CS1031 Midwest Dialysis, DST
Long-Term Investment in Healthcare, a Stable Asset Class, and a new 15-year lease. Annual rental increases of 1.75%. The lease is guaranteed by Fresenius Medical Care Holdings, Inc., the premier healthcare company focused on delivering the highest quality care to people with renal and other chronic conditions; with an investment grade credit rating.1
Investment Grade Guarantor Fresenius Medical Care Holdings, Inc., the lease guarantor, has an investment-grade Baa3 credit rating from Moody’s, with a stable outlook. FMCH is a wholly-owned subsidiary of Fresenius Medical Care AG & Co. KGaA, a German partnership limited by shares.1 Strong Performance Potential Due to Necessary Medical Care Fresenius is the world’s leading provider of products and services for people with chronic kidney failure, a disease which affects millions worldwide. Around 3.2 million patients regularly undergo dialysis treatments across the globe. With approximately 4,000 clinics, Fresenius generated over $20 billion in 2017.1 Resilient Asset Class Medical real estate has consistently been recession-resistant during economic downturns. United States health spending is projected to grow at an annualized rate of 5.5% (2018-2027), increasing to approximately 19.4% of GDP.2
Sources: 1 https://fmcna.com/
Securities offered through WealthForge Securities, LLC, the managing broker-dealer for the CS1031 Midwest Dialysis, DST offering and member FINRA/ SIPC. Capital Square and WealthForge are not affiliated. Consider the Risks: An investment in the Interests involves substantial investment and tax risks, including, without limitation, the following risks:
Consider the Risks: An investment in the Interests involves substantial investment and tax risks, including, without limitation, the following risks:
- Past performance is not a guarantee of future results.
- The economic success of the Interests will depend upon the results of operations of the Property. Fluctuations in vacancy rates, rent schedules, and operating expenses can adversely affect operating results or render the sale or refinancing of the Property difficult or unattractive.
- The Master Tenant’s capitalization is supported solely by the cash flow from the underlying tenant lease. The Sponsor is not under any obligation to contribute capital to the Master Tenant.
- No assurance can be given that future cash flow will be sufficient to make the debt service payments on any borrowed funds and also cover capital expenditures or operating expenses.
- No assurance can be given that Beneficial Owners of Interests will realize a substantial return (if any) on their investment or that they will not lose their entire investment in the Trust.
- The Interests are not freely transferable by the Beneficial Owners.
- There are various risks associated with owning, financing, operating, and leasing commercial properties in Indiana.
- The Interests do not represent a diversified investment.
- Beneficial Owners must completely rely on the Master Tenant to collect the rent and operate, manage, lease, and maintain the Property.
- The Beneficial Owners have no voting rights with respect to the management or operations of the Trust or in connection with the sale of the property.
- There are various conflicts of interest among the Trust, the Sponsor, the Signatory Trustee, and their Affiliates.
- The Interests are illiquid.
- There are tax risks associated with an investment in the Interests.
- There are risks related to competition from properties similar to and near the property.
- There may be environmental risks related to the property
LocationEast Chicago, IN
A 9,109-square-foot medical office building