CaroMont Health, Inc. AA- (S&P)

+/- 9 YEARS REMAINING ON NNN LEASE
There are currently +/- 9 years remaining on the NNN lease with 2% annual escalations, providing investors with a long-term passive income stream with a built-in inflation hedge.

INVESTMENT GRADE GUARANTOR
CaroMont Health Inc. is the guarantor of this investment and is a nationally recognized health system within the Charlotte MSA with an investment grade rating of AA- from S&P.

+/- 20-YEAR SITE OPERATING HISTORY
CaroMont Health has been in operation at this location for +/- 20 years and has recently signed a 10-year lease extension. The +/- 20-year history and recent extension at this location is indicative of strong operations and the tenant’s commitment to the market.

UPSIDE POTENTIAL THROUGH FUTURE EXPANSION
This investment features a second developable lot, which provides investors with the ability to expand the existing facility at the request of the CaroMont Health contained within the current lease agreement or subdivide the property for third-party sale or use.

+/- $300 MILLION EXPANSION AND RENOVATION INVESTMENT | CAROMONT HEALTH
CaroMont announced in 2019 plans to invest more than $300 million in capital projects and facility improvements in Gaston County over the next five years. The investment is meant to offer more convenient access to advanced healthcare to the projected growth and the advancing age of Charlotte’s patient population.

PROPOSED RESIDENTIAL DEVELOPMENT WITHIN +/- 1.5 MILES
Meritage Homes has proposed a +/- 265-lot residential development approximately 1.5 miles from the CaroMont location.

HIGH TRAFFIC COUNT ROAD
The subject location has direct frontage to N. Main St., which experiences +/- 10,996 VPD.

RECESSION-RESISTANT ASSET
Medical office buildings are well-positioned to weather recessions due to sustained demand for healthcare and an aging population. By 2030, there will be 78 million people 65 years and older compared to 76.7 million under the age of 18 (U.S. Census Bureau).

HIGH GROWTH MARKET
According to the World Population Review, Charlotte is currently the 3rd fastest growing major city in the U.S. Charlotte’s spacious city layout and low cost of living has made the city a popular destination to move to due to the complications and negative outlook COVID-19 has brought upon densely populated metros. There is an expected population growth rate of +/- 6% through 2025 within a 5-mile radius of the subject location.