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Offering Memorandum

Chick-fil-A (Ground Lease)Uptown Crossing | Houston, Texas

One-of-a-kind Generational Hold Acquisition Opportunity | Less Than 1 Mile from The Galleria Mall—Largest

Shopping Center in Texas & 4th Largest Nationally

Subject Property Photos

Subject Property Rendering

US HWY 59/I-69 (352,431 VPD) WESTPARK DR (36,956 VPD)

I-610 (270,111 VPD)

S. RICE AVE (20,058 VPD)

DOWNTOWN HOUSTON (Approx. 8 Miles Northeast)

TEXAS MEDICAL CENTER (Approx. 8 Miles

Southeast)

UPTOWN HOUSTON

THE GALLERIA MALL2.4M Total SF & 400+ Retailers

NE

Chick-fil-A Ground Lease | Houston, TX

Confidential DisclaimerThis Confidential Memorandum has been prepared by Stan Johnson Company (“SJC”) and is being furnished to you solely for the purpose of your review of the commercial property located at 5405 South Rice Avenue in Houston, Texas (the “Property”). The material contained in this Offering Memorandum shall be used for the purposes of evaluating the Property for acquisition and shall not be used for any purpose or made available to any other person without the express written consent of Stan Johnson Company (“Broker”).

By accepting the Confidential Memorandum, you acknowledge and agree that: (1) all of the information contained herein and any other information you will be receiving in connection with this transaction, whether oral, written or in any other form (collectively, the “Materials”), is confidential; (2) you will not reproduce the Confidential Memorandum in whole or in part; (3) if you do not wish to pursue this matter, you will return this Confidential Memorandum to SJC as soon as practicable together with all other materials relating to the Property which you may have received from SJC; and (4) any proposed actions by you which are inconsistent in any manner with the foregoing agreements will require the prior written consent of SJC.

This Confidential Memorandum has been prepared by SJC, based upon certain information pertaining to the Property and any information obtained from SJC to assist interested parties in making their own evaluation of the Property is offered on a no representation or warranty provision other than customary warranties of title and is sold on an “as-is, where-is” basis and with all faults. The material and transaction does not purport to be all inclusive. This Confidential Memorandum contains descriptive materials, financial information and other data compiled for the convenience of parties interested in the Property. The Materials are being delivered by SJC to prospective investors with the understanding that it is not all inclusive and that it is qualified in its entirety by independent investigation by prospective investors of those matters which they deem appropriate in evaluating this offering without reliance upon SJC, the Broker or any of their respective affiliates or any of the information set out in the Materials. Neither SJC, the Broker, nor any of their respective affiliates have independently verified any of the information contained herein or in any of the Materials, and no representations or warranties as to the accuracy or completeness thereof or of any other kind whatsoever are made or intended and none should be inferred.

SJC, for itself and its affiliates of the Property, expressly disclaim any and all liability for statements or representations, express or implied, contained herein or for omissions from the Materials or for any other written, oral or other format of communication transmitted to a prospective investor in the course of its evaluation of the proposed transaction. All summaries and discussions of documentation and/or financial information contained herein are qualified in their entirety by reference to the actual documents and/or financial statements, which upon request may be made available. The terms and conditions described herein are subject to change without notice.

This Confidential Memorandum does not constitute an offer to accept any investment proposal but is merely a solicitation of interest with respect to the investment described herein. The Confidential Memorandum does not constitute an offer of security. The investment described herein may be financed or withdrawn from the market, without prior notice. By accepting this Confidential Memorandum you agree to release SJC and hold it harmless from any kind of claim, expense, or liability arising out of your discovery or purchase of the Property. SJC reserves the right to request the return of the Materials at any time. Ownership of the Property reserves the right to negotiate with one or more prospective investors at any time.


