O F F E R I N G
M E M O R A N D U M
M O R R I SVI LLE , N O R TH C A R O LI N A
CONFIDENTIALITY AGREEMENT DISCLOSURES, NOTICES AND CONFIDENTIALITY CBRE, Inc. operates within a global family of companies with many subsidiaries and/or related entities (each an “Affiliate”) 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 Affiliates may represent various clients with competing interests in the same transaction. For example, this Memorandum may be received by our Affiliates, including CBRE Investors, Inc. or Trammell Crow Company. Those, or other, Affiliates 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 Affiliate will have any obligation to disclose to you the involvement of any Affiliate 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
EXCLUSIVE MARKETING AGENTS BEN KILGORE
Executive Vice President CBRE | Capital Markets 4208 Six Forks Road Suite 1220 Raleigh, NC 27609 919.831.8191 ben.kilgore@cbre.com
PATRICK GILDEA
First Vice President CBRE | Capital Markets 201 South College Street Suite 1700 Charlotte, NC 28244 704.331.1217 patrick.gildea@cbre.com
transaction described in this Memorandum and will not act in concert with or otherwise conduct its business in a way that
MICHAEL D BLUNT
benefits any Affiliate to the detriment of any other offeror or prospective offeror, but rather will conduct its business in a
RYAN CLUTTER
manner consistent with the law and any fiduciary duties owed to the client(s) it represents in the transaction described in
Executive Vice President CBRE | Capital Markets 750 9th Street NW Suite 900 Washington, DC 20001 202.585.5643 ryan.clutter@cbre.com
this Memorandum. This is a confidential Memorandum intended solely for your limited use and benefit 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 financial projections and information are provided for general reference purposes
Senior Vice President CBRE | Capital Markets 750 9th Street, NW Suite 900 Washington, DC 20001 202.585.5672 michael.blunt@cbre.com
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 qualified 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, officers, Affiliates or representatives make any representation or warranty, expressed or i plied, 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
FINANCING CONTACTS HAL KEMPSON First Vice President CBRE | Capital Markets 201 South College Street Suite 1700 Charlotte, NC 28244 704.927.1453 hal.kempson@cbre.com
COMPIE NEWMAN Senior Vice President CBRE | Capital Markets 201 South College Street Suite 1700 Charlotte, NC 28244 704.927.1454 compie.newman@cbre.com
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 satisfied or waived. By receipt of this Memorandum, you agree that this Memorandum and its contents are of a confidential nature, that you will hold and treat it in the strictest confidence 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. Purchaser acknowledges that CBRE is acting on behalf of Owner as exclusive broker in connection with the sale, and also acknowledges that CBRE is not the agent of the Purchaser. Purchaser agrees to pay all brokerage commissions, finder’s fees, and other compensation to which any broker (except CBRE) finder or other person may be entitled in connection with the sale of the Property if such claim or claims for commissions, fees or other compensation are based in whole or in part on dealings with Purchaser or any of its representatives; and Purchaser agrees to indemnify and hold harmless CBRE and Owner, their respective affiliates, successors, and assigns, employees, officers, and directors against and from any loss, liability or expense, including reasonable attorney’s fees arising out of any claim or claims by any broker, finder or similar agent for commissions, fees, or other compensation for bringing about any sale of the property to Purchaser if such claim or claims are based in whole or in part on dealings with Purchaser or any of its representatives.
II
CBRE | RALEIGH 4208 Six Forks Road Suite 1220 Raleigh, NC 27609 919.831.8200 DISCLAIMER © 2013 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.
TABLE OF CONTENTS INVESTMENT SUMMARY.........................................01 PROPERTY DESCRIPTIONS.................................... 07 TENANT SUMMARY.................................................. 13 FINANCIAL ANALYSIS.............................................. 23 AREA OVERVIEW...................................................... 29 THE MARKET............................................................ 37 PHOTO GALLERY..................................................... 45
IV
Investment summary V
The Offering
CBRE, on behalf of ownership, is pleased to exclusively offer an opportunity to purchase RDU Center III (the “Property”), consisting of one four-story Class A office building located on the border of the Cary and RTP/I-40 submarkets of the Raleigh-Durham MSA directly adjacent to the Raleigh Durham International Airport (RDU). The building totals 114,518 square feet of net rentable area and is Silver LEED Certified (Core and Shell). Currently 90.94% occupied by two publicly traded companies, Extreme Networks (EXTR) and M*Modal (MODL), the building was constructed in 2008 and is situated on a 7.207-acre parcel. The Property is being offered on an “all cash” basis under the following terms and conditions:
1
Asking Price:
Unpriced
Year One Projected NOI:
$1,457,110
Projected Five Year Average NOI:
$1,876,998
Projected Ten Year Average NOI:
$2,134,261
Five Year Average Operating Cash Flow:
$8,791,896
Ten Year Average Operating Cash Flow:
$1,823,883
CENTRAL LOCATION WITH ACCESS TO I-40, I -440 & I-540 RDU Center III enjoys a centralized Morrisville location with direct access to I-40, the main thoroughfare of the Triangle, providing access to Downtown Raleigh or Durham in less than twenty minutes. I-440 and the recently completed section of I-540 are all within a few miles of RDU Center III providing easy access to RaleighDurham’s neighborhoods in all directions. In addition, the entrance to the property off of Aviation Parkway offers tenants easy access to the property at all times of the day and direct access to RDU International Airport, only 1 mile to the north.
ASSET PROFILE Property
RDU Center III
Address
2121 RDU Center Drive, Morrisville, NC 27560
Total Size
114,518 SF - net rentable area
Site Acreage
7.207 Acres
No. of Stories
Four stories with underground parking
Parking
378 parking spaces
Year Completed
2008
% Leased
90.94%
STABLE OPPORTUNITY WITH STRONG TENANCY RDU Center III is 90.94% leased to two impressive, publicly traded technology companies Extreme Networks (EXTR), an information technology company that designs, builds, and installs Ethernet computer networks for enterprise and carrier grade networks, and M*Modal (MODL), the market leader in advanced speech understanding technology. Both tenants’ have invested heavily in their space alternations outside of the dollars committed by the landlord. Extreme Networks in particular has invested over $12,000,000 in their 80,000 square feet. Both tenants' leases expire in 2020.
