2200 renaissancezamirequities.com/wp-content/uploads/2017/04/triad-offering-mem… · located in...

A 184,118 SQUARE-FOOT CLASS A OFFICE BUILDING

LOCATED IN THE HEART OF THE KING OF PRUSSIA MARKET

2200 RENAISSANCEKING OF PRUSSIA, PA

CAPITAL MARKETS CONTACTS Robert Fahey Executive Vice President T +1 610 251 5184 [email protected]

Jerome Kranzel Senior Vice President T +1 610 727 5889 [email protected]

Erin Hannan, MAI Associate T +1 610 251 5168 [email protected]

DEBT & STRUCTURED FINANCE

Steven Doherty Senior Vice President T +1 610 251 5175 [email protected]

Nick Harris Vice President T +1 610 251 5149 [email protected]

CBRE, Inc. 1200 Liberty Ridge Drive, Suite 320 Wayne, PA 19087

Licensed Real Estate Broker

EXECUTIVE SUMMARY

PROPERTY OVERVIEW

REGIONAL OVERVIEW

OFFICE MARKET OVERVIEW

FINANCIAL ANALYSIS

PROPERTY TENANCY

04

26

12

34

40

50

www.cbre-triad2200renaissance.comFor more information on Triad, please visit our website at

PHOTO: GEORGE YU TABLE OF CONTENTS 3

EXEC

UTI

VE

SUM

MA

RY

THE OFFERINGCBRE is pleased to present the opportunity to acquire Triad (the “Property”) located in King of Prussia, Pennsylvania. This Class A, multi-tenant, 184,118 rentable square foot building was constructed in 1985 and completely renovated in 2014 using the highest quality construction materials and design focus that caters to the most discerning tenants. The Property sits on 10.1 acres within the highly regarded Renaissance Corporate Park and offers easy access to all the amenities available in King of Prussia and Conshohocken, two of the leading suburban markets in the region. With several public transportation options, ample parking and drive times of less than 30 minutes to Philadelphia, Triad is an easy commute for the millennial employee while also offering drive times of less than 15 minutes for the decision makers who call Philadelphia’s Main Line home.

Currently 94% occupied, Triad has experienced nearly 150,000 SF of leasing activity since current ownership completed a $4 million renovation in 2014 with rents increasing by up to $2 PSF since 2014. Current ownership has retained every tenant whose lease has expired since buying the Property.

The Property has a weighted average remaining term of 5.7 years and is anchored by Liberty Mutual, Ratner Prestia and TeleRx which occupy 45% of the Property and have an average weighted lease term of 6.9 years. A new owner has the unique ability to push rents significantly in the near term in an ever-tightening Class A market as tenants continue to demand well-located, highly amenitized space in Greater Philadelphia. Asking rents today at Triad are at least 20-25% ($5.00-7.00 PSF) below its trophy competition in King of Prussia and Conshohocken which offers significant upside to a new owner while offering cost-competitive, high quality space to tenants.

Triad is offered free and clear of existing debt. When new low interest rate debt is combined with the Property’s strong tenant profile, diverse rent roll and significant remaining lease term, Triad is positioned to provide outstanding cash flow and impressive cash on cash returns to a new owner.

PROPERTY OVERVIEW

Address: 2200 Renaissance Blvd, King of Prussia, Pa

Land Area: 10.01 Acres

Number of Stories: 4

Year Built/Renovated: 1985/2014

Square Feet: 184,118

Occupancy: 94.24%

Parking: 657 spaces (589 surface/68 covered)PHOTO: GEORGE YU

TRIAD | 2200 RENAISSANCE BLVD 6

INVESTMENT HIGHLIGHTS

SIGNIFICANT CAPITAL IMPROVEMENTSSignificant Recent Capital Investments - In addition to the more than $5.2 million invested for tenant improvements since 2014, current ownership completed $4 million in renovations including lobby and common area upgrades, the addition of modern entrances, café and fitness center remodels, new cooling tower and chiller, as well as significant landscaping and exterior upgrades.

DESCRIPTION AMOUNT

HVAC Upgrades- Cooling Tower & Chillers

$1,003,114

Main Level & Entrance $836,398

Upper Floors- Atrium/Corridors $507,348

In-Fill Floor OpeningsBetween floors 3 & 4

$262,000

HVAC - RTU Replacement $256,000

Restrooms $227,766

Triad Fitness Center ( Incl. new equipment) $191,143

Triad Cafe $174,308

Parking Lot (resurfaced & restriped) $99,197

Furniture for Atrium Center $67,220

Triad Conference Center $61,708

Signage- Design & Installation $56,740

Elevator Cabs $51,151

A/V Equipment(Atrium & Fitness Center)

$46,772

Interior Landscaping(Bamboo & Planters)

$40,885

Artwork for Common Areas $14,647

Soft Costs - Architects, Engineers, Consultants, etc.

$461,322

Total: $4,357,719

PREMIER CLASS A PROPERTYTriad is a Class A suburban office building containing 184,118 square feet on four floors. The Property was designed by RHJ Associates with architectural details that are difficult to replicate and features a 55 foot atrium lobby with a bright central skylight, an incredible window line and scenic views. A full-scale renovation was completed in 2014 to drastically improve all of the common areas both inside and out along with significant investments to modernize the mechanical systems. This gut renovation solidified Triad’s position as one of the most desired Class A buildings in the region. All new amenities were added including the Triad Cafe, Triad Fitness Center and Triad Conference

Center. Triad is centrally located within Renaissance Corporate Park and offers 589 parking stalls surrounding the

building along with 68 executive reserved parking spaces underneath the

Property, a unique feature within the market.

EXECUTIVE SUMMARY 7

FLEXIBLE DESIGN Triad features an array of suites capable of accommodating small and large sized tenants. The Property has minimal interior columns and provides efficient layouts and great flow on every floor. The efficiency is further complemented by the unique glass line-to-floor ratio for any size layout while additional corner offices provide spectacular views and abundant natural light due to low sills and glass to ceiling heights of 8’9”. The floorplans include +/-1,000 to +/-17,500 square foot suites, +/-15,000 square foot wings, and +/-50,000 square foot floors.

IMPRESSIVE LEASING VELOCITY Triad has experienced a 100% tenant renewal rate since current ownership took control in March of 2013 with nearly 150,000 SF of leasing activity across 15 tenants occurring after the building renovations were completed in September of 2014. Current ownership has experienced 8% rent growth since these renovations were completed.

DESIRABLE DIVERSE OCCUPANCY PROFILE WITH YIELD GROWTH POTENTIAL Home to a diverse blend of high-quality tenants from industries such as pharmaceuticals, advertising and law, a substantial portion of the Property’s in-place tenancy is credit-worthy – providing surety of income and predictable cash flow. With asking rents currently 20-25% ($5.00 - $7.00 PSF) below its trophy competition in King of Prussia and Conshohocken, a new owner should be able to continue to push rental rates while still offering a compelling, cost conscious option for tenants looking for well located, highly-amenitized buildings in the region.

TENANT SF LEASE EXPIRATION

ASI Buisness Solutions, Inc. 14,419 Jun-18

CMI Media, LLC 13,292 Dec-21

Genomind, Inc. 8,699 Dec-20

Telerx Marketing, Inc. 15,782 Nov-21

Liberty Mutual Insurance Co. 42,418 Jun-22

A.D. Marble & Co., Inc. 10,463 Mar-24

Ratner Prestia, PC 23,915 Aug-27

INVESTMENT HIGHLIGHTS (CONTINUED)

PHOTO: GEORGE YUTRIAD | 2200 RENAISSANCE BLVD 8

BEST IN CLASS A AMENITIES PACKAGE The property’s tenants enjoy access to the well-equipped Triad Cafe featuring full catering capabilities, as well as the Triad Fitness Center with lockers and showers. Triad also offers underground parking, outdoor balconies, the Triad Conference Center and direct access to a jogging trail. The immediate area is serviced by public transportation via bus or train while also being located in close proximity to the 2.4 million square foot King of Prussia Mall, several hotels, restaurants, award winning golf courses and other attractions along the river in Conshohocken.

EXECUTIVE SUMMARY 9

276276

476

476

76

76676

295

295

295495

95

476

95

76

295

195

95

95

30

322

322

322

13

130

13130

30 206

130206

130

1

1

1

1

1

202

202

422

422

202

130

73

309

611

73

73

38

68

70

42

55

3

23

23

100

29

532

232

611

Delaware River

CenterCity

MarshCreekLake

FairmountPark

WhartonState Forest

NEW JERSEY TPKE

NEW JE

RSEY T

PKE

PA TPKE NORTHEAST EXT

PENNSYLVANIA TPKE

Philadelphia International

Airport

PottstownPottstown

HarleysvilleHarleysville

PhoenixvillePhoenixville AudubonAudubon

LansdaleLansdale

MontgomeryvilleMontgomeryville

HorshamHorsham

WillowGrove

WillowGrove

MelrosePark

MelrosePark

PalmyraPalmyra

MoorestownMoorestown

CherryHill

CherryHill

PennsaukenPennsauken

CamdenCamden

PhiladelphiaPhiladelphia

LevittownLevittown

TrentonTrenton

EwingEwing

Blue BellBlue Bell

NorristownNorristown

King ofPrussiaKing ofPrussia

PlymouthMeeting

PlymouthMeeting

ConshohockenConshohocken

ArdmoreArdmore

DrexelHill

DrexelHill

SpringfieldSpringfield

ChesterChesterBellmawrBellmawr

UpperDarbyUpperDarby

BroomallBroomall

NewtownNewtown

ChesterHeightsChesterHeights

MediaMediaWest

ChesterWest

Chester

KennettSquareKennettSquare

WilmingtonWilmington

DelawareDelaware

DowningtownDowningtown

NewJerseyNew

Jersey

PennsylvaniaPennsylvania

New CastleCounty

New CastleCounty

GloucesterCounty

GloucesterCounty

CamdenCountyCamdenCounty

BurlingtonCounty

BurlingtonCounty

MontgomeryCounty

MontgomeryCounty

ChesterCountyChesterCounty

DelawareCounty

DelawareCounty

BucksCountyBucksCounty

MercerCountyMercerCounty

PhiladelphiaCounty

PhiladelphiaCounty

REGIONAL MAP


EXCEPTIONAL LOCATION WITH IMMEDIATE ACCESS TO MAJOR HIGHWAYS Triad is located only minutes away from I-76 (Schuykill Expressway), I-476 (the Blue Route) and I-276 (the Pennsylvania Turnpike) and offers great connectivity as it is approximately 16 miles from Center City Philadelphia and the Philadelphia International Airport. The Property is ideally situated along the “Main Line” and offers all the benefits of a King of Prussia address while also being located 5 minutes from downtown Conshohocken which features a thriving restaurant, shopping and riverfront environment.


