East TN DHL Logistics Center

EAST TENNESSEE

Primary contacts

Jim Freeman

Managing Director jim.freeman@jll.com (404) 995-2399

Maggie Dominguez

Managing Director maggie.dominguez@jll.com (678) 378-4593

Britton Burdette

Senior Manging Director britton.burdette@jll.com (404) 995-2302

Paige Marlow Vice President paige.marlow@jll.com (404) 942-2211

Dennis Mitchell

Senior Managing Director dennis.mitchell@jll.com (404) 995-2447

Debt & structured finance

Bobby Norwood

Managing Director bobby.norwood@jll.com (404) 460-1652

Leasing

Jeff Feste

Senior Managing Director jeff.feste@jll.com (815) 985-3538

Deal support

Ben Fuller Analyst ben.fuller@jll.com (218) 870-7547

JLL Industrial Capital Markets Southeast

Georgia Carolinas

Dennis Mitchell

Britton Burdette

Jim Freeman

Maggie Dominguez

Bobby Norwood

Pete Pittroff

Dave Andrews

Michael Scarnato

Luis Castillo

Cody Brais

John Huguenard

Wells Waller Florida

THE OFFERING

On behalf of Ownership, Jones Lang LaSalle America, Inc. (“JLL”) has been retained as the exclusive sales representative for the East Tennessee DHL Logistics Center, also known as the “Property” – a premier institutional-grade distribution facility spanning 629,682 square feet. Strategically positioned in Vonore, Tennessee, less than one mile from U.S. Route 72, this exceptional property offers unparalleled access to Tennessee's primary logistics corridors, placing over 75% of the US population within a single day's drive. Located within the highly regarded Tellico West Industrial Park, a master-planned industrial campus distinguished by its consistently high occupancy rate, the Property benefits from an established industrial environment, and is home to prestigious global tenants including Yamaha, MasterCraft, and Sea Ray.

100% leased to DHL Supply Chain, the distribution arm of DHL Group (Moody’s | A2), this exceptional Property features Class A specifications including 35-foot clear heights, a 185-foot truck court, 36 dock-high doors, and 20,000 square feet of cold storage capability. Positioned on nearly 100 acres, the site provides significant expansion potential with the opportunity to add 400k – 500k SF of additional warehouse space on pre-graded sites already equipped with fire loops and driveways. With 4.3 years of term remaining, DHL has successfully operated from this facility since 2011, utilizing the space as a critical hub for its extensive regional distribution network. As one of the world's largest and most integrated logistics providers, DHL generated $94 billion in revenue in 2024 while handling over 1.7 billion parcels across operations in more than 220 countries, underscoring the quality and stability of this tenancy.

Strategically positioned in East Tennessee, the Vonore and Greater Knoxville region offers exceptional logistics connectivity through its access to major transportation arteries including I-75, I-40, and U.S. Routes 72 and 322, providing superior market reach to Atlanta, Nashville, Charlotte, Louisville, and throughout the Southeast corridor. The region's diverse industrial base spans advanced manufacturing, aerospace, energy, and distribution sectors, anchored by major employers including Tennessee Valley Authority, Denso Manufacturing, and Clayton Homes, alongside a growing cluster of logistics and fulfillment operations. The region benefits from competitive operating costs, business-friendly policies, and proximity to major metropolitan markets. This combination of strategic transportation access, diverse industrial segments, and favorable business climate positions the Vonore-Knoxville corridor as a premier destination for distribution and manufacturing investment.

Address 98 Excellence Way, Vonore, TN 37885

SF 629,682

Year Built 1999

Occupancy 100%

Tenancy DHL Supply Chain

Lease Term 4.3 Years

Annual Escalations 3.25%

Reimbursements NNN

Year 1 NOI $3,620,072 (as of 4/1/2026)

INVESTMENT HIGHLIGHTS - H IGH-CALIBER TENANT

INVESTMENT GRADE TENANT

• DHL Supply Chain offers comprehensive warehousing, distribution, and logistics services across automotive, technology, healthcare, and retail sectors

» Generated $20 billion in 2024 revenue, making it the largest dedicated contract logistics division worldwide

» Operates in 50+ countries across 1,500+ locations with ~188,000 employees

» Maintains and uses ~420 million SF of warehouse and operational space Worldwide

» Manages supply chains for major global companies such as Toyota, Volvo, Novo Nordisk, Kraft Heinz, and more

• DHL Group (Moody’s | A2), the parent company of the Tenant, is a Fortune Global 125 company providing express delivery, postal services, supply chain solutions, and freight forwarding across 220+ countries

