Multi Tenant Shopping Center · teeth cleaning, dentures, crowns, porcelain veneers, dental implants, mercury-free fillings, Zoom! Teeth Whitening, cosmetic dental services, root

C O L L I E R S I N T E R N AT I O N A L | 3 PA R K P L A Z A , S U I T E 1 2 0 0 | I R V I N E , C A 9 2 6 1 4 | S N Y D E R / C A R LT O N T E A M

7475-55 W Twin Peaks Road, Marana, AZ 85743

Multi Tenant Shopping CenterTwin Peaks Plaza (Phase III)

Table Of ContentsProperty Overview ........................................................................................ 04

Investment Highlights ..................................................................................... 08

Aerial Overview .............................................................................................. 10

Site Plan .......................................................................................................... 12

Tenant Overview ............................................................................................. 14

Area Overview ................................................................................................ 16

Population/Income Maps ............................................................................... 22

Confidentiality Agreement ............................................................................. 24


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We are pleased to offer to qualified investors an opportunity to purchase a 100% fully stabilized multi-tenant retail center which is part of a proven retail shopping plaza backed by a complimentary tenant mix and strategically located along one of the area’s primary East-West corridors that connects to Tucson’s main highway, Interstate 10. Boasting a desirable tenant mix, this center offers investors a stable income stream scheduled to increase approximately 3% annually over the next 5 years providing an effective inflation hedge. Moreover, this location has proved itself as a desirable retail destination as tenants’ Anytime Fitness, Pointe of Grace Dance Studio, and AKKA Karate have all expanded at this successful location. This property is of newer construction, LEED constructed, and comprises a total of 18,300 square feet GLA on approximately 2.12 acres of land.

The subject property is located in close proximity to major retailers such as Walgreens, Goodwill, Twin Peaks Veterinary Center, Angela’s Mexican Food, Coachline Nails & Spa, Safeway, and Great Clips. Additionally, with strong demographics of approximately 50,565 residents within a 5 mile radius and an AHHI of approximately $89,604 within a 3 mile radius this center is uniquely situated to take advantage of the surrounding market fundamentals. The plaza also enjoys excellent visibility and easy access at the signalized intersection of W Twin Peaks Road and N Coachline Blvd and close proximity to Tucson Premium Outlets (new Simon Mall). This is a rare opportunity to purchase a stabilized LEED constructed multi-tenant retail asset with a diverse set of tenant uses - with approximately 3% annual rental increases - that is strategically located along the main East-West corridor and surrounded by a critical demographic mass that will support the shopping center well into the future all while requiring minimal landlord responsibilities.

PROPERTY SUMMARY

List Price $5,507,000

NOI $399,276

CAP Rate 7.25%

Current Annual Rent(Based off in place monthly rent)

$391,654

Vacancy 0%

Operating Expense

Taxes NNN

Insurance NNN

CAM NNN

Net Operating Income(Year 1) $399,276

Pricing Summary

Operating Expense Data

PROPERTY OVERVIEW

LEASE ABSTRACTS

Tenant Trade Name Lease Type Bldg. SF Lease StartLease

ExpirationCurrent Rent Annual Rent PSF Rental Increases

Dental Village NNN 2,100 3/1/2012 2/28/2022 $63,296 $30.14 3% Annual Increases

Anytime Fitness NNN 6,600 10/1/2013 9/30/2023 $129,816 $19.67 3% Annual Increases

Point of Grace NNN 3,360 3/1/2012 9/30/2023 $73,481 $21.87 3% Annual Increases

Lucky's Tea Room NNN 1,200 12/1/2016 11/31/2022 $20,400 $17.00 3% Annual Increases

Trinity Art Collective NNN 1,200 2/1/2015 1/31/2022 $23,363 $19.47 4% Annual Increases

Fowler Chiropractic NNN 1,440 11/1/2015 10/31/2022 $26,698 $18.54 3% Annual Increases

AKKA Karate NNN 2,400 9/1/2017 12/31/2022 $41,400 $17.25 3% Annual Increases

Verizon Cell Tower NNN - 9/1/2017 8/31/2022 $13,200 - 2% Annual Increases

Totals 18,300 $391,654


Twin Peaks Plaza

Building Area 18,313 SF

Land Area 92,225 SF (2.11 Acres)

