FULTON BANK GROUND LEASE...6 Sentara Princess Anne Hospital • 174 beds • 100+ physicians 7 LifeNet Health Corporate HQ • Recent $12.25M expansion • 1,021 employees 8 Virginia

F U L T O N B A N K G R O U N D L E A S E V I R G I N I A B E AC H , VA

BCA VA REAL ESTATE LICENSE NO.: 0886-025-733

BERKELEYCAP.COM | 704.379.1980

OFFICES

NASHVILLE | TN5016 Centennial Boulevard, Suite 200

Nashville, TN 37209615.647.6514

ASHEVILLE | NC138 Charlotte Street, Suite 220

Asheville, NC 28801704.714.2365

CHARLOTTE | NC1228 East Morehead Street, Suite 200

Charlotte, NC 28204704.379.1980

CONTACTS

STEVE HORVATH704-379-1981

[email protected]

RANSOME FOOSE704-379-1985

[email protected]

MIKE LUCIER704-943-3158

[email protected]

CARL BRENDES704-714-2363

[email protected]

MICHAEL HOWARD704-943-3160

[email protected]

3 BERKELEYCAP.COM | 704.379.1980

3545 Dam Neck RoadVirginia Beach, VA 23453

LOCATION

TRAFFIC COUNTS

AVG. HH INCOME

Avg. household income within a one-mile radius of the site is

$114,157

The site benefits from a total of 104,000 VPD on surrounding

roadways within 0.8 miles

104K

$114K+$$$

L O C A T I O N M A P


$ 2 , 2 8 0 , 0 0 06 . 5 0 % C A P R A T E

A S K I N G P R I C E

F U LTO N B A N K G R O U N D L E A S E3545 DAM NECK ROAD

VIRGINIA BEACH, VA 23453

TENANT FULTON BANK

NET OPERATING INCOME $148,225*

RENT INCREASES SEE RENT SCHEDULE

RENT COMMENCEMENT OCTOBER 22, 2009

RENT EXPIRATION OCTOBER 31, 2027

LEASE TYPE ABSOLUTE NET GROUND LEASE

ORIGINAL LEASE TERM 18 YEARS

LEASE TERM REMAINING 8 YEARS

OPTIONS THREE, 5-YEAR & ONE, 3-YEAR

RIGHT OF FIRST REFUSAL NONE

I N V E S T M E N T O V E R V I E W

LEASE YEAR START END

ANNUAL RENT

% INCREASE

YEAR 6-10 11/1/2014 10/31/2019 $134,750 -

YEAR 11-15 11/1/2019 10/31/2024 $148,225 10.0%

YEAR 16-18 11/1/2024 10/31/2027 $163,048 10.0%

YEAR 19-20 11/1/2027 10/31/2029 $163,048 0.0%

YEAR 21-25 11/1/2029 10/31/2034 $179,352 10.0%

YEAR 26-30 11/1/2034 10/31/2039 $197,287 10.0%

YEAR 31-35 11/1/2039 10/31/2044 $217,016 10.0%

YEAR 36 11/1/2044 10/31/2045 $238,718 10.0%

R E N T S C H E D U L E

P R O P E R T Y D E T A I L S

ACRES1.48

YEAR BUILT2009

SQUARE FEET

3,361

22PARKING SPACES

Situated on a large 1.48-acre lot, Fulton Bank is ideally located within a dense and affluent submarket of Virginia Beach. The surrounding area hasan average household income within 1 mile of $114,157, complemented by 92,474 residents that are located within 3 miles. The subject branch has experienced consistent positive deposit growth of approximately 62% since 2014.

