504 First St, Ste A, Paso Robles, CA 93446 Office: (805) 237-4040 • Fax: (805) 237-4041 www.PacificaPasoRobles.com BRE# 01382568

Paul ShannonOffice: (805) 237-4040 ext. 106

Paul@pacificacre.comBRE# 01970198

Corban Holland Office: (805) 237-4040 ext. 107

corban@pacificacre.comBRE# 01836854

Single Tenant Net Lease Investment

OFFERING SUMMARY

OFFERING PRICE $10,225,000.00

NOI (IN-PLACE) $511,280.40

CAP RATE 5%

TOTAL LAND AREA +/- 27,878 SF

TOTAL BUILDING AREA +/- 15,091 SF

OFFERING HIGHLIGHTS

HIGH QUALITY, CENTRAL COAST INVESTMENT

• NNN Corporate Lease – NNN corporate lease with First California Physician Partners, FCPP owned by Tenant Healthcare Corporation

o FCPP is the healthcare brand under Tenant Healthcare, a mul-tinational investor-owned healthcare services company. Offer-ing Primary Care for Family & Internal Medicine, Women’s Health, Cardiology, Colorectal, Endocrinology, Gastroenter-ology, General Surgery (Robotic Surgery), Hematology/On-cology, Pediatrics, Plastic & Reconstructive Surgery, Podiatry, and Urology.

• 10-Year Initial Lease Term – FCPP is on a new, long term 10-year NNN lease with fixed 3% annual increases with two 5 year options to renew.

HARD CORNER, HIGH TRAFFIC, FREEWAY ADJACENT LOCATION

• Convenient, Freeway Adjacent Location – FCPP benefits from its proximity to freeway exit/on-ramp just east of CA-Hwy 101 (+/- 61,000 cars per day) and State Route 41 interchange.

• Coveted Signalized Hard Corner – FCPP is located on the corner of El Camino Real and State Route HWY 41 where two major arterial road-ways connect making it one of Atascadero’s most important intersec-tions in the city.

• Downtown Retail Corridor on El Camino – El Camino Real is THE primary commercial corridor in Atascadero, paralleling CA-Hwy 101 with neighboring retailers including Galaxy Theatre, Starbucks, Bank of The West, Pizza Hut,Vons, CVS, Union Bank, UPS Store, taco Bell, Carl’s Jr., The Habit Burger, Med Post Urgent Care, Great Clips, and Verizon

LOW MANAGEMENT NNN INVESTMENT

• STNL “Coupon Clipper” Asset – Single- tenant, long-term NNN asset pro-vides for essentially zero landlord obligations or oversight

• NNN Expenses – Tenant is responsible for property expenses including com-mon area expenses, repairs and maintenance, insurance and property taxes making FCPP an excellent investment for out-of-town or passive investors

• Long-Term Lease – Brand-new corporate lease expiring 2028 virtually elimi-nating any near-term leasing responsibility and associated capital costs

IDEAL 1031 EXCHANGE REPLACEMENT OF ADDITION TO A PORTFOLIO

• Trophy Asset – FCPP is established medical facility with great reviews. The property is in excellent condition due to an extensive renovation in 2018. Located on a hard corner at one of the City’s busiest intersections.

• NNN Corporate Lease – Passive “coupon clipper” single-tenant investment with a NNN corporate lease, one of the most secure forms of real estate investment.

TARGET DEMOGRAPHICS FOR LOCAL AND REGIONAL DRAW

• An Estimated 8,808 people in a 1-mile radius with an Average Household Income of $88,522

• An Estimated 28,675 people in a 3-mile radius with an Average Household Income of $96,633

• An Estimated 36,019 people in a 5-mile radius with an Average Household Income exceeding $104,394

• An Estimated population of 73,083 people within a 15-minute drive of FCPP

TENANT PROFILE Tenet Healthcare is one of the largest investor-owned health care delivery systems in the nation

with 79 hospitals, 193 outpatient centers, 20,491 licensed beds, nearly 4 million patients, ap-

proximately 103,711 employees and nearly $16 billion net operating revenues.

