Retail Site Analysis Shenandoah Filling Station 28677 Interstate 45 Spring, Texas 77381 July 2, 2018
Project Summary The site is the existing Texas Food Mart convenience facility located at 28677 Interstate 45 in Spring, Texas. It has been proposed to eliminate the existing retail building and develop a new generation Filling Station convenience store with fast food and fuel offering. The focus of this evaluation is the anticipated gasoline and convenience store sales volumes during the first three years of planned facility operation. A detailed facility development strategy has been created and analyzed for volume and sales projection purposes. Two (2) distinct brand and price cases are included for volume sensitivity. Table of Contents Management Summary 3 Site Photos and Survey 6 Traffic Summary 9 Facility Audit 10 Facility Upgrade Strategy Case #1 11 Projections: Metrics and Range Case #1 12 Facility Upgrade Strategy Case #1 13 Projections: Metrics and Range Case #1 14 Competition Summary and Map 15 Trade Area Map and Demographics 22
Management Summary Interstate 45 and Shenandoah Drive Spring Site Characteristics The site is located at the southwest corner of the Interstate 45 Frontage Road and Shenandoah Drive intersection in Spring, Montgomery County, Texas. Designated site address is 28677 Interstate 45, Spring, Texas 77381. Interstate 45 is a divided, eight-lane highway with three-lane, single-direction frontage roads. Posted speed (frontage road) 45 MPH. Shenandoah Drive is an undivided, two-lane, east/west, residential collector that forms a T-intersection with the Interstate 45 SB Frontage Road. A median of limited duration exists relative to the intersection and drive cut on Shenandoah Drive. Posted speed 20 MPH. The site is a 0.7-acre land area that affords 200 frontage along Interstate 45 SB Frontage Road, and 100 + depth along Shenandoah Drive. Site access exists via two drive cuts on the Interstate 45 SB Frontage Road and one drive cut on Shenandoah Drive. Vehicular movement is unregulated along Interstate 45 SB Frontage Road. Vehicular movement along Shenandoah Drive is regulated via a STOP sign at Interstate 45 SB Frontage Road. Intersection traffic stacks past the site from the Research Forest Drive intersection, 0.1-mile south of the site, hindering site access during peak movement hours. Site visibility is unrestricted. Good facility visibility/reaction ratios will exist via exterior signage, lighting, and canopy. Page 3
Competition Competitive Summary: Gasoline/Convenience Store Fuel Brands/Chains Chevron, Valero, Shell, Exxon, Corner Store, Timewise # of Competitors 5 Gasoline/Diesel Positions 60/40 Convenience Store SF 11,800 SF Average Distance from Site 0.5-mile Traffic IMST Traffic Counts Based on 24-Hour Count (2018) Interstate 45 SB Frontage Road 33,659 Shenandoah Drive 966 Total Traffic 34,625 Trade Area The trade area is centered along Interstate 45, north of Research Forest Drive, in Spring, Montgomery County. Trade area demand is driven by surrounding area neighborhoods and commuter trips along Interstate 45 Frontage Road. Area residents are middle, upper-middle, and above-average income families leading busy suburban lifestyles. The median population age is 45 with 85% of white-collar occupations. 34% of housing units are renter occupied. Population and household growth have been experienced and are projected to continue through 2022. A series of rings and a custom boundary were analyzed for demographic demand and profile. Trade Area 2017 Population Custom Boundary 4,466 2017 Households Custom Boundary 1,945 % Household Change 2017-2022 Custom Boundary 30.7% 2017 Average HH Income Custom Boundary $147,681 2017 Median HH Income Custom Boundary $119,821 Total Household Vehicles Custom Boundary 3,861 Total Employees Custom Boundary 3,199 Total Daytime Population at Home Custom Boundary 2,246 Page 4
Facility Development Strategy: Case #1 Three (3) MPD s with six (6) fueling positions and dive-in configuration. Private brand gasoline with professional brand and store image with competitive gasoline pricing matching Corner Store units. 4,287 square foot convenience store featuring high profile design, modern amenities, and fixtures. Ten (10) up-front convenience store parking spaces with additional perimeter site parking. Advanced convenience merchandising with beer, wine, cigarette, tobacco, snack food, candy, beverage, fresh fast food, and convenience categories. Modern fountain beverage counter with full flavor selection, frozen categories, and iced teas. Expanded coffee counter with broad product/condiment selection and fresh bakery case. Six (6) reach-in cooler doors with LED lighting and Beer Cave. Fresh express made to order and grab and go fast food deli selections. Breakfast, lunch, meal, and snack fast food day parts. Interior seating. Counter service and express take-out service. Expanded interior restrooms with good appearance and cleanliness. Three (3) cashier stations with good standards of customer service. Drive-thru service. Convenience store operational 19 hours per day, 7 days per week. Volume & Sales Projections Case #1 Average Monthly Volume & Sales