1112 n floyd rd - building 2...1112 n floyd rd - building 2 prepared by ed parrish broker...

1112 N Floyd Rd - Building 2

PREPARED BY

Ed Parrish

Broker

Underwriting Report

15,028 SF Office Building

SUBJECT PROPERTY

Property Details 2

MARKET SUMMARY

Richardson Submarket Summary 5

Dallas-Fort Worth Market Summary 6

Dallas-Fort Worth Economic Summary 7

PEER PROPERTIES

Peer Properties Summary 11

Peer Property Photos 13

Peer Property Comparison 14

Peer Property Details 18

LEASING ANALYTICS

Vacancy Analytics 23

Rent Analytics 30

Absorption Analytics 32

Leasing Analytics 33

LEASE COMPS

Lease Comps Summary 36

Lease Comps Details 38

CONSTRUCTION

Overall Construction Summary 51

Dallas-Fort Worth Construction 52

Richardson Construction 53

Construction Activity 56

Under Construction Summary 61

Under Construction Details 63

Completed Construction Past 12 Months 64

Deliveries Past 12 Months Details 66

SALE COMPS

Investment Trends 68

Sale Comps Detail 72

Sales Volume 81

Sales Pricing 82

Cap Rates 84

Table Of Contents

6/3/2019Copyrighted report licensed to Dumbbell Properties - 533152.

Top Buyers & Sellers 85

DEMOGRAPHICS

Overview 88

APPENDIX

Historical Leasing Data 90

Historical Construction Data 92

Table Of Contents


Subject Property

1112 N Floyd Rd - Building 2Richardson, TX 75080 - Richardson Submarket

PROPERTY

Type: Class C Office

Yr Blt/Renov: 1977

Property Size: 15,028 SF

Stories: 1

Typical Floor: 15,028 SF

Parking Spaces: 56: 3.73/1,000 SF

LOCATION

Walk Score®: Car-Dependent (44)

Transit Score®: Some Transit (26)

EXPENSES PER SF

Taxes: $2.52/SF (2009)

OWNER

Richardson Prof. Prk Leasing Office

Purchased 8/17/1995

Portfolio Price $1,236,000; $39.11/SF

Cap Rate 11.6%

VACANCY

Current:

Last Quarter:

0.0%

0.0%

Year Ago: 15.6%

Peers: 28.7%

Submarket 2-4 Star: 15.9%

GROSS ASKING RENT PER SF

Current:

Last Quarter:

$18.59

$18.59

Year Ago: $13.50

Peers: -

Submarket 2-4 Star: $23.56

12 MO. LEASING SF ACTIVITY

Subject Property:

Peers Total:

2,300

21,574

Peers Avg: 3,082

Submarket Total: 2,766,157

Submarket Avg: 6,830

AMENITIES

Atrium, Property Manager on Site

AVAILABLE SPACES

Currently No Available Spaces

Tenant # Emps Move Date Exp DateFloor SFIndustry

KEY TENANTS

Heights Pharmacy - Nov 2015 -6,5251st-

Richardson Pediatric Associates - Mar 2019 Mar 20262,3001st-

CoStar Research Moving Out Moving In My Data Shared Data


Page 2

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Subject Property

PRIMARY LEASING COMPANY

Dumbbell Properties

www.dumbbellproperties.com

Richardson, TX 75080

8190 W Arapaho Rd, Suite 24-B #217

(972) 922-2213 (p)(972) 644-3105 (f)

Ed Parrish

Broker

[email protected]

(972) 895-3678 (p)(972) 895-3982 (m)

TRUE OWNER


Richardson, TX

1112 N Floyd St

(972) 231-4405

RECORDED OWNER


Richardson, TX

1112 N Floyd St

(972) 231-4405

PROPERTY MANAGEMENT

Urban Real Estate Management, Inc.


670 W Arapaho Rd, Suite 14

(972) 644-4404 (p)(972) 644-3105 (f)

April Dolan

[email protected]

(972) 644-4404 (p)(972) 644-3105 (f)


Page 3

http://www.dumbbellproperties.com/


PREPARED BY

Ed Parrish

Broker

Market Summary


Richardson Submarket SummaryRichardson Office

Richardson is the home of the Telecom Corridor, whichcontains a number of the world’s largesttelecommunications companies. Despite the moniker,Richardson has a diverse tenant base, with healthcareand insurance firms taking up a large portion of thesubmarket's office space. CityLine has garnered most ofthe headlines in recent years, with build-to-suits forState Farm (2 million SF) and Raytheon (500,000 SF)

opening a few years ago to go along with thousands ofnew apartments and retail. The first speculative buildingat CityLine, 3400 CityLine, delivered in July 2017, buthas only recently started to see an uptick in leasingactivity. The submarket also benefits from DART access:Four DART rail stations are located here, more than inany other suburban office submarket in the metroplex.

NET ABSORPTION, NET DELIVERIES & VACANCY


Page 5

Dallas-Fort Worth Market SummaryDallas-Fort Worth Office

Development in in Dallas-Fort Worth is inevitable; newresidents and employment growth fuel demand for newspace. Adding 131,800 residents from 2017 to 2018, theregion gained more residents than any other metropolitanarea in the country. Almost the same can be said foremployment growth: Over the past 12 months, the regionadded 102,500 new jobs, only second to the NYCmetropolitan area in terms of absolute growth. Theregion’s competitive cost of living, accessibility, andhighly educated workforce have made it a hotbed forcorporate relocations and expansions. Names likeToyota, Samsung, and Coremark Holdings have allrecently found a home in Dallas-Fort Worth, and manymore have announced plans or a looking to expand.Expect the Texas economy to outperform the UnitedStates in the near and long terms.

Strong economic underpinnings have fostered a healthyoffice market. During the past 12 months, the market hasabsorbed 3.7 million SF, the third most in the country.Construction activity remains robust, with about 5.2million SF delivered and around 8.3 million SF currentlyunder construction. Even with the construction, vacancies

should remain stable due to a significant portion of newspace being pre-leased, and the near term speculativepipeline is relatively muted. Rent growth is still above themetro’s historical average as tenants continue to clamorfor new space in their flight to quality.

Nationally, the U.S. economy is only a few months fromthe longest expansion on record. Mixed economic signalsand continued grumblings of a global economicslowdown are themes shaping 2019; economic growth isprojected to decelerate in the next few years. At thesame time, real estate fundamentals are increasinglydivergent, with uneven growth across sectors andregions as some investors are becoming increasinglyselective this far into the cycle. With pricing in core costalmarkets rising over the past few years, many institutionalinvestors have turned to less expensive secondarymarkets in search of better yields. As a result,investment has continued to flow to Dallas-Fort Worth:Come for the growth, stay for the yield. After a solid 2018with total sales of over $11 billion, the market is on paceto surpass last year, with total sales surpassing $6 billionas of mid-year.

NET ABSORPTION, NET DELIVERIES & VACANCY


Page 6

Dallas-Fort Worth Economic SummaryDallas-Fort Worth Office

Dallas-Fort Worth’s diversified economy should continueto hum right along. Abundant job opportunities havespurred significant population growth due to in-migration.Population growth in the metroplex is more than doublethe U.S. average and has topped the nation over thepast few years. Net migration continues to rank amongthe highest in the country, exceeding the highs from thepast cycle. This in-migration continues to help spurgrowth in office-using and industrial-based employmentgrowth alike. Employment growth should remain strongerthan the national benchmark over the next five years.

A number of high-profile companies across varioussectors have relocated or expanded operations in D-FW,which should keep employment growth in the metroplexrolling. State Farm finished its regional expansion in2016, and now occupies 2 million SF in the CityLinedevelopment in Richardson. In 2017, Toyota moved intoits 2-million-SF North American headquarters at theLegacy West development in Plano. The companyrelocated its sales, engineering, and finance operationsfrom California, bringing about 4,000 jobs, and it hasplans to eventually add thousands more. Another majorheadliner is Liberty Mutual Insurance, which addedaround 5,000 jobs in Legacy West.

It doesn't stop there, though, as Charles Schwabcompleted construction of the first phase of their regionalheadquarters in the second quarter of 2019, adding2,600 new jobs to Westlake (north of Fort Worth) in theshort term and plans on adding thousands more at fullbuild-out. Furthermore, existing employers like AT&T, 7-Eleven, JPMorgan Chase, USAA, and Fannie Mae areexpanding their local footprints.

D-FW's affordability, location, and quality of laborcontinue to attract major employers. The cost of businessis an obvious consideration for any company looking toexpand or relocate, and for companies weighing themetroplex against major coastal cities like Boston or San

Francisco, the price differential can be substantial.Business costs in D-FW are roughly even with thenational average, while costs in many coastal cities aremore than 20% above that. Plus, policies at both thestate and local levels tend to be business-friendly—D-FW cities often dole out generous tax incentives to enticebig new office, retail, and industrial tenants. As long aspopulation growth in those cities remains strong, they willlikely be able to remain competitive with incentives.

The metroplex is an attractive place to conduct businessfor other reasons as well. The metro's location in thecenter of the country, and the presence of bothDallas/Fort Worth International and Dallas Love Field,makes flights to either coast manageable, a plus forcorporate executives. Also, Dallas-Fort Worth is a majordistribution hub, upping its appeal for companies thatmanufacture and ship goods throughout the country.Lastly, D-FW has a deep, well-educated employmentbase, allowing corporations to relocate there withoutsacrificing quality of labor.

Dallas-Fort Worth is often under-credited for itsdiversification and doesn't need expensive oil prices forsustained growth. Dallas was one of the first internationalenergy hubs, but many of those companies have slowlyshifted operations to Houston over the years, maintaininga smaller D-FW workforce, made up primarily ofexecutives who didn't move to Houston. Case in point:ExxonMobil. The company's corporate headquarters is inIrving, but for all intents and purposes, its mainoperations center is located at its 3-million-SF campusin Houston. While D-FW is still above average in termsof employment in natural resources and mining, theeffects of the latest oil bust were confined mainly to theFort Worth side of the metroplex, where many energy-related companies are located. Even so, Fort Worth hasweathered the storm and could see significant upside ifoil prices rise.


Page 7


DALLAS-FORT WORTH EMPLOYMENT BY INDUSTRY IN THOUSANDS

NAICS Industry Jobs LQ MarketUS USMarketUSMarket

Current Jobs Current Growth 10 Yr Historical 5 Yr Forecast

0.13%-0.29%0.66%0.54%1.60%2.70%0.9283Manufacturing

0.44%1.21%1.10%2.61%1.15%2.56%1.1798Trade, Transportation and Utilities

0.32%1.20%0.82%2.17%0.07%0.82%1.0377 Retail Trade

0.42%1.73%0.94%2.80%1.28%2.47%1.4311Financial Activities

0.77%1.20%-0.03%0.98%0.50%1.56%0.8436Government

0.31%0.48%1.79%2.49%3.57%5.27%1.1231Natural Resources, Mining and Construction

0.33%0.97%2.09%3.05%2.04%2.44%0.8459Education and Health Services

0.89%1.66%2.52%3.79%2.50%3.04%1.2636Professional and Business Services

0.44%0.37%-0.02%-0.32%-0.08%-1.53%1.282Information

0.41%0.88%2.42%3.50%2.29%4.05%1.0399Leisure and Hospitality

0.22%0.72%0.92%1.96%1.10%3.01%0.9128Other Services

Total Employment 3,764 1.0 2.75% 1.66% 2.47% 1.36% 1.08% 0.49%

Source: Oxford Economics

LQ = Location Quotient


YEAR OVER YEAR JOB GROWTH


Page 8


DEMOGRAPHIC TRENDS

Current ChangeCurrent Level

Metro U.S.Metro U.S.Demographic Category

10-Year Change

Metro U.S. Metro U.S.

