DCI DIALYSIS FACILITYOFFERINGMEMORANDUM

2001 Bench Rd.Pocatello, ID 83201Single Tenant Leased Investment

Colliers International Idaho | 755 West Front Street, Suite 300 Boise, Idaho 83702 | www.col l iers.com/idaho | 208 345 9000

JOSH MCFADYEN760 212 2279josh.mcfadyen@colliers.com

JIM MORPHEY208 251 3660jmorphey@cableone.net

In partnership with:

DCI DIALYSIS FACILITYInvestment Summary

This investment opportunity is for the interest in DCI Dialysis Facility, a 6,711 square foot Medical Clinic sitting on nearly 1.14 acres. The center is located adjacent to the new Interstate 15 interchange on-ramp in Pocatello Idaho and ideally located near the intersection of Pocatello Creek Road and Olympus Drive which has an estimated 22,000 vehicles per day.

Pricing: $2,460,700.00

NOI: $147,642 Year 1

Cap Rate: 6%

Size: 6,711 SF

Land Size: 1.14 Acres

Zoning: RCP (Residential-commercial-professional)

SITE

DCI DIALYSIS FACILITYProperty Overview & Valuation

Profile

Address: 2001 Bench Rd. Pocatello, ID 83201

Building Size: 6,711 SF

Land Size: 1.14 Acres

Year Built: 2000

Price: $2,460,700.00

Cap Rate: 6%

Highlights » Strong growth area, adjacent to well established medical clinic and new Portneuf

Wellness Complex which includes athletic fields, fishing pond and ampitheater.

» Building completely referbished with new improvements for DCI, Inc.

» Adjacent to new interchange / on-ramp to Interstate 15.

Price Cap Rate

$2,460,700.00 6.00%

Years Annual Rent1 $147,642

2 $152,071

3 $156,633

4 $161,332

5 $166,172

Valuation

Notes*New 5-Year Lease w/DCI (Dialysis Clinic, Inc.)

Operating Expenses

DCI DIALYSIS FACILITY

The primary responsibility of DCI is to perceive, initiate and provide comprehensive patient care. DCI serves society by providing care for patients with End-Stage Renal Disease. DCI’s goal is complete patient rehabilitation. DCI recognizes the patient as an individual resulting from his or her genetics, life experience, habits, beliefs, emotions; and as a member of his or her family and the community. The patient deserves the highest standard of care possible regardless of race, status or creed. The application of comprehensive care is on a personal level. DCI becomes acquainted with their patients as people and seek to understand their problems and needs- physical, emotional, spiritual and social.

Through a team approach, each staff member performs functions within his or her capabilities in his or her defined role based on the specific needs of the individual patient. Patient care is assessed, planned, implemented and evaluated with the consistent aim of improving care and finding more efficient and effective methods for delivery of care. Realistic goals which promote safe, therapeutically effective and individualized care for each patient are defined in the patient care plan. These goals adhere to quality standards of care within the framework of defined policies and procedures. The team strives to provide the highest quality of patient care possible through the utilization of available human and material resources.

www.websitehere.com

Tenant Profile

DCI DIALYSIS FACILITYSite Plan

DCI DIALYSIS FACILITYLocation

SITE

DCI DIALYSIS FACILITYDemographics

2001 Bench Rd. Pocatello, ID 1 Mile 3 Miles 5 Miles 10 Min Drive

POPULATION

2019 Estimated Population 7,208 45,731 71,517 51,221

2024 Projected Population 7,853 49,939 78,163 55,876

2010 Census Population 7,101 43,560 67,313 48,335

Projected Annual Growth ‘19-‘24 1.8% 1.8% 1.9% 1.8%

HOUSEHOLD

2019 Estimated Households 2,526 17,400 27,455 19,337

2024 Projected Households 2,603 17,980 28,439 19,392

2010 Census Households 2,408 16,056 25,111 17,734

Historical Annual Growth ‘00-‘19 1.3% 1.3% 1.2% 1.4%

INCOME

2019 Est. Average HH Income $103,963 $67,809 $64,754 $66,490

2019 Est. Median HH Income $82,993 $58,685 $54,997 $57,280

MISC.