RENAISSANCE

BLV

D

3029

3009 3019

3006

3004

40414004

3029

3029

3041

3037

3016

3030

3030

3032

3034

3011

3009

3053

3014

300330053007

3012

3001

3003

30173013

3009

3055

3023

3027

3028

30243035

1015

1011

1013

3014

3059

3015

3016

232323

23

23

320

320

252

252

363

23

73

76

76

76

276

276

476

476

202

202

202

422

422

PENNSYLVANIA TURNPIKE (TOLL ROAD)

PENNSYLVANIA TURNPIKE (TOLL ROAD)

W MARSHALL STW MAIN ST

STERIGERE ST

S SCH

UYLK

ILL AV

E

PORT

INDI

AN R

D

RITTE

NHOUS

E RD

E SWEDESFORD RD

PUGH RD

DEVON PARK DR

CONESTOGA RD

DEVON STATE RD

S WARNER RD

1ST AVE

ALLENDALE RD

CALEY RD

ROSS RDBRIDGEPORT

E FOMANCE ST

OLD ARCH RD

NEW H

OPE S

T

GERMANTOWN PIKE

JOLL

Y RD NARC

ISSA RD

TOWNSHIP LINE RD

BUTL

ER PI

KE

STENTON AVE

EAGLE RD

WAYNE

GYPSY LN

HOLLOW RD

UPPER GULPH RD

COUNTY LINE RDSCHUYLKILL EXPY

SCHUYLKILL EXPY

SCHUYLKILL EXPY

COLW

ELL L

N

BULL

ER PI

KE

BELLS MILL

RD

RIDGE PIKE

JOSH

UA RD

THOMAS RD

Green ValleyCountry Club

Ace Golf Club

ShawmontValley

PhiladelphiaCountry Club

Valley ForgeCasino Resort

Valley Forge NationalHistorical Park

Audubon WildlifeSanctuary

Norristown Farm Park


PlymouthMeeting

PlymouthMeeting

Plymouth Meeting MallPlymouth Meeting Mall

King of Prussia MallKing of Prussia Mall


West NorritonWest Norriton


Lafayette HillLafayette Hill

GladwyneGladwyne

WestConshohocken

WestConshohocken

OLD EAGLE SCHOOL RD

UP PER GULPH RD

CHURCH RD

331

328

16

20

LOCAL MAP


EXECUTIVE SUMMARY 11

PRO

PER

TY

OVE

RVIE

W

PROPERTY OVERVIEW

ADDRESS:2200 Renaissance Boulevard King of Prussia, Pennsylvania

PROPERTY SIZE:184,118 RSF

# OF FLOORSFour (4)

YEAR COMPLETED / RENOVATED1985 /2014

LAND AREA10.01 Acres

OCCUPANCY:94.24%

PARKINGThere are 589 surface parking spaces and 68 covered spaces.

AMENITIESTriad Fitness Center, Triad Conference Center, Triad Cafe, and central atrium

TRIAD IS A CLASS “A” SUBURBAN OFFICE

BUILDING LOCATED IN RENAISSANCE CORPORATE

PARK IN THE KING OF PRUSSIA SUBMARKET

WITH IMMEDIATE ACCESS TO MAJOR INTERSTATE

HIGHWAYS.

PROPERTY DESCRIPTION

“

“


STRUCTURE SYSTEM

FOUNDATIONThe foundation is concrete.

FRAMINGSteel frame with concrete decks

EXTERIOR WALLSPrecast EIFS panels with insulated glass panels

ROOFConcrete topped steel deck with PVC thermoplastic energy smart membrane from 2008

MECHANICAL & ELECTRICAL

HVACSix package roof top units (“RTU’s”) serve the 4th floor. Central chilled water system comprised of two chillers, one cooling tower with VAV boxes, and three air handlers serve floors 1-3. The chillers and cooling tower were replaced in 2014, and the RTU’s were replaced in 2016.

ELECTRICAL SYSTEMS3,000 amps, 277/480 volt three-phase four-wire alternating current. 75kVa emergency electrical generator with above ground fuel tank attached. Two tenant specific generators.

ELEVATORThree passenger elevators and one freight elevator

LIFE SAFETY Dry and wet fire sprinklers, hydrants, smoke detectors, alarms and extinguishers.

PROPERTY DESCRIPTION (CONTINUED)

PROPERTY OVERVIEW 15

STACKING PLAN


SITE PLAN


SITE PLAN

SWEDELAND ROAD

SCHUYKILL RIVER ROAD

76

476CONSHOHOCKEN

PHILADELPHIA

GULPH MILLS GOLF CLUB

RENAISSANCE BOULEVARD

HORI

ZON

DRI

VE


FLOOR PLANFIRST FLOOR

Wing B Wing A

Wing C

Communications Media10,100 RSF

Communications Media3,192 RSF

Genomind8,699 RSF

Seasons Hospice5,017 RSF

Small BusinessFunding

5,226 RSF

Atlantic Funding, LLC

1,023 RSF

Triad Cafe511 RSF

TriadConference

Center631 RSF

Addis IntellectualCapital

1,434 RSF

Triad FitnessCenter

2,662 RSF

The Pension Company1,273 RSF

NON-RENTABLE AREA

AMENITY

KEY

AREA NOT INCLUDED IN CALCULATIONS

RIGHT OF FIRST OFFER

BUILDING/PROJECT COMMON AREA

FLOOR COMMON AREA

RIGHT OF SECOND OFFER

TENANT PREMISES USEABLE AREA

FLEXIBLE USEABLE AREA

RIGHT OF FIRST REFUSAL


Robson & Robson3,132 RSF

To Be Leased10,610 RSF

ASI Business Solutions14,419 RSF

AD Marble10,463 RSF

Wing B Wing A

Wing C

Connelly, Grey, Wells825 RSF

Tom James Company4,249 RSF

NON-RENTABLE AREA

AMENITY

KEY




FLOOR COMMON AREA





FLOOR PLAN (CONTINUED)

SECOND FLOOR



THIRD FLOOR

Telerx Marketing, Inc.15,782 RSF

Spring Mill Partners2,785 RSF

Merlino DesignPartnership, Inc.

4,462 RSF

RedcrossAssociates1,146 RSF

Ratner Prestia, P.C.23,915 RSF

Wing B Wing A

Wing C

NON-RENTABLE AREA

AMENITY

KEY




FLOOR COMMON AREA







FOURTH FLOOR

Wing B Wing A

Wing C

Liberty Mutual 42,418 RSF

Sizmek Technologies, Inc.10,144 RSF

NON-RENTABLE AREA

AMENITY

KEY




FLOOR COMMON AREA







GARAGE LEVEL

Wing B Wing A

Wing C

TENANT STORAGE

KEY

MECHANICAL AREA

BUILDING STORAGE


FLOOR COMMON AREA



REAL ESTATE TAXES

PARCEL TOTAL ASSESSMENT

58-00-02694-00-2 $10,256,500

TAX LIABILITY SUMMARY

MILLAGE RATES 2016 TAXES

Montgomery County 3.4590 $35,477.23

Upper Merion Township General Fund 1.0450 $10,718.04

Library 0.5080 $5,210.30

Municipal Building Debt 0.2050 $2,102.58

Fire Protection 0.0960 $984.62

Parks & Recreation 0.0550 $564.11

Open Space 0.0950 $974.37

Debt Service 0.1550 $1,589.76

Upper Merion Area School District [1] 18.9600 $194,463.24

2016 Totals 24.5780 $252,084.26

Less 2% Discount $247,042.57

FY 2017 Projection [2] $254,453.85

[1] - July 1, 2016 - June 30, 2017 taxes.

[2] - 2016 plus 3.00%.


REG

ION

AL

OVE

RVIE

W

Greater Philadelphia, the nation’s sixth largest metropolitan area and seventh largest city, is situated in the heart of the Northeast Corridor and is the keystone of major north-south, east-west highway and rail networks.

MSA Population is estimated to be approximately 6.0 million as of the fourth quarter 2015. The Greater Philadelphia market area spans nineteen counties in Southeastern Pennsylvania, Southern New Jersey and Northern Delaware.

Philadelphia boasts strong economic fundamentals. According to the US Bureau of Economic Analysis, the Gross Metropolitan Product for the Philadelphia Region is the eighth largest in the U.S. ($391 billion, 2014). The strength and desirability of Greater Philadelphia is characterized by its economic diversity and population density. Its location, high concentration of educational, medical and government facilities, and a strong transportation network underscore these strengths. Residents of the Philadelphia area have always enjoyed a quality of life ranked among the highest in the country. In addition to the high quality urban housing opportunities, there are many desirable suburban communities that are easily accessible by one of the country’s best highway and mass transit systems.

ECONOMIC DIVERSITYGreater Philadelphia has one of the most diverse economies in the nation. The region is home to the headquarters of more than 150 national and international companies. Long established corporations, including Astra Zeneca, Campbell Soup, Comcast, Dow Chemical, Glaxosmithkline, Lincoln Financial, SAP America, Unisys, and Vanguard have made a significant contribution to the broad economic base that provides a stable regional economy and positive business climate.

TRANSIT & RAILPhiladelphia is at the heart of the Northeast Corridor rail system. Amtrak’s 30th Street Station is the third busiest in the system with more than 4.1 million passengers using the station each year. Hourly train service to New York and Washington is provided, with total station volume exceeding 550 trains per week. The Acela Express is a high-speed train that provides access between Washington, D.C. and Boston through Philadelphia’s 30th Street Station. New York City is only a 65 minute train ride from 30th Street Station. CSX provides rail freight service via an extended network through the region. Center City Philadelphia is accessible to all surrounding Pennsylvania counties by train via the Southeastern Pennsylvania Transportation Authority (SEPTA). With approximately 50 bus and rail lines, SEPTA is the fourth largest mass transit system in the nation and has one of the most comprehensive bus, subway and commuter rail systems in the United States. The PATCO high-speed line and New Jersey Transit link the New Jersey suburbs with Center City Philadelphia and the Pennsylvania suburbs.

GENERAL ECONOMIC OVERVIEW | GREATER PHILADELPHIA REGION


TRANSPORTATION The Greater Philadelphia area is crossed by more than 2,500 miles of interstate, state and local highways and roads that connect it to neighboring states and the rest of Pennsylvania. Major transportation routes include:

The Pennsylvania Turnpike, which provides east-west access, as well as northern connections via Interstate 476 (Northeast Extension) and connections to the New Jersey Turnpike

Interstate 95, a major north-south freeway that follows the Delaware River and passes by the Philadelphia International Airport

Interstate 476 (the Blue Route) which connects Interstate 95 with the Pennsylvania Turnpike as it runs north-south, continuing northward to Allentown as the Northeast Extension of the Pennsylvania Turnpike

Interstate 76 (the Schuylkill Expressway) which links south Philadelphia and southern New Jersey to the western suburbs through Center City

Interstate 676 (Vine Street Expressway) runs through Center City Philadelphia

The New Jersey Turnpike runs from New York City to the Delaware state line

The Atlantic City Expressway is the main route for travelers to the New Jersey shore

Interstate 495 is an alternate express route to Interstate 95 that circles around the Wilmington, DE area

The Ben Franklin, Betsy Ross, Walt Whitman, Commodore Barry and Tacony-Palmyra bridges carry traffic between Pennsylvania and New Jersey.

95

476

76

676

495

PHILADELPHIA REGION OVERVIEW 29

HEALTHCAREOne of the nation’s largest concentrations of health care resources is here in Greater Philadelphia. In addition to the large number of medical schools, the region also has two dental schools, three pharmacy schools, several veterinary, optometry, and podiatry schools, with multiple area universities offering advanced degrees in biological sciences. There are

more than 120 hospitals in the Philadelphia area including specialized institutions such as The Children’s Hospital of

Philadelphia and Wills Eye Hospital. Pennsylvania Hospital – the nation’s first hospital, was founded in 1751 by Benjamin Franklin

and Dr. Thomas Bond. Well known medical research centers include the Wistar Institute and Fox Chase Cancer Center. Correspondingly, the Greater Philadelphia Region ranks in the top 10 U.S. metros in the number of engineering degrees obtained per year.

