)

80,000 SQUARE FOOT PRIME INDUSTRIAL DISTRIBUTION CENTER ALONG INTERSTATE I -80/90

OFFERING MEMORANDUM • NNN INDUSTRIAL SALE LEASEBACK | 10-YEAR LEASE

Actual Subject Photo 7250 Vorden Parkway, South Bend, Indiana 46628

AREA MAP • 7250 VORDEN PARKWAY • SOUTH BEND, INDIANA 46628

OLIVE ROAD

INDIANA TOLL ROAD I-80/90 23,670 VPD (2017)

VORDEN PARKWAY

*Borders Are Approximate

OFFICES NATIONWIDE • WWW.MARCUSMILLICHAP.COM

DID

AM

BLV

D

CORPORATE OFFICEDISTRIBUTION CENTER

TEST TRACK

N

SUBJECT PROPERTY • 3BTECH, INC.

2018 10-MILE AVERAGE HH INCOME

OVER $62,000

SUBJECT PROPERTY • 3BTECH, INC.

AREA MAP • 7250 VORDEN PARKWAY • SOUTH BEND, INDIANA 46628

DISTRIBUTION CENTER

OLIVE RD

WIRE & STEEL DISTRIBUTOR

PATTERSON DENTAL CO. DISTRIBUTION

CORPORATE OFFICEDISTRIBUTION CENTER

TEST TRACK

INTERSTATE I-80/90 - 2

3,670 VPD (2017)

N2018 10-MILE DAYTIME POPULATION

OVER 247,900

*Borders Are Approximate

OFFICES NATIONWIDE • WWW.MARCUSMILLICHAP.COM

ADDRESS7250 VORDEN PARKWAYSOUTH BEND, IN 46628

PRICE$5,850,000

NOI$424,125 This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or

implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2019 Marcus & Millichap ACTIVITY ID: ZAA0330212

VITAL DATA

Price $5,850,000

Cap Rate (Year 1) 7.25%

Cap Rate (Year 10) 9.65%

Gross Leasable Area 80,000 Sq. Ft. +/-

Year Built 2011

Lot Size 3.71 Acres

Ownership Fee Simple

LEASE SUMMARY

Lease Type Absolute NNN

Roof & Structure Tenant

Lease Term 10 Years

Rent Commencement At Close of Escrow

Lease Expiration 10 Years from Close of Escrow (*/*/2029)

Rental Increases 10% Increases Every Three Years, Including Options

Options Three, 5-Year

RENT SCHEDULE (BASE TERM)

Term Rent/Sq. Ft. Monthly Rent Annual Rent Cap Rate

Years 1-3 $5.30 $35,343.75 $424,125.00 7.25%

Years 4-6 $5.83 $38,878.13 $466,537.50 7.98%

Years 7-9 $6.41 $42,765.94 $513,191.25 8.77%

Year 10 $7.06 $47,042.53 $564,510.38 9.65%

CAP RATE7.25% Year One

SUBJECT PHOTOGRAPHS • INDUSTRIAL INTERIOR • 75,410 SQ. FT. (94.3% OF BUILDING)CEILING HEIGHTS RANGE FROM 41’ TO 37'

SUBJECT PHOTOGRAPHS • INDUSTRIAL INTERIOR • 75,410 SQ. FT. (94.3% OF BUILDING)14 DOCKS & REINFORCED CONCRETE WALLS

SUBJECT PHOTOGRAPHS • OFFICE SPACE • 4,590 SQ. FT. (5.7% OF BUILDING)

DEMOGRAPHICS

7250 Vorden Pky, South Bend, IN 46628Olive Cleveland Distribution Center III

10.0-Mile Radius

20.0-Mile Radius

30.0-Mile Radius

Copyrighted report licensed to Marcus & Millichap Inc - 473839.