Parcel 226-11-891

Year Built 02/2012


STABILIZED ASSET• Fee Simple Ownership (Land and Building) - Excellent Shopping Center Layout• Landlord-Favorable NNN Leases - Minimal Landlord Responsibilities• Attractive 3% Annual Fixed Rental Escalations - Inflation Hedge• Newer Construction - LEED Certified • 100% Fully Stabilized - Proven Retail Plaza - Complimentary & Diverse Tenant Mix • Located 1 Mile from Tucson Premium Outlet Mall (Simon Properties)

DIVERSIFIED TENANT ROSTER• Proven, Successful Location - Anytime Fitness, Point of Grace Dance Studio, and AKKA Karate Have All Expanded • Anytime Fitness (36% of GLA) - Over 3,000 Franchised Locations in 20 Countries• #1 on Entrepreneur Magazines’ “Top Global Franchise”• Dental Village, a Heartland Dental Property (11% of GLA) - National Tenant - Over 400 Locations • Pointe of Grace (18% of GLA) - Successful Dance Studio Operating Since 2002• Other Tenants Include Fowler Chiropractic, Lucky’s Tea Room, Trinity Art Collective, and AKKA Karate

IDEAL 1031 EXCHANGE ASSET• Newer Construction - LEED Constructed - Stabilized Shopping Center• Diversified Mix of Proven Tenants - Many Expanding in the Shopping Center • NNN Leases With 3% Annual Fixed Increases - Inflation Hedge• Marana, AZ - Fastest Growing Area in Tucson - Approximately 50% of All New Home Permits and Sales• Available Free & Clear of Existing Debt - Pride of Ownership

INVESTMENT HIGHLIGHTS

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Tucson Premium Outlets

TWIN PEAKSELEMENTARY SCHOOL TWIN PEAKS PLAZA

PHASE III

CONTINENTAL RANCHCOMMUNITY ASSOCIATION

THE VISTA AT CONTINENTAL RANCH

MARANA GOLFCONTINENTAL RANCH

SILVER MOON

SIERRA CREST

CONTINENTAL RANCHADULT COMMUNITY

W. Twin Peaks Rd. W. Twin Peaks Rd.

N. Silverbell Rd.

Conti

nenta

l Rese

rve Lo

op

75,000 CPD

STRATEGIC LOCATION

• Located on W Twin Peaks Road - Main East-West Corridor - Connects to I-10 Fwy

• Twin Peaks Plaza is Located at the Signalized Intersection of W Twin Peaks Rd & N Coachline Blvd.

• Growing Retail Trade Area: Tenants include Walgreens, Goodwill, Twin Peaks Veterinary Center,

Angela’s Mexican Food, Coachline Nails & Spa, Safeway, and Great Clips

• Approximately 50,565 Residents Within A 5 Mile Radius

• Average Household Income of $89,604 Within a 3 Mile Radius

• Convenient Access - Ample Parking - Excellent Visibility

• Marana, AZ - Part of Tucson MSA - 17 Miles Northeast of Downtown Tucson

AERIAL OVERVIEW


3,500 SFNAP

NAP

The SpringsChurch

CONTINENTAL RANCHCOMMUNITY ASSOCIATION

NAPRESIDENTIAL

RESIDENTIAL

RESIDENTIAL

W Twin Peaks Rd.

N

. C

oach

line

Blv

d.

Trinity Art Collective

Lucky’s Tea RoomAKKA Fowler Chiropractic

SITE PLAN


TENANT PROFILES

Trinity Art Collective“Trinity Art Collective offers a wide variety of artists and styles. From the artwork on our walls, to the atmosphere and attitude they strive forexcellence on all levels. Established in 2015, it is a change from your typical tattoo studio. They create the highest quality tattoos using the latestmodern and traditional equipment and techniques in a clean, safe and inspiring environment. We specialize in custom black and grey realism, colorrealism, asian, new school and lettering and portraits. We represent a generation of body art modification and stand behind every client that wantsto express their individuality.”

Fowler Chiropractic“From the aches and pains of pregnancy to helping ease your back pain, Dr. Fowler and staff will see to it that you are feeling your greatest.Chiropractic adjustments of the neck, back, and full body are great for bringing balance and alignment back to your system. Your pain level willdecrease and other health systems will begin to work in harmony again. After all it really is about quality of life.”

