HOLDUN FUNDS REAL ESTATE SP01

Investment Overview

• Holdun Real Estate Segregated Portfolio 01 (SP01) specifically invests in real estate within the United States that is utilized to increase the number of drug treatment programs available for those seeking a solution to opioid dependency.
• SP01 initially acquired several locations and anticipates acquiring and converting a total of 10 -15 locations that have been specifically zoned and refurbished to provide drug and alcohol
  medical treatment.
• Investors in the SP01 receive attractive returns while providing equity necessary to acquire additional optimal locations for drug medical detox operators.
• The fund is structured as a Closed-end Fund with a 5 Year term with an optional 3-year extension.
• The portfolio will firstly purchase properties with proceeds from the Initial and Secondary Offerings. The Investment Manager then intends to finance the properties purchased at 65% LTV. The proceeds from financing, approx. $14,200,000.00, will be used to purchase up to an additional $41,000,000.00 of fully leased medical detox properties with an anticipated 65% LTV financing agreement.

Problem

OPIOID ADDICTION

70,000 deaths in 2018

DRUG DETOXIFICATION

Outpacing the availability of beds

Social Impact

FAMILY IMPACT

Breaks family bonds

ECONOMIC IMPACT

$78.5 billion/year in the U.S

DRUG DETOXIFICATION

Emergency resource systems on overload

Investment Highlights

• 12-14% Anticipated 5-Year Annualized Return
• 5-Year Term. Single 3-year optional extension
• 30% Withholding Tax avoidance strategy
• All properties currently leased to credit worthy Medical Detox Operators and Sober Living Operators
• Long-term NNN Leases
• 3% rent escalations provide annual increases in revenue
• Strong Demand mitigates exposure to vacancies
• Target dividend of 3% per annum

CoVID-19 Update

Our tenants are currently near capacity (97%) across all Detox Centres, and there has been an uptick in demand for services over the last 30 days.

As ‘Essential Businesses, all our tenants will remain in operation during lock-down as a licensed healthcare facilities, our tenants can avail of federal funding, supplies, and additional staffing support.

Acquired Properties

Additional Property Acquisition Candidates

The Real Estate Partner and Investment Manager have financing in place for the identified
additional two acquisitions with the following terms:

• 65% LTV
• 4.35% Interest Rate
• 10 Year Term
• 300 Month full amortization

The Real Estate Partner and Investment Manager will work in conjunction to identify additional properties that meet the investment criteria set forth in the Holdun Funds Real Estate Segregated Portfolio 01 Supplement – Medical Detox Centers fully leased to credit worthy tenants.

Anticipated Performance