EDUCATIONPhiladelphia’s educational heritage began with the founding of The University of Pennsylvania, a world renowned Ivy League school. Today, Greater Philadelphia has 80 degree granting institutions offering the second-highest concentration of colleges and universities in the East Coast and producing over 66,000 new graduates every year. Notable area schools include: The University of Pennsylvania, Drexel University, Temple University, Swarthmore College, Haverford College, Bryn Mawr College, Villanova University, St. Joseph’s University, LaSalle University, Princeton

University, Rutgers University, Widener University, The University of Delaware and Philadelphia University. Many of these schools received

top rankings in the U.S. News and World Report annual survey. Business Week recently ranked the University of Pennsylvania’s Wharton School

of Business the number four business school in the country. Philadelphia also boasts six medical schools and 26 teaching hospitals. Area medical

schools include the University of Pennsylvania, Jefferson, Temple, Hahnemann, Philadelphia College of Osteopathic Medicine and The

Medical College of Pennsylvania.


PHILADELPHIA REGION OVERVIEW (CONTINUED)

.CULTURE

Since the 1700s, Philadelphia has been a center of excellence in the visual and performing arts. The Philadelphia Orchestra and The Philadelphia Museum of Art (third largest in the United States) are recognized as world-class institutions. The Impressionist collection at the Art Museum combined with that of the Barnes Foundation form the largest collection of impressionist art outside Europe. The Rodin Museum has the largest collection of this sculptor’s work outside Paris.

Cultural and entertainment opportunities in the region include:

• Pennsylvania Academy of the Fine Arts• Academy of Natural Sciences• Philadelphia Museum of Art• Philadelphia Orchestra• Franklin Institute• Mann Music Center• Rodin Museum• Opera Company of Philadelphia• The Philadelphia Zoo• Pennsylvania Ballet• Kimmel Center for the Performing Arts• National Constitution Center

SUMMARYThe Greater Philadelphia region is an area rich in history and prosperity. As the fifth largest metropolitan center in the United States, the region offers an extensive array of cultural, historical and recreational facilities. From its position in the center of the eastern megalopolis to its diverse economy, the Greater Philadelphia region is poised for continued growth and prosperity.

IN 2014, MORE THAN 10.5 MILLION PEOPLE

VISITED PHILADELPHIA FOR ITS ARTS, CULTURE AND

ENTERTAINMENT, WITH 60% ENJOYING FREE ADMISSIONS


Triad is located in the central quadrant of the Philadelphia Metropolitan Statistical Area (“MSA”) in Upper Merion Township, Montgomery County, Pennsylvania. Montgomery County is situated approximately 20 miles west of Center City Philadelphia and encompasses 482 square miles. It is bordered by Philadelphia County to the east, Chester County to the west, Bucks County to the north and Delaware County to the south.

Due to its location adjacent to Philadelphia County, proximity to I-276, I-76, I-476, Routes 202 and 422 and outstanding quality of life, Montgomery County has maintained its ranking as the second largest county in the Philadelphia MSA and the third largest in the Commonwealth of Pennsylvania. Historically comprised of farmlands, the county has experienced significant residential and commercial development over the past three decades but has retained its pastoral charm, which was the initial attraction for many of its residents. In 2016 Montgomery County accounted for 10.1% of the total Philadelphia MSA population.

POPULATIONWith a 2016 population of 822,319, Montgomery County posted a 4.9% increase over the 2001 Census. This trend is expected to continue, as population is projected to grow an additional 2.0% by 2021. Most of the county’s population growth is expected to be generated by in-migration related to the expansion of employment opportunities, quality housing, schools and amenities, all of which contribute to the general desirability of the area.

EMPLOYMENTAccording to the Delaware Valley Regional Planning Commission, employment in Montgomery County witnessed a 1.1% increase between 2010 and 2015 (compared to a 0.9% increase in the MSA as a whole) and is projected to grow another 1.9% by 2020. This increase is largely attributed to the commercial development that has occurred near I-476 (the “Blue Route”), particularly in Conshohocken, the Pennsylvania Turnpike and Routes 202 and 422 over the last decade.

Consistent with the shift in the employment breakdown experienced by the Philadelphia MSA over the past two decades, Montgomery County’s employment base has shifted from an agricultural and manufacturing base to a diverse workforce that includes a heavy concentration in the skilled services sector. Over 43% of the total workforce in the county is currently employed in the finance, insurance, real estate and services sector.

MONTGOMERY COUNTY AREA OVERVIEW

PHOTO: GEORGE YU

76

76

76

95

95

276

276

252320

320

320

320

1013

3024

23

23

3032

3018

3009

3005

23

23

3029

3634002

3009

30532034

309

2018

309

611

611232

63

1009

1001

1001

232

73

90

611

3

3

3

352

252

73

152

3003

202

202422

30

30

3013

30

1

13

13

1

1 130

PhiladephiaPhiladephiaSpringtonReservoirSpringtonReservoir

PickeringCreek

Reservoir

PickeringCreek

Reservoir

West Fairmount ParkWest Fairmount Park

PhiladelphiaCountry ClubPhiladelphiaCountry Club

PennypackPark

PennypackPark

Karakung Golf CourseKarakung Golf Course

Valley ForgeValley Forge



Tyler ArboretumTyler Arboretum

PlymouthMeeting

PlymouthMeeting


Willow GroveWillow GroveHuntingdon

ValleyHuntingdon

Valley

HollywoodHollywood

PennsaukenTownship

PennsaukenTownship

NorthPhiladelphia

NorthPhiladelphia

NorthwestPhiladelphia


WestPhiladelphia

WestPhiladelphia

AudubonAudubonWest NorritonWest Norriton



ChesterbrookChesterbrook

DevonDevon

WayneWayneRadnorRadnor

VillanovaVillanova

Bryn MawrBryn Mawr

HaverfordHaverford

HavertownHavertown

NewtownSquare

NewtownSquare Penn WynnePenn Wynne

ArdmoreArdmore

Penn ValleyPenn Valley

Roxborough-ManayunkRoxborough-Manayunk

RoxboroughRoxborough

Merion StationMerion Station

OverbrookOverbrook

WynfieldWynfield

Bala CynwydBala Cynwyd

GladwyneGladwyne

WestConshohocken

WestConshohocken


Lafayette HillLafayette Hill ErdenheimErdenheim

FlourtownFlourtown

OrelandOrelandNorth HillsNorth Hills

DresherDresher

RoslynRoslyn

AbingtonAbington

MeadowbrookMeadowbrook

BustletonBustletonJenkintownJenkintown

GlensideGlenside

WyncoteWyncote

RockledgeRockledge

Fox Chase/BurholmeFox Chase/Burholme

RhawnhurstRhawnhurst

Oxford Circle/Castor

Oxford Circle/Castor MayfairMayfair

Tacony/Wissinoming

Tacony/Wissinoming

FrankfordFrankford

BridgesburgBridgesburg

Juniata Park/Feltonville


Port RichmondPort RichmondKensingtonKensington

FishtownFishtown

MerchantvilleMerchantville

CamdenCamden

Bella VistaBella Vista

SouthwestCenter CitySouthwestCenter City

NewboldNewboldGrays FerryGrays Ferry

KingsessingKingsessing

Squirrel HillSquirrel HillEast

LandsdowneEast

LandsdowneLandsdowneLandsdowne

Clifton HeightsClifton HeightsSpringfieldSpringfield

Drexel HillDrexel Hill

Upper DarbyUpper Darby

BroomallBroomall

UpperPovidenceTownship

UpperPovidenceTownship YeadonYeadon

DunlapDunlapMillbourneMillbourne

LudlowLudlow

FairmountFairmount

OlneyOlney

Oak Lane/East Oak Lane


Olney-OakLane

Olney-OakLane

Hunting ParkHunting Park

Chestnut HillChestnut Hill

WyndmoorWyndmoor

FairhillFairhill

AlleghenyWest

AlleghenyWest

NorthPhiladelphia

East

NorthPhiladelphia

East

NorthPhiladelphia

West

NorthPhiladelphia

West

East FallsEast Falls

GarmantownGarmantown

Logan/Ogontz/

Fern Rock

Logan/Ogontz/

Fern Rock

CheltenhamCheltenhamMelrose ParkMelrose Park

Elkins ParkElkins Park

RydalRydal

PaoliPaoli

BridgeportBridgeport

D E L AWA R ECO U N T Y


C H E S T E RCO U N T YC H E S T E RCO U N T Y

MON TG OM E R YCO U N T Y


C AMD E NCO U N T YC AMD E NCO U N T Y

P H I L A D E L P H I ACO U N T Y



HOUSEHOLD INCOMEThe median household income in the Philadelphia MSA is an estimated $61,640, which is $6,848 higher than the median household income of $54,792 for the Commonwealth of Pennsylvania and $6,739 greater than the national median income of $54,901. The exceptionally strong demographics in Montgomery County are evidenced by its median household income level of $80,067.

QUALITY OF LIFEMontgomery County offers residents an outstanding quality of life that includes abundant, affordable housing, an efficient transportation network, excellent schools, abundant retail amenities and the best medical care in the country, all of which is coupled with the renowned history and culture of the Greater Philadelphia region. Moreover, the school districts in Montgomery County are considered to be the best in the entire Commonwealth of Pennsylvania.

One of the biggest contributors to the high quality of life in Montgomery County is its strategic location within the Philadelphia MSA. The county’s location offers unparalleled access to the Philadelphia CBD, as well as Wilmington, Delaware. Affordable housing, award-winning schools and access to an abundant and well-educated labor pool remain the key components that attract new businesses and residents to Montgomery County each year.

TRANSPORTATIONOne of Montgomery County’s key elements is its proximity to all major transportation arteries in the MSA. The county is accessible via (1) I-276 (The Pennsylvania Turnpike), which connects the county with the office submarkets and suburban communities north and west of Philadelphia; (2) Interstates 76 and 476 (the “Blue Route”), which links Montgomery County to the western suburbs and Philadelphia International Airport to the south and Interstate 95; (3) Route 202, a major north-south thoroughfare that runs from one end of the County to the other and (4) Germantown Pike, a limited access roadway that runs east/west into Philadelphia and Reading, Pennsylvania.

All forms of mass transit are accessible from Montgomery County, including SEPTA, the regional rail system that connects to Center City Philadelphia, the western suburbs and Wilmington, Delaware. Additionally, Amtrak is located 15 minutes from Triad to Center City Philadelphia, enabling tenants to access New York City in 70 minutes and Washington, D.C. in 90 minutes.)