Projections Case #1 Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 56,957 59,578 61,400 Convenience Store Sales (Dollars) $113,321 $118,644 $121,925 Case #2 Exceptions Branded gasoline with full exterior brand image with competitive gasoline pricing (5 cents) with Corner Store units. Summary Average Monthly Volume & Sales Projections Case #2 Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 66,500 69,560 71,687 Convenience Store Sales (Dollars) $116,521 $121,996 $125,372 Store sales include convenience and fast food deli sales. Projection detail is provided within metrics and range. Projections are driven by area residents, commuters, and daytime population activity. Projections are restricted by site dimensions, gasoline capacity, traffic intensity, and direct competition. Frequent frontage road traffic stacking occurs during morning and afternoon peak periods restricting convenient ingress and egress. Two Corner Store (Circle K) Valero units are positioned within 0.5-mile of the site. Target residents are active families with good levels of education and occupation. Residents are experienced retail shoppers and shopping frequency will require best in class facility, operation, and execution. It must be determined by the developer whether an adequate short-term return exists based on projections combined with project costs. Page 5
Site Photos Site approach southbound on I-45 Frontage Road Site approach eastbound on Shenandoah Drive Existing canopy and fueling positions Existing convenience store Page 6
Site Photos Site viewed from the northeast Site frontage facing south Site viewed from the east Site viewed from the southeast Page 7
Site Survey Page 8
Traffic Summary Interstate 45 SB Frontage Road and Shenandoah Drive Traffic Counts Primary Artery: Interstate 45 SB Frontage Secondary Artery: Shenandoah Drive Primary Artery: Interstate 45 SB Frontage Secondary Artery: Shenandoah Drive Average Daily Traffic Counts Texas DOT (2016) Combined movement north of the site 38,425 Combined movement south of the site 21,268 Combined movement west of the site 374 Average Daily Traffic Counts Determined by IMST (2018) Southbound movement (non-truck/truck) 33,009/650 Total Interstate 45 SB Frontage Road 33,659 Eastbound movement (non-truck/truck) 966/0 Total Shenandoah Drive 966 Total Intersection (non-truck/truck) 33,975/650 Total Intersection Traffic 34,625 Page 9
Facility Audit Name: Texas Food Mart Brand: Texaco Case # Audit Location: Interstate 45 SB Feeder and Shenandoah Drive Intersection: SW Type: Convenience Store Impact: 74.1 Forecourt & Exterior Posted Prices 3 MPD's Standard Canopy Unleaded $2.85 9 Electronic Pay Air/Water Midgrade $3.05 9 6 # of Gas Hoses Yes CRIND's Premium $3.25 9 3 # of Gas Grades 3 Brand Sign Facings Diesel 6 # of Fueling Positions 2 Price Sign Facings Card Discount # of Diesel Hoses Pre Pay Fuel # of Truck Lanes 3 # of Access Points Strategy 0.00 # of Kerosene Hoses Average Visibility # of E-85 Hoses None Traffic Regulation Competitive Impact # of EV Stations Undivided Road Configuration Gasoline Score 51.5 6 # of Self Service Hoses Poor On Site Movement Diesel Score 0.0 # of Full Service Hoses 45 Posted Speed Convenience Store Score 22.6 Dive In Fuel Configuration 2,400 Size of Store Fast Food Score 0.0 None Car Wash 10 Up Front Parking Distance Score 1.00 Convenience Store 12 Walk In Cooler Doors Poor Maintenance Interior Restrooms 6 Reach In Cooler Doors Below Avg Interior Lighting Poor Snack Merchandising LED Cooler Lighting Interior Signage Poor Tobacco Merchandising Walk In Freezer Doors Restricted Fountain Beverage Full Credit/Debit Card Reach In Freezer Doors Restricted Frozen/Specialty 17 Hours of Operation Open Coolers Poor Coffee Bar 1 Cashier Stations 1 Interior Ice Doors 6 Beer/Wine Doors Yes Lottery 2 Exterior Ice Doors Beer Cave Yes ATM 3 Novelty Freezers Fast Food Brand Uniforms Poor Interior Visibility Fast Food Poor Customer Service/Experience Page 10
Facility Upgrade Strategy: Convenience Store and Fuel Name: Filling Station Brand: Private Case # 1 Location: 28677 Interstate 45 Intersection: SW Type: Convenience Store Impact: 224.0 Forecourt & Exterior Posted Prices 3 MPD's Updated Canopy Unleaded $2.65 9 Electronic Free Air/Water Midgrade 6 # of Gas Hoses Yes CRIND's Premium 3 # of Gas Grades 6 Brand Sign Facings Diesel 6 # of Fueling Positions 2 Price Sign Facings Card Discount # of Diesel Hoses Pre Pay Fuel # of Truck Lanes 3 # of Access Points Strategy -0.08 # of Kerosene Hoses Average Visibility # of E-85 Hoses None Traffic Regulation Competitive Impact 3 # of EV Stations Undivided Road Configuration Gasoline Score 77.4 6 # of Self Service Hoses Poor On Site Movement Diesel Score 0.0 # of Full Service Hoses 45 Posted Speed Convenience Store Score 84.8 Dive In Fuel Configuration 4,287 Size of Store Fast Food Score 4.0 None Car Wash 10 Up Front Parking Distance Score 1.00 Convenience Store Walk In Cooler Doors Excellent Maintenance Expanded Restrooms 6 Reach In Cooler Doors Average Interior Lighting Excellent Snack Merchandising Yes LED Cooler Lighting Average Interior Signage Excellent Tobacco Merchandising Walk In Freezer Doors Excellent Fountain Beverage Full Credit/Debit Card 2 Reach In Freezer Doors Average Frozen/Specialty 17 Hours of Operation 1 Open Coolers Excellent Coffee Bar 3 Cashier Stations Interior Ice Doors Beer/Wine Doors Lottery 2 Exterior Ice Doors Yes Beer Cave ATM 2 Novelty Freezers Fast Food Brand Yes Uniforms Average Interior Visibility Made2Order Fast Food Excellent Customer Service/Experience Page 11
