COLE CREDIT PROPERTY TRUST II, INC.
 

Filed Pursuant to Rule 424(b)(3)
Registration No. 333-138444
COLE CREDIT PROPERTY TRUST II, INC.
SUPPLEMENT NO. 8 DATED DECEMBER 20, 2007
TO THE PROSPECTUS DATED MAY 11, 2007
     This document supplements, and should be read in conjunction with, the prospectus of Cole Credit Property Trust II, Inc. dated May 11, 2007, Supplement No. 1 dated May 16, 2007, Supplement No. 2 dated July 24, 2007, Supplement No. 3 dated August 8, 2007, Supplement No. 4 dated August 15, 2007, Supplement No. 5 dated September 21, 2007, Supplement No. 6 dated November 5, 2007, and Supplement No.7 dated November 15, 2007. Unless otherwise defined in this supplement, capitalized terms used in this supplement shall have the same meanings as set forth in the prospectus.
     The purpose of this supplement is to describe the following:
  (1)   the status of the offering of shares in Cole Credit Property Trust II, Inc.;
 
  (2)   new suitability standards for residents of New Mexico;
 
  (3)   the removal of an administrative fee charged in connection with our share redemption program;
 
  (4)   recent real property investments; and
 
  (5)   the termination of various purchase agreements.
     Status of Our Public Offerings
     We commenced our initial public offering on June 27, 2005. We terminated our initial public offering on May 22, 2007. As of the close of business on May 22, 2007, we had issued a total of 54,838,315 shares in our initial public offering, including 53,909,877 shares sold in the primary offering and 928,438 shares sold pursuant to our distribution reinvestment plan, resulting in gross offering proceeds to us of approximately $547.4 million.
     We commenced our follow-on offering of 150,000,000 shares of common stock on May 23, 2007. Of these shares, we are offering 125,000,000 shares in a primary offering and 25,000,000 shares pursuant to our distribution reinvestment plan. As of December 20, 2007, we had accepted investors’ subscriptions for, and issued, approximately 37.9 million shares of our common stock in the follow-on offering, including approximately 36.3 million shares sold in the primary offering and approximately 1.6 million shares sold pursuant to our distribution reinvestment plan, resulting in gross proceeds to us of approximately $382.5 million. Combined with our initial public offering, we had received a total of approximately $929.8 million in gross offering proceeds as of December 20, 2007.
Suitability Standards
     The following information supplements, and should be read in conjunction with, the section of our prospectus captioned “Suitability Standards” beginning on page i of the prospectus and other similar disclosures elsewhere in the prospectus:
     Residents of New Mexico who intend to invest in our shares must have either (a) a minimum net worth of at least $250,000 or (b) an annual gross income of at least $70,000 and a net worth of at least $70,000.
Share Redemption Program
     The following information supersedes and replaces, in its entirety, the third paragraph of the “Prospectus Summary — Share Redemption Program” section beginning on page 17 of the prospectus and all similar discussions appearing elsewhere in the prospectus:
     Upon receipt of a request for redemption, we will conduct a Uniform Commercial Code search to ensure that no liens are held against the shares. We will bear any costs in conducting the Uniform Commercial Code search. We will not redeem any shares that are subject to a lien. Repurchases will be made quarterly. If funds are not available to redeem all requested redemptions at the end of each quarter, the shares will be purchased on a pro rata basis and the unfulfilled requests will be held until the next quarter, unless withdrawn; provided, however, we may give priority to the redemption of a deceased stockholder’s shares. Our board of directors may amend, suspend or terminate the share redemption program at any time upon 30 days prior written notice to our stockholders.

 

 

     The following information supersedes and replaces, in its entirety, the third paragraph of the “Description of Shares — Share Redemption Program” section beginning on page 146 of the prospectus and all similar discussions appearing elsewhere in the prospectus:
     During the term of this offering and any subsequent public offering of our shares, the redemption price per share will depend on the length of time you have held such shares as follows: after one year from the purchase date — 92.5% of the amount you paid for each share; after two years from the purchase date — 95% of the amount you paid for each share; after three years from the purchase date — 97.5% of the amount you paid for each share; and after four years from the purchase date — 100% of the amount you paid for each share (in each case, as adjusted for any stock dividends, combinations, splits, recapitalizations and the like with respect to our common stock). At any time we are engaged in an offering of shares, the per share price for shares purchased under our redemption plan will always be equal to or lower than the applicable per share offering price. Thereafter, the per share redemption price will be based on the then-current net asset value of the shares (as adjusted for any stock dividends, combinations, splits, recapitalizations and the like with respect to our common stock). Our board of directors will announce any redemption price adjustment and the time period of its effectiveness as a part of its regular communications with our stockholders. At any time the redemption price is determined by any method other than the net asset value of the shares, if we have sold property and have made one or more special distributions to our stockholders of all or a portion of the net proceeds from such sales, the per share redemption price will be reduced by the net sale proceeds per share distributed to investors prior to the redemption date as a result of the sale of such property in the special distribution. Our board of directors will, in its sole discretion, determine which distributions, if any, constitute a special distribution. While our board of directors does not have specific criteria for determining a special distribution, we expect that a special distribution will only occur upon the sale of a property and the subsequent distribution of the net sale proceeds. Upon receipt of a request for redemption, we will conduct a Uniform Commercial Code search to ensure that no liens are held against the shares. We will bear any costs in conducting the Uniform Commercial Code search. We will not redeem any shares that are subject to a lien. In addition, upon the death of a stockholder, upon request, we will waive the one-year holding requirement. Shares redeemed in connection with the death of a stockholder will be redeemed at a purchase price equal to the price actually paid for the shares. In addition, we may waive the holding period in the event of a stockholder’s bankruptcy or other exigent circumstances.
     Real Property Investments
     The following information supplements, and should be read in conjunction with, the table in the section captioned “Prospectus Summary — Description of Real Estate Investments” beginning on page 7 of the prospectus:
Description of Real Estate Investments
     As of December 20, 2007, we owned 332 properties, comprising approximately 11.2 million rentable square feet of commercial space located in 43 states and the U.S. Virgin Islands. Properties acquired between November 15, 2007, the date of our last prospectus supplement, and December 20, 2007 are listed below.
                 
Property Description   Tenant   Rentable Square Feet   Purchase Price
Starbucks — Oklahoma City, OK
   Starbucks Corporation   1,741   $ 1,238,671  
Starbucks — Chattanooga, TN
   Starbucks Corporation   1,850     1,420,000  
Starbucks — Maryville, TN
   Starbucks Corporation   1,850     1,490,000  
Starbucks — Powell, TN
   Starbucks Corporation   1,850     1,324,000  
Starbucks — Seymour, TN
   Starbucks Corporation   1,850     1,351,000  
Walgreens —Beverly Hills, TX
   Walgreen Co.   13,905     3,600,000  
Walgreens —Waco, TX
   Walgreen Co.   13,905     3,600,000  
Allstate Insurance Contact Center— Cross Plains, WI
   Allstate Insurance Company   34,992     5,720,000  
 
   Mealey’s Furniture            
Mealey’s Furniture — Maple Shade, NJ
   Holdings, Inc.   66,750     5,350,000  

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Property Description   Tenant   Rentable Square Feet   Purchase Price
Circle K— Albuquerque, NM
   Circle K/Mac’s, G.P.   2,700   $ 1,275,719  
Circle K — Baton Rouge (Burbank), LA
   Circle K/Mac’s, G.P.   2,400     951,727  
Circle K — Baton Rouge (Floynell), LA
   Circle K/Mac’s, G.P.   2,780     1,407,341  
Circle K — Baton Rouge (Jefferson), LA
   Circle K/Mac’s, G.P.   2,780     1,083,349  
Circle K — Beaufort, SC
   Circle K/Mac’s, G.P.   2,660     1,640,210  
Circle K — Bluffton, SC
   Circle K/Mac’s, G.P.   2,448     2,591,937  
Circle K — Bossier City, LA
   Circle K/Mac’s, G.P.   3,211     1,528,838  
Circle K — Charleston, SC
   Circle K/Mac’s, G.P.   3,000     2,602,061  
Circle K — Charlotte (Independence), NC
   Circle K/Mac’s, G.P.   2,556     1,883,204  
Circle K — Charlotte (Sharon), NC
   Circle K/Mac’s, G.P.   2,477     1,954,077  
Circle K — Charlotte (Sugar Creek), NC
   Circle K/Mac’s, G.P.   2,170     2,014,826  
Circle K — Columbia (Garners), SC
   Circle K/Mac’s, G.P.   2,600     2,116,073  
Circle K — Columbia (Hardscrabble), SC
   Circle K/Mac’s, G.P.   2,477     1,751,582  
Circle K — El Paso (Americas), TX
   Circle K/Mac’s, G.P.   3,500     2,217,318  
Circle K — El Paso (Mesa), TX
   Circle K/Mac’s, G.P.   3,150     1,144,097  
Circle K — El Paso (Zaragosa), TX
   Circle K/Mac’s, G.P.   3,800     2,065,450  
Circle K — Fort Mill, NC
   Circle K/Mac’s, G.P.   6,553     2,359,067  
Circle K — Goose Creek, SC
   Circle K/Mac’s, G.P.   2,632     1,366,842  
Circle K — Huntersville, NC
   Circle K/Mac’s, G.P.   2,770     2,014,826  
Circle K — Mount Pleasant, SC
   Circle K/Mac’s, G.P.   2,820     1,538,962  
Circle K — Port Wentworth, GA
   Circle K/Mac’s, G.P.   3,760     2,325,656  
Circle K — Savannah (Johnny Mercer), GA
   Circle K/Mac’s, G.P.   1,152     1,609,836  
Circle K — Savannah (King George), GA
   Circle K/Mac’s, G.P.   2,477     1,609,836  
Circle K — Shreveport, LA
   Circle K/Mac’s, G.P.   3,180     1,214,970  
Circle K — Springdale, SC
   Circle K/Mac’s, G.P.   1,760     1,741,457  
Exxon — West Monroe (503 Thomas), LA
   Circle K/Mac’s, G.P.   3,327     1,468,089  
Holland Oil — Akron (940 Arlington), OH
   Circle K/Mac’s, G.P.   2,800     1,133,972  
Holland Oil — Akron (1178 Arlington), OH
   Circle K/Mac’s, G.P.   2,862     1,417,465  
Holland Oil — Akron (1559 E. Market), OH
   Circle K/Mac’s, G.P.   1,624     1,457,964  
Holland Oil — Akron (1693 West Market), OH
   Circle K/Mac’s, G.P.   4,977     1,599,711  
Holland Oil — Akron (Albrecht), OH
   Circle K/Mac’s, G.P.   2,763     1,113,723  
Holland Oil — Akron (Brittain), OH
   Circle K/Mac’s, G.P.   2,857     1,245,345  
Holland Oil — Akron (Brown), OH
   Circle K/Mac’s, G.P.   2,635     1,306,093  
Holland Oil — Akron (Cuyahoga), OH
   Circle K/Mac’s, G.P.   2,800     1,630,085  
Holland Oil — Akron (Darrow), OH
   Circle K/Mac’s, G.P.   2,800     1,214,970  
Holland Oil — Akron (Exchange), OH
   Circle K/Mac’s, G.P.   3,190     1,468,089  
Holland Oil — Akron (Main St.), OH
   Circle K/Mac’s, G.P.   3,258     1,184,596  
Holland Oil — Akron (Manchester), OH
   Circle K/Mac’s, G.P.   2,800     1,640,210  
Holland Oil — Akron (Ridgewood), OH
   Circle K/Mac’s, G.P.   1,710     1,306,093  
Holland Oil — Akron (Waterloo), OH
   Circle K/Mac’s, G.P.   2,800     1,184,596  
Holland Oil — Barberton (5th St.), OH
   Circle K/Mac’s, G.P.   2,800     1,235,220  
Holland Oil — Barberton (31st St.), OH
   Circle K/Mac’s, G.P.   2,800     971,976  
Holland Oil — Barberton (Wooster), OH
   Circle K/Mac’s, G.P.   3,600     2,247,695  
Holland Oil — Bedford, OH
   Circle K/Mac’s, G.P.   2,450     1,275,719  
Holland Oil — Brookpark, OH
   Circle K/Mac’s, G.P.   2,740     1,356,717  
Holland Oil — Canton (12th Street), OH
   Circle K/Mac’s, G.P.   2,800     1,164,347  
Holland Oil — Canton (Tuscarawas), OH
   Circle K/Mac’s, G.P.   4,500     2,197,071  
Holland Oil — Cleveland, OH
   Circle K/Mac’s, G.P.   4,318     1,589,586  
Holland Oil — Copley, OH
   Circle K/Mac’s, G.P.   2,439     1,154,222  