Table of ContentsSection 1: About the Investment

Investment Summary & Investment Highlights 5

Rendering 6

Pricing & Property Overview 7

Rent Roll & Income Statement 8

Lease Abstract & Rent Schedule 9

Tenant Overview 10

Site Plan 11

Section 2: Location Information

Retail Aerial Map 13

Subject Aerial Photos 14

Retail & Business Map 15

Location Overview 16

Uptown Houston Market Overview 17

Houston Retail Overview 18

Houston Hotel & Hospitality Overview 19

Demographics 20

Offered Exclusively By

Brandon Duff Regional Director

[email protected]

Brad Feller Senior Director

[email protected]

Isaiah Harf Associate Director

[email protected]

Jim Gibson Regional Director

[email protected] TX Lic. #392926

Todd Moore Associate Director

[email protected]

Marc Peeler Associate

[email protected]

Stan Johnson Company 303 East Wacker Drive | Suite 1111

Chicago, Illinois 60601 P: +1 312.240.0127 | F: +1 312.240.0158

Stan Johnson Company 10333 Richmond Ave | Suite 740

Houston, TX 77042 P: +1 832.476.3440 | F: + 832.476.3449


I-610 (270,111 VPD)

US HWY 59/I-69 (352,431 VPD)

WESTPARK DR (36,956 VPD)

S. RICE AVE (20,058 VPD)

Section 1:About the Investment

NE


Investment Summary Stan Johnson Company is pleased to exclusively offer for sale to qualified

investors, the opportunity to purchase a 100% fee-simple interest in the

ground leased commercial property located at 5405 South Rice Avenue in

Houston, Texas (the “Property”). The Property is currently under construction

and will open as a Chick-fil-A restaurant in Q2 2016 . Roughly eight miles west

of downtown Houston, the Property is a part of Uptown Crossing – the new Walmart-anchored

development adjacent to the I-69 and I-610 interchange. The Property is to be 4,791 SF and will be

complete with a drive-thru and parking for 53 vehicles.

The Property is leased to and corporately guaranteed by Chick-fil-A, Inc. The 15-year base lease

commenced in December 2015 and features 10% rental increases every five years through the

duration of the base lease, as well as at the start of each of five, five-year renewal option periods. The

lease is Absolute NNN with no landlord responsibility.

Uptown Crossing is a 38-acre mixed-use development anchored by Walmart Supercenter, directly

across from Sam’s Club and adjacent to the Uptown District of Houston, the 14th largest business

district in the United States. Uptown is home to more than 180,000 people and offers 28+ million

square feet of office space, 34 hotels and 5+ million square feet of retail space, including the Galleria,

the 4th-largest retail complex in the country which draws more than 24 million people annually.

Chick-fil-A is an American restaurant chain currently operating over 1,850 locations across 38 states

and the District of Columbia. It is the industry leader in average sales per restaurant with an annual

location sales average of $2.7 million. According to Technomic Inc.’s annual report on the top U.S.

restaurant organizations, Chick-fil-A logged sales of $5.7 billion in 2014 – an 11.8% increase from the

company’s $5.1 billion in sales in 2013.

Investment HighlightsOne-of-a-kind & “Generational Hold” Acquisition Opportunity – The Property provides an investor the rare opportunity to secure a passive net-lease investment, while at the same time acquiring premier urban infill real estate in Houston, Texas, one of the most sought after markets in the United States.

Absolute NNN Lease – Chick-fil-A is currently operating under a new 15-Year Absolute NNN Ground Lease with zero landlord responsibility for the duration of the base lease and renewal option periods.

Excellent Real Estate Fundamentals & Residual Value – Development is located on Rice Avenue along the Westpark Tollway, just west of downtown Houston and in close proximity to three of Houston’s most prestigious and densely populated neighborhoods – the Galleria, West University and Bellaire.

Attractive Rental Escalations – Property features 10% rental increases every 5 years throughout the base term, as well as in each option period.

Outstanding Tenant Profile – Chick-fil-A is the industry leader in average sales per restaurant, making an annual average of $2.7 million. The company logged sales of $5.7 billion in 2014, which represented an 11.8% increase from its $5.1 billion figure in 2013.

Outparcel to Newly Constructed Walmart Supercenter – Property is an outparcel of the brand new Uptown Crossing development anchored by Walmart. Additional tenants in center include MicroCenter Computer & Electronics, Starbucks, AT&T, Mattress Firm, Jack in the Box, El Pollo Loco, two medical offices and a TownPlace Suites by Marriott hotel.

High Visibility & Superior Traffic Counts – The Uptown Crossing site is located at the interchange of Interstate 69 and Interstate 610 with on- and off-ramps to each nearby. Combined traffic counts are in excess of 679,500 VPD.

Exceptional Demographics – Property will benefit from a population in excess of 200,000 and average household income of over $108,600 within a 3-mile radius.