76

76

76

95

95

276

276

252320

320

320

320

1013

3024

23

23

3032

3018

3009

3005

23

23

3029

3634002

3009

30532034

309

2018

309

611

611232

63

1009

1001

1001

232

73

90

611

3

3

3

352

252

73

152

3003

202

202422

30

30

3013

30

1

13

13

1

1 130

PhiladephiaPhiladephiaSpringtonReservoirSpringtonReservoir

PickeringCreek

Reservoir

PickeringCreek

Reservoir

West Fairmount ParkWest Fairmount Park

PhiladelphiaCountry ClubPhiladelphiaCountry Club

PennypackPark

PennypackPark

Karakung Golf CourseKarakung Golf Course




Tyler ArboretumTyler Arboretum

PlymouthMeeting

PlymouthMeeting


Willow GroveWillow GroveHuntingdon

ValleyHuntingdon

Valley

HollywoodHollywood

PennsaukenTownship

PennsaukenTownship

NorthPhiladelphia

NorthPhiladelphia



WestPhiladelphia

WestPhiladelphia

AudubonAudubonWest NorritonWest Norriton



ChesterbrookChesterbrook

DevonDevon

WayneWayneRadnorRadnor

VillanovaVillanova

Bryn MawrBryn Mawr

HaverfordHaverford

HavertownHavertown

NewtownSquare

NewtownSquare Penn WynnePenn Wynne

ArdmoreArdmore

Penn ValleyPenn Valley

Roxborough-ManayunkRoxborough-Manayunk

RoxboroughRoxborough

Merion StationMerion Station

OverbrookOverbrook

WynfieldWynfield

Bala CynwydBala Cynwyd

GladwyneGladwyne

WestConshohocken

WestConshohocken


Lafayette HillLafayette Hill ErdenheimErdenheim

FlourtownFlourtown

OrelandOrelandNorth HillsNorth Hills

DresherDresher

RoslynRoslyn

AbingtonAbington

MeadowbrookMeadowbrook

BustletonBustletonJenkintownJenkintown

GlensideGlenside

WyncoteWyncote

RockledgeRockledge

Fox Chase/BurholmeFox Chase/Burholme

RhawnhurstRhawnhurst

Oxford Circle/Castor

Oxford Circle/Castor MayfairMayfair

Tacony/Wissinoming

Tacony/Wissinoming

FrankfordFrankford

BridgesburgBridgesburg



Port RichmondPort RichmondKensingtonKensington

FishtownFishtown

MerchantvilleMerchantville

CamdenCamden

Bella VistaBella Vista

SouthwestCenter CitySouthwestCenter City

NewboldNewboldGrays FerryGrays Ferry

KingsessingKingsessing

Squirrel HillSquirrel HillEast

LandsdowneEast

LandsdowneLandsdowneLandsdowne

Clifton HeightsClifton HeightsSpringfieldSpringfield

Drexel HillDrexel Hill

Upper DarbyUpper Darby

BroomallBroomall

UpperPovidenceTownship

UpperPovidenceTownship YeadonYeadon

DunlapDunlapMillbourneMillbourne

LudlowLudlow

FairmountFairmount

OlneyOlney



Olney-OakLane

Olney-OakLane

Hunting ParkHunting Park

Chestnut HillChestnut Hill

WyndmoorWyndmoor

FairhillFairhill

AlleghenyWest

AlleghenyWest

NorthPhiladelphia

East

NorthPhiladelphia

East

NorthPhiladelphia

West

NorthPhiladelphia

West

East FallsEast Falls

GarmantownGarmantown

Logan/Ogontz/

Fern Rock

Logan/Ogontz/

Fern Rock

CheltenhamCheltenhamMelrose ParkMelrose Park

Elkins ParkElkins Park

RydalRydal

PaoliPaoli

BridgeportBridgeport



C H E S T E RCO U N T YC H E S T E RCO U N T Y



C AMD E NCO U N T YC AMD E NCO U N T Y



MONTGOMERY COUNTY AREA OVERVIEW (CONTINUED)


OFF

ICE

MA

RKET

O

VERV

IEW

MARKET INVENTORY NO. OF BUILDINGS DIRECT VACANCY RATE (%)

2016 YTD NET ABSORPTION (SF)

TOTAL SF UNDER CONSTRUCTION

2Q16 AVG. CLASS A RENTAL RATE ($/SF)

PHILADELPHIA CBD 43,825,277 110 11.0% 333,498 1,625,000 $30.96

SUBURBAN PHILADELPHIA 60,506,364 989 17.2% 844,014 0 $27.91

SOUTHERN NEW JERSEY 17,270,385 342 19.0% -48,221 250,000 $22.87

NORTHERN DELAWARE 15,952,875 209 17.9% 66,386 0 $25.31

LEHIGH VALLEY 9,983,538 157 14.8% 339,855 60,000 $21.41

TOTAL 147,538,439 1,807 15.5% 1,535,532 1,935,000 $27.99

*Statistics through Second Quarter 2016

MARKET OVERVIEW

PHILADELPHIA CBDThe Philadelphia CBD is the second largest Philadelphia submarket with more than 43 million square feet in 110 buildings. The CBD is attractive to major companies that require proximity to an abundance of hotel, restaurant and cultural amenities, large financial services and law firms, federal and county governments, and excellent public transportation. As of Second Quarter 2016, this submarket was 11.0% vacant.

SUBURBAN PHILADELPHIABroadly speaking, the largest office submarket consists of the Pennsylvania Suburbs, comprising four counties located north and west of Philadelphia: Bucks, Montgomery, Chester and Delaware. The appeal of this market is its proximity to affluent suburban communities and accessibility to the CBD, abundant free parking and lower business tax rates. This market consists of 989 buildings comprising over 60 million square feet with a direct vacancy rate of 17.2% as of Second Quarter 2016.

KING OF PRUSSIA/VALLEY FORGETriad is located in the King of Prussia/Valley Forge submarket of suburban Philadelphia, which historically has performed relatively well compared to other office hubs in terms of tenant demand, rent growth and absorption. The Second Quarter 2016 average Class A asking lease rates of $28.87 reflect the ideal access, proximity to I-76 / I-276 (PA Turnpike), and US Routes 202 and 30, as well as the premium Class A office product available in the submarket.

SOUTHERN NEW JERSEY Located across the Delaware River from Philadelphia, the Southern New Jersey submarket has excellent access to major highways, yet is very accessible to the CBD. This market totals approximately 17.2 million square feet in 342 buildings, with a direct vacancy rate of 19.0% as of Second Quarter 2016.

NORTHERN DELAWARE Situated along the I-95 corridor 30 minutes south of Center City Philadelphia, this submarket consists of 16.4 million square feet in 209 buildings. Direct vacancy was 17.9% as of Second Quarter 2016.


LEHIGH VALLEY The Philadelphia region is bordered to the north by the Lehigh Valley, which encompasses the cities of Allentown, Easton and Bethlehem, as well as, surrounding communities in Lehigh and Northampton Counties. The presence of several interstate highways and Lehigh Valley’s central geography offer convenient access to both Philadelphia and New York City. The Lehigh Valley submarket consists of 9.9 million square feet in 157 buildings, with direct vacancy of 14.8% as of Second Quarter 2016.

OFFICE SUBMARKET OVERVIEWTriad is categorized by CBRE as part of the King of Prussia/ Valley Forge submarket. This office market consists of 16,673,102 square feet in 219 buildings. It is the largest and most actively traded submarket in the Philadelphia suburbs. The prominence and appeal of this submarket is directly attributed to its location relative to residential housing at the confluence of I-76, Route 202, and I-276. Given the superior infrastructure, supporting retail and its convenience to a large labor pool, King of Prussia has maintained its position as the largest and most sought after office market in Philadelphia. Route 202 recently completed a major rebuilding program that has provided the region with unmatched access.

Triad competes in the Class A sector of the King of Prussia/Valley Forge submarket. Average asking rental rates for this sector of the market at the end of the Second Quarter 2016 were $28.87 per square foot plus electric.

SQUARE FEET % OF MARKET AVG. ASKING RENT

Class A 10,332,635 62.0% $28.87

Class B 4,897,279 29.4% $24.31

Class C 1,443,188 8.6% $19.69

MARKET OVERVIEW (CONTINUED)

PHOTO: GEORGE YU

MARKET OVERVIEW 37

SUBURBAN MARKET UPDATEThe suburban submarkets collectively posted 655,672 square feet of absorption the most since Q4 2007. The King of Prussia submarket led the way with 371,164 square feet of absorption, highlighted by TEVA Pharmaceutical occupying 60,307 square feet and the Reed Elsevier occupying 47,437 square feet. The Plymouth Meeting and Conshohocken submarkets each achieved over 80,000 square feet of positive absorption.

PHILADELPHIA OFFICE RENT GROWTH

24.9%

21.4%

19.1%

20.7%

16.6%

$24.29

$24.97$25.29

$26.53 $26.39

TOTAL VACANCY RATE AVG ASKING LEASE RATE

2016 YTD2012 2013 2014 2015

MARKET OVERVIEW (CONTINUED)

PHILADELPHIA METRO OFFICE RENT GROWTH FORECASTThe supply-demand imbalance in the Philadelphia metro office market is making many owners, investors, and developers happy. More jobs continue to be created, and there is not enough attractive office space to meet current needs. As a result, CBRE Econometric Advisors forecasts the region to experience the second-fastest increase in average rents of any major metro market in the nation during the next two years. The connection with the record-breaking pace of office building sales is not coincidental. In the near-term, tenants may find it difficult to find attractive spaces.

Top 3 Nationally

(%)10

8

6

4

2

0

-2

-4Dallas Philadelphia Phoenix U.S. Seattle Washington

D.C.Houston

Bottom 3 Nationally

(Avg. Annual Rates; Metro Office Markts> 50 MSF inventory; source: CBRE-EA)


COMPARABLE SUBURBAN OFFICE SALES TRANSACTIONS

STABLER CORPORATE CENTER3501 Corporate Parkway, Center Valley, PA

DATE PRICE SF CAP RATE PSF BUYER SELLER

June-2016 $44,500,000 178,330 6.6% $250 Property Advisors Income City Office REIT

1000 CONTINENTAL DRIVEKing of Prussia, PA


Feb-2014 $63,000,000 205,424 7.0% $307 KBS Realty Advisors Equus Capital Partners

1170-1190 DEVON PARK DRIVEWayne, PA


July-2015 $63,500,000 250,185 6.5% $254 MARK Solution Liberty Property Trust

WESTBROOK CORPORATE CENTER41 Moores Road, Malvern, PA


May-2013 $49,650,000 188,000 7.0% $264 CapLease Bentall Kennedy

MARKET OVERVIEW 39

FIN

AN

CIA

L A

NA

LYSI

S

CASH FLOW PROJECTIONS

Calendar Year 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

Physical Occupancy 94.24% 92.84% 93.26% 93.68% 91.98% 87.52% 94.24% 92.91% 92.84% 93.26% 91.51%

Overall Economic Occupancy [1] 94.30% 90.14% 90.10% 91.85% 87.29% 69.62% 90.96% 89.42% 91.81% 89.88% 87.64%

Weighted Average Market Rent $25.29 $26.05 $26.83 $27.63 $28.46 $29.32 $30.20 $31.10 $32.04 $33.00 $33.99

Weighted Average In Place Rent [2] $23.17 $22.89 $23.43 $24.42 $24.18 $20.86 $27.18 $27.78 $29.31 $29.14 $29.71

Total Operating Expenses PSF Per Year $8.06 $8.22 $8.49 $8.77 $8.94 $8.93 $9.62 $9.84 $10.15 $10.45 $10.67 [3] CY 2017

$/SF/YRREVENUESGross Potential Rent $23.28 $4,287,002 $4,390,961 $4,528,881 $4,641,010 $4,782,412 $5,084,831 $5,253,769 $5,399,199 $5,523,938 $5,656,150 $5,825,829 Absorption & Turnover Vacancy (1.48) (273,207) (349,664) (338,923) (327,443) (428,004) (686,162) (326,224) (413,664) (430,043) (416,833) (540,647)Base Rent Abatements 0.00 0 (136,520) (165,997) (100,908) (259,772) (1,037,753) (211,039) (232,959) (83,952) (235,779) (278,820)

Total Scheduled Base Rent 21.80 4,013,795 3,904,777 4,023,961 4,212,659 4,094,636 3,360,916 4,716,506 4,752,576 5,009,943 5,003,538 5,006,362