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Property Description   Tenant   Rentable Square Feet   Purchase Price
Holland Oil — Cuyahoga Falls (Bath), OH
   Circle K/Mac’s, G.P.   4,269   $ 2,024,951  
Holland Oil — Cuyahoga Falls (Port), OH
   Circle K/Mac’s, G.P.   2,959     1,387,091  
Holland Oil — Cuyahoga Falls (State), OH
   Circle K/Mac’s, G.P.   2,100     1,032,725  
Holland Oil — Fairlawn, OH
   Circle K/Mac’s, G.P.   2,900     1,609,836  
Holland Oil — Kent, OH
   Circle K/Mac’s, G.P.   2,068     992,226  
Holland Oil — Maple Heights, OH
   Circle K/Mac’s, G.P.   2,967     1,488,339  
Holland Oil — Northfield, OH
   Circle K/Mac’s, G.P.   4,647     1,943,953  
Holland Oil — Norton, OH
   Circle K/Mac’s, G.P.   3,750     1,437,715  
Holland Oil — Parma, OH
   Circle K/Mac’s, G.P.   3,039     1,255,469  
Holland Oil — Seville, OH
   Circle K/Mac’s, G.P.   7,200     2,450,190  
Holland Oil — Twinsburg, OH
   Circle K/Mac’s, G.P.   3,298     1,356,717  
Holland Oil — Willoughby, OH
   Circle K/Mac’s, G.P.   2,938     1,194,721  
Shell — Monroe, LA
   Circle K/Mac’s, G.P.   4,140     1,528,838  
Spectrum — Auburn, AL
   Circle K/Mac’s, G.P.   2,772     1,731,333  
Spectrum — Augusta, GA
   Circle K/Mac’s, G.P.   3,010     1,103,598  
Spectrum — Columbus (Airport), GA
   Circle K/Mac’s, G.P.   2,205     1,538,962  
Spectrum — Columbus (Beaver Run), GA
   Circle K/Mac’s, G.P.   3,760     2,510,939  
Spectrum — Columbus (Bradley), GA
   Circle K/Mac’s, G.P.   4,750     3,341,168  
Spectrum — Columbus (Buena Vista), GA
   Circle K/Mac’s, G.P.   2,205     1,609,836  
Spectrum — Columbus (Lumpkin), GA
   Circle K/Mac’s, G.P.   2,874     1,670,584  
Spectrum — Columbus (Warm Springs), GA
   Circle K/Mac’s, G.P.   4,934     1,964,202  
Spectrum — Lanett, AL
   Circle K/Mac’s, G.P.   2,631     850,479  
Spectrum — Macon (Arkwright), GA
   Circle K/Mac’s, G.P.   2,248     1,144,097  
Spectrum — Macon (Riverside), GA
   Circle K/Mac’s, G.P.   2,580     1,255,469  
Spectrum — Martinez, GA
   Circle K/Mac’s, G.P.   2,250     1,275,719  
Spectrum — Mobile (Airport), AL
   Circle K/Mac’s, G.P.   1,800     1,822,455  
Spectrum — Mobile (Moffett), AL
   Circle K/Mac’s, G.P.   678     1,559,212  
Spectrum — North Augusta, SC
   Circle K/Mac’s, G.P.   2,240     1,194,721  
Spectrum — Opelika (2nd Ave), AL
   Circle K/Mac’s, G.P.   2,531     1,306,093  
Spectrum — Opelika (Columbus), AL
   Circle K/Mac’s, G.P.   3,796     2,348,943  
Spectrum — Phenix City, AL
   Circle K/Mac’s, G.P.   3,054     1,599,711  
Spectrum — Pine Mountain, GA
   Circle K/Mac’s, G.P.   3,285     1,144,097  
Spectrum — Valley, AL
   Circle K/Mac’s, G.P.   3,312     1,559,212  
Spirit — West Monroe (1602 Thomas), LA
   Circle K/Mac’s, G.P.   3,927     1,670,584  
 
                
 
       389,273   $ 156,570,671  
 
                
     The following information supplements the section of our prospectus captioned “Investment Objectives and Policies — Real Property Investments” beginning on page 84 of the prospectus:
Real Property Investments
     We engage in the acquisition and ownership of commercial properties throughout the United States. We invest primarily in income-generating retail, office and distribution properties, net leased to investment grade and other creditworthy tenants.
     As of December 20, 2007, we, through separate wholly-owned limited liability companies, have acquired a 100% fee simple interest in 332 properties consisting of approximately 11.2 million gross rentable square feet located in 43 states and the U.S. Virgin Islands. The properties were generally acquired through the use of mortgage notes payable and proceeds from our ongoing public offering of our common stock.
     The following table summarizes properties acquired between November 15, 2007, the date of our last prospectus supplement, and December 20, 2007 in order of acquisition date:

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                            Fees Paid   Rentable    
        Date   Year   Purchase   To   Square   Physical
Property   Type   Acquired   Built   Price   Sponsor (1)   Feet   Occupancy
Starbucks — Oklahoma City, OK
   Restaurant   November 20, 2007     2007     $ 1,238,671     $ 24,773       1,741       100 %
Starbucks — Chattanooga, TN
   Restaurant   November 26, 2007     2007       1,420,000       28,400       1,850       100 %
Starbucks — Maryville, TN
   Restaurant   November 26, 2007     2007       1,490,000       29,800       1,850       100 %
Starbucks — Powell, TN
   Restaurant   November 26, 2007     2007       1,324,000       26,480       1,850       100 %
Starbucks — Seymour, TN
   Restaurant   November 26, 2007     2007       1,351,000       27,020       1,850       100 %
Walgreens —Beverly Hills, TX
   Drugstore   December 5, 2007       1998       3,600,000       72,000       13,905       100 %
Walgreens —Waco, TX
   Drugstore   December 5, 2007       1998       3,600,000       72,000       13,905       100 %
Allstate Insurance Contact Center— Cross Plains, WI
   Call center   December 7, 2007       1998       5,720,000       114,400       34,992       100 %
Mealey’s Furniture — Maple Shade, NJ
   Home furnishings   December 12, 2007     1978       5,350,000       107,000       66,750       100 %
Circle K— Albuquerque, NM
   Convenience store   December 20, 2007     1994       1,275,719       34,844       2,700       100 %
Circle K —Baton Rouge (Burbank), LA
   Convenience store   December 20, 2007     1976       951,727       33,044       2,400       100 %
Circle K —Baton Rouge (Floynell), LA
   Convenience store   December 20, 2007     1977       1,407,341       35,044       2,780       100 %
Circle K —Baton Rouge (Jefferson), LA
   Convenience store   December 20, 2007     1970       1,083,349       33,444       2,780       100 %
Circle K — Beaufort, SC
   Convenience store   December 20, 2007     1997       1,640,210       36,644       2,660       100 %
Circle K — Bluffton, SC
   Convenience store   December 20, 2007     1997       2,591,937       40,644       2,448       100 %
Circle K —Bossier City, LA
   Convenience store   December 20, 2007     1987       1,528,838       36,144       3,211       100 %
Circle K — Charleston, SC
   Convenience store   December 20, 2007     1987       2,602,061       41,644       3,000       100 %
Circle K — Charlotte (Independence), NC
   Convenience store   December 20, 2007     1996       1,883,204       37,994       2,556       100 %
Circle K — Charlotte (Sharon), NC
   Convenience store   December 20, 2007     1997       1,954,077       38,344       2,477       100 %
Circle K — Charlotte (Sugar Creek), NC
   Convenience store   December 20, 2007     1991       2,014,826       38,644       2,170       100 %
Circle K — Columbia (Garners), SC
   Convenience store   December 20, 2007     1993       2,116,073       39,144       2,600       100 %

