North Hills 2016 Year End Review & 2017 Outlook by Kane Realty

NORTH HILLS 2016 YEAR END REVIEW & 2017 OUTLOOK

LETTER FROM THE PRESIDENT The year 2016 was a transformative one for North Hills and the outlook for 2017 is more robust than ever. The past twelve months brought exciting changes throughout all three urban districts of North Hills with the addition of new merchants, residents, events, and workers. Construction cranes came and went throughout 2016 as the skyline of North Hills has grown and changed shape. The energy and vibrancy of North Hills is evident and alive as people of all ages and stages come to eat, shop, work, live and play. Looking back in 2016 there are many notable North Hills highlights: • Popular national retailer Paper Source opened joining Anthropologie, Vineyard Vines, Peter Millar and Lululemon Athletica. • The region’s best independent bookseller, Quail Ridge Books, opened up its amazing new bookstore. • Nationally acclaimed Capital Grille opened up in July. • The opening of the 18-story Bank of America Tower brought 300,000 square-feet of additional office space next door to the 100% full 300,000 square feet 17-story CAPTRUST Tower. • The opening of The Dartmouth, North Hills’ newest urban-style apartment community adds a terrific design look to the area. • The addition of art to Midtown--the ArtBox on Six Forks near the recently opened Thomas Sayre designed Overlook along with other national and local new art features throughout the area. In 2017: • Midtown Plaza, a 330,000 square foot 12-story office building, will open with anchor tenants Allscripts and Suntrust occupying 83% of the space.

• Marriott’s new and exciting upscale brand, AC Hotel is adding 135 hotel rooms to the guest room mix already offered by The Renaissance at North Hills Hotel, Hyatt House, and the Midtown Raleigh Hilton. • North Hills’ first high-rise residential project, Park Central, will open adding more retail along the Midtown Park located under the 16-story residential tower. • Retail merchants Lilly Pulitzer, Kendra Scott, Copper Penny, and Marta’s will open along with Kilwin’s and Cycle Bar in Park Central. • Over 2500 new parking spaces will be added to North Hills in 2016 and 2017. In 2016, the Urban Land Institute completed a case study highlighting North Hills as a model for pedestrian friendly, walkable mixed use urban places in the U.S. The case study noted the transformation of the area “into a $1 billion, 94-acre urban destination for one of the country’s fastest-growing metropolitan areas”. It further noted North Hills’ finely balanced mix of uses including parks, plazas, and walkable streets where visitors will find lifestyle and convenience retail, dining, and entertainment amongst office space, residences, and hotel rooms carefully arranged both vertically and horizontally. And further noted that North Hills steadily evolving to “a 24-hour, high-rise urban district”. North Hills is urban planning that’s focused on building community, anticipating instead of reacting and positioning itself to accommodate the needs of today -- and adapt to those of tomorrow. Whether it’s called the heart of Midtown Raleigh, the City Within a City, or Raleigh’s second CBD -- North Hills is a community authentically embraced by its neighbors, residents, workers, and guests as THE place to be.

• The Cardinal at North Hills (Continuing Care Retirement Community) will open bringing a wonderful mix of generations to North Hills. Mike Smith, President

TABLE OF CONTENTS RETAIL. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Leasing. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Under Construction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

OFFICE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Bank of America Tower . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Midtown Plaza. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 The Offices at North Hills. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 CAPTRUST Tower. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Tower 4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

HOTELS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 RESIDENTIAL. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 ATTRACTIONS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 INITIATIVES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28

North Hills App. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 Digital. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 North Hills Gives Back. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Sponsorship & Property Branding. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31

EVENTS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33

Midtown Events. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 Sponsors & Partners. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

MIDTOWN. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

Midtown Raleigh Alliance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41 Six Forks Road Study. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 Midtown CERT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43

ACCOLADES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

Raleigh Accolades. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 John Kane . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 Kane Realty Corporation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46

RETAIL LEASING North Hills has 99% occupancy. The Capital Grille | 8,000 SF Elegant steakhouse known for dry-aged steaks, seafood, fresh ingredients, and award-winning wines.

Cariloha | 600 SF Caribbean and Hawaiian-inspired resort wear and lifestyle products made of all-natural bamboo.

Pieology Pizzeria | 2,800 SF Pizzeria baking personalized, artisanal pizzas in an open flame and ready under five minutes.

Paper Source | 2,900 SF National purveyor of specialty paper, invitations, craft supplies and gifts.

The Capital Grille

Paper Source

Cariloha

Pieology Pizzeria

Sunglass Hut | 1,000 SF

Quail Ridge Books | 7,500 SF

National chain of designer eyewear has a new home in a cutting edge space.

Raleighâ&#x20AC;&#x2122;s award-winning independent bookstore.

Smoothie King | 700 SF

Grabbagreen | 1,500 SF

International smoothie bar featuring fruit smoothies, vitamins, supplements, and healthy snacks.

All-natural fast casual concept featuring preservative-free, gluten free, and GMO free menu & fresh-pressed juices and smoothies.

Sunglass Hut

Grabbagreen

Quail Ridge Books

Smoothie King

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Lilly Pulitzer

Kendra Scott

Kilwin’s

Marta’s

UNDER CONSTRUCTION Lilly Pulitzer | 2,400 SF

Marta’s | 2,900 SF

Palm Beach inspired designer of clothing and lifestyle products for women and girls.

Women’s boutique setting the standard for a luxury shopping experience in the South with brands in apparel, accessories and gifts.

Kendra Scott | 1,500 SF

Kilwin’s | 1,400 SF

National fashion accessories brand inspired by the personal experiences, travels & sense of community of its designer & founder, Kendra Scott.

Old-fashioned confectionery chain selling chocolates, ice cream, handmade sweets & gift baskets.

Paintbase

Aladdin’s Eatery

Copper Penny

Cyclebar

Paintbase | 1,700 SF Upscale nail salon.

Aladdin’s Eatery | 1,916 SF Full-service restaurant specializing in healthy Lebanese-American cuisine.

Copper Penny | 2,400 SF Upscale women’s clothing and footwear boutique.

CycleBar | 2,962 SF Indoor cycling studio.

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OFFICE WITH THE CONSTRUCTION OF MIDTOWN PLAZA IN 2017, ALONG WITH THE OPENING OF THE NEW BANK OF AMERICA TOWER LAST MARCH, THE OFFICE SPACE IN MIDTOWN RALEIGH WILL GROW BY 630,000 SQ. FT.

57,000 SF

25,500 SF

13,000 SF

12,000 SF

2,800 SF

4,600 SF

15,400 SF

BANK OF AMERICA TOWER 4242 Six Forks Road

9,000 SF

Opened March 2016 • 241,721 SF of signed leases – 80.6% leased

3,600 SF

• 18-story, 300,000 SF Class A multi-tenant office tower -- 10 stories of office

2,500 SF

-- 7 levels of parking -- 16,000 SF of ground level retail • Uniquely designed by Duda/Paine Architects including:

3,000 SF

-- Curved wall along southwestern face -- Two-floor building cut out 3,000 SF

-- All glass building exterior -- Conference center and lockers 11

Midtown Plaza

CAPTRUST Tower

The Offices

MIDTOWN PLAZA

THE OFFICES AT NORTH HILLS

305 Church at North Hills Street

• 100% leased • Renewal: TierPoint - 6,000 SF

Opening March 2017 • 273,000 SF - 83% pre-leased

6,000 SF

• 12-story, 330,000 SF, Class A office tower -- Two, 7-level parking decks • Designed by LS3P architecture firm

CAPTRUST TOWER • New Lease: Wells Fargo - 10,000 SF

245,000 SF

28,000 SF

10,000 SF

TOWER 4 Now pre-leasing multi-tenant office space • 30-story, 725,000 SF

Tower 4 is currently in the design phase. This spectacular mixed-use project will truly be one-ofa-kind in the Triangle market. The 30-story, mixeduse project will feature 12 floors and approximately 300,000 rentable square feet of Class A office space, 20 levels of luxury apartments, a 10-story hotel, street-level retail as well as terrace level outdoor dining and many other amenity spaces. Located in North Hills, a flourishing development in midtown Raleigh that offers a unique combination of places to live, work, shop, play and stay. The building offers a prominent location along Six Forks Road and I-440. Within walking distance from the building, you’ll find a multitude of retail and restaurant options at North Hills.

-- 12 stories of office at 300,000 SF -- Multiple levels of parking directly under office -- 10,000 SF of ground level retail • Office & parking deck designed by Duda Paine • Residential designed by SRSSA (Smallwoods Reynolds Stewart & Stewart) • Located at entrance of North Hills -- Corner of Six Forks Road and Front at North Hills Street -- Tallest building on I-440 • Expansive glass design provides premier views of Raleigh

HOTELS

AC HOTEL RALEIGH

RENAISSANCE RALEIGH NORTH HILLS HOTEL

North Carolina’s first AC Hotel will open in North Hills with 135 rooms between Bank of America Tower and The Dartmouth Apartments. A destination for the art lover and sophisticated traveler, AC Hotel will have a sleek Europeaninspired aesthetic and a rooftop bar.

