Burlington & Ross in Stockton, CA

PRIME TWO-TENANT NET LEASED INVESTMENT
BEST IN CLASS RECESSION PROOF TENANTS3702 E. HAMMER LANE, STOCKTON, CA 95212
PLAY VIDEO
HAMMER
Crossings “CORPORATE CREDIT TENANTS”

The information contained in the following offering memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and it should not be made available to any
other person or entity without the written consent of Marcus & Millichap. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The
recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to Marcus & Millichap.
This offering memorandum has been prepared to provide summary, unverified financial and physical 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, PCBs or asbestos, the compliance with local, 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 offering memorandum has been obtained from sources we believe to be
reliable;however,Marcus&Millichaphasnotverified,andwillnotverify,anyoftheinformationcontainedherein,norhasMarcus&Millichapconductedanyinvestigationregardingthesemattersandmakesnowarrantyorrepresentationwhatsoeverregardingtheaccuracyor
completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Prospective buyers shall be responsible for their costs and expenses of investigating the
subject property.
ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT THE MARCUS & MILLICHAP AGENT FOR MORE DETAILS.
Confidentiality Agreement

PRESENTED BY
Kevin Boeve
Senior Vice President Investments
ONTARIO OFFICE
Tel: (909) 456-3450
kevin.boeve@marcusmillichap.com
CA License: 01247016
Joshua Rey
Associate
ONTARIO OFFICE
Tel: (909) 456-7015
joshua.rey@marcusmillichap.com
CA License: 1776485
HAMMER
Crossings

financial overview
pricing
Property Name Hammer Crossings Shopping Center
Property Address 3702 East Hammer Lane
Stockton, CA 95212
Price $15,973,000
Down Payment $5,989,000
Price/SF $158
Cap Rate 6.25%
Year 1 Net Operating Income $998,335
10 Year Leveraged IRR 8.5%
Gross Leasable Area 101,201 SF
Lot Size 12.43 Acres (Entire Center)
Year Built/ Renovated 1991/ 2016
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. © 2011 Marcus & Millichap ACT ID Y0080439
2
financing
New Loan Amount $9,984,000
Loan to Value 60.0%
Interest Rate 4.50% Fixed
Loan Term 10 Years
Amortization Term 30 Years
Loan Fee 0.5%
Note: Please contact listing agents to discuss financing terms and options.
expenses
Year 1
Potential Gross Revenue
Base Rental Revenue $1,140,732
Expense Reimbursement Revenue $198,384
Effective Gross Revenue $1,339,116
Operating Expenses
Electricity $24,061
Water - Irrigation $2,988
Sewer $4,908
Janitorial Day Porter & Supplies $8,426
Sweeping $7,978
Electrical Repairs & Supplies $1,604
Landscape Maintenance & Repairs $10,062
Landscape Repairs $2,666
Landscape - Tree Trimming $3,086
Lighting SVC $2,617
R&M - Miscellaneous $8,582
R&M - Plumbing $561
Pressure Wash $3,916
Property Management Fee $26,810
Building - Sewer $550
Building - Telephone & Fire $1,203
Building - Fire System Monitoring $722
Building - R&M Fire System $2,037
Trash Service $1,540
Building - Water $1,010
Insurance - Liability $4,058
Insurance - Building $17,856
Property Taxes $204,019
Total Operating Expenses $342,160
Net Operating Income $996,956

rent roll
3
Suite Tenant GLA % of GLA Lease Commence Lease Expire Annual Rent Rent/SF Options Increases
3702-A Burlington 75,197 SF 74.3% 10/01/07 01/31/26 $939,200 $12.49 Three, Five-Year Option 2/23: $1.06
Option 1: $1.07
Option 2: $1.10
Option 3: $1.12
3702-B Ross Dress for Less 26,004 SF 25.7% 02/01/17 01/31/27 $201,531 $7.80 Four, Five-Year Options 2/22: $0.73
Option 1: $0.81
Option 2: $0.90
Option 3: $1.06
Option 4: $0.81
Total Vacant 0 SF 0.00%
Total Occupied 101,201 SF 100.0%
Total 101,201 SF 100.00%