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                            Fees Paid   Rentable    
        Date   Year   Purchase   To   Square   Physical
Property   Type   Acquired   Built   Price   Sponsor (1)   Feet   Occupancy
Circle K — Columbia
(Hardscrabble), SC
   Convenience store   December 20, 2007     1997     $ 1,751,582     $ 37,344       2,477       100 %
Circle K — El Paso
(Americas), TX
   Convenience store   December 20, 2007     2000       2,217,318       40,044       3,500       100 %
Circle K — El Paso
(Mesa), TX
   Convenience store   December 20, 2007     1999       1,144,097       34,444       3,150       100 %
Circle K — El Paso
(Zaragosa), TX
   Convenience store   December 20, 2007     1999       2,065,450       39,244       3,800       100 %
Circle K — Fort Mill, SC
   Convenience store   December 20, 2007     1999       2,359,067       40,744       6,553       100 %
Circle K — Goose Creek, SC
   Convenience store   December 20, 2007     1983       1,366,842       35,044       2,632       100 %
Circle K — Huntersville, NC
   Convenience store   December 20, 2007     2006       2,014,826       38,644       2,770       100 %
Circle K — Mount Pleasant, SC
   Convenience store   December 20, 2007     1978       1,538,962       35,844       2,820       100 %
Circle K — Port Wentworth, GA
   Convenience store   December 20, 2007     1991       2,325,656       39,844       3,760       100 %
Circle K — Savannah
(Johnny Mercer), GA
   Convenience store   December 20, 2007     1990       1,609,836       35,744       1,152       100 %
Circle K — Savannah
(King George), GA
   Convenience store   December 20, 2007     1997       1,609,836       36,344       2,477       100 %
Circle K — Shreveport, LA
   Convenience store   December 20, 2007     1988       1,214,970       34,544       3,180       100 %
Circle K — Springdale, SC
   Convenience store   December 20, 2007     1999       1,741,457       36,944       1,760       100 %
Exxon — West Monroe
(503 Thomas), LA
   Convenience store   December 20, 2007     1983       1,468,089       35,844       3,327       100 %
Holland Oil — Akron
(940 Arlington), OH
   Convenience store   December 20, 2007     1991       1,133,972       34,144       2,800       100 %
Holland Oil — Akron
(1178 Arlington), OH
   Convenience store   December 20, 2007     1994       1,417,465       35,544       2,862       100 %
Holland Oil — Akron
(1559 E. Market), OH
   Convenience store   December 20, 2007     1995       1,457,964       35,544       1,624       100 %
Holland Oil — Akron
(1693 West Market), OH
   Convenience store   December 20, 2007     1999       1,599,711       36,844       4,977       100 %
Holland Oil — Akron
(Albrecht), OH
   Convenience store   December 20, 2007     1997       1,113,723       34,044       2,763       100 %

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                            Fees Paid   Rentable    
        Date   Year   Purchase   To   Square   Physical
Property   Type   Acquired   Built   Price   Sponsor (1)   Feet   Occupancy
Holland Oil — Akron (Brittain), OH
   Convenience store   December 20, 2007     1995     $ 1,245,345     $ 34,744       2,857       100 %
Holland Oil — Akron (Brown), OH
   Convenience store   December 20, 2007     1950       1,306,093       34,744       2,635       100 %
Holland Oil — Akron (Cuyahoga), OH
   Convenience store   December 20, 2007     1998       1,630,085       36,944       2,800       100 %
Holland Oil — Akron (Darrow), OH
   Convenience store   December 20, 2007     1994       1,214,970       34,744       2,800       100 %
Holland Oil — Akron (Exchange), OH
   Convenience store   December 20, 2007     1996       1,468,089       35,844       3,190       100 %
Holland Oil — Akron (Main St.), OH
   Convenience store   December 20, 2007     2000       1,184,596       34,344       3,258       100 %
Holland Oil — Akron (Manchester), OH
   Convenience store   December 20, 2007     1994       1,640,210       36,744       2,800       100 %
Holland Oil — Akron (Ridgewood), OH
   Convenience store   December 20, 2007     1969       1,306,093       34,744       1,710       100 %
Holland Oil — Akron (Waterloo), OH
   Convenience store   December 20, 2007     2001       1,184,596       34,644       2,800       100 %
Holland Oil — Barberton (5th St.), OH
   Convenience store   December 20, 2007     1983       1,235,220       34,644       2,800       100 %
Holland Oil — Barberton (31st St.), OH
   Convenience store   December 20, 2007     1991       971,976       33,144       2,800       100 %
Holland Oil — Barberton (Wooster), OH
   Convenience store   December 20, 2007     1981       2,247,695       39,744       3,600       100 %
Holland Oil — Bedford, OH
   Convenience store   December 20, 2007     2000       1,275,719       34,944       2,450       100 %
Holland Oil — Brookpark, OH
   Convenience store   December 20, 2007     1998       1,356,717       35,244       2,740       100 %
Holland Oil — Canton (12th Street), OH
   Convenience store   December 20, 2007     1990       1,164,347       33,894       2,800       100 %
Holland Oil — Canton (Tuscarawas), OH
   Convenience store   December 20, 2007     2000       2,197,071       39,644       4,500       100 %
Holland Oil — Cleveland, OH
   Convenience store   December 20, 2007     2002       1,589,586       36,444       4,318       100 %
Holland Oil — Copley, OH
   Convenience store   December 20, 2007     1993       1,154,222       34,244       2,439       100 %
Holland Oil — Cuyahoga Falls (Bath), OH
   Convenience store   December 20, 2007     2002       2,024,951       38,744       4,269       100 %

7

 

                                                 
                            Fees Paid     Rentable        
        Date   Year     Purchase     To     Square     Physical
Property   Type   Acquired   Built     Price     Sponsor (1)     Feet     Occupancy
Holland Oil — Cuyahoga Falls (Port), OH
   Convenience store   December 20, 2007     1995     $ 1,387,091     $   35,444       2,959       100 %
Holland Oil — Cuyahoga Falls (State), OH
   Convenience store   December 20, 2007     1972       1,032,725       33,244       2,100       100 %
Holland Oil — Fairlawn, OH
   Convenience store   December 20, 2007     1993       1,609,836       36,344       2,900       100 %
Holland Oil — Kent, OH
   Convenience store   December 20, 2007     1994       992,226       33,344       2,068       100 %
Holland Oil — Maple Heights, OH
   Convenience store   December 20, 2007     1998       1,488,339       35,944       2,967       100 %
Holland Oil — Northfield, OH
   Convenience store   December 20, 2007     1983       1,943,953       38,244       4,647       100 %
Holland Oil — Norton, OH
   Convenience store   December 20, 2007     1984       1,437,715       35,644       3,750       100 %
Holland Oil — Parma, OH
   Convenience store   December 20, 2007     2002       1,255,469       35,044       3,039       100 %
Holland Oil — Seville, OH
   Convenience store   December 20, 2007     2003       2,450,190       41,344       7,200       100 %
Holland Oil — Twinsburg, OH
   Convenience store   December 20, 2007     2005       1,356,717       35,244       3,298       100 %
Holland Oil — Willoughby, OH
   Convenience store   December 20, 2007     1986       1,194,721       34,444       2,938       100 %
Shell — Monroe, LA
   Convenience store   December 20, 2007     1986       1,528,838       36,144       4,140       100 %
Spectrum — Auburn, AL
   Convenience store   December 20, 2007     1990       1,731,333       36,544       2,772       100 %
Spectrum — Augusta, GA
   Convenience store   December 20, 2007     1981       1,103,598       33,644       3,010       100 %
Spectrum — Columbus (Airport), GA
   Convenience store   December 20, 2007     1984       1,538,962       35,644       2,205       100 %
Spectrum — Columbus (Beaver Run), GA
   Convenience store   December 20, 2007     1995       2,510,939       40,744       3,760       100 %
Spectrum — Columbus (Bradley), GA
   Convenience store   December 20, 2007     1995       3,341,168       44,344       4,750       100 %
Spectrum — Columbus (Buena Vista), GA
   Convenience store   December 20, 2007     1990       1,609,836       36,044       2,205       100 %
Spectrum — Columbus (Lumpkin), GA
   Convenience store   December 20, 2007     2005       1,670,584       36,344       2,874       100 %
Spectrum — Columbus (Warm Springs), GA
   Convenience store   December 20, 2007     1978       1,964,202       37,744       4,934       100 %
Spectrum — Lanett, AL
   Convenience store   December 20, 2007     1974       850,479       32,894       2,631       100 %
Spectrum — Macon (Arkwright), GA
   Convenience store   December 20, 2007     1993       1,144,097       33,944       2,248       100 %

8

 

                                                 
                            Fees       Rentable        
        Date   Year     Purchase     Paid to       Square     Physical
Property   Type   Acquired   Built     Price     Sponsor (1)       Feet     Occupancy
Spectrum — Macon (Riverside), GA
   Convenience store   December 20, 2007     1974     $ 1,255,469     $ 34,344       2,580       100 %
Spectrum — Martinez, GA
   Convenience store   December 20, 2007     1985       1,275,719       34,644       2,250       100 %
Spectrum — Mobile (Airport), AL
   Convenience store   December 20, 2007     1987       1,822,455       36,944       1,800       100 %
Spectrum — Mobile (Moffett), AL
   Convenience store   December 20, 2007     1988       1,559,212       34,894       678       100 %
Spectrum — North Augusta, GA
   Convenience store   December 20, 2007     1999       1,194,721       34,244       2,240       100 %
Spectrum — Opelika (2nd Ave), AL
   Convenience store   December 20, 2007     1989       1,306,093       34,644       2,531       100 %
Spectrum — Opelika (Columbus), AL
   Convenience store   December 20, 2007     1988       2,348,943       39,944       3,796       100 %
Spectrum — Phenix City, AL
   Convenience store   December 20, 2007     1999       1,599,711       36,544       3,054       100 %
Spectrum — Pine Mountain, GA
   Convenience store   December 20, 2007     1999       1,144,097       34,344       3,285       100 %
Spectrum — Valley, AL
   Convenience store   December 20, 2007     1974       1,559,212       36,344       3,312       100 %
Spirit — West Monroe (1602 Thomas), LA
   Convenience store   December 20, 2007     1999       1,670,584       36,844       3,927       100 %
 