Projections, Analytical Range, & Metrics Case #1 ne Shenandoah Filling Station - Spring Trade Area Metrics Primary Area of Influence Custom Boundary Total Intersection Traffic 34,625 VPD Explained Intersection Traffic 41.6% Passing Intersection Traffic 58.4% Trade Area in Square Miles 2.09 Trade Area Population Density 2,273 Trade Area Employee Density 1,575 Projection Metrics Annual Gasoline Volume Year 1 683,484 gallons Gasoline Gallons per Dispenser 18,986 gallons Annual Convenience Store Sales Year 1 $1,359,852 Fast Food Sales Percentage Year 1-14.8% Convenience Store Sales per Square Foot - $26.44 Average Monthly Volume & Sales Projections Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 56,957 59,578 61,400 Convenience Store Sales (Dollars) $113,321 $118,644 $121,925 Convenience Sales (Dollars) $96,580 $101,175 $104,113 Fast Food Sales (Dollars) $16,741 $17,469 $17,812 Analytical Volume & Sales Range LOW Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 51,261 53,620 54,646 Convenience Store Sales (Dollars) $96,992 $101,546 $104,349 Convenience Sales (Dollars) $82,093 $85,999 $88,496 Fast Food Sales (Dollars) $14,899 $15,547 $15,853 HIGH Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 62,653 65,536 67,540 Convenience Store Sales (Dollars) $119,673 $125,293 $128,734 Convenience Sales (Dollars) $101,409 $106,234 $109,319 Fast Food Sales (Dollars) $18,264 $19,059 $19,415 Page 12
Facility Upgrade Strategy: Convenience Store and Fuel Name: Filling Station Brand: Brand Case # 2 Location: 28677 Interstate 45 Intersection: SW Type: Convenience Store Impact: 186.1 Forecourt & Exterior Posted Prices 3 MPD's Updated Canopy Unleaded $2.70 9 Electronic Free Air/Water Midgrade 6 # of Gas Hoses Yes CRIND's Premium 3 # of Gas Grades 6 Brand Sign Facings Diesel 6 # of Fueling Positions 2 Price Sign Facings Card Discount # of Diesel Hoses Pre Pay Fuel # of Truck Lanes 3 # of Access Points Strategy -0.03 # of Kerosene Hoses Average Visibility # of E-85 Hoses None Traffic Regulation Competitive Impact 3 # of EV Stations Undivided Road Configuration Gasoline Score 77.4 6 # of Self Service Hoses Poor On Site Movement Diesel Score 0.0 # of Full Service Hoses 45 Posted Speed Convenience Store Score 85.5 Dive In Fuel Configuration 4,287 Size of Store Fast Food Score 4.0 None Car Wash 10 Up Front Parking Distance Score 1.00 Convenience Store Walk In Cooler Doors Excellent Maintenance Expanded Restrooms 6 Reach In Cooler Doors Average Interior Lighting Excellent Snack Merchandising Yes LED Cooler Lighting Average Interior Signage Excellent Tobacco Merchandising Walk In Freezer Doors Excellent Fountain Beverage Full Credit/Debit Card 2 Reach In Freezer Doors Average Frozen/Specialty 17 Hours of Operation 1 Open Coolers Excellent Coffee Bar 3 Cashier Stations Interior Ice Doors Beer/Wine Doors Lottery 2 Exterior Ice Doors Yes Beer Cave ATM 2 Novelty Freezers Fast Food Brand Yes Uniforms Excellent Interior Visibility Made2Order Fast Food Excellent Customer Service/Experience Page 13
Projections, Analytical Range, & Metrics Case #2 ne Shenandoah Filling Station - Spring Trade Area Metrics Primary Area of Influence Custom Boundary Total Intersection Traffic 34,625 VPD Explained Intersection Traffic 41.6% Passing Intersection Traffic 58.4% Trade Area in Square Miles 2.09 Trade Area Population Density 2,273 Trade Area Employee Density 1,575 Projection Metrics Annual Gasoline Volume Year 1 798,000 gallons Gasoline Gallons per Dispenser 22,167 gallons Annual Convenience Store Sales Year 1 $1,398,252 Fast Food Sales Percentage Year 1-14.6% Convenience Store Sales per Square Foot - $27.18 Average Monthly Volume & Sales Projections Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 66,500 69,560 71,687 Convenience Store Sales (Dollars) $116,521 $121,996 $125,372 Convenience Sales (Dollars) $99,551 $104,288 $107,316 Fast Food Sales (Dollars) $16,970 $17,708 $18,056 Analytical Volume & Sales Range LOW Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 56,230 59,118 60,884 Convenience Store Sales (Dollars) $99,721 $104,405 $107,289 Convenience Sales (Dollars) $84,618 $88,645 $91,219 Fast Food Sales (Dollars) $15,103 $15,760 $16,070 HIGH Year 1 Year 2 Year 3 Gasoline Volume (Gallons) 70,238 73,540 76,010 Convenience Store Sales (Dollars) $123,043 $128,821 $132,363 Convenience Sales (Dollars) $104,529 $109,502 $112,682 Fast Food Sales (Dollars) $18,264 $19,059 $19,415 Page 14