ACCESS TO EXCEPTIONAL AMENITY BASE RDU III is well supported by numerous area amenities as it is within close proximity to many restaurants, parks, retail shops, restaurants, hotels, upscale residential neighborhoods, and recreational facilities. In particular, RDU III is just a four minute drive from Lake Crabtree Country Park. The park is located adjacent to a 520-acre flood control lake, and visitors can enjoy outdoor opportunities including mountain biking, fishing, boating, picnicking, hiking and nature study. Also within a short drive is the Brier Creek area which offers over 30 restaurant, lodging, shopping, single- and multi-family housing option, as well as the Brier Creek Country Club.
rdu center iii
HIGH QUALITY OFFICE BUILDING Completed by local developer Beacon Ventures in 2008, the Class A Silver LEED Certified (Core and Shell) multi-tenant office building is well constructed with aesthetically pleasing architecture, and is surrounded by mature, wellmaintained and attractive landscaping. The asset’s custom design, high quality, infrastructure and functionality ensure its place as the ‘best in class” Class A office building in the RTP/I-40 submarket.
2
RALEIGH REMAINS AT THE TOP OF MANY INVESTORS’ WISH LISTS Due largely to the region’s strong growth, educated workforce, pro-business environment, and a dynamic economy Raleigh is at the top of many investors wish lists. RDU Center III is an ideal investment for both firms that already own assets in the market, and those seeking to make their first acquisition. The town of Morrisville, home to RDU Center III, is home to a well-educated and affluent population with 63.4% holding a Bachelor’s degree or higher and boasting an average housing value of $287,397. Comprised of beautiful neighborhoods, parks, and highly ranked schools. This prosperous community enjoys a strategic location adjacent to both the Research Triangle Park and the equally impressive town of Cary. TRIANGLE REGION’S CONTINUED SUCCESS Key factors present in the Triangle region that provide a competitive advantage for businesses in the area include: high labor productivity, a modest cost-ofliving, affordable higher education expenses, and an excellent primary education system. While the Triangle region has always been known for its resilient economy, the area has outperformed most of the country throughout the recent recession. All indicators point to the recession as being the worst economy in the U.S. in more than 50 years. Evidence of the Triangle’s resiliency is that since late 2009 there have been more than 7,000 jobs announced in the region. While most markets nationwide have been losing jobs at a rapid rate, the Raleigh-Durham area has been a bright spot in the national economy with the aforementioned 7,000 plus jobs and more than $700 million in capital investments in the area over the past 12 to 18 months. In addition to the jobs which have been announced, regional economic developers are now working with 58 companies who seek a Triangle location for either an expansion or a new operation. These companies represent more than $2.7 billion in investment and 13,000 jobs. A list of the recently announced Triangle area companies looking to add a minimum of 100 jobs are noted in the table. GROWING URBAN REGION Raleigh-Durham is among the fastest growing metropolitan regions in the United States having experienced 29% growth since 1990 – ranking fifth among major metropolitan regions. Perhaps the greatest celebration of this growth is the preservation of a great quality of life for families relocating to the area. RaleighDurham’s national status as a technology employment center continues to spawn in-migration adding daily to a current population of over 1,725,000.
3
Jobs Announced
Industry
MetLife
1,300
Insurance
IBM
600
Information Technology
Cree, Inc.
575
Manufacturing / LED Lights
Red Hat
540
Software
IEM
430
Information Technology
Wal-Mart
430
Retail
North American Aerodynamics, Inc.
375
Manufacturing / Parachutes
AW North Carolina
360
Manufacturing / Auto Parts
United Therapeutics
350
Pharmaceuticals
Citrix
337
Information Technology
Deutsche Bank Global Technology
319
Technology / Banking
Salix Pharmaceuticals
300
Pharmaceuticals
EMC Corporation
290
Software
Talecris Biotherapeutics
259
Biotechnology
QVC, Inc.
200
TV Network / Retailer
ACW Technology
155
Manufacturer / Radio Devices
Eaton Corp.
120
Manufacturer / Auto Parts
Palziv North America
100
Manufacturer / Plastics
Novartis
100
Pharmaceuticals
Company
BRIER CREEK COUNTRY CLUB
BRIER CREEK RETAIL/OFFICE
N
RALEIGH-DURHAM INTERNATIONAL AIRPORT (RDU)
RDU CENTER III
WAY AV IATI O N PA R K
GATEWAY CENTRE OFFICE PARK
4
5
property description 6
ADDRESS 2121 RDU Center Drive, Morrisville, Wake County, NC 27560 BUILDING SIZE 113,192 SF - Gross Building Area 114,518 SF – Net Rentable Area TAX PARCEL Pin # 0368654 LAND AREA 7.207 acres
7
YEAR CONSTRUCTED 2008
FRAMING Steel frame
BUILDING HEIGHT Four stories with underground parking
EXTERIOR WALLS Pre-cast concrete
BUILDING ACCREDITATION Silver LEED Certified Core & Shell
INTERIOR WALLS Metal stud framing; mahogany paneling in lobby; painted drywall in M*Modal space
FOUNDATION/SUBSTRUCTURE Concrete slab
DOORS Aluminum and glass doors at front of subject property and solidcore wood throughout interior including mahogany doors on ground floor. FLOOR COVERINGS Mixture of carpet, vinyl tile, and rubber floor tiles in M*Modal Services space; Ceramic tile in common areas restrooms. Carpet in hallways; Marble tile in lobby; Concrete in shell space.