INVESTMENT HIGHLIGHTS

Population 10 Miles 20 Miles 30 Miles

2010 Population Census 226,960 430,458 768,073

2018 Population Estimate 229,137 434,703 774,061

2023 Population Projection 229,708 441,584 785,583

2018 Daytime Population 247,993 435,575 762,895

Households 10 Miles 20 Miles 30 Miles

2010 Households Census 89,135 166,121 294,112

2018 Households Estimate 89,678 167,486 296,244

2022 Households Projection 91,423 172,477 304,663

2018 Average HH Size 2.4 2.5 2.5

Income 10 Miles 20 Miles 30 Miles

Median HH Income $45,173 $51,006 $52,019

Per Capita Income $25,238 $26,320 $26,647

Average HH Income $62,973 $67,291 $68,720

Source: Marcus & Millichap Analytics, U.S. Census Bureau, 201910

SUBJECT IS AN 80,000-SQUARE FOOT BUILDING BUILT IN 2011 THAT FEATURES 75,410-SQUARE FEET OF INDUSTRIAL (94.3%) SPACE, 4,590-SQUARE FEET OF OFFICE (5.7%) SPACE, 14 DOCKS, REINFORCED CONCRETE WALLS, AND CEILING HEIGHTS THAT RANGE FROM 37' - 41'

LOGISTICAL HUB PROVIDES EASY ACCESS TO I-80/90 TOLL ROAD AND US 31/20 BYPASS | 118 MILLION PEOPLE LIVE WITHIN A DAY’S DRIVE OF THE SUBJECT ASSET

U.S. CENSUS REPORTS 46,574 PEOPLE LIVE WITHIN A FIVE-MILE RADIUS (2017)

NEARLY $59,000 AVERAGE HOUSEHOLD INCOME WITHIN A FIVE-MILE RADIUS (2017)

OVER 47,000 DAYTIME POPULATION WITHIN A FIVE-MILE RADIUS (2017)

NEARBY BUSINESSES INCLUDE TIRE RACK, TECH DATA DIST., GENERAL STAMPING & METALWORKS, HILTI DIST., GIBBS WIRE & STEEL, PELLA WINDOW & DOOR, INDIANA BEVERAGE & MORE

SURROUNDED BY 17,414 HOUSEHOLDS WITHIN A FIVE-MILE RADIUS (2017)

LOCATED ONLY FOUR MILES FROM SOUTH BEND INTERNATIONAL AIRPORT, SERVING 1,600 COMMERCIAL PASSENGERS/DAY AS WELL AS FEDEX EXPRESS, FEDEX FEEDER AND UPS CARGO FLIGHTS

NEARBY ATTRACTIONS INCLUDE BLACKTHORN GOLF CLUB, JR. IRISH SOCCER FIELDS, ELBEL GOLF COURSE, AND ST. PATRICK’S COUNTY PARK, IN ADDITION TO NOTRE DAME UNIVERSITY CAMPUS

TENANT IS A TECH-GOODS RETAILER, INVOLVED WITH SOURCING, DISTRIBUTING & LIGHT MANUFACTURING OF GOODS “DIRECT TO CONSUMER” OR “DIRECT TO RETAILER”

PRODUCTS RANGE FROM ELECTRIC SCOOTERS, SKATEBOARDS AND BIKES TO HIGH RESOLUTION GAMING MONITORS & DRONES

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2019 Marcus & Millichap ACTIVITY ID: ZAA0330212

SITE PLAN

N

VORDEN PARKWAY

DID

AM

BO

ULE

VAR

D

RETENTION EASEMENT

TRUCK LOADING DOCKSx7

SUBJECT PROPERTY3BTECH

80,000 SQ. FT. GLAINDUSTRIAL & OFFICE

TRUCK PARKING

DRAIN

*Borders Are Approximate

TRUCK LOADING DOCKSx7

AREA MAP

Imagery ©2019 Google, Map data ©2019 Google 2000 ft

Home

Work

ELBEL PARK GOLF COURSE

18 HOLES

SUBJECT PROPERTYINDIANA TOLL ROAD

OLIVE RD

8,724 VPD (2018)U.S. 20 BYPASS

25,733 VPD (2018) HIGHWAY U.S. 31US-20 INTERCHANGE

BEND

IX DR - 19,460 VPD

(2017)

SOUTH BEND INTL AIRPORT 1,600 PASSENGERS/DAY (2017)

CLEVELAND RD

BLACKTHORN GOLF CLUB

18 HOLES • PRO SHOP HOTEL • BAR & GRILL

STATE OF MICHIGAN3 MILES NORTH

10 MINUTES TO US-12

*Borders are ApproximateSources: MACOG, in.gov, blackthorngolf.com, flysbn.com, sbvpa.com

NIMTZ PKWY

BLACKTHORN CORP. PARKINDUSTRIAL, MANUFACTURING, &

DISTRIBUTION HUB

INDUSTRIAL, MANUFACTURING, & DISTRIBUTION HUB

BRICK RD

ST. J

OSE

PH V

ALLE

Y PK

WY

23,670 VPD (2017)INTERSTATE HWY I-80/90

E-W TRANSCONTINENTAL FREEWAYTHRU 11 STATES FROM CA TO NJ

E MICHIGAN ST

N

3BTECH, INC.