                                          
 
                   $ 156,570,671     $ 3,514,425       389,273          
 
                                          
 
(1)   Fees paid to sponsor include payments made to an affiliate of our advisor for acquisition fees in connection with the property acquisition and payments to our advisor for finance coordination fees for services in connection with the origination or assumption of debt financing obtained to acquire the respective property. For more detailed information on fees paid to affiliates of our sponsor, see the section captioned “Management Compensation” beginning on page 58 of the prospectus.
     The following table sets forth the principal provisions of the lease term for the major tenant at the properties listed above:
                                             
                %               Base    
            Total   Total       Current   Rent    
    Number       Square   Square       Annual   per    
    of   Major   Feet   Feet   Renewal   Base   Square   Lease Term
Property   Tenants   Tenants*   Leased   Leased   Options**   Rent   Foot   Beginning   To
Starbucks —
       Starbucks                                    
Oklahoma City, OK
   1   Corporation   1,741   100%   4 /5 yr.   $ 88,500     $ 50.83     11/20/2007   10/31/2012
 
                         97,350       55.92     11/1/2012   2/28/2018
Starbucks—
       Starbucks                                    
Chattanooga, TN
   1   Corporation   1,850   100%   4/5 yr.     102,953       55.65     11/26/2007   10/31/2012
 
                         113,239       61.21     11/1/2012   2/28/2018

9

 

                                                         
                        %               Base    
                Total   Total       Current   Rent    
    Number       Square   Square       Annual   per    
    of   Major   Feet   Feet   Renewal   Base   Square   Lease Term
Property   Tenants   Tenants*   Leased   Leased   Options**   Rent   Foot   Beginning   To
Starbucks — Maryville, TN
    1     Starbucks
Corporation 		    1,850       100 %   4/5 yr.   $ 108,000
118,800		     $ 58.38
64.22		     11/26/2007
8/1/2012 		  7/31/2012
7/31/2017
Starbucks — Powell, TN
    1     Starbucks
Corporation 		    1,850       100 %   4/5 yr.     96,000
105,600		       51.89
57.08		     11/26/2007
7/1/2012 		  6/30/2012
6/30/2017
Starbucks — Seymour, TN
    1     Starbucks
Corporation 		    1,850       100 %   4/5 yr.     98,000
107,800		       52.97
58.27		     11/26/2007
11/1/2012 		  10/31/2012
2/28/2018
Walgreens — Beverly Hills, TX
    1     Walgreen Co.     13,905       100 %   8/5 yr.     270,000       19.42     12/5/2007   9/30/2018
Walgreens — Waco, TX
    1     Walgreen Co.     13,905       100 %   8/5 yr.     270,000       19.42     12/5/2007   10/31/2018
Allstate Insurance Contact Center — Cross Plains, WI
    1     Allstate Insurance
Company 		    34,992       100 %   2/5 yr.     443,349
452,216
461,260
470,485
479,895
489,493
499,283		       12.67
12.92
13.18
13.45
13.71
13.99
14.27		     12/7/2007
7/1/2008
7/1/2009
7/1/2010
7/1/2011
7/1/2012
7/1/2013 		  6/30/2008
6/30/2009
6/30/2010
6/30/2011
6/30/2012
6/30/2013
6/30/2014
Mealey’s Furniture — Maple Shade, NJ
    1     Mealey’s Furniture Holdings, Inc.     66,750       100 %   1/5 yr.     475,000       7.12     12/12/2007   12/31/2013
Circle K — Albuquerque, NM
    1     Circle K/Mac’s, G.P.     2,700       100 %   5/5 yr; 2/10 yr.     96,955       35.91     12/20/2007   12/31/2028(1)
Circle K — Baton Rouge (Burbank), LA
    1     Circle K/Mac’s, G.P.     2,400       100 %   5/5 yr; 2/10 yr.     72,331       30.14     12/20/2007   12/31/2027(1)
Circle K — Baton Rouge (Floynell), LA
    1     Circle K/Mac’s, G.P.     2,780       100 %   5/5 yr; 2/10 yr.     106,958       38.47     12/20/2007   12/31/2028(1)
Circle K — Baton Rouge (Jefferson), LA
    1     Circle K/Mac’s, G.P.     2,780       100 %   5/5 yr; 2/10 yr.     82,335       29.62     12/20/2007   12/31/2027(1)
Circle K — Beaufort, SC
    1     Circle K/Mac’s, G.P.     2,660       100 %   5/5 yr; 2/10 yr.     124,656       46.86     12/20/2007   12/31/2026(1)
Circle K — Bluffton, SC
    1     Circle K/Mac’s, G.P.     2,448       100 %   5/5 yr; 2/10 yr.     196,987       80.47     12/20/2007   12/31/2026(1)
Circle K — Bossier City, LA
    1     Circle K/Mac’s, G.P.     3,211       100 %   5/5 yr; 2/10 yr.     116,192       36.19     12/20/2007   12/31/2028(1)

10

 

                                                         
                        %               Base    
                Total   Total       Current   Rent    
    Number       Square   Square       Annual   per    
    of   Major   Feet   Feet   Renewal   Base   Square   Lease Term
Property   Tenants   Tenants*   Leased   Leased   Options**   Rent   Foot   Beginning   To
Circle K — Charleston, SC
    1     Circle K/Mac’s, G.P.     3,000       100 %   5/5 yr; 2/10 yr.   $ 197,757     $ 65.92     12/20/2007   12/31/2027(1)
Circle K — Charlotte (Independence), NC
    1     Circle K/Mac’s, G.P.     2,556       100 %   5/5 yr; 2/10 yr.     143,124       56.00     12/20/2007   12/31/2028(1)
Circle K — Charlotte (Sharon), NC
    1     Circle K/Mac’s, G.P.     2,477       100 %   5/5 yr; 2/10 yr.     148,510       59.96     12/20/2007   12/31/2027(1)
Circle K — Charlotte (Sugar Creek), NC
    1     Circle K/Mac’s, G.P.     2,170       100 %   5/5 yr; 2/10 yr.     153,127       70.57     12/20/2007   12/31/2026(1)
Circle K — Columbia (Garners), SC
    1     Circle K/Mac’s, G.P.     2,600       100 %   5/5 yr; 2/10 yr.     160,822       61.85     12/20/2007   12/31/2026(1)
Circle K — Columbia (Hardscrabble), SC
    1     Circle K/Mac’s, G.P.     2,477       100 %   5/5 yr; 2/10 yr.     133,120       53.74     12/20/2007   12/31/2028(1)
Circle K — El Paso (Americas), TX
    1     Circle K/Mac’s, G.P.     3,500       100 %   5/5 yr; 2/10 yr.     168,516       48.15     12/20/2007   12/31/2026(1)
Circle K — El Paso (Mesa), TX
    1     Circle K/Mac’s, G.P.     3,150       100 %   5/5 yr; 2/10 yr.     86,951       27.60     12/20/2007   12/31/2028(1)
Circle K — El Paso (Zaragosa), TX
    1     Circle K/Mac’s, G.P.     3,800       100 %   5/5 yr; 2/10 yr.     156,974       41.31     12/20/2007   12/31/2026(1)
Circle K — Fort Mill, SC
    1     Circle K/Mac’s, G.P.     6,553       100 %   5/5 yr; 2/10 yr.     179,289       27.36     12/20/2007   12/31/2026(1)
Circle K — Goose Creek, SC
    1     Circle K/Mac’s, G.P.     2,632       100 %   5/5 yr; 2/10 yr.     103,880       39.47     12/20/2007   12/31/2026(1)
Circle K — Huntersville, NC
    1     Circle K/Mac’s, G.P.     2,770       100 %   5/5 yr; 2/10 yr.     153,127       55.28     12/20/2007   12/31/2027(1)
Circle K — Mount Pleasant, SC
    1     Circle K/Mac’s, G.P.     2,820       100 %   5/5 yr; 2/10 yr.     116,961       41.48     12/20/2007   12/31/2026(1)
Circle K — Port Wentworth, GA
    1     Circle K/Mac’s, G.P.     3,760       100 %   5/5 yr; 2/10 yr.     176,750       47.01     12/20/2007   12/31/2027(1)
Circle K — Savannah (Johnny Mercer), GA
    1     Circle K/Mac’s, G.P.     1,152       100 %   5/5 yr; 2/10 yr.     122,348       106.20     12/20/2007   12/31/2027(1)

11

 

                                                         
                        %               Base    
                Total   Total       Current   Rent    
    Number       Square   Square       Annual   per    
    of   Major   Feet   Feet   Renewal   Base   Square   Lease Term
Property   Tenants   Tenants*   Leased   Leased   Options**   Rent   Foot   Beginning   To
Circle K — Savannah (King George), GA
    1     Circle K/Mac’s, G.P.     2,477       100 %   5/5 yr; 2/10 yr.   $ 122,348     $ 49.39     12/20/2007   12/31/2028(1)
Circle K —Shreveport, LA
    1     Circle K/Mac’s, G.P.     3,180       100 %   5/5 yr; 2/10 yr.     92,338       29.04     12/20/2007   12/31/2026(1)
Circle K — Springdale, SC
    1     Circle K/Mac’s, G.P.     1,760       100 %   5/5 yr; 2/10 yr.     132,351       75.20     12/20/2007   12/31/2027(1)
Exxon — West Monroe (503 Thomas), LA
    1     Circle K/Mac’s, G.P.     3,327       100 %   5/5 yr; 2/10 yr.     111,575       33.54     12/20/2007   12/31/2027(1)
Holland Oil — Akron (940 Arlington), OH
    1     Circle K/Mac’s, G.P.     2,800       100 %   5/5 yr; 2/10 yr.     86,182       30.78     12/20/2007   12/31/2028(1)
Holland Oil — Akron (1178 Arlington), OH
    1     Circle K/Mac’s, G.P.     2,862       100 %   5/5 yr; 2/10 yr.     107,727       37.64     12/20/2007   12/31/2027(1)
Holland Oil — Akron (1559 E. Market), OH
    1     Circle K/Mac’s, G.P.     1,624       100 %   5/5 yr; 2/10 yr.     110,805       68.23     12/20/2007   12/31/2027(1)
Holland Oil — Akron (1693 West Market), OH
    1     Circle K/Mac’s, G.P.     4,977       100 %   5/5 yr; 2/10 yr.     121,578       24.43     12/20/2007   12/31/2028(1)
Holland Oil — Akron (Albrecht), OH
    1     Circle K/Mac’s, G.P.     2,763       100 %   5/5 yr; 2/10 yr.     84,643       30.63     12/20/2007   12/31/2027(1)
Holland Oil — Akron (Brittain), OH
    1     Circle K/Mac’s, G.P.     2,857       100 %   5/5 yr; 2/10 yr.     94,646       33.13     12/20/2007   12/26/2026(1)
Holland Oil — Akron (Brown), OH
    1     Circle K/Mac’s, G.P.     2,635       100 %   5/5 yr; 2/10 yr.     99,263       37.67     12/20/2007   12/31/2026(1)
Holland Oil — Akron (Cuyahoga), OH
    1     Circle K/Mac’s, G.P.     2,800       100 %   5/5 yr; 2/10 yr.     123,886       44.25     12/20/2007   12/31/2026(1)
Holland Oil — Akron (Darrow), OH
    1     Circle K/Mac’s, G.P.     2,800       100 %   5/5 yr; 2/10 yr.     92,338       32.98     12/20/2007   12/31/2026(1)
Holland Oil — Akron (Exchange), OH
    1     Circle K/Mac’s, G.P.     3,190       100 %   5/5 yr; 2/10 yr.     111,575       34.98     12/20/2007   12/31/2028(1)
Holland Oil — Akron (Main St.), OH
    1     Circle K/Mac’s, G.P.     3,258       100 %   5/5 yr; 2/10 yr.     90,029       27.63     12/20/2007   12/31/2026(1)