CEILINGS Painted drywall, acoustical tiles, or exposed metal in M*Modal Services space; Painted drywall in common areas; Coffered ceilings in lobby; Exposed metal in shell spaces. WINDOWS Tempered glass in aluminum frames
LIGHTING Strip or recessed fluorescent in all common areas and shell space. Track lighting and strip fluorescent lights in M*Modal Services area. ROOF SYSTEM Flat single ply membrane roofing system
ELEVATORS Two passenger elevators; one freight elevator SAFETY & SECURITY 100% sprinklered; 24 hour controlled key access PARKING 378 lined, paved parking spaces
HVAC Zoned VAV units on each floor
8
site plan
RDU Center III 114,518 SF – Net Rentable Area
RDU
9
e
r Driv
Cente
DOWNTOWN RALEIGH
WAKE STONE CORPORATION
HARRISON SQUARE 134,000 SF RETAIL ANCHOR: CAROLINA POTTERY
N
THE ARBORETUM 92,000 SF RETAIL ANCHOR: RUTH’S CHRIS
UMSTEAD STATE PARK
LAKE CRABTREE
rdu center iii HILTON GARDEN INN
AV IAT IO
N PA R K W AY
10
11
tenant summary 12
SF Leased
85,368 SF
Lease Expiration
October 2020
Suite Occupied
100, 300, 400
Type
Public; NASDAQ: EXTR
Website
www.extremenetworks.com
EXTREME NETWORKS, INC. Headquartered in San Jose, CA, Extreme Network was founded in 1996 and provides high performance, open networking innovations for enterprises, hosting companies and Internet Exchange Points. Extreme Networks’ open approach to networking benefits from their advanced modular network operating system, ExtremeXOS®, promoting automation, availability, customization through open APIs, and support of open standards. Extreme Networks’ Open Fabric data center and campus network solutions offer leading performance, resiliency, energy efficiency over wired and wireless. The network is well suited for converged applications, IP video, voice and storage in addition to High Performance Compute (HPC) and Big Data. In 2012, Extreme Networks was awarded CRN’s Innovator of the Year for BlackDiamond X8, its flagship platform. In September 2013, Extreme Networks announced that it would acquire Enterasys Networks in a deal valued at $180 million. Enterasys' key customers include the Philadelphia Eagles, which used Enterasys to network their stadium, and healthcare systems such as the Henry Ford Health System and companies such as Comcast and ING.
13
SF Leased
18,775 SF
Lease Expiration
August 2020
Suite Occupied
200
Type
Public; NASDAQ: MODL
Website
www.mmodal.com
M*MODAL SERVICES, LTD. M*Modal offers a new breed of speech understanding applications. Their hosted conversational documentation services help healthcare providers capture clinical information from dictation and transform it directly into accessible, retrievable, and shareable electronic files. M*Modal serves hospitals, medical clinics, and medical transcription companies representing a transaction volume of more than 400 million dictation minutes a year. Specialties include: Speech recognition, speech understanding, voice recognition, clinical documentation, healthcare information, HIT, Collaborative Intelligence, health speech recognition, transcription services, coding services M*Modal is headquartered in Franklin, TN.
14
First floor
EXTREME NETWORKS Suite 100 27,068 RSF Exp 10/31/2020
15
second floor M*MODAL Suite 200 18,775 RSF Exp 8/31/20
UP
UP
VACANT Suite 250 10,375 RSF
16
third floor
STAIR #2
ELEVATOR LOBBY
SERVICE/ VESTIBULE
WOMEN MEN UP
STAIR #1
UP
ELEC./ TELE. JANITOR
RECYCLE
STORAGE
EXTREME NETWORKS Suite 300 29,150 RSF Exp 10/31/20
17
fourth floor
STAIR #2 ELEVATOR LOBBY
SERVICE/ VESTIBULE
WOMEN MEN
UP
ELEC./ TELE. JANITOR
UP
STAIR #1
RECYCLE
STORAGE
EXTREME NETWORKS Suite 400 29,150 RSF Exp 10/31/20
18
rent roll Pro-rata
Feet
of Building
Begin
End
Begin
Monthly
Annually
PSF
Recovery Type
85,368
74.55%
Jan-2013
Oct-2020
Current
$148,683
$1,784,191
$20.90
May-2014
$151,884
$1,822,607
$21.35
May-2015
$155,156
$1,861,876
$21.81
2013 Base Stop + Electricity
May-2016
$158,500
$1,901,999
$22.28
May-2017
$161,844
$1,942,122
$22.75
Tenant's rent is net of electricity; space is separately metered and Tenant is billed back for their electricity for the 3rd and 4th floors. Tenant pays their electricity directly to electricity company for 1st floor space. 2, 60 month renewal options, base rent is 2% annual escalation over prior year's rent; 9 months notice. Ongoing ROFR to lease space on the 2nd and 3rd floors. Seller will credit buyer any outstanding landlord lease obligation for tenant at closing (Landlord's maximum obligation: 6/1/13 - 5/31/14: $50,705.62/month; 6/1/14 -7/31/14: $51,608.35/month).
2013 Base Stop
2, 60 month renewal options, base rent is 3% annual escalation over prior year's rent; 180 days notice. Ongoing ROFR to lease space on the 2nd floor.
Suite
Lease Term
Rental Increases
Square
Rental Rates Comments/Options
EXTREME NETWORKS, INC. 100, 300, 400
May-2018
$165,329
$1,983,952
$23.24
May-2019
$168,886
$2,026,636
$23.74
May-2020
$172,515
$2,070,174
$24.25
Current
$35,203
$422,438
$22.50
Sep-2014
$35,203
$422,438
$22.50
Sep-2015
$36,267
$435,205
$23.18
Sep-2016
$37,362
$448,347
$23.88
Sep-2017
$38,489
$461,865
$24.60
MODAL SERVICES, LTD. 200
18,775
16.39%
AVAILABLE
19
250
10,375
9.06%
Total Occupied
104,143
90.94%
Total Available
10,375
9.06%
Total
114,518
100.00%
Oct-2012
Aug-2020
Sep-2018
$39,647
$475,759
$25.34
Sep-2019
$40,836
$490,028
$26.10
20
21
financial analysis 22
METHOD OF ANALYSIS The following cash flow projection is based upon current lease information and assumptions regarding future occupancy, operating expenses, and revenues. The analysis period begins as of February 1, 2014. Both contractual lease terms for existing leases and anticipated lease terms for future lease contracts are projected over a ten-year analysis period. For all current vacancies, or upon expiration of a lease, a market rent is assigned to the space upon commencement of a new lease. The market rent is established for 2014 and increased by the rental growth rate on an annual basis during the analysis period. The assumptions for market rents, tenant improvements, and leasing commissions are based upon current market activity and lease transactions completed at the property and in the submarket. The attached cash flow projections have been prepared by CBRE using Argus software and incorporating appropriate assumptions that are detailed in the Table of Assumptions on the following pages. The projections set forth in this Offering Memorandum do not constitute a representation, warranty or guaranty by CBRE or the Owner of any of the numbers set forth herein or of any economic value attributable to the Property or income that may be derived there from.