For the Years Ending
In Place
4/1/17
Year 1
$ / SF
Year 1
2018
Year 2
2019
Year 3
2020
Year 4
2021
Year 5
2022
Year 6
2023
Year 7
2024
Year 8
2025
Year 9
2026
Year 10
2027
Potential Gross Revenue
Base Rental Revenue $1,140,732 $11.27 $1,140,735 $1,140,735 $1,140,735 $1,140,735 $1,140,735 $1,140,735 $1,140,735 $1,140,735 $1,140,735 $1,140,735
Expense Reimbursement Revenue $198,384 $1.97 $199.760 $206,357 $215,366 $222,318 $229,422 $236,683 $244,101 $251,682 $259,423 $267,337
Effective Gross Revenue $1,339,116 $13.25 $1,340,495 $1,347,092 $1,256,101 $1,363,053 $1,374,491 $1,406,682 $1,430,398 $1,437,979 $1,448,853 $1,476,768
Operating Expenses
Electricity $24,061 $0.24 $24,061 $24,542 $25,033 $25,033 $26,044 $26,565 $27,096 $27,638 $28,191 $28,755
Water - Irrigation $2,988 $0.03 $2,988 $3,047 $3,108 $3,170 $3,234 $3,298 $3,364 $3,432 $3,500 $3,570
Sewer $4,908 $0.05 $4,908 $5,007 $5,107 $5,209 $5,313 $5,419 $5,528 $6,638 $5,751 $5,866
Janitorial Day Porter & Supplies $8,426 $0.08 $8,426 $8,595 $8,766 $8,942 $9,121 $9,303 $9,489 $9,679 $9,872 $10,070
Sweeping $7,978 $0.08 $7,978 $8,138 $8,301 $8,467 $8,636 $8,809 $8,985 $9,165 $9,348 $9,535
Electrical Repairs & Supplies $1,604 $0.02 $1,604 $1,636 $1,669 $1,702 $1,736 $1,771 $1,806 $1,843 $1,879 $1,917
Landscape Maintenance & Repairs $10,062 $0.10 $10,062 $10,263 $10,468 $10,677 $10,891 $11,109 $11,331 $11,558 $11,789 $12,025
Landscape Repairs $2,666 $0.03 $2,666 $2,720 $2,774 $2,829 $2,886 $2,944 $3,003 $3,063 $3,124 $3,186
Landscape - Tree Trimming $3,086 $0.03 $3,086 $3,148 $3,211 $3,275 $3,341 $3,407 $3,476 $3,545 $3,616 $3,688
Lighting SVC $2,617 $0.03 $2,617 $2,669 $2,723 $2,777 $2,833 $2,889 $2,947 $3,006 $3,066 $3,128
R&M - Miscellaneous $8,582 $0.08 $8,582 $8,753 $8,928 $9,01 $9,289 $9,475 $9,664 $9,858 $10,055 $10,256
R&M - Plumbing $561 $0.01 $561 $573 $584 $596 $608 $620 $632 $645 $658 $671
Pressure Wash $3,916 $0.04 $4,916 $3,994 $4,074 $4,155 $4,238 $4,323 $4,410 $4,498 $4,588 $4,680
Property Management Fee $26,810 $0.26 $26,810 $26,942 $27,122 $27,261 $27,490 $28,134 $28,608 $28,760 $28,977 $29,535
Building - Sewer $550 $0.01 $550 $561 $573 $584 $596 $608 $620 $632 $645 $658
Building - Telephone & Fire $1,203 $0.01 $550 $561 $573 $584 $596 $608 $620 $632 $645 $658
Building - Fire System Monitoring $722 $0.01 $722 $736 $751 $766 $781 $797 $813 $829 $846 $863
Building - R&M Fire System $2,037 $0.02 $2,037 $2,078 $2,119 $2,162 $2,205 $2,249 $2,294 $2,340 $2,387 $2,435
Trash Service $1,540 $0.02 $1,540 $1,571 $1,602 $1,634 $1,667 $1,700 $1,734 $1,769 $1,804 $1,840
Building - Water $1,010 $0.01 $1,010 $1,031 $1,051 $1,072 $1,094 $1,116 $1,138 $1,161 $1,184 $1,208
Insurance - Liability $4,058 $0.04 $4,058 $4,139 $4,222 $4,306 $4,393 $4,480 $4,570 $4,661 $4,755 $4,850
Insurance - Building $17,856 $0.18 $17,856 $18,213 $18,577 $18,949 $19,328 $19,714 $20,109 $20,511 $20,921 $21,340
Property Taxes $204,019 $2.02 $204,919 $209,017 $213,197 $217,461 $221,812 $226,248 $230,773 $235,387 $240,095 $244,898
Total Operating Expenses $342,160 $3.38 $342,160 $348,600 $355,212 $361,911 $368,838 $376,306 $383,745 $391,000 $398,461 $406,412
Net Operating Income $996,956 $9.86 $998,335 $998,492 $1,000,889 $1,001,142 $1,005,653 $1,030,376 $1,046,653 $1,046,979 $1,050,392 $1,070,356
Income Yield 6.16% 6.00% 6.00% 6.01% 6.02% 6.04% 6.19% 6.29% 6.29% 6.31% 6.43%
Cash Flow After Debt Service $406,276 $381,165 $381,018 $383,103 $383,033 $387,213 $411,594 $427,519 $427,483 $430,522 $450,102
Levraged Cash on Cash Yield 6.06% 5.68% 5.68% 5.71% 5.71% 5.77% 6.14% 6.38% 6.37% 6.42% 6.71%
schedule of prospective cash flow
performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2011 Marcus & Millichap ACT ID Y0080439 4
growth rates
CPI 3% Annually
Operating Expenses 2% Annually
Real Estate Tax 2% Annually
Market Rent Growth 3% Annually