» DHL is the largest international parcel delivery company in the world with strong 2024 revenue of $94 billion

» Holds commanding 40%+ global market share in international express delivery, processing over 1.5 billion international shipments annually

» Current market cap of the Company exceeds $63 billion making it larger than Target, Ford, Dollar General, and more

INSTITUTIONAL-GRADE DESIGN

• Class A, 629,682 SF SF distribution facility

» Includes 20K SF of cold storage rated at 36 – 45 degrees

» Capable of expanding up to 400k - 500k SF of additional warehouse space

• Rear-load configuration with 185’ truck court

• 35’ clear height

• 50 trailer parking spaces and 249 auto parking spaces

• 50' x 50' column spacing w/ 60’ speed bays

• 36 (9’ x 10’) dock-high doors

• 60-mil TPO roof with 14 years of remaining warranty

• ESFR sprinklers and LED Lighting

ESTABLISHED INDUSTRIAL POCKET

• Located within Vonore's distinguished industrial corridor alongside nationally recognized manufacturers including MasterCraft, Sea Ray, and Yamaha, creating a robust cluster of industry leaders

» This concentration of premier manufacturers has cultivated a durable ecosystem of specialized skilled labor, established supplier networks, and dedicated service providers that collectively reinforce long-term operational stability and tenant retention

• The Vonore/Knoxville industrial market has consistently attracted significant capital investment from advanced manufacturing and marine industries, demonstrating remarkable stability and economic resilience across multiple business cycles

» The regional vacancy rate of 2.0% remains substantially below the national average of 7.5%, reflecting favorable supply and demand dynamics within the market

» Asking rents have experienced robust growth increasing 7.3% annually on average since Q4 2020

TENANT OVERVIEW

5/16/2011

7/31/2030

Key Figures TENANT - DHL SUPPLY CHAIN

DHL Supply Chain is a leading global third-party logistics provider and a division of Deutsche Post DHL Group, the world's largest international logistics company. Operating over 1,500 warehouses across 50+ countries, DHL Supply Chain generates approximately $20 billion in annual revenue while serving blue-chip clients across automotive, technology, healthcare, and retail sectors. The company manages 420+ million SF of warehouse space globally and handles hundreds of millions of shipments annually, ranking as the largest dedicated contract logistics division worldwide.

Key Figures

Deutsche Post DHL Group (Moody’s | A2) is the world's largest international logistics company, generating $94 billion in 2024 revenue. With the critical mass to rank in the Fortune Global 125, DHL Group employs over 590,000 employees across 220+ countries. The Group maintains the #1 global position in international express delivery (40%+ market share) and operates through five divisions, including DHL Supply Chain.

PROPERTY SPECS

Building Name East Tennessee DHL Logistics Center

Address 98 Excellence Way, Vonore, TN 37885

Total SF 629,682

Office SF 18,890

Acreage +/- 99.84

Year Built 1999

Clear Height 35'

Construction Type Concrete tilt-wall

Configuration Rear-Load Roof 60-mil TPO recover (2040 roof warranty)

Drive-In Doors 2

Dock-High Doors 36

Building Depth 615'

Truck

Column

Warehouse Area 1: 2,000 & 2,500-Amp, 277/480v / 3-phase

Warehouse Area 2: Four 3,000 & One 2,000-Amp, 277/480v / 3-phase

Warehouse Area 3: One 3,000 & Four 2,000-Amp, 277/480v / 3-phase

ACCESS MAP

ACCESS TO CONSUMERS AND LABOR

KNOXVILLE INDUSTRIAL MARKET

ESTABLISHED INDUSTRIAL ECOSYSTEM

Forks of the River Industrial Park: 1400+ Acre advanced manufacturing and industrial park

Tellico West: Master-planned industrial campus home to prestigious global tenants

IDEAL LOGISTICS LOCATION

Positioned along the vital I-40 / I-75 corridor

COMPETITIVE OPERATING COSTS

Lower energy, occupancy, and labor costs compared to national averages

Knoxville’s industrial market continues to demonstrate exceptional strength and resilience, maintaining one of the lowest vacancy rates in the nation at just 2.0% – well below the national and historical local averages. Anchored by a robust industrial base that includes leading manufacturers like Denso, Alcoa, 3M, and Newell, the region’s strategic location at the intersection of I-75, I-40, and I-81, coupled with low business costs, positions it as a magnet for national logistics and manufacturing operations. While leasing activity and rent growth have moderated from their record highs in recent years, occupancy remains tight. Recent large leases by major companies such as the United States Postal Service and Power Systems underscore continued demand for quality space, and with construction activity now below historical peaks, existing assets are poised to benefit from limited new supply, supporting long-term growth and stability in Knoxville’s dynamic industrial market.

FUNDAMENTALS

SKILLED WORKFORCE

34% of working-age adults hold a Bachelor’s degree or higher

BROAD-BASED ECONOMY

Healthcare, Advanced Manufacturing, R&D, Logistics, and Education

CHATTANOOGA MARKET ANALYSIS

The Chattanooga industrial market defined by CoStar includes six total counties and roughly 64 MSF of product, but in JLL’s opinion, the industrial market is quite different, surpassing 120 MSF in total and encompassing the CSA of Dalton, Georgia and Cleveland, Tennessee. As a result, it is a bookend of the I-75 corridor that connects Atlanta to Chattanooga, defining one of the highest truck traffic counts in the country due to its ability to provide rapid access throughout the greater Southeast and Midwest regions. Chattanooga is strategically positioned at the junction of three major interstates: I-24, I-75, & I-59, providing impeccable access to Atlanta, Nashville, Birmingham, Knoxville and the greater Midwest. The city is a vital hub for automotive manufacturing, serving as the home for Volkswagen’s 1,400-acre assembly plant which employs roughly 5,500 employees. More than 1 in 5 jobs are manufacturing related in Chattanooga, highlighting the significance of the industry to the city and the availability of industrial labor to the surrounding area.

CSA of Chattanooga/Dalton/Cleveland

Counties: Bradley, McMinn, Catoosa, Dade, Hamilton, Marion, Sequatchie, Walker, Whitfield, & Murray

Northeast Chattanooga/Cleveland

Counties: Bradley & McMinn

(Costar defined)

Counties: Catoosa, Dade, Hamilton, Marion, Sequatchi & Walker Chattanooga

Southeast Chattanooga/Dalton

County: Whitfield and Murray

WHY TENNESSEE

Demographics

Tennessee continues to be a magnet for growth, with its population constantly increasing. Tennessee added over 680,000 residents between 2014 and 2024, representing a 10.44% growth.

Interstate connectivity: Tennessee sits at the crossroads of major interstate highways, serving as a logistsics hub for the Southeast and beyond.

• I-40 (transcontinental): Connects the Atlantic and Pacific coasts

• I-75: Major north-south corridor connecting Michigan to Florida

• I-81: Connects northeast to southwest regions

• Tennessee products can reach 80% of the U.S. Population within a 2-day drive

The state of Tennessee is rapidly growing with 3 cities ranked in the top 15 of the PODS Moving Trends Report Memphis International Airport (MEM)

World’s busiest cargo airport

FedEx Super Hub: The largest sort facility in the FedEx global network, spanning 940 acres with the capability to process 484,000 packages per hour

International Airport (BNA)

22.9 million total passengers annually

80+ nonstop destinations across the U.S. and internationally, recognized as the fastest growing major airport in the U.S.

FINANCIAL ASSUMPTIONS

VALUATION NOTES

CASH FLOW

EXISTING RENT AND ROLLOVER SCHEDULE

GICC Bldg. 2 - Rent Roll

LEASE ABSTRACT

Tenant: Exel Inc., D/B/A DHL Supply Chain

SF: 629,682 (100% of premises)

LCD: 5/16/2011

LXD: 7/31/2030

Leased Structure: NNN

OPERATING EXPENSES

Operating Expenses include all costs and expenses incurred by Landlord in connection with the ownership, operation, and maintenance of the building and project, including, without limitation: common area utilities; maintenance and repair of paving, parking, roads, roofs, driveways, landscaping, snow removal, and exterior painting; maintenance of utility lines, fire protection and sprinkler systems, exterior lighting, and building mechanical systems; contractor and subcontractor fees; trash collection and removal; insurance premiums (property, liability, rent loss, flood, windstorm, and earthquake); real estate taxes and assessments (unless paid directly by Tenant); association dues or charges under restrictive covenants; legal and tax consultant fees for tax matters; property management fee (capped at 1.5% of base rent); security services (if any); costs associated with compliance with Legal Requirements (including capital improvements mandated by law, but only the amortized portion with interest not to exceed 8% per annum over useful life); and environmental management fees or insurance. Tenant is responsible for 100% of Operating Expenses for the building and project, subject to annual reconciliation.