AKKA Karate“The AKKA locations, at Twin Peaks has been open for seven years. They cater to a wide variety of people by teaching Kenpo karate,a Chinese based martial art focused on self-defense. Learning karate will not only give you the ability to defend yourself, it improves focus, discipline,confidence, self-esteem, and over-all health. At Twin Peaks they have seen these improvements in every one of their students, and sometimes thechange is almost miraculous. Their school is a family owned school, and they believe that a family that kicks together sticks together! Karate has donewonders for our family, and our goal is to share this joy with anyone willing to train.”

Verizon Cell Tower“Verizon Wireless, is an American company, a wholly owned subsidiary of Verizon Communications, that offers wireless telecommunications productsand services.”

Dental VillageDental Village (a Heartland Dental property) has over 400 full service dentist offices and employ some of the best dentists in Tucson and Southern Arizona Dental Village offers affordable dentistry for the entire family, including professional, deep teeth cleaning, dentures, crowns,porcelain veneers, dental implants, mercury-free fillings, Zoom! Teeth Whitening, cosmetic dental services, root canals, oralsurgery, bridges, partials and extractions.”

Anytime Fitness“Anytime Fitness is a 24-hour health and fitness club. The company operates over 3,000 franchised locations in 20 countries The gym facilities are open 24 hours a day, 365 days out of the year. Chuck Runyon, Dave Mortensen, and Jeff Klinger founded Anytime Fitness in 2002. Runyon is the CEO of the company. Anytime Fitness is based in Woodbury, Minnesota. Accordingto Forbes, Anytime Fitness was the fastest growing health club franchise in 2014. In 2015, Entrepreneur Magazine rankedAnytime Fitness first on its global franchise list.”

Pointe of Grace“Pointe of Grace began as Backstage Dance back in 2002. There were only 3-4 classes per week offered and had about 35dancers. As they continued to grow, they added classes each year to accommodate the dancers that were getting older andmoving out of the classes the studio was offering at the time. In February 2012, Pointe of Grace moved to a larger location with two rooms and lots of space to accommodate more clients. This summer, they will be expanding to offer 3 studio spaces to accommodate our growth of dancers and interest in classes.”

Lucky’s Tea Room“Lucky’s Tea Room is a family owned business that focuses on creating a friendly and open environment for all kids, parents, teenagers and adultsto enjoy delicious Boba drinks.”


The center is situated along W. Twin Peaks Road a major thoroughfare connecting Marana’s 2 planned communities -Dove Mountain and Continental Ranch. Saguaro Bloom is a large master-planned housing development to the west of the property. Positioned right off the I-10 and enjoying over 75,000 cars per day at the interchange, the freeway is the main traffic corridor from Tucson to Phoenix. The subject location features monument signage, excellent ingress and egress access points and a hard corner position at the signalized intersection of W. Twin Peaks Road and N. Coachline Boulevard. Surrounding retailers include Safeway and Walgreens and the site is a block away from the Twin Peaks Elementary School.

This is a highly dense residential area that includes Dove Mountain, a population center with 4,000 homes, and Saguaro Bloom, a 2500-home master-planned community to the west on N. Silverbell Road. In addition, per the Marana Planning Department, new residential zoning has been approved for 150 single-family home developments just east of the freeway. An extensive new retail development project has started at the I-10 and W. Twin Peaks Road intersection, which will dramatically benefit the trade area. Simon Property Group Tucson Premium Outlet Mall is a 360,000 SF section of this project and now under development is a hotel and Northwest hopital. The next Phase of the project, named Marana Center, is planned to include a row of car dealerships, more hotels, medical office, a theater, and a grocery store.

LOCATION OVERVIEW

SAGUARO BLOOM

MASTER-PLANNED COMMUNITIES

AREA OVERVIEW

TWIN PEAKS PLAZA

CITY OF TUCSON & TOWN OF MARANA

Tucson is the county seat of Pima County, Arizona, and home to the University of Arizona and Davis-Monthan Air Force Base. The 2010 UnitedStates Census puts the city’s population at 520,116, while the 2013 estimated population of the entire Tucson metropolitan area was 996,544. The Tucson MSA forms part of the larger Tucson-Nogales combined statistical area, with a total population of 980,263 as of the 2010 Census. Tucson is the second-largest populated city in Arizona behind Phoenix, which both anchor the Arizona Sun Corridor. The city is located 108 miles southeast of Phoenix and 60 mi north of the U.S.-Mexico border. Tucson is the 33rd largest city and the 59th largest metropolitan area in the United States. Roughly 150 Tucson companies are involved in the design and manufacture of optics and optoelectronics systems, earning Tucson the nickname Optics Valley.

