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Offering Memorandum

FRESENIUS MEDICAL CARE1104 Frank W Evans Way • Bennettsville, SC 29512

N O N - E N D O R S E M E N T A N D D I S C L A I M E R N O T I C E

Confidentiality and DisclaimerThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and

should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified

information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due

diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the

future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB's or

asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any

tenant's plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be

reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these

matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to

verify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.

Non-Endorsement NoticeMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation's logo or

name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product,

service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.

PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

FRESENIUS MEDICAL CARE

Bennettsville, SC

ACT ID Z0280223

2

N E T L E A S E D D I S C L A I M E R

Marcus & Millichap hereby advises all prospective purchasers of Net Leased property as follows:

The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable. However, Marcus & Millichap has not and will

not verify any of this information, nor has Marcus & Millichap conducted any investigation regarding these matters. Marcus & Millichap makes no guarantee,

warranty or representation whatsoever about the accuracy or completeness of any information provided.

As the Buyer of a net leased property, it is the Buyer’s responsibility to independently confirm the accuracy and completeness of all material information before

completing any purchase. This Marketing Brochure is not a substitute for your thorough due diligence investigation of this investment opportunity. Marcus &

Millichap expressly denies any obligation to conduct a due diligence examination of this Property for Buyer.

Any projections, opinions, assumptions or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance

of this property. The value of a net leased property to you depends on factors that should be evaluated by you and your tax, financial and legal advisors.

Buyer and Buyer’s tax, financial, legal, and construction advisors should conduct a careful, independent investigation of any net leased property to determine to

your satisfaction with the suitability of the property for your needs.

Like all real estate investments, this investment carries significant risks. Buyer and Buyer’s legal and financial advisors must request and carefully review all legal

and financial documents related to the property and tenant. While the tenant’s past performance at this or other locations is an important consideration, it is not

a guarantee of future success. Similarly, the lease rate for some properties, including newly-constructed facilities or newly-acquired locations, may be set based

on a tenant’s projected sales with little or no record of actual performance, or comparable rents for the area. Returns are not guaranteed; the tenant and any

guarantors may fail to pay the lease rent or property taxes, or may fail to comply with other material terms of the lease; cash flow may be interrupted in part or in

whole due to market, economic, environmental or other conditions. Regardless of tenant history and lease guarantees, Buyer is responsible for conducting

his/her own investigation of all matters affecting the intrinsic value of the property and the value of any long-term lease, including the likelihood of locating a

replacement tenant if the current tenant should default or abandon the property, and the lease terms that Buyer may be able to negotiate with a potential

replacement tenant considering the location of the property, and Buyer’s legal ability to make alternate use of the property.

By accepting this Marketing Brochure you agree to release Marcus & Millichap Real Estate Investment Services and hold it harmless from any kind of claim, cost,

expense, or liability arising out of your investigation and/or purchase of this net leased property.

3

TABLE OF CONTENTS

SECTION

INVESTMENT OVERVIEW 01Offering Summary

Location Overview

Regional and Local Map

Aerial Photo

FINANCIAL ANALYSIS 02Acquisition Financing

MARKET OVERVIEW 03Market Analysis

Demographic Analysis


4


5

INVESTMENT

OVERVIEW

#

EXECUTIVE SUMMARY

OFFERING SUMMARY

#


6


6

OFFERING SUMMARY

MAJOR EMPLOYERS

EMPLOYER# OF

EMPLOYEES *

Scotland Health Care System 479

Marley Engineered Products LLC

360

Evans Correctional Institution 350

Marley Engineered Products 330

Domtar Paper Company LLC 300

Fci Bennettsville 245

Sopakco Inc 140

Marlboro County High School 135

Carolina Particleboard 125

Flakeboard America Limited 114

Grant Application ADM 99

Bennettsville Primary School 90

DEMOGRAPHICS

1-Miles 3-Miles 5-Miles

2017 Estimate Pop 2,106 13,104 14,582

2017 Census Pop 2,228 13,806 15,365

2017 Estimate HH 950 4,126 4,707

2017 Census HH 1,004 4,373 4,984

Median HH Income

$40,503 $31,611 $31,810

Per Capita Income $22,883 $15,339 $16,114

Average HH Income

$48,329 $42,443 $42,842

* # of Employees based on 5 mile radius

OFFERING SUMMARY

Price $797,000

Net Operating Income $77,512

Capitalization Rate – Current 9.73%

Price / SF $110.82

Rent / SF $12.99

Lease Type Modified Gross

Gross Leasable Area 7,192 SF

Year Built / Renovated 2000

Lot Size 1.02 acre(s)