TENANT RESPONSIBILITIES

Tenant is obligated to pay all Operating Expenses, including utilities, all common area and non-structural maintenance, property management fees (capped at 1.5% of base rent), taxes and assessments (unless paid directly to taxing authorities), and all insurance premiums required for the property. Tenant must also pay security service charges (if applicable), association fees, legal and tax consultant expenses related to tax contests, compliance costs arising from new Legal Requirements, and amortized costs (with interest up to 8% per annum) for capital improvements mandated by law. Tenant’s responsibility includes environmental management fees or insurance and all sums are subject to annual reconciliation.

LANDLORD RESPONSIBILITIES

Landlord is responsible solely for the replacement of structural components—roof, foundation, exterior walls, and concrete floor (except to the extent damaged by Tenant). Such costs are recoverable only through Operating Expenses as an annual amortized charge with interest not to exceed 8% per annum. Landlord procures required insurance for the property, the premiums of which are charged to Tenant via Operating Expenses. Landlord does not cover initial or non-structural repairs, and excludes from Operating Expenses: non-amortized capital repairs, debt service, ground rent, commissions or improvements for other tenants, legal fees related only to other tenants, executive compensation, management fees above 1.5% of base rent, income or transfer taxes, reserves, costs due to Landlord negligence, above-market affiliate expenses, and any other charges not customarily passed through as triple-net in the Vonore industrial market.

RENEWAL OPTIONS

Tenant holds two consecutive 5-year renewal options after July 31, 2030, with base rent set at then-current fair market value, determined by landlord or, if disputed, by a mutually selected broker. No tenant improvement allowance or additional renewal rights are available for these periods. To renew, tenant must provide written notice at least 180 days before expiration and must not be in default

LEASE ABSTRACT CONTINUED

RESTORATION CLAUSE

Operating Expenses include all costs and expenses incurred by Landlord in connection with the ownership, operation, and maintenance of the building and project, including, without limitation: common area utilities; maintenance and repair of paving, parking, roads, roofs, driveways, landscaping, snow removal, and exterior painting; maintenance of utility lines, fire protection and sprinkler systems, exterior lighting, and building mechanical systems; contractor and subcontractor fees; trash collection and removal; insurance premiums (property, liability, rent loss, flood, windstorm, and earthquake); real estate taxes and assessments (unless paid directly by Tenant); association dues or charges under restrictive covenants; legal and tax consultant fees for tax matters; property management fee (capped at 1.5% of base rent); security services (if any); costs associated with compliance with Legal Requirements (including capital improvements mandated by law, but only the amortized portion with interest not to exceed 8% per annum over useful life); and environmental management fees or insurance. Tenant is responsible for 100% of Operating Expenses for the building and project, subject to annual reconciliation.

SURRENDER CLAUSE

Upon expiration or earlier termination of the Lease, Tenant must surrender the Premises in the same condition as received, broom clean, normal wear and tear and condemnation excepted. Thirty (30) to sixty (60) days before vacating, Landlord and Tenant must jointly inspect the Premises and create a list of necessary repairs, which Tenant is responsible for completing before surrender. Tenant must repair all damage caused by removal of its property or alterations, and any items not removed are deemed abandoned and may be disposed of by Landlord at Tenant’s expense. If Tenant fails to perform required restoration or repairs, Landlord may perform the work and Tenant must reimburse Landlord for all costs plus a 10% administrative fee; such completion time is considered a period of holding over. All restoration and surrender obligations survive termination of the Lease.

FOURTH AMENDMENT – TENANT INSURANCE

Tenant is responsible for providing and paying for its own insurance as specified, including workers compensation, general liability, property, business interruption, automobile liability, and excess liability. In addition, the Tenant is required to provide evidence of insurance to the Landlord and to include the Landlord and its lender as additional insureds and loss payees as applicable. The Fourth Amendment also makes clear that required insurance obtained by Landlord (such as for the building, hazard, casualty, and liability) must name the Landlord’s lender as loss payee, and that the Tenant must pay for or reimburse the costs of such insurance as part of its lease obligations, regardless of whether the Tenant is self-insured for its own interests.

EAST TENNESSEE

Primary contacts

Jim Freeman

Managing Director

jim.freeman@jll.com (404) 995-2399

Leasing

Jeff Feste Senior Managing Director jeff.feste@jll.com (815) 985-3538

Britton Burdette

Senior Manging Director

britton.burdette@jll.com (404) 995-2302

Dennis

dennis.mitchell@jll.com (404) 995-2447

(678) 378-4593

LOGISTICS CENTER

JLL

Georgia

Dennis

Jim

Debt & structured finance

Bobby Norwood Managing Director bobby.norwood@jll.com (404) 460-1652

(404) 942-2211

(218) 870-7547