Midwest Dental 5105 W Morgan Ave, Greenfield, WI

™

OFFERING MEMORANDUM

5105 W Morgan Ave, Greenfield, WI 53220 Midwest Dental

LISTED BY THOR ST JOHN MICHAEL MORENO RAHUL CHHAJED Associate Senior Associate Senior Associate DIRECT (310) 955-1774 DIRECT (949) 432-4511 DIRECT (949) 432-4513 MOBILE (510) 684-0574 MOBILE (818) 522-4497 MOBILE (818) 434-1106 [email protected] [email protected] [email protected] LIC #02051284 (CA) LIC #01982943 (CA) LIC # 01986299 (CA)

KYLE MATTHEWS Broker of Record LIC #9381054-91 (WI)

| 2 ExecutiveTableMidwest of Contents DentalOverview

• Dental clinics rarely relocate due to investment in property, high moving costs, and difficulty retaining the same patients at a new location PROPERTY • Rare Absolute NNN Medical Lease–Medical properties are sought after for their resistance to e-commerce and recessions, but are rarely offered as completely hands-off investments

• Naked Lease–Tenant has no options to renew after the current term, gifting a future landlord the opportunity to structure a new lease upon expiration

• Conveniently located off West Forrest Home Ave, which runs over 10 miles through the busiest parts of Milwaukee and has an average traffic count of 20,000 VPD. LOCATION • Ideal Dental Demographics–385,000 people living in a 5-mile radius of the property

• The greater Milwaukee area is a top 30 MSA, and is the largest MSA in Wisconsin with a population of over 1.5 million

• Located 10 minutes from General Mitchell International Airport (MKE)–The largest airport in the state, which saw well over 3,000,000 passengers last year

• Midwest Dental has over 230 locations in 16 states, making them one of most esteemed and recognizable DSOs TENANT in the country • Private Equity Backing–Midwest Dental is backed by Friedman Fleischer & Lowe (FFL), which provides significant capital to expedite their expansion and acquisition of new clinics

• Streamlined Expansion–Midwest Dental grows their number of locations by acquiring the business of existing and successful dental clinics that are established within their community. This allows them to quickly grow their footprint across new markets and states

3 | FinancialVeterans Overview Affairs

| 4 Midwest Dental

Tenant Summary Investment Summary Tenant Name Midwest Dental Type of Ownership Fee Simple 5105 W Morgan Ave »» PROPERTY ADDRESS Greenfield, WI 53220 Lease Type NNN Original Lease Term 10 Years, 5 Year Option

»» LIST PRICE $707,882 Lease Commencement Date 6/1/17 Lease Expiration Date 5/31/22 Term Remaining ±3.5 Years »» CAP RATE 8.50% Increases 2.0% Annually Options No Options Remaining

»» TOTAL BUILDING AREA ± 2,700 SF

Annualized Operating Data »» LOT SIZE ±0.21 AC Monthly Rent Annual Rent Cap Rate Current $4,915.63 $58,987.56 8.50% 6/1/2019 - 5/31/2020 $5,014.17 $60,170.04 8.50% »» YEAR BUILT 1984 6/1/2020 - 5/31/2021 $5,112.71 $61,352.52 8.67% 6/1/2021 - 5/31/2022 $5,215.83 $62,589.96 8.84%

5 | Midwest Dental

Alverno College

Hydrite W Morgan Ave ±8,000 ADT Chemical

R/C Towing

Glenwood Elementary School

Subject Property

| 6 Midwest Dental

Global Power Orthodox Cathedral

Brass Key Simple Touch Massage Maria’s Family Pizza Grocery Store

W Forest Home Ave ±22,000 ADT

Memorial Church

Subject Property

W Morgan Ave ±8,000 ADT

7 | Tenant OverviewVeterans Affairs

The Offering Tenant Overview »» Company Name »» Ownership Property Address 5105 W Morgan Ave Midwest Dental Private Greenfield, WI

SITE DESCRIPTION Midwest Dental is the parent company of four regional brands. In the west, the dental offices are known as Number of Stories One Mountain Dental. In the midwest, they are known as Midwest Dental. In the east, their practices operate Year Built 1984 under the Merit Dental brand. And further east are known as Mondovi Dental. GLA ± 2,700 SF At Midwest Dental, they are passionate about patient care and service. They are proud to serve their Lot Size ± 0.21 AC (10,019 SF) hometown communities. Midwest Dental dentists, hygienists and dental assistants serve the dental care needs of patients in 16 states. The support center and office support team members provide Midwest Dental Type of Ownership Fee Simple offices with the administrative resources that allow their dentists, hygienists, and dental assistants to focus on providing quality care! Area OverviewMidwest Dental

Greenfield, WI Located in Southern Wisconsin, Greenfield is a bedroom community in the Milwaukee MSA. It is a welcoming area for families and retirees. The area is constantly looking to grow and develop into a more diverse business center. With countless outdoor activities, there are endless ways to explore Greenfield.