Subject Property Rendering – Construction Complete Q4 2016


Pricing Overview5405 S Rice Avenue | Houston, TX 77081

Offering Price: $2,933,333

Offering Cap Rate: 3.75%

Year 1 Annual Rent: $110,000

Tenant/Guarantor: Chick-fil-A, Inc.

Property Type: Free-Standing QSR

Ownership Interest: Fee Simple in Ground Lease

Encumbrances: None, Delivered Free & Clear

Property OverviewBuilding Size (SF): +/- 4,791 SF

Land Area (Acres): +/- 1.217 Acres

Year Built: 2016 (1)

Parking: 53 Spaces

N(1) Property has been delivered to Tenant and rent has commenced. Currently, Tenant is constructing their improvements to be completed Q4 2016.


Rent Roll & Income Statement

Tenant Building SF Lease Term Year Monthly Base Rent

Annual Base Rent

Annual Rent PSF

Rental Increase Lease Type Renewal Type

Chick-fil-A, Inc. +/- 4,791 SF 15 Years

1-5 $9,167 $110,000 $22.96 -

Absolute NNN Ground Lease

5, 5-year Options

6-10 $10,083 $121,000 $25.26 10.00%

11-15 $11,092 $133,100 $27.78 10.00%

16-20 (Option 1) $12,201 $146,410 $30.56 10.00%

21-25 (Option 2) $13,421 $161,051 $33.62 10.00%

26-30 (Option 3) $14,763 $177,156 $36.98 10.00%

31-35 (Option 4) $16,239 $194,871 $40.67 10.00%

36-40 (Option 5) $17,863 $214,358 $44.74 10.00%

Rent Roll

Income Statement

Investment Year 0 1 2 3 4 5 6 7 8 9 10

Revenue

Chick-fil-A Rental Income $110,000 $110,000 $110,000 $110,000 $110,000 $121,000 $121,000 $121,000 $121,000 $121,000

Total Revenue $110,000 $110,000 $110,000 $110,000 $110,000 $121,000 $121,000 $121,000 $121,000 $121,000

CASH FLOW BEFORE DEBT SERVICE $110,000 $110,000 $110,000 $110,000 $110,000 $121,000 $121,000 $121,000 $121,000 $121,000

*Lease is Absolute NNN with Tenant responsible for Pro Rata Share of CAM for Shopping Center (RET & Insurance are separately assessed). See lease abstract for further details.

*Lease corporately guaranteed by Chick-fil-A, Inc.


Chick-fil-ALease Abstract

Tenant/Guarantor: Chick-fil-A, Inc.

Address: 5405 South Rice Avenue Houston, TX 77081

Building Size (SF): +/- 4,791 SF

Lot Size (Acres): +/- 1.217 Acres

Year Built: 2016

Lease Commencement: September 30, 2015

Rent Commencement: December 1, 2015

Lease/Rent Expiration: November 30, 2030

Base Lease Term: 15 Years

Base Lease Term Remaining: 15 Years

Annual Base Rent: $110,000

Base Rent PSF: $22.96 PSF

Rent Increases: 10% Increase Every 5 Years

Renewal Options: 5, 5 Year Options

Renewal Notice: 6 Months

Option Increases: 10% Increase at Start of Each Option

Lease Type: Absolute NNN (Tenant to Pay Pro Rata Share of CAM; RET & INS Separately Assessed)

Landlord Responsibilities: None

Pro Rata Share**: 16.1%

RENT SCHEDULE

Years Dates Annual Rent Monthly Rent

1-5 12/1/2015 – 11/30/2020 $110,000 $9,167

6-10 12/1/2020 – 11/30/2025 $121,000 $10,083

11-15 12/1/2025 – 11/30/2030 $133,100 $11,092

Option 1

16-20 12/1/2030 – 11/30/2035 $146,410 $12,201

Option 2

21-25 12/1/2035 – 11/30/2040 $161,051 $13,421

Option 3

26-30 12/1/2040 – 11/30/2045 $177,156 $14,763

Option 4

31-35 12/1/2045 – 11/30/2050 $194,871 $16,239

Option 5

36-40 12/1/2050 – 11/30/2055 $214,358 $17,863

*Property has been delivered to Tenant and rent has commenced. Currently, Tenant is constructing their improvements to be completed Q4 2016. **Calculated by 53,012 (square footage of land) divided by 330,286 (square footage of developer tract of land). **CAM expenses not to exceed $1,000 per year during first year, and will not increase by more than 10% during each successive 5-year period thereafter.