6
Offering more than 800 feet of street front retail visibility and easy access from
Holman Road and Hammer Lane, the Hammer Crossings Shopping Center offers
investors an opportunity to purchase a retail investment property in the retail ep-
icenter of Stockton, California. The offering of Hammer Crossings is 100 percent
leased to Burlington Coat Factory and Ross Dress for Less, two nationally recognized
credit tenants with long-term year leases. Ross is a new 10-year lease. Burlington
Coat Factory has been a tenant for over 10 years, and just renewed for 10 more
years. Both tenants are publicly traded and combined have over 1,900 stores and a
market cap of approximately $32 billion.
Stockton is home to the University of Pacific College. A world renown college with
nine separate specialty schools. Founded in 1851, the small specialty college has
approximately 6,000 attendees and faculty.
·· Net Leased “Bulls-Eye” Investment | Secure Passive Cash Flow
·· Corporate Credit Tenants
·· Offered Below Replacement Cost | Low Replacement Rents
·· Two “Best in Class Industry Dominating Tenants”
·· Low Rent Per Square Foot Affords Modest Tenant Operational Cost Assisting in
Increased Location Profitability
·· Tenant “Sweet-Spot” Location For Customer Base, Traffic, and Future Growth
·· Adjacent to Regional Auto Mall | 150,000 Annual Visitors
·· Perfect Net Leased Investment l Great Addition to a Portfolio, Desirable 1031
Opportunity l Exceptional “First Time” Acquisition Asset
investment highlights
executive overview1 MILE 3 MILES 5 MILES
2016 Population 4,410 41,700 71,291
2016 Households 2,169 20,445 35,879
2016 Average Household Size 2.16 2.03 2.01
2016 Daytime Population 5,967 28,186 43,955
2016 Owner Occupied Housing Units 51.20% 64.22% 70.16%
2016 Renter Occupied Housing Units 48.80% 35.78% 29.87%
2016 Average Household Income $72,751 $88,088 $96,548
Stockton
Immediate
Trade Area Fresno Sacramento California National
Annual Population Growth Rate 1.45% 0.85% 0.89% 0.87% 0.84%
Household Growth Rate 1.19% 0.71% 0.77% 0.79% 0.79%
Housing Unit Growth Rate 1.0% 0.6% 0.5% 0.5% 0.7%
Average Household Income $71,673 $63,852 $69,352 $90,812 $77,008

7
ross overview
Financial Position
Ross’ 2016 second quarter same store stores rose 4 percent on top
off a 4 percent increase in 2015. Ross’ financial structure remains
healthy; debt was essentially flat year-over-year and is more covered
by cash balances of $928.9 million, up 47 percent year-over-year.
Off-Price Concept
Off-price stores such as TJX Companies and Ross have been able
to perform better than department stores, even during difficult eco-
nomic times, due to the bargain deals that they offer consumers.
So how do off-price retailers like Ross make profits? Ross acquires
the majority of its merchandise through opportunistic purchas-
es arising from manufacturer overruns and canceled orders both
during and at the end of a fashion season. The company refers to
these purchases as “close-out” and “packaway” purchases. General-
ly, close-out purchases can be shipped to stores in-season, allowing
Ross to obtain in-season merchandise at lower prices. The purchase
of packaway merchandise helps Ross to increase the proportion of
popular national brands in its merchandise at competitive savings.
Ross, like its other off-price counterparts, keeps its stores simple
and has no window displays, mannequins, fancy fixtures, or decora-
tions. This ensures that the company can pass more savings on to
its customers.
About Ross Dress For Less
A leading off-price apparel retailer
(behind TJX Cos. and Kohl’s), Ross op-
erates more than 1,340 Ross Dress for
Less and 170-plus dd’s DISCOUNTS
stores that sell closeout merchandise,
including men’s, women’s, and children’s
clothing, at prices well below those of
department and specialty stores. While
apparel accounts for more than half
of sales, it also sells small furnishings,
toys and games, luggage, and jewel-
ry. Featuring the Ross “Dress for Less”
trademark, the chain targets 18- to
54-year-old white-collar shoppers from
primarily middle-income households.
Ross and dd’s stores are located in strip
malls in nearly 35 states, mostly in the
western US, and Guam.
Key Data
Type Public
Traded As NASDAQ: ROST
Industry Retail
Founded 1950
Founder Bill Isackson
Headquarters Dublin, California
Key People Barbara Rentler, CEO
Revenue $12.87 Billion (2016)
Number of Locations 1,342 (2016)
Number of Employees 77,800 (January 2016)
Subsidaries dd’s Discounts
Website www.rossstores.com

