NNN MISSION SQUARE, LLC

Available for §1031 exchange w llc investment

Offering Purchase Price: $36,410,000

Offering Price Per SF: $285.49

  • Purchase Date: Fourth Quarter, 2005
  • Offering LTV: 65.92%
  • Offering Price Cap Rate: 6.14%
  • 1st Year Cash Flow: 6.10%

Mission Square is a 127,533 square foot Class A offi ce building located in the heart of Downtown Riverside, a submarket of the Inland Empire. The Company intends to acquire the Property in the fourth quarter of 2005.

Available for §1031 exchange w llc investment

Mission Square was originally completed in 1984 with substantial renovations and upgrades in 2000. The Property offers tenants a three level parking structure with 498 available spaces. The Property is approximately 99% leased to a number of tenants including: Best, Best & Krieger, Varner, Saleson & Brandt and Wells Fargo Bank.

Property Summary

Mission Square is a 127,533 square foot Class A offi ce building located in the heart of Downtown Riverside, a submarket of the Inland Empire. The Company intends to acquire the Property in the fourth quarter of 2005. Mission Square was originally completed in 1984 with substantial renovations and upgrades in 2000. The Property offers tenants a three level parking structure with 498 available spaces. The Property is approximately 99% leased to a number of tenants including: Best, Best & Krieger, Varner, Saleson & Brandt and Wells Fargo Bank.

PROPERTY INFORMATION

  • Address: 3750 University Avenue Riverside, California 92501 
  • Building Type: Offi ce Building
  • Built: 1984
  • Total SF: 127,533
  • % Leased: 99%

TIC Offering

  • Offering Size: $12,410,000
  • Price Per 1% Ownership: $124,100 cash and $240,000 assumed debt
  • Minimum Investment per SPE: 3.00% = $372,300 equity, $720,000 assumed debt for a total purchase price of $1,092,300.
  • Suitability: Accredited Investors Only

LLC Offering

  • Offering Size: $124,100
  • Price Per Unit: $5,000
  • Minimum Investment: $25,000
  • Suitability: Accredited investors only

Business Plan

  • Unless extended by the tenants, leases representing approximately 44% of the property will expire in the next 5 years. Preserve the capital investment.
  • Realize income through the acquisition, operation and sale of the
    property.
  • Make monthly distributions, which may be partially tax-deferred as a result of depreciation and amortization expenses.
  • Within approximately five years, profitably sell the property based on the value added through effective management and operation of the property.
  • There is no guarantee that the business plan will be successfully executed, that the property’s value will be enhanced, or that the property will be sold within the planned time period.
  • Unless extended by the tenants, leases representing approximately 44% of the property will expire in the next 5 years.

MAJOR TENANTS (12 TOTAL TENANTS)

BEST, BEST & KRIEGER
Sq. Ft.: 71,893 Lease Exp.: 12/2016

Best, Best & Krieger is a large law fi rm, probably best known for its water law and public practices including the representation of cities, schools and special districts. For more than a century, the fi rm has provided legal services to public agencies, governmental entities, businesses and individuals. Established in 1891, Best, Best & Krieger maintains seven offi ces in California, including Sacramento, Walnut Creek, Ontario, Irvine, San Diego, Indian Wells and at Mission Square.

This tenant leases approximately 57% of the Property; the economic viability of the Property would be jeopardized if the tenant terminates or breaches its lease.

VARNER, SALESON & BRANDT

Sq. Ft.: 12,596 Lease Exp.: 12/2009

With roots in the Inland Empire legal community since 1963, Varner, Saleson & Brandt is a law fi rm that counsels a clientele ranging from prominent corporations to family businesses

WELLS FARGO BANK

Sq. Ft.: 12,238 Lease Exp.: 07/2007

Wells Fargo Bank is a diversififi ed fifi nancial services company providing banking, insurance, investments, mortgage and consumer fifi nance from 6,130 stores, the nation’s top internet banking site and other distribution channels across North America and internationally. At the end of March 2005, Wells Fargo had $435 billion in assets and over 150,500 employees. Forbes Magazine ranked Wells Fargo among the top 25 U.S. companies in all industries based on a composite ranking of sales revenue, profi ts, assets and market value.

Location Information

Riverside County is California’s third largest county both in size and population. Located between San Bernardino and San Diego counties, Riverside is consistently ranked as one of the fastest growing regions in America. The county has become one of the most appealing places to live in Southern California, combining necessities such as affordable housing with proximity to the major metropolitan areas of Los Angeles and San Diego, exponentially increasing employment options for residents.

Office Market

  • The vacancy rate of the Inland Empire offi ce market decreased to 9.2% at the end of the third quarter 2005, down from 10.28% from the previous quarter.
  • Net absorption for the Inland Empire offi ce market was positive 863,814 square feet in the third quarter 2005, an increase from 778,558 and 518,093 square feet in the previous two quarters.
Economic Trends
  • The Inland Empire has a highly technical workforce with 24 institutions of higher education in the region, fi ve of them being major research universities.
  • Offi ce employement grew 21.10% over the past 5 years, exceeding the level of growth in Los Angeles, Atlanta, and New York City.(1) In the third quarter alone, the offi ce sector added 1,700 jobs with highest growth coming from the 700 jobs created in the business services sector.
  • With 175,700 offi ce jobs, total offi ce employment accounts for approximately 15.1% of the entire Inland Empire non-farm employment.

ABOUT Triple Net Properties, LLC

Triple Net Properties, LLC has time-tested experience in real estate syndications, acquisitions, development, construction, leasing and property management. Triple Net currently manages a growing portfolio of over 26.0 million square feet of property in 23 states valued at over $3.2 billion. Although past performance is no guarantee of future results, Triple Net Properties, LLC has an unparalleled track record and has acquired 179 properties to date. Triple Net and affi liates have completed 51 sales transactions valued at over $750 million since 2000

Securities Offered Through NNN Capital Corp., Member NASD/SIPC 4 Hutton Centre Drive w Suite 700 w South Coast Metro w California w 92707 w (714) 667-8252 November 9, 2005