cCARE | Offering Memorandum

M A R K E T

SALE COMPARABLES

Property Name Property Address

Type / Class Class A Medical Office Class B Medical Office Class B Medical Office Class B Medical Office Class B Medical Office Class B Medical Office Class A Medical Office Class A Medical Office Class B Medical Office Class B Medical Office

Size Year Built

Price Price/SF

Cap Rate

Sold Date

Buyer Seller

Comments

Undisclosed (Estimated to be

Palomar Health Outpatient I 2125 Citracado Parkway Escondido, CA North Coast Medical Plaza 6010 Hidden Valley Parkway Carlsbad, CA Davita Dialysis 1951 Citracado Parkway Escondido, CA Coast Medical Center 3444 Kearny Villa Road San Diego, CA Tri-City Medical Plaza 145 Thunder Drive Oceanside, CA Park Terrace Health Center 17140 Bernardo Center Drive San Diego, CA Torrey Hills Medical Plaza 4765 Carmel Mountain Road San Diego, CA Citracado Medical Plaza 625 W. Citracado Parkway Escondido, CA Doctors Park at Eastlake 955 Lane Avenue Chula Vista, CA 3905 Waring Road Oceanside, CA

Harrison Street Capital

New construction on-campus. 100% leased to Palomar Health with 14 years remaining on lease term. Multi-tenant MOB 91% leased at sale with +/-7 years WALT. Part of a portfolio transaction which negatively impacted pricing (ask broker for details). New construction adjacent to campus. STNL investment with 15-yr term. Build-to- Suit for Davita Dialysis. Multi-tenant MOB 90% leased at sale with +/-8 years WALT. Off-campus anchored by surgery center. STNL investment with 6 years term. 100% Leased to United Health Group. Inferior location and real estate to subject property. STNL investment with 5 years term. 100% Leased to local orthopedic group. Inferior location, credit and real estate to subject property. Multi-tenant MOB 78% leased at sale with +/-5 years WALT. Off-campus anchored by Kaiser Permanente. Multi-tenant MOB 92% leased at sale. Off-campus location in an affluent neighborhood that commands higher rents. Multi-tenant MOB 100% leased at sale. Off-campus location anchored by Rady Children’s Hospital with near-term rollover risk. Freestanding, multi-tenant MOB 100% leased at sale anchored by surgery center. Located within medical office condo park.

75,000 SF 2018

1.

5.5% 2/27/19

$48,200,000 $642.66/SF)

JRMC Real Estate, Inc.

MBRE Healthcare

49,580 SF 2002

$29,500,000 $595.00/SF

2.

5.75% 10/15/18

Montecito Medical

Pure Harbor Investments

15,000 SF 2017

$10,325,000 $688.33/SF

3.

4.6% 5/11/18

Centres Escondido LLC

MBRE Healthcare

$20,000,000 $517.26/SF

38,665 SF 1985

4.

6.0% 4/25/18

Genesis Healthcare Prts.

Moss Group

16,486 SF 1984

$7,570,000 $459.18/SF

5.

6.72% 3/9/18

Lomas Santa Fe Group

Cardiff Investments LLC

$4,550,000 $445.29/SF

10,218 SF 1986

6.

6.73% 2/6/18

Tri-City Orthopedic

MBRE Healthcare

$37,100,000 $451.57/SF

82,157 SF 1999

7.

5.4% 12/29/18

Shopcore Properties

Coast Income Properties

44,165 SF 2005

$28,500,000 $645.44/SF

8.

6.1% 6/3/17

SD Pain Management

Anchor Health Prop.

$21,850,000 $458.51/SF

47,654 SF 2007

9.

5.8% 8/8/17

Physician Mgmnt. Grp.

Anchor Health Prop.

19,939 SF 2006

$10,300,000 $516.58/SF

10.

6.6% 3/2/17

Otay Lakes Partners, LLC.

AVERAGE $21,789,500 $546.28/SF

5.92%

33

OFFERING MEMORANDUM