Competitive Analysis Summary Trade Area Summary Brands and Convenience Chains 5 Total Competitive Units 0.5 Average Distance in Miles 60 Total Gasoline Fueling Positions 40 Total Auto Diesel Fueling Positions 11,800 Total Convenience Store Square Footage 2,360 Average Convenience Store Square Footage Competitive Impact Scores Posted Prices 62.1 Average Gasoline Impact Score Market Price Gasoline $2.73 9 11.5 Average Diesel Impact Score 77.6 Average Convenience Impact Score Lead Price Gasoline $2.65 9 15.8 Average Fast Food Impact Score 0.6 Average Distance Impact Score Market Price Diesel $2.89 9 299.1 Maximum Competitor Impact Score Lead Price Diesel $2.85 9 85.5 Minimum Competitor Impact Score Date: 5/23/2018 Impact Scores 300 299.12 250 200 184.43 150 100 90.37 85.51 96.89 50 0 Corner Store Valero Chevron Corner Store Valero Timewise Shell Timewise Exxon Page 15
Competition Map 56 45 S H E N A N D O A H Shenandoah Dr ß 1 Research Forest Dr 3 2 Six Pines Dr 4 5656 45 5 = Gasoline/Diesel/Convenience Store Page 16
Competition Analysis: Convenience Store and Fuel Name: Corner Store (Circle K) Brand: Valero Map #: 1 Location: Interstate 45 and Shenandoah Drive Intersection: NW Type: Convenience Store Distance: 0.1 Forecourt & Exterior Posted Prices 4 MPD's Standard Canopy Unleaded $2.65 9 Electronic Pay Air/Water Midgrade $2.81 9 8 # of Gas Hoses Yes CRIND's Premium $3.01 9 3 # of Gas Grades 3 Brand Sign Facings Diesel $2.85 9 8 # of Fueling Positions 2 Price Sign Facings Card Discount 4 # of Diesel Hoses Yes Pre Pay Fuel # of Truck Lanes 4 # of Access Points Strategy -0.08 # of Kerosene Hoses Average Visibility -0.04 # of E-85 Hoses None Traffic Regulation Competitive Impact # of EV Stations CenterTurn Road Configuration Gasoline Score 52.5 12 # of Self Service Hoses Poor On Site Movement Diesel Score 6.5 # of Full Service Hoses 45 Posted Speed Convenience Store Score 80.6 In Line Fuel Configuration 2,400 Size of Store Fast Food Score 1.0 Car Wash Up Front Parking Distance Score 1.00 13 Walk In Cooler Doors Average Maintenance Interior Restrooms Reach In Cooler Doors Average Interior Lighting Average Snack Merchandising LED Cooler Lighting Average Interior Signage Average Tobacco Merchandising Walk In Freezer Doors Average Fountain Beverage Full Credit/Debit Card Reach In Freezer Doors Limited Frozen/Specialty 24 Hours of Operation 2 Open Coolers Average Coffee Bar 2 Cashier Stations 2 Interior Ice Doors 6 Beer/Wine Doors Yes Lottery Exterior Ice Doors Beer Cave Yes ATM 2 Novelty Freezers Corner Store Fast Food Brand Yes Uniforms Average Interior Visibility RollerGrill Fast Food Average Customer Service/Experience Date: 5/23/2018 Convenience Store Page 17
Competition Analysis: Convenience Store and Fuel Name: King Fuels Brand: Chevron Map #: 2 Location: Interstate 45 and Tamina Road Intersection: SE Type: Convenience Store Distance: 0.2 Forecourt & Exterior Posted Prices 6 MPD's Standard Canopy Unleaded $2.85 9 2 Electronic Pay Air/Water Midgrade $3.09 9 12 # of Gas Hoses Yes CRIND's Premium $3.39 9 3 # of Gas Grades 6 Brand Sign Facings Diesel $2.99 9 12 # of Fueling Positions 2 Price Sign Facings Card Discount 4 # of Diesel Hoses Yes Pre Pay Fuel # of Truck Lanes 3 # of Access Points Strategy 0.12 # of Kerosene Hoses Average Visibility 0.10 # of E-85 Hoses Electronic Traffic Regulation Competitive Impact # of EV Stations Undivided Road Configuration Gasoline Score 73.5 16 # of Self Service Hoses Average On Site Movement Diesel Score 12.5 # of Full Service Hoses 45 Posted Speed Convenience Store Score 104.6 Dive In Fuel Configuration 3,000 Size of Store Fast Food Score 43.0 Car Wash 12 Up Front Parking Distance Score 1.00 14 Walk In Cooler Doors Average Maintenance Interior Restrooms 2 Reach In Cooler Doors Average Interior Lighting Average Snack Merchandising Yes LED Cooler Lighting Average Interior Signage Average Tobacco Merchandising Walk In Freezer Doors Excellent Fountain Beverage Full Credit/Debit Card 2 Reach In Freezer Doors Average Frozen/Specialty 24 Hours of Operation 1 Open Coolers Average Coffee Bar 2 Cashier Stations 2 Interior Ice Doors 5 Beer/Wine Doors Yes Lottery Exterior Ice Doors Yes Beer Cave Yes ATM 2 Novelty Freezers Church's Fast Food Brand Yes Uniforms Excellent Interior Visibility Grab 'n Go Fast Food Average Customer Service/Experience Date: 5/23/2018 Convenience Store Page 18
Competition Analysis: Convenience Store and Fuel Name: Corner Store (Circle K) Brand: Valero Map #: 3 Location: Research Forest Drive and Six Pines Drive Intersection: SW Type: Convenience Store Distance: 0.5 Forecourt & Exterior Posted Prices 8 MPD's Updated Canopy Unleaded $2.65 9 Electronic Pay Air/Water Midgrade $2.97 9 16 # of Gas Hoses Yes CRIND's Premium $3.13 9 3 # of Gas Grades 3 Brand Sign Facings Diesel $2.85 9 16 # of Fueling Positions 2 Price Sign Facings Card Discount 8 # of Diesel Hoses Yes Pre Pay Fuel E-85 $2.35 9 # of Truck Lanes 2 # of Access Points Strategy -0.08 # of Kerosene Hoses Poor Visibility -0.04 4 # of E-85 Hoses Electronic Traffic Regulation Competitive Impact # of EV Stations Divided Road Configuration Gasoline Score 86.5 28 # of Self Service Hoses Average On Site Movement Diesel Score 11.5 # of Full Service Hoses 45 Posted Speed Convenience Store Score 126.9 Dive In Fuel Configuration 4,500 Size of Store Fast Food Score 34.0 Touchless Car Wash 17 Up Front Parking Distance Score 0.57 13 Walk In Cooler Doors Average Maintenance Interior Restrooms Reach In Cooler Doors Average Interior Lighting Average Snack Merchandising Yes LED Cooler Lighting Average Interior Signage Average Tobacco Merchandising Walk In Freezer Doors Excellent Fountain Beverage Full Credit/Debit Card 5 Reach In Freezer Doors Average Frozen/Specialty 24 Hours of Operation 4 Open Coolers Excellent Coffee Bar 3 Cashier Stations 2 Interior Ice Doors 6 Beer/Wine Doors Yes Lottery Exterior Ice Doors Yes Beer Cave Yes ATM 1 Novelty Freezers Corner Store Fast Food Brand Yes Uniforms Average Interior Visibility Made2Order Fast Food Average Customer Service/Experience Date: 5/23/2018 Convenience Store Page 19
