MAIN VENTURA SHOPPING CENTER

MAIN VENTURA SHOPPING CENTER 4001-4017 E. MAIN STREET VENTURA CA 93003 OFFERING MEMORANDUM A ±25,074 SF Shopping Center Located at the Heart of the Ventura Shopping Corridor

TABLE OF CONTENTS

4 Executive Summary Offering Summary Financial Summary Investment Highlights 8 Property Overview Physical Description & Parcel Map Site Plan Rent Roll Income & Expenses 14 Area Overview Ventura, CA Accessibility Demographics Area Map Local Map Area Redevelopments 22 Tenant Overview Pep Boys Automotive Frazee Paints Sizzler

EXECUTIVE OVERVIEW

OFFERING SUMMARY Colliers International and the Hagelis Group are proud to offer the fee simple interest sale of Main Ventura Shopping Center, located at the intersection of E. Main Street and Callens Road, in the city of Ventura, California ( Property ). The Main Ventura Shopping Center is comprised of one parcel consisting of five units and includes: Pep Boys Auto, Sizzler, Frazee Paint, and Tile Encounters. Main Ventura Shopping Center, also known as Pep Boys Plaza, is located along a stretch of E. Main Street that sees approximately ± 42,321 cars per day, and connects both East Ventura and Oxnard to The Pacific View Mall West Ventura County s prominent mall. The property is also adjacent to both US Route 101 (The Ventura Freeway) and State Route 126. The property is situated in a prime location within one of Ventura s popular shopping corridors and is surrounded by national and regional retailers, such as: Lassens Natural Food Grocery store, Target, Ross, Winco, and Office Depot. Main Ventura Shopping Center will also see a direct increase in daily traffic and an influx to their customer base from two large scale area redevelopments located within a three mile radius. > OFFERING Offering Price...$7,400,000 Property Size (NRA)...25,074 SF Year Built...1978 Current Occupancy...84.25% > OPERATING DATA - IN PLACE Effective Gross Income...$570,538 Operating Expenses...$136,922 Net Operating Income - In Place...$433,617 > OPERATING DATA - YEAR 1 Effective Gross Income...$619,433 Operating Expenses...$141,436 Net Operating Income - In Place...$477,996 > CAP RATE - YEAR 1... 5.86% > CAP RATE - STABILIZED...6.46% COLLIERS INTERNATIONAL & HAGELIS GROUP 5

DEAL HIGHLIGHTS Main Ventura Shopping Center will provide an investor with the following: > A prime retail location on one of Ventura s most highly traveled streets, and the property s highly exposed position within Ventura s retail hub. > The opportunity to own a property in one of the most sought after coastal retail corridors in the state. Driven by agriculture, Ventura County has limited availability for commercial growth and high barriers of entry. > A Location contiguous to the very popular Lassens Natural Foods Grocery store, a vast assortment of well known retailers, and the West Ventura County s regional mall Pacific View Mall. > The property s ease of accessibility. Positioned by two major freeways, the center is easily accessed and equipped with 147 parking spaces. > The opportunity to capitalize on the area s redevelopment. Ventura s Community Memorial Hospital and the Ventura County Medical Center will increase the daily customer draw to the center, creating a desirable location for future tenants. 6 MAIN VENTURA SHOPPING CENTER

32,354 TELEPHONE R ROAD ± 32,354 ROAD ± MAIN VENTURA SHOPPING CENTER MAIN STREET ± 42,321 CPD US 101 US 101 COLLIERS INTERNATIONAL & HAGELIS GROUP 7 VENTURA FREEWAY ±112,652 CPD STATE ROUTE 126 ± 38,717 CPD

PROPERTY OVERVIEW

PHYSICAL DESCRIPTION > PROPERTY NAME Main Ventura Shopping Center & Pep Boys Plaza > PROPERTY ADDRESS 4001-4017 E. Main Street Ventura, CA 93003 > LOCATION Intersection of E. Main St. and Callens Rd. > SQUARE FOOTAGE 25,400 > OCCUPANCY 84.25% > APN 079-0-210-270 > YEAR BUILT 1978 > ZONING C2 > PARKING 147 spaces > LAND AREA ± 2.43 AC COLLIERS INTERNATIONAL & HAGELIS GROUP 9