Expense Reimbursements 2.51 462,725 489,085 528,536 567,880 581,965 539,934 636,152 659,739 698,995 737,197 745,894 Telecom Income 0.18 33,143 34,661 36,251 37,916 39,661 41,487 43,400 45,404 47,503 49,702 52,006 Parking Income 0.02 3,708 3,819 3,934 4,052 4,173 4,299 4,428 4,560 4,697 4,838 4,983 Storage Income 0.01 2,732 2,814 2,898 2,985 3,074 3,167 3,262 3,359 3,460 3,564 3,671

TOTAL GROSS REVENUE 24.53 4,516,103 4,435,156 4,595,580 4,825,492 4,723,509 3,949,803 5,403,748 5,465,638 5,764,598 5,798,839 5,812,916 General Vacancy Loss 0.00 0 0 0 0 0 0 0 0 0 0 0

EFFECTIVE GROSS REVENUE 24.53 4,516,103 4,435,156 4,595,580 4,825,492 4,723,509 3,949,803 5,403,748 5,465,638 5,764,598 5,798,839 5,812,916

OPERATING EXPENSESRepairs & Maintenance (1.29) (237,296) (244,120) (251,529) (259,171) (266,549) (273,578) (283,344) (291,505) (300,237) (309,349) (318,175)Real Estate Taxes (1.38) (254,465) (262,099) (269,961) (278,060) (286,402) (294,994) (303,844) (312,959) (322,348) (332,019) (341,979)Insurance (0.13) (23,156) (23,851) (24,567) (25,304) (26,063) (26,845) (27,650) (28,480) (29,334) (30,214) (31,120)Management Fee (0.49) (90,322) (88,703) (91,912) (96,510) (94,470) (78,996) (108,075) (109,313) (115,292) (115,977) (116,258)Snow Removal (0.42) (77,812) (80,147) (82,551) (85,028) (87,579) (90,206) (92,912) (95,699) (98,570) (101,528) (104,573)Cleaning (1.11) (205,201) (206,770) (214,309) (222,226) (222,723) (214,232) (245,022) (247,098) (254,300) (263,574) (264,381)Administrative (0.43) (79,564) (81,951) (84,410) (86,942) (89,550) (92,237) (95,004) (97,854) (100,790) (103,814) (106,928)Security (0.10) (19,014) (19,584) (20,172) (20,777) (21,400) (22,042) (22,703) (23,385) (24,086) (24,809) (25,553)Water / Sewer (0.25) (46,861) (47,803) (49,382) (51,010) (51,923) (51,813) (55,955) (57,105) (58,791) (60,733) (61,798)Tenant Electric (1.46) (268,070) (272,016) (281,451) (291,193) (294,485) (288,600) (320,089) (325,033) (334,546) (346,149) (349,855)Common Area Electric (0.99) (181,441) (186,884) (192,490) (198,265) (204,213) (210,339) (216,650) (223,149) (229,844) (236,739) (243,841)

TOTAL OPERATING EXPENSES (8.06) (1,483,202) (1,513,928) (1,562,734) (1,614,486) (1,645,357) (1,643,882) (1,771,248) (1,811,580) (1,868,138) (1,924,905) (1,964,461)

NET OPERATING INCOME 16.47 3,032,901 2,921,228 3,032,846 3,211,006 3,078,152 2,305,921 3,632,500 3,654,058 3,896,460 3,873,934 3,848,455

CAPITAL COSTSTenant Improvements 0.00 0 (307,170) (220,847) (130,059) (370,757) (1,839,148) 0 (349,439) (377,781) (271,615) (780,656)Leasing Commissions 0.00 0 (105,910) (76,019) (44,696) (127,213) (630,068) 0 (119,361) (128,859) (92,517) (265,557)Capital Reserves (0.15) (28,446) (29,300) (30,179) (31,084) (32,016) (32,977) (33,966) (34,985) (36,035) (37,116) (38,229)

TOTAL CAPITAL COSTS (0.15) (28,446) (442,380) (327,045) (205,839) (529,986) (2,502,193) (33,966) (503,785) (542,675) (401,248) (1,084,442)

OPERATING CASH FLOW $16.32 $3,004,455 $2,478,848 $2,705,801 $3,005,167 $2,548,166 ($196,272) $3,598,534 $3,150,273 $3,353,785 $3,472,686 $2,764,013

[1] This figure takes into account vacancy/credit loss, absorption vacancy, turnover vacancy, and base rent abatements.[2] This figure does not include any amount related to expense reimbursements. Only Scheduled Base Rent and Fixed/CPI Increases are included in this calculation, which is based on the weighted-average physi-cal occupancy during each fiscal year.[3] Based on 184,118 square feet.


SUMMARY OF FINANCIAL ASSUMPTIONS

GLOBAL Analysis PeriodCommencement Date January 1, 2017End Date December 31, 2026Term 10 Years

Area MeasuresBuilding Square Feet (NRSF) 184,118 SF

Growth RatesOperating Expenses 3.00%Market Rent Growth

CY 2017 - 3.00%CY 2018 - 3.00%CY 2019 - 3.00%CY 2020 - 3.00%CY 2021 - 3.00%CY 2022 - 3.00%CY 2023 - 3.00%CY 2024 - 3.00%CY 2025 - 3.00%

CY 2026+ - 3.00%

General Vacancy Loss 5.76% [1]

[1] General Vacancy Loss factor includes losses attributable to projected lease-up, rollover downtime, and fixturing downtime.10,610 SF (5.76%) is kept vacant for the duration of the holding period.

[2] All expenses are based on the 2016 Budget. Investors should do their own analysis of what impact a sale of the property will have on Real Estate Taxes.

VACANT SPACE LEASING Occupancy and Absorption

Projected Vacant at 1/1/17 10,610 SF

Currently Vacant as of 1/1/17 10,610 SF

Percentage Vacant at 1/1/17 5.76%

Absorption Period 132 Month(s)

Absorption Period Start Date January 1, 2017

First Absorption Occurs On January 1, 2028

Last Absorption Occurs On January 1, 2028

Financial Terms

2017 Annual Market Rent $25.00 PSF

Rent Adjustment $0.50/SF/YR

Lease Term 7 Years

Expense Reimbursement Type BY + E

Rent Abatements 6 Month(s)

Tenant Improvements ($/NRSF) $30.00 PSF

Commissions 6.00%

EXPENSESOperating Expense Source 2016 Budget [2]Management Fee (% of EGR) 2.00% [2]Capital Reserves (CY 2016 Value)

$0.15 PSF

SECOND GENERATION LEASING

Amenity Space Office

Retention Ratio 75% 75%

Financial Terms2017 Annual Market Rent $0.00 PSF $25.00 PSFRent Adjustment 0.00% Annually $0.50/SF/YRLease Term 7 Years 7 YearsExpense Reimbursement Type

None BY + E

Tenanting CostsRent Abatements New 0 Month(s) 6 Month(s) Renewal 0 Month(s) 6 Month(s) Weighted Average 0.00 Month(s) 6.00 Month(s)

Tenant Improvements ($/NRSF) New $0.00 PSF $30.00 PSF Renewal $0.00 PSF $15.00 PSF Weighted Average $0.00 PSF $18.75 PSF

Leasing Commissions New 6.00% 6.00% Renewal 3.00% 3.00% Weighted Average 3.75% 3.75%

Downtime New 6 Month(s) 6 Month(s) Weighted Average 2 Month(s) 2 Month(s)

FINANCIAL ANALYSIS 43

RENT ROLL

Lease Term Rental Rates

Suite Tenant Name Square Feet

% of Property Begin End Begin Monthly PSF Annually PSF Recovery

TypeMarket

Assumption / Market Rent

Comments/Options

100 Genomind 8,699 4.72% Jan-2015 Dec-2020 Current $17,760 $2.04 $213,126 $24.50 BY 2014 95% GU

Market$25.00 BY+E

- Tenant has 2, 5-year renewal options at FMR with 9 months’ notice.

- Tenant has a ROFO with regard to that portion of the Building as identified on Exhibit B of the Lease.

- Tenant has a 5% annual cap on Controllable Expenses (not modeled). Controllable Expenses are all expenses excluding RET, INS,Snow Removal and Utilities).

Jan-2017 $18,123 $2.08 $217,475 $25.00

Jan-2018 $18,485 $2.13 $221,825 $25.50

Jan-2019 $18,848 $2.17 $226,174 $26.00

Jan-2020 $19,210 $2.21 $230,524 $26.50

110 Seasons Hospice 5,017 2.72% Jan-2015 Jul-2020 Current $9,825 $1.96 $117,900 $23.50 BY 2015 Seasons

Market$25.00 BY+E



Jan-2017 $10,034 $2.00 $120,408 $24.00

Jan-2018 $10,243 $2.04 $122,917 $24.50

Jan-2019 $10,452 $2.08 $125,425 $25.00

Jan-2020 $10,661 $2.13 $127,934 $25.50

150 Communications Media

3,192 1.73% Dec-2016 Dec-2021 Current $6,118 $1.92 $73,416 $23.00 BY 2016 95% GU

Market$25.00 BY+E

- Tenant is due a 5-month rent abatement. Assuming a 1/1/2017 closing date, $24,472 in abatements will be remaining.

- Tenanrt has a $3.25/SF cap on Electricity costs.

Dec-2017 $6,251 $1.96 $75,012 $23.50

Dec-2018 $6,384 $2.00 $76,608 $24.00

Dec-2019 $6,517 $2.04 $78,204 $24.50

Dec-2020 $6,650 $2.08 $79,800 $25.00

Dec-2021 $6,783 $2.13 $81,396 $25.50

160 Communications Media

10,000 5.49% Dec-2014 Dec-2021 Current $18,517 $1.83 $222,200 $22.00 BY 2014 95% GU

Market$25.00 BY+E


- Tenant has a ROFO on space in Wing A of the building identified in Exhibit A of the lease.

- Tenant is due a 3-month rent abatement starting 12/1/16. Assuming a 1/1/2017 closing date, $37,875 will be remaining.

- Tenant has a $3.25/SF cap on Electricity costs.

Dec-2016 $18,938 $1.88 $227,250 $22.50

Dec-2017 $19,358 $1.92 $232,300 $23.00

Dec-2018 $19,779 $1.96 $237,350 $23.50

Oct-2019 $20,200 $2.00 $242,400 $24.00

Oct-2020 $20,621 $2.04 $247,450 $24.50

Oct-2021 $21,042 $2.08 $252,500 $25.00


RENT ROLL (CONTINUED)




TypeMarket


Comments/Options

170 Small Business Funding

5,226 2.84% Dec-2015 Apr-2021 Current $9,581 $1.83 $114,972 $22.00 BY 2016 95% GU

Market$25.00 BY+E


- Tenant has a ROFO with regard to Suite 175 (1,434,SF) on the first floor of the Building.

- Tenant has a 50% rent abatement through 9/30/16.