23
Assumptions GLOBAL
SECOND GENERATION LEASING
Analysis Period
Retention Ratio
Commencement Date
February 1, 2014
End Date
January 31, 2024
Term
10 Years
Lease Term Annual Market Rent - RDU II Rent Adjustment
Area Measures Building Square Footage (RSF)
114,518 SF
Vacancy and Credit Loss [1]
4.00%
Expense Recovery Type
Market Rent Growth
7 Years $22.75 PSF 3.00% Annually Base Stop
Initial Tenant Improvements New
REVENUES
75%
$25.00 PSF
Renewal
$6.00 PSF
Weighted Average
$10.75 PSF
2015 -
3.00%
2020 -
3.00%
2016 -
4.25%
2021 -
3.00%
2017 -
5.00%
2022 -
3.00%
New
6.00%
2018 -
3.50%
2023 -
3.00%
Renewal
4.00%
2019 -
3.00%
2024 + -
3.00%
Weighted Average
4.50%
Commissions
EXPENSES Growth Rates Operating Expenses
2.50%
Capital Reserves
2.50%
Property Taxes
2.50%
Taxes Reassessed upon Sale [2]
No
Management Fee (% of EGR)
3.00%
Operating Expense Source [3]
2014 Projections
Capital Reserves
$0.20 PSF
Downtime
6 Month(s)
Rental Abatement [4]
3 Month(s)
VACANT SPACE LEASING [5] Total Vacant as of February 1, 2014 Absorption Period
10,375 SF 9 Month(s)
Lease Term Initial Annual Market Rent Expense Recovery Type Rent Adjustment Tenant Improvements
7 Years $22.75 PSF Base Stop 3.00% Annually $35.00 PSF
Commission Rental Abatement [4]
6.00% 3 Month(s)
[1] General Vacancy Loss factor includes attributes to projected lease-up, rollover downtime, and fixturing downtime. [2] CBRE encourages investors to perform their own due diligence regarding tax legislation in Raleigh, NC and its potential impact on future tax assessments. The number used in the analysis is based off the Seller's 2013 Budget. [3] Operating expenses are based of the Seller's 2014 Protected Expenses. [4] Three (3) months abatement is outside of the lease term and is only for available space in the first 18 months of the valuation.
24
Cash flow Fiscal Year Ending Jan-31 Overall Economic Occupancy Physical Occupancy
Jan-2016 95.73% 96.00%
Jan-2017 95.65% 96.00%
Jan-2018 95.55% 96.00%
Jan-2019 95.50% 96.00%
Jan-2020 95.47% 96.00%
Jan-2021 78.97% 80.84%
Jan-2022 95.12% 95.16%
Jan-2023 95.98% 96.00%
Jan-2024 95.98% 96.00%
Jan-2025 95.98% 96.00%
In-place
FY 2015 $/SF/Year
Scheduled Base Rent Base Rental Revenue Absorption & Turnover Vacancy Base Rent Abatements
2,442,660 (236,028) 0
$21.58 ($1.58) ($0.29)
$2,471,732 ($181,370) ($32,953)
$2,521,002 ($107,725) $0
$2,582,486 ($112,372) $0
$2,645,506 ($117,845) $0
$2,708,903 ($121,918) $0
$2,773,457 ($125,576) $0
$2,939,076 ($618,195) $0
$3,309,398 ($161,657) $0
$3,416,206 ($137,221) $0
$3,518,689 ($141,336) $0
$3,624,250 ($145,577) $0
Total Scheduled Base Rent Expense Reimbursement Revenue
2,206,632 140,052
$19.71 $1.24
2,257,409 141,584
2,413,277 159,691
2,470,114 173,889
2,527,661 188,429
2,586,985 203,335
2,647,881 217,399
2,320,881 177,490
3,147,741 179,057
3,278,985 191,553
3,377,353 209,921
3,478,673 228,146
Total Potential Gross Revenue General Vacancy
2,346,684 0
$20.95 $0.00
2,398,993 0
2,572,968 0
2,644,003 0
2,716,090 0
2,790,320 0
2,865,280 0
2,498,371 0
3,326,798 0
3,470,538 0
3,587,274 0
3,706,819 0
EFFECTIVE GROSS REVENUE
2,346,684
$20.95
2,398,993
2,572,968
2,644,003
2,716,090
2,790,320
2,865,280
2,498,371
3,326,798
3,470,538
3,587,274
3,706,819
EXPENSES Water & Sewer Electricity - Exterior Electricity - Office Electricity - Extreme Network's Space Cleaning & Trash Removal Landscaping Security & Park Fees Repairs & Maintenance Taxes Insurance Management Fee Miscellaneous
(6,000) (696) (46,188) (135,264) (93,072) (29,748) (8,496) (69,528) (103,932) (12,600) (70,404) (7,200)
($0.05) ($0.01) ($0.41) ($1.20) ($0.83) ($0.26) ($0.07) ($0.61) ($0.91) ($0.11) ($0.63) ($0.06)
(6,013) (702) (47,072) (137,852) (95,124) (29,812) (8,518) (69,678) (104,151) (12,623) (71,969) (7,210)
(6,162) (718) (49,372) (144,592) (100,152) (30,558) (8,730) (71,420) (106,754) (12,939) (77,190) (7,390)
(6,317) (737) (50,608) (148,206) (102,656) (31,321) (8,949) (73,205) (109,423) (13,262) (79,320) (7,575)
(6,475) (755) (51,872) (151,912) (105,222) (32,104) (9,173) (75,035) (112,159) (13,595) (81,483) (7,764)
(6,637) (775) (53,168) (155,709) (107,855) (32,906) (9,401) (76,911) (114,963) (13,934) (83,710) (7,958)
(6,802) (794) (54,498) (159,601) (110,549) (33,729) (9,637) (78,834) (117,837) (14,281) (85,958) (8,157)
(6,972) (813) (49,329) (144,460) (97,913) (34,573) (9,878) (80,805) (120,783) (14,640) (74,951) (8,362)
(7,147) (834) (56,880) (166,578) (115,257) (35,437) (10,125) (82,825) (123,803) (15,005) (99,804) (8,571)
(7,325) (855) (58,689) (171,873) (119,049) (36,322) (10,378) (84,895) (126,897) (15,380) (104,115) (8,784)
(7,509) (876) (60,156) (176,171) (122,026) (37,232) (10,637) (87,018) (130,069) (15,765) (107,618) (9,005)
(7,697) (898) (61,659) (180,575) (125,076) (38,162) (10,903) (89,194) (133,321) (16,158) (111,205) (9,229)
Total Operating Expenses
(583,128)
($5.16)
(590,724)
(615,977)
(631,579)
(647,549)
(663,927)
(680,677)
(643,479)
(722,266)
