the brokerage and management of all types of

commercial real estate.

Our commercial brokers have the experience and expertise to handle all facets of

commercial and investment real estate. We offer individualized consultation and

analysis on real estate investments for the well-rounded portfolios.

We are local experts who can assemble the team and the resources to provide

you with everything you need to know about zoning, demographics, local and

state government procedures and more.

Being active in this market is critical to knowing the infrastructure of the cities

and towns, who the players are, and the types of deals closed, which assists you

in evaluation.

Insight Commercial enables clients to market their properties for sale or lease

with unparalleled exposure locally and nationally. Additionally, these services

provide the same opportunities for clients searching for specific properties.

We look forward to assisting you in all of your commercial real estate needs!

622 SW D Ave | Lawton, OK 7501 | 580-353-6100 ph | 580-353-6101 fax | www.insightbrokers.com

Developing a marketing brochure, including:

• Pricing • Zoning

• Location • Aerial photos

Providing suggestions to Owners on improvements

needed to make properties more marketable

Contacting prospects to notify them of property

availability

Contacting Economic Development groups in:

• Lawton • Oklahoma City • Chickasha

• Norman (Equity Real Estate, LLC—our alliance firm)

• Edmond • Other surrounding cities

Contacting investors in the area by making personal

contacts and delivering marketing brochures

Brainstorming in weekly company meetings about

properties to develop ideas for buyers/tenants

Listing properties on online services, including:

• CCIM.NET • COSTAR/LOOPNET • CREXi

• XCELIGENT • CITYFEET •INSIGHTBROKERS.COM

Sending broadcast emails to all Regional and

National Commercial Real Estate Brokers

Sending broadcast emails to all CCIM’s nationwide

Making new listings Featured Properties on our

website at www.insightbrokers.com