Launched in 2012, First Choice Physician Partners is a non-profit medical Foundation affiliated

with Tenet California, a subsidiary of Tenet Healthcare Corp. First Choice Physician Partners is

committed to enhancing and fostering the health care of the communities in which they operate

through quality medical care, community education, research and innovative technology.

Headquartered in Anaheim, California, FCPP now serves five regional communities through-

out southern and central California. Projected to double in size within the next year, FCPP’s

120 multi-specialty physicians currently provide care across 30 practice locations.

WWW.FCPP.COM W E B S I T E

STOCK SYMBOL: THC OWNERSHIP

First Floor - Family Health Care Facility FLOOR PLAN

Second Floor - Surgical Center FLOOR PLAN

Basement - Regional Call Center FLOOR PLAN

Drive-Thru - Additional Space (currently under construction)

AFTER REMODEL

FLOOR PLAN

LOCATION PARKING ZONING

SITE TRAFFIC BUILT

LAND AREA

BUILDING AREA

PROPERTY DESCRIPTION

FCPP is located on the corner

of El Camino Real and State

Route HWY 41 where two

major arterial roadways connect

making it one of the Atascade-

ro’s most important intersec-

tions in the city.

+/- 33 parking Spaces (2 ADA)

With an additional 10 spaces

locates in the neighboring com-

mercial center

Per City of Atascadero, the

subject site is currently zoned

DC-Downtown Commercial

FCPP is located on the corner

of El Camino Real and HWY

41 in the city of Atascadero,

CA

Highway 101: +/- 53,000 CPD

El Camino Real : +/- 16,450 CPD

Morro Road: +/- 23,700 CPD

Built in 1980 and renovated in

2018

+/- 27,878 is the total parcel

size

+/- 15,091 SqFt of net rentable

space. Square footage includes

the +/- 1,600 SF addition that

is currently under construction

ans scheduled for completion in

October 2018

LEASE ABSTRACT

TENANT: First California Physician Partners, d/b/a “FCPP” GUARANTOR: Twin Cities Community Hospital, Inc.

DATE OF LEASE: February 1, 2018 EXPIRATION DATE: January 31, 2028

RENEWAL OPTIONS: Two (2) five (5) year options

Option 1: Base Rent shall be adjusted to the “Market Rental Value” (MRV) year one with fixed 3% annual increases thereafter

Option 2: Fixed 3% annual increases

ANNUAL RENT: Year 2: $511,280.00 Years 3-10: Fixed 3% Annual Increases

PERMITTED USE: Professional Medical Office Center

EARLY TERMINATION: Tenant is granted an early termination of the lease on January 31,2023 upon satisfaction of the following three (3) conditions.

a. Tenant shall be in full compliance with all obligations under the Lease and not in default at the time of the election to terminate.

b. Provide written notice no later than July 31, 2022 of the intent to terminate Lease to Landlord via Certified Mail.

c. Include either a wire transfer, certified funds or a money order made payable to the Landlord for a sum equal to six hundred, sixty thou-

sand dollars and zero cents ($660,000.00)

LEASE ABSTRACTREAL ESTATE TAXES: Lessee shall pay to Lessor an amount equal to the Real Property Tax installment due at least 20

days prior to the applicable delinquency date.

UTILITIES: Tenant shall pay for all utilities and other services necessary in the operation of the premises, including but not limited to gas,

electrical, telephone, and other utility charges.

REPAIRS AND

MAINTENANCE COSTS: Lessor has no obligation, in any manner whatsoever, to repair and maintain the premises, or the equipment therein, all of

which obligations are intended to be that of the Lessee.