12

 

                                             
                %               Base    
            Total   Total       Current   Rent    
    Number       Square   Square       Annual   per    
    of   Major   Feet   Feet   Renewal   Base   Square   Lease Term
Property   Tenants   Tenants*   Leased   Leased   Options**   Rent   Foot   Beginning   To
Holland Oil — Akron (Manchester), OH
   1   Circle K/Mac’s, G.P.   2,800   100%   5/5 yr; 2/10 yr.   $ 124,656     $ 44.52     12/20/2007   12/31/2027(1)
Holland Oil — Akron (Ridgewood), OH
   1   Circle K/Mac’s, G.P.   1,710   100%   5/5 yr; 2/10 yr.     99,263       58.05     12/20/2007   12/31/2027(1)
Holland Oil — Akron (Waterloo), OH
   1   Circle K/Mac’s, G.P.   2,800   100%   5/5 yr; 2/10 yr.     90,029       32.15     12/20/2007   12/31/2028(1)
Holland Oil — Barberton (5th St.), OH
   1   Circle K/Mac’s, G.P.   2,800   100%   5/5 yr; 2/10 yr.     93,877       33.53     12/20/2007   12/31/2028(1)
Holland Oil — Barberton (31st St.), OH
   1   Circle K/Mac’s, G.P.   2,800   100%   5/5 yr; 2/10 yr.     73,870       26.38     12/20/2007   12/31/2027(1)
Holland Oil — Barberton (Wooster), OH
   1   Circle K/Mac’s, G.P.   3,600   100%   5/5 yr; 2/10 yr.     170,825       47.45     12/20/2007   12/31/2026(1)
Holland Oil — Bedford, OH
   1   Circle K/Mac’s, G.P.   2,450   100%   5/5 yr; 2/10 yr.     96,955       39.57     12/20/2007   12/31/2028(1)
Holland Oil — Brookpark, OH
   1   Circle K/Mac’s, G.P.   2,740   100%   5/5 yr; 2/10 yr.     103,110       37.63     12/20/2007   12/31/2026(1)
Holland Oil — Canton (12th Street), OH
   1   Circle K/Mac’s, G.P.   2,800   100%   5/5 yr; 2/10 yr.     88,490       31.60     12/20/2007   12/31/2026(1)
Holland Oil — Canton (Tuscarawas), OH
   1   Circle K/Mac’s, G.P.   4,500   100%   5/5 yr; 2/10 yr.     166,977       37.11     12/20/2007   12/31/2028(1)
Holland Oil — Cleveland, OH
   1   Circle K/Mac’s, G.P.   4,318   100%   5/5 yr; 2/10 yr.     120,809       27.98     12/20/2007   12/31/2026(1)
Holland Oil — Copley, OH
   1   Circle K/Mac’s, G.P.   2,439   100%   5/5 yr; 2/10 yr.     87,721       35.97     12/20/2007   12/31/2027(1)
Holland Oil — Cuyahoga Falls (Bath), OH
   1   Circle K/Mac’s, G.P.   4,269   100%   5/5 yr; 2/10 yr.     153,896       36.05     12/20/2007   12/31/2028(1)
Holland Oil — Cuyahoga Falls (Port), OH
   1   Circle K/Mac’s, G.P.   2,959   100%   5/5 yr; 2/10 yr.     105,419       35.63     12/20/2007   12/31/2026(1)
Holland Oil — Cuyahoga Falls (State), OH
   1   Circle K/Mac’s, G.P.   2,100   100%   5/5 yr; 2/10 yr.     78,487       37.37     12/20/2007   12/31/2028(1)
Holland Oil — Fairlawn, OH
   1   Circle K/Mac’s, G.P.   2,900   100%   5/5 yr; 2/10 yr.     122,348       42.19     12/20/2007   12/31/2028(1)
Holland Oil — Kent, OH
   1   Circle K/Mac’s, G.P.   2,068   100%   5/5 yr; 2/10 yr.     75,409       36.46     12/20/2007   12/31/2027(1)

13

 

                                             
                %               Base    
            Total   Total       Current   Rent    
    Number       Square   Square       Annual   per    
    of   Major   Feet   Feet   Renewal   Base   Square   Lease Term
Property   Tenants   Tenants*   Leased   Leased   Options**   Rent   Foot   Beginning   To
Holland Oil — Maple Heights, OH
   1   Circle K/Mac’s, G.P.   2,967   100%   5/5 yr; 2/10 yr.   $ 113,114     $ 38.12     12/20/2007   12/31/2026(1)
Holland Oil — Northfield, OH
   1   Circle K/Mac’s, G.P.   4,647   100%   5/5 yr; 2/10 yr.     147,740       31.79     12/20/2007   12/31/2028(1)
Holland Oil — Norton, OH
   1   Circle K/Mac’s, G.P.   3,750   100%   5/5 yr; 2/10 yr.     109,266       29.14     12/20/2007   12/31/2026(1)
Holland Oil — Parma, OH
   1   Circle K/Mac’s, G.P.   3,039   100%   5/5 yr; 2/10 yr.     95,416       31.40     12/20/2007   12/31/2028(1)
Holland Oil — Seville, OH
   1   Circle K/Mac’s, G.P.   7,200   100%   5/5 yr; 2/10 yr.     186,214       25.86     12/20/2007   12/31/2028(1)
Holland Oil — Twinsburg, OH
   1   Circle K/Mac’s, G.P.   3,298   100%   5/5 yr; 2/10 yr.     103,110       31.26     12/20/2007   12/31/2028(1)
Holland Oil — Willoughby, OH
   1   Circle K/Mac’s, G.P.   2,938   100%   5/5 yr; 2/10 yr.     90,799       30.91     12/20/2007   12/31/2026(1)
Shell — Monroe, LA
   1   Circle K/Mac’s, G.P.   4,140   100%   5/5 yr; 2/10 yr.     116,192       28.07     12/20/2007   12/31/2028(1)
Spectrum — Auburn, AL
   1   Circle K/Mac’s, G.P.   2,772   100%   5/5 yr; 2/10 yr.     131,581       47.47     12/20/2007   12/31/2026(1)
Spectrum — Augusta, GA
   1   Circle K/Mac’s, G.P.   3,010   100%   5/5 yr; 2/10 yr.     83,873       27.86     12/20/2007   12/31/2026(1)
Spectrum — Columbus (Airport), GA
   1   Circle K/Mac’s, G.P.   2,205   100%   5/5 yr; 2/10 yr.     116,961       53.04     12/20/2007   12/31/2027(1)
Spectrum — Columbus (Beaver Run), GA
   1   Circle K/Mac’s, G.P.   3,760   100%   5/5 yr; 2/10 yr.     190,831       50.75     12/20/2007   12/31/2028(1)
Spectrum — Columbus (Bradley), GA
   1   Circle K/Mac’s, G.P.   4,750   100%   5/5 yr; 2/10 yr.     253,929       53.46     12/20/2007   12/31/2028(1)
Spectrum — Columbus (Buena Vista), GA
   1   Circle K/Mac’s, G.P.   2,205   100%   5/5 yr; 2/10 yr.     122,348       55.49     12/20/2007   12/31/2027(1)
Spectrum — Columbus (Lumpkin), GA
   1   Circle K/Mac’s, G.P.   2,874   100%   5/5 yr; 2/10 yr.     126,964       44.18     12/20/2007   12/31/2028(1)
Spectrum — Columbus (Warm Springs), GA
   1   Circle K/Mac’s, G.P.   4,934   100%   5/5 yr; 2/10 yr.     149,279       30.26     12/20/2007   12/31/2027(1)
Spectrum — Lanett, AL
   1   Circle K/Mac’s, G.P.   2,631   100%   5/5 yr; 2/10 yr.     64,636       24.57     12/20/2007   12/31/2028(1)
Spectrum — Macon (Arkwright), GA
   1   Circle K/Mac’s, G.P.   2,248   100%   5/5 yr; 2/10 yr.     86,951       38.68     12/20/2007   12/31/2026(1)

14

 