Chick-fil-A is an American fast food restaurant chain headquartered in the Atlanta suburb of College Park in Georgia. Specializing in chicken sandwiches, Chick-fil-A is frequently associated with the Southern United States and has become a cultural icon. Today, the chain operates over 1,850 restaurants in 38 U.S. states and the District of Columbia, and is focusing future growth in the American Midwest, Southern California, the Philippines, South Korea and Alberta. In 2010, Chick-fil-A took the industry lead in average sales per restaurant, making an annual average of $2.7 million (McDonald’s was second with $2.4 million per restaurant).

The company’s culture is strongly influenced by its founder’s Southern Baptist beliefs, and unlike most fast food restaurants and retail chain stores across the country, all Chick-fil-A locations are closed for business on Sunday.

The chain’s origin can be traced to the Dwarf Grill, a restaurant opened in 1946 by S. Truett Cathy, the chain’s former Chairman and CEO. After 15 years, Cathy found a pressure-fryer that could cook the chicken sandwich in the same amount of time it took to cook a fast-food hamburger. Following that discovery, he registered the name Chick-fil-A, Inc., as well as the slogan, “We Didn’t Invent the Chicken, Just the Chicken Sandwich.” In 1967, the first Chick-fil-A opened in the food court of the Greenbriar Mall, and subsequently expanded by opening new franchises in suburban malls’ food courts. The first freestanding franchise was

TENANT PROFILE

Company: Chick-fil-A, Inc.

Type: Private

Industry: Fast Food Restaurants

Founded: 1946 (Dwarf Grill)

No. of Locations: 1,850+

Sales (FY2014): $5.7 billion



Headquarters: College Park, Georgia

Key People: Dan T. Cathy (Chairman & CEO)

Website: www.chick-fil-a.com

opened in 1986, and the company began to focus more on this type of operation. Today, Chick-fil-A’s can be found as stand-alone locations, drive-thru only locations or food court locations in malls, universities, hospitals and airports.

Chick-fil-A uses a business model significantly different from other restaurant franchises, most notably retaining ownership of each restaurant. Chick-fil-A selects the restaurant location, builds it and retains ownership. While franchisees from competing chains pay almost $2 million up front to open a franchise, Chick-fil-A franchisees need only a $5,000 initial investment to become an operator. The company annually gets 10,000-25,000 applications from potential franchise operators for the 60-70 slots they open each year. On the back end, Chick-fil-A gets a larger share of revenue from its franchises than other chains, but the formula works well for operators. Franchisees make an average of $190,000 per year.

Beyond restaurant operations, Chick-fil-A has been the title sponsor of the Peach Bowl since 1994, an annual college football game played in Atlanta on New Year’s Eve. Additionally, the company is heavily involved in SEC and ACC intercollegiate athletics.

Tenant Overview - Chick-fil-A

According to Technomic Inc.’s annual report on the top U.S. restaurant organizations, Chick-fil-A logged sales of $5.7 billion in 2014 – an 11.8% increase from the companies $5.1 billion in sales in 2013.


Site Plan

Sam’s Club directly West of Uptown Crossing

Shopping Center

N

WESTPARK DR (36,956 VPD)

S. R

ICE

AV

E (2

0,05

8 V

PD)

Thoroughfare Vehicles Per Day

S. Rice Ave: 20,058 VPD

West Park Dr: 36,956 VPD

US Hwy 59/ I-69: 352,431 VPD

I- 610: 270,111 VPD

Total: 679,556 VPD


NE

UPTOWN HOUSTON

Section 2:Location Overview


US HWY 59/I-69 (352,431 VPD) I-

610

(270

,111

VPD

)

Weslayan Plaza Shopping Center

Houston Galleria

FOX 26 HOUSTON

LAKEWOOD CHURCH

CHEVRON CORPORATION

THE ART INSTITUTE OF HOUSTON

HOUSTON COMMUNITY COLLEGE

COCA-COLA BOTTLING CO.