Renovations currently underway will be finished by June 2017. Flights restaurant is undergoing a concept change along with an extension of the Inner Terrace across the restaurant for added capacity.

Founded in 1998, with nearly 100 hotels located primarily in Europe, the international hotel brand is bringing more than 70 locations to the U.S. and Latin America.

• Host to National Hockey League competitors of Carolina Hurricanes • 2016 TripAdvisor Green Partner Award • 2016 TripAdvisor Certificate of Excellence

HYATT HOUSE RALEIGH NORTH HILLS HOTEL

• 2015 Four Diamond Award Winner in Hotels for AAA • 2015 Concord Hospitality Champion Award for Sustainability

• David Press, AGM of HYATT house - 2016 Lodging Employee of the Year by NCRLA (North Carolina Restaurant Lodging Association) • 2015 HYATT Hotel of the Year • 2016 TripAdvisor GreenLeader • 2016 TripAdvisor Certificate of Excellence

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RESIDENTIAL ALLISTER NORTH HILLS APARTMENTS

MIDTOWN GREEN NORTH HILLS APARTMENTS

Allister North Hills continues to boast consistent stabilization. The apartment homes are well appointed with two distinct interior finish options, granite throughout, generous closet space, and balconies or extended sun rooms in every floor plan style. In 2016, they renovated their homes to include subway tile in the kitchens, planking from the kitchen to living room, updated cabinet pulls in the kitchen and bathrooms, new USB outlets in the kitchen, and granite desks in select units.

Midtown Green offers studio, one and two bedroom with views of beautiful Midtown Park and surrounding neighborhoods. Luxury appointments include high ceilings (14’+ in penthouse residences), granite countertops, and vinyl plank flooring throughout. Residents of Midtown Green also enjoy a variety of community amenities, including a putting green, second-story mezzanine deck with fireplace and outdoor TV, and saltwater pool with outdoor kitchen.

Residents of Allister’s studio, one, two and three bedroom apartments continue to enjoy living at the most amenity rich community in North Hills. Updates and additions to amenity spaces were completed in 2016 - highlights include:

Midtown Green

• 24-hour gym and separate yoga studio • Mountain and road bike rental program, perfect for use on nearby Greenway trails • Two resort-style saltwater pools with private tanning cabanas • Outdoor kitchen with built-in gas grills with granite countertops at both pools - New! • Fire pit in pavilion area - New! • Resident socials including painting classes, happy hours, & food trucks events • Pet-friendly offerings:

Allister North Hills

-- Enclosed pet park with benches and water fountain - New! -- Indoor dog spa • Pergola at the leasing clubhouse pool - New! • Free grocery delivery service partnership • Two fully stocked coffee bars

PARK & MARKET NORTH HILLS APARTMENTS

THE ALEXAN NORTH HILLS APARTMENTS

The studio, one, and two bedroom apartments at Park and Market are located in the Park District, directly above a variety of retail and dining options, including a 24-hour grocery store. Their apartment and community features of granite countertops, a heated saltwater swimming pool, and covered parking continue to make Park and Market a convenient and upscale living option in North Hills.

The Alexan, located in the Lassiter District, is North Hillsâ&#x20AC;&#x2122; first high-end apartment community. Residents enjoy a 24-hour fitness center with pool views and cold towel and water station, Salt water pool with multi-level sun deck and luxury apartment home upgrades like hardwood floors, granite countertops, and large walk-in closets. The Alexan is within easy walking distance to nearby shopping, dining, and entertainment amenities.

Park & Market

Midtown Green

The Alexan

Allister North Hills

THE DARTMOUTH

• Hardwood plank flooring throughout every home • Concierge service program including dry cleaning, dog walking, and personal training coordination

Now open in the Park District, North Hills’ newest apartment community, The Dartmouth, is a 171-unit community consisting of five residential levels atop a two-level parking deck. Dartmouth is currently 50% preleased.

• Pet-friendly location next to dog park • Neighborhood, natural, and urban views • Ample bike storage • Numerous cozy lounge, study, and work spaces

The modern design of the Dartmouth’s studio, one, two, and three bedroom homes is further set apart by the social atmosphere of its numerous community amenities including Google Fiber wiring and Energy saving Nest Thermostats. These highend appointments also include:

• Fully-equipped fitness and yoga studios • Outdoor Courtyard with saline pool, outdoor TV lounge, grills and a fire pit • Club room with demonstration kitchen, billiards, and poker tables • Smoke free community with rentable on-site storage availability • Private gated parking

Outdoor Mural and Crossfit Station

Club Room

Pool Area

Studio Apartment

Club Room Pool Table

Fitness Center

PARK CENTRAL

Opening Late Spring 2017

Construction on Midtown’s most advanced mixeduse project, Park Central, began at the end of 2015. Located in the Park District and banked by Midtown Park, the 286 residential apartment homes will be complemented by 36,000 SF of retail space. Featuring both mid-rise and high-rise units, Park Central will be the finest appointed living option in the Triangle.