                                             
                %               Base    
            Total   Total       Current   Rent    
    Number       Square   Square       Annual   per    
    of   Major   Feet   Feet   Renewal   Base   Square   Lease Term
Property   Tenants   Tenants*   Leased   Leased   Options**   Rent   Foot   Beginning   To
Spectrum — Macon (Riverside), GA
   1   Circle K/Mac’s, G.P.   2,580   100%   5/5 yr; 2/10 yr.   $ 95,416     $ 36.98     12/20/2007   12/31/2028
Spectrum — Martinez, GA
   1   Circle K/Mac’s, G.P.   2,250   100%   5/5 yr; 2/10 yr.     96,955       43.09     12/20/2007   12/31/2026(1)
Spectrum — Mobile (Airport), AL
   1   Circle K/Mac’s, G.P.   1,800   100%   5/5 yr; 2/10 yr.   138,507     76.95     12/20/2007   12/31/2026(1)
Spectrum — Mobile (Moffett), AL
   1   Circle K/Mac’s, G.P.   678   100%   5/5 yr; 2/10 yr.     118,500       174.78     12/20/2007   12/31/2026(1)
Spectrum — North Augusta, GA
   1   Circle K/Mac’s, G.P.   2,240   100%   5/5 yr; 2/10 yr.     90,799       40.54     12/20/2007   12/31/2028(1)
Spectrum — Opelika (2nd Ave), AL
   1   Circle K/Mac’s, G.P.   2,531   100%   5/5 yr; 2/10 yr.     99,263       39.22     12/20/2007   12/31/2028(1)
Spectrum — Opelika (Columbus), AL
   1   Circle K/Mac’s, G.P.   3,796   100%   5/5 yr; 2/10 yr.     178,520       47.03     12/20/2007   12/31/2027(1)
Spectrum — Phenix City, AL
   1   Circle K/Mac’s, G.P.   3,054   100%   5/5 yr; 2/10 yr.     121,578       39.81     12/20/2007   12/31/2028(1)
Spectrum — Pine Mountain, GA
   1   Circle K/Mac’s, G.P.   3,285   100%   5/5 yr; 2/10 yr.     86,951       26.47     12/20/2007   12/31/2026(1)
Spectrum — Valley, AL
   1   Circle K/Mac’s, G.P.   3,312   100%   5/5 yr; 2/10 yr.     118,500       35.78     12/20/2007   12/31/2028(1)
Spirit — West Monroe (1602 Thomas), LA
   1   Circle K/Mac’s, G.P.   3,927   100%   5/5 yr; 2/10 yr.     126,964       32.33     12/20/2007   12/31/2026(1)
 
*   Major tenants include those tenants that occupy greater than 10.0% of the rentable square feet of their respective property.
 
**   Represents option renewal period / term of each option.
 
(1)   The initial annual rent for the property is subject to rental escalations of 1.5% each year through the remainder of the lease. For the purposes of presentation the individual rental escalations were not displayed in the table above.
     Cole Realty Advisors has the sole and exclusive right to manage, operate, lease and supervise the overall maintenance of the properties listed above and currently receives a property management fee of up to 2.0% of the monthly gross revenues from our single-tenant properties and up to 4.0% of the monthly gross revenues from our multi-tenant properties. We currently have no plan for any renovations, improvements or development of the properties listed above and we believe the properties are adequately insured.
     In connection with the property acquisitions noted above, we incurred the following fixed rate mortgage note:
                         
Property   Loan Amount     Fixed Interest Rate     Maturity Date  
Circle K Portfolio
   $ 66,000,000       6.69%       1/1/2018  
     The fixed rate debt mortgage note requires monthly principal and interest payments with the principal balance due in 2018. The mortgage note is generally non-recourse to us and Cole OP II, but both are liable for customary non-recourse carveouts.
     The fixed rate mortgage note generally may not be prepaid, in whole or in part, except under the following circumstances: (i) full prepayment may be made on any of the three (3) monthly payment dates occurring immediately prior to the maturity date, and (ii) partial prepayments resulting from the application of insurance or condemnation proceeds to reduce the outstanding principal balance

15

 

of the mortgage note. Notwithstanding the prepayment limitations, we may sell the property to a buyer that assumes the respective mortgage loan. The transfer would be subject to the conditions set forth in the individual property’s mortgage note document, including without limitation, the lender’s approval of the proposed buyer and the payment of the lender’s fees, costs and expenses associated with the sale of the property and the assumption of the loan.
     In the event the mortgage note related to the property is not paid off on the maturity date, the mortgage loan includes default provisions. Upon the occurrence of an event of default, interest on the mortgage note will accrue at an annual default interest rate equal to the lesser of (a) the maximum rate permitted by applicable law, or (b) 4.0% above the fixed interest rate. In addition, we will be required to pay a prepayment consideration in an amount equal to the greater of 1.0% of the outstanding principal balance of the mortgage note, or the present value of the remaining scheduled payments of principal and interest from the date such payment is received through the maturity date at the time any payment is received by the lender.
     For federal income tax purposes, the depreciable basis in the properties noted above is approximately $134.2 million in total. When we calculate depreciation expense for tax purposes, we will use the straight-line method. We depreciate buildings and improvements based upon estimated useful lives of 40 years, respectively. The depreciable basis in the properties noted above are detailed as follows:
         
Property   Depreciable Tax Basis  
Starbucks — Oklahoma City, OK
   $ 891,352  
Starbucks — Chattanooga, TN
     935,699  
Starbucks — Maryville, TN
     877,181  
Starbucks — Powell, TN
     854,534  
Starbucks — Seymour, TN
     809,925  
Walgreens — Beverly Hills, TX
     2,880,000  
Walgreens — Waco, TX
     2,880,000  
Allstate Insurance Contact Center— Cross Plains, WI
     4,576,000  
Mealey’s Furniture — Maple Shade, NJ
     4,280,000  
Circle K— Albuquerque, NM
     1,020,575  
Circle K — Baton Rouge (Burbank), LA
     761,382  
Circle K — Baton Rouge (Floynell), LA
     1,125,873  
Circle K — Baton Rouge (Jefferson), LA
     866,679  
Circle K — Beaufort, SC
     1,312,168  
Circle K — Bluffton, SC
     2,073,550  
Circle K — Bossier City, LA
     1,223,070  
Circle K — Charleston, SC
     2,081,649  
Circle K — Charlotte (Independence), NC
     1,506,563  
Circle K — Charlotte (Sharon), NC
     1,563,262  
Circle K — Charlotte (Sugar Creek), NC
     1,611,861  
Circle K — Columbia (Garners), SC
     1,1692,858  
Circle K — Columbia (Hardscrabble), SC
     1,401,266  
Circle K — El Paso (Americas), TX
     1,773,854  
Circle K — El Paso (Mesa), TX
     915,278  
Circle K — El Paso (Zaragosa), TX
     1,652,360  
Circle K — Fort Mill, SC
     1,887,254  
Circle K — Goose Creek, SC
     1,093,474  
Circle K — Huntersville, NC
     1,611,861  
Circle K — Mount Pleasant, SC
     1,231,170  
Circle K — Port Wentworth, GA
     1,860,525  
Circle K — Savannah (Johnny Mercer), GA
     1,287,869  
Circle K — Savannah (King George), GA
     1,287,869  
Circle K — Shreveport, LA
     971,976  

16

 

         
Property   Depreciable Tax Basis  
Circle K — Springdale, SC
   $ 1,393,166  
Exxon — West Monroe (503 Thomas), LA
     1,174,471  
Holland Oil — Akron (940 Arlington), OH
     907,178  
Holland Oil — Akron (1178 Arlington), OH
     1,133,972  
Holland Oil — Akron (1559 E. Market), OH
     1,166,371  
Holland Oil — Akron (1693 West Market), OH
     1,279,769  
Holland Oil — Akron (Albrecht), OH
     890,978  
Holland Oil — Akron (Brittain), OH
     996,276  
Holland Oil — Akron (Brown), OH
     1,044,874  
Holland Oil — Akron (Cuyahoga), OH
     1,304,068  
Holland Oil — Akron (Darrow), OH
     971,976  
Holland Oil — Akron (Exchange), OH
     1,174,471  
Holland Oil — Akron (Main St.), OH
     947,677  
Holland Oil — Akron (Manchester), OH
     1,312,168  
Holland Oil — Akron (Ridgewood), OH
     1,044,874  
Holland Oil — Akron (Waterloo), OH
     947,677  
Holland Oil — Barberton (5th St.), OH
     988,176  
Holland Oil — Barberton (31st St.), OH
     777,581  
Holland Oil — Barberton (Wooster), OH
     1,798,156  
Holland Oil — Bedford, OH
     1,020,575  
Holland Oil — Brookpark, OH
     1,085,374  
Holland Oil — Canton (12th Street), OH
     931,478  
Holland Oil — Canton (Tuscarawas), OH
     1,757,657  
Holland Oil — Cleveland, OH
     1,271,669  
Holland Oil — Copley, OH
     923,378  
Holland Oil — Cuyahoga Falls (Bath), OH
     1,619,961  
Holland Oil — Cuyahoga Falls (Port), OH
     1,109,673  
Holland Oil — Cuyahoga Falls (State), OH
     826,180  
Holland Oil — Fairlawn, OH
     1,287,869  
Holland Oil — Kent, OH
     793,781  
Holland Oil — Maple Heights, OH
     1,190,671  
Holland Oil — Northfield, OH
     1,555,162  
Holland Oil — Norton, OH
     1,150,172  
Holland Oil — Parma, OH
     1,004,375  
Holland Oil — Seville, OH
     1,960,152  
Holland Oil — Twinsburg, OH
     1,085,374  
Holland Oil — Willoughby, OH
     955,777  
Shell — Monroe, LA
     1,223,070  
Spectrum — Auburn, AL
     1,385,066  
Spectrum — Augusta, GA
     882,878  
Spectrum — Columbus (Airport), GA
     1,231,170  
Spectrum — Columbus (Beaver Run), GA
     2,008,751  
Spectrum — Columbus (Bradley), GA
     2,672,934  
Spectrum — Columbus (Buena Vista), GA
     1,287,869  
Spectrum — Columbus (Lumpkin), GA
     1,336,467  
Spectrum — Columbus (Warm Springs), GA
     1,571,362  
Spectrum — Lanett, AL
     680,383  
Spectrum — Macon (Arkwright), GA
     915,278  
Spectrum — Macon (Riverside), GA
     1,004,375  
Spectrum — Martinez, GA
     1,020,575  

17

 

         
Property   Depreciable Tax Basis  
Spectrum — Mobile (Airport), AL
   $ 1,457,964  
Spectrum — Mobile (Moffett), AL
     1,247,370  
Spectrum — North Augusta, GA
     955,777  
Spectrum — Opelika (2nd Ave), AL
     1,044,874  
Spectrum — Opelika (Columbus), AL
     1,879,154  
Spectrum — Phenix City, AL
     1,279,769  
Spectrum — Pine Mountain, GA
     915,278  
Spectrum — Valley, AL
     1,247,370  
Spirit — West Monroe (1602 Thomas), LA
     1,336,467  
 
      
Total
   $ 134,166,295  
 
      
Tenant Lease Expirations
     The following table sets forth, as of December 20, 2007, lease expirations of our properties, including the properties described above, for each of the next ten years assuming no renewal options are exercised. For purposes of the table, the “total annual base rent” column represents annualized base rent, based on rent in effect on January 1 of the respective year, for each lease that expires during the respective year.
                                 