8
burlington coat factory overview
Financial Position
Burlington has demostrated a solid financial position on
the stock exchange with impressive average earnings of
25.6 percent for the trailing four quarters and a long-
term earnings growth rate of 19.9 percent. The stock
more than doubled in 2016. In June 2016, it was an-
nounced that Burlington Stores had joined the Fortune
500 for the first time.
Burlington Stores’ 2016 third quarter same store sales
rose 3.7 percent, its 15th consecutive quarter of positive
comps. Store traffic has increased in eight out of the
last nine quarters bucking industry trends. Baby Depot
was one of the top performing businesses during the
quarter.
The company completed its fiscal store opening pro-
gram with 25 new locations. Its store pipeline is on
track to pen approximately 30 new stores in fiscal 2017.
Management also remains confident it can reach 1,000
stores over the long-term.
About Burlington Coat Factory
Founded in Burlington, New Jersey, Burlington is
a leading off-price apparel and home product re-
tailer. The retail chain operates 567 stores in 45
states and Puerto Rico, offering a large assort-
ment of current, high-quality, designer and name-
brand merchandise at up to 65 percent off other
retailers’ prices. Burlington Coat Factory operates
under the mission of being “a convenient one-
stop shopping experience with the labels you love,
at prices you’ll love even more.”
The company also operates MJM Designers
Shoes, Cohoes Fashions, and the Super Baby De-
pot. In 2006, Bain Capital acquired the company
and took it private.
Key Data
Type Public
Traded As NYSE: BURL
Industry Retail
Founded 1972
Founder Monroe Milstein
Headquarters Florence, New Jersey
Key People Tom Kingsbury, President
Revenue $4.7 Billion (2013)
Number of Locations 591
Number of Employees 28,000
Website burlingtoncoatfactory.com

10
parcel overview
location
3702 East Hammer Lane
Stockton, California 95212
site
The subject property has frontage along East Telstar Place, Holan Road, and East
Hammer Lane.
square footage
The building square footage is 101,201-square feet and the lot size of the entire cen-
ter is 12.43 acres.
year built
The property was built in 1991. It was completely renovated in 2016.
traffic counts
Holman Road boasts traffic counts of over 16,700 cars per day. East Hammer Lane
has traffic counts of more than 43,000 cars per day.

E Telstar Place
Auto Center Circle
E Hammer Lane - 43,000 Cars Per Day
HolmanRoad-16,700CarsPerDay
11

12
HAMMER
Crossings
HolmanRoad-16,700CPD
E Hammer Lane - 43,000 Cars Per Day
StateRoute99-100,100CarsPerDay
Cesar Chavez
High School

HAMMER
Crossings
The Stockton Auto Mall
Cesar Chavez
High School
George W. Bush
Elementary School
Saint Mary’s
High School
Calaveras Square Shopping Center
Maxine Hong Kingston
Elementary School
Humphreys
University
1,159 Students
13
Ronald E. McNair
High School
Westwood
Elementary School
Rio Las Palmas
E Hammer Lane - 43,000 CPD
Holman Road - 16,700 Cars Per Day
- 8 Separate Dealerships
- Over 150,000 Annual Visitors

Kevin Boeve
Senior Vice President Investments
ONTARIO OFFICE
Tel: (909) 456-3450
kevin.boeve@marcusmillichap.com
CA License: 01247016
Joshua Rey
Associate
ONTARIO OFFICE
Tel: (909) 456-7015
joshua.rey@marcusmillichap.com
CA License: 1776485
PRESENTED BY
HAMMER
Crossings

Burlington & Ross in Stockton, CA

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