The subject property is a freestanding Walgreens Drugstore located at a high traffic, signalized intersection of Washington Ave. (Old Highway 59) and Houston St. (Highway 105) in Cleveland, Texas. This location is the epicenter of retail activity in town. Walgreens acquired the largest independently owned pharmacy in Cleveland providing huge existing business. Nearby traffic generators include Cleveland Regional Medical Center, CVS Pharmacy, Brookshire Bros. Grocery, Walmart Supercenter, H.E.B. Supermarket, McDonald’s, Whataburger, Taco Bell, TireMax, Payless Shoe, Radio Shack, NAPA, & Sonic Drive-In. Cleveland is a bedroom community 30 minutes north of the Houston Intercontinental Airport on Interstate 59. The area ia a growing community with big waves of new development underway including Liberty Motor Sports Park (about $100M investment), Future World’s Largest Dinosaur Park, and Parkside Plaza (part of the 30 acres Cleveland Business Park Development). The area benefits from the proxomity to Interstate 59 & Highway 105. The convergence of these highways makes Cleveland a highly sought after community for residential and retail growth as well as being ideal for distribution facilities. Other traffic generators to the community include the hundred thousand acres of Sam Houston National Forest with its many recreation areas.

Tenant: Walgreens Company
Walgreens is our nation’s leading drug retailer operating 6,849 stores in 49 states, with revenues exceeding $54 Billion. Walgreens sets the pace for all drugstores in the United States maintaining an A+ Credit Rating with Standard & Poors and Aa3 with Moody’s. Walgreens leads the industry in new store development, capital investment and industry innovations. Walgreens boasts 33 consecutive years of record sales and earnings. The Company increased its market share in 58 of its top 60 product categories compared to food, drug and mass merchandise competitors. Prescription sales accounted for 64% of total sales in 2007. Comparable store sales increased 8.1% and Net Earnings per share increased by 18% for fiscal 2007. Walgreens filled 583 million perscriptions in 2007.