E X E C U T I V E S U M M A R Y

4 Note: Lease years 19-36 are option years

• LONG OPERATING HISTORY | TENANT HAS OCCUPIED THE SITE SINCE 2009

• LARGE FULLY USABLE PARCEL | 1.48 ACRES

• OUTPARCEL TO LANDSTOWN COMMONS | BEST-IN-CLASS SHOPPING CENTER | 408,851 SF

• LARGE TENANT INVESTMENT INTO BUILDING IMPROVEMENTS & FIXTURES LIKELY IN EXCESS OF $1.5M ALL SUBORDINATE TO INVESTORS FIRST POSITION

• ABSOLUTE NET GROUND LEASE | NO LANDLORD RESPONSIBILITIES

• LESS THAN 1 MILE FROM SENTARA PRINCESS ANNE HOSPITAL | 250 BEDS

• LESS THAN 10 MINUTES FROM TIDEWATER COMMUNITY COLLEGE | 17,489 STUDENTS

• CONVENIENT ACCESS FROM DAM NECK RD | 33,000 VPD

• APPROX. 5.5 MILES FROM NAVAL AIR STATION OCEANA | 14,800 PERSONNEL

• CONTINUOUSLY INCREASING YOY DEPOSITS | 13.30% AVERAGE YOY INCREASE SINCE 2014 | DEPOSITS HAVE INCREASED 61.78% SINCE 2014

• HIGH POPULATION DENSITY WITHIN A 3-MILE RADIUS | 92,474 PEOPLE

• ATTRACTIVE AVERAGE HOUSEHOLD INCOME WITHIN A 1-MILE RADIUS | $114,157

• MOODY'S: BAA1 CREDIT (EQUIVALENT TO S&P RATING OF BBB+)

I N V E S T M E N T H I G H L I G H T S


D E M O G R A P H I C S N A P S H O T * & T R A F F I C C O U N T S

TOTAL VEHICLES PER DAY ON SURROUNDING ROADWAYS

104,000

$114,1572019 AVERAGE HOUSEHOLD INCOME WITHIN ONE MILE

$$ $

73,3412019 TOTAL HOUSEHOLDS

WITHIN FIVE MILES

211,6192024 POPULATION PROJECTION

WITHIN FIVE MILES

5.11%2010-2019 POPULATION

GROWTH WITHIN THREE MILES

*FOR DETAILED DEMOGRAPHICS, PLEASE CLICK HERE

92,7472019 POPULATION WITHIN

THREE MILES


Sentara Princess Anne Hospital276 beds

V I R G I N I A B E A C H S P O R T S C O M P L E X

Landstown Middle School1,484 students

Salem Middle & High Schools2,317 students

Downtown Norfolk15 miles away

Greenbrier

Virginia Beach National Golf Club

V A B E A C H B I OR E S E A R C H P A R K

P R I N C E S S A N N E M E A D O W S7 8 H O M E S

Naval AirStation Oceana14.8K population10 mins away

D A M N E C K R D ( 3 3 , 0 0 0 V P D )

P R I N C E S S A N N E R D 3 1 , 0 0 0 V P D )

LIfeNet Health HQ1,021 employees

Landstown Commons

LOOKING WEST

TidewaterCommunity College34,000 students

Downtown Virginia Beach11 miles away

Sentara Princess Anne Hospital276 beds

V I R G I N I A B E A C H S P O R T S C O M P L E X

Green Run High School1,442 students

LIfeNet Health HQ1,021 employees

C I T Y O F V I R G I N I A B E A C H D E P A R T M E N T O F P U B L I C U T I L I T I E S

L Y N N H A V E NM A L L

Landstown High School2,173 students

P R I N C E S S A N N E R D ( 3 1 , 0 0 0 V P D )

D A M N E C K R D ( 3 3 , 0 0 0 V P D )Old Dominion University/Norfolk State4,689 students

Landstown Commons

LOOKING NORTH


LOOKING SOUTH

D A M N E C K R D ( 3 3 , 0 0 0 V P D )



S U R V E Y



L A N D S T O W N C O M M O N S

BERKELEYCAP.COM | 704.379.198011

C l i c k H E R E t o l e a r n m o r e a b o u t F u l t o n B a n k

Fulton Financial Corporation is a $20.7 billion in assets regional financial holding company headquartered in Lancaster, Pennsylvania, providing a variety of financial services through subsidiary banks in Pennsylvania, Maryland, Delaware, New Jersey and Virginia. The corporation’s three community banks, Fulton Bank, Lafayette Ambassador Bank and The Columbia Bank, operate approximately 235 financial centers.