Competition Analysis: Convenience Store and Fuel Name: Timewise Brand: Shell Map #: 4 Location: Interstate 45 and Lake Front Circle Intersection: SW Type: Convenience Store Distance: 0.7 Forecourt & Exterior Posted Prices 6 MPD's Standard Canopy Unleaded $2.75 9 Electronic Pay Air/Water Midgrade $3.11 9 12 # of Gas Hoses Yes CRIND's Premium $3.45 9 3 # of Gas Grades 3 Brand Sign Facings Diesel $2.89 9 12 # of Fueling Positions 2 Price Sign Facings Card Discount 12 # of Diesel Hoses Yes Pre Pay Fuel # of Truck Lanes 3 # of Access Points Strategy 0.02 # of Kerosene Hoses BelowAvg Visibility 0.00 # of E-85 Hoses None Traffic Regulation Competitive Impact # of EV Stations Undivided Road Configuration Gasoline Score 43.5 24 # of Self Service Hoses BelowAvg On Site Movement Diesel Score 12.5 # of Full Service Hoses 45 Posted Speed Convenience Store Score 37.7 In Line Fuel Configuration 1,200 Size of Store Fast Food Score 1.0 Touchless Car Wash 2 Up Front Parking Distance Score 0.41 7 Walk In Cooler Doors Average Maintenance Interior Restrooms 5 Reach In Cooler Doors Average Interior Lighting Average Snack Merchandising LED Cooler Lighting Average Interior Signage Limited Tobacco Merchandising Walk In Freezer Doors Limited Fountain Beverage Full Credit/Debit Card Reach In Freezer Doors Frozen/Specialty 24 Hours of Operation 1 Open Coolers Limited Coffee Bar 2 Cashier Stations Interior Ice Doors 3 Beer/Wine Doors Yes Lottery 4 Exterior Ice Doors Beer Cave Yes ATM 1 Novelty Freezers Fast Food Brand Yes Uniforms Average Interior Visibility RollerGrill Fast Food Below Avg Customer Service/Experience Date: 5/23/2018 Convenience Store Page 20
Competition Analysis: Convenience Store and Fuel Name: Timewise Brand: Exxon Map #: 5 Location: Lake Woodlands Drive and Pinecroft Drive Intersection: NE Type: Convenience Store Distance: 1.1 Forecourt & Exterior Posted Prices 6 MPD's Standard Canopy Unleaded $2.75 9 Electronic Pay Air/Water Midgrade $3.11 9 12 # of Gas Hoses Yes CRIND's Premium $3.45 9 3 # of Gas Grades 6 Brand Sign Facings Diesel $2.89 9 12 # of Fueling Positions 4 Price Sign Facings Card Discount 12 # of Diesel Hoses Yes Pre Pay Fuel # of Truck Lanes 2 # of Access Points Strategy 0.02 # of Kerosene Hoses BelowAvg Visibility 0.00 # of E-85 Hoses Electronic Traffic Regulation Competitive Impact # of EV Stations Divided Road Configuration Gasoline Score 50.5 24 # of Self Service Hoses Average On Site Movement Diesel Score 17.5 # of Full Service Hoses 35 Posted Speed Convenience Store Score 38.3 Stacked Fuel Configuration 700 Size of Store Fast Food Score 0.0 Soft Touch Car Wash 3 Up Front Parking Distance Score 0.26 10 Walk In Cooler Doors Average Maintenance Interior Restrooms 4 Reach In Cooler Doors Average Interior Lighting Average Snack Merchandising LED Cooler Lighting Average Interior Signage Limited Tobacco Merchandising Walk In Freezer Doors Limited Fountain Beverage Full Credit/Debit Card Reach In Freezer Doors Frozen/Specialty 24 Hours of Operation Open Coolers Limited Coffee Bar 2 Cashier Stations Interior Ice Doors 6 Beer/Wine Doors Yes Lottery 2 Exterior Ice Doors Beer Cave Yes ATM 1 Novelty Freezers Fast Food Brand Yes Uniforms Average Interior Visibility Fast Food Below Avg Customer Service/Experience Date: 5/23/2018 Convenience Store Page 21
Trade Area Map 0.75-, 1-, 1.25-, and 1.5-Mile Rings Interstate 45 and Shenandoah Drive Spring, Texas 77381 1.50 mi 1.25 mi 1.00 mi 0.75 mi S H E N A N D O A H ß 5656 45 O A K R I D G E N O R T H ß = Site = Custom Boundary Page 22
Demand Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 0.75 MILE RING 1.77 SQ/MI 1 MILE RING 3.14 SQ/MI 1.25 MILE RING 4.91 SQ/MI 1.5 MILE RING 7.07 SQ/MI POPULATION TREND 2010 Total Population 1,233 2,771 4,081 5,870 2017 Total Population 1,633 3,685 5,508 7,869 2022 Total Population 2,122 4,747 7,024 9,913 % Population Change 2000 to 2010 65.1% 55.4% 57.1% 56.7% % Population Change 2000 to 2017 118.6% 106.7% 112.0% 110.0% % Population Change 2010 to 2022 72.1% 71.3% 72.1% 68.9% % Population Change 2017 to 2022 29.9% 28.8% 27.5% 26.0% 2017 Total Daytime Population 8,605 14,251 22,460 34,258 2017 Total Employees 7,755 12,292 19,572 30,174 2017 Total Daytime at Home Population 850 1,959 2,888 4,084 2017 Total Employees (% of Daytime Population) 90.1% 86.3% 87.1% 88.1% 2017 Total Daytime at Home Population (% of Daytime Populat 9.9% 13.7% 12.9% 11.9% DENSITY 2017 Population Density 1,779 1,421 1,515 1,618 2017 Employee Density 5,008 4,627 4,195 5,051 HOUSEHOLDS TREND 2010 Households 549 1,214 1,754 2,545 2017 Households 699 1,599 2,360 3,433 2022 Households 882 2,024 2,964 4,271 % Household Change 