    Number of     Approx. Square     Total Annual     % of Total  
Year Ending December 31,   Leases Expiring     Feet Expiring     Base Rent     Annual Base Rent  
2007
     1       2,000     $ 37,500       >0 %
2008
     11       53,937       682,368       1 %
2009
     14       105,760       798,301       1 %
2010
     15       128,264       688,299       1 %
2011
     13       51,260       524,983       1 %
2012
     14       142,727       1,007,324       1 %
2013
     19       364,674       2,106,711       2 %
2014
     12       194,107       1,834,308       2 %
2015
     16       1,048,672       4,743,844       5 %
2016
     27       1,376,457       8,183,592       8 %
2017
     33       1,269,518       7,238,592       7 %
 
                        
 
     175       4,737,376     $ 27,845,822       29 %
 
                        
Prior Potential Property Investments
     A prior supplement to this prospectus described potential acquisitions of an approximately 2,000 square foot single-tenant retail building on an approximately 0.9 acre site located in Brenham, Texas, an approximately 1,700 square foot single-tenant retail building on an approximately 0.6 acre site located in Cleveland, Texas, an approximately 2,000 square foot single-tenant retail building on an approximately 0.8 acre site located in Houston, Texas, an approximately 2,300 square foot single-tenant retail building on an approximately 0.5 acre site located in Liberty, Texas, and an approximately 2,100 square foot single-tenant retail building on an approximately 0.7 acre site located in Winnie, Texas. The purchase agreements between Series B, LLC, an affiliate of our advisor, and the sellers for the acquisition of each property, respectively, was terminated prior to their assignment to us, and we are no longer considering these properties for purchase.

18

 

 
APPENDIX B
 
u COLE u CREDIT PROPERTY TRUST II, INC. For Prospectus dated May 11, 2007
Subscription Agreement for the Purchase of Common Stock of Cole Credit Property Trust II, Inc.
Please read this Subscription Agreement/Signature Page and the Terms and Conditions before signing.
 
A - INVESTMENT
 
         
Purchase of Cole Credit Property Trust II, Inc. Shares

$                                    =                           × $10
Total $ Invested     =  # of Shares     × $10
  o Initial Subscription (Minimum $2,500)
o Additional Subscription (Minimum $1,000)
o REGISTERED REPRESENTATIVE PURCHASE
o RIA-See Section G
A completed Subscription Agreement is required for
each initial and additional investment. 		  o Check Enclosed for Subscription Amount
o Subscription Amount Wired
o Check sent separately
 
B - TYPE OF OWNERSHIP
 
NON-CUSTODIAL OWNERSHIP (Make Check Payable To: Wells Fargo Bank N.A., Escrow Agent for Cole Credit Property Trust II, Inc.)
 
         
         
o Individual Ownership
o Joint Tenants with Right of Survivorship
o Community Property
o Tenants-in-Common o Other (specify)
o Trust (Specify, i.e., Family, Living, Revocable, etc.)
  o Corporate Ownership
o Partnership Ownership
o LLC Ownership
o TOD (Fill out TOD Form to effect designation)
o Other (specify) ­ ­ 		 
o Uniform Gifts to Minors Act: State of ­ ­ 
Custodian for ­ ­ 
o Pension or Profit Sharing Plan
o Taxable o Exempt under §501A
o Name of Trustee/Other Administrator
o Taxable o Grantor A or B
Date Trust Established ­ ­Name of Trustee/Other
Administrator ­ ­
       
       
 
CUSTODIAL OWNERSHIP (Make check payable to the custodian listed and send ALL paperwork directly to the custodian.)
  o Traditional IRA
  o Roth IRA
  o Simplified Employee Pension/Trust (S.E.P.)
  o KEOGH
  o Pension or Profit Sharing Plan
o Taxable  o Exempt under §501A
Name of Trustee/Other Administrator ­ ­
  o Other (specify) ­ ­
    CUSTODIAN INFORMATION
o Sterling Trust Company (set up fee waived and annual fees discounted)
or
o Name of Custodian or Trustee ­ ­Mailing Address ­ ­City                 State        Zip           
Investor’s Custodian Account # o o o o  o o o o o  o o o o o o o o
Custodian Telephone No. o o o - o  o o - o o o o
 
 
C - SUBSCRIBER INFORMATION
 
Subscriber Name                  o Mr. o Mrs. o Ms.
Social Security # or Taxpayer ID # o o o - o  o - o o o o 
Date of Birth/Date of Incorporation o o - o o  - o o o o
Mailing Address                                 
City                 State         Zip          
Home Telephone No. o o o - o  o o - o o o o
Business Telephone No. o o o - o  o o - o o o o
Co- Subscriber                  o Mr. o Mrs. o Ms.
Social Security #o o o - o o - o o o o (Co-Subscriber)
Date of Birth o o - o o - o o o o (Co-Subscriber)
Residence Address (if different from mailing address)            
City                 State         Zip          
E-mail Address                                 
Please Indicate Citizenship Status o U.S. Citizen   o Resident Alien
o Non-Resident Alien
o Employee or Affiliate
 
 
INTERESTED PARTY (Optional)
If you would like a duplicate copy of all communications the Company sends to you to be sent to an additional party (such as your accountant or financial advisor), please complete the following.
 
     
Name of Interested Party ­ ­

Street Address or P.O. Box ­ ­

City ­ ­ State ­ ­ Zip ­ ­

E-mail Address (optional) ­ ­ 		 
Name of Firm ­ ­

Business Telephone No. o o o - o o o - o o o o

Facsimile Telephone No. o o o - o o o - o o o o
 
     
u COLE u CREDIT PROPERTY TRUST II, INC.
  Mail to: Cole Credit Property Trust II, Inc.
© 2007 Cole Companies
  c/o Phoenix Transfer, Inc.
    2401 Kerner Boulevard, San Rafael, California 94901
    Phone 866-341-2653
 
(CONTINUED ON REVERSE SIDE)


B-1

 

 
D — DISTRIBUTION OPTIONS: NON-CUSTODIAL OWNERSHIP ACCOUNTS
o Mail to Address of Record
o  Distribution Reinvestment Program: Subscriber elects to participate in the Distribution Reinvestment Program described in the Prospectus.
o  Distributions directed to:
  o  Via Mail (complete information below)
  o  Via Electronic Deposit (ACH — complete information below)
  o  Checking o Savings
Name of Bank or Individual ­ ­
Mailing Address ­ ­
City ­ ­ State ­ ­ Zip ­ ­
Bank ABA # (for ACH only) ­ ­
Account # (MUST BE FILLED IN) ­ ­
 
DISTRIBUTION OPTIONS: CUSTODIAL OWNERSHIP ACCOUNTS
o Mail to Custodial Account
 
o Distribution Reinvestment Program: Subscriber elects to participate in the Distribution Reinvestment Program described in the Prospectus
 
I (we) hereby authorize Cole Credit Property Trust II, Inc. (“Company”) to deposit distributions from my (our) interest in stock of the Company into the account at the financial institution as indicated in this Section D. I further authorize the Company to debit this account in the event that the Company erroneously deposits additional funds to which I am not entitled, provided that such debit shall not exceed the original amount of the erroneous deposit. In the event that I withdraw funds erroneously deposited into my account before the Company reverses such deposit, I agree that the Company has the right to retain any future distributions that I am entitled until the erroneously deposited amounts are recovered by the Company.
 
This authorization is to remain in full force and effect until the Company has received written notice from me of the termination of this authorization in time to allow reasonable opportunity to act on it, or until the Company has sent me written notice of termination of this authorization.
 
Investor’s Signature ­ ­
E — SUBSCRIBER SIGNATURES
 
                 
I hereby acknowledge and/or represent (or in the case of fiduciary accounts, the person authorized to sign on my behalf) the following:
  Owner   Joint Owner
a.
  I have received the prospectus relating to the shares, wherein the terms and conditions of the offering of the shares are described.   a.        
Initials 		       
Initials
                 
b.
  I (we) either: (i) have a net worth (excluding home, home furnishings and automobiles) of at least $45,000 and had during the last year or estimate that I (we) will have in the current year gross income of at least $45,000; or (ii) have a net worth (excluding home, home furnishings and automobiles) of at least $150,000, or that I (we) meet such higher suitability requirements as may be required by my state of residence and set forth in the prospectus under “Suitability Standards.” In the case of sales to fiduciary accounts, the suitability standards must be met by the beneficiary, the fiduciary account or by the donor or grantor who directly or indirectly supplies the funds for the purchase of the shares.   b.        
Initials 		       
Initials
                 
c.
  For residents of Arizona, California, Michigan, North Carolina or Tennessee only: I have either (i) a net worth of at least $225,000 or (ii) a gross annual income of at least $60,000 and a net worth of at least $60,000.   c.        
Initials 		       
Initials
                 
d.
  For residents of Maine only: I have either (i) a net worth of at least $200,000 or (ii) a gross annual income of at least $50,000 and a net worth of at least $50,000.   d.        
Initials 		       
Initials
                 
e.
  For residents of Kansas only: I have either (i) a net worth of at least $250,000 or (ii) a gross annual income of at least $70,000 and a net worth of at least $70,000. In addition, I acknowledge that it is recommended that I should invest no more than 10% of my liquid net worth in the Shares and the securities of other real estate investment trusts. “Liquid net worth” is that portion of net worth (total assets minus total liabilities) that is comprised of cash, cash equivalents and readily marketable securities.   e.        
Initials 		       
Initials
                 
f.
  For residents of Massachusetts, Ohio or Pennsylvania only: I have either (i) a net worth of at least $250,000 or (ii) a gross annual income of at least $70,000 and a net worth of at least $70,000, and my maximum investment in the Company and its affiliates will not exceed 10% of my net worth.   f.        
Initials 		       
Initials
                 
g.
  For residents of Kentucky only: I have either (a) a net worth of at least $250,000 or (b) a gross annual income of at least $70,000 and a net worth of at least $70,000 and my investment does not exceed 10% of my liquid net worth.   g.        
Initials 		       
Initials
                 
h.
  For residents of Iowa and New Mexico only: I have either (a) a net worth of at least $250,000 or (b) an annual gross income of at least $70,000 and a net worth of at least $70,000.   h.        
Initials 		       
Initials
                 
i.
  I am purchasing the shares for my own account, or if I am (we are) purchasing shares on behalf of a trust or other entity of which I am (we are) trustee(s) or authorized agent(s), I (we) have due authority to execute the Subscription Agreement/Signature Page and do hereby legally bind the trust or other entity of which I am (we are) trustee(s) or authorized agent(s).   i.        
Initials 		       
Initials
                 
j.
  I acknowledge that the shares are not liquid.   j.        
Initials 		       
Initials
 