The Corporation also provides investment management and planning services through: Fulton Financial Advisors and Clermont Wealth Strategies. In addition, the company offers residential mortgage services through Fulton Mortgage Company.

As part of Fulton Financial Corporation, each affiliate bank is able to offer a broad array of financial services while maintaining the strong personal relationships and community support customers have come to expect and appreciate. This community-oriented style of banking enables each bank employee to be a better listener and to satisfy and maintain long-term relationships with customers as well as fellow employees.

Providing the highest level of customer service by listening to the questions and concerns, working hard to help satisfy each customer's financial objectives, staying committed to being the best and never being satisfied with a second best effort is what has ranked Fulton Financial Corporation among the premier community banking organizations in the Mid-Atlantic region.

CREDIT RATING MOODY'S: BAA1

TICKER SYMBOL NASDAQ: FULT

TOTAL REVENUE $779.1M

TOTAL ASSETS $20.7B

FYE DECEMBER 30, 2018

HEADQUARTERS LANCASTER, PA

SOURCE YAHOO! FINANCE

FULTON BANK

YEAR FOUNDED1882

3.6K+TOTAL EMPLOYEES

LOCATIONS235

TOTAL REVENUE$790.9M

$$ $

TOTAL ASSETS$20.7B

$$ $

T E N A N T O V E R V I E W

http://www.snl.com/Cache/1001248569.PDF?O=PDF&T=&Y=&D=&FID=1001248569&iid=100294


N E A R B Y E C O N O M I C D R I V E R S

6

3

5

4

2

78

9

10

11

1

13

14

15

16

1 Tidewater Community College • 17,489 students

2 Operation Smile • $25M project, 100 employees

3 Old Dominion University VA Beach Center/Norfolk State University • 4,689 students

4 Landstown High School • 2,292 students

5 Landstown Middle School • 1,484 students

6 Sentara Princess Anne Hospital • 174 beds• 100+ physicians

7 LifeNet Health Corporate HQ • Recent $12.25M expansion• 1,021 employees

8 Virginia Beach Farmer’s Market • 25 years of operation

9 Veterans United Home Loans Amphitheater • 20,000- seat outdoor venue

10 Princess Anne Athletic Complex • 400K annual visitors

11 Virginia Beach Sports Complex • 15-acre facility• 6,000 capacity stadium

12 Children’s Hospital of the King’s Daughters

• 206 beds• 2,000 employees

13 VABeach Bio Research Park

• 155 AC biomedical park• 1.45M SF of building area• 1M SF of Class A office & wet

lab space

14 Virginia Beach National Golf Club • Public course

15 City of Virginia Beach Municipal Center

• 34 municipal corporate office buildings

16 Princess Anne Middle School • 1,487 students

12

SCHOOL INDUSTRY MEDICALENTERTAINMENT

P R I N C E S S A N N E R D - 3 1 , 0 0 0 V P D

DA

M N

EC

K R

D (

33

, 00

0 V

PD

)


E C O N O M I C D R I V E R S - V A B E A C H R E S E A R C H P A R K

VABeach Bio Research Parkis a planned 155-acre park

with 1M SF of Class A office space

MINUTE DRIVE FROM ASSET

(see #13 on economic drivers map)