2000 to 2010 105.6% 99.3% 103.0% 99.3% % Household Change 2000 to 2017 161.8% 162.6% 173.1% 168.8% % Household Change 2010 to 2022 60.7% 66.7% 69.0% 67.8% % Household Change 2017 to 2022 26.2% 26.6% 25.6% 24.4% 2017 Average household size: Owner occupied 1.7 1.7 1.6 1.7 2017 Average household size: Renter occupied 0.6 0.7 0.7 0.7 INCOME 2010 Household income: Median $87,499 $84,633 $86,019 $86,957 2010 Household income: Average $127,182 $122,371 $123,846 $122,496 2017 Household income: Median $104,101 $96,934 $100,956 $102,323 2017 Household income: Average $134,419 $130,452 $138,011 $140,942 2022 Household income: Median $107,529 $100,477 $104,780 $106,502 2022 Household income: Average $149,494 $144,397 $154,689 $159,138 HOUSEHOLD VEHICLES 2017 Households: Number of vehicles available 1,402 3,139 4,572 6,580 2017 Owner occupied: Number of vehicles available 1,005 2,237 3,203 4,707 2017 Renter occupied: Number of vehicles available 368 863 1,267 1,889 Page 23
Demand Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 0.75 MILE RING 1.77 SQ/MI 1 MILE RING 3.14 SQ/MI 1.25 MILE RING 4.91 SQ/MI 1.5 MILE RING 7.07 SQ/MI RACE & ETHNICITY % 2017 White alone 84.2% 83.5% 84.2% 85.2% % 2017 Black or African American alone 4.3% 5.0% 4.6% 4.1% % 2017 American Indian and Alaska Native alone: Adult.2%.2%.2%.2% % 2017 Asian alone 6.6% 6.1% 5.9% 5.5% % 2017 Native Hawaiian and OPI alone.1%.1%.1%.1% % 2017Some Other Race alone 2.0% 2.4% 2.3% 2.1% % 2017 Two or More Races 2.5% 2.5% 2.6% 2.7% % 2017 Hispanic 13.2% 14.0% 13.6% 13.4% % 2017 Not Hispanic 86.8% 86.0% 86.4% 86.6% EDUCATION & OCCUPATION Education % 2017 No High School Diploma 2.3% 3.5% 3.2% 3.1% % 2017 High school graduate, GED, or alternative 14.1% 15.9% 15.1% 15.1% % 2017 College No Degree 20.0% 20.3% 20.6% 21.0% % 2017 College Degree 42.4% 40.0% 39.9% 40.0% % 2017 Advanced Degree 21.1% 20.4% 21.2% 20.8% % 2017 College or Advanced Degree 63.5% 60.3% 61.1% 60.8% Occupation % 2010 Occupation: White collar 80.8% 78.8% 79.3% 79.7% % 2010 Occupation: Blue collar 19.0% 21.1% 20.7% 20.3% % 2017 Occupation: White collar 79.4% 77.2% 78.1% 78.2% % 2017 Occupation: Blue collar 20.6% 22.8% 21.9% 21.8% AGE & OCCUPANCY Age 2017 Total population: Median age 44 43 43 43 2017 Male population: Median age 41 40 41 41 2017 Female population: Median age 46 45 45 45 Occupancy 2017 Households 699 1,599 2,360 3,433 % 2017 Owner occupied housing units 65.3% 65.3% 63.9% 64.2% % 2017 Renter occupied housing units 34.7% 34.7% 36.1% 35.8% Page 24
Demand Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 0.75 MILE RING 1.77 SQ/MI 1 MILE RING 3.14 SQ/MI 1.25 MILE RING 4.91 SQ/MI 1.5 MILE RING 7.07 SQ/MI RETAIL SALES POTENTIAL 2017 Convenience stores $965,257 $2,197,636 $3,250,227 $4,740,323 2017 Gasoline stations with convenience stores $2,383,879 $5,443,201 $8,034,300 $11,708,705 2017 Beer, wine, & liquor stores $223,419 $505,352 $749,144 $1,093,834 2017 Supermarkets & other grocery (except convenience) store $3,248,606 $7,407,212 $10,933,206 $15,929,281 2017 Restaurant Expenditures $974,125 $2,204,944 $3,264,918 $4,766,059 HOUSEHOLD EXPENDITURES Automotive 2017 Gasoline (Household Average) $2,024 $2,023 $2,021 $2,024 2017 Diesel fuel (Household Average) $52 $52 $52 $52 2017 Gasoline on out-of-town trips (Household Average) $122 $121 $121 $122 2017 Motor oil (Household Average) $15 $15 $15 $15 2017 Lube, oil change, and oil filters (Household Average) $94 $94 $94 $94 2017 Maintenance and repairs (Household Average) $898 $895 $895 $896 Food/Alcohol/Tobacco 2017 Food at home $2,968,395 $6,770,417 $9,991,626 $14,555,960 2017 Food at home (Household Average) $4,247 $4,234 $4,234 $4,240 2017 Food away from home (Household Average) $3,277 $3,251 $3,260 $3,270 2017 Meals at restaurants, carry outs and other (Household Av $2,795 $2,774 $2,781 $2,789 2017 Breakfast and brunch (Household Average) $326 $324 $325 $326 2017 Lunch (Household Average) $881 $875 $877 $879 2017 Dinner (Household Average) $1,350 $1,337 $1,342 $1,347 2017 Alcoholic beverages $395,881 $894,251 $1,326,672 $1,938,095 2017 Alcoholic beverages (Household Average) $566 $559 $562 $565 2017 At home (Household Average) $320 $316 $317 $319 2017 Away from home (Household Average) $247 $243 $245 $246 2017 Beer and ale $57,242 $129,565 $192,353 $281,116 2017 Beer and ale (Household Average) $82 $81 $82 $82 2017 Wine $32,446 $72,672 $108,116 $158,273 2017 Wine (Household Average) $46 $45 $46 $46 2017 Other alcoholic beverages $18,212 $40,925 $60,839 $88,996 2017 Other alcoholic beverages (Household Average) $52 $52 $52 $52 2017 Tobacco products and smoking supplies $250,543 $578,110 $850,336 $1,234,852 2017 Tobacco products and smoking supplies (Household Avg) $358 $362 $360 $360 2017 Cigarettes $219,582 $506,133 $744,806 $1,081,918 2017 Cigarettes (Household Average) $314 $317 $316 $315 2017 Other tobacco products $24,364 $56,904 $83,243 $120,534 2017 Other tobacco products (Household Average) $35 $36 $35 $35 2017 Smoking accessories $6,598 $15,073 $22,287 $32,400 2017 Smoking accessories (Household Average) $9 $9 $9 $9 Page 25