FINANCING

Down Payment All Cash

Net Cash Flow 9.73% / $77,512

Cash on Cash Return 9.73%

Total Return 0.00% / $77,512


OFFERING SUMMARY

Parent Company Credit Rating is Baa3

7,192 SF Single Tenant Fresenius Dialysis

Has Occupied Building Since 2000

1% Annual Increases Plus Three- Five year Options with FMV

Increases at Each Option Period

Situated in a High Density Medical/Office Area

Property Well Maintained With Many Upgrades

9.73 Percent Cap Rate

INVESTMENT HIGHLIGHTS

Marcus & Millichap is pleased to exclusively list for sale 7,192-square-foot single tenant Fresenius Medical Care located in

Bennettsville, (Marlboro County) South Carolina. Located on approximately 1.02 acres, Fresenius Medical Care has three years

remaining on their modified gross lease. Fresenius Medical Care has 1% annual rent increases along with three- five year

options including future market value rent increases at every option period. Fresenius Medical Care has been established in this

location since 2000 and is corporately guaranteed. Moody's has given Fresenius Medical Care a credit rating of Baa3 with a

stable future outlook.

Bennettsville is a city located in in Marlboro County, South Carolina. Bennettsville is situated in northeastern South Carolina

along the Great Pee Dee River. Bennettsville is most noted for its historic architecture from the 19th and early 20th centuries.

Bennettsville shares its borders with the municipalities with Tatum,. Clio, Blenheim, Society Hill, Cheraw, Wallace, and McColl.

The major roads and highways that pass through or near Bennettsville are Route 15. Route 9, Route 38, Route 401, and Route

385. The subject property is approximately 10 miles from the southern border of North Carolina.

Within a five-mile radius of Bennettsville, the median household income is $31,810 among the 14,582 individuals who reside

within a five-mile radius of the subject property.

The asking price of $797,000 represents a 9.73 percent cap rate.

INVESTMENT OVERVIEW

7

12

TENANT PROFILES


8

Fresenius Medical Care

General Information

Tenant Name Fresenius Medical Care

Website www.fmcna.com

Parent CompanyFresenius Medical Care North America Holdings Limited Partnership

Headquartered Bad Homburg, Germany

Rentable Square Feet 7,192 SF

Percentage of RBA 100.00%

Lease Commencement 1/08/2011

Lease Expiration 1/07/2021

No. of Locations 2,200 +

Fresenius Medical Care is an industry-leading network of dialysis

facilities, outpatient cardiac and vascular labs, and urgent care

centers, as well as the nation’s largest practice of hospitalist and

post-acute providers. With over 2,200 facilities, Fresenius

Medical Care provides coordinated health care services at

critical stages in thousands of chronically ill patients throughout

the continent. Fresenius is the only vertically integrated renal

company in the world. Various other medical service are offered

such as specialty pharmacy and laboratory services along with

manufacturing and the distribution of their dialysis equipment,

disposable products, and renal pharmaceuticals. Fresenius

Medical Care is a publicly traded company whose shares are

traded on the New York Stock Exchange under the ticker symbol

FMS. Moody’s has not rated Fresenius a credit rating, however,

its’ parents company has a credit rating of Baa3 with a stable

future outlook on the Frankfort Exchange.

#

CLOSE PROXIMITY TO:

1104 Frank W Evans Way , Bennettsville, SC 29512

Parent Company Credit Rating is Baa3

Option Period Increases to be Negotiated

Situated One Block Away From Walmart

Excellent Visibility from Cottingham Blvd

Just Off of Cheraw Highway - 7,000 VPD

7,192 SF Building on 1.02 Acre Lot

Tenant in Same Location Since 2000

Bennettsville is a city located in in Marlboro

County, South Carolina. Bennettsville is

situated in northeastern South Carolina along

the Great Pee Dee River. Bennettsville is

most noted for its historic architecture from

the 19th and early 20th centuries.

Bennettsville shares its borders with the

municipalities with Tatum,. Clio, Blenheim,

Society Hill, Cheraw, Wallace, and McColl.

The major roads and highways that pass

through or near Bennettsville are Route 15.

Route 9, Route 38, Route 401, and Route

385. The subject property is approximately

10 miles from the southern border of North

Carolina.

LOCATION OVERVIEWTENANT SUMMARYPRICING AND VALUATION MATRIX

PROPERTY NAMEFRESENIUS MEDICAL CARE

PRICING AND VALUATION MATRIX


9

LOCATION OVERVIEW

#

1104 Frank W Evans Way, Bennettsville, SC 29512





10

REGIONAL AND LOCAL MAP

#





11

AERIAL MAP

1104 Frank W Evans Way, Bennettsville, SC 29512

PROPERTY PHOTO


12

PROPERTY PHOTO


13


14

FINANCIAL

ANALYSIS

#

PROPERTY SUMMARY

OFFERING SUMMARY

#


15

OFFERING SUMMARY

NOTES: Parent Company Credit Rating is Baa3.

MARCUS & MILLICHAP CAPITAL CORPORATION

CAPABILITIES

MMCC—our fully integrated, dedicated financing arm—is committed to

providing superior capital market expertise, precisely managed execution, and

unparalleled access to capital sources providing the most competitive rates and

terms.

We leverage our prominent capital market relationships with commercial banks,

life insurance companies, CMBS, private and public debt/equity funds, Fannie

Mae, Freddie Mac and HUD to provide our clients with the greatest range of

financing options.

Our dedicated, knowledgeable experts understand the challenges of financing

and work tirelessly to resolve all potential issues to the benefit of our clients.

National platform

operating

within the firm’s

brokerage

offices

$5.1 billion

total national

volume in 2016

Access to

more capital

sources than

any other firm

in the industry

Optimum financing solutions

to enhance value

Our ability to enhance

buyer pool by expanding

finance options

Our ability to enhance

seller control

• Through buyer

qualification support

• Our ability to manage buyers

finance expectations

• Ability to monitor and

manage buyer/lender

progress, insuring timely,

predictable closings

• By relying on a world class

set of debt/equity sources

and presenting a tightly

underwritten credit file

WHY MMCC?