:03


V I R G I N I A B E A C H M I L I T A R Y D E F E N S E E C O N O M I C D R I V E R S

3

4

Joint Expeditionary Base Little Creek-Fort Story

39,967 personnel

2

Military Installations

4

5

6

3

U.S. Coast Guard Base Portsmouth2,018 personnel

Naval Station Norfolk96,303 personnel J.K. Hill & Associates

350 employeesADS Tactical, Inc.420 employees

Valkyrie Enterprises293 employees

Northrop Grumman200 employees

Military Contractors

H A M P T O N

N E W P O R T N E W S

C A R R O L L T O N

Economic Impact of Mi l i tary Defense in VA Beach is

$8.2B

1

Naval Air Station Oceania28,765 personnel

2 1

Allied Technology Group

515 employees

5-MILE RADIUS

Lockheed Martin510 employees

5

Newport News Shipbuilding$14.9B contract to build 2 new

Gerald R. Ford class aircraft carriers


V I R G I N I A B E A C H M I L I T A R Y D E F E N S E E C O N O M I C D R I V E R S M A R K E T O V E R V I E W - V I R G I N I A B E A C H , V A

Virginia Beach, VA• The Virginia Beach-Norfolk-Newport News metro area is also known

as Hampton Roads. Its economic base is closely tied to its harbor, which is deep and naturally ice-free.

• Major industries include shipbuilding, ship repair, naval installations, cargo transfer and storage, and manufacturing. The Port is a national leader in export tonnage, particularly coal.

• There are 108,822 active-duty military personnel in the Virginia Beach MSA.

• Naval Station Oceana is located 10 minutes away from Landstown Commons and employs over 15,000 people.

• The base is home to the fighter-attack jet fleet for the entire nation• The areas surrounding NAS Oceana serve as special business districts

where financial incentives are provided for “conforming uses” to the base’s operations including manufacturing, trade, and storage.

• Seven of the world’s top-10 defense-related firms have a major presence in the Virginia Beach MSA, supporting the largest active-duty population in the country.

• The area’s large veteran and existing military populations have made it a hotspot for the growing fields of modeling and simulation and cyber security.

• The presence of so many military installations leads to a large demand for defense contractors, who employ thousands of people in Virginia Beach.

• States Fleet Forces Command (formerly known as the Atlantic Fleet), is home port for the Second Fleet, which comprises approximately 62,000 active duty personnel, 75 ships, and 132 aircrafts.

• The local military employs about 50,000 federal civilian employees• The significant military presence, including NASA Langley's Applied

Research Center, has attracted aerospace and defense contractors, including Boeing, Lockheed Martin, and Northrop Grumman.

• The area is home to the world's largest shipyard, Northrop Grumman Newport News. The convergence of the major port and railroads make the area attractive as a corporate distribution center for companies such as Cost Plus, Dollar Tree, and QVC.

108,822Virginia Beach has the largest active-duty population

in the country, employing 108,822 people.


M A R K E T O V E R V I E W - V I R G I N I A B E A C H , V A

Princess Anne Business District • Landstown Commons is located is one of Virginia Beach’s major

business districts, Princess Anne Commons. This business district is characterized as a medical, recreation, and higher-education hub.

• The area’s health care cluster includes LifeNet Health, a global leader in regenerative medicine and organ donation with over 1,000 employees, and Sentara Princess Anne Hospital, the region’s newest hospital employing over 1,200 people.

• The major educational facilities in the area are Tidewater Community College, the Virginia Beach Advanced Technology Center, and the Virginia Beach Higher Education Center which is a collaboration between Old Dominion University and Norfolk State University.

The Port of Virginia• The Port of Virginia is the third-largest container port on the East

Coast. Currently the fastest-growing container port, the facility is home to the largest and most efficient container cranes in the world and can accommodate the largest of international ships.

• The Port is also a designated Foreign Trade Zone which carries many benefits:• Companies engaged in international trade can avoid paying

duties on imported merchandise until it is removed from the area

and enters the U.S. commerce.• If the goods are manufactured inside the FTZ before exiting, users

pay a lower duty rate. This provides a boost to manufacturing firms in the area.

• Goods can be held in the zone indefinitely and are safer than held at other ports due to the federal criminal sanctions that can be imposed on violators.

3RD

The Port of Virginia is the 3rd

largest container port on the East Coast.