Major incorporated suburbs of Tucson include Oro Valley and Marana northwest of the city, Sahuarita south of the city, and South Tucson in an enclave south of downtown. Communities in the vicinity of Tucson (some within or overlapping the city limits) include Casas Adobes, Catalina Foothills, Flowing Wells, Tanque Verde, Tortolita, and Vail. Towns outside the Tucson metro area include Benson to the southeast, Catalina and Oracle to the north, and Green Valley to the south.

The town of Marana was incorporated in 1977 and grew from 14,046 residents in 2000 to nearly 35,000 in 2010. People move here for a variety of reasons, including job opportunities, highly rated schools and the ability to a suburban lifestyle in a rural setting. The Town’s employment base includes aerospace manufacturing, agriculture, construction, wholesale trade, retail trade, transportation and information systems. Marana is also home to the PGA TOUR Accenture Match Play Championship, an event contested by the world’s 64 best pro golfers and watched on television by millions across the globe. The tournament is held annually at the Ritz-Carlton, Dove Mountain, the largest Ritz-branded property in the Southwest. Marana is bisected by Interstate 10 and the Union Pacific Railroad. Both transportation arteries are important to the growth and economic development of Marana’s business community. Aviation is also an important component, with the Marana Regional Airport and nearby Pinal Airpark serving industry and general aviation needs.



TUCSON HIGHLIGHTS

ARIZONA CONTINUES TO LEAD THE NATION IN POPULATION GROWTH

Ranking#1 Cleanest metropolitan area in the country for air quality-The American Lung Association, 2011

#1 City to Buy a Home Right Now-Forbes.com 2014

#1 Bicycle Friendly City in US-Outside Magazine 2012

Phoenix & Tucson Lead National Economic Growth-Brookings Institute Report, 2013

3rd Best City for Jobs-Forbes.com 2013

“Top 20 Creative City”-Daily Beast “20 Most Creative Cities”, 2012

8th Best City for Commuters-Forbes, 2010

No.2 Medium Metro on its list of “Best Performing Metros”-Research firm Hea-dlight, LLC, 2011

Tucson named 4th Best City for PublicTransportation and Job Access-The Brookings Institution, 2011

Tucson named 4th Best Market for Real Estate Investors-Inman News, 2011

#2 among mid-size cities-National Research Policy Council

Tucson named one of the Best Places to Retire by CNNMoney-CNNMoney, 2011

Tucson picked Top 7 Housing Markets: Best Recovery Bets-CNN, 2011

Arizona Ranked #4 overall in the “UnitedStates of Innovation”-Fast Company, 2013

Tucson hosts two “Top 10 BestHigh Schools” nationally-U.S. News and World Report “2012 BestHigh School Rankings, 2012 & 2013

No. 6 on its list of the top 10 metro areas for aerospace/defense manufacturing-Business Facilities, 2011

Tucson named a top Southwest City for millennials-Tucson.com, 2014

Tucson named as one of the top 10 cities for global trade.-Global Trade Magazine, 2014

Tucson rated 3rd “most caring” city in US-Movoto Real Estate, 2014

Tucson Ranked #4 Best City for Millennials-Money, 2015

Tucson ranks as one of the Top 5 Citiesfor entrepreneurs

-Entrepreneur Magazine, 2013

Tucson picked by Yahoo as one of the World’s Most Underrated Cities-Yahoo, 2011

Top Destination Pick for Business Meetings-USA Today, 2015

Ranked # 3 Best Places to Raise Your Kids-Blomberg Business Week, 2010

Arizona continues to lead the nation in population growth. Between 1980 and 1990, Arizona was the third fastest growing state, with a population increase of almost 35 percent. According to the 2000 census, approximately 5,130,000 people resided in the state, up from 3,665,000 in 1990, reflecting an increase of about 40 percent, or a 3.4 percent compounded annual rate. The 2010 census reported 6,392,017 people in Arizona, an increase of over 1.2 million residents, showing a continued increase of 25% in the last decade. Arizona’s population growth of nearly 25% over the past decade results in a ranking of second-fastest growing, surpassed only by bordering state Nevada (35%), and followed closely by neighboring Utah (24%). In the previous decade, Arizona was ranked third in job growth with a gain of 47 percent. More recently, in 2006 Arizona ranked first in job growth. According to the US Department of Labor Statistics, as of March 2014, Arizona continues to show strong growth and now ranks 3rd in the United States (in a ranking of largest-to-smallest employment change), for the period of December 2013 through February 2014. Moody’s Analytics projects Arizona to have the largest growth over the next 5 years, with a projection of 3% annually. Over the past decade Arizona has seen the largest employment sector increase government employment, while the largest decrease has been in the construction sector. More recently, the majority of job growth in Arizona has been in the leisure and construction industries.

