UNITED STATES POSTAL SERVICE 28425 GIBBS RANCH ROAD, TOLLHOUSE, CA 93667

UNITED STATES POSTAL SERVICE 24451 DOUGLAS AVENUE, LEMON COVE, CA 93244

UNITED STATES POSTAL SERVICETWO PROPERTY OFFERING MEMORANDUM

JAMIE HARRISON(415) 539-1106

harrison@tcpre.com

UNITED STATES POSTAL SERVICE // 2

OFFERING SUMMARY

INVESTMENT SUMMARY

SALE PRICE $1,100,000

CAP RATE 7.5%

LEASABLE AREATollhouse, CA: +/- 2,481 Square FeetLemon Cove, CA: +/- 1,474 Square FeetGross Leasable Area: +/- 3,955 Square Feet

TOTAL SITE AREATollhouse, CA: +/- 38,320 Square FeetLemon Cove, CA: +/- 25,740 Square Feet

BUILDING NOTESTollhouse, CA: Built in 1991Lemon Cove, CA: Built in 1992

MAINTENANCE RIDER USPS Maintenance Rider

TAX RIDER USPS Tax Reimbursement Rider

LEASE SUMMARY

LOCATION LEASE TYPE LEASABLE AREA ANNUAL RENT INCREASES LEASE TERM OPTIONS

Tollhouse, CAUSPS Maintenance Rider*Roof Replaced 2014USPS Tax Reimbursement

+/- 2,481 Square Feet $49,323 None5 Years

July 1, 2016-June 30, 2021None

Lemon Cove, CAUSPS Maintenance Rider*Roof Replaced 2017USPS Tax Reimbursement

+/- 1,474 Square Feet $33,902

2018-2019: $34,9192019-2020: $35,9672020-2021: $37,0462021-2022: $38,157

5 YearsSept. 1, 2017 - Aug. 31, 2022

None

GROSS ANNUAL INCOME ...................................................................$83,903

INSURANCE ............................................................................................$1,311

NET OPERATING INCOME ...................................................................$82,592

UNITED STATES POSTAL SERVICE 28425 GIBBS RANCH ROAD, TOLLHOUSE, CA 93667

UNITED STATES POSTAL SERVICE 24451 DOUGLAS AVENUE, LEMON COVE, CA 93244

UNITED STATES POSTAL SERVICE // 3

TENANT PROFILE

The United States Postal Service employs some 617,000 workers, making it the third-largest civilian employer in the United States behind the federal government and Wal-Mart. In a 2006 U.S. Supreme Court decision, the Court noted: “Each day, according to the Government’s submissions here, the United States Postal Service delivers some 660 million pieces of mail to as many as 142 million delivery points.” As of 2014, the USPS operates 31,000 post offices and locations in the U.S., and delivers 155 billion pieces of mail annually.

In October 2016, the Postal Service released Future Ready, a five-year plan required by law starting in 1993. The plan outlines the Postal Service’s goals for the next five years.

1. Deliver a world-class customer experience.2. Equip, empower, and engage employees.3. Innovate faster to deliver value.4. Invest in our future platforms.

UNITED STATES POSTAL SERVICE // 4

LOCATION OVERVIEW - TOLLHOUSE, CA

GIBBS RANCH ROAD

TOLLHOUSE ROAD

TOLL

HOU

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OAD

28425 GIBBS RANCH ROAD

UNITED STATES POSTAL SERVICE // 5

REGIONAL OVERVIEW - TOLLHOUSE, CA

SHAVER LAKE12.8 miles fromsubject property

PRATHER8.6 miles from

subject property

AUBERRY8.5 miles from

subject property

28425 GIBBS RANCH ROAD

UNITED STATES POSTAL SERVICE // 6

DEMOGRAPHICS - TOLLHOUSE, CA

3 Mile Radius 5 Mile Radius 10 Mile Radius

2017 Estimated Population 1,597 3,700 10,170

2022 Projected Population 1,709 3,968 10,829

2010 Census Population 1,535 3,481 9,745

2000 Census Population 1,516 3,326 9,163

Projected Annual Growth 2017 to 2022 1.4% 1.4% 1.3%

Historical Annual Growth 2000 to 2017 0.3% 0.7% 0.6%

2017 Median Age 45.2 46.3 46.5

2017 Estimated Households 593 1,414 3,902

2022 Projected Households 642 1,533 4,203

2010 Census Households 557 1,296 3,642

2000 Census Households 526 1,186 3,307

Projected Annual Growth 2017 to 2022 1.6% 1.7% 1.5%

Historical Annual Growth 2000 to 2017 0.7% 1.1% 1.1%

2017 Estimated White 80.3% 80.7% 82.5%

2017 Estimated Black or African American 1.2% 1.2% 1.1%

2017 Estimated Asian or Pacific Islander 1.9% 2.3% 2.5%

2017 Estimated American Indian or Native Alaskan 5.9% 5.4% 4.0%

2017 Estimated Other Races 10.7% 10.4% 9.9%

2017 Estimated Hispanic 16.9% 16.5% 17.2%

2017 Estimated Average Household Income $99,054 $105,704 $94,543

2017 Estimated Median Household Income $78,986 $84,270 $74,540

2017 Estimated Per Capita Income $36,789 $40,390 $36,333

2017 Estimated Elementary (Grade Level 0 to 8) 2.3% 1.7% 2.4%

2017 Estimated Some High School (Grade Level 9 to 11) 7.3% 6.8% 7.7%

2017 Estimated High School Graduate 23.2% 24.1% 22.5%

2017 Estimated Some College 32.8% 31.0% 28.6%

2017 Estimated Associates Degree Only 11.4% 10.1% 11.0%

2017 Estimated Bachelors Degree Only 13.2% 14.9% 15.8%

2017 Estimated Graduate Degree 9.8% 11.6% 11.9%

2017 Estimated Total Businesses 35 67 289

2017 Estimated Total Employees 185 370 1,797

2017 Estimated Employee Population per Business 5.3 5.5 6.2

2017 Estimated Residential Population per Business 46.0 55.5 35.1

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UNITED STATES POSTAL SERVICE // 7

LOCATION OVERVIEW - LEMON COVE, CA

SIER

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24451 DOUGLAS AVENUE

UNITED STATES POSTAL SERVICE // 8

REGIONAL OVERVIEW - LEMON COVE, CA

THREE RIVERS11.5 miles fromsubject property

EXETER10.7 miles fromsubject property

ELDERWOOD11.1 miles fromsubject property

24451 DOUGLAS AVENUE

UNITED STATES POSTAL SERVICE // 9

DEMOGRAPHICS - LEMON COVE, CA

3 Mile Radius 5 Mile Radius 10 Mile Radius

2017 Estimated Population 1,152 8,829 27,742

2022 Projected Population 1,206 9,137 28,614

2010 Census Population 1,129 8,418 26,863

2000 Census Population 1,094 8,177 24,527

Projected Annual Growth 2017 to 2022 0.9% 0.7% 0.6%

Historical Annual Growth 2000 to 2017 0.3% 0.5% 0.8%

2017 Median Age 41 32.8 34.2

2017 Estimated Households 429 2,730 9,255

2022 Projected Households 460 2,904 9,808

2010 Census Households 408 2,529 8,737

2000 Census Households 389 2,406 7,918

Projected Annual Growth 2017 to 2022 1.5% 1.3% 1.2%

Historical Annual Growth 2000 to 2017 0.6% 0.8% 1.0%

2017 Estimated White 77.7% 58.1% 64.6%

2017 Estimated Black or African American 0.9% 0.9% 1.0%

2017 Estimated Asian or Pacific Islander 1.4% 1.0% 1.8%

2017 Estimated American Indian or Native Alaskan 1.5% 1.4% 1.6%

2017 Estimated Other Races 18.5% 38.6% 31.0%

2017 Estimated Hispanic 38.6% 72.7% 56.5%

2017 Estimated Average Household Income $79,317 $63,817 $72,406

2017 Estimated Median Household Income $60,029 $50,696 $51,292

2017 Estimated Per Capita Income $29,601 $19,741 $24,279

2017 Estimated Elementary (Grade Level 0 to 8) 10.2% 20.9% 15.0%

2017 Estimated Some High School (Grade Level 9 to 11) 9.5% 11.5% 10.2%

2017 Estimated High School Graduate 22.7% 21.1% 23.9%

2017 Estimated Some College 27.7% 24.8% 24.9%

2017 Estimated Associates Degree Only 10.7% 10.1% 9.4%

2017 Estimated Bachelors Degree Only 10.6% 6.6% 10.9%

2017 Estimated Graduate Degree 8.5% 5.0% 5.6%

2017 Estimated Total Businesses 25 158 832

2017 Estimated Total Employees 204 837 6,849

2017 Estimated Employee Population per Business 8.2 5.3 8.2

2017 Estimated Residential Population per Business 46.2 55.8 33.4

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