US 101 MAIN STREET 10 MAIN VENTURA SHOPPING CENTER

SITE PLAN COLLIERS INTERNATIONAL & HAGELIS GROUP 11 4017 4001 4005 4009 4013 101 FREEWAY E. MAIN STREET VACANT

RENT ROLL UNIT TENANT LEASE START LEASE END SF % OF GLA CONTRACT RENTAL RATE RENT PER SF RENT INCREASES YEARLY MONTH YEAR MONTH DATE MONTHLY OPTIONS 4001 Pep Boys (Automotive) Aug-84 Oct-17 8,000 31.5% $154,000 $12,833 $19.25 $1.60 Nov-15 $13,207 1 x 5 4005 Frazee Industries, Inc. Sep-08 Nov-15 5,000 19.7% $135,630 $11,302 $27.13 $2.26 Sep-14 CPI 3 x 5 4009 Tile Encounters, Inc. Nov-13 Oct-19 3,000 11.8% $36,000 $3,000 $12.00 $1.00 4013 VACANT 4,000 15.7% $60,000 $5,000 $15.00 $1.25 4017 L&G Restaurants (dba Sizzler) Nov-14 Nov-15 Nov-16 Nov-17 Nov-18 Oct-14 Oct-15 Oct-16 $3,150 $3,300 $3,450 $3,600 $3,750 $28.85 $29.71 $30.60 Oct-95 Sep-22 5,400 21.3% $129,600 $10,800 $24.00 $2.00 Jul-15 2% Annual 1 x 10 Occupied Totals 21,400 84.3% $455,229 $37,936 $21.27 Vacant Totals 4,000 15.7% $60,000 $5,000 $15.00 Totals 25,400 100.0% $515,229 $42,936 $20.28 2 x 5 1 x 5 12 MAIN VENTURA SHOPPING CENTER

INCOME & EXPENSES IN PLACE STABILIZED TOTAL $ / SF TOTAL $ / SF Income Rental Income $455,229 $17.92 $515,229 $20.28 Expense Reimbursements $115,309 $4.54 $136,805 $5.39 Vacancy Factor (5%) ($32,602) Effective Gross Income $570,538 $22.46 $619,433 $24.39 Expenses Real Estate Taxes $86,400 $3.40 $88,128 $3.47 Property Insurance $12,700 $0.50 $13,081 $0.52 CAM $15,000 $2.00 $15,450 $0.61 Management $22,822 $0.90 $24,777 $0.98 EGI (%) 4.00% 4.00% Non-Reimbursable Expenses Operating Expenses $136,922 $5.39 $141,436 $5.57 Net Operating Income $433,617 $17.07 $477,996 $18.82 Operating Expense Ratio 24% 23% COLLIERS INTERNATIONAL & HAGELIS GROUP 13

AREA OVERVIEW

VENTURA, CALIFORNIA The city of Ventura, California was founded in 1782 by Father Junipero Serra, and is located between Malibu and Santa Barbara in the county of Ventura. Originally known as San Buenaventura, The coastal city has matured into a seaside community known for its scenic coastline, rich culture, revitalized historic Downtown, and its environmental stewardship. Ventura can be easily accessed through U.S. Route 101, canonically known as The Ventura Freeway. This highly traveled route sits directly behind Main Ventura Shopping Center and sees more than ± 112,652 cars per day. The Ventura Freeway has become a Southern California staple, and connects hundreds of travelers to and from Ventura, to Los Angeles in the south, and to the California Central and Northern Coasts. Additional freeways connecting commuters through Ventura and neighboring cities include: State Route 33, 126 and 188. While state routes 126 and 188 bridge commuters to the east towards Santa Clarita and Simi Valley, State Route 33 provides direct access to the city of Ojai. TOP TEN EMPLOYERS IN VENTURA, CA EMPLOYER # OF EMPLOYEES County of Ventura 7,991 Ventura County Health Care Agency 2,493 Ventura Unified School District 1,916 Ventura College 1,913 Community Memorial Hospital 1,881 Argon ST 990 City of Buenaventura 595 Employer s Depot 550 MidTech Health Services 440 Judicial Council of California 370 source: www.wikipedia.com Ventura s accolades include: the above par surfing conditions at popular beaches such as Surfer s Point, additional scenic beaches alongside the temperate Pacific Ocean, the famed Ventura County Fairgrounds, shopping and community attractions around Downtown Ventura, the Channel Islands National Park headquarters, and the Mission San Buenaventura. The Ventura County Fairgrounds, located 4.2 miles away from Main Ventura Shopping center, hosts the Ventura County Fair every summer and attracts over 300,000 visitors each year. Throughout the year, the fairgrounds remains an active center of entertainment and host concerts and events, including the notable Vans Warped Tour. COLLIERS INTERNATIONAL & HAGELIS GROUP 15

ACCESSIBILITY Ventura Harbor 7 Min Drive Time 3.9 mi Ventura County Fairgrounds 6 Min Drive Time 4.2 mi Surfer s Point 6 Min Drive Time 4.3 mi Downtown Ventura 5 Min Drive Time 4.0 mi Mission San Buenaventura 6 Min Drive Time 4.2 mi Ojai 25 Min Drive Time 18.9 mi Santa Barbara 33 Min Drive Time 31 mi Malibu 41 Min Drive Time 35.9 mi LAX 70 Min Drive Time 65.4 mi 16 MAIN VENTURA SHOPPING CENTER

DEMOGRAPHICS 1 MILE 3 MILE 5 MILE POPULATION Population 2014 Estimate 13,328 64,867 163,475 Population 2019 13,864 66,673 169,451 Growth 2014-2019 4.02% 2.78% 3.66% HOUSEHOLDS Population 2014 Estimate 5,408 25,694 57,045 Population 2019 5,647 26,595 59,231 Growth 2014-2019 4.43% 3.51% 3.83% 2014 EST. POPULATION BY SINGLE CLASSIFICATION RACE White Alone 10,032 50,402 109,735 Black or African American Alone 256 1,155 3,908 American Indian and Alaska Native Alone 185 777 2,172 Asian Alone 486 2,422 7,326 Native Hawaiian and Other Pacific Islander Alone 36 145 407 Some Other Race Alone 1,548 6,441 31,107 Two or More Races 786 3,524 8,820 2014 EST. POPULATION HISPANIC OR LATIN0 Hispanic or Latino 4,256 18,947 75,783 Not Hispanic or Latino 9,072 45,920 87,692 INCOME Average Household Income $68,848 $79,704 $79,501 Median Household Income $56,173 $64,487 $64,420 COLLIERS INTERNATIONAL & HAGELIS GROUP 17

SAN BUENAVENTURA STATE BEACH US 101 HOSPITAL REDEVELOPMENT AREA MAIN VENTURA SHOPPING CENTER VENTU RA F REE WAY US 101 MA IN E RE ST T TELE PHON E RO AD 18 MAIN VENTURA SHOPPING CENTER

AREA MAP MAIN VENTURA SHOPPING CENTER COLLIERS INTERNATIONAL & HAGELIS GROUP 19

AREA REDEVELOPMENT COMMUNITY MEMORIAL HOSPITAL onto its existing campus. Located a half a mile away from the Community Memorial Hospital, the Ventura County Medical Center will simultaneously undergo its own reconstruction of a state-of-the-art, ± 226,000 SF in-patient tower with a $305 million dollar project. This project will replace the current 122-bed facility, and will furnish the Ventura County Medical center with various medical services including, emergency care, obstetric surgery capabilities, an ICU, NICU, PICU, and imaging facilities. These two developments will bring a notable amount of new jobs, and will undoubtedly increase the daily traffic through East Main Street and Main Ventura s daily draw. VENTURA COUNTY MEDICAL CENTER Main Ventura Shopping Center will benefit from an increased level of exposure produced from two hospital redevelopments within a three mile radius of the center s location. The redevelopments will expand both Ventura s Community Memorial Hospital and the Ventura County Medical Center, and are currently scheduled to be completed by 2017. With its $325 million dollar expansion, the Community Memorial Hospital will add a ± 168,000 SF new in-patient tower, with 250 new private rooms, 20 MAIN VENTURA SHOPPING CENTER

REGIONAL MAP MAIN VENTURA SHOPPING CENTER COLLIERS INTERNATIONAL & HAGELIS GROUP 21

TENANT OVERVIEW

PEP BOYS > BUSINESS NAME Pep Boys Auto > TENANT Pep Boys Manny Moe & Jack of California > TERM In year Three (3) of a Five (5) Year option > LEASE COMMENCEMENT August 22, 1984 > LEASE EXPIRATION October 31, 2017 > RENT ADJUSTMENTS $13,206.83 to occur on November 1, 2015 > RENEWAL OPTIONS One (1) Five (5) year options > PROPERTY TAXES Tenant pays its pro rata share Prop 13 protection > INSURANCE Tenant pays its pro rata share > CAM Tenant pays its pro rata share > SQUARE FOOTAGE 8,000 > CURRENT ANNUAL $154,000 The Pep Boys: Manny, Moe & Jack, (branded as and commonly abbreviated as Pep Boys) is a full-service and tire automotive after-market chain. The first store, originally named Pep Auto Supplies, was founded in Philadelphia, Pennsylvania in 1921 by Emanuel (Manny) Rosenfeld, Maurice L. (Moe) Strauss, W. Graham (Jack) Jackson, and Moe Radavitz. Along with its full-service vehicle maintenance and repair capabilities, the company also serves the commercial auto parts delivery market. It is one of the leading sellers of replacement tires in the United States, and in 2005 was named one of the 500 fastest-growing U.S. companies.[1] source: www.wikepedia.com Currently headquartered in the Allegheny West section of Philadelphia, Pep Boys operates 740 stores and approximately 7,000 service bays in 35 states and Puerto Rico. COLLIERS INTERNATIONAL & HAGELIS GROUP 23

FRAZEE PAINTS > BUSINESS NAME Frazee Paint > TENANT Frazee Industries, Inc. > TERM In year Six (6) of a Seven (7) year term > LEASE COMMENCEMENT September 1, 2008 > LEASE EXPIRATION August 31, 2013 amended to November 30, 2015 > RENT ADJUSTMENTS Annual CPI Increase. Not to exceed 3% per annum > RENEWAL OPTIONS Three (3) Five (5) year options > PROPERTY TAXES Tenant pays its pro rata share > INSURANCE Tenant pays its pro rata share > CAM Tenant pays its pro rata share > SQUARE FOOTAGE 5,000 > CURRENT ANNUAL $135,629.52 Frazee Paint provides unmatched painting solutions made in San Diego, specifically for the climate conditions of the Southwestern United States. For over 115 years, we have custom-formulated interior and exterior architectural paints that perform for the contractor and the homeowner day in and day out, job after job. Our commitment to quality and passion for results can be found through our paint professionals serving customers out of 97 locations across Arizona, California and Nevada. source: www.brand.sherwin-williams.com 24 MAIN VENTURA SHOPPING CENTER

SIZZLER > BUSINESS NAME Sizzler > TENANT American Restaurant Group, Inc. A California Corporation > TERM In year One (1) of a Ten (10) year option > LEASE COMMENCEMENT October 1, 1995 > LEASE EXPIRATION September 30, 2022 > RENT ADJUSTMENTS 2% per annum commencing July 1, 2015 > RENEWAL OPTIONS One (1) Ten (10) year options > PROPERTY TAXES Tenant pays its pro rata share > INSURANCE Tenant pays its pro rata share > CAM Tenant pays its pro rata share > SQUARE FOOTAGE 5,400 > CURRENT ANNUAL $129,600 The chain was founded in 1958 as Del s Sizzler Family Steak House by Del and Helen Johnson in Culver City, California.[2] The chain is composed of more than 270 locations throughout the U.S.[3] Most of Sizzler s U.S. locations are in the West. Sizzler began an image makeover around 2002. A new restaurant concept was created featuring a lighter and more open dining room. The changes were accompanied with a new menu. In an effort to return to their roots, steaks, seafood, and the salad bar are now being reemphasized while the allyou-can-eat buffet is being phased out.[4] Sizzler was sold to Pacific Equity Partners, an Australian-based investment firm, in 2005.[1] In January 2008, Sizzler announced it was planning to take action against the Multi-State Lottery Association (MUSL) of Urbandale, Iowa, over the use of the name The Sizzler (Hot Lotto).[6] In June 2011, it was announced that Sizzler USA, a USA management group led by the Sizzler CEO, would buy the restaurant chain from Pacific Equity Partners. The headquarters initially remained in Culver City, California where the chain was founded,[7] but moved to Mission Viejo, California in 2012.[8] source: www.wikepedia.com COLLIERS INTERNATIONAL & HAGELIS GROUP 25

DISCLAIMER This Offering Memorandum contains select information pertaining to the business and affairs of the Property at 4001-4017 E. Main Street, Ventura, CA 93003. It has been prepared by Colliers International. This Offering Memorandum may not be all-inclusive 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 Owner and Colliers International. The material is based in part upon information supplied by the Owner and in part upon financial information obtained by Colliers International from sources it deems reliable. Neither Owner, nor their officers, employees, or agents make any representation or warranty, express or implied, as to the accuracy or completeness or 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 from Colliers International, you agree: 1) The Offering Memorandum and its contents are confidential; 2) You will hold it and treat it in the strictest of confidence; 3) All photographs and graphic elements are property of Colliers International and use without express written permission is prohibited; and 4) 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 Owner. 26 MAIN VENTURA SHOPPING CENTER

Owner,Colliers International, and Hagelis Group 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 Main Ventura Shopping Center 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 Owner or Colliers International 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. COLLIERS INTERNATIONAL & HAGELIS GROUP 27

EXCLUSIVELY REPRESENTED BY: TOM J. LAGOS, CCIM Executive Vice President Colliers International +1 213 532 3299 direct +1 310 722 8939 mobile tom.lagos@colliers.com EL WARNER Associate Vice President Colliers International +1 213 532 3267 direct +1 858 752 3078 mobile el.warner@colliers.com BILL HAGELIS President Hagelis Group +1 805 654 9300 ext. 101 direct bill@hagelisgroup.com www.hagelisgroup.com ROB DEVERICKS Vice President Hagelis Group +1 805 654 9300 ext. 103 direct Rob@hagelisgroup.com www.hagelisgroup.com MAIN VENTURA 4001-4017 E. MAIN STREET VENTURA CA 93003 COLLIERS INTERNATIONAL 865 S. Figueroa Street, Suite 3500 Los Angeles, CA 90017 +1 213.627.1214 www.colliersretail360.com HAGELIS GROUP 4227 E. Main Street, Suite 220 Ventura, CA 93003 +1 805.654.9300 www.hagelisgroup.com