Demand Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 CUSTOM BOUNDARY 2.09 SQ/MI POPULATION TREND 2010 Total Population 3,269 2017 Total Population 4,466 2022 Total Population 5,938 % Population Change 2000 to 2010 101.2% % Population Change 2000 to 2017 174.8% % Population Change 2010 to 2022 81.6% % Population Change 2017 to 2022 33.0% 2017 Total Daytime Population 5,445 2017 Total Employees 3,199 2017 Total Daytime at Home Population 2,246 2017 Total Employees (% of Daytime Population) 58.8% 2017 Total Daytime at Home Population (% of Daytime Populat 41.2% DENSITY 2017 Population Density 2,273 2017 Employee Density 1,575 HOUSEHOLDS TREND 2010 Households 1,439 2017 Households 1,945 2022 Households 2,543 % Household Change 2000 to 2010 160.7% % Household Change 2000 to 2017 252.4% % Household Change 2010 to 2022 76.7% % Household Change 2017 to 2022 30.7% 2017 Average household size: Owner occupied 1.6 2017 Average household size: Renter occupied 0.7 INCOME 2010 Household income: Median $94,425 2010 Household income: Average $135,347 2017 Household income: Median $119,821 2017 Household income: Average $147,681 2022 Household income: Median $121,928 2022 Household income: Average $163,925 HOUSEHOLD VEHICLES 2017 Households: Number of vehicles available 3,861 2017 Owner occupied: Number of vehicles available 2,701 2017 Renter occupied: Number of vehicles available 1,162 Page 26
Demand Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 CUSTOM BOUNDARY 2.09 SQ/MI RACE & ETHNICITY % 2017 White alone 84.8% % 2017 Black or African American alone 3.3% % 2017 American Indian and Alaska Native alone: Adult.2% % 2017 Asian alone 7.5% % 2017 Native Hawaiian and OPI alone.0% % 2017Some Other Race alone 1.6% % 2017 Two or More Races 2.5% % 2017 Hispanic 12.8% % 2017 Not Hispanic 87.2% EDUCATION & OCCUPATION Education % 2017 No High School Diploma 1.1% % 2017 High school graduate, GED, or alternative 12.3% % 2017 College No Degree 18.7% % 2017 College Degree 45.8% % 2017 Advanced Degree 22.1% % 2017 College or Advanced Degree 67.8% Occupation % 2010 Occupation: White collar 84.8% % 2010 Occupation: Blue collar 15.2% % 2017 Occupation: White collar 82.7% % 2017 Occupation: Blue collar 17.3% AGE & OCCUPANCY Age 2017 Total population: Median age 45 2017 Male population: Median age 42 2017 Female population: Median age 47 Occupancy 2017 Households 1,945 % 2017 Owner occupied housing units 66.5% % 2017 Renter occupied housing units 33.5% Page 27
Demand Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 CUSTOM BOUNDARY 2.09 SQ/MI RETAIL SALES POTENTIAL 2017 Convenience stores $2,725,991 2017 Gasoline stations with convenience stores $6,707,676 2017 Beer, wine, & liquor stores $634,351 2017 Supermarkets & other grocery (except convenience) store $9,122,342 2017 Restaurant Expenditures $2,759,849 HOUSEHOLD EXPENDITURES Automotive 2017 Gasoline (Household Average) $2,041 2017 Diesel fuel (Household Average) $52 2017 Gasoline on out-of-town trips (Household Average) $124 2017 Motor oil (Household Average) $15 2017 Lube, oil change, and oil filters (Household Average) $95 2017 Maintenance and repairs (Household Average) $907 Food/Alcohol/Tobacco 2017 Food at home $8,332,021 2017 Food at home (Household Average) $4,284 2017 Food away from home (Household Average) $3,335 2017 Meals at restaurants, carry outs and other (Household Av $2,841 2017 Breakfast and brunch (Household Average) $331 2017 Lunch (Household Average) $894 2017 Dinner (Household Average) $1,375 2017 Alcoholic beverages $1,127,042 2017 Alcoholic beverages (Household Average) $579 2017 At home (Household Average) $326 2017 Away from home (Household Average) $253 2017 Beer and ale $163,012 2017 Beer and ale (Household Average) $84 2017 Wine $93,213 2017 Wine (Household Average) $48 2017 Other alcoholic beverages $51,801 2017 Other alcoholic beverages (Household Average) $53 2017 Tobacco products and smoking supplies $695,523 2017 Tobacco products and smoking supplies (Household Avg) $358 2017 Cigarettes $609,437 2017 Cigarettes (Household Average) $313 2017 Other tobacco products $67,497 2017 Other tobacco products (Household Average) $35 2017 Smoking accessories $18,589 2017 Smoking accessories (Household Average) $10 Page 28
Full Demographic Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 CUSTOM BOUNDARY 2.09 SQ/MI POPULATION OVERVIEW Population Trend 2000 Total Population 1,625 2010 Total Population 3,269 2017 Total Population 4,466 2022 Total Population 5,938 % Population Change 2000 to 2010 101.2% % Population Change 2000 to 2017 174.8% % Population Change 2010 to 2022 81.6% % Population Change 2017 to 2022 33.0% 2017 Race and Ethnicity % 2017 White alone 84.8% % 2017 Black or African American alone 3.3% % 2017 Asian alone 7.5% % 2017 Other Race - Population 4.4% Hispanic or Latino % 2017 Hispanic 12.8% % 2017 Not Hispanic 87.2% 2017 Age Trend Total population: Median age 45 Male population: Median age 42 Female population: Median age 47 Age 19 and Under 16.1% Age 20 to 29 14.5% Age 30 to 39 13.9% Age 40 to 49 12.0% Age 50 to 64 23.2% Age 65 and Over 20.4% 2017 Male Population % Male population 48.7% % Male population: Under 5 years 2.6% % Male population: 5 to 9 years 2.3% % Male population: 10 to 14 years 2.0% % Male population: 15 to 19 years 1.9% % Male population: 20 to 24 years 2.3% % Male population: 25 to 29 years 4.6% % Male population: 30 to 34 years 4.7% % Male population: 35 to 39 years 2.8% % Male population: 40 to 44 years 2.6% % Male population: 45 to 49 years 3.0% % Male population: 50 to 54 years 3.6% % Male population: 55 to 59 years 3.7% % Male population: 60 to 64 years 3.2% % Male population: 65 to 69 years 4.1% % Male population: 70 to 74 years 2.8% Page 29