Lessee shall, at Lessee’s sole expense, keep the Premises, Utility Installations (intended for Lessee’s exclusive use, no matter

where located), and Alterations in good order, condition and repair (whether or not the portion of the Premises requiring re-

pairs, or the means of repairing the same, are reasonably or readily accessible to Lessee, and whether or not the need for such

repairs occurs as a result of Lessee’s use, any prior use, the elements or the age of such portion of the Premises), including,

but not limited to, all equipment or facilities, such as plumbing, HVAC equipment, electrical, lighting facilities, boilers, pres-

sure vessels, fire protection system, fixtures, walls (interior and exterior), foundations, ceilings, roofs, roof drainage systems,

floors, windows, doors, plate glass, skylights, landscaping, driveways, parking lots, fences, retaining walls, signs, sidewalks

and parkways located in, on, or adjacent to the Premises. Lessee, in keeping the Premises in good order, condition and repair,

shall exercise and perform good maintenance practices, specifically including the procurement and maintenance of the service

contracts required.

ATASCADERO AREA Located on California’s Central Coast, Atascadero is a small suburb located half way between

San Francisco and Los Angeles. The city benefits from tourists traveling, sitting on the U.S.

Hwy 101 traveling up and down the coast. Due to it’s plethora of family activities and temperate

climate people have been coming to the city, growing more then 8% since 2010. The city offers a

colorful history, picturesque Lake Park, vineyards, the Charles Paddock Zoo, and historic down-

town Colony District. Atascadero offers a championship golf course, hiking and biking trails,

zip line adventures and state of the art movie theatres. Visitors can enjoy nearby recreational

lakes, Hearst Castle, the Pacifica Ocean, several California Missions, numerous gold courses,

Morro Bay Harbor and the California Mid-State Fair.

SUNKEN GARDENS / CITY HALL

CHALK MOUNTAIN GOLF COURSE

GALAXY THEATRE

Original construction of the Historic

Atascadero City Hall began in 1914

and was completed in 1918. In 2003,

the building sustained significant dam-

age in the San Simeon Earthquake.

After being closed for 10 years, and

undergoing extensive renovations and

retrofitting, the building re-opened in

August 2013.

Chalk Mountain Golf Course is ideally situated among the lush, ancient oak groves. Wildlife

abounds throughout the rolling fairways and meandering creeks, which adds to the enchantment

and character of this Robert Muir Graves championship golf course. The large greens are perfect

for beginners while daring enough to urge experienced players to press their luck. Welcome

The Charles Paddock Zoo is the California Central

Coast’s ONLY zoo accredited by the Association of

Zoos and Aquariums. The Charles Paddock Zoo is home

to hundreds of animal species from around the world.

Many of the zoo residents are part of globally managed

programs to preserve animals and their habitats. The

Charles Paddock Zoo is truly dedicated to the conserva-

tion of local and exotic species. If you want to engage

with some of the rarest animals in the world in a safe

and respectful environment then you will surely want to

visit our Zoo.

Galaxy Theatre is a fully integrated movie the-

atre. Currently there are theatres in California,

Nevada, and Washington. Formed in 1998, its

focus is to offer high impact, state-of-the-art

movie entertainment. Galaxy Theatres’ award

winning business philosophy of “More than

just a Theatre” incorporates the best in movie

entertainment with the Company’s philosophy

of active community service. “Being socially

entrepreneurial builds strong bonds and good-

will in the communities we serve,” according

to Frank Rimkus, the Company’s CEO.

ATASCADERO PARKSATASCADERO LAKE PARK

Merchant Avenue, Atascadero

HEILMANN PARK

1100 El Bordo Ave, Atascadero

PALOMA CREEK PARK

11665 Viejo Camino, Atascadero

SUNKEN GARDENS PARK

El Camino Real, West Mall, Atascadero

SAN LUIS OBISPO COUNTY AREA

MAJOR EMPLOYEES IN AREA

Thanks to National Geographic and Oprah Winfrey we have all heard that San

Luis Obispo is the Happiest Place in America and arguably the WORLD. SLO was

also ranked the 3rd best place in America to live (above Santa Barbara, San Fran-

cisco, Monterey, Newport Beach, Honolulu, etc.)

