EX-99.1 2 nt10026228x5_ex99-1.htm EXHIBIT 99.1

EXHIBIT 99.1
Investor Presentation Q2 2021

Disclosure Slide These materials are provided for informational purposes only, and under no circumstances may any information contained herein be construed as investment advice or as an offer to sell or a solicitation of an offer to buy an interest in any Modiv program or offering. Alternative investments, such as an investment in Modiv or any Modiv program or offering, are speculative and involve substantial risks, including illiquidity and complete loss of invested capital, and there are no guarantees that assets will appreciate in value or that dividends will be paid. Such investments may not be suitable for all investors. Forward-Looking StatementsCertain statements contained herein, other than historical facts, may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). We intend for all such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act, Section 21E of the Exchange Act and other applicable law. Such statements include, in particular, statements about being a tech-enabled asset manager, durable cashflow, long-term growth potential, innovation, potential lease extensions, expenses related to operating a public company, value appreciation, durability of our real estate portfolio, estimated net asset value, performance of the net lease sector, real estate as an inflation hedge, availability of favorable financing, impacts of COVID-19, occupancy and rent collections, and market and portfolio outlook including new investment opportunities. Therefore, such statements are not guarantees of future results and are subject to risks, uncertainties and other factors, some of which are beyond our control, are difficult to predict and could cause actual results to differ materially from those expressed or implied in the forward-looking statements. Accordingly, we make no representation or warranty, express or implied, about the accuracy of any such forward-looking statements contained hereunder. Except as otherwise required by federal securities laws, we undertake no obligation to update or revise any forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results, whether as a result of new information, future events or otherwise.Modiv Inc. is not affiliated with, associated with, or a sponsor of any of the businesses pictured or mentioned in this presentation. The names, logos and all related product and service names, design marks and slogans are the trademarks or service marks of their respective companies.

Multiple Levers of Value Creation Investment ManagerManager of alternative real estate products to provide revenue to Modiv and increase franchise value Crowdfunding PlatformFintech platform magnifies access to investors and offers scalable and economical capital raise capabilities Growth Income + Growth Venture Capital InvestmentsProptech and fintech related venture capital investments designed to create meaningful capital appreciation Growth Income + Growth Real EstateInvestmentsPortfolio of income producing assets provides durable cash flow and long-term upside potential Within a single ownership structure, Modiv provides individual investors access to a tech-enabled real estate asset manager with long-term growth potential driven by innovation and investor alignment.

Modiv by the Numbers 38commercial properties 12retail 14office 12industrial $400+ millionassets under management 7,500+investors 2.3 millionSF of leasable space 67% investment graderated tenants $0fees3 $38.5M dividendspaid since inception2 1. Investment grade rating on long-term debt is determined by a nationally recognized rating agency.2. Total distributions for Modiv’s Class C and S shares combined from inception through 6/30/21.3. Modiv charges no fees, although certain expenses related to operating a public company apply. As of June 30, 2021

Investments Overview

Durable Real Estate Portfolio Properties 38 Square Footage (msf) 2.3 Total Tenants 31 Annualized Base Rent ($m) $29.3 Top Ten Tenants (% of ABR) 55% Tenant Industries 13 Occupancy (%) 100% Cash Rent Collection (% of ABR) 100% Investment Grade-Rated1 (% of ABR) 67% Contractual Rent Bumps (% of ABR) 89% Average Lease Term Remaining (years) 5.6 Leverage (% of asset value) 49% Weighted Average Interest Rate 4.2% Net Asset Value per share $26.05 Implied Cap Rate 7.2% Diversified by Geography, Property Type and Sector IndustrialOfficeRetail As of June 30, 2021 1. Investment grade rating on long-term debt is determined by a nationally recognized rating agency.

Key Portfolio Metrics Top 5 Tenantsby Annual Base Rent 8.7% (S&P A) 7.7% (NR) 7.7% (S&P A+) 5.3% (S&P AA-) 5.5% (NR) As of June 30, 2021 Modiv Inc. is not affiliated with, associated with, or a sponsor of any of the businesses pictured or mentioned above. The names, logos and all related product and service names, design marks and slogans are the trademarks or service marks of their respective companies. 1. Investment grade rating on long-term debt is determined by a nationally recognized statistical rating agency. Lease DurationWeighted Average Lease Duration: 5.6 Years Industry Breakdown Property Type Investment Grade1

Recent Real Estate Activity LeasingExtended City of San Antonio Early Childhood Education Municipal Development Corp. for an eight-year term; represented our lone 2021 expiration. FinancingTwo properties were re-financed totaling approximately $13M of proceeds with a weighted average rate of 3.35% and ten years of term to maturity.DispositionOpportunistic sale of an industrial property in the Austin MSA; pricing came in above our independently appraised value.1 AcquisitionPurchase of a reputable quick-service restaurant brand in San Antonio. The property has over six-years of lease term remaining and is situated adjacent to a high-school and hospital.1 1 2 3 Re-financed L3 Carlsbad, CANorthrop Grumman Melbourne, FL Acquisition Raising Cane’s San Antonio, TX Asset sale Dana Incorporated Cedar Park, TX Eight-year lease renewal PreK Education Center San Antonio, TX 4 1. Transaction was completed subsequent to Q2 2021.

Q2 Earnings 2Q quarter-end earnings above prior year due to: Reduced share count from redemption activity Interest expense savings from recent debt re-financingContractual rent escalators AFFO per Share1 1. Refer to 10Q filing with the SEC. We are pleased with our 2Q21 results. Earnings benefited from rent escalators, lower financing costs and reduced share count. Raymond PaciniChief Financial Officer

Quarterly Estimated NAV 1. Estimated per share NAVs reflect the 1:3 reverse stock split effective February 1, 2021. $26.05Estimated NAV per shareAs of June 30, 2021 13%Increase year-to-date Net Asset Value per Share (April 2020) $21.01 Real Estate $2.00 Cash $0.65 Other Assets ($0.83) Total Real Estate and Assets $22.83 Decrease in Debt $1.88 Decrease in Other Liabilities $0.28 Total Debt and Other Liabilities $2.16 Decrease in Shares $1.06 Net Asset Value per Share (June 2021) $26.05 NAV Analysis1 As of 6/30/2021. Cushman and Wakefield independent appraisal. Continued increases in our NAV reflects a combination of a favorable operating and interest rate environment and positive impact from portfolio management initiatives. Mitchell GermainChief Capital Officer

Investment Overview As of June 30, 2021 Share Price (NAV) $26.05 Dividend1 $1.05/share Annualized Distribution Rate1 4.0% Shares Outstanding 8.8 mm Distributions Paid Since Inception1 $38.5 mm 1. There is no guarantee that distributions will be paid. On August 17, 2021, Modiv’s Board of Directors approved a $0.10 per share dividend increase to $1.15 per share effective October 1, 2021, which will increase the distribution rate to 4.4%.1

Quarterly Commentary

We continue to believe net-lease real estate will perform strongly, particularly necessity retail, industrial/flex R&D, and highly-amenitized essential office; all represent hallmarks of Modiv’s operating portfolio. – William Broms, Chief Investment Officer Market OutlookReal estate remains an exceptional hedge against inflation, supporting both rising rents and asset pricesThe financing environment remains highly favorable as debt is attractively priced and readily accessible Easing of pandemic restrictions have benefited retail, as foot traffic has improved, though office plans continue to be re-evaluated given impact of the Delta variantPortfolio OutlookPortfolio operating trends remain healthy, with occupancy and rent collections at 100%2021 lease expirations have been fully addressed; discussions underway with all 2022 lease expirations1Acquisition pipeline is robust with opportunities across the retail and industrial landscape1 Market & Portfolio Outlook 1. There is no guarantee that these transactions will be consummated. David CollinsChief Property Officer William BromsChief Investment Officer

Modiv Quarterly Update HighlightsRaising dividend to $1.15 (previous $1.05) effective October 1, 2021 | new rate represents an approximate 9.5% increase and 4.4% yield on our most recent NAV Established a $26.05 NAV per share, ~6% increase from prior quarter | portfolio continues to benefit from healthy operating environment, low interest rates and asset sales above appraised valuesOpportunistic sale of an industrial property in Austin submarket | net proceeds were ~16% above value held in our previous NAVMaking progress on 2022 lease expirations | 13% of total rents scheduled to expire across five leases Acquired a reputable quick-service restaurant brand1 | Raising Cane’s posted 17.5% national same-store sales growth in 2020 according to Nation’s Restaurant News I am pleased with strategic plan progress throughout the quarter. We continue to focus on growing our cash flows through active portfolio management and acquisitions, while leveraging our technology to grow AUM. Aaron HalfacreChief Executive Officer 1. Transaction was completed subsequent to Q2 2021.

Appendix

Executive Team Over 25 years average real estate experience $25B+ of real estate M&A experienceTaken several companies publicExpertise in capital markets and investor communications Management Seasoned Management Team Name Title Years of Relevant Experience Ray Wirta Chairman 50 Aaron Halfacre Chief Executive Officer 25 Ray Pacini Chief Financial Officer 40 Bill Broms Chief Investment Officer 19 Mitchell Germain Chief Capital Officer 20 David Collins Chief Property Officer 35 Sandra Sciutto Chief Accounting Officer 33 John Raney Chief Legal Officer 12 Jennifer Barber Chief Operating Officer 6 John Bacon Chief Marketing Officer 30

Board of Directors Name Title Years of Experience Relevant Firm Ray Wirta Chairman 50 CBRE Irvine Company Aaron Halfacre CEO 25 Blackrock, Inc.Cole REIT Joe Hanauer Independent Director 50 Grubb & EllisPorch.com Adam Markman Independent Director 30 Equity CommonwealthGreen Street Adv. Curtis McWilliams Independent Director 40 Merrill Lynch Truststreet Prop. Thomas Nolan Independent Director 40 Spirit Realty Capital WashREIT Jeffrey Randolph Independent Director 40 Morgan Stanley Board of Directors Board Offers Wealth of Experience ~40 years average experience Significant public and capital markets experienceAffiliated companies include CBRE, Morgan Stanley, Merrill Lynch, Equity Commonwealth, Washington Real Estate Investment Trust, Porch.comNon-staggered Board

Investments Property City, State Product Type Sq.Ft. Investment Grade1 Purchase Date 3M DeKalb, IL Industrial 410,400 Y 3/29/2018 Accredo Health Orlando, FL Office 63,000 Y 6/15/2016 Amec Foster Wheeler San Diego, CA Industrial 37,449 N 7/20/2016 AvAir Chandler, AZ Industrial 162,714 N 12/28/2017 Bon Secours Health System Richmond, VA Office 72,890 Y 10/31/2018 Costco Wholesale Issaquah, WA Office 97,191 Y 12/20/2018 Cummins, Inc. Nashville, TN Office 87,230 Y 4/4/2018 Dana Incorporated Leander, TX Industrial 45,465 N 12/27/2016 Dollar General Bakersfield, CA Retail 18,827 Y 11/10/2015 Dollar General Big Spring, TX Retail 9,026 Y 11/4/2016 Dollar General Castalia, OH Retail 9,026 Y 11/4/2016 Dollar General Lakeside, OH Retail 9,026 Y 11/4/2016 Dollar General Litchfield, ME Retail 9,026 Y 11/4/2016 Dollar General Mt. Gilead, OH Retail 9,026 Y 11/4/2016 Dollar General Thompsontown, PA Retail 9,100 Y 11/4/2016 Dollar General Wilton, ME Retail 9,100 Y 11/4/2016 Dollar Tree Morrow, GA Retail 10,906 Y 4/22/2016 EMCOR Facilities Cincinnati, OH Office 39,385 Y 8/29/2017 exp Global Maitland, FL Office 33,118 N 3/27/2017 (Cont’d) As of June 30, 2021 1. Investment grade rating on long-term debt is determined by a nationally recognized statistical rating agency.

Investments (cont’d) Property City, State Product Type Sq.Ft. Investment Grade1 Purchase Date FUJIFILM Dimatix (72.71%) Santa Clara, CA Industrial 91,740 Y 9/28/2017 Gap Rocklin, CA Office 40,110 N 12/1/2016 GSA - Mine Safety & Health Vacaville, CA Office 11,014 Y 4/5/2016 Harley Davidson Bedford, TX Retail 70,960 N 4/13/2017 Husqvarna Charlotte, NC Industrial 64,637 Y 11/30/2017 Illinois Tool Works El Dorado Hills, CA Industrial 38,500 Y 8/18/2016 L3 Communications Carlsbad, CA Industrial 46,214 Y 12/23/2016 Levins Sacramento Sacramento, CA Industrial 76,000 N 8/20/2015 Northrop Grumman Melbourne, FL Office 107,419 Y 3/7/2017 Omnicare Richmond, VA Industrial 51,800 Y 7/20/2017 PMI Preclinical San Carlos, CA Industrial 20,800 Y 12/9/2015 PreK Education Center San Antonio, TX Retail 50,000 Y 4/8/2016 Solar Turbines San Diego, CA Office 26,036 Y 7/20/2016 Sutter Health Rancho Cordova, CA Office 106,592 Y 3/15/2017 Taylor Farms Yuma, AZ Industrial 216,727 N 10/24/2019 Texas Health Resources Dallas, TX Office 38,794 Y 9/13/2018 Walgreens Santa Maria, CA Retail 14,490 Y 6/29/2017 Williams Sonoma Las Vegas, NV Office 35,867 N 6/22/2017 Wyndham Las Vegas, NV Office 41,390 N 6/22/2017 Totals 2,290,995 67% - As of June 30, 2021 1. Investment grade rating on long-term debt is determined by a nationally recognized statistical rating agency.

www.modiv.com | 888.686.6348120 Newport Center Drive | Newport Beach, CA 92660 Securities offered through North Capital Private Securities | Member FINRA / SIPC