Forecast Change (5 Yrs)

Population 329,067,9387,611,542 1.7% 0.7% 1.9% 0.7% 1.7% 0.7%

Households 121,212,1882,641,367 1.6% 0.6% 1.7% 0.7% 1.6% 0.6%

Median Household Income $63,823$72,369 4.6% 3.7% 2.7% 2.2% 4.2% 4.3%

Labor Force 163,566,0163,984,066 2.0% 1.1% 2.3% 0.6% 1.1% 0.5%

Unemployment 3.8%3.4% -0.1% -0.1% -0.4% -0.5% - -


POPULATION GROWTH


LABOR FORCE GROWTH INCOME GROWTH


Page 9


PREPARED BY

Ed Parrish

Broker

Peer Properties


Peer Properties Summary1112 N Floyd Rd - Building 2

No. Peers

7Gross Direct Asking Rent

-Availability Rate

29.7%Vacancy Rate

28.7%PEER LOCATIONS

PEER SUMMARY STATISTICS

Property Attributes Low Average Median High

Building SF 4,556 27,930 20,358 77,731

Year Built 1979 1982 1983 1986

Stories 1 1 1 4

Typical Floor SF 4,556 15,382 18,819 23,256

Vacancy Rate 5.0% 28.7% 18.8% 82.5%

Availability Rate 5.0% 29.7% 20.2% 72.0%

Star Rating 2.1

Available Space Attributes Low Average Median High

Space SF 1,061 9,671 4,666 32,915

Gross Direct Asking Rent Per SF - - - -

Months On Market 0.6 10.6 4.8 30.1

Floor Number 1 1 1 4


Page 11

Peer Properties Summary1112 N Floyd Rd - Building 2

Property Name / Address Rating Yr Blt/Renov Bldg SF Stories SF Avail %

Property Size

Spcs

Availability

Vac % Gross Direct Rent

-1 Campbell Plaza Office B…1986/- 12,074 1 0 0%

610 Old Campbell Rd1 0% -

-2 Two Mission Park1980/- 77,731 4 32,915 42.3%

1202 Richardson Dr10 38.7% -

-3 Mission Plaza1983/- 38,715 2 6,642 17.2%

1201 Richardson Dr4 14.4% -

-4 Arapaho Gardens1979/- 4,556 1 1,061 23.3%

1149 Rockingham Dr1 23.3% -

-Building 2

1977/- 15,028 1 0 0%1112 N Floyd Rd

0 0% $18.59

-5 1475 Richardson Dr1986/- 23,256 1 1,160 5.0%1 5.0% -

-6 1485 Richardson Dr1986/1999 18,819 1 13,556 72.0%5 82.5% -

-7 Arapaho Gardens1980/- 20,358 2 2,691 13.2%

1131 Rockingham Dr3 13.2% -


Page 12









Vacancy 14.4%

1201 Richardson Dr38,715 SF / 2 Stories

Owner: Whitehall Real Estate, Inc.

Rent/SF -,

Mission Plaza3

Vacancy 38.7%

1202 Richardson Dr77,731 SF / 4 Stories

Owner: Momentum Commercial Realty

Rent/SF -,

Two Mission Park2

Vacancy 0%

610 Old Campbell Rd12,074 SF / 1 Story

Owner: Old Campbell Road Partners…

Rent/SF -,

Campbell Plaza Office Busi…1

Vacancy 5.0%

23,256 SF / 1 Story

Owner: Column Finl

Rent/SF -,

1475 Richardson Dr5

Vacancy 0%

1112 N Floyd Rd15,028 SF / 1 Story

Owner: Richardson Prof. Prk Leasing…

Rent/SF $18.59,

Subject Property

Building 2

Vacancy 23.3%

1149 Rockingham Dr4,556 SF / 1 Story

Owner: Golden Franchising Corporati…

Rent/SF -,

Arapaho Gardens4

Vacancy 13.2%

1131 Rockingham Dr20,358 SF / 2 Stories

Owner: Golden Franchising Corporati…

Rent/SF -,

Arapaho Gardens7

Vacancy 82.5%

18,819 SF / 1 Story

Owner: Momentum Commercial Realty

Rent/SF -,

1485 Richardson Dr6

Peer Property Photos1112 N Floyd Rd - Building 2


Page 13

















Property Name / Address Rating Gross Direct Rent Per SF Vacancy Rate

Building 2

1112 N Floyd Rd$18.59 0%

1485 Richardson DrWithheld6 82.5%

Two Mission Park


Arapaho Gardens

1149 Rockingham DrWithheld4 23.3%

Mission Plaza


Arapaho Gardens

1131 Rockingham DrWithheld7 13.2%

1475 Richardson DrWithheld5 5%

Campbell Plaza Office…

610 Old Campbell Rd

Average

(Arrows indicate trend over last quarter)

1 $21 - 25(Est.) 0%

26.6%$18.59

Peer Property Comparison1112 N Floyd Rd - Building 2


Page 14


















Property Name / Address Rating Availability Rate Vacancy Rate

1485 Richardson Dr6 72% 82.5%

Two Mission Park

1202 Richardson Dr2 42.3% 38.7%

Arapaho Gardens

1149 Rockingham Dr4 23.3% 23.3%

Mission Plaza

1201 Richardson Dr3 17.2% 14.4%

Arapaho Gardens

1131 Rockingham Dr7 13.2% 13.2%

1475 Richardson Dr5 5% 5%

Building 2

1112 N Floyd Rd0% 0%


610 Old Campbell Rd

Average


1 0% 0%

26.6%27.6%


Page 15


















Property Name / Address Rating Gross Direct Rent Per SF Median Months on Market

Building 2

1112 N Floyd Rd$18.59

Two Mission Park

1202 Richardson DrWithheld2 30


Mission Plaza



Arapaho Gardens

1131 Rockingham DrWithheld7 1

Arapaho Gardens

1149 Rockingham DrWithheld4 1


610 Old Campbell Rd

Average


1 $21 - 25(Est.)

19$18.59


Page 16


















Property Name / Address Rating 12 Mo. Leasing Activity in SF 12 Mo. Net Absorption in SF

Two Mission Park

1202 Richardson Dr2 7,617 6,272

Mission Plaza

1201 Richardson Dr3 4,865 (698)

1475 Richardson Dr5 4,496 3,041

1485 Richardson Dr6 4,416 (1,310)

Building 2

1112 N Floyd Rd2,300 2,340


610 Old Campbell Rd1 180 180

Arapaho Gardens

1149 Rockingham Dr4 0 (1,061)

Arapaho Gardens

1131 Rockingham Dr

Average

7 0 (2,691)

7592,984


Page 17

















Peer Property Details1112 N Floyd Rd - Building 2

1 1202 Richardson DrDistance to Subject Property: 0.9 Miles

EXPENSES

Taxes: $1.69/SF (2018)

Op. Exp: $0.54/SF (2013)

PROPERTY

Type: Class B Office

Yr Blt/Renov: 1980

RBA: 77,731 SF

Core Factor: 13.5%

Stories: 4



# of Tenants: 18

OWNER

Momentum Commercial Realty

Purchased 1/24/2017

COMPARISON SUBJECTTHIS PROPERTY

Vacancy %: 38.7% 0%

Available SF: 32,915 -

Gross Ask Rent: - $18.59

Months To Lease: 56 mo 8 mo

Time On Market: 30 mo -

Walk Score®: 34 44

Transit Score®: 54 26

AVAILABILITY OFFICE

Spaces: 10

Square Feet: 32,915

Range: 845 - 15,128

Max Contig: 15,128

% Sublet: 0 %

Asking Rent: -


EXPENSES

Taxes: $3.73/SF (2005)

Op. Exp: $10.35/SF (2007)

PROPERTY


Yr Blt/Renov: 1986/1999

RBA: 18,819 SF

Core Factor: 8%

Stories: 1



# of Tenants: 8

OWNER

Momentum Commercial Realty

Purchased 6/13/2012


Vacancy %: 82.5% 0%





Walk Score®: 32 44


AVAILABILITY OFFICE

Spaces: 5

Square Feet: 13,556

Range: 1,021 - 6,723

Max Contig: 6,723

% Sublet: 0 %

Asking Rent: -


Page 18





EXPENSES

Taxes: $1.70/SF (2018)

PROPERTY


Yr Blt/Renov: 1983

RBA: 38,715 SF

Core Factor: 15%

Stories: 2



# of Tenants: 13

OWNER

Whitehall Real Estate, Inc.

Purchased 10/22/1996

Price $1,625,000; $42/SF


Vacancy %: 14.4% 0%





Walk Score®: 34 44


AVAILABILITY OFFICE

Spaces: 4

Square Feet: 6,642

Range: 1,079 - 2,578

Max Contig: 2,578

% Sublet: 0 %

Asking Rent: -

4 1131 Rockingham DrDistance to Subject Property: 0.1 Miles

EXPENSES

Taxes: $1.24/SF (2011-Est)

Op. Exp: $6.01/SF (2011-Est)

Total Expenses: $7.25/SF (2011-Est)

PROPERTY


Yr Blt/Renov: 1980

RBA: 20,358 SF

Core Factor: 15%

Stories: 2



# of Tenants: 21

OWNER

Golden Franchising Corporation


Price $661,279; $32/SF (Confirmed)


Vacancy %: 13.2% 0%





Walk Score®: 57 44


AVAILABILITY OFFICE

Spaces: 3

Square Feet: 2,691

Range: 619 - 1,074

Max Contig: 1,074

% Sublet: 0 %

Asking Rent: -


Page 19





EXPENSES

Taxes: $2.85/SF (2010)

PROPERTY


Yr Blt/Renov: 1986

RBA: 23,256 SF

Stories: 1



# of Tenants: 14

OWNER

Purchased 10/5/2010


Vacancy %: 5.0% 0%





Walk Score®: 31 44


AVAILABILITY OFFICE

Spaces: 1

Square Feet: 1,160

Range: 1,160

Max Contig: 1,160

% Sublet: 5.0 %

Asking Rent: $16.50/+ELEC

6 1149 Rockingham DrDistance to Subject Property: 0.1 Miles

EXPENSES

Taxes: $0.95/SF (2011)

Op. Exp: $6.44/SF (2011)

Total Expenses: $7.39/SF (2011)

PROPERTY


Yr Blt/Renov: 1979

RBA: 4,556 SF

Stories: 1


Parking Spaces: 3.00/1,000 SF

# of Tenants: 3

OWNER

Golden Franchising Corporation


Price $162,713; $36/SF (Confirmed)


Vacancy %: 23.3% 0%





Walk Score®: 50 44


AVAILABILITY OFFICE

Spaces: 1

Square Feet: 1,061

Range: 1,061

Max Contig: 1,061

% Sublet: 0 %

Asking Rent: -


Page 20




7 610 Old Campbell RdDistance to Subject Property: 0.9 Miles

EXPENSES

Taxes: $3.73/SF (2018)

PROPERTY


Yr Blt/Renov: 1986

RBA: 12,074 SF

Stories: 1



# of Tenants: 6

OWNER

Old Campbell Road Partners Llc



Vacancy %: 0% 0%

Available SF: - -


Months To Lease: - 8 mo

Time On Market: - -

Walk Score®: 67 44


AVAILABILITY OFFICE

Spaces: 1

Square Feet: 2,500

Range: 130 - 2,500

Max Contig: 2,500

% Sublet: 0 %

Asking Rent: $52.50/NEGOT


Page 21



PREPARED BY

Ed Parrish

Broker

Leasing Analytics


DALLAS-FORT WORTH VACANCY OVERVIEW

Corporate relocations and expansions continue to driveoffice demand in Dallas-Fort Worth. A highly skilledlabor force, low business costs relative to costal markets,a central location, accessibility, and aggressive incentivepackages offered by the State of Texas and localmunicipalities have made the region a hotbed forcorporate expansions and relocations.

While many markets have realized a steady stream ofcorporations migrating from suburbs to the urban core asthey chase the millennial workforce. The suburbs ofDallas have been thriving. For example, AllstateInsurance is planning a major expansion in Irving, withplans to invest $11 million while adding 1,300 new jobs.Also in Irving, construction of Pioneer Natural Resources'new campus is well underway, totaling about 900,000SF, and it will sit within two towers connected by a mainhub in the center that will help bring the company’snearly 1,100 employees together. While Amazon HQ2took quite a bit of oxygen out the room, McKesson Corp,the nation’s largest pharmaceutical distributor,announced in late 2018 it will relocate its headquartersfrom San Francisco to Irving. The company ranks sixthon the Fortune 500 list, making it the second largestcompany by revenue based in North Texas, surpassingAT&T. In 2017, Toyota moved their North Americanheadquarters to Legacy West in Plano from Torrance,California, and Erlanger, Kentucky, as part of anationwide consolidation. Also in Legacy, Liberty Mutualadded 5,000 jobs at its new 1-million-SF campus. Afterrecently completing the first phase of its 1-million-SFregional campus, JPMorgan Chase is requestingapproval to expand the second phase of its $300 million

project.

While suburban submarkets have benefitted from thelion’s share of large corporate moves, the urban core hasattracted some sizable relocations and expansion aswell. In late 2018, Salesforce announced it wouldconsolidate workers from across North Texas to TheUnion in Uptown, leasing just over 100,000 SF. TheBeck Group will be moving more than 200 employees totheir new 81,000-SF headquarters in ThanksgivingTower later this year. AT&T continued revamp of itsDowntown headquarters to accommodate the 2,000 newhires announced in 2016. The carrier is investing over$100 million in an “urban tech center” that will be knownas the AT&T Discovery District featuring shopping,dining, and relaxation opportunities for employees,residents, and visitors. Other notable leases includedHana signing a 67,000-SF lease in PwC Tower; the lawfirm of Kane, Russell, Coleman & Logan taking 44,900SF in Bank of America Plaza; and Common Desk signinga 51,000-SF deal in the Trammell Crow Center.

In the past 12 months, the Dallas-Fort Worth market hasexperienced over 3.7 million SF of positive netabsorption, New York and Boston are the only two tohave realized more than the metroplex. While much ofthe demand came in the form of build-to-suits for largesingle tenants, multi-tenant activity picked up throughthe first half of 2019. This has been particularly true in 4& 5 Star assets, which have accounted for around 70%of the net absorption over the past 12 months,reinforcing the flight to quality trend.

Vacancy Analytics1112 N Floyd Rd - Building 2


Page 23


RICHARDSON VACANCY OVERVIEW

CityLine, particularly State Farm’s build-to-suit campus,has garnered many of the headlines, and rightly so. Infact, the moves by State Farm (roughly 2 million SF) andRaytheon (nearly 500,000 SF) represented a 12%increase in the submarket’s occupied square footage.Over the long term, more businesses are likely to want tolocate here as CityLine continues to become moreurbanized, boasting high-end retail and new apartments.Tenants looking for larger space in Richardson will findthat CityLine contains plenty of room to constructadditional build-to-suits. In terms of speculative deals inCityLine, Transwestern Dallas and Malouf Interestscompleted the first multi-tenant property in the buildingpark, 3400 CityLine. The 313,000-SF project delivered100% vacant in July 2017. The asset remained vacantfor more than one year after delivering but has generatedsome leasing activity of late. These leases wereheadlined by DXC Technology, which signed for roughly100,000 SF in early 2019 and Generational Group, whichtook 31,000 SF in late 2018.

Plenty of large blocks are on the market, and manylandlords are reportedly fishing for single-tenant users.As of early 2019, more than 10 properties had more than100,000 SF of contiguous space available, and upwards

of 20 buildings had more than 50,000 SF. Those figureshaven’t changed much in recent quarters. One potentialdownside to leasing here is that large tenants oftenprefer new build-to-suits over existing space in thenorthern Dallas suburbs. Recent examples include notjust the massive campuses for Toyota, Liberty Mutual,and JPMorgan Chase, but other large buildings forFedEx Office and Fannie Mae. Following that trend, bothAT&T Wireless and Samsung moved out of about200,000 SF each in Richardson in 19Q1, with Samsungheading north to the newly renovated Legacy Centraldevelopment in Plano.

On the upside, Richardson has seen some momentum inthe form of firms taking satellite space to complementtheir core regional offices. For example, Goldman Sachsmoved into its new regional office at Trammell CrowCenter in the Dallas CBD in early 2018 but also took44,000 SF at Galatyn Commons in Richardson in 2017.Similarly, Steward Health relocated its headquarters fromBoston to 1900 Pearl in the Dallas CBD in early 2018 butsubsequently signed on for 165,000 SF at GalatynCommons as well. Across the street from GalatynCommons, technology firm Infosys signed on for roughly100,000 SF at 2400 Glenville in 18Q3.

VACANCY RATE


Page 24


VACANCY RATE

Vacancy Trend (YOY) VacancyTrend (YOY) Trend (YOY)VacancyTrend (YOY)Vacancy

Subject Peers Richardson Dallas-Fort Worth

-0.6%15.9%-4.9%16.9%5.3%27.9%0%0%2013

-1.3%14.6%-2.2%14.7%-10.1%17.8%0%0%2014

-0.4%14.2%3.2%17.9%7.5%25.2%6.5%6.5%2015

0.1%14.3%-1.4%16.5%1.1%26.3%-6.5%0%2016

0.4%14.7%-0.6%15.8%4%30.3%15.6%15.6%2017

0.2%14.9%0.4%16.2%-6.4%23.9%-15.6%0%2018

0%14.9%-0.4%15.9%4.8%28.7%0%0%YTD

-0.1%14.7%-1.6%14.7%4%27.9%2019

0.2%15.0%0.6%15.3%0.3%28.2%2020

0.3%15.3%0.4%15.7%0.1%28.4%2021 Forecast >

0.2%15.5%0.4%16.1%0.1%28.5%2022

0.1%15.7%0.2%16.3%-0.2%28.3%2023


Page 25


AVAILABILITY RATE

AVAILABILITY RATE

Availability Trend (YOY) AvailabilityTrend (YOY) Trend (YOY)AvailabilityTrend (YOY)Availability

Subject Peers Richardson 3 Star Dallas-Fort Worth 3 Star

-1.5%17.0%-6%21.2%7.3%29.9%0%0%2013

0.2%17.1%1.3%22.5%-11.3%18.7%0%0%2014

0.4%17.5%3.8%26.3%6.5%25.2%6.5%6.5%2015

-0.6%16.9%-1%25.3%2.6%27.8%-6.5%0%2016

0.2%17.1%-1.4%23.9%2.5%30.3%15.6%15.6%2017

-0.8%16.3%-4%19.9%-2.7%27.6%-15.6%0%2018

0%16.6%-2.5%18.3%1.3%29.7%-15.6%0%2019 YTD


Page 26


MEDIAN MONTHS ON MARKET

MEDIAN MONTHS ON MARKET

Peers Richardson Dallas-Fort Worth

2009 10.2 16.3 12.9

2010 14.6 17.5 15.2

2011 24.9 21.2 18.1

2012 29.0 25.2 19.9

2013 29.6 25.3 19.4

2014 20.7 28.5 19.9

2015 37.5 25.0 20.5

2016 27.5 23.1 17.3

2017 20.7 17.2 13.1

2018 12.8 13.9 12.7

2019 6.3 15.1 12.8


Page 27


MONTHS TO LEASE BY BLOCK SIZE (PAST 3 YEARS)

MONTHS TO LEASE BY BLOCK SIZE (PAST 3 YEARS)

Peers Richardson Dallas-Fort Worth

0-9,999 SF 10.5 10.4 9.6

10,000-19,999 SF - 16.1 14.1

20,000-49,999 SF - 18.9 17.5

50,000-99,999 SF - 17.0 18.7

100,000+ SF - 32.5 18.9


Page 28


RENEWAL RATES

RENEWAL RATES

Richardson & Adjacent Dallas-Fort Worth

2009 63.7% 60.7%

2010 54.2% 61.2%

2011 62.9% 68.7%

2012 84.4% 71.7%

2013 68.2% 64.9%

2014 83.3% 65.8%

2015 52.7% 58.7%

2016 54.1% 56.2%

2017 43.1% 52.9%

2018 29.8% 46.3%

2019 7.7% 10.5%


Page 29

Rent Analytics1112 N Floyd Rd - Building 2

DALLAS-FORT WORTH RENT TRENDS

There is quite a bit of potential upside in D-FW rents:There is a robust construction pipeline of around 7.8million SF, and several key renovations are breathingnew life into older, outdated properties, along with firmeconomic underpinnings. Despite the increase inspeculative supply, rent growth has remained above themetro’s historical average, with 4 & 5 Star assetskeeping pace with the national average. As of mid-year2019, the number of spec starts had slowed, leading to apossible shift in pricing power in the favor of landlords aslong as vacancies remain below historical norms. Whilemoderate growth is anticipated in the short term, we donot expect rents to undergo the run-up of nearly 6%experienced in late 2014.

The flight to quality has created an increasinglybifurcated market. Submarkets with a high concentrationof newer buildings and 4 & 5 Star inventory, likeUptown/Turtle Creek and Upper Tollway/West Plano,have outperformed the market, with average asking rentsfrom $35/SF–$41/SF. Submarkets with a highconcentration of high-quality, 1980s-era stock, such asPreston Center and Central Expressway, have also donewell over the past few years. A few laggards includeareas with older building stock or a lack of 4 & 5 Starassets. These include Garland, Southeast Dallas,Stemmons Freeway, and East Northeast Ft. Worth.

RICHARDSON RENT TRENDS

Rent growth in Richardson was buoyed by newlyrenovated properties earlier this cycle. Since 2010, morethan 2.7 million SF, primarily 80s and 90s product, hasbeen renovated. These properties have seen cumulativerent growth of about 50% since 2010. However, as ofyear-end 2018, the combined occupancy rate on thoseassets was only 60%, a figure that has not changedmuch in recent quarters.

After a few years of impressive rent increases, rentgrowth has underperformed the metro average as of late.Richardson ranked as one of the worst submarkets forrent growth in D-FW in 2018. Rents are still only about10% above their prerecession peak, a figure that lags thenearby Upper Tollway/West Plano Submarket, whererents are more than 20% above where they were beforethe downturn.

GROSS ASKING RENT PER SQUARE FOOT


Page 30

Rent Analytics1112 N Floyd Rd - Building 2

GROSS ASKING RENT PER SQUARE FOOT

Direct Rent Trend (YOY) Market RentTrend (YOY) Trend (YOY)Market RentTrend (YOY)Market Rent

Subject Peers Richardson Dallas-Fort Worth

4.7%$21.317.7%$20.263.5%$16.09--2013

5.7%$22.534.6%$21.192.1%$16.42--2014

4%$23.443.5%$21.934.3%$17.13-$12.002015

3.2%$24.202.6%$22.503.6%$17.750%$12.002016

3.1%$24.953.3%$23.242.9%$18.2712.5%$13.502017

2.7%$25.641.4%$23.570.4%$18.3537.7%$18.592018

0.7%$25.820.3%$23.63-0.8%$18.20-$18.59YTD

2.1%$26.171%$23.80-0.4%$18.272019

1.6%$26.601.1%$24.070.5%$18.372020

1.5%$27.001.3%$24.370.7%$18.492021 Forecast >

1.7%$27.451.5%$24.750.9%$18.662022

1.5%$27.871.4%$25.110.8%$18.802023


Page 31

Absorption Analytics1112 N Floyd Rd - Building 2

NET ABSORPTION IN PEERS IN SQUARE FEET

NET ABSORPTION IN RICHARDSON SUBMARKET IN SQUARE FEET

NET ABSORPTION IN DALLAS-FORT WORTH IN SQUARE FEET


Page 32

Leasing Analytics1112 N Floyd Rd - Building 2

LEASING ACTIVITY IN PEERS IN SQUARE FEET

LEASING ACTIVITY IN RICHARDSON SUBMARKET IN SQUARE FEET

LEASING ACTIVITY IN DALLAS-FORT WORTH IN SQUARE FEET


Page 33

Leasing Analytics1112 N Floyd Rd - Building 2

SUBLEASE SPACE AVAILABLE IN DALLAS-FORT WORTH IN SQUARE FEET


Page 34


PREPARED BY

Ed Parrish

Broker

Lease Comps


Lease Comps Summary1112 N Floyd Rd - Building 2

Deals

12Gross Asking Rent Per SF

$16.12Gross Starting Rent Per SF

$17.06Avg. Months On Market

11LEASE COMPARABLES

SUMMARY STATISTICS

Rent Deals Low Average Median High

Gross Asking Rent Per SF

Gross Starting Rent Per SF

Gross Effective Rent Per SF

Asking Rent Discount

TI Allowance

Months Free Rent

10

11

3

9

-

3

$14.50

$14.87

$14.87

-65.1%

-

0

$16.12

$17.06

$16.28

-7.2%

-

2

$17.74

$16.78

$17.00

0.0%

-

3

2.9%

-

3

$24.34

$27.19

$77.84

Lease Attributes Deals Low Average Median High

Months on Market

Deal Size

Lease Deal in Months

Floor Number

12

12

8

12

1

500

12.0

1

11

3,969

39.0

2

9

2,397

36.0

2 8

42

26,696

84.0


Page 36

Lease Comps Summary1112 N Floyd Rd - Building 2

Property Name - Address Rating SF Leased Floor Sign Date Rent Rent Type

Lease

Type

Rents

-1 Northwest Office Plaza2,602 2nd 3/18/2019 $16.14/fs Starting

1750 N Collins BlvdNew

-2 Building 22,300 1st 2/18/2019 $15.00/fs Starting

1112 N Floyd RdNew

-1 Northwest Office Plaza500 2nd 2/13/2019 $15.60/fs Starting

1750 N Collins BlvdNew

-3 Eastside Atrium3,375 1st 11/19/2018 $20.50/+elec Starting

800 E Campbell RdNew

-3 Eastside Atrium2,495 1st 11/19/2018 $20.50/+elec Starting


-4 Office Alpha812 2nd 11/15/2018 $15.95/+elec Effective

13140 Coit RdNew

-5 Comerica Bank Building…938 3rd 11/9/2018 $16.10/fs Starting

811 S Central ExpyNew

-6 Spring Valley Business…26,696 2nd 10/19/2018 $14.87/fs Effective

1057 S Sherman StNew

-5 Comerica Bank Building…518 3rd 9/17/2018 $16.50/nnn Starting

811 S Central ExpyNew

-7 Arapaho Creek Office3,232 1st 9/10/2018 $9.50/nnn Starting

1350 E Arapaho RdNew

-8 Eastside Centre3,564 8th 8/10/2018 $26.00/+elec Starting


-4 Office Alpha600 3rd 7/30/2018 $76.80/+elec Effective

13140 Coit RdNew


Page 37

http://gateway.costar.com/Gateway/Redir/RedirectToProduct.aspx?productId=PPW&redirUrl=%2Fredir%2Fdefault.aspx%3Feid%3D10391086%26ProductMode%3DProperty%26SelectedTab%3Dlease%26external%3D1