2019 Median Home Value * $215,996 $162,453 $161,167 $162,741

2019 Median Rent $775 $636 $594 $620

2019 Est. Median Age 35.8 32.6 32.2 32.1

2019 Average Travel Time to Work 12.8 12.9 13.2 12.9

2019 Est. Labor Population Age 16+ 5,398 34,615 55,099 39,207

2019 Est. Total HH Expenditure $58.22M $302.35M $463.8M $331.72M

*In 2019, Meridian grew to 114,680 residents, up 8,270 people from last year, according to estimates from COMPASS, the Treasure Valley’s regional planning agency. The Boise Metro was the 2nd fastest growing metro in the past year at 2.6% and was the fastest-growing metro area outside of Florida. The median sale of a single-family home in Ada County increased 12.5% in just a year from 2018 to 2019, compared to a 4.8% 1-year change nationally during the same time period.

DCI DIALYSIS FACILITYArea Overview — Idaho Falls

AREA OVERVIEWPocatello serves as the educational and commercial center for Eastern Idaho with an economy driven by research, food production/processing, semiconductor design/production, medical, manufacturing and fabrication, data processing and telecommunications.

The metro area has approximately 85,000 people and more than 160,000 in the larger trade area. Pocatello offers shopping, theater, movies, museums, parks, golf courses, a zoo and both a hot springs resort and ski area within 1/2 hour drives. The trade area is economically and culturally diverse with several large industry leading companies and Idaho State University, the 3rd largest university in Idaho.

Idaho is known for world-class recreation and Pocatello is in the middle of an unspoiled outdoor paradise. Millions of acres of publicly managed land surround the city with endless mountains, cliffs, lakes, rivers, and natural hot springs offering an abundance of outdoor recreation. Popular activities include fishing, hunting, rock climbing, water skiing, rafting, swimming, snow skiing, hiking, mountain biking, snowmobiling, and horseback riding.

MAJOR AREA EMPLOYERS

4,162 EMPLOYEES

1,200 EMPLOYEES

2,200 EMPLOYEES

1,000EMPLOYEES

2,200 EMPLOYEES

455EMPLOYEES

600EMPLOYEES

1,100 EMPLOYEES

600 EMPLOYEES

600 EMPLOYEES

1,000 EMPLOYEES

DCI DIALYSIS FACILITYArea Overview

IDAHO TAX OVERVIEWSales and Use Tax in Idaho is 6%. This would apply to items purchased or consumed in Idaho. Exemptions are available for equipment and raw materials used directly in manufacturing, processing, or fabrication; clean rooms used in semiconductor and semiconductor equipment manufacturing; and any equipment or material used in research and development activities.

We do not tax services including telecommunication services, and utilities such as water, gas, electricity, or natural gas. In our region we do not have any local option sales tax.

Property Tax personal (machinery/equipment) and real (land/buildings) – based on market value. 2018 Average Rates: Ada County: 1.1% - 1.8% Bannock County: 0.8 - 1.2% Bonneville County: 0.77% Canyon County: 1.5% - 2.5% Elmore County: 1.8% Twin Falls Count: 0.82%

Idaho does not have an inventory tax.

Corporate Income Tax – Computed at 7.4% of the Idaho taxable income of a corporation. Corporations that are taxable in Idaho and another state or country or are part of a unitary group of corporations, use a 3 factor formula to ascertain how much of the business is conducted in Idaho. The apportionment formula is made up of a property factor, a payroll factor, and a sales factor. These three factors, with the sales factor being double weighted for all taxpayers except for electrical and telephone companies, are totaled and divided by 4 to compute the Idaho apportionment factor. The Idaho apportionment factor is then applied to the business income of the corporation to compute income assigned to Idaho. Non-business income allocable to Idaho is added to the income apportioned to Idaho to arrive at Idaho taxable income.

SALES & USE TAX6%

CORPORATE INCOME TAX7% MINIMUM

WAGE$7.25/hr

STATE UNEMPLOYMENT INSURANCE RATE1.91%

UNION MEMBERSHIP(NAT’L AVG: 11.9%)7.1%

PERSONAL INCOME TAX RATE RANGE Rate range on a bracketed system based on income levels

1.6%-7.8%#2 BEST STATE Property tax rate (2013 Tax Foundation Study)

PROPERTY EXEMPTIONFirst $100,000 of personal property is exempt from taxation

right to workIDAHO IS A

STATE

DCI DIALYSIS FACILITY2001 Bench Road

Pocatello, ID 83201

Col l iers Internat ional Idaho | 755 West Front Street , Sui te 300 Boise , Idaho 83702 | www.col l iers .com/idaho | 208 345 9000

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JOSH MCFAYDEN760 212 2279

josh.mcfayden@colliers.com

JIM MORPHEY208 251 3660

jmorphey@cableone.net

In partnership with: