Navigating Commercial Real Estate and Generational Wealth
A STRONG CLOSE TO 2025 AND AN EXCITING STARTTO 2026
As we enter 2026, Midwest Equity remains focused on what has always defined our approach: disciplined underwriting, high-quality real estate, and long-term ownership strategies designed to preserve and grow investor capital. These principles continue to guide every acquisition and portfolio decision we make. Thanks to your continued partnership, we have expanded our portfolio of durable assets, and are launching our next diversified investment opportunity at a compelling point in the market cycle. Midwest Diversified IX is nearly fully deployed and Midwest Diversified X is now open for funding.
INVESTOR PORTAL UPDATE
We encourage all investors to log in to the Midwest Equity Investor Portal to access the Prospectus for Midwest Diversified X, view newsletters, detailed account information, and access K-1s once released, in one centralized location. The portal is designed to provide a streamlined and transparent experience. Investors can see consolidated views of investments made in various vehicles or focus on individual funds.
If you experience any difficulties accessing the portal, have yet to activate your portal, or have questions about your account, please contact InvestorRelations@midwestequity.net for assistance. In the coming weeks, we will be releasing a training video and a downloadable PDF guide that will walk through the portal’s key
INVESTOR PORTAL
MIDWEST DIVERSIFIED IX
MIDWEST DIVERSIFIED X LAUNCH – FUNDING NOW OPEN
THE MEDICAL SECTOR CONTINUES TO SHOW STRENGTH
NEW ADDITIONS TO THE MIDWEST EQUITY TEAM
NEW HEADQUARTERS FOR THE MIDWEST EQUITY OFFICE
MIDWEST DIVERSIFIED IX
OUR ANALYSIS
Summary of Midwest Diversified IX
Midwest Equity is proud of the status of Midwest Diversified IX, marking another major milestone in our firm’s continued growth and disciplined investment strategy.
Midwest Diversified IX raised approximately $75 million in investor equity, reflecting strong investor confidence and alignment with our long-term approach to real estate ownership. This capital base enabled the acquisition of over $150 million in closed assets, with roughly an additional $50 million in assets pending. This has allowed the fund to scale meaningfully while maintaining our strict underwriting standards.
The closed assets consist of 15 properties across 15 different submarkets, providing geographic diversification while remaining focused on assets that meet Midwest Equity’s criteria for durability, tenant quality, and long-term relevance Each acquisition was evaluated with an emphasis on downside protection and generational ownership characteristics.
With all capital received, Midwest Diversified IX is nearing final close. We would like to thank our investors for their trust and partnership, and we look forward to continuing to execute on behalf of our stakeholders across future funds.
CEDAR RAPIDS, IA
A
Sample of MD IX Properties
NOBLESVILLE, IN
OVERLAND PARK, KS
HIGHLAND PARK, IL
MIDWEST DIVERSIFIED X
NEXT FUND LAUNCHES
We are pleased to announce the official launch of Midwest Diversified X with the funding period open now. Our newest investment vehicle is designed to provide investors with diversified exposure across high-quality commercial real estate assets. The full prospectus is now available in the Investor Portal for review. This fund will focus on acquiring the same high-quality, generational real estate that has defined our previous offerings, targeting the sectors that investors are familiar with across prior Midwest Diversified funds, while taking advantage of current market pricing opportunities not available in prior cycles. Fund X is launching at a moment of that is, allowing us to acquire assets at more attractive prices and debt than in recent years.
Pricing Dislocation Creates Opportunity
Higher interest rates and reduced transaction volume have driven asset repricing across many commercial sectors. This has created opportunities to acquire well-located, fundamentally sound properties at valuations much lower than in previous years
Strong Income Fundamentals
Many commercial real estate assets continue to generate stable cash flow supported by long-term leases, contractual rent escalations, and resilient tenant demand in select sectors.
Long-Term Demographic and Economic Tailwinds
Population shifts, supply constraints in key markets, and the essential nature of many commercial uses continue to support longterm demand.
Midwest Diversified X is structured to capitalize on these conditions through diversification, disciplined underwriting, and active asset management aligned with Midwest Equity’s investment philosophy. If you are interested in learning more, please review the prospectus available in your Investor Portal or contact us at InvestorRelations@MidwestEquity.net
MEDICAL SECTOR UPDATE
The Medical Sector Continues to Show Strength
Medical real estate continues to stand out as one of the most resilient and attractive asset classes heading into 2026, supported by long-term demographic, economic, and healthcare delivery trends. As the U.S. population ages and utilization of healthcare services rises, well-located medical facilities function as essential infrastructure rather than discretionary space. For this reason, medical assets remain a core allocation within Midwest Diversified funds.
One of the key drivers of medical real estate performance is its non-cyclical demand profile Healthcare services are required regardless of broader economic conditions, historically resulting in higher occupancy rates and more predictable cash flows than many other property types. This consistency becomes especially valuable during periods of economic uncertainty or shifting interest rate environments.
In addition, medical tenants typically invest significant capital into specialized equipment and interior build-outs. These investments support longer lease terms and stronger tenant retention, aligning well with long-term ownership strategies. As healthcare delivery continues shifting toward outpatient and community-based care, off-campus medical facilities are seeing sustained growth
Industry research reinforces this outlook; “Demand for health care services continues to grow as the population ages, new discoveries and medical advances increase the amount of medical issues that can be addressed, and the focal shift from reactive medical care to preventative care and wellness continues.”
Medical Office Outlook
PWC Emerging Trends in Real Estate
Similarly, JLL characterizes medical real estate as a defensive asset class with durable fundamentals driven by demographics and healthcare utilization trends
JLL Healthcare Real Estate Perspective: Healthcare's outpatient revolution: Double-digit growth on the horizon
As we move through 2026, Midwest Equity believes medical real estate will continue playing a critical role in diversified portfolios focused on income reliability and long-term value preservation.
ANNOUNCEMENTS
NEW ADDITIONS TO OUR TEAM
Midwest Equity Newest Team Members
Mason Marinelli
Analyst in Capital Markets
Midwest Equity is excited to welcome Mason Marinelli as a full-time member of our growing team.
Mason has been an intern with Midwest Equity for three years, during which time he gained hands-on experience across underwriting, acquisitions, and asset management. Throughout his internship, Mason consistently demonstrated strong analytical skills, a deep understanding of our investment philosophy, and a commitment to excellence
Mason recently graduated from the University of Iowa with a Master of Science in Finance, further strengthening his technical foundation His academic background, combined with real-world experience inside the firm, positions him well for his role.
After completing internal training, Mason will contribute as an analyst working in Capital Markets, where he will play a key role in lender relations and lender negotiations. We are excited to see Mason grow as a CFA program candidate and in this role, contributing meaningfully to Midwest Equity’s future success.
Midwest Equity is pleased to welcome Zachary Wolf as our new Legal Supervisor.
Zachary brings more than eight years of experience from DC Comics, a Warner Bros. Discovery company, where he strengthened deal structures, supported high-visibility initiatives, and helped streamline contract processes for a wide range of partners and internal teams. His ability to translate complex terms into clear, actionable insights has made him a trusted resource for driving operational clarity and supporting strategic growth.
At Midwest Equity, Zachary will oversee contract negotiation, corporate governance, and the evolution of our legal operations. He will play a key role in enhancing our workflows, optimizing documentation standards, and integrating modern technology tools that elevate efficiency and transparency. By partnering closely with our acquisitions, finance, leasing, and operations teams, Zachary will help ensure our legal foundation supports the firm’s continued expansion and long-term vision.
We are excited to welcome Zachary and look forward to the value, structure, and momentum he brings to Midwest Equity’s next chapter.
New Location for the Midwest Equity Office
*This property will not be included in any Midwest Diversified fund, as it does not align with our investment strategy*
Midwest Equity has officially moved into its new headquarters, located on the main floor of the building at 150 1st Avenue NE, Suite 100 in Cedar Rapids, IA formerly occupied by Wells Fargo. This location will serve as our primary office for mail delivery and all in-person meetings going forward.
Free visitor parking is available on site near the entrance on the north side of the building. Our fellow tenants in the building include HR Green, Honkamp, and WSG CRE.
N E WS L E T T E R
Navigating Commercial Real Estate and Generational Wealth
A Message from Phil Williams, CVO
Dear valued investors,
As we wrapped up another strong year, we pause only for a moment to look back at the past few years while setting our sights squarely on the future of Midwest Equity. The past has created a great foundation with the legacy fund continuing to grow and the individual properties continuing to gain in value and cash flow.
Thanks to this growth, our team has identified 12 legacy properties that may be candidates for sale. Through a 1031 exchange, we expect to reinvest into assets that improve cash flow while deferring taxable gains. Our team is currently working to build the due diligence files for these properties so that we may start to effectively market and sell them
Depth has become another primary focus for 2026. We plan to expand not only the legal and capital markets team as you read above, but also our property management, marketing and investor relations teams. After the yearlong 2025 focus on systems, best practices, technology, and space, the 2026 focus will be people. Training, testing, and the growth of our already great current team is a top priority.
We look to Midwest Diversified X with excitement Our acquisitions team is continuing to find great generational real estate for reasonable cap rates. At the same time our capital markets team is getting the best spreads on debt for acquisitions that we have seen thanks to our size and past performance with lenders. We’ve hit the ground running in 2026 with over $65 million dollars of properties under contract and another 50 million that we are currently negotiating on. We couldn’t be happier with our pipelines of both properties and people.