Lease Comps Details1112 N Floyd Rd - Building 2

1 1750 N Collins Blvd - Northwest Office PlazaRichardson, TX 75080 - Richardson Submarket

RENTS

Asking Rent: $12.00-$18.00/FS

Starting Rent: $16.14/FS

CONCESSIONS AND BUILDOUT

Asking Discount: -7.60%

Buildout: Professional Services

Buildout Status: Full Build-Out

Space Condition: Average

LEASE

SF Leased: 2,602 SF

Sign Date: Mar 2019

Space Use: Office/Medical

Lease Type: Direct

Floor: 2nd Floor

Suite: 208, 224

LEASE TERM

Start Date: Apr 2019

TIME VACANT

Date Vacated: Jul 2018

Date Occupied: Apr 2019

Months Vacant: 8 Months

TIME ON MARKET

Date On Market: Jun 2018

Date Off Market: Mar 2019

Months on Market: 10 Months

LEASING REP

TAC Brokerage and Consultant LLC

3828 Kimbrough Ln

Plano, TX 75025

Carole Tam, CCIM (469) 999-8746

PROPERTY

Rentable Area: 33,055 SF

Stories: 2

Floor Size: 16,528 SF

Vacancy at Lease: 15.6%

Land Acres: 2.10

Property Type: Office

Status: Built 1984

Tenancy: Multi

Class: B

Construction: Masonry

Parking: 80 free Surface Spa…

MARKET AT LEASE

Vacancy Rates 2019 Q1 YOY

0.4%

0.0%

4.3%Current Building 15.6%

Submarket 2-4 Star

Market Overall 14.8%

16.5%

Same Store Asking Rent/SF 2019 Q1 YOY

0.9%

2.3%

11.3%Current Building $16.22

Submarket 2-4 Star

Market Overall $25.74

$23.68

Submarket Leasing Activity 2019 Q1 YOY

0.8

73.1%12 Mo. Leased SF 2,616,217

Months On Market 15.1


Page 38



2 1112 N Floyd Rd - Building 2Richardson, TX 75080 - Richardson Submarket

TENANT

Tenant Name: Richardson Pediatric Associates

RENTS



Mo. Free Rents: 3 Months

Buildout Status: Raw Space

Space Condition: Excellent

PROPERTY EXPENSES

Taxes: $2.52/SF (2009)

LEASE

SF Leased: 2,300 SF

Sign Date: Feb 2019

Space Use: Office

Lease Type: Direct

Floor: 1st Floor

Suite: 6A

LEASE TERM

Start Date: Mar 2019

Expiration Date: Mar 2026

Lease Term: 7 Years

TIME VACANT

Date Occupied: Mar 2019

TIME ON MARKET

Date On Market: Sep 2018

Date Off Market: Feb 2019


LEASING REP

Dumbbell Properties

8190 W Arapaho Rd, Suite 24-B #217


Ed Parrish (972) 895-3678

PROPERTY


Stories: 1



Land Acres: 3.43


Status: Built 1977

Tenancy: Multi

Class: C



MARKET AT LEASE


0.4%

0.0%


Submarket 2-4 Star


16.5%


0.9%

2.3%


Submarket 2-4 Star


$23.68


0.8

73.1%12 Mo. Leased SF 2,616,217



Page 39



1 1750 N Collins Blvd - Northwest Office PlazaRichardson, TX 75080 - Richardson Submarket

TENANT

Tenant Name: Floors Insurance

RENTS


LEASE

SF Leased: 500 SF

Sign Date: Feb 2019

Space Use: Office

Lease Type: Direct

Floor: 2nd Floor

Suite: 218

LEASE TERM

Start Date: Mar 2019

Expiration Date: Feb 2021

Lease Term: 2 Years

TIME VACANT

Date Vacated: Jan 2019

Date Occupied: Mar 2019

Months Vacant: 1 Month

TIME ON MARKET

Date On Market: Jan 2019

Date Off Market: Feb 2019


LEASING REP

TAC Brokerage and Consultant LLC

3828 Kimbrough Ln

Plano, TX 75025

Carole Tam, CCIM (469) 999-8746

PROPERTY


Stories: 2



Land Acres: 2.10


Status: Built 1984

Tenancy: Multi

Class: B



MARKET AT LEASE


0.4%

0.0%


Submarket 2-4 Star


16.5%


0.9%

2.3%


Submarket 2-4 Star


$23.68


0.8

73.1%12 Mo. Leased SF 2,616,217



Page 40



3 800 E Campbell Rd - Eastside AtriumRichardson, TX 75081 - Richardson Submarket

RENTS


Starting Rent: $20.50/+ELEC


Asking Discount: 0.00%

PROPERTY EXPENSES

Taxes: $2.90/SF (2018)

LEASE

SF Leased: 3,375 SF

Sign Date: Nov 2018

Space Use: Office

Lease Type: Direct

Floor: 1st Floor

Suite: 125

LEASE TERM

Start Date: Dec 2018

TIME VACANT

Date Vacated: May 2018

Date Occupied: Dec 2018


TIME ON MARKET

Date On Market: Mar 2018

Date Off Market: Nov 2018


TENANT REP

Cresa Washington DC

2 Bethesda Metro Ctr, Suite 900

Bethesda, MD 20814-6319

Aaron B. Berkey (301) 951-6500

LEASING REP

Fobare Commercial LP

18111 Preston Rd, Suite 1000

Dallas, TX 75252-5470

Pat Hanahan (972) 458-7585

Rick Currey (972) 458-7585

PROPERTY


Stories: 3



Land Acres: 7.77


Status: Built 1983

Tenancy: Multi

Class: A

Construction: Reinforced Concrete

Parking: 40 Covered Spaces…

MARKET AT LEASE


0.7%

0.2%


Submarket 3-5 Star


17.3%


1.4%

2.7%


Submarket 3-5 Star


$24.32


0.6

36.0%12 Mo. Leased SF 2,009,314



Page 41



3 800 E Campbell Rd - Eastside AtriumRichardson, TX 75081 - Richardson Submarket

RENTS





PROPERTY EXPENSES

Taxes: $2.90/SF (2018)

LEASE

SF Leased: 2,495 SF

Sign Date: Nov 2018

Space Use: Office

Lease Type: Direct

Floor: 1st Floor

Suite: 134

LEASE TERM

Start Date: Nov 2018

TIME VACANT

Date Vacated: Jan 2018

Date Occupied: Nov 2018


TIME ON MARKET

Date On Market: Nov 2017



LEASING REP



Dallas, TX 75252-5470

Pat Hanahan (972) 458-7585

Rick Currey (972) 458-7585

PROPERTY


Stories: 3



Land Acres: 7.77


Status: Built 1983

Tenancy: Multi

Class: A



MARKET AT LEASE


0.7%

0.2%


Submarket 3-5 Star


17.3%


1.4%

2.7%


Submarket 3-5 Star


$24.32


0.6

36.0%12 Mo. Leased SF 2,009,314



Page 42



4 13140 Coit Rd - Office AlphaDallas, TX 75240 - East LBJ Freeway Submarket

RENTS

Asking Rent: $16.00-$19.00/+ELEC


Effective Rent: $15.95/+ELEC

Escalations: $0.50 Annual




PROPERTY EXPENSES

Taxes: $1.39/SF (2018)

Operating Exp.: $5.01/SF (2012)

LEASE

SF Leased: 812 SF

Sign Date: Nov 2018

Space Use: Office

Lease Type: Direct

Floor: 2nd Floor

Suite: 204

LEASE TERM

Start Date: Jan 2019

Expiration Date: Dec 2021

Lease Term: 3 Years

TIME VACANT

Date Vacated: Jun 2018

Date Occupied: Jan 2019


TIME ON MARKET




LEASING REP

Boxer Property

2727 Lyndon B Johnson Fwy, Suite 610

Farmers Branch, TX 75234-7334

Alexander Renwick (214) 974-5032

Troy Higgins (214) 651-7368

Boxer Property

720 N Post Oak Rd, Suite 500

Houston, TX 77024-3841

Andrea Troske (214) 238-9722

PROPERTY


Stories: 5



Land Acres: 3.29


Status: Built Jan 1980

Tenancy: Multi

Class: B



MARKET AT LEASE


1.9%

0.2%


Submarket 2-4 Star


23.1%


3.8%

2.7%


Submarket 2-4 Star


$24.36


6.9

10.2%12 Mo. Leased SF 1,662,421



Page 43



5 811 S Central Expy - Comerica Bank Building / Serene PlazaRichardson, TX 75080 - Richardson Submarket

RENTS

Asking Rent: $16.50/FS




LEASE

SF Leased: 938 SF

Sign Date: Nov 2018

Space Use: Office

Lease Type: Direct

Floor: 3rd Floor

Suite: 306

LEASE TERM


Expiration Date: Nov 2020

Lease Term: 2 Years

TIME VACANT

Date Vacated: Apr 2017



TIME ON MARKET

Date On Market: Oct 2017



LEASING REP

Serene Global

811 S Central Expy, Suite 600

Richardson, TX 75080-7415

Steve Timmons (972) 737-5006 X601

PROPERTY


Stories: 6



Land Acres: 4.32


Status: Built 1962

Tenancy: Multi

Class: B


Parking: Ratio of 3.00/1,000 SF

MARKET AT LEASE


0.5%

0.2%


Submarket 2-4 Star


16.3%


1.4%

2.7%

Current Building $16.50

Submarket 2-4 Star


$23.60

-


0.6

36.0%12 Mo. Leased SF 2,009,314



Page 44



6 1057 S Sherman St - Spring Valley Business Center- BRichardson, TX 75081 - Richardson Submarket

TENANT

Tenant Name: DRS Network & Imaging Systems

Industry: Computers/Data Processing

RENTS

Asking Rent: $13.50-$15.50/FS


Effective Rent: $14.87/FS



PROPERTY EXPENSES

Taxes: $0.64/SF (2018)


LEASE

SF Leased: 26,696 SF

Sign Date: Oct 2018

Space Use: Office

Lease Type: Direct

Floor: 2nd Floor

Suite: 200

LEASE TERM


Expiration Date: Mar 2024

Lease Term: 5 Years 4 Months

TIME VACANT

Date Vacated: Aug 2010



TIME ON MARKET


Date Off Market: Jul 2018


TENANT REP

The Garibaldi Group

14 Fairmount Ave

Chatham, NJ 07928-2328

Jeffrey J. Garibaldi (973) 507-0355

Jerry E. Moore (908) 238-3660

Gerald A. Bower, Jr. (215) 598-5005

LEASING REP

Hartman Management, LP

2909 Hillcroft Ave, Suite 420

Houston, TX 77057-5847

Austin Pyle (713) 467-2222

Malori Administrator (800) 880-2212

PROPERTY


Stories: 2



Land Acres: 2.23


Status: Built 1982

Tenancy: Multi

Class: B


Parking: Surface Spaces @ $…

MARKET AT LEASE


1.5%

0.2%


Submarket 1-3 Star


16.0%


0.1%

2.7%


Submarket 1-3 Star


$21.15


0.6

36.0%12 Mo. Leased SF 2,009,314



Page 45



5 811 S Central Expy - Comerica Bank Building / Serene PlazaRichardson, TX 75080 - Richardson Submarket

RENTS

Asking Rent: $16.50/NNN

Starting Rent: $16.50/NNN



LEASE

SF Leased: 518 SF

Sign Date: Sep 2018

Space Use: Office

Lease Type: Direct

Floor: 3rd Floor

Suite: 337

LEASE TERM

Start Date: Oct 2018

Expiration Date: Sep 2021

Lease Term: 3 Years

TIME VACANT

Date Vacated: Aug 2018

Date Occupied: Oct 2018

Months Vacant: 1 Month

TIME ON MARKET

Date On Market: Aug 2018

Date Off Market: Sep 2018


LEASING REP

Serene Global

811 S Central Expy, Suite 600

Richardson, TX 75080-7415

Steve Timmons (972) 737-5006 X601

PROPERTY


Stories: 6



Land Acres: 4.32


Status: Built 1962

Tenancy: Multi

Class: B


Parking: Ratio of 3.00/1,000 SF

MARKET AT LEASE


1.5%

0.4%


Submarket 2-4 Star


15.9%


1.4%

2.6%

Current Building $16.45

Submarket 2-4 Star


$23.47

-


0.7

50.9%12 Mo. Leased SF 1,992,889



Page 46



7 1350 E Arapaho Rd - Arapaho Creek OfficeRichardson, TX 75081 - Richardson Submarket

TENANT

Tenant Name: Celebration Group

RENTS

Asking Rent: $9.50/NNN

Starting Rent: $9.50/NNN




PROPERTY EXPENSES

Taxes: $1.14/SF (2018)

LEASE

SF Leased: 3,232 SF

Sign Date: Sep 2018

Space Use: Office

Lease Type: Sublease

Floor: 1st Floor

Suite: 128

LEASE TERM

Start Date: Oct 2018

Expiration Date: Oct 2021

Lease Term: 3 Years

TIME VACANT

Date Vacated: Dec 2017

Date Occupied: Oct 2018


TIME ON MARKET

Date On Market: Oct 2017

Date Off Market: Sep 2018


LEASING REP

GHL Investment LP

2445 McIver Ln, Suite 110

Carrollton, TX 75006-6548

Gary Chiu (972) 807-9516

PROPERTY


Stories: 1



Land Acres: 2.16


Status: Built 1982

Tenancy: Multi

Class: B



MARKET AT LEASE


1.5%

0.4%


Submarket 2-4 Star


15.9%


1.4%

2.6%


Submarket 2-4 Star


$23.47


0.7

50.9%12 Mo. Leased SF 1,992,889



Page 47



8 740 E Campbell Rd - Eastside CentreRichardson, TX 75081 - Richardson Submarket

TENANT

Tenant Name: Advault, Inc.My Directives

Industry: Computers/Data Processing

NAICS: Data Processing, Hosting, and Related Services - 518210

RENTS





Buildout Status: Full Build-Out

PROPERTY EXPENSES

Taxes: $3.44/SF (2018)

LEASE

SF Leased: 3,564 SF

Sign Date: Aug 2018

Space Use: Office

Lease Type: Direct

Floor: 8th Floor

Suite: 825

LEASE TERM

Start Date: Sep 2018

TIME VACANT


Date Occupied: Sep 2018


TIME ON MARKET

Date On Market: Jan 2015

Date Off Market: Aug 2018


LEASING REP



Dallas, TX 75252-5470

Pat Hanahan (972) 458-7585

Rick Currey (972) 458-7585

PROPERTY


Stories: 10



Land Acres: 2.66


Status: Built 1986

Tenancy: Multi

Class: A


Parking: Covered Spaces @…

MARKET AT LEASE


1.6%

0.4%


Submarket 3-5 Star


16.7%


1.3%

2.6%


Submarket 3-5 Star


$24.15


0.7

50.9%12 Mo. Leased SF 1,992,889



Page 48



4 13140 Coit Rd - Office AlphaDallas, TX 75240 - East LBJ Freeway Submarket

TENANT

Tenant Name: Senior Cares

Industry: Medical

NAICS: Home Health Care Services - 621610

RENTS

Asking Rent: $17.00-$19.00/+ELEC

Effective Rent: $76.80/+ELEC

PROPERTY EXPENSES

Taxes: $1.39/SF (2018)


LEASE

SF Leased: 600 SF

Sign Date: Jul 2018

Space Use: Office

Lease Type: Direct

Floor: 3rd Floor

Suite: 366

LEASE TERM

Start Date: Aug 2018

Expiration Date: Jul 2019

Lease Term: 1 Year

TIME VACANT


Date Occupied: Aug 2018


TIME ON MARKET

Date On Market: Nov 2017

Date Off Market: Jul 2018


LEASING REP

Boxer Property

2727 Lyndon B Johnson Fwy, Suite 610

Farmers Branch, TX 75234-7334

Alexander Renwick (214) 974-5032

Mark Dowdle (469) 438-2541

Gloria Medlock (214) 473-5397

PROPERTY


Stories: 5



Land Acres: 3.29


Status: Built Jan 1980

Tenancy: Multi

Class: B



MARKET AT LEASE


0.3%

0.4%


Submarket 2-4 Star


22.1%


4.9%

2.6%


Submarket 2-4 Star


$24.16


3.6

3.9%12 Mo. Leased SF 1,701,928



Page 49



PREPARED BY

Ed Parrish

Broker

Construction


All-Time Annual Avg. SF

414,396Delivered SF Past 4 Qtrs

9,864Delivered SF Next 4 Qtrs

10,000Proposed SF Next 4 Qtrs

402,450PAST 4 QUARTERS DELIVERIES, UNDER CONSTRUCTION, & PROPOSED

PAST & FUTURE DELIVERIES IN SQUARE FEET

Overall Construction Summary1112 N Floyd Rd - Building 2


Page 51

Dallas-Fort Worth ConstructionDallas-Fort Worth Office

At the end of 19Q1, 8 million SF was under construction,ranking Dallas-Fort Worth fifth among metros, 100,000SF behind Boston and just 12,000 SF more than Seattle.The market has been inundated with new supply thiscycle, with build-to-suits accounting for the majority ofnew supply earlier this cycle, speculative constructionhas picked up in recent years. In 2015–18, more than26.2 million SF of new office space was delivered, and3.3 million SF of new office product was delivered thefirst half of 2019. Now that the Toyota, Liberty Mutual,and JP Morgan Chase campuses are complete, thesecond round of major build-to suits for AmericanAirlines, Pioneer Natural Resources, and the U.S.Citizenship and Immigration Services are under way.

There are few truly transformative projects in a region,the office tower at 1401 Elm in downtown Dallas iscertainly one. The 1.3-million-SF office tower is beingreimagined by Todd Interests, a developer with a historyof reviving aging structures. The building, which hasstood vacant since 2010, will be reengineered into a

mixed-use tower. The $450 million project is the biggestof its kind to occur in downtown Dallas.

As the office market improved mid-cycle, developersand lenders became more aggressive with speculativedevelopment. The 313,000-SF 3400 CityLine and the307,000-SF One Legacy West both went 100% specwhen they broke ground in 15Q3 and 16Q1, respectively.In Uptown, Harwood International’s No. 10 (231,000-SFtower) was originally going to break ground with 65,000SF of preleasing, but the developer decided to go 100%spec when construction began in September 2016. Andin Frisco, both Hall Park's 17th building (306,000 SF) andFrisco Station's first office tower (238,000 SF) brokeground in 16Q4 on a purely speculative basis. Leasingon many of those projects started off slower than thespec deals earlier this cycle, but activity has picked upover the past few months. Furthermore, speculativegroundbreakings have slowed in recent quarters, whichshould help the new multi-tenant assets lease up.

DELIVERIES & DEMOLITIONS


Page 52

Richardson ConstructionRichardson Office

While Richardson has ranked near the top of the metroin terms of new supply this cycle by submarket, themajority of the roughly 4 million SF of office inventoryadded since 2010 was single-tenant build-to-suit spacefor State Farm, Raytheon, and Blue Cross Blue Shield. Alarge chunk of the future pipeline is expected to be build-to-suit-focused as well, with most of the proposedspace in CityLine being marketed for build-to-suitopportunities.

Though the focus has been and likely will continue to beon major build-to-suits, Transwestern Dallas completedthe five-story, 313,000-SF 3400 CityLine in July 2017

as a 100% speculative play. That asset was beingmarketed at $25/SF-$26/SF triple net while it was underconstruction, but asking rates on the property were mostrecently advertised as $23/SF-$23.50/SF triple net.Those rents are less than the asking rents for othernewly delivered spec office buildings in nearby UpperTollway/West Plano like One Legacy West ($30/SF-$32/SF triple net) and 5905 Legacy Drive ($29/SF triplenet). While 3400 CityLine was slow to generate leasingmomentum at first, a slew of leases were signed in early2019, and the asset is now more than 60% accountedfor.

DELIVERIES & DEMOLITIONS


Page 53


All-Time Annual Avg. SF

32,892Delivered SF Past 4 Qtrs

121,802Delivered SF Next 4 Qtrs

10,000Proposed SF Next 4 Qtrs

66,150PAST 4 QUARTERS DELIVERIES, UNDER CONSTRUCTION, & PROPOSED

PAST & FUTURE DELIVERIES IN SQUARE FEET


Page 54


RECENT DELIVERIES

Property Name/Address Rating Bldg SF Stories Start Complete Developer/Owner

May-20182006 W Campbell Rd

10,000 1 Apr-2019-

BALDWIN PETER W1

Mar-2017150 Brand Rd

PROFESSIONAL/MEDIC…11,000 1 Feb-2019

-

-2

Dec-2017201 W Kaufman St

9,864 1 Dec-2018-

Zach Binns3

Jan-20177217 W Telecom Pky

North Garland Medical C…90,938 3 Aug-2018

NEP Realty, LLC

NEP Realty, LLC4

UNDER CONSTRUCTION


May-2019N Plano Rd

N Plano Rd & Arapahoe10,000 1 Nov-2019

-

-1

PROPOSED


Jun-20193400 Waterview Pky

The Points at Waterview58,650 2 Mar-2020

-

Stanton Road Capital LLC1

Jun-2019NWC Campbell & Shiloh

7,500 1 Dec-2019-

HealthCap Partners2


Page 55








UNDER CONSTRUCTION IN SQUARE FEET (3 Mile Radius)

PROJECTED DELIVERIES IN SQUARE FEET (3 Mile Radius)

Construction Activity1112 N Floyd Rd - Building 2


Page 56


DELIVERIES IN SQUARE FEET (3 Mile Radius)

STARTS IN SQUARE FEET (3 Mile Radius)


Page 57


PERCENT OCCUPIED AT DELIVERY (3 Mile Radius)

DELIVERIES AND OCCUPANCY IN SQUARE FEET (3 Mile Radius)


Page 58


NEW CONSTRUCTION OCCUPANCY AFTER DELIVERY BY YEAR BUILT (3 Mile Radius)

NET ABSORPTION IN SQUARE FEET (3 Mile Radius)


Page 59


GROSS ASKING RENT PER SQUARE FOOT (3 Mile Radius)


Page 60

Properties

1Square Feet

10,000Percent of Inventory

0%Preleased

0%UNDER CONSTRUCTION PROPERTIES

UNDER CONSTRUCTION SUMMARY STATISTICS

Low Average Median High

Building SF 10,000 10,000 10,000 10,000

Stories 1 1 1 1

Typical Floor SF 10,000 10,000 10,000 10,000

Preleasing - - - -

Estimated Delivery Date November 2019 November 2019 November 2019 November 2019

Months to Delivery 5 5 5 5

Construction Period in Months 6 6 6 6

Star Rating 3.0

Under Construction Summary1112 N Floyd Rd - Building 2


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Under Construction Summary1112 N Floyd Rd - Building 2

COMPLETIONS 3-6 MONTHS AWAY


May-2019N Plano Rd

N Plano Rd & Arapahoe10,000 1 Nov-2019

-

-1


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Under Construction Property Details1112 N Floyd Rd - Building 2

1 N Plano Rd @ Arapahoe - N Plano Rd & ArapahoeDistance to Subject Property: 2.6 Miles

AVAILABILITY

Percent Leased: 0%

Available SF: 10,000

Gross Asking Rent: $31.39

PROPERTY


Year Built: Delivers Nov 2019

RBA: 10,000 SF

Core Factor: -

Stories: 1


Parking Spaces: 0.00/1,000 SF

CONSTRUCTION

Start Date: May-2019

Completion Date: Nov-2019

Build Time: 6 Months

Time To Delivery: 5 MonthsCONTACTS

Developer: -

Owner: -


Page 63


Properties

1Square Feet

9,864Percent Leased

100%Asking Rent

$20.47COMPLETED CONSTRUCTION PAST 12 MONTHS

CONSTRUCTION SUMMARY STATISTICS

Low Average Median High

RBA 9,864 9,864 9,864 9,864

Stories 1 1 1 1

Typical Floor SF 9,864 9,864 9,864 9,864

Leases Signed - - - -

Percent Leased 100% 100% 100% 100%

Asking Rent $20.47 $20.47 $20.47 $20.47

Star Rating 4.0

Completed Construction Past 12 Months1112 N Floyd Rd - Building 2


Page 64

Completed Construction Past 12 Months1112 N Floyd Rd - Building 2

Property Name/Address Rating RBA Stories Complete Leased Developer/Owner

Dec-2018201 W Kaufman St

9,864 1 100%-

Zach Binns1


Page 65


Deliveries Past 12 Months1112 N Floyd Rd - Building 2

1 201 W Kaufman StRichardson, TX 75081 - Richardson Submarket

- AVAILABILITY

Percent Leased: 100%

Available SF: -

Asking Rent: $20.47

PROPERTY


Yr Blt/Renov: 2018

Property Size: 9,864 SF

Stories: 1


Distance To Subj… 1.2 Miles

Distance To Transit: 11 Minute Walk

CONSTRUCTION

Start Date: Dec-2017

Completion Date: Dec-2018

Build Time: 12 Months

Time Since Delivery: 6 Months

OWNER

Zach Binns

-

AVAILABLE SPACES

Currently No Available Spaces

-


Page 66



PREPARED BY

Ed Parrish

Broker

Sale Comps


Investment Trends1112 N Floyd Rd - Building 2

Sale Comparables

16Avg. Cap Rate

6.3%Avg. Price/SF

$163Avg. Vacancy At Sale

19.5%SALE COMPARABLE LOCATIONS

SALE COMPARABLES SUMMARY STATISTICS

Sales Attributes Low Average Median High

Sale Price $1,110,000 $2,671,707 $1,975,000 $6,200,000

Price Per SF $80 $163 $136 $420

Cap Rate 5.0% 6.3% 6.5% 7.1%

Time Since Sale in Months 5.2 14.2 13.8 23.6

Property Attributes Low Average Median High

Building SF 8,210 16,404 15,457 28,988

Stories 1 2 2 3

Typical Floor SF 4,105 11,494 11,069 21,316

Vacancy Rate At Sale 0% 19.5% 0% 100%

Year Built 1966 1985 1984 2007

Star Rating 2.6


Page 68


Property Name - Address Rating Yr Built Bldg SF Vacancy Price Price/SF

Property

Sale Date

Sale

Cap Rate

-1 DaVita1989 22,800 63.9% $2,500,000 $110

9500 N Central Expy12/28/2018 -

-2 Vision Quest Eye Care &…1983 12,860 0% $5,400,000 $420

5421 La Sierra Dr12/11/2018 -

-3 11411 N Central Expy1978 9,738 44.9% $2,000,000 $20511/5/2018 6.0%

-4 13333 N Central Expy1966 10,455 100% $1,325,000 $1279/28/2018 -

-5 777 Centre1984 14,864 0% $2,800,000 $188

777 E 15th St9/28/2018 -

-6 17060 N Dallas Pky1980 28,988 0% $2,900,000 $1008/28/2018 -

-7 997 Raintree Cir2007 21,316 0% $5,000,000 $2357/18/2018 7.1%

-8 4525 Lemmon Ave1967 27,469 8.1% $4,500,000 $1644/24/2018 5.0%

-9 1985 Forest Ln1985 17,702 46.3% $1,450,000 $823/28/2018 -

-10 Phillips Square1984 11,994 0% $1,200,000 $100

351 S Sherman St11/30/2017 -

-11 Walnut Hill Surgery Center2003 16,050 0% $6,200,000 $386

5494 Glen Lakes Dr10/18/2017 -

-12 Bldg 3, Suite 3002004 11,069 66.6% $1,692,316 $153

8000 Warren Pky10/2/2017 -

-13 Building B62005 16,800 0% $1,950,000 $116

3304 Essex Dr9/11/2017 -

-14 14350 Proton Rd1973 18,312 0% $1,520,000 $838/31/2017 -

-15 One Broadway Place1975 13,829 27.9% $1,110,000 $80

2910 Broadway Blvd7/17/2017 7.1%

-16 4350 Beltway Dr1983 8,210 0% $1,200,000 $1466/16/2017 -


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http://gateway.costar.com/Gateway/Redir/RedirectToProduct.aspx?productId=PPW&redirUrl=%2Fredir%2Fdefault.aspx%3Feid%3D8899768%26ProductMode%3DProperty%26SelectedTab%3Dsale%26external%3D1

















DALLAS-FORT WORTH INVESTMENT TRENDS

With pricing in core coastal markets such as Boston,New York and San Francisco rising over the past fewyears, institutional investors have increasingly turned toless expensive secondary markets in search of betteryields. This continuing shift of capital has driven uppricing in the metroplex and in some cases set records.For example, in Uptown/Turtle Creek, 2000 McKinneytraded in August 2016 for $226 million ($504/SF) toUnion Investment, a Germany-based fund manager.While the pricing and the 4.8% cap rate on the deal werehead-turning by D-FW standards, the trade representeda relative bargain compared to the price of similar assetsin core office markets. In another major trade in Uptown,Dallas-based Gaedeke Group bought the 369,000-SF17Seventeen McKinney in September 2016 forapproximately $190 million ($517/SF). Those dealsrepresented the top of the market until 1900 Pearlreportedly sold for close to $700/SF in April 2019.

Lately, more major sales have involved older buildings incore urban submarkets or newer, well-leased propertiesin top tier suburban submarkets with pricing ranging from$300/SF to $400/SF on both types of assets. InUptown/Turtle Creek, the 1970s-era, 143,000-SF TurtleCreek Tower sold in February 2018 for $46 million

($322/SF) after previously changing hands in late 2014for $26.6 million ($186/SF). Also in Uptown/Turtle Creek,The Centrum, a two-building, 508,500-SF complex, soldfor $174 million ($342/SF), and the 145,600-SF 3131McKinney traded for $47.75 million ($328/SF) at a 4.5%cap rate after selling in 2014 for $38.8 million ($266/SF).The Centrum and 3131 McKinney both sold in 18Q2, andall three assets were around 75% leased at the time oftheir respective sales.

In terms of major suburban sales, Fannie Mae's new324,100-SF campus at Granite Park sold in September2018 for $163 million. That pricing, $503/SF, is a recordfor suburban deals in D-FW. The buyer was UnionInvestment, the same firm that picked up 2000 McKinneyin 2016. One of the largest deals in 2017 involved 5851Legacy Circle, a fully leased 319,000-SF asset in theUpper Tollway/West Plano Submarket that sold in Junefor $123.3 million ($387/SF). The buyer was Dallas-based TIER REIT, and the deal came with theassumption of $66 million in debt at a 4.24% interestrate. The property was originally a build-to-suit forEncana Oil & Gas, which vacated the entire building afterrestructuring its business operations in 2014.

SALES VOLUME & MARKET SALE PRICE PER SF


Page 70


RICHARDSON INVESTMENT TRENDS

Well-leased, multi-tenant assets in Richardson come ata discount to properties in permier suburban submarketslike Upper Tollway/West Plano and Frisco/The Colony.For example, the 202,700-SF Points at Waterview soldin December 2018 for $31.9 million ($157/SF). Theproperty was previously sold in 2015 for $26.8 million($132/SF). The asset typically maintains occupancyaround 90% and is asking $25-26/SF plus electric on itsavailable space.

Richardson was one of the most actively tradedsubmarkets in the metroplex early this cycle. Inventoryturnover averaged nearly 14% from 2013-16, driven by

major sales of entire office campuses. The largest dealhere this cycle was the sale leaseback of the State Farmcampus in CityLine. That four-building property, totaling2.1 million SF (all leased to State Farm), was acquired inOctober 2016 by a joint venture of TranswesternInvestment Group and Mirae Asset Global Investments, aKorea-based firm. The campus reportedly traded for$773 million (about $400/SF) at a 5.74% cap rate, whichis closer to prices in Uptown/Turtle Creek than a typicalsuburban transaction. At the time, the deal was thebiggest single-tenant real estate transaction in thehistory of the D-FW metro.

SALES VOLUME & MARKET SALE PRICE PER SF


Page 71

Sale Comps Details1112 N Floyd Rd - Building 2

1 9500 N Central Expy - DaVitaDistance to Subject Property: 6.1 Miles

PROPERTY


Yr Blt/Renov: 1989

RBA: 22,800 SF

Stories: 1


Vacancy At S… 63.9%

Parking: 119: 4.55/1,000 SF

SALE

Sale Type: Investment

Sale Date: 12/28/2018

Sale Price: $2,500,000

Price/SF: $110

CONTACTS

Buyer: Robert Hoodis

Seller: Lacerte Technologies, I…

-

TRANSACTION NOTES

The 22,800 sqaure foot office building located at 9500 North Central Expressway in Dallas, Texas, was sold on December 28, 2018. The building wassold in an off market transaction and was 50% occupied. A cap rate was not provided, but per sources deemed reliable the building sold forapproximately $2,500,000. The building was occupied by a dialysis center at the time of the sale. This information was confirmed and provided in partvia public record, as well as sources deemed reliable.

2 5421 La Sierra Dr - Vision Quest Eye Care & Surgery CenterDistance to Subject Property: 5.7 Miles

PROPERTY


Yr Blt/Renov: 1983

RBA: 12,860 SF

Stories: 1


Vacancy At S… 0%

Parking: 3.16/1,000 SF

SALE


Sale Date: 12/11/2018


Price/SF: $420

CONTACTS

Buyer: Essential Properties, L.P.

Seller: VisionQuest

Listing Broker: Brown Gibbons Lang &…

SALE TERMS

Sale Conditio… Sale Leaseback

TRANSACTION NOTES

On December 11th, 2018, this 12,680-square-foot office/medical building sold from Dr. Wesley Herman at VisionQuest to SCF Realty Capital in whatwas likely a sale leaseback transaction.

The deal was confirmed by listing brokers Michael Peel and Clinton Parker of Browns Gibbon Lang, who were able to disclose the price of thetransaction, though were unable to speak to the specific financials such as the cap rate and sale conditions.

SCF was not at liberty to comment on the acquisition whatsoever.


Page 72




3 11411 N Central ExpyDistance to Subject Property: 4.5 Miles

PROPERTY


Yr Blt/Renov: 1978

RBA: 9,738 SF

Stories: 1




SALE


Sale Date: 11/5/2018


Price/SF: $205

Cap Rate: 6.0%

CONTACTS

Buyer: Weitzman

Seller: Karkaw Hills Llc, Rosen…

SALE TERMS

Sale Conditio… Deferred Maintenance

TRANSACTION NOTES

On November 5th, 2018, this 9,738 Square foot office building sold from Sheldon Rosenberg of Rosenberg Brothers Investments to The WeitzmanGroup for an approximate price of $2,000,000. This property was under contract for about 40-45 days and was about 50% occupied at the time ofsale. There was one sale condition involved which was some deferred maintenance as The Weitzman Group will need to handle a roof replacementproject.

4 13333 N Central ExpyDistance to Subject Property: 2.5 Miles

PROPERTY


Yr Blt/Renov: 1966

RBA: 10,455 SF

Core Factor: 5%

Stories: 2


Vacancy At S… 100%

Parking: 29: 2.77/1,000 SF

SALE




Price/SF: $127

CONTACTS

Buyer: Quire Capital

Seller: Kim Vu

Listing Broker: Bobby C Hempkins & A…

SALE TERMS

Sale Conditio… High Vacancy Prope…

TRANSACTION NOTES

The subject property located at 13333 North Central Expressway sold on September 28, 2018. Kp Re Investments, LLC sold the 10,455 square footoffice building to 13333 NCXY LLC for $1,325,000 or about $126.73 per square foot.

Bobby Hempkins of Bobby C Hempkins & Associates represented the seller while the buyer was represented in-house.

The property was 100% vacant at the time of sale and the buyer immediately put the property back on the market for sale.


Page 73




5 777 E 15th St - 777 CentreDistance to Subject Property: 4.5 Miles

PROPERTY


Yr Blt/Renov: 1984

RBA: 14,864 SF

Stories: 2


Vacancy At S… 0%

Parking: 50: 3.36/1,000 SF

SALE

Sale Type: Owner User


Time On Mar… 133 Days


Price/SF: $188

CONTACTS

Buyer: The City of Plano

Seller: Gay, McCall, Isaacks, G…

Listing Broker: Fairway Group Real Est…

SALE TERMS

Sale Conditio… Deferred Maintenance

TRANSACTION NOTES

This 14,864 SF office building sold for $2,800,000 on 9/28/2018. It was sold with deferred maintenance to the City of Plano and will be occupied by agovernment department. The details of this transaction were confirmed by sources deemed reliable.

6 17060 N Dallas PkyDistance to Subject Property: 5.1 Miles

PROPERTY


Yr Blt/Renov: 1980

RBA: 28,988 SF

Core Factor: 12%

Stories: 2


Vacancy At S… 0%

Parking: 108: 3.73/1,000 SF

SALE




Price/SF: $100

CONTACTS

Buyer: North Texas Therapy &…

Seller: Inroads Realty

Buyer Broker: Rubicon Representatio…

Listing Broker: Inroads Realty - Michae…

-

TRANSACTION NOTES

On 8/28/2018, the 29,988 square-foot office property at 17060 N Dallas Pkwy, Dallas, TX 75248 was sold for $2,900,000 pending variables such asHVAC replacement and new roofing. The office building boasted around 85% occupancy at the time of sale, with the buyer, Crosscourt Capital inconjunctuon with North Texas Therapy & Home Care planning on occupying around 4,000 square feet and leasing the rest.

The buyer was driven to acquire the asset due to its size and location desirability, accompanied by its features including frontage and signage alongthe toll road, while the seller chose to divest the asset given the buyer's offer, figured it was a good time to sell.


Page 74




7 997 Raintree CirDistance to Subject Property: 10.9 Miles

PROPERTY


Yr Blt/Renov: 2007

RBA: 21,316 SF

Stories: 1


Vacancy At S… 0%

Parking: 76: 3.57/1,000 SF

SALE




Price/SF: $235

Cap Rate: 7.1%

CONTACTS

Buyer: Ridgeline Capital Partn…

Seller: Brian Joe

Listing Broker: Wynmark Commercial -…

SALE TERMS

Financing: 1st Mortgage: Ameri…

TRANSACTION NOTES

On 7/18/18, the 21,464 square foot office building at 997 Raintree Circle in Allen, Texas, was sold for $5,000,000, or $232 per square foot. The ClassB office-medical building, known as Allen Medical Pavilion, was built in 2007 and houses multiple healthcare companies.

Mark Pittman and Nathan England at Wynmark Commercial represented the seller, Jsw Partners. The buyer, Ridgeline Allen Moc LLC, had financingand did not have a broker. The property was under contract for 60 days.

The seller and buyer confirmed the transaction.

8 4525 Lemmon AveDistance to Subject Property: 10.8 Miles

PROPERTY


Yr Blt/Renov: 1967; Under Renov

RBA: 27,469 SF

Core Factor: 8%

Stories: 3



Parking: 85: 2.99/1,000 SF

SALE




Price/SF: $164

Cap Rate: 5.0%

CONTACTS

Seller: Pastoral Counseling &…

Buyer Broker: Shop Companies - Ran…

Listing Broker: CBRE - David Glasscock

-


Page 75




9 1985 Forest LnDistance to Subject Property: 6.2 Miles

SALE





Price/SF: $82

PROPERTY


Yr Blt/Renov: 1985

RBA: 17,702 SF

Stories: 2



Parking: 57: 3.22/1,000 SFSALE TERMS

Financing: 1st Mortgage: Seaco…

CONTACTS

Buyer: Kirk Willis

Seller: Michael Baker

Buyer Broker: Moulty - Henderson Re…

Listing Broker: Lee & Associates - Bret…

10 351 S Sherman St - Phillips SquareDistance to Subject Property: 1.3 Miles

SALE


Sale Date: 11/30/2017



Price/SF: $100

PROPERTY


Yr Blt/Renov: 1984

RBA: 11,994 SF

Stories: 1


Vacancy At S… 0%

Parking: 58: 6.01/1,000 SF-

CONTACTS

Buyer: Iglesia Evangelica Alph…

Seller: Valquest, Inc.

Listing Broker: NAI Robert Lynn - Mark…


Page 76




11 5494 Glen Lakes Dr - Walnut Hill Surgery CenterDistance to Subject Property: 5.7 Miles

PROPERTY


Yr Blt/Renov: 2003

RBA: 16,050 SF

Stories: 2


Vacancy At S… 0%

Parking: 30: 1.66/1,000 SF

SALE


Sale Date: 10/18/2017


Price/SF: $386

CONTACTS

Buyer: Inland Private Capital C…

Seller: Dallas Eye Care Associ…

Buyer Broker: Brown Gibbons Lang &…

Listing Broker: Brown Gibbons Lang &…

SALE TERMS

Sale Conditio… Sale Leaseback, Inv…

TRANSACTION NOTES

5494 Glen Lakes Dr sold on October 18th 2017. The property is 16,050 square feet, built in 2003, zoned Z163, and sits on .58 acres of land. Thetransaction represents a sale leaseback for the seller.


Page 77



12 8000 Warren Pky - Bldg 3, Suite 300Distance to Subject Property: 10.9 Miles

PROPERTY


Yr Blt/Renov: 2004

RBA: 11,069 SF

Stories: 1




SALE





Price/SF: $153

CONTACTS

Buyer: Red Stone Resources L…

Seller: Sarpira LP

Listing Broker: Century 21 Judge Fite…

-

TRANSACTION NOTES

The information in this comp is based on public records.

13 3304 Essex Dr - Building B6Distance to Subject Property: 5.4 Miles

PROPERTY


Yr Blt/Renov: 2005

RBA: 16,800 SF

Stories: 1


Vacancy At S… 0%

Parking: 75: 4.00/1,000 SF

SALE





Price/SF: $116

CONTACTS

Buyer: Ampex Brands LLC, Taj…

Seller: RightNow Media

Buyer Broker: Beam Real Estate, LLC…

Listing Broker: Bradford Companies -…

SALE TERMS

Financing: 1st Mortgage: Bank…


Page 78




14 14350 Proton RdDistance to Subject Property: 5.6 Miles

SALE



Time On Mar… 3 Yrs 1 Mo


Price/SF: $83

PROPERTY


Yr Blt/Renov: 1973

RBA: 18,312 SF

Stories: 1


Vacancy At S… 0%

Parking: 103: 5.00/1,000 SFSALE TERMS

Sale Conditio… Deferred Maintenan…

Financing: 1st Mortgage Bal/P… CONTACTS

Buyer: United Renovations

Seller: Employer's Comp Asso…

Buyer Broker: Dallas Realty Advisors…

Listing Broker: Swearingen Realty Gro…

15 2910 Broadway Blvd - One Broadway PlaceDistance to Subject Property: 9.0 Miles

SALE





Price/SF: $80

Cap Rate: 7.1%

PROPERTY


Yr Blt/Renov: 1975

RBA: 13,829 SF

Stories: 2



Parking: 90: 7.23/1,000 SF

-

CONTACTS

Buyer: Huy Nguyen

Seller: Youngdo Won & Sangn…

Buyer Broker: Regal Realtors - Leight…

Listing Broker: RE/MAX DFW Associat…


Page 79




16 4350 Beltway DrDistance to Subject Property: 5.5 Miles

PROPERTY


Yr Blt/Renov: 1983

RBA: 8,210 SF

Stories: 2


Vacancy At S… 0%

Parking: 15: 3.00/1,000 SF

SALE



Time On Mar… 1 Yr 2 Mos


Price/SF: $146

CONTACTS

Buyer: Fred Kioni

Seller: Ayres Law Office PC

Buyer Broker: Keller Williams Realty -…

Listing Broker: Avison Young - Bret He…

SALE TERMS

Financing: 1st Mortgage: Pacifi…

TRANSACTION NOTES

Both the seller and buyer confirmed the building size. The buyer also confirmed the sale price and noted that the building was vacant upon sale andthere were no sale conditions. They'll move-in whenever the building is ready for their business after being remodeled for their use. The listing brokeracknowledged the sale, but did not comment on any financial figures in the transaction. The 7,465 sf office building sold for $160.75 per sf.


Page 80


Sales Volume1112 N Floyd Rd - Building 2

RICHARDSON SUBMARKET SALES VOLUME IN SQUARE FEET

RICHARDSON/PLANO SUBMARKET CLUSTER SALES VOLUME IN SQUARE FEET

DALLAS-FORT WORTH METRO SALES VOLUME IN SQUARE FEET


Page 81

Sales Pricing1112 N Floyd Rd - Building 2

NATIONAL PRICE INDICES

REGIONAL OFFICE PRICE INDICES


Page 82

Sales Pricing1112 N Floyd Rd - Building 2

PRICE PER SF INDEX

UNITED STATES OFFICE PRICE PER SF IN PAST YEAR DALLAS-FORT WORTH OFFICE PRICE PER SF IN PAST YEAR

PRICE PER SF SUMMARY OF SALES IN PAST YEAR

Geography HighTop 25%AverageMedianBottom 25%LowTransactions

$28,525United States 20,811 $0.02 $42 $124 $236 $429

$700Dallas-Fort Worth 175 $29 $79 $166 $199 $350

$372Richardson/Plano 26 $51 $111 $169 $201 $277

$180Richardson 9 $85 $102 $142 $135 $162

$420Selected Sale Comps 7 $100 $105 $188 $181 $327


Page 83

Cap Rates1112 N Floyd Rd - Building 2

CAP RATE TRENDS

UNITED STATES OFFICE CAP RATES IN PAST YEAR DALLAS-FORT WORTH OFFICE CAP RATES IN PAST YEAR

CAP RATE SUMMARY OF SALES IN PAST YEAR

Geography HighTop 25%AverageMedianBottom 25%LowTransactions

28.9%United States 3,744 0.9% 5.3% 7.3% 7.5% 10.0%

13.4%Dallas-Fort Worth 60 4.9% 6.3% 7.5% 7.5% 9.0%

8.0%Richardson/Plano 14 6.5% 6.7% 7.3% 7.2% 7.6%

7.3%Richardson 2 7.3% N/A 7.3% 7.3% N/A

7.1%Selected Sale Comps 2 6.0% N/A 6.5% 6.5% N/A


Page 84

Buyers1112 N Floyd Rd - Building 2

TOP DALLAS-FORT WORTH OFFICE BUYERS PAST TWO YEARS

Purchased at least one asset in Richardson submarket

Properties Bought

Company Name Bldgs VolumeSF

Properties Sold

SF BldgsVolume

Equinix, Inc. 1 1,600,000 $800,000,000 0 0 -

Highland Capital Management 2 2,937,725 $327,540,050 0 0 -

State Teachers Retirement System of Ohio 2 404,374 $229,070,000 0 0 -

Davidson Kempner Capital Management LP 4 836,542 $179,758,794 0 0 -

Oaktree Capital Management, L.P. 2 508,536 $174,000,000 0 0 -

Dundon Capital Partners 1 965,800 $166,000,000 0 0 -

Woods Capital Property Management, LLC. 2 985,800 $166,000,000 0 0 -

Union Investment Real Estate GmbH 1 324,010 $160,910,000 0 0 -

TIER REIT, Inc. 1 318,582 $123,300,000 2 133,246 $12,700,000

CBRE Global Investors Ltd 2 533,952 $120,500,000 0 0 -

Temple View 3 486,323 $118,000,001 0 0 -

TerraCap Management, LLC 3 581,395 $98,400,000 0 0 -

Equus Capital Partners, Ltd. 2 518,605 $96,800,000 0 0 -

MB Real Estate Services Inc. 4 413,850 $96,000,000 0 0 -

Wolverine Interests 5 725,868 $91,900,000 0 0 -

CIM Group LP 1 227,258 $91,422,005 0 0 -

Hertz Investment Group 1 409,977 $86,000,000 0 0 -

KBS Realty Advisors 2 445,314 $83,400,000 0 0 -

AXA Investment Managers - Real Assets 1 264,000 $79,650,000 0 0 -

PRP Real Estate Investment Management 1 264,000 $79,650,000 0 0 -

Stanton Road Capital LLC 2 840,198 $73,500,000 2 361,423 $61,800,000

Rockefeller Group 1 188,920 $68,500,000 0 0 -

ATCAP Partners 3 503,110 $66,100,000 0 0 -

GLL Real Estate Partners GmbH 1 204,000 $61,200,000 0 0 -

JMC Holdings, LLC 1 409,544 $60,500,000 0 0 -

TYPES OF OFFICE DALLAS-FORT WORTH BUYERS PAST TWO YEARS

Company Type Bldgs Billions Avg PricePrice/SF

Average Purchase

SF

Buying Volume

Institutional 60 10,954,775 $185 $33,943,056$2

Private 220 13,092,310 $127 $7,567,002$1.7

REIT/Public 21 3,177,068 $320 $48,487,519$1

Private Equity 18 3,465,884 $163 $31,451,398$0.6

User 40 1,615,655 $147 $5,966,287$0.2

$0 $0.6 $1.2 $1.8 $2.4


Page 85

Sellers1112 N Floyd Rd - Building 2

TOP DALLAS-FORT WORTH OFFICE SELLERS PAST TWO YEARS

Sold at least one asset in Richardson submarket

Properties Sold

Company Name Bldgs VolumeSF

Properties Bought

SF BldgsVolume

B. F. Saul Company 1 1,600,000 $800,000,000 0 0 -

Angelo, Gordon & Co. 5 2,167,737 $427,240,050 0 0 -

Lincoln Property Company 6 865,123 $313,533,305 3 158,246 $12,700,000

Quadrant Investment Properties 4 681,651 $204,700,000 0 0 -

Parmenter, LLC 1 1,350,267 $202,540,050 0 0 -

KDC Real Estate Development & Investments 5 1,850,323 $197,650,001 0 0 -

Goldman, Sachs & Company 1 261,400 $183,000,000 0 0 -

Lexington Realty Trust 4 836,542 $179,758,794 0 0 -

Icahn Enterprises L.P. 1 965,800 $166,000,000 0 0 -

Granite Properties, Inc. 6 1,812,227 $160,910,000 0 0 -

DXC Technology 3 4,762,374 $125,000,000 0 0 -

VEREIT Real Estate L.P. 2 323,292 $124,095,000 0 0 -

MassMutual 1 508,102 $120,500,000 0 0 -

Griffin Partners, Inc. 4 676,477 $110,700,000 0 0 -

USAA 2 334,371 $100,311,300 0 0 -

Tibeir GSA & Investment Trust 1 224,000 $96,000,000 0 0 -

Stockbridge Capital Group LLC 3 619,298 $94,500,000 0 0 -

Cardinal Capital Partners, Inc. 2 239,537 $87,570,000 0 0 -

Hines 1 409,977 $86,000,000 0 0 -

Brookwood Financial Partners LLC 2 445,314 $83,400,000 0 0 -

Artemis Real Estate Partners 2 374,983 $78,400,000 1 130,371 $39,111,300

Heitman LLC 2 208,927 $77,469,536 0 0 -

EY Ventures, LLC 6 802,244 $75,730,000 3 381,404 $4,070,000

JP Realty Partners 2 660,679 $73,500,000 2 498,707 $49,525,000

Karns Commercial Real Estate 2 192,536 $66,000,000 0 0 -

TYPES OF OFFICE DALLAS-FORT WORTH SELLERS PAST TWO YEARS

Company Type Bldgs Billions Avg PricePrice/SF

Average Sale

SF

Selling Volume

Private 245 19,775,684 $165 $13,395,879$3.3

Institutional 73 10,571,577 $195 $28,250,347$2.1

REIT/Public 12 2,550,186 $200 $42,577,386$0.5

User 57 7,026,762 $41 $5,150,467$0.3

Private Equity 4 660,307 $195 $32,353,072$0.1

$0 $0.9 $1.8 $2.7 $3.6


Page 86


PREPARED BY

Ed Parrish

Broker

Demographics


Demographic Overview1112 N Floyd Rd

Population (1 mi)