Tucson continues to gain recognition, with CNNMoney choosing Tucson as the tenth-best place to retire in their 2010 survey of the 25 best places to retire in the United States. US News & World Report ranked Tucson #62, in their 2017 Best Places to Live in America report. In December 2011, AARP named Tucson the best place to retire if you love

the outdoors. In 2010, Forbes ranked Tucson as the eighth best city for commuters, evaluating total commute times, consistency of commute times, and number of commuters who drive versus those to use alternate transportation, such as public transit or bicycling. In January 2012, the Alliance for Biking and Walking ranked Arizona 5th for spending per capita for cyclists and pedestrians, citing that Tucson has more on-street bike lanes than any of the other 51 cities in the study. Additionally, the American Lung Association ranks Tucson as the 3rd cleanest city in the nation for year-round particle pollution. In December 2015, Tucson received the UNESCO City of Gastronomy title, marking the first city in the US to garner this distinction. Moreover, according to US News and World Report’s 2016 survey, Tucson boasts 3 of the top 10 schools in the nation, with Basis Tucson North (#3), Basis Oro Valley (#6) and University High School (#24). With 350 days of sunshine annually and an elevation of 2,389 at the valley’s floor, and peaks of 9,157 atop nearby Mount Lemmon, Tucson offers a wide variety of outdoor recreation and is a popular tourist and retiree attraction.

The long-term outlook for Tucson is positive. Population and employment are projected to continue to increase at rates in excess of the remainder of the state and the nation as a whole as the market recovers over the next one to two years. The cyclic nature of the economy reflected in the population, employment, and development segments is now rebounding from the previous downturns experienced not only in Tucson, but in the state and the nation. Overall, the Tucson Metropolitan area is considered to remain in the growth stage of its life cycle and, even with the problems currently shown by the residential and commercial markets, should have a positive long-term impact upon properties in the area as recovery is anticipated to occur in most sectors between in the near future.


Population 3-MILE 5-MILE 10-MILE

Estimated Population (2017) 25,195 49,690 186,414

Projected Population (2022) 26,076 51,354 192,051

Households 3-MILE 5-MILE 10-MILE

Estimated Households (2017) 9,348 18,547 74,398

Projected Households (2022) 9,679 19,168 76,641

Over 49,690 Residents

within a 5-Mile Radius

Over 18,547 Households


Income 3-MILE 5-MILE 10-MILE

Avg. Household Income (2017) $89,738 $84,077 $80,772

Median Household Income (2017) $76,525 $71,522 $64,495

Business Facts 3-MILE 5-MILE 10-MILE

Total # of Businesses (2017) 607 1,319 7,623

Total # of Employees (2017) 6,158 12,911 68,367

$$ Household Income of $84,077


+1,319 Businesses


TWIN PEAKS PLAZA TWIN PEAKS PLAZA

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This Offering Memorandum contains select information pertaining to the business and affairs of Twin Peaks Plaza (Phase III), Marana, AZ. 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 Seller or Colliers International. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness 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, you agree:

1. The Offering Memorandum and its contents are confidential;

2. You will hold it and treat it in the strictest of confidence; and

3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.

Owner and Colliers International 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 Twin Peaks Plaza (Phase III), Marana, AZ or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or 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 | 3 Park Plaza, Suite 1200 | Irvine, CA 92614 | Snyder/Carlton Team

Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. This publication is the copyrighted property of Colliers International and /or its licensor(s) 2015. All rights reserved


Broker of Record:

Brian WoodsSenior Vice PresidentLicense No. [email protected]

Documents

Multi Tenant Shopping Center · teeth cleaning, dentures, crowns, porcelain veneers, dental implants, mercury-free fillings, Zoom! Teeth Whitening, cosmetic dental services, root