The Centre at Post Oak

Westpark Dr. (24,061 VPD)

Westheimer Rd. (61,454 VPD)Ri

ce A

ve (1

6,60

7 VP

D)

UPTOWN HOUSTON


Subject Property - Looking Southeast Subject Property - Looking Southeast

Subject Property - Looking Northwest Subject Property - Looking Southwest


N N


Downtown Houston, TX

Mission Control Center - NASAGalleria One Shopping Center

Lovett Hall - Rice University

Location OverviewHouston is a city in and the county seat of Harris County in the state of Texas. It is the most populous city in Texas and the fourth most populous city in the United States. As of 2010, the city had a population of 2,100,263, representing a 7.5% increase since 2000 and continuing a trend a population growth in every decade since record-keeping began in 1850. Houston is the main component of the Houston-Woodlands-Sugar Land Metropolitan Statistical Area that stretches across nine counties and includes a population of over six million, making it the fifth most populated MSA in the country.

Relative to other major U.S. markets, Houston continues to display solid fundamentals with projected positive growth that outperforms the nation. The city has one of the strongest economies in the country, derived from the city’s ability to retain its position as the center of the world’s energy industry, maintain conservative construction levels, diversify its economic base and enjoy rising employment and continuous population growth. Offering an unsurpassed pro-business environment, Houston is one of the least-expensive major cities to conduct business in and features a stable, yet dynamic economy.

This economy is rooted in a broad industrial base in sectors such as energy, manufacturing, health care, aeronautics and transportation. It is the top U.S. market for exports, recently passing New York City, and in 2012, the Houston-Woodlands-Sugar Land MSA GDP was $449 billion, the fourth-largest of any metropolitan area in the United States. In fact, only 26 other countries have a GDP exceeding that of the Houston metro area.

As of 2013, 24 Fortune 500 companies were headquartered in Houston. Only New York City can claim more with over 50. Some of these companies include Phillips 66, ConocoPhillips, Enterprise Products Partners, Sysco, Plains All American Pipeline, Halliburton, Baker Hughes, National Oilwell Varco, Apache, Marathon Oil and Waste Management, among others. Other major employers include Memorial Hermann Healthcare, Continental Airlines, the University of Texas Anderson Cancer Center, ExxonMobil, Shell Oil, Kroger, The Methodist Hospital, the University of Texas Medical Branch at Galveston, Baylor College of Medicine, HP, Aramark and Chevron.

Houston is frequently awarded and recognized as the tremendous city it is. In 2006, the Houston metropolitan area ranked first in Texas and third in the U.S. on Forbes list of “Best Places for Business and Careers.” In 2008, the city received top ranking on Kiplinger’s annual “Best Cities” list which ranks cities on their local economy, employment opportunities, reasonable living costs and quality of life. In that same year, Houston ranked first on both the Forbes lists of “Best Cities for College Graduates” and “Best Cities to Buy a Home.” In 2012, the city was ranked #1 for paycheck worth by Forbes. And in 2013, it was identified as America’s top city for employment creation, as well as designated by the U.S. Bureau of Statistics as the #1 city for job creation as it was not only the first major city to regain all jobs lost during the economic downturn, but after the crash, more than two jobs were added for every one lost.


The Property is positioned adjacent to the Uptown District of Houston, an area located 6.2 miles west of downtown at the intersection of Interstates 69 and 610.

Uptown Houston is an urban community of exceptional beauty, sophistication, style and international prominence in the heart of Houston. Defined by its unique blend of prestigious business and residential addresses, with the best in shopping, hotels, dining and entertainment, Uptown Houston is one of the world’s great urban centers.

BUSINESS DISTRICT

At more than 28 million square feet of commercial office space, the Uptown District is the 14th-largest business district in the United States, comparable in size to the downtowns of Denver and Pittsburgh. The district is home to approximately 2,000 companies and represents more than 15% of Houston’s total office space.

Office Snapshot

• Five-Star, Class A International Community

• 90.4% Occupancy Rate (Q2 2015)

• Home to 2,000 Companies

• 28+ million SF of Commercial Office Space

• 14th-Largest Business District in U.S.

• 15.25% of Houston’s Total Class A Office Space Source: Grubb & Ellis; Commercial Gateway

NATION’S LARGEST DOWNTOWNS

Uptown Houston Market OverviewUptown Houston’s Major Employers

• Air Liquide

• Aon International Energy

• Apache Corporation

• Bechtel Corporation

• BHP Billiton

• Blue Cross Blue Shield of Texas

• Cameron International Corporation

• Christus Health

• Clear Channel Communications

• GE Energy

• GDF SUEZ Energy

• Hines REIT

• Landry’s Restaurants, Inc.

• NetIQ Corporation

• Panhandle Energy

• Spectra Energy Corporation

• Stewart Title Company

• Symantec Corporation

• Weatherford International Ltd.

• Williams

Downtown Houston, TX Westchase Business District - Houston, TX


AVERAGE HOUSEHOLD INCOME COMPARISON

Houston Retail OverviewUptown Houston is the shopping mecca of the Southwest, as more than 26 million people are drawn to the collection of stores at the Galleria (the 4th-largest retail complex in the U.S.) and the European-styled Uptown Park, as well as the new BLVD Place, Centre at Post Oak and Post Oak Shopping Center.

Retail Snapshot

• Annual Gross Sales of $3.63+ Billion in 2014

• Accounts for 10%+ of Houston Taxable Retail Sales

• 5+ Million SF of Retail Space

• 1,000+ Stores & 100+ Restaurants

• 99.9% Occupancy (Q2 2015)

• Home to 4 of the 7 AAA Ranked “4 Diamond Restaurants” in Houston

Galleria Snapshot

• 4th-Largest Retail Complex in U.S.

• #1 Shopping & Tourist Attraction in Houston & the Southwest

• 24+ Million Annual Visitors

• Sales of $1,000+ PSF

Galleria Area - Houston, TX

The Galleria Mall - Houston, TX

The Galleria Mall - Houston, TXSource: Grubb & Ellis; Commercial Gateway


Each year, more than 30 million visitors from around the globe come to Uptown Houston to experience the best in shopping, dining and business interaction. With more high quality, full-service hotels than any other district in Houston, Uptown offers lodging options from business class to premier luxury and everything between to serve everyone from the global traveler to the native Houstonian looking for a weekend getaway.

Hotel Snapshot

• 30+ Million Annual Visitors

• 34 Hotels

• 7,800+ Hotel Rooms

• $313 Million in Hotel Room Revenue in 2014

• Houston’s Highest RevPAR (Revenue per Available Room)

• 77.1% Occupancy (Jun ’15 – Aug ‘15)

RESIDENTIAL

Uptown Houston is a community where the contemporary mingles beautifully with tradition and the scenic melds with the serene. The best in shopping and dining is at the front doors of residents in Uptown, and the living choices range from newly-built, upscale apartment complexes to luxurious high-rise condominiums and lofts, cozy patio homes and spaciously elegant town homes and estates.

Residential Snapshot

• 180,000+ Residents within 3-Miles

• 2,900+ Multi-Family Units Built Since 2000

• 7 Residential Towers of 30+ Stories

• 90% Apartment Occupancy

• 4,500 Class A Residential Units Coming Online within 18 Months

Houston Hotel & Hospitality Overview2013 HOTEL ROOM REVENUE

Four Seasons Hotel - Houston, TX

Source: Grubb & Ellis; Commercial Gateway


NN

Demographics 5405 S. Rice Avenue | Houston, TX 77081 0 - 1 mi. 0 - 3 mi. 0 - 5 mi.

Population

2015 Population 24,080 214,882 494,654

2020 Population 26,194 231,701 532,762

2010-2015 Annual Rate 1.48% 1.27% 1.29%

2015-2020 Annual Rate 1.70% 1.52% 1.50%

Households

2015 Total Households 11,339 94,166 217,522

2020 Total Households 12,278 101,321 234,281

2010-2015 Annual Rate 1.17% 1.10% 1.18%

2015-2020 Annual Rate 1.60% 1.48% 1.50%

Housing Units by Age of Householder (2010 Census)

Owner Occupied Units

Occupied Units Number % of Occupied

Total 10,667 2,505 23.%

15-24 1,017 27 2.7%

25-34 3,681 381 10.4%

35-44 2,168 524 24.2%

45-54 1,601 536 33.5%

55-64 1,181 555 47.0%

65-74 533 295 55.3%

75-84 268 138 51.5%

85+ 218 49 22.5%

2015 Average Household Income $84,598 $108,637 $101,571

The information contained herein was obtained from sources believed reliable, however, Stan Johnson Company makes no guaranties, warranties or representations as to the completeness thereof. The presentation of this property for sale, rent or exchange is submitted subject to errors, omissions, change of price or conditions, or withdrawal without notice.