The community holds several different events throughout the year that directly gives back to the people that are in need within the area. The crime rate is exceedingly low with one of the best police departments in the region.

Demographics

POPULATION 1 - MILE 3 - MILE 5 - MILE

2024 Projection 14,869 126,778 342,608

2019 Estimate 14,833 126,723 342,238

HOUSEHOLDS 1 - MILE 3 - MILE 5 - MILE

2024 Projection 6,915 55,467 137,290

2019 Estimate 6,895 55,497 137,205

INCOME 1 - MILE 3 - MILE 5 - MILE

2019 Est. Average $64,348 $71,054 $69,425 Household Income

9 | Veterans Affairs

Milwaukee, WI Situated on Lake Michigan in southeastern Wisconsin, the Milwaukee metropolitan area is the largest metropolitan area in the state. It is a part of the Great Lakes Megalopolis and draws commuters from outlying areas such as Madison, Chicago and the Fox Cities. Encompassing Milwaukee, Waukesha, Washington and Ozaukee Counties, Metro Milwaukee covers 1,460 square miles by land area. The metro area’s economy has been evolving from that of the goods-producing industry to one that is more service-based. A majority of its workforce continues to be in manufacturing, although recent job growth has largely been in the service- providing sector.

Also a commercial and cultural center for Wisconsin, the city of Milwaukee is the hub of Greater Milwaukee and the largest city in the state. Six Fortune 500 companies have their international headquarters established in this self-sufficient city: Harley-Davidson, Manpower, Rockwell Automation and Johnson Controls, Northwestern Mutual, and Joy Global. In the spirit of progress, Milwaukee has recently renovated its downtown area, creating an area of lakefront parks and museums. These architectural improvements reflect both the city’s cherished old-world traditions and modern attitude. With a full complement of culture, performing arts, and recreational amenities, Milwaukee continues to attract businesses and young professionals looking to live in a 21st century city. | 10 Midwest Dental

Points of Interest

MILWAUKEE ART MUSEUM HARLEY-DAVIDSON MUSEUM MILLER PARK From its origins in Milwaukee’s first art gallery, the Located on the riverfront, the Harley-Davidson Named after the Miller Brewing Company, Miller Milwaukee Art Museum has become an icon for the Museum chronicles the history of the Harley- Park is the homefield of the Milwaukee Brewers. city. It is one of the largest museums in the country, Davidson back to the oldest known motorcycle. The grand, brick structure is one of the largest showcasing 30,000 works of art to over 400,000 The 20-acre museum campus houses more than construction projects in Wisconsin history with an visitors a year. 450 motorcycles and artifacts. impressive retractable roof.

GREAT LAKES DISTILLERY MILWAUKEE PUBLIC MARKET MILWAUKEE RIVERWALK For those of legal drinking age, the Great Lakes Bursting with high quality selections of artisan The Milwaukee RiverWalk winds through the Distillery in the heart of Milwaukee offers small products and freshly-made prepared foods, the city, tying together three distinct riverfront batch products made with old world methods. Milwaukee Public Market is Milwaukee’s most neighborhoods. Permanent and changing art This world class artisan distillery is committed to unique downtown food destination. It is located in exhibitions create a unique outdoor gallery that providing quality spirits that exhibit craftsmanship. the vibrant Historic Third Ward neighborhood. unifies Downtown, Beerline B., and the Historic Third Ward.

11 | Veterans Affairs

Confidentiality Agreement & Disclaimer This Offering Memorandum contains select information pertaining to the business and affairs Midwestof Dental located at 5105 W Morgan Ave, Greenfield, WI (“Property”). It has been prepared by Matthews Real Estate Investment Services. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.

By acknowledging your receipt of this Offering Memorandum for the Property, you agree:

1 . The Offering Memorandum and its contents are confidential; 2. You will hold it and treat it in the strictest of confidence; and 3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.

Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum. 5105 W MORGAN AVE, GREENFIELD, WI 53220

KYLE MATTHEWS Broker of Record LIC #9381054-91 (WI)

™

13 |