Closed 1,651

debt and equity

financings

in 2016

ACQUISITION FINANCING


16


17

MARKET

OVERVIEW

PROPERTY NAME

MARKETING TEAM


DEMOGRAPHICS

Source: © 2017 Experian

Created on March 2018

POPULATION 1 Miles 3 Miles 5 Miles

2022 Projection

Total Population 2,089 12,752 14,244

2017 Estimate


2010 Census


2000 Census


Current Daytime Population

2017 Estimate 2,522 10,697 12,500

HOUSEHOLDS 1 Miles 3 Miles 5 Miles

2022 Projection

Total Households 952 4,045 4,639

2017 Estimate

Total Households 950 4,126 4,707

Average (Mean) Household Size 2.34 2.44 2.45

2010 Census

Total Households 1,004 4,373 4,984

2000 Census

Total Households 1,021 4,642 5,225

Occupied Units

2022 Projection 952 4,045 4,639

2017 Estimate 1,115 5,038 5,722

HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles

2017 Estimate

$150,000 or More 1.90% 2.19% 2.25%

$100,000 - $149,000 9.87% 5.28% 5.34%

$75,000 - $99,999 7.24% 6.78% 6.87%

$50,000 - $74,999 18.14% 14.19% 14.52%

$35,000 - $49,999 19.00% 16.38% 16.22%

Under $35,000 43.84% 55.18% 54.79%

Average Household Income $48,329 $42,443 $42,842

Median Household Income $40,503 $31,611 $31,810

Per Capita Income $22,883 $15,339 $16,114

HOUSEHOLDS BY EXPENDITURE 1 Miles 3 Miles 5 Miles

Total Average Household Retail Expenditure

$50,096 $45,347 $45,665

Consumer Expenditure Top 10 Categories

Housing $13,443 $12,492 $12,543

Transportation $8,957 $8,080 $8,119

Shelter $7,133 $6,757 $6,774

Food $5,383 $4,746 $4,777

Health Care $3,750 $3,315 $3,343

Personal Insurance and Pensions $3,507 $2,864 $2,893

Utilities $3,284 $3,072 $3,087

Entertainment $2,109 $1,809 $1,826

Cash Contributions $1,791 $1,583 $1,601

Gifts $1,688 $1,432 $1,455

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

Population By Age

2017 Estimate Total Population 2,106 13,104 14,582

Under 20 23.22% 20.26% 20.34%

20 to 34 Years 18.80% 24.67% 24.33%

35 to 39 Years 6.82% 8.13% 8.05%

40 to 49 Years 12.52% 13.73% 13.73%

50 to 64 Years 20.30% 18.54% 18.72%

Age 65+ 18.31% 14.68% 14.83%

Median Age 40.89 38.05 38.24

Population 25+ by Education Level

2017 Estimate Population Age 25+ 1,478 9,521 10,593

Elementary (0-8) 3.28% 6.62% 6.80%

Some High School (9-11) 9.30% 18.81% 18.73%

High School Graduate (12) 39.36% 37.96% 37.86%

Some College (13-15) 20.88% 18.65% 19.02%

Associate Degree Only 7.19% 4.83% 4.94%

Bachelors Degree Only 12.46% 6.07% 5.96%

Graduate Degree 5.81% 3.37% 3.19%

18

Income

In 2017, the median household income for your selected geography is

$31,810, compare this to the US average which is currently $56,286.

The median household income for your area has changed by 30.92%

since 2000. It is estimated that the median household income in your

area will be $38,264 five years from now, which represents a change

of 20.29% from the current year.

The current year per capita income in your area is $16,114, compare

this to the US average, which is $30,982. The current year average

household income in your area is $42,842, compare this to the US

average which is $81,217.

Population

In 2017, the population in your selected geography is 14,582. The

population has changed by -2.12% since 2000. It is estimated that

the population in your area will be 14,244.00 five years from now,

which represents a change of -2.32% from the current year. The

current population is 57.22% male and 42.78% female. The median

age of the population in your area is 38.24, compare this to the US

average which is 37.83. The population density in your area is 185.61

people per square mile.

Households

There are currently 4,707 households in your selected geography. The

number of households has changed by -9.91% since 2000. It is

estimated that the number of households in your area will be 4,639

five years from now, which represents a change of -1.44% from the

current year. The average household size in your area is 2.45 persons.

Employment

In 2017, there are 4,602 employees in your selected area, this is also

known as the daytime population. The 2000 Census revealed that

39.02% of employees are employed in white-collar occupations in

this geography, and 60.83% are employed in blue-collar occupations.

In 2017, unemployment in this area is 8.90%. In 2000, the average

time traveled to work was 22.00 minutes.

Race and Ethnicity

The current year racial makeup of your selected area is as follows:

32.02% White, 61.89% Black, 0.05% Native American and 0.56%

Asian/Pacific Islander. Compare these to US averages which are:

70.42% White, 12.85% Black, 0.19% Native American and 5.53%

Asian/Pacific Islander. People of Hispanic origin are counted

independently of race.

People of Hispanic origin make up 4.97% of the current year

population in your selected area. Compare this to the US average of

17.88%.

PROPERTY NAME

MARKETING TEAM


Housing

The median housing value in your area was $76,812 in 2017, compare

this to the US average of $193,953. In 2000, there were 3,424 owner

occupied housing units in your area and there were 1,801 renter

occupied housing units in your area. The median rent at the time was

$260.

Source: © 2017 Experian

DEMOGRAPHICS

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