Full Demographic Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 CUSTOM BOUNDARY 2.09 SQ/MI % Male population: 75 to 79 years 1.2% % Male population: 80 to 84 years.7% % Male population: 85 years and over.7% 2017 Female Population % Female population 51.3% % Female population: Under 5 years 2.4% % Female population: 5 to 9 years 1.6% % Female population: 10 to 14 years 1.5% % Female population: 15 to 19 years 1.7% % Female population: 20 to 24 years 3.0% % Female population: 25 to 29 years 4.5% % Female population: 30 to 34 years 3.2% % Female population: 35 to 39 years 3.1% % Female population: 40 to 44 years 3.1% % Female population: 45 to 49 years 3.3% % Female population: 50 to 54 years 4.0% % Female population: 55 to 59 years 4.6% % Female population: 60 to 64 years 4.2% % Female population: 65 to 69 years 3.7% % Female population: 70 to 74 years 2.5% % Female population: 75 to 79 years 2.4% % Female population: 80 to 84 years 1.5% % Female population: 85 years and over.9% HOUSEHOLD OVERVIEW Household Trend 2000 Households 552 2010 Households 1,439 2017 Households 1,945 2022 Households 2,543 % Household Change 2000 to 2010 160.7% % Household Change 2000 to 2017 252.4% % Household Change 2010 to 2022 76.7% % Household Change 2017 to 2022 30.7% 2017 Household Size Average household size 2.3 % Family households 70.2% % Nonfamily households 29.8% Page 30
Full Demographic Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 CUSTOM BOUNDARY 2.09 SQ/MI Household Income Trend 2000 Median income $70,312 2011 Median income $94,425 2017 Median income $119,821 2022 Median income $121,928 % Median Income Change 2000 to 2010 34.3% % Median Income Change 2000 to 2017 70.4% % Median Income Change 2010 to 2022 29.1% % Median Income Change 2017 to 2022 1.8% 2000 Household income: Average $73,940 2010 Household income: Average $135,347 2017 Household income: Average $147,681 2022 Household income: Average $163,925 2017 Household Income up to $24,999 9.3% $25,000 to $49,999 12.5% $50,000 to $74,999 11.6% $75,000 to $124,999 18.4% $125,000 to $199,999 19.3% $200,000 or more 28.8% Income Below $75,000 33.4% Income $75,000 to $199,999 37.7% HOUSING UNITS OVERVIEW 2017 Home Value Median Home Value $343,627 Average Home Value $368,795 2017 Occupancy Households 1,945 Owner occupied 66.5% Renter occupied 33.5% Occupancy by Number of Units 1 Unit, Detached 75.4% 1 Unit, Attached 2.2% 2.1% 3 or 4.2% 5 to 9 4.5% 10 to 19 10.2% 20 to 49 2.6% 50 or more 4.9% Mobile home.0% Boat, RV, van, etc..0% 2017 Occupation Workers 16 years and over 2,382 White collar 82.7% Blue collar 17.3% Page 31
Full Demographic Report Interstate 45 and Shenandoah Drive Spring, Texas 77381 CUSTOM BOUNDARY 2.09 SQ/MI 2017 Educational Attainment Population 25 years and over 3,510 No High School Diploma 1.1% High school graduate, GED, or alternative 12.3% College No Degree 18.7% College Degree 45.8% Advanced Degree 22.1% College or Advanced Degree 67.8% 2017 Marital Status Population 15 years and over 3,909 Not Married 31.2% Married 68.8% Average Travel Time to Work Trend 2000 Travel time: Average (in minutes) 28 2010 Travel time: Average (in minutes) 31 2017 Travel time: Average (in minutes) 33 Work at Home Trend % 2000 Workers 16+ years who work at home 4.4% % 2010 Workers 16+ years who work at home 6.2% % 2017 Workers 16+ years who work at home 6.8% Did Not Work at Home Trend % 2000 Workers 16+ years who do not work at 95.6% % 2010 Workers 16+ years who do not work at 93.8% % 2017 Workers 16+ years who do not work at 93.2% Mode of Transportation to Work Car, truck, or van - Drove alone 77.5% Car, truck, or van - Carpooled 12.1% Page 32
Presented by: IMST Corp. 4203 Yoakum Boulevard, Suite 110 Houston, TX 77006 Phone: 281.398.0321 FAX: 281.825.4179 Email: info@imstcorp.com Website: www.imstcorp.com The contents of this study, including all projections, are based on information furnished by the client, customer and data collected by IMST in the field, and from other sources. IMST does not warrant that there have been no material changes in the data since generation, including merchantability and fitness for a particular purpose with regard to the study and all underlying data and analysis. IMST makes reasonable efforts to obtain all data for the study; however, market conditions are subject to change and these changes may significantly alter actual sales. The completed study is not intended to provide a guarantee of actual business performance. It is our understanding that the studied site has been thoroughly tested regarding potential contamination and no problems now exist that create negative environmental conditions. If you should have any questions regarding this information, please call us at 281.398.0321. R2410