Dec-2016 $9,799 $1.88 $117,585 $22.50

Dec-2017 $10,017 $1.92 $120,198 $23.00

Dec-2018 $10,234 $1.96 $122,811 $23.50

Dec-2019 $10,452 $2.00 $125,424 $24.00

Dec-2020 $10,670 $2.04 $128,037 $24.50

175 Addis Intellectual Capital

1,434 0.78% Jan-2016 Dec-2018 Current $2,868 $2.00 $34,416 $24.00 BY 2016 95% GU

Market$25.00 BY+E

- Tenant has 1, 3-year renewal options at FMR with 6 months’ notice.Jan-2017 $2,928 $2.04 $35,133 $24.50

Jan-2018 $2,988 $2.08 $35,850 $25.00

180 The Pension Company

1,273 0.69% May-2016 Apr-2019 Current $2,626 $2.06 $31,507 $24.75 BY 2016 95% GU

Market$25.00 BY+E

- Tenant has a ROFO with regard to 1,023 SF on the first floor of the Building (Suite 185).May-2017 $2,679 $2.10 $32,143 $25.25

May-2018 $2,732 $2.15 $32,780 $25.75

185 Atlantic Funding LLC. 1,023 0.56% Jul-2016 Jun-2018 Current $2,131 $2.08 $25,575 $25.00 BY 2016 95% GU

Market$25.00 BY+E

- Either party has the right to terminate this lease effective 6/30/2017 with 90 days notice.Jul-2017 $2,174 $2.13 $26,087 $25.50

190 Triad Conference Center

631 0.34% Jan-2016 Dec-2030 Current $0 $0.00 $0 $0.00 None Market$0.00 FS

195 Triad Cafe 511 0.28% Aug-2000 Dec-2021 Current $1,022 $2.00 $12,264 $24.00 BY 2016 95% GU

Market$25.00 BY+EJan-2018 $1,043 $2.04 $12,520 $24.50

Jan-2019 $1,065 $2.08 $12,775 $25.00

Jan-2020 $1,086 $2.13 $13,031 $25.50

Jan-2021 $1,107 $2.17 $13,286 $26.00

195A Triad Fitness Center

2,662 1.45% Jan-2016 Dec-2030 Current $0 $0.00 $0 $0.00 None Market$0.00 FS

PROPERTY TENANCY 45





TypeMarket


Comments/Options

200 Tom James Company

4,249 2.31% Oct-2016 Apr-2024 Current $8,498 $2.00 $101,976 $24.00 BY 2017 85% GU

Market$25.00 BY+E


- Tenant has a 1-time right to terminate at the end of the 67th month with notice by the end of the 55th month and payment of a termination fee of Landlord’s unamortized costs.

Oct-2017 $8,675 $2.04 $104,101 $24.50

Oct-2018 $8,852 $2.08 $106,225 $25.00

Oct-2019 $9,029 $2.13 $108,350 $25.50

Oct-2020 $9,206 $2.17 $110,474 $26.00

Oct-2021 $9,383 $2.21 $112,599 $26.50

Oct-2022 $9,560 $2.25 $114,723 $27.00

Oct-2023 $9,737 $2.29 $116,848 $27.50

205 To Be Leased 10,610 5.76% Jan-2028 Dec-2034 Jan-2028 $0 $0.00 $0 $0.00 None Market$25.00 BY+E

250 ASI Business Solutions

14,419 7.83% Oct-2007 Jun-2018 Current $25,834 $1.79 $310,009 $21.50 Electricity Only

Market$25.00 BY+E

260 A.D. Marble 10,463 5.68% Oct-2016 Mar-2024 Current $20,054 $1.92 $240,649 $23.00 BY 2017 Market$25.00 BY+E

- Tenant is due a 6-month rent abatement spread over the first two years of their lease. Assuming a 1/1/2017 closing date, $102,014 in abatements will be remaining.

- Tenant has a 5% annual cap on Controllable Expenses (not modeled).


- Tenant has a ROFO with regard to that portion of the Building identified on Exhibit A of the Lease.

- Tenant has a one-time termination right effective the last day of the 66th month by giving 12-months’ notice and paying a termination fee of Landlord’s unamortized costs plus $22,233.87.

Oct-2017 $20,490 $1.96 $245,881 $23.50

Oct-2018 $20,926 $2.00 $251,112 $24.00

Oct-2019 $21,362 $2.04 $256,344 $24.50

Oct-2020 $21,798 $2.08 $261,575 $25.00

Oct-2021 $22,234 $2.13 $266,807 $25.50

Oct-2022 $22,670 $2.17 $272,038 $26.00

Oct-2023 $23,106 $2.21 $277,270 $26.50






TypeMarket


Comments/Options

270 Robson & Robson 3,132 1.70% May-2016 Jul-2021 Current $6,003 $1.92 $72,036 $23.00 BY 2015 Rob & TelX

Market$25.00 BY+E

- Tenant has 1, 5-year renewal options at FMR with 9 months’ notice.Oct-2016 $6,134 $1.96 $73,602 $23.50

Oct-2017 $6,264 $2.00 $75,168 $24.00

Oct-2018 $6,395 $2.04 $76,734 $24.50

Oct-2019 $6,525 $2.08 $78,300 $25.00

Oct-2020 $6,656 $2.13 $79,866 $25.50

275 Connelly, Grey & Wells

825 0.45% May-2016 Apr-2019 Current $1,650 $2.00 $19,800 $24.00 BY 2017 Market$25.00 BY+E

- Either party may terminate with 90 days notice effective 8/31/17, 5/31/18 or 8/31/18.

May-2017 $1,684 $2.04 $20,213 $24.50

May-2018 $1,719 $2.08 $20,625 $25.00

300 Merlino Design Partnership, Inc

4,462 2.42% Mar-2016 Jul-2019 Current $8,738 $1.96 $104,857 $23.50 BY 2016 95% GU

Market$25.00 BY+E

- Tenant has 1, 5-year renewal options at FMR with 12-15 months’ notice.Mar-2017 $8,924 $2.00 $107,088 $24.00

Mar-2018 $9,110 $2.04 $109,319 $24.50

Mar-2019 $9,296 $2.08 $111,550 $25.00

302 Redcross Associates

1,146 0.62% Feb-2015 Apr-2020 Current $2,074 $1.81 $24,891 $21.72 BY 2015 95% GU

Market$25.00 BY+EMay-2016 $2,119 $1.85 $25,430 $22.19

May-2017 $2,164 $1.89 $25,968 $22.66

May-2018 $2,209 $1.93 $26,507 $23.13

May-2019 $2,254 $1.97 $27,046 $23.60

320 Spring Mill Partners

2,785 1.51% Dec-2013 Jul-2019 Current $5,222 $1.88 $62,663 $22.50 BY 2014 100% GU

Market$25.00 BY+E


- Tenant has a 5% annual cap on Controllable Expenses (not modeled). Controllable Expenses are all expenses excluding RET, INS, Snow Removal and Utilities).

Jul-2016 $5,338 $1.92 $64,055 $23.00

Jul-2017 $5,454 $1.96 $65,448 $23.50

Jul-2018 $5,570 $2.00 $66,840 $24.00

PROPERTY TENANCY 47




TypeMarket


Comments/Options

350 Ratner Prestia PC 23,915 12.99% Sep-2016 Aug-2027 Current $46,335 $1.94 $556,024 $23.25 BY 2017 Market$25.00 BY+E

- Tenant is due a 24-month rent abatement spread over the first four years of their lease. Assuming a 1/1/2017 closing date, $693,860 in abatements will be remaining.


- Tenant has a ROFO with regard to Suites 300, 302 & 320.

- Tenant has a one-time right to terminate effective the end of the 96th month with 12-months’ notice and payment of a termination fee of Landlord’s unamortized costs.

Sep-2018 $47,332 $1.98 $567,981 $23.75

Sep-2019 $48,328 $2.02 $579,939 $24.25

Sep-2020 $49,325 $2.06 $591,896 $24.75

Sep-2021 $50,321 $2.10 $603,854 $25.25

Sep-2022 $51,318 $2.15 $615,811 $25.75

Sep-2023 $52,314 $2.19 $627,769 $26.25

Sep-2024 $53,311 $2.23 $639,726 $26.75

Sep-2025 $54,307 $2.27 $651,684 $27.25

Sep-2026 $55,303 $2.31 $663,641 $27.75

370 Telerx Marketing, Inc. 15,782 8.57% May-2016 Nov-2021 Current $31,564 $2.00 $378,768 $24.00 BY 2015 Rob & TelX

Market$25.00 BY+E

- Tenant has 2, 5-year renewal options at 95% of FMR with 9 months’ notice.


- Tenant has a 4% annual cap on Controllable Expenses (not modeled).

- Tenant has a one-time right to terminate effective the end of the 60th month with 12-months’ notice and paying a termination fee of Landlord’s unamortized costs plus $39,158.17.

Jun-2017 $32,222 $2.04 $386,659 $24.50

Jun-2018 $32,879 $2.08 $394,550 $25.00

Jun-2019 $33,537 $2.13 $402,441 $25.50

Jun-2020 $34,194 $2.17 $410,332 $26.00

Jun-2021 $34,852 $2.21 $418,223 $26.50






TypeMarket


Comments/Options

400 Liberty Mutual 42,418 23.04% Aug-2016 Jun-2022 Current $84,306 $1.99 $1,011,669 $23.85 BY 2017 Market$25.00 BY+E

- Tenant has an 11-month rent abatement. Assuming a 1/1/17 closing date, $505,835 will remain.

- Tenant has 1, 5-year renewal at 95% of FMR with 1-year’s notice.

- Tenant may terminate this lease eff. the last day of the 47th month with 12 mos. notice and a termination fee of $1,028,958.16.

- Tenant has a ROFR on any space on the fourth floor.

- S&P: A, Stable.

Jul-2018 $86,073 $2.03 $1,032,878 $24.35

Jul-2019 $87,841 $2.07 $1,054,087 $24.85

Jul-2020 $89,608 $2.11 $1,075,296 $25.35

Jul-2021 $91,375 $2.15 $1,096,505 $25.85

410 Sizmek Technologies, Inc.

10,144 5.51% Oct-2016 Apr-2022 Current $21,133 $2.08 $253,600 $25.00 BY 2017 Market$25.00 BY+E


- Provided that Liberty Mutual does not require this space for expansion purposes, Tenant shall have 1, 5-year renewal at 95% of FMR with 6 months’ notice.

- Tenant has a 4% cap on Controllable Expenses (not modeled).

Oct-2017 $21,556 $2.13 $258,672 $25.50

Oct-2018 $21,979 $2.17 $263,744 $26.00

Oct-2019 $22,401 $2.21 $268,816 $26.50

Oct-2020 $22,824 $2.25 $273,888 $27.00

Oct-2021 $23,247 $2.29 $278,960 $27.50

TOTALS / AVERAGES 184,118 $331,860 $1.91 $3,982,316 $22.95

OCCUPIED SqFt 173,508 94.2% WEIGHTED-AVERAGE LEASE TERM REMAINING: 5.67 Years

VACANT SqFt 10,610 5.8% WEIGHTED-AVERAGE LEASE TERM LAPSED: 1.51 Years

TOTAL SqFt 184,118 100.0% WEIGHTED-AVERAGE LEASE TERM FROM INCEPTION: 7.18 Years


PROPERTY TENANCY 49

PRO

PER

TY

TEN

AN

CY

TENANT PROFILES

LIBERTY MUTUAL

Suite: 400

Square-Feet: 42,418

Expiration: Jun-2022

Ratings: S&P: A | Moody’s: A2

In business since 1912, and headquartered in Boston, Mass., today Liberty

Mutual Insurance Company is a diversified insurer with operations in

30 countries and economies around the world. The company is the fifth

largest property and casualty insurer in the U.S. based on 2015 direct

written premium data as reported by the National Association of Insurance

Commissioners. Liberty Mutual is ranked 73rd on the Fortune 100 list of

largest corporations in the U.S. based on 2015 revenue. As of December

31, 2015, the company had $121.7 billion in consolidated assets, $102.5

billion in consolidated liabilities, and $37.6 billion in annual consolidated

revenue.

Liberty employs more than 50,000 people in over 800 offices throughout

the world, and they offer a wide range of insurance products and services,

including personal automobile, homeowners, accident & health, commercial

automobile, general liability, property, surety, workers compensation, group

disability, group life, specialty lines, reinsurance, individual life and annuity

products.

http://libertymutual.com

LOCATION: Suite 400

CURRENT TERM: August 1, 2016 - June 20, 2022

ORIGINAL LEASE: Dated February 1, 2016

SQUARE FEET: 42,418 SF

BASE RENT:

BEGIN END ANNUAL $/PSF MONTHLY BASE

8/1/16 6/30/18 $23.85 $84,305.787/1/18 6/30/19 $24.35 $86,073.197/1/19 6/30/20 $24.85 $87,840.617/1/20 6/30/21 $25.35 $89,608.037/1/21 6/30/22 $25.85 $91,375.44

Tenant has their Base Rent abated for the first 11months of the Term.

ESCALATION METHOD: 2017 Base Year. Management fees not to exceed 3%. Expenses may be grossed-up to 100% occupancy.

PRO-RATA SHARE: 24.08% (42,418 SF / 176,156 SF)

RENEWAL OPTION:

Tenant has one five-year renewal option at 95% of Fair Market Rent and a 2023 Base Year and $5/SF in TI. The renewal option may be exercised with one year’s written notice.

TERMINATION OPTION:

Tenant shall have the option to terminate this lease effective the last day of the 47th month of the Term by giving notice no later than the 35th month of the Term and payment of an Early Termination Payment of $1,028,958.16.

RIGHT OF FIRST REFUSUAL:

Subject to the rights of any existing tenants, Tenant has a Right of First Refusal on any third party offer Landlord intends to accept for space on the fourth (4th) floor of the Building.


TENANT PROFILES (CONTINUED)

RATNER PRESTIA, PC

Suite: 350

Square-Feet: 23,915

Expiration: AUG-2027

RatnerPrestia is a law firm expert in all things IP. The Firm handles

procurement, enforcement, licensing, commercialization, global strategic IP

planning, and all related business aspects of IP. The Firm has attorneys

experienced and successful in all relevant U.S. and German agencies and

tribunals, including the U.S. Patent and Trademark Office, The German

Patent Office, The European Patent Office, The U.S. International Trade

Commission and Federal Courts, both trial and appellate, in both the U.S.

and Germany. With clients based around the world, RP understands that

IP is global.

http://ratnerprestia.com/

LOCATION: Suite 350

CURRENT TERM: September 1, 2016 – August 31, 2027

ORIGINAL LEASE: Dated March 11, 2016


BASE RENT:


9/1/16 8/31/18 $23.25 $ 46,335.31*9/1/18 8/31/19 $23.75 $ 47,331.77 9/1/19 8/31/20 $24.25 $ 48,328.239/1/20 8/31/21 $24.75 $ 49,324.699/1/21 8/31/22 $25.25 $ 50,321.159/1/22 8/31/23 $25.75 $ 51,317.609/1/23 8/31/24 $26.25 $ 52,314.069/1/24 8/31/25 $26.75 $ 53,310.529/1/25 8/31/26 $27.25 $ 54,306.989/1/26 8/31/27 $27.75 $ 55,303.43

Tenant has a 100% rent abatement for months 1-6, 13-18, 25-27 and 37-39. Tenant also only pays rent on 20,802 SF for months 7-12.

ESCALATION METHOD: 2017 Base Year. Management fees not to exceed 3%. Expenses may be grossed-up to 100% occupancy.

PRO-RATA SHARE: 13.16% (23,915 SF/181,738 SF)

RENEWAL OPTION:Tenant has two, five-year renewal options at the then current Market Rent. Renewal options may be exercised with 12-months written notice.

TERMINATION OPTION:

Tenant has the one-time right to terminate this lease effective upon the expiration of the 96th month of the Term with twelve months written notice and payment of a termination fee of Landlord’s unamortized costs.

RIGHT OF FIRST OFFER:Subject to the rights of other tenants, Tenant has a ROFO on Suites 300, 302 and 320.

PROPERTY TENANCY 53


TELERX

Suite: 370

Square-Feet: 15,782

Expiration: Nov-2021

Telerx is an industry-leading business process outsourcer specializing in the

multi-channel engagement of consumers, patients, healthcare professionals,

and enterprise personnel via a network of global contact centers.

Their unique customer-centric approach has made them the partner-of-choice for some of the world’s most trusted brands. For more than 30 years, they have been servicing Fortune 500 consumer goods and life sciences companies. Telerx supports clients 24/7 in over 100 countries with over 30 languages. With a strategic focus on innovation and regulatory compliance, Telerx handles more than 35 million interactions per year helping our clients build and protect their brands while maximizing productivity and cost efficiencies. Telerx is a subsidiary of Merck & Co., Inc.

http://www.telerx.com/

LOCATION: Suite 370

CURRENT TERM: May 18, 2015 – November 30, 2021

ORIGINAL LEASE: Dated February 6, 2015


BASE RENT:


6/1/15 5/31/17 $24.00 $31,564.006/1/17 5/31/18 $24.50 $32,221.586/1/18 5/31/19 $25.00 $32,879.176/1/19 5/31/20 $25.50 $33,536.756/1/20 5/31/21 $26.00 $34,194.336/1/21 11/30/21 $26.50 $34,851.92

ESCALATION METHOD:

2015 Base Year. Management fees not to exceed 3%. Expenses may be grossed-up to 95% occupancy. Tenant has a 4% annual, cumulative cap on Controllable Operating Expenses (all expenses other than real estate taxes, snow removal, insurance, utilities relating to the common area of the Building and costs of contracts and personnel subject to collective bargaining).


RENEWAL OPTION:Tenant has two five-year renewal options at 95% of Fair Market Rent. The renewal options may be exercised with nine months’ written notice.

RIGHT OF FIRST OFFER:Subject to the rights of any existing tenants, Tenant has a Right of First Offer on space on the third floor of the Building, as identified in Exhibit B of the Lease.

TERMINATION OPTION:

Tenant shall have the one-time right to terminate this lease effective the last day of the 60th month of the Term by giving twelve months’ notice and paying a Termination Fee of Landlord’s unamortized costs plus $39,158.17.

GENERATOR:Tenant shall have the right, at its sole cost and expense, to install and maintain an emergency generator to service the Premises.


PROPERTY TENANCY 55


A.D. MARBLE & COMPANY

Suite: 260

Square-Feet: 10,463

Expiration: MAR-2024

A.D. Marble & Co. provides business consulting services on a contract basis

focusing on environmental, cultural and engineering services. Founded in

1985, A.D. Marble has six office locations throughout the Mid-Atlantic

region to serve their current and potential clients.

http://admarble.com/

LOCATION: Suite 260

CURRENT TERM: October 1, 2016 – March 31, 2024

ORIGINAL LEASE: Dated


BASE RENT:


10/1/16 9/30/17 $23.00 $20,054.0810/1/17 9/30/18 $23.50 $20,490.0410/1/18 9/30/19 $24.00 $20,926.0010/1/19 9/30/20 $24.50 $21,361.9610/1/20 9/30/21 $25.00 $22,797.9210/1/21 9/30/22 $25.50 $22,233.8710/1/22 9/30/23 $26.00 $22,669.8310/1/23 9/30/24 $26.50 $223,105.79

Tenant shall have their Base Rent abated for months 3-4 and months 15-18 of the Term.

ESCALATION METHOD:



RENEWAL OPTION:Tenant has two five-year renewal options at 95% of Fair Market Rent. The renewal options may be exercised with nine months’ written notice.

RIGHT OF FIRST OFFER:Subject to the rights of any existing tenants, Tenant has a Right of First Offer on space on the second floor of the Building, as identified in Exhibit A of the Lease.

TERMINATION OPTION:

Tenant shall have the one-time right to terminate this lease effective the last day of the 66th month of the Term by giving twelve months’ notice and paying a Termination Fee of Landlord’s unamortized costs plus $22,233.87.



ASI BUSINESS SOLUTIONS, INC

Suite: 250

Square-Feet: 14,419

Expiration: JUN-2017

Since 1990, ASI Business Solutions, Inc. has been designing and delivering

cutting-edge solutions focused solely on the unique needs of pharmaceutical

organizations. ASI understands the pharmaceutical industry and is passionate

about helping manage the industry data, the work flow in a multi-vendor

environment, and the trends affecting how pharmaceutical companies

operate now and in the future.

http://www.asi-solutions.com/

LOCATION: Suite 250

CURRENT TERM: October 1, 2007 – June 30, 2018

ORIGINAL LEASE:

Dated June 29, 2007;First Amendment, dated October 30, 2007;Second Amendment, dated June 30, 2008;Third Amendment, dated February 26, 2014;Fourth Amendment, dated December 2, 2014;Fifth Amendment, dated November 30, 2015;Sixth Amendment, dated August 18, 2016


BASE RENT:BEGIN END ANNUAL $/PSF MONTHLY BASE

7/1/16 6/30/18 $21.50 $25,834.04

ESCALATION METHOD: Electric only (tenant and common areas).

PRO-RATA SHARE: N/A

RENEWAL OPTION: Tenant has one three-year renewal option at Fair Market Rent with 12 – 15 months’ notice.

PROPERTY TENANCY 57

LOCATION: Suite 150 & 160

CURRENT TERM: November 14, 2014 – December 31, 2021

ORIGINAL LEASE:Dated July 29, 2014;First Amendment, dated August 2, 2016

SQUARE FEET:Current Premises: 10,100 SFAdditional Space: 3,192 SFTotal: 13,292 SF

BASE RENT:

Additional Premises: 3,192 SFBEGIN END ANNUAL $/PSF MONTHLY BASE

12/1/16 11/30/17 $23.00 $6,118.0012/1/17 11/30/18 $23.50 $6,251.0012/1/18 11/30/19 $24.00 $6,384.0012/1/19 11/30/20 $24.50 $6,517.0012/1/20 11/30/21 $25.00 $6,650.0012/1/21 12/31/21 $25.50 $6,783.00

Tenant shall have Base Rent abated for the first five months of the Term.

Current Premises: 10,100 SF BEGIN END ANNUAL $/PSF MONTHLY BASE

12/1/15 11/30/16 $22.00 $18,516.6712/1/16 11/30/17 $22.50 $18,937.5012/1/17 11/30/18 $23.00 $19,385.3312/1/18 11/30/19 $23.50 $19,779.1710/1/19 9/30/20 $24.00 $20,200.0010/1/20 9/30/21 $24.50 $20,620.0010/1/21 12/31/21 $25.00 $21,041.67

Tenant shall have Base Rent abated for the Current Premises for first three months after the First Amendment Effective Date (12/1/16).

ESCALATION METHOD:

Current Premises: 2014 Base Year.Additional Premises: 2016 Base Year.Expenses may be grossed-up to 95% occupancy.

Tenant has a $3.25/SF cap on Electricity expense for the duration of the Lease Term.

PRO-RATA SHARE:

Current Premises: 5.73% (15,782 SF / 176,156 SF);Additional Premises: 1.81% (3,192 SF / 176,156 SF)

RENEWAL OPTION:

Tenant has two five-year renewal options at the then current Market Rent. The renewal options may be exercised with nine months’ written notice.

RIGHT OF FIRST OFFER:

Subject to the rights of any existing tenants, Tenant has a Right of First Offer on space on the first floor of the Building, as identified in Exhibit C of the First Amendment.

Communications Media, Inc

Suite: 150 & 160

Square-Feet: 13,292

Expiration: DEC-2021

Communications Media, Inc. is an ad agency that delivers healthcare

audiences for pharmaceutical brands. Well-known as a media planning and

buying organization for healthcare clients, sister agencies CMI Media, a

WPP company (NASDAQ: WPPGY, http://www.wpp.com), and Compas,

Inc. together form the indispensable strategic marketing partner to the world’s

game-changers in health, offering guidance at every level of marketing.

With continuous investment in the things that really matter, CMI and Compas

have achieved unsurpassed tenure of healthcare marketing talent, clients

and suppliers. CMI/Compas has offices in Philadelphia, PA; King of Prussia,

PA; Pennsauken, NJ; Parsippany, NJ; Chapel Hill, NC; and New York, NY.

http://www.cmimedia.com



SIZMEK TECHNOLOGIES, INC.

Suite: 410

Square-Feet: 10,114

Expiration: APR-2022

Sizmek Technologies, Inc. provides digital advertising management solutions.

With a single point of access to the best technology, data, and strategic

guidance—and the flexibility to choose solutions that fit their strategies—

more than 42,000 advertisers, agencies, publishers, and trading desks

create inspiring, seamless advertising campaigns that connect them to their

customers around the world easily and effectively. Open and independent,

Sizmek’s wide range of technology and data is bolstered by integrations

with more than 100 partners providing leading solutions for attribution, data

management, audience measurement, search engine marketing, creative

authoring, and more. Sizmek operates in more than 70 countries, with local

offices providing award-winning service throughout North America, EMEA,

LATAM, and APAC.

http:/www.sizmek.com

LOCATION: Suite 410

CURRENT TERM: October 1, 2016 – April 30, 2022

ORIGINAL LEASE: Dated August 1, 2016


BASE RENT:


10/1/16 9/30/17 $25.00 $21,133.3310/1/17 9/30/18 $25.50 $21,556.0010/1/18 9/30/19 $26.00 $21,978.6710/1/19 9/30/20 $26.50 $22,401.3310/1/20 9/30/21 $27.00 $22,824.0010/1/21 4/30/22 $27.50 $23,246.67

Tenant shall have Base Rent abated for the first seven months of the Term

ESCALATION METHOD:



RENEWAL OPTION:

Provided that Liberty Mutual does not need these Premises for expansion space, Tenant has one five-year renewal option at 95% of Fair Market Rent. The renewal options may be exercised with six months’ written notice.


PROPERTY TENANCY 59

CBRE, Inc. operates within a global family of companies with

many subsidiaries and/or related entities (each an “Affi liate”)

engaging in a broad range of commercial real estate businesses

including, but not limited to, brokerage services, property and

facilities management, valuation, investment fund management

and development. At times different Affi liates may represent

various clients with competing interests in the same transaction.

For example, this Memorandum may be received by our Affi liates,

including CBRE Investors, Inc. or Trammell Crow Company.

Those, or other, Affi liates may express an interest in the property

described in this Memorandum (the “Property”) may submit an

offer to purchase the Property and may be the successful bidder

for the Property. You hereby acknowledge that possibility and

agree that neither CBRE, Inc. nor any involved Affi liate will have

any obligation to disclose to you the involvement of any Affi liate

in the sale or purchase of the Property. In all instances, however,

CBRE, Inc. will act in the best interest of the client(s) it represents in

the transaction described in this Memorandum and will not act in

concert with or otherwise conduct its business in a way that benefi ts

any Affi liate to the detriment of any other offeror or prospective

offeror, but rather will conduct its business in a manner consistent

with the law and any fi duciary duties owed to the client(s) it

represents in the transaction described in this Memorandum.

This is a confi dential Memorandum intended solely for your

limited use and benefi t in determining whether you desire

to express further interest in the acquisition of the Property.

This Memorandum contains selected information pertaining to the

Property and does not purport to be a representation of the state of

affairs of the Property or the owner of the Property (the “Owner”),

to be all-inclusive or to contain all or part of the information which

prospective investors may require to evaluate a purchase of real

property. All fi nancial projections and information are provided for

general reference purposes only and are based on assumptions

relating to the general economy, market conditions, competition

and other factors beyond the control of the Owner and CBRE,

Inc. Therefore, all projections, assumptions and other information

provided and made herein are subject to material variation. All

references to acreages, square footages, and other measurements

are approximations. Additional information and an opportunity to

inspect the Property will be made available to interested and

qualifi ed prospective purchasers. In this Memorandum, certain

documents, including leases and other materials, are described

in summary form. These summaries do not purport to be complete

nor necessarily accurate descriptions of the full agreements

referenced. Interested parties are expected to review all such

summaries and other documents of whatever nature independently

and not rely on the contents of this Memorandum in any manner.

Neither the Owner or CBRE, Inc, nor any of their respective

directors, offi cers, Affi liates or representatives make any

representation or warranty, expressed or implied, as to the

accuracy or completeness of this Memorandum or any of its

contents, and no legal commitment or obligation shall arise by

reason of your receipt of this Memorandum or use of its contents;

and you are to rely solely on your investigations and inspections of

the Property in evaluating a possible purchase of the real property.

The Owner expressly reserved the right, at its sole discretion, to

reject any or all expressions of interest or offers to purchase the

Property, and/or to terminate discussions with any entity at any

time with or without notice which may arise as a result of review of

this Memorandum. The Owner shall have no legal commitment or

obligation to any entity reviewing this Memorandum or making an

offer to purchase the Property unless and until written agreement(s)

for the purchase of the Property have been fully executed,

delivered and approved by the Owner and any conditions to

the Owner’s obligations therein have been satisfi ed or waived.

By receipt of this Memorandum, you agree that this Memorandum

and its contents are of a confi dent nature, that you will hold and

treat it in the strictest confi dence and that you will not disclose this

Memorandum or any of its contents to any other entity without the

prior written authorization of the Owner or CBRE, Inc. You also

agree that you will not use this Memorandum or any of its contents

in any manner detrimental to the interest of the Owner or CBRE, Inc.

If after reviewing this Memorandum, you have no further interest

in purchasing the Property, kindly return this Memorandum to

CBRE, Inc.

© 2016 CBRE, Inc. The information contained in this document has been obtained from sources believed reliable. While CBRE, Inc. does not doubt its accuracy, CBRE, Inc. has not verified it and makes no guarantee, warranty or representation about it. It is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this transaction to you depends on tax and other factors which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs.

AFFILIATED BUSINESS DISCLOSURE AND CONFIDENTIALITY AGREEMENT

CAPITAL MARKETS CONTACTS Robert Fahey Executive Vice President T +1 610 251 5184 [email protected]

Jerome Kranzel Senior Vice President T +1 610 727 5889 [email protected]

Erin Hannan, MAI Associate T +1 610 251 5168 [email protected]

DEBT & STRUCTURED FINANCE

Steven Doherty Senior Vice President T +1 610 251 5175 [email protected]

Nick Harris Vice President T +1 610 251 5149 [email protected]

CBRE, Inc. operates within a global family of companies with

many subsidiaries and/or related entities (each an “Affi liate”)

engaging in a broad range of commercial real estate businesses

including, but not limited to, brokerage services, property and

facilities management, valuation, investment fund management

and development. At times different Affi liates may represent

various clients with competing interests in the same transaction.

For example, this Memorandum may be received by our Affi liates,

including CBRE Investors, Inc. or Trammell Crow Company.

Those, or other, Affi liates may express an interest in the property

described in this Memorandum (the “Property”) may submit an

offer to purchase the Property and may be the successful bidder

for the Property. You hereby acknowledge that possibility and

agree that neither CBRE, Inc. nor any involved Affi liate will have

any obligation to disclose to you the involvement of any Affi liate

in the sale or purchase of the Property. In all instances, however,

CBRE, Inc. will act in the best interest of the client(s) it represents in

the transaction described in this Memorandum and will not act in

concert with or otherwise conduct its business in a way that benefi ts

any Affi liate to the detriment of any other offeror or prospective

offeror, but rather will conduct its business in a manner consistent

with the law and any fi duciary duties owed to the client(s) it

represents in the transaction described in this Memorandum.

This is a confi dential Memorandum intended solely for your

limited use and benefi t in determining whether you desire

to express further interest in the acquisition of the Property.

This Memorandum contains selected information pertaining to the

Property and does not purport to be a representation of the state of

affairs of the Property or the owner of the Property (the “Owner”),

to be all-inclusive or to contain all or part of the information which

prospective investors may require to evaluate a purchase of real

property. All fi nancial projections and information are provided for

general reference purposes only and are based on assumptions

relating to the general economy, market conditions, competition

and other factors beyond the control of the Owner and CBRE,

Inc. Therefore, all projections, assumptions and other information

provided and made herein are subject to material variation. All

references to acreages, square footages, and other measurements

are approximations. Additional information and an opportunity to

inspect the Property will be made available to interested and

qualifi ed prospective purchasers. In this Memorandum, certain

documents, including leases and other materials, are described

in summary form. These summaries do not purport to be complete

nor necessarily accurate descriptions of the full agreements

referenced. Interested parties are expected to review all such

summaries and other documents of whatever nature independently

and not rely on the contents of this Memorandum in any manner.

Neither the Owner or CBRE, Inc, nor any of their respective

directors, offi cers, Affi liates or representatives make any

representation or warranty, expressed or implied, as to the

accuracy or completeness of this Memorandum or any of its

contents, and no legal commitment or obligation shall arise by

reason of your receipt of this Memorandum or use of its contents;

and you are to rely solely on your investigations and inspections of

the Property in evaluating a possible purchase of the real property.

The Owner expressly reserved the right, at its sole discretion, to

reject any or all expressions of interest or offers to purchase the

Property, and/or to terminate discussions with any entity at any

time with or without notice which may arise as a result of review of

this Memorandum. The Owner shall have no legal commitment or

obligation to any entity reviewing this Memorandum or making an

offer to purchase the Property unless and until written agreement(s)

for the purchase of the Property have been fully executed,

delivered and approved by the Owner and any conditions to

the Owner’s obligations therein have been satisfi ed or waived.

By receipt of this Memorandum, you agree that this Memorandum

and its contents are of a confi dent nature, that you will hold and

treat it in the strictest confi dence and that you will not disclose this

Memorandum or any of its contents to any other entity without the

prior written authorization of the Owner or CBRE, Inc. You also

agree that you will not use this Memorandum or any of its contents

in any manner detrimental to the interest of the Owner or CBRE, Inc.

If after reviewing this Memorandum, you have no further interest

in purchasing the Property, kindly return this Memorandum to

CBRE, Inc.

© 2016 CBRE, Inc. The information contained in this document has been obtained from sources believed reliable. While CBRE, Inc. does not doubt its accuracy, CBRE, Inc. has not verified it and makes no guarantee, warranty or representation about it. It is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this transaction to you depends on tax and other factors which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs.

AFFILIATED BUSINESS DISCLOSURE AND CONFIDENTIALITY AGREEMENT

CBRE, Inc. 1200 Liberty Ridge Drive, Suite 320 Wayne, PA 19087

Licensed Real Estate Broker

www.cbre-triad2200renaissance.com

2200 renaissancezamirequities.com/wp-content/uploads/2017/04/triad-offering-mem… · located in...

Documents