(744,562)
(764,082)
(784,077)
NET OPERATING INCOME
1,763,556
REVENUES
25
Jan-2015 91.33% 93.05%
$15.79
1,808,269
1,956,991
2,012,424
2,068,541
2,126,393
2,184,603
1,854,892
2,604,532
2,725,976
2,823,192
2,922,742
CAPITAL COSTS Tenant Improvements Leasing Commissions Capital Reserves
($1.77) ($0.53) ($0.20)
(202,790) (61,055) (22,951)
0 0 (23,525)
0 0 (24,113)
0 0 (24,717)
0 0 (25,333)
0 0 (25,967)
(1,119,537) (1,036,241) (26,617)
0 0 (27,281)
(62,286) (59,694) (27,965)
0 0 (28,662)
0 0 (29,380)
TOTAL CAPITAL COSTS
($2.50)
(286,796)
(23,525)
(24,113)
(24,717)
(25,333)
(25,967)
(2,182,395)
(27,281)
(149,945)
(28,662)
(29,380)
OPERATING CASH FLOW
$13.29
1,521,473
1,933,466
1,988,311
2,043,824
2,101,060
2,158,636
(327,503)
2,577,251
2,576,031
2,794,530
2,893,362
EXISTING LEASE EXPIRATIONS Fiscal Year
Number of Suites
Net Rentable Square Feet Expiring
Percentage Square Feet Expiring
Cumulative Square Feet Expiring
2014
0
0
0.00%
0.00%
2015
0
0
0.00%
0.00%
2016
0
0
0.00%
0.00%
2017
0
0
0.00%
0.00%
2018
0
0
0.00%
0.00%
2019
0
0
0.00%
0.00%
2020
2
104,143
90.94%
90.94%
2021
0
0
0.00%
90.94%
2022
0
0
0.00%
90.94%
2022+
0
0
0.00%
90.94%
Subtotal
2
104,143
90.94%
90.94%
Vacant
1
10,375
9.06%
100.00%
TOTAL
3
114,518
100.00%
100.00%
120,000
Rentable Square Feet
100,000
80,000
60,000
40,000
20,000
0 2014
2015
2016
2017
2018
2019
2020
2021
2022
2022+
26
27
area overview 28
Raleigh-Durham MSA
The Raleigh-Durham MSA exhibits vibrant growth that exceeds national trends, and enjoys a diverse and powerful economy with excellent job opportunities and a quality of life that has captured the attention of many who follow relocation trends. National publications have brought international recognition to the region for its pro-business atmosphere and affordable high-quality lifestyle. Several factors distinguish the area from most other desirable MSA’s, including a diversified economy, excellent transportation infrastructure and a high quality of life. INCOME & POPULATION The Raleigh-Durham MSA does not have a dominant central city. Only 24% of residents of the metro area live in the largest city, Raleigh, the capital of the state of North Carolina. Raleigh was voted the #1 Best Quality of Life by Business Facilities Magazine (July/August 2012). It was also ranked #2 in Population Growth from 1985-2011 in Federal Deposit Insurance Corp (January 2013).
Raleigh-Durham MSA Population: 2013 (Estimated)
1,725,652
2018 (Projected)
1,863,098
2000 Census
1,223,618
Growth 2000-2012
29.19%
Growth 2013-2018
7.96%
Households: 2013 (Estimated)
668,040
2018 (Projected)
721,654
2000 Census
475,202
SELECTED AREA DEMOGRAPHICS- RALEIGH-DURHAM MSA As the previous table demonstrates, the population for the Raleigh-Durham MSA exhibited growth at 5.53% over the last three years, and it’s anticipated to grow an additional 8.03% through 2018. The 2013 Average Household Income in the Raleigh-Durham MSA stands at $75,402. Income levels are currently increasing at very aggressive rates, and the number of households represented by higher income levels is considerably higher than it was ten years ago. A breakdown of the household income characteristics for the Raleigh-Durham MSA is shown in the below table. 1990
2004
2013*
15.26%
11.7%
11.5%
16.95%
9.0%
10.3%
Growth 2010-2013
5.53%
$0-$14,999
Growth 2013-2018
8.03%
$15,000-$24,999
$75,402
$25,000-$34,999
16.24%
11.0%
10.5%
$35,000-$49,999
18.86%
14.6%
14.2%
$50,000-$74,999
16.83%
20.0%
18.1%
$75,000-$99,999
5.54%
13.5%
12.8%
$100,000-$149,999
2.03%
12.2%
8.1%
$150,000+
1.35%
8.1%
14.5%
100.0%
100.0%
100.0%
2013 Average HH Income Source: CBRE Fast Reports
Totals
*Estimated; Source: CBRE Fast Reports
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ECONOMY The area’s stable employment base is reflected in unemployment trends with relatively smooth peaks and valleys. With a tough economy, the unemployment rate has ranged from a high of 9.1% to a low of 7.1% within the past three years. The current unemployment rate of 7.5% in the RaleighDurham metro area is on par with the statewide unemployment rate of 7.6% and substantially lower than the national unemployment rate of 8.8%. The 850,000+member labor force within the region is supplemented each year by graduates of the area’s top-tier universities (Duke University, University of North Carolina, North Carolina State University & North Carolina Central University) and by workers and companies relocating from outside the area. THE PUBLIC SECTOR Raleigh-Durham is insulated from severe economic downturns due to a high percentage of employment in the public sector - including federal, state, and local governments plus local public universities and hospital related employers. Among the Top 52 employers with employment above 1,000, the public sector represents 25 organizations that employ over 150,000 people. These public employers are either growing or maintaining a stable workforce.
UNEMPLOYMENT PERCENTAGES Raleigh
US
NC
1Q09
8.6%
8.5%
10.9%
2Q09
9.1%
9.5%
11.2%
3Q09
8.6%
9.8%
10.4%
4Q09
8.7%
10.0%
10.9%
1Q10
8.4%
9.9%
11.1%
2Q10
7.9%
9.5%
10.0%
3Q10
7.2%
9.6%
9.6%
4Q10
7.4%
9.4%
9.7%
1Q11
7.7%
8.8%
10.1%
2Q11
7.9%
9.2%
9.9%
3Q11
8.5%
10.5%
9.1%
4Q11
8.4%
8.5%
9.9%
1Q12
8.4%
8.2%
9.7%
2Q12
7.7%
8.2%
9.4%
3Q12
7.8%
7.8%
9.6%
4Q12
7.5%
7.8%
9.2%
1Q13
7.1%
7.6%
9.2%
2Q13
7.5%
7.6%
8.8%
30
THE TECHNOLOGY SECTOR High technology is a staple of the local economy and Raleigh-Durham has earned a reputation for attracting diversified technology employers. Of the Top 52 employers with employment over 1,000, high technology represents 25% of 186,000 jobs. Although the technology sector has endured recent challenges, especially in the telecommunication industry, high-tech jobs represent the future of the market and are responsible for recent gains in total employment. HEALTHCARE The Triangle area ranks sixth in physicians per capita in the nation according to the most recent US Census. The physician-to-population ratio is five times the national average and the bed-to-population ratio is two times the national average. Durham, heralded as “The City of Medicine,” employs 30% of the workforce in health-related jobs. The presence of world-renowned Duke Medical Center is the primary reason for Durham’s acclaim. The establishment of this industry has influenced the relocation and expansion of many pharmaceutical and biotechnology companies within the immediate area.
31
MAJOR AREA EMPLOYERS RALEIGH-DURHAM MSA Employer
Number of Employees
State of North Carolina
24,739
Wake County Public School System
16,755
IBM Corporation
10,800
North Carolina State University
7,500
Wake Med Health & Hospitals
7,100
GlaxoSmithKline
6,000
Rex Healthcare
4,400
SAS Institute, Inc.
4,149
Wake County Government
4,000
Cisco Systems
3,400
Rex Hospital, Inc.
3,250
Progress Energy
3,100
City of Raleigh
3,000
PPD Inc
3,000
Verizon Wireless
3,000
RTI International
2,600
Tri-Arc Food Systems
2,050
HIGHER EDUCATION Education has always been a priority in Wake County. As a result, the K-12 schools, colleges, and universities are rated as some of the best in the nation. Approximately 50% of the population over the age of 25 holds a bachelor's degree or higher, easily placing Wake County as one of the most highly educated counties in the country. • •
Average SAT of 1585 (of 2400) in Wake County; 1480 in NC and 1506 in US 166 schools (104 elementary, 33 middle, 25 high and 4 special/optional)
UNC Chapel Hill UNC Chapel Hill is the oldest state university in the United States. It has been recognized for the quality of its graduate programs in every national survey conducted in the past third of this century and is consistently ranked by US News and World Report as one of the best colleges and research universities in the nation. The UNC Chapel Hill library system contains nearly 4 million volumes and is ranked among the top research libraries in North America. UNC’s academic offerings span more than 100 fields, including bachelors, masters and doctoral degrees as well as professional degrees in dentistry, medicine, pharmacy and law. The university’s five health schools are integrated with liberal arts, basic sciences and high-tech academic programs. The university has approximately 12,000 staff and 20,000 students.
Duke University and Duke Medical Center Combined, Duke University and Duke Medical Center employ over 34,000 people. Duke is a private research university located in Durham with approximately 14,500 students. Duke is a nationally recognized research and educational institution with impressive accolades. U.S. News & World Report ranked the university’s undergraduate program eighth among national universities in 2013 and the 201213 QS World University Rankings ranked Duke 20th globally. The university and medical center are also major economic drivers for the Raleigh region. Forbes magazine ranked Duke 7th in the world on its list of ‘power factories’ in 2012. Duke Medical Center employs over 20,000 medical professionals and is one of the most advanced medical centers in the country. Duke’s medical campus totals over 7.5 million square feet across.
North Carolina State University With a total enrolment of more than 34,000 students and nearly 8,000 faculty and staff, NC State University is the largest university in the North Carolina system. The university is known for its leadership in science, technology, engineering and mathematics and offers 106 bachelor’s degrees. The graduate school offers 104 master’s degrees, 61 doctoral degrees, and a Doctor of Veterinary Medicine. NC State consistently ranks among the nation's top 50 public universities and is ranked by Princeton Review as a best value for students.