POPULATION 1-MILE 3-MILE 5-MILE

2024 Projection 7,126 94,712 211,619

2019 Population 6,981 92,747 207,672

2010 Census 6,680 88,234 199,174

2000 Census 6,432 79,869 189,077

2019-2024 Annual Rate 0.41% 0.42% 0.38%

2010-2019 Annual Rate 0.48% 0.54% 0.45%

2000-2010 Annual Rate 0.38% 1.00% 0.52%

HOUSEHOLDS

2024 Total Households 2,165 31,529 74,664

2019 Total Households 2,128 30,898 73,341

2010 Households 2,062 29,487 70,526

2000 Households 2,010 25,580 63,913

2019-2024 Annual Rate 0.35% 0.41% 0.36%

2010-2019 Annual Rate 0.34% 0.51% 0.42%

2000-2010 Annual Rate 0.26% 1.43% 0.99%

2019 EST. AVG. HH INCOME $114,157 $91,889 $92,566


ON ALL SURROUNDING ROADWAYS WITHIN 0.8 MILES

104,000 VPDON DAM CREEK ROAD

33,000 VPD

1-MILE

3-MILE

5-MILE

D E M O G R A P H I C S & T R A F F I C C O U N T S

TRAFFIC COUNTS

Berkeley Capital Advisors, LLC (“BCA”) has been authorized by the owner of the subject property (the “Seller”) to present you with this marketing package. This is a confidential package intended solely for your own limited use and benefit, as a principal, in considering whether you desire to pursue negotia-tions to acquire the subject property.

Your receipt and acceptance of this package serves to acknowledge your agreement to: (1) hold the information and materials contained herein,and the offering they represent, in the strictest of confi-dence; (2) not disclose, directly or indirectly, the information and materials contained herein,or the offering they represent, to any other person, firm or entity without prior written authorization from BCA or the Seller; (3) not use the information and materials contained herein in any fashion or manner detrimental to the interest of BCA or the Seller; (4) not disturb any tenants in possession of the subject property nor reveal to them the offering this package represents.

This marketing package was prepared by BCA and it has been reviewed by representatives of the Sell-er. The information and materials contained herein are selective and limited in nature, and neither BCA nor the Seller purports this to be an all-inclusive report on the subject property. Within this package, certain leases, documents and other materials are described in summary form. These summaries do not purport to be complete nor necessarily accurate descriptions of the full agreements involved, nor do they purport to constitute a legal analysis of the provisions of those documents. Interested and qualified prospective purchasers will be afforded an opportunity to review additional information and to inspect the subject property, and all such prospective purchasers should conduct their own inde-pendent due diligence.

This package is based in part upon information supplied by the Seller and in part upon information ob-tained by BCA from sources believed to be reliable. All income, expense and/or investment projections contained herein are provided for general reference purposes only, in that they are based on assump-tions relating to the general economy, competition and other factors beyond the control of BCA and the Seller, and all such projections are therefore subject to variation. This package shall not be deemed an indication of the state of affairs of the subject property, nor constitute an indication that there has been no change in the business or affairs of the subject property since the date of preparation of this package.

Neither BCA, the Seller, nor any of their respective officers, employees or agents, has made or does make any representation or warranty, expressed or implied, as to the accuracy or completeness of this package or any of its contents, and no legal commitments or obligations shall arise by reason of this package or its contents.

BCA and the Seller expressly reserve the right, at their sole discretion, to alter or amend the terms of this offering, to reject any or all expressions of interest or offers to acquire the subject property and/or to terminate discussions with any entity at any time with or without notice. The Seller shall have no legal commitment or obligation to any entity reviewing this package or making an offer to acquire the subject property unless and until a written agreement for such acquisition has been fully executed, delivered and approved by the Seller and any conditions to the Seller’s obligations thereunder have been satisfied or waived.

Parties seeking to act in a third-party brokerage capacity must register their client(s) with BCA prior to receiving or dispersing any marketing information. BCA will not recognize any third-party brokerage relationships without first receiving and approving such written client registration, nor will BCA or the Seller be obligated for any brokerage claims which may result, regardless of such broker’s involvement in procuring a purchaser for the subject property.