3BTech, Inc. d/b/a Shopabit.com is an international merchant specializing in the sale of electronic items predominantly manufactured in China, as well as locally in the Midwestern United States. 3BTech has multiple locations in the Midwest, Los Angeles, and China.

3BTech is dedicated to supplying the latest global digital brands across the nation, such as Viotek, Swagtron, Digital 2, TurboLock, RolliBot, FunPaw, Mighty Hand, Waerator, Effiore, BriteUV, and more.

Products range from electric scooters, bikes, unicycles, skateboards and hoverboards to computer products like gaming monitors, keyboards, virtual reality headsets and drones. Other assorted items include home safety locks, health and beauty products, interactive pet feeders and cameras, robotic vacuums, wine aerators, and the company continues to expand it’s list of high-quality, tech-based products and subsidiaries.

3BTech sells products directly to Amazon and Walmart, and is partnered with Target, QVC, Kroger, BJ’s Wholesale Club, T.J. Maxx and many more retailers across the United States, as well as Canada.

TENANT OVERVIEW

Company Name 3BTech, Inc.

Headquarters South Bend, IN

Ownership Private

Sales Volume $70 Million (USD) per Year

Employees 50-200

Founded 1999

Website www.shopabit.comTHE OFFICIAL ELECTRIC SCOOTER OF THE CHICAGO CUBS AND WRIGLEY FIELD

CURRENT EXCLUSIVE BRANDS

Location South Bend, Indiana

Type Private, Catholic

Founded November 1842 by Rev. Edward Sorin

Enrollment Approx. 12,000 Students

Faculty Approx. 1,200 Academic Staff

Forbes #21 Top Colleges (2018)

Website www.nd.edu

UNIVERSITY OF NOTRE DAME

Located only eight miles south of the subject property, the University of Notre Dame is one of America’s leading undergraduate teaching institutions, situated in South Bend, Indiana. It was ranked number twenty-one on America’s Top Colleges in 2018 by Forbes, out of 650 schools total.

Founded in 1842 by members of the Congregation of Holy Cross, The University of Notre Dame is one of the nation’s top religiously affiliated Catholic schools, at the forefront in research and scholarship. The Fighting Irish field 26 NCAA Division I varsity athletic teams, with football, hockey, and basketball generating year-round fans from across the globe.

Notre Dame stands on 1,250 acres considered by many to be among the most beautiful possessed by any university in the nation. From the collegiate Gothic architecture and park-like landscape, to exquisite outdoor sculptures and breathtaking views, Notre Dame’s campus is a visual splendor throughout all four seasons, especially for undergraduates in one of the 30 on-campus residence halls.

Students choose from over 75 areas of study throughout eight colleges, most notably the Mendoza College of Business, Law School and College of Science.

Today, Notre Dame researchers are achieving breakthroughs in astrophysics, radiation chemistry, environmental sciences, robotics, and nanoelectronics. Students can join 430 organizations and – while not required – choose from some 80 Masses on campus each week. More than half of Notre Dame students study abroad in 25 countries.

Innovation Park is a 55,000-square foot technology and entrepreneurship facility at the University of Notre Dame, which serves as a collaborative hub dedicated to expanding the technological and societal impact of the University’s innovations.

Sources: Marcus & Millichap Research Services; ND.edu

NEARBY MAJOR UNIVERSITY

WHILE ONLY 56% OF APPLICANTS ARE ADMITTED, 98% ATTEND FULL-TIME, AND 91% GRADUATE

$26.4M IN REGIONAL ECONOMIC ACTIVITY IS GENERATED DURING EACH FIGHTING IRISH FOOTBALL HOME-GAME WEEKEND | THE IRISH WENT 13-0 IN 2018

SMALL CLASS SIZES - STUDENT-TO-FACULTY RATIO IS ONLY TEN STUDENTS TO ONE FACULTY MEMBER10:1

Location South Bend, Indiana

Type Public

Gates 9

AirlinesAllegiant Air, American Airlines,

Delta, and United Express

Annual Passengers 305,491 (2017)