32
TRANSPORTATION Raleigh-Durham benefits from access to multiple interstate highways. Major highways include Interstate 85 that connects the Raleigh-Durham area to Atlanta and Richmond, Interstate 40 that bisects the Research Triangle Park, and Interstate 95, which links New England to Florida and passes through the metropolitan area east of Raleigh. Interstate 540, located north of Downtown, is a growing freeway serving North Raleigh and the RDU International Airport. This “beltway” serves to connect Interstate 40 and U.S. 64, allowing through-traffic to bypass the Downtown Raleigh area and increasing overall accessibility for the CBD. The economic impact of this roadway is positive and serves to boost the significant development momentum and interest for the overall Raleigh-Durham MSA as demographic trends show positive increases coinciding with road construction. The western section of the loop (“Triangle Expressway”) that traverses the Research Triangle Park is slated to open in two phases. The first, the Triangle Parkway, which extends NC -147 to NC -540, opened in December 2011. Phase II, the Western Wake Freeway, opened for traffic in 2012. The Western Wake Freeway is a new multi-lane toll facility from existing NC 540 in western Wake County south of I-40 to NC 55 Bypass in Holly Springs, with a length of approximately 12.6 miles. Interchange connections are proposed for access at NC 55, at Green Level Road, US 64, Old US 1, US 1 and ending at the NC 55 Bypass at Holly Springs. The southern and eastern portions of the Expressway complete the loop and connect NC 540 between US 64 in Apex to NC 55 in Holly Springs RDU International Airport (RDU) is served by 8 major airlines and 19 regional airlines, operating 352 daily flights from two terminals. The total economic impact of RDU to the Triangle economy is more than $2 billion per year according to North Carolina Department of Transportation figures.
33
RESEARCH TRIANGLE PARK The Research Triangle Park (“RTP” or the “Park”) is less than a 10 minute drive from RDU Center III and is centrally located between the three major Triangle research universities: Duke University in Durham, University of North Carolina in Chapel Hill, and North Carolina State University in Raleigh. The Park, with 25 million square feet of developed space, is one of the world’s largest and most successful research and development centers in terms of number of jobs created, capital investment and the prestige of companies located there. Founded in 1959 by leaders from business, government and academia, its purpose was to attract companies engaged in world-class research and development in growing scientific and technological disciplines and is home to more than 170 companies employing over 40,000 full-time knowledge workers and an estimated 10,000 contract employees. The Research Triangle Park drives Raleigh-Durham’s thriving economy. It is projected that over the next fifteen years, employment will increase by 67%, total earnings by 48%, personal income by 46% and total retail sales by 41%. The Raleigh-Durham metropolitan area has a youthful and educated population. The average age of residents is just over twenty-five years old, and one in five people have a bachelor’s degree.
The Research Triangle Park is home to an outstanding, credit worthy roster of tenants, anchored by its proximity to three world class universities and the region’s most accessible transportation infrastructure. Cisco Systems, National Institute of Environmental Health Sciences, Biogen Idec, Eisai Inc, and NetApp call RTP home. Furthermore, the Research Triangle Park is home to the Environmental Protection Agency’s largest facility outside of Washington, DC – a 1.1 million SF model of “green building” – one of the largest in the world. Other major employers in the Research Triangle Park include IBM, GlaxoSmithKline, DuPont, BASF, Fidelity, Credit Suisse, Toshiba and Bayer CropScience.
RESEARCH TRIANGLE PARK FACTS: • Founded: 1959 • Size: 7,000 acres • Largest research park in the United States • 22.5 million square feet of developed space • 170 + companies • 42,000 + high-tech employee • 1,500 + start-up companies created since 1970 • Employees: Estimated 42,000 full time and 10,000 contract • Capital Investment exceeds $2.8 billion • Total payroll estimated at $2.7 billion
34
35
the market 36
RALEIGH-DURHAM OFFICE MARKET OVERVIEW
The Raleigh-Durham office market consists of a geographic area covering three counties - Wake, Durham and Orange - and is commonly referred to as the “Research Triangle.” At the close of the second quarter of 2013, the Triangle’s office space inventory totaled just over 46.95 million square feet. This inventory is divided into 15 submarkets. A number of major companies are headquartered in the Raleigh-Durham region, including SAS Institute, Quintiles, Red Hat and Progress Energy. In terms of leasing activity, second quarter of 2013 was one of the more robust quarters in recent memory. Overall vacancy for Triangle office space dropped from 17.10% to 16.70%, the lowest vacancy rate registered for office space since the first quarter of 2009. Rental rates dropped slightly, but remained stable at $19.05 per square foot, full service.
Market
Rentable Area SF
Vacancy Rate %
Net Absorption SF
West Raleigh
5,075,405
10.03%
15,058
$20.82
US 70/Glenwood Avenue
3,444,900
11.07%
22,816
$19.60
Six Forks Road
3,323,181
16.76%
7,608
$19.38
Falls of Neuse Road
3,029,815
18.61%
34,244
$17.78
US 1/Capital Boulevard
2,240,006
20.06%
3,628
$18.60
Downtown Raleigh
3,879,256
11.06%
(35,814)
Cameron Village
612,748
13.58%
11,774
$16.60
Eastern Wake County
515,944
16.24%
(2,000)
$19.02
Southern Wake County
211,275
31.87%
-654
$19.54
Cary
5,724,713
12.54%
(5,386)
16,550
$19.87
RTP/I-40 Corridor
11,091,067
23.41%
53,922
206,409
$18.64
Central Durham
3,078,852
7.99%
41,911
133,000
$19.25
North Durham
1,403,934
39.20%
3,480
$16.65
South Durham
1,792,340
19.03%
23,208
$17.95
Orange County
1,533,021
17.44%
19,340
$23.00
46,956,457
16.70%
193,135
MARKET TOTALS
37
Under Construction SF
146,500
502,459
Average Asking Lease Rate -$ SF/YR
$18.99
$19.05
Absorption
$21.00 $20.50 $20.00 $19.50 $19.00 $18.50
2Q13
1Q13
4Q12
3Q12
2Q12
1Q12
4Q11
3Q11
2Q11
1Q11
4Q10
3Q10
2Q10
1Q10
4Q09
3Q09
$18.00 2Q09
20.00% 19.50% 19.00% 18.50% 18.00% 17.50% 17.00% 16.50% 16.00% 15.50% 15.00% 14.50%
1Q09
2Q13
1Q13
4Q12
3Q12
2Q12
1Q12
4Q11
RALEIGH-DURHAM AVERAGE ASKING LEASE RATES
3Q11
2Q11
1Q11
4Q10
3Q10
2Q10
1Q10
4Q09
3Q09
2Q09
400,000 300,000 200,000 100,000 0 -100,000 -200,000 -300,000 -400,000 -500,000 -600,000
1Q09
RALEIGH-DURHAM VACANCY & ABSORPTION
Vacancy
Vacancy rates market wide again witnessed recovery during the quarter, falling to 16.70%, the lowest registered rate for vacancy since the second quarter of 2009. Leasing activity continues to be strong and deals appear to be getting done quicker. In second quarter of 2013, total net absorption exceeded 193,135 square feet, 169,222 SF of which was Class A office space. The RTP/I-40 submarket, where RDU Center III sits, led the way with 53,922 SF of positive absorption.