SUBSTITUTE W-9: I HEREBY CERTIFY under penalty of perjury (i) that the taxpayer identification number shown on the Subscription Agreement/Signature Page is true, correct and complete, (ii) that I am not subject to backup withholding either because I have not been notified that I am subject to backup withholding as a result of a failure to report all interest or distributions, or the Internal Revenue Service has notified me that I am no longer subject to backup withholding, and (iii) I am a U.S. person.
 
NOTICE IS HEREBY GIVEN TO EACH SUBSCRIBER THAT BY EXECUTING THIS AGREEMENT YOU ARE NOT WAIVING ANY RIGHTS YOU MAY HAVE UNDER THE SECURITIES ACT OF 1933 AND ANY STATE SECURITIES LAWS.
 
A SALE OF THE SHARES MAY NOT BE COMPLETED UNTIL AT LEAST FIVE BUSINESS DAYS AFTER THE DATE THE SUBSCRIBER RECEIVES THE PROSPECTUS.
             
             
             
Signature of Investor   Signature of Co-Investor, if applicable   Authorized Signature (Custodian or Trustee, if applicable)   Date


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F — BROKER/DEALER and REGISTERED REPRESENTATIVE Broker/Dealer data -To be completed by selling Registered Representative (please use representative’s address — not home office)
o Mr. o Mrs. o Ms.
Name of Registered Representative ­ ­
Mailing Address ­ ­
City ­ ­ State ­ ­ Zip ­ ­
Home Office Mailing Address ­ ­
City ­ ­ State ­ ­ Zip ­ ­
Broker/Dealer Representative ID # ­ ­
                                                 
     
Registered Representative’s Telephones
              -               -                
                                                 
Registered Representative’s E-Mail ­ ­
Have You Changed Broker/Dealer (since last purchase)? o Yes o No
Signature — Registered Representative ­ ­
Signature — Broker/Dealer (if applicable) ­ ­
G — REGISTERED INVESTMENT ADVISOR (RIA)
REGISTERED INVESTMENT ADVISOR (RIA) - NO SALES COMMISSIONS ARE PAID ON THESE ACCOUNTS.
 
o  Check only if subscription is made through the RIA in its capacity as an RIA and not in its capacity as a Registered Representative, if applicable, whose agreement with the subscriber includes a fixed or “wrap” fee feature for advisory and related brokerage services. If an owner or principal or any member of the RIA firm is an NASD licensed Registered Representative affiliated with a broker/dealer, the transaction should be conducted through that broker/dealer, not through the RIA.
ELECTRONIC DELIVERY (OPTIONAL)
 
Instead of receiving paper copies of this prospectus, our prospectus supplements, annual reports, proxy statements and other stockholder communications and reports, you may elect to receive electronic delivery of stockholder communications from Cole Credit Property Trust II, Inc. If you would like to consent to electronic delivery, including pursuant to CD-ROM or electronic mail please sign and return this election with your Subscription Agreement.
 
By signing below, I acknowledge and agree that I will not receive paper copies of any stockholder communications unless (i) I notify Cole that I am revoking this election with respect to all stockholder communications or (ii) I specifically request that Cole send a paper copy of a particular stockholder communication to me. Cole has advised me that I have the right to revoke this election at any time and receive all stockholder communications as paper copies through the mail. I also understand that I have the right to request a paper copy of any stockholder communication.
 
By electing electronic delivery, I understand that I may incur certain costs associated with spending time on-line and downloading and printing stockholder communications and I may be required to download software to read documents delivered in electronic format. Electronic delivery also involves risks related to system or network outage that could impair my timely receipt of or access to stockholder communications.
 
         
         
Signature
  Date   E-mail Address


B-3

 

 
APPENDIX C
 
u COLE u CREDIT PROPERTY TRUST II, INC.
 
Additional Investment Subscription Agreement
This form may be used by any current Investor (the “Investor”) in Cole Credit Property Trust II, Inc. (the “Company”), who desires to purchase additional shares of the Company’s common stock pursuant to the Additional Subscription Agreement and who purchased their shares directly from the Company. Investors who acquired shares other than through use of a Subscription Agreement (e.g., through a transfer of ownership or TOD) and who wish to make additional investments must complete the Cole Credit Property Trust II, Inc. Subscription Agreement.
Minimum Additional Investment: $1,000
 
         
         
$                                          
Total $ Invested
  Total Shares    
Total shares may vary if this is a non-commission sale or if volume discounts apply.    
         
SUBSCRIBER INFORMATION
 
Subscriber Name ­ ­  o Mr. o Mrs. o Ms.
Social Security # or Taxpayer ID # o o o - o  o - o o o o 
Mailing Address ­ ­
Home Telephone No. o o o - o  o o - o o o o 
Existing CCPTII Account # ­ ­
Date of Birth or Date of Incorporation o o - o o  - o o o o 
City                 State         ZIP          
Business Telephone No. o o o - o  o o - o o o o 
SUBSCRIBER SIGNATURES
 
                 
I hereby acknowledge and/or represent (or in the case of fiduciary accounts, the person authorized to sign on my behalf) the following:
  Owner   Joint Owner
a.
  I have received the prospectus as supplemented to date relating to the shares, wherein the terms and conditions of the offering of the shares are described.   a.        
Initials 		       
Initials
                 
b.
  I (we) either: (i) have a net worth (excluding home, home furnishings and automobiles) of at least $45,000 and had during the last year or estimate that I (we) will have in the current year gross income of at least $45,000; or (ii) have a net worth (excluding home, home furnishings and automobiles) of at least $150,000, or that I (we) meet such higher suitability requirements as may be required by my state of residence and set forth in the prospectus under “Suitability Standards.” In the case of sales to fiduciary accounts, the suitability standards must be met by the beneficiary, the fiduciary account or by the donor or grantor who directly or indirectly supplies the funds for the purchase of the shares.   b.        
Initials 		       
Initials
                 
c.
  For residents of Arizona, California, Michigan, North Carolina or Tennessee only: I have either (i) a net worth of at least $225,000 or (ii) a gross annual income of at least $60,000 and a net worth of at least $60,000.   c.        
Initials 		       
Initials
                 
d.
  For residents of Maine only: I have either (i) a net worth of at least $200,000 or (ii) a gross annual income of at least $50,000 and a net worth of at least $50,000.   d.        
Initials 		       
Initials
                 
e.
  For residents of Kansas only: I have (i) a net worth of at least $250,000 or (ii) a gross annual income of at least $70,000 and a net worth of at least $70,000. In addition, I acknowledge that it is recommended that I should invest no more than 10% of my liquid net worth in the shares and the securities of other real estate investment trusts. “Liquid net worth” is that portion of net worth (total assets minus total liabilities) that is comprised of cash, cash equivalent and readily marketable securities.   e.        
Initials. 		       
Initials
                 
f.
  For residents of Massachusetts, Ohio or Pennsylvania only: I have either (i) a net worth of at least $250,000 or (ii) a gross annual income of at least $70,000 and a net worth of at least $70,000, and my maximum investment in the Company and its affiliates will not exceed 10% of my net worth.   f.        
Initials 		       
Initials
                 
g.
  For residents of Kentucky only: I have either (a) a net worth of at least $250,000 or (b) a gross annual income of at least $70,000 and a net worth of at least $70,000 and, unless I originally purchased shares in the Company’s initial public offering, my investment does not exceed 10% of my liquid net worth.   g.        
Initials 		       
Initials
                 
h.
  For residents of Iowa and New Mexico only: I have either (i) a net worth of at least $250,000 or (b) a gross annual income of at least $70,000 and a net worth of at least $70,000.   h.        
Initials 		       
Initials
                 
i.
  I am purchasing the shares for my own account or I am (we are) purchasing shares on behalf of a trust or other entity of which I am (we are) trustee(s) or authorized agent(s), I (we) have due authority to execute this Additional Subscription Agreement and do hereby legally bind the trust or other entity of which I am (we are) trustee(s) or authorized agent(s).   i.        
Initials 		       
Initials
                 
j.
  I acknowledge that the shares are not liquid.   j.        
Initials 		       
Initials
 
NOTICE IS HEREBY GIVEN TO EACH SUBSCRIBER THAT BY EXECUTING THIS AGREEMENT YOU ARE NOT WAIVING ANY RIGHTS YOU MAY HAVE UNDER THE SECURITIES ACT OF 1933 AND ANY STATE SECURITIES LAWS.
 
A SALE OF THE SHARES MAY NOT BE COMPLETED UNTIL AT LEAST FIVE BUSINESS DAYS AFTER THE DATE THE SUBSCRIBER RECEIVES THE PROSPECTUS.
             
             
             
Signature of Investor   Signature of Co-Investor, if applicable   Authorized Signature (Custodian or Trustee, if applicable)   Date
 
     
u COLE u CREDIT PROPERTY TRUST II, INC.
  Mail to: Cole Credit Property Trust II, Inc.
c/o Phoenix Transfer, Inc.
2401 Kerner Boulevard • San Rafael, CA 94901
Phone: 866-341-2653


C-1