San Luis Obispo, the Happiest Place to Live!

PISMO BEACHOffering recreation and tourism-oriented town with

plenty of restaurants and more then 30 hotels, mo-

tels, Inns, and RV parks.

MORRO BAY

A true gem, Morro Bay is a seaside fishing village.

WINE TASTING With over 250 wineries spread among Paso Robles

and San Luis Obispo county, SLO county offers a

variety of tasting experiences.

CAL POLY STATE UNIVERSITY

Cal Poly is a nationally-ranked public university that

prides itself on the individual success of its students

EXCLUSIVELY MARKETED BY

CORBAN HOLLAND Office: (805) 237-4040 ext. 107corban@pacificaCRE.comDRE#: 01836854

Confidentiality Agreement

Your receipt of this memorandum constitutes your acknowledge-

ment that (i) it is a confidential Memorandum solely for your limit-

ed use and benefit in determining whether you desire to express fur-

ther interest in the acquisition of the Property, (ii) you will hold it

in the strictest of confidence, (iii) you will not disclose it or its con-

tents to any third party without the prior written authorization of

the owner of the Property (“Owner”) or Pacifica Commercial Re-

alty, and (iv) you will not use any part of this Memorandum in any

manner detrimental to the Owner or Pacifica Commercial Realty.

If after reviewing this Memorandum, you have no further interest in

purchasing the Property, kindly return to Pacifica Commercial Realty.

Disclaimer

This Memorandum contains select information pertaining to the

Property and the Owner, and does not purpose to be all-inclusive

or contain all or part of the information which prospective inves-

tors may require to evaluate a purchase of the property. The in-

formation contained in this Memorandum has been obtained from

sources believed to be reliable. All information is presented “as is”

without representation or warranty of any kind. Such information

includes estimates based on forward-looking assumptions relating

to the general economy, market conditions, competition and other

factors which are subject to uncertainty and may not represent

the current or future performance of the Property. All references

to acreages, square footage, and other measurements are approxi-

mations. This Memorandum describes certain documents, includ-

ing leases and other materials in summary form. All parties are

advised to independently verify the accuracy and completeness

of any and all information contained herein, to consult with in-

dependent legal and financial advisors, and carefully investigate

the economics of this transaction and Property’s suitability for

your needs. ANY RELIANCE ON THE CONTENT OF THIS

MEMORANDUM IS SOLELY AT YOUR OWN RISK.

The Owner expressly reserves the right, at its sole discretion, to

reject any or all expressions of interest or offers to purchase the

Property, and/or to terminate discussions at any time with or

without notice to you. All offers, counteroffers, and negotiations

shall be non-binding and neither Pacifica Commercial Realty nor

the Owner shall have any legal commitment or obligation except

as set forth in a fully executed, definitive purchase and sale agree-

ment delivered by the Owner.

Pricing in this offering Memorandum may not be accurate at any

given point in time as market conditions including capitalization

rates or other value indicators change frequently. Any projections,

opinions, assumptions or estimates used are for example only and

do not represent the current or future performance of the property.

Photos herein are the property of their respective owners and use

of these images without the express written consent of the owner

is prohibited.

Pacifica Commercial Realty and the Pacifica Commercial Realty

logo are service marks of Pacifica Commercial Realty and/or its

affiliated or related companies. All other marks displayed on this

document are the Property of their respective owners.

Pacifica Commercial Realty

504 First Street Suite A, Paso Robles, CA 93446

(805) 237-4040 / www.pacificapasorobles.com

PAUL SHANNON Office: (805) 237-4040 ext. 106paul@pacificaCRE.comDRE#: 01970198