During the economic downturn, Raleigh, like many other cities experienced pretty drastic reductions in average asking rents. During the second quarter of 2013, rents remained stable. Average asking rates should remain flat for the remainder of the year and in to early 2013, when increased demand will likely start to gradually push rental rates back to pre-recessionary levels.
As noted above, vacancy rates throughout the Triangle continue to drop as the year progresses. Most of the improvement is attributable to the strong continuing demand for large blocks of Class A space.
38
RDU Center III has a Morrisville, North Carolina address, and sits on the border of the Cary and RTP/I-40 submarkets, the two largest submarkets in the MSA. CARY SUBMARKET The Cary submarket is the second largest in the Raleigh-Durham region, claiming over 5.7 million square feet of office space. Much of the office space has been developed within the last 20 years. The submarket’s Class “A” vacancy rate stands at 9.39%, well below the overall Class “A” market vacancy average of 12.13%. Corporate users, many expanding from other locations within the Triangle, are attracted to Cary’s central location and accessibility. This is evident in the submarket’s class “A” office absorption of 32,485 SF over the last twelve months. RTP/I-40 SUBMARKET The RTP/I-40 corridor through western Wake County and southern Durham County is the Triangle’s largest office and industrial submarket containing more than 11 million square feet of leasable, multi-tenant office space in approximately 152 buildings. About 30% of the buildings in the RTP/I-40 submarket range in size from 50,000 square feet to 100,000 square feet and about 20% are over 100,000 square feet. Also included in this submarket (but not included in the square footage and absorption numbers) is the 7,000-acre Research Triangle Park, with approximately 22.5 million square feet of developed space. For the second quarter of 2013, in the RTP/I-40 submarket, overall office vacancy was 23.41%, while Class A vacancy decreased from 17.72% to 17.43%. Class A rates for the submarket averaged $18.64 in the second quarter.
39
40
COMPETING PROPERTIES 1
2
3
Building
4
5
Size
Occupancy
Rental Rate
Year Built
Submarket
12
Brier Creek Corporate Center (5 Bldgs) Arco Corporate Drive Raleigh, NC 27617
558,854
99.2%
$22.00/SF, Full Service
2005-2008
US 70/Glenwood Ave.
23
Weston I 1001 Winstead Drive Cary, NC 27513
214,000
96.8%
$23.50 - $24.50/SF, Full Service
1988
Cary
3 4
Weston II 5020 Weston Parkway Cary, NC 27513
79,000
100.0%
$25.00 - $26.50/SF, Full Service
2008
Cary
45
Carlisle Place 4721 Emperor Boulevard Durham, NC 27703
120,000
100%
$23.00/SF, Full Service
2007 RTP/I-40
RTP/I-40
56
Danbury Hall 5411 Page Road Durham, NC 27703
116,300
100.0%
$22.50/SF, Full Service
2002
RTP/I-40
SALES COMPARABLES 1
2
Building
41
3
4
5
6
City
Submarket
Size (SF)
Year Built
Sale Date
Seller
Buyer
Sale Price
Price PSF
11
Captrust Tower
Raleigh
Six Forks
300,389
2009
January 2013
Duke Realty
KBS
$98,400,000
$327.58
2
Wade I and II
Raleigh
West Raleigh
199,300
2008
September 2013
Chapter 7 Trustee
Prudential Real Estate
$45,750,000
$229.55
3
Quintiles Plaza
Durham
RTP/I-40
259,531
2009
March 2011
Principal Financial
Franklin Street Properties
$75,800,000
$292.07
4
Wells Fargo Capitol Center
Raleigh
Downtown Raleigh
550,979
1991
January 2007
DRA Advisors
Argus Realty
$153,400,000
$278.41
5
Colonnade One
Raleigh
Six Forks
126,926
2000
September 2006
DRA Advisors
KBS Advisors
$27,100,000
$213.51
6
Weston I
Cary
Cary
213,824
1988
October 2006
DRA Advisors
Assurant
$41,400,000
$193.62
1
3
rdu center iii
5
5 4
6
1 2 3 2
4
42
43
Photo Gallery 44
45
46
47
O F F E R I N G
M E M O R A N D U M
EXCLUSIVE MARKETING AGENTS BEN KILGORE Executive Vice President CBRE | Capital Markets 4208 Six Forks Road Suite 1220 Raleigh, NC 27609 919.831.8191 ben.kilgore@cbre.com
49
RYAN CLUTTER Executive Vice President CBRE | Capital Markets 750 9th Street NW Suite 900 Washington, DC 20001 202.585.5643 ryan.clutter@cbre.com
PATRICK GILDEA First Vice President CBRE | Capital Markets 201 South College Street Suite 1700 Charlotte, NC 28244 704.331.1217 patrick.gildea@cbre.com
FINANCING CONTACTS MICHAEL D BLUNT Senior Vice President CBRE | Capital Markets 750 9th Street, NW Suite 900 Washington, DC 20001 202.585.5672 michael.blunt@cbre.com
HAL KEMPSON First Vice President CBRE | Capital Markets 201 South College Street Suite 1700 Charlotte, NC 28244 704.927.1453 hal.kempson@cbre.com
COMPIE NEWMAN Senior Vice President CBRE | Capital Markets 201 South College Street Suite 1700 Charlotte, NC 28244 704.927.1454 compie.newman@cbre.com