Non-Stop Flights 12 Destinations

CargoFedEx Express, FedEx Feeder,

UPS Airlines

Website www.flysbn.com

SOUTH BEND INTERNATIONAL AIRPORT

Serving Northern Indiana and Southern Michigan, South Bend International Airport or “SBN” is the third largest in passenger enplanements (305,491) after Indianapolis International (3,605,908) and Fort Wayne International (323,252). On average, more than 1,600 airline passengers travel through SBN every day — not to mention hundreds of South Shore rail and Greyhound bus passengers. As an employer, a center of commerce, and a key component of the Michiana’s thriving tourist industry, South Bend International Airport has an incredible $1.7 billion impact on the area’s economy. In addition to serving it’s commercial passengers, South Bend International Airport also offers services to small, private aircraft. Concourse amenities include concessions, a restaurant/cafe, gift shop, business center, and free WiFi.

ATLANTIC AVIATION & CORPORATE WINGS

Two Fixed-Base Operators (FBOs) sit adjacent to SBN. Atlantic Aviation offers fueling, servicing and storage of privately owned and rented aircraft, as well as charter services. The completely remodeled facility includes a pilots lounge and Internet cafe, offering large group charters that are utilized by Notre Dame University athletics teams. Next door, Corporate Wings opened its South Bend location in January 2016, offering aircraft fueling, servicing and storage, as well as customs clearance.

SOUTH BEND INTERNATIONAL AIRPORT LOGISTICS PROJECT

The South Bend International Airport Logistics Project is an economic development effort that draws on the regional location of the project site in relation to direct access to multiple highways and interstates, direct access to the South Bend International Airport and its U.S. Customs facilities and FTZ 125, and a strong market presence for warehousing and distribution. The project site is approximately 175 acres of land located southwest of the airfield, and is directly connected to the airport campus. Phase 2, which consists of more than 100 acres, is located west of the main project site and is directly adjacent to the US 20 Bypass.

Sources: Marcus & Millichap Research Services; flysbn.com, atlanticaviation.com, faa.gov

NEARBY AIRPORT

SOUTH BEND IS A TREMENDOUS LOGISTICAL ACCESS POINT TO CHICAGO AT OVER 118 MILLION PEOPLE WITHIN A 1-DAY DRIVE

OUT OF 813 U.S. AIRPORTS, SBN RANKS #155 WITH ANNUAL PASSENGER COUNTS AVERAGING HIGHER THAN 81% OF U.S. AIRPORTS AS OF 2017

SOUTH BEND, INDIANA • SOUTH BEND-MISHAWAKA MSA

Nestled along the banks of the illuminated St. Joseph River, South Bend is a booming city located between Northern Indiana and Southern Michigan, approximately 100 miles from Chicago, Illinois, 140 miles from Indianapolis, Indiana, and 200 miles from Detroit, Michigan. South Bend is the county seat of St. Joseph County.

The city of South Bend is the 301st largest city in the U.S., the fourth largest city in the state, and the most populous city in the metro with 102,000 people. The South Bend-Mishawaka Metropolitan Statistical Area (MSA) has a population of 322,000 and the South Bend–Elkhart–Mishawaka Combined Statistical Area (CSA) has a population of an estimated 725,000 as of 2017.

Throughout South Bend, major housing developments can be found underway, including luxury apartments in mixed-use complexes, condominiums along the river, and new hotels. Excellent interstate access and the South Bend Airport has made the region one of the national leaders in mobility, advanced manufacturing and logistics, as a hub for Tire Rack, UPS, FedEx and numerous other freight forwarders.

Well-known as the home of the University of Notre Dame, the college anchors the region as the largest employer and tourism attraction, with almost 6,000 employees, and along with St. Mary’s College and Holy Cross College; have a combined enrollment of over 15,000 undergraduate students as of 2018.

Combined with a number of smaller schools, education employment offers the area a stable economic driver of growth and innovation. A deep-rooted manufacturing history carries on today with AM General in sister-city Mishawaka, whose commercial assembly plant has been acquired by SF Motors, an electric vehicle & clean mobility brand based out of Silicon Valley, a subsidiary of Sokon Industry Group from China. The plant is scheduled to begin production of the electric SUVs in 2020. Former empty Studebaker automobile manufacturing plants are being rehabilitated into technology campuses in the downtown South Bend Renaissance District and new Ignition Park. The area also benefits from brand new Four Winds Casino, a 175,000 square-foot Class II gaming facility owned by the Pokagon Band of Potawatomi Tribe, with restaurants, bars, and live entertainment, which opened in 2018.

Sources: Marcus & Millichap Research Services, Mishawaka.in.gov, Sbparkgolf.org, Fourwindscasino.com

MAJOR AREA EMPLOYERS

LOCATION OVERVIEW

MAJOR EMPLOYERS

BUSINESS NAME NO. OF EMPLOYEES

University of Notre Dame 5,800

Beacon Health System 4,700

Saint Joseph Health System 2,600

Indiana University South Bend 1,277

Four Winds Casino South Bend 1,200

AM General/SF Motors 800

Honeywell 700

Press Ganey 690

Liberty Mutual Insurance 650

Source: www.hoosierdata.in.gov

Map data ©2019 Google 20 mi

7250 Vorden Pkwy

LAKE MICHIGAN

*Distances Are Approximate

CHICAGO, IL

8 MILESFROM THE UNIVERSITY

OF NOTRE DAME12,000+ STUDENTS & FACULTY

NCAA DIVISION 1 FOOTBALL

4 MILESFROM SOUTH BEND

INTERNATIONAL AIRPORTOVER 1,600 PASSENGERS A DAY$1.7 BILLION ECONOMIC IMPACT

TOLEDO, OH

118 MILLIONPOPULATION WITHIN A

1-DAY DRIVE AS OF 2017

725,000SOUTH BEND-ELKHART-

MISHAWAKA CSA COMBINED STATISTICAL AREA

TOTAL POPULATION

MILWAUKEE, WI

100 MILES

140 MILES

SUBJECT PROPERTYSOUTH BEND, IN

DETROIT, MI

200 MILES

INDIANAPOLIS, IN

SUBJECT PROPERTY

CONFIDENTIALITY & DISCLAIMER

The information contained in the following Marketing Brochure is proprietary and strictly

confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap

and should not be made available to any other person or entity without the written consent of

Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified

information to prospective purchasers, and to establish only a preliminary level of interest in

the subject property. The information contained herein is not a substitute for a thorough due

diligence investigation. Marcus & Millichap has not made any investigation, and makes no

warranty or representation, with respect to the income or expenses for the subject property,

the future projected financial performance of the property, the size and square footage of

the property and improvements, the presence or absence of contaminating substances,

PCB’s or asbestos, the compliance with State and Federal regulations, the physical

condition of the improvements thereon, or the financial condition or business prospects

of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject

property. The information contained in this Marketing Brochure has been obtained from

sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not

verify, any of the information contained herein, nor has Marcus & Millichap conducted any

investigation regarding these matters and makes no warranty or representation whatsoever

regarding the accuracy or completeness of the information provided. All potential buyers

must take appropriate measures to verify all of the information set forth herein. Marcus &

Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. ©

2019 Marcus & Millichap. All rights reserved.

NON-ENDORSEMENT NOTICEMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.

PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

ACTIVITY ID: ZAA0330212

BROKER OF RECORD - INDIANA

JOSH CARUANA

LIC. # RB14034355

NET-LEASED DISCLAIMER Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows:The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee, warranty or representation whatsoever about the accuracy or completeness of any information provided.

As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Marcus & Millichap expressly denies any obligation to conduct a due diligence examination of this Property for Buyer.

Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors.

Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to your satisfaction with the suitability of the property for your needs.

Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the property.

By accepting this Marketing Brochure you agree to release Marcus & Millichap Real Estate Investment Services and hold it harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this net leased property.

OFFICES NATIONWIDE • WWW.MARCUSMILLICHAP.COM

Subject Photo

OFFERING MEMORANDUM • MIDWEST NNN INDUSTRIAL

JESSE J. LIMONSenior Associate National Retail GroupOffice (212) 430.5291Jesse.Limon@marcusmillichap.comLicense NY 10401271892IN RB14048415

EXCLUSIVELY LISTED BY:

CONNECT ON SOCIAL MEDIA:

BROKER OF RECORD

JOSH CARUANALIC. # RB14034355