NVI Technical College Information

Executive Summary

In 2015 the tenant, Zenith Education Group, Inc., signed a 12-year lease to operate the subject as a technical institute which specializes in

automotive training. The tenant's parent company under the entity of Store Capital Acquisitions LLC acquired the subject, which was included in a

large portfolio sale of trade schools in 2015. After this acquisition, Store Capital Acquisitions LLC elected to phase out three mechanical/vehicle

trade schools that came with the portfolio due to lack of knowledge in operating schools that specialize in automotive training. The subject, being

one of the three trade schools was included in this phase out plan. In 2018 New Village Development 2 LLC engaged in discussions to purchase

the subject properties. While discussions took place, the subject was phased out and became unoccupied in January of 2019. During this time

frame, an agreement was in place that the tenant Zenith Education Group would continue to pay lease payments in the interim until the subject is

sold. Once New Village Development 2 LLC acquires the subject, the initial lease will dissolve and will be replaced by a 20-year lease between

related parties. The subject will operate once again as an automotive technical institute under new ownership New Village Development 2 LLC.

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School Capacity and Recent Developments

The NVI Blairsville campus has the advantage of very large space according to the management of the Company – over 260,000 square feet. This

campus comfortably accommodated over 1,420 students per term. NVD was recently granted ASE Testing Site certification for Automotive Tech

Certification starting 1/1/24. This means NVIB can operate as a public testing center for any technician or student from any business or school

wishing to obtain ASE certifications for themselves or any Employer = Higher visibility and credibility for NVIB technical capabilities, and this is a

revenue generator. It speaks to the technical capability of the NVIB staff as educators and Master Technicians.

NVIB is already a Pennsylvania

DOT certified education center and teaches PennDOT state vehicle inspection courses to the public. All our graduates leave with a Pennsylvania

certification for state mandated vehicle inspections, something other schools do not do.

Loan Request

The Term Sheet provided by BayFirst National Bank indicated $16,900,000 guaranteed by the United States Department of Agriculture (USDA),

Business and Industry Guaranteed Loan Program. 80% loan guarantee required. Wall Street Journal Prime Rate (currently 8.5%) + 1.50%. The rate

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