Heartland Dental

Lowest
Cap Rate

5.25%

Lowest cap rate over past 24 months

Average
Cap Rate

5.85%

12 mo avg with 5+ yr lease term

Overview

Heartland Dental offices typically range from 3,500 to 5,000 square feet, often in retail pads, medical plazas, or newly developed strip centers on 0.5 to 1.0-acre parcels. Leases are generally structured as 10- to 15-year absolute NNN, with 7% to 10% rent escalations every 5 years, and are corporately guaranteed by Heartland Dental, LLC. Locations are strategically placed in high-income suburban communities, often in close proximity to grocery-anchored centers or schools.

Average Property & Lease

Average Sale Price	$2,000,000 – $3,200,000
Average NOI	$120,000 – $180,000
Building SF	3,500
Lease Term	Years
Escalations	10% Every 5 Years
Stock Symbol	N/A

CREDIT RATING

S&P	N/A
Moody's	N/A

TENANT DESCRIPTION

Heartland Dental was founded in 1997 in Effingham, Illinois, by Dr. Rick Workman with the mission of providing non-clinical support services to dentists so they could focus on patient care. It has since grown into the largest dental support organization (DSO) in the United States. Heartland partners with both new and existing practices, offering operational and administrative support while allowing dentists to retain clinical autonomy. The company is majority owned by KKR, a global investment firm, and operates under a corporate model with significant national expansion.

Founded	1997
Headquarters	Effingham, IL, U.S.
Number of Locations	1,700
Revenue	$2 B
Company Website	https://www.heartland.com
Key Principal	Pat Bauer