This package is the property of BCA. Photocopying, re-typing or other duplication of the information and materials contained herein is expressly prohibited. The information contained within this package and the offering of the subject property may not be announced, posted or otherwisepublicized in any electronic media (such as, by way of example only, any Internet or “broadcast fac-simile” communications).

If, after reviewing this package, you have no further interest in acquiring the subject property at this time, please return this package in its entirety to BCA. Likewise, if the terms contained in this Confiden-tiality & Disclaimer section are not acceptable to you, please immediately return this package to BCA.

AGENT’S DUTIESWhen you contract with a real estate firm to act as your agent in a real estate transaction, the agent must help you obtain the best price and terms possible, whether you are the buyer or seller. The agent also owes you the duty to:• Safeguard and account for any money handled for you• Act with reasonable skill, care and diligence• Be loyal and follow reasonable and lawful instructions• Disclose to you any information which might influence your decision to buy or sell

Even if the agent does not represent you, the agent must still be fair and honest and disclose to you all “material facts” which the agent knows or reasonably should know. A fact is “material” if it relates to defects or other conditions affecting the property, or if it may influence your decision to buy or sell. This does not require a seller’s agent to disclose to the buyer the minimum amount the seller will accept, nor does it require

AGENTS WORKING WITH SELLERSA seller can enter into a “listing agreement” with a real estate firm authorizing the firm and its agent(s) to represent the seller in finding a buyer for his property. The listing agreement should state what the seller will pay the firm no matter who finds the buyer.

The listing firm may belong to a listing service to expose the seller’s property to other agents who are members of the service. Some of those agents may be working with buyers as buyers’ agents; others will be working with buyers but still representing the sellers’ interests as an agent or “subagent”. When the buyer’s agents and seller’s subagents desire to share in the commission the seller pays to the listing firm, the listing agent may share the commission with the seller’s permission.

AGENTS WORKING WITH BUYERSA buyer may contract with an agent or firm to represent him (as a buyer’s agent), or may work with an agent or firm that represents the seller (as a seller’s agent or subagent). All parties in the transaction should find out at the beginning who the agent working with the buyer represents.

If a buyer wants a buyer’s agent to represent him in purchasing a property, the buyer should enter into a “buyer agency agreement” with the agent. The buyer agency agreement should state how the buy-er’s agent will be paid. Unless some other arrangement is made which is satisfactory to the parties, the buyer’s agent will be paid by the buyer. Many buyer agency agreements will also obligate the buyer to pay the buyer’s agent no matter who finds the property that the buyer purchases.

A buyer may decide to work with a firm that is acting as agent for the seller (a seller’s agent or sub-agent). If a buyer does not enter into a buyer agency agreement with the firm that shows him prop-erties, that firm and its agents will show the buyer properties as an agent or subagent working on the seller’s behalf. Such a firm represents the seller (not the buyer) and must disclose that fact to the buyer.

The terms and conditions stated in this Confidentiality & Disclaimer section apply and relate to all of the sections of this package as if stated independently therein.Prospective purchasers of the subject property are hereby notified that Berkeley Capital Advisors, and its agents, are acting in the capacity of a “Seller’s Agent” during the course of this offering, and as such are solely representing the interests of the Seller.

C O N F I D E N T I A L I T Y D I S C L A I M E R

ASHEVILLE | NC138 Charlotte Street, Suite 220Asheville, North Carolina 28801

704.714.2365

CHARLOTTE | NC1228 East Morehead Street, Suite 200

Charlotte, North Carolina 28204704.379.1980

NASHVILLE | TN1510 16th Avenue, Suite 300Nashville, Tennessee 32712

615.970.6596

B E R K E L E Y C A P. C O M

Documents

FULTON BANK GROUND LEASE...6 Sentara Princess Anne Hospital • 174 beds • 100+ physicians 7 LifeNet Health Corporate HQ • Recent $12.25M expansion • 1,021 employees 8 Virginia