Brandon Duff Regional Director

[email protected] +1 312.240.0162

Brad Feller Senior Director


Jim Gibson Regional Director

[email protected] Lic. #TX: 392926

Todd Moore Associate Director

[email protected]

Marc Peeler Associate

[email protected]

Isaiah Harf Associate Director


Stan Johnson Company 303 East Wacker Drive | Suite 1111

Chicago, Illinois 60601 P: +1 312.240.0127 | F: +1 312.240.0158

www.stanjohnsonco.com

Stan Johnson Company 10333 Richmond Avenue, Suite 740

Houston, Texas 77042 P: +1 832.476.3440 | F: +1 832.476.3449

www.stanjohnsonco.com

EQUAL HOUSINGOPPO RTU N ITY

Approved by the Texas Real Estate Commission for Voluntary Use

efore working with a real estate broker, you shouldBknow that the duties of a broker depend on whomthe broker represents. If you are a prospectiveseller or landlord (owner) or a prospective buyer or

tenant (buyer), you should know that the broker who liststhe property for sale or lease is the owner’s agent. Abroker who acts as a subagent represents the owner incooperation with the listing broker. A broker who acts asa buyer’s agent represents the buyer. A broker may act asan intermediary between the parties if the partiesconsent in writing. A broker can assist you in locating aproperty, preparing a contract or lease, or obtainingfinancing without representing you. A broker is obligatedby law to treat you honestly.

IF THE BROKER REPRESENTS THE OWNER:The broker becomes the owner’s agent by entering into anagreement with the owner, usually through a written -listing agreement, or by agreeing to act as a subagent byaccepting an offer of subagency from the listing broker. Asubagent may work in a different real estate office. Alisting broker or subagent can assist the buyer but doesnot represent the buyer and must place the interests ofthe owner first. The buyer should not tell the owner’sagent anything the buyer would not want the owner toknow because an owner’s agent must disclose to theowner any material information known to the agent.

IF THE BROKER REPRESENTS THE BUYER:The broker becomes the buyer’s agent by entering into anagreement to represent the buyer, usually through awritten buyer representation agreement. A buyer’s agentcan assist the owner but does not represent the ownerand must place the interests of the buyer first. The ownershould not tell a buyer’s agent anything the owner wouldnot want the buyer to know because a buyer’s agent mustdisclose to the buyer any material information known to theagent.

IF THE BROKER ACTS AS AN INTERMEDIARY:A broker may act as an intermediary between the partiesif the broker complies with The Texas Real Estate License

Act. The broker must obtain the written consent of eachparty to the transaction to act as an intermediary. Thewritten consent must state who will pay the broker and, inconspicuous bold or underlined print, set forth the broker’sobligations as an intermediary. The broker is required totreat each party honestly and fairly and to comply withThe Texas Real Estate License Act. A broker who actsas an intermediary in a transaction:

(1) shall treat all parties honestly; (2) may not disclose that the owner will accept aprice less than the asking price unless authorized inwriting to do so by the owner; (3) may not disclose that the buyer will pay a pricegreater than the price submitted in a written offerunless authorized in writing to do so by the buyer; and(4) may not disclose any confidential information orany information that a party specifically instructs thebroker in writing not to disclose unless authorized inwriting to disclose the information or required to do soby The Texas Real Estate License Act or a courtorder or if the information materially relates to thecondition of the property.

With the parties’ consent, a broker acting as anintermediary between the parties may appoint a person whois licensed under The Texas Real Estate License Actand associated with the broker to communicate with andcarry out instructions of one party and another person whois licensed under that Act and associated with the brokerto communicate with and carry out instructions of theother party.

If you choose to have a broker represent you, you should enter into a written agreement with the brokerthat clearly establishes the broker’s obligations and yourobligations. The agreement should state how and bywhom the broker will be paid. You have the right tochoose the type of representation, if any, you wish toreceive. Your payment of a fee to a broker does notnecessarily establish that the broker represents you. If youhave any questions regarding the duties andresponsibilities of the broker, you should resolve thosequestions before proceeding.

Texas Real Estate Brokers and Salespersons are licensed and regulated by the Texas Real Estate Commission (TREC). If you have a questionor complaint regarding a real estate licensee, you should contact TREC at P.O. Box 12188, Austin, Texas 78711-2188 or 512-465-3960.

Texas law requires all real estate licensees to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords.

Information About Brokerage Services

Real estate licensee asks that you acknowledge receipt of this information about brokerage services for the licensee’s records.

Buyer, Seller, Landlord or Tenant Date

01A TREC No. OP-K

$ijdl åm (spvoe-fbtf - stan johnson...

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