12,963Avg. HH Size (1 mi)

2.2Avg. Age (1 mi)

41Med. HH Inc. (1 mi)

$62,594DEMOGRAPHIC RADIUS RINGS

DEMOGRAPHIC SUMMARY

5 Mile3 Mile1 MilePopulation

415,714125,13812,9632019 Population

449,587133,64713,6952024 Population

8.2%6.8%5.7%Pop Growth 2019-2024

3837412019 Average Age

Households

169,51048,3355,5862019 Households

182,63851,5145,9002024 Households

7.7%6.6%5.6%Household Growth 2019-2024

$62,261$64,156$62,594Median Household Income

2.32.52.2Average Household Size

222Average HH Vehicles

Housing

$254,380$254,672$192,243Median Home Value

198419781966Median Year Built


Page 88


PREPARED BY

Ed Parrish

Broker

Appendix


Historical Leasing Data1112 N Floyd Rd - Building 2

PEERS HISTORICAL LEASING DATA

Available Space Gross Direct Asking Rent

Quarter AvailabilitySF Vacancy Direct Net Absorption SFRent Growth Leasing SF

Demand

QTD 29.7% 28.7% - 0.0% (6,982) 76758,025

2019 Q1 27.6% 25.1% - 0.0% (2,355) 1,96953,961

2018 Q4 27.6% 23.9% $50.00 0.0% 11,257 5,08853,949

2018 Q3 27.2% 29.7% $50.00 0.0% (1,926) 4,86553,152

2018 Q2 28.4% 28.7% $50.00 197.9% 3,739 8,88555,439

2018 Q1 30.0% 30.6% $16.78 4.6% (570) 1,16058,670

2017 Q4 30.3% 30.3% $16.05 1.0% 10,672 2,10859,260

2017 Q3 37.9% 35.8% $15.89 0.4% (15,767) 4,00074,171

2017 Q2 28.6% 27.7% $15.82 0.0% 1,669 7,83155,994

2017 Q1 30.0% 28.6% $15.82 0.2% (4,421) 4,28358,737

2016 Q4 27.8% 26.3% $15.79 -0.1% (11,336) 6,59954,294

2016 Q3 24.5% 20.5% $15.81 1.0% 4,871 4,87147,883

RICHARDSON SUBMARKET HISTORICAL LEASING DATA



Demand

QTD 17.9% 15.9% $23.56 -1.4% 139,529 104,2904,150,221

2019 Q1 17.7% 16.4% $23.90 0.4% (33,417) 458,4144,100,808

2018 Q4 18.4% 16.2% $23.80 2.8% (76,604) 1,047,2214,260,286

2018 Q3 18.5% 15.9% $23.15 -1.7% 96,961 531,7994,264,760

2018 Q2 20.0% 16.0% $23.55 -0.5% 17,073 624,4334,616,731

2018 Q1 19.5% 16.0% $23.66 0.0% (51,214) 412,7644,508,054

2017 Q4 20.0% 15.8% $23.66 0.6% 360,060 440,3184,610,102

2017 Q3 20.2% 17.4% $23.51 1.2% 140,366 515,3744,662,206

2017 Q2 21.0% 16.8% $23.23 -0.5% 128,909 288,6864,852,133

2017 Q1 22.2% 17.1% $23.34 2.6% (112,271) 266,9205,124,118

2016 Q4 21.7% 16.5% $22.74 1.7% (95,448) 406,0314,995,773

2016 Q3 22.0% 15.7% $22.36 2.2% 1,014,887 359,0465,050,716


Page 90

Historical Leasing Data1112 N Floyd Rd - Building 2

RICHARDSON/PLANO SUBMARKET CLUSTER HISTORICAL LEASING DATA



Demand

QTD 18.0% 14.9% $24.74 -1.1% 345,864 221,5647,980,392

2019 Q1 17.7% 15.2% $25.01 0.0% 305,292 592,4217,808,626

2018 Q4 17.0% 15.7% $25.01 1.5% (17,628) 2,471,6837,485,301

2018 Q3 18.3% 15.6% $24.65 -0.3% (46,902) 758,3798,066,405

2018 Q2 18.9% 15.2% $24.72 0.1% 112,385 1,127,3178,313,613

2018 Q1 17.8% 15.1% $24.69 1.1% 214,592 704,6627,800,851

2017 Q4 18.2% 15.3% $24.43 0.8% 582,586 660,8087,942,168

2017 Q3 18.1% 15.5% $24.22 0.8% 299,201 772,5587,888,414

2017 Q2 19.6% 15.2% $24.04 0.4% 169,964 655,9388,522,160

2017 Q1 20.3% 15.4% $23.94 2.6% (120,174) 563,6178,796,601

2016 Q4 20.1% 14.8% $23.33 1.4% (154,309) 631,8278,672,135

2016 Q3 20.4% 13.9% $23.01 1.7% 1,086,323 609,2658,758,259

DALLAS-FORT WORTH METRO HISTORICAL LEASING DATA



Demand

QTD 18.2% 14.9% $26.14 0.3% 1,014,573 3,101,33171,902,530

2019 Q1 18.1% 14.8% $26.05 1.0% 1,515,339 5,177,42771,276,876

2018 Q4 18.2% 14.8% $25.79 0.2% 830,002 8,463,27771,550,587

2018 Q3 17.8% 14.9% $25.73 0.7% 1,457,138 6,781,56969,965,882

2018 Q2 17.9% 15.0% $25.55 1.2% 642,554 7,897,98170,169,309

2018 Q1 17.8% 14.7% $25.24 0.9% 2,072,189 6,240,69169,542,116

2017 Q4 17.7% 14.6% $25.01 0.4% 1,980,941 5,906,14168,937,605

2017 Q3 17.6% 14.4% $24.92 1.3% 1,377,467 5,613,87368,342,245

2017 Q2 18.0% 14.5% $24.59 1.1% 2,303,653 5,757,65869,265,875

2017 Q1 17.7% 14.4% $24.33 1.5% 718,355 6,183,24367,928,805

2016 Q4 17.0% 14.1% $23.96 0.8% 914,771 6,296,44165,199,061

2016 Q3 17.3% 14.0% $23.77 0.8% 1,979,295 6,276,13065,864,420


Page 91

Historical Construction Data1112 N Floyd Rd - Building 2

3 MILE RADIUS HISTORICAL CONSTRUCTION DATA

Bldgs Bldg SF Vacancy Bldgs Bldg SF Leased

Inventory Deliveries

Quarter

Under Construction

Bldg SFBldgs Preleased

QTD 20,758,127 17.7% 0 0 0.0%339 1 10,000 0.0%

2019 Q1 20,758,127 17.5% 0 0 0.0%339 0 0 0.0%

2018 Q4 20,758,127 17.4% 1 9,864 79.7%339 0 0 0.0%

2018 Q3 20,748,263 17.0% 0 0 0.0%338 1 9,864 100%

2018 Q2 20,748,263 16.5% 0 0 0.0%338 1 9,864 100%

2018 Q1 20,748,263 16.5% 0 0 0.0%338 1 9,864 100%

2017 Q4 20,748,263 16.3% 1 251,347 0.0%338 1 9,864 100%

2017 Q3 20,496,916 16.8% 0 0 0.0%337 1 251,347 0.0%

2017 Q2 20,496,916 17.3% 2 58,546 0.0%337 1 251,347 0.0%

2017 Q1 20,438,370 17.6% 0 0 0.0%335 3 309,893 18.9%

2016 Q4 20,438,370 16.7% 0 0 0.0%335 3 309,893 18.9%

2016 Q3 20,438,370 15.9% 0 0 0.0%335 2 268,947 6.5%

RICHARDSON SUBMARKET HISTORICAL CONSTRUCTION DATA



Quarter

Under Construction


QTD 23,112,705 15.9% 1 10,000 77.0%402 1 10,000 0.0%

2019 Q1 23,102,705 16.4% 1 11,000 1.8%401 1 10,000 100%

2018 Q4 23,091,705 16.2% 1 9,864 79.7%400 2 21,000 100%

2018 Q3 23,081,841 15.9% 1 90,938 95.3%399 3 30,864 100%

2018 Q2 22,990,903 16.0% 0 0 0.0%398 4 121,802 100%

2018 Q1 22,990,903 16.0% 0 0 0.0%398 3 111,802 100%

2017 Q4 22,990,903 15.8% 0 0 0.0%398 3 111,802 100%

2017 Q3 22,990,903 17.4% 5 326,520 3.2%398 2 101,938 100%

2017 Q2 22,664,383 16.8% 5 87,046 97.5%393 7 428,458 29.0%

2017 Q1 22,577,337 17.1% 2 27,000 55.2%388 11 511,984 39.6%

2016 Q4 22,550,337 16.5% 3 80,261 98.8%386 11 437,046 28.2%

2016 Q3 22,470,076 15.7% 4 45,760 69.6%383 12 466,361 26.5%


Page 92

Historical Construction Data1112 N Floyd Rd - Building 2

RICHARDSON/PLANO SUBMARKET CLUSTER HISTORICAL CONSTRUCTION DATA



Quarter

Under Construction


QTD 43,910,442 14.9% 9 207,780 68.5%1,539 26 546,345 31.4%

2019 Q1 43,702,662 15.2% 8 103,048 63.4%1,530 30 432,814 42.9%

2018 Q4 43,599,614 15.7% 6 37,632 37.0%1,522 34 470,129 70.2%

2018 Q3 43,561,982 15.6% 11 141,846 91.5%1,516 32 441,076 74.5%

2018 Q2 43,420,136 15.2% 6 191,640 39.4%1,505 32 485,907 89.8%

2018 Q1 43,228,496 15.1% 14 176,110 65.7%1,499 27 619,994 95.1%

2017 Q4 43,052,386 15.3% 19 568,311 40.3%1,485 34 540,558 91.6%

2017 Q3 42,484,075 15.5% 24 492,713 32.0%1,466 47 1,073,961 70.4%

2017 Q2 41,991,362 15.2% 14 140,902 84.6%1,442 62 1,515,614 57.8%

2017 Q1 41,850,460 15.4% 11 121,422 52.9%1,428 60 1,534,584 58.4%

2016 Q4 41,723,638 14.8% 15 266,792 70.2%1,416 51 1,338,980 53.2%

2016 Q3 41,456,846 13.9% 19 189,095 73.6%1,401 46 1,420,524 48.4%

DALLAS-FORT WORTH METRO HISTORICAL CONSTRUCTION DATA



Quarter

Under Construction


QTD 387,679,149 14.9% 30 1,649,200 78.7%13,222 158 8,466,871 64.3%

2019 Q1 386,161,185 14.8% 26 1,386,823 69.7%13,191 151 8,520,674 69.8%

2018 Q4 384,930,714 14.9% 35 832,110 53.8%13,170 146 8,738,414 78.7%

2018 Q3 384,371,312 14.9% 36 1,062,747 60.7%13,142 145 8,647,159 79.9%

2018 Q2 383,402,695 15.1% 48 2,056,067 70.5%13,108 132 8,953,951 88.5%

2018 Q1 381,448,900 14.8% 56 2,874,890 63.7%13,061 141 10,015,080 90.3%

2017 Q4 379,045,142 14.7% 72 3,411,481 69.5%13,014 158 11,781,569 91.6%

2017 Q3 375,752,671 14.5% 66 1,415,424 56.3%12,944 204 14,265,894 88.0%

2017 Q2 374,331,472 14.5% 60 2,940,904 80.1%12,878 224 11,894,258 83.9%

2017 Q1 371,834,060 14.6% 52 2,476,490 59.2%12,822 227 13,848,388 83.2%

2016 Q4 369,446,770 14.3% 50 1,195,581 82.8%12,771 210 15,143,371 82.0%

2016 Q3 368,433,544 14.3% 72 1,581,174 68.9%12,728 202 14,881,702 83.7%


Page 93

1112 n floyd rd - building 2...1112 n floyd rd - building 2 prepared by ed parrish broker...

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