• 36,000 SF of retail and restaurants below

Park Central opened its Leasing Office in November 2016 and has begun early pre-leasing.

• Dedicated full-time Concierge

Park Central will showcase condominium-level interior finishes including:

• State-of-the-art fitness center

• Concierge services with indoor package • Delivery lockers • 8,000 SF saltwater pool on the 8th floor

Park Central’s incomparable community amenities will include: • 3 distinct, resident-only outdoor courtyards including pool, grills, and outdoor TV lounge • 8,000 SF resident-only outdoor amenity space on the 8th floor featuring an expansive saltwater pool deck with adjacent outdoor kitchen, fireplace, and TV lounge

• High-end kitchens with quartz countertops, wine coolers, upgraded appliances and cabinets • Glass balconies

• Two clubrooms with TV and gaming lounge, Tech Bar, and private office/creative space

• Floor-to-ceiling windows with sunshade blinds and views of Midtown Park and Downtown Raleigh

• Five total elevators servicing residences and integral parking deck

• 8-foot entry doors and 10-foot ceilings

Pool Deck Lounge

Apartment Model

Club Room

Pool Area

Lobby

CARDINAL AT NORTH HILLS Independent Living Residences are 85% Reserved

• Mix of independent living, assisted living, memory care and skilled nursing care

A full-service rental Continuing Care Retirement Community (CCRC) on six acres in the Park District at North Hills offering multiple lifestyle choices designed to promote independence, dignity and an engaged way of life is set to open in April.

• Multiple dining venues

After “topping out” on March 17th, The Cardinal’s independent living residences, clubhouse, and health care building, are in full production with interior finishes and exterior details near completion. Final grading and site work has begun along Garden Street.

• Spa and indoor pool

• Offering one-, two- and three-bedroom floor plans • Healthy chef-prepared dining choices • Bar and lounge area • Wellness and fitness center • Social and recreational programs The Cardinal at North Hills is operated by Kisco Senior Living upon opening in January for Independence Living. The healthcare center is projected to open April 2017.

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ATTRACTIONS What Lifts You Mural

Raleigh Mural

The Dalek Exhibit

Rolling Sculpture Exhibit

Art Box

Eyecentennials

ART Kelsey Montague’s What Lifts You Mural

Art Box

• International Muralist

A unique new public art display to showcase a rotation of original works by regional artists in an urban setting, The Art Box at North Hills is a collaboration between North Hills and the North Carolina Museum of Art (NCMA). The collaboration will feature regional and NC art and share information about NCMA exhibitions and program opportunities with the community. The Art Box is open on the ground level of the Bank of America Tower, at the corner of Six Forks and Dartmouth Roads.

• Mural located in the Park District by The Cowfish Sushi Burger Bar • Interactive mural and popular photo destination

Scott Nurkin’s Raleigh Mural • Local Muralist • Mural located in the Lassiter District between Sur La Table and Midtown Olive Oil

James Marshall’s The Dalek Exhibit

EyeCentennials

• Vacant space next to Ruth’s Chris Steak House transformed into a temporary art installation

The current installation will last 12 months and will feature Raleigh artist, Nate Sheaffer’s EyeCentennials, an ambitious project using recycled street lamp lenses backlighted with neon and argon tubing, creating unique sconces using over 130 different colors. Each piece is given new life as a considered object after a lifetime hanging overhead, largely unnoticed witnessing countless private moments and street scenes. Sheaffer mounted 60 EyeCentennials in 12 columns of 5, each column controlled by autofaders – all out of sync – fill the Art Box at North Hills with rolling waves of light, providing an ever changing wall of color at all times of day and night.

• Painted 360 degrees • Housed countless dinner parties, children events, gallery hours, cocktail parties, workout classes, meetings, etc.

NCMA Rolling Sculpture Exhibition Car Placement • As a part of a larger partnership with the NCMA for the Rolling Sculpture exhibition, two Art Deco cars graced the North Hills property multiple weekends this fall.

NORTH HILLS DOG PARK

MIDTOWN PARK

North Hills’ newest amenity is now open for fourlegged guests — the North Hills Dog Park. The fenced-in dog park is 9,500 square feet and located on St. Albans Drive across from The Dartmouth and Park & Market North Hills Apartments. Complete with waste stations and water bowls, the dog park is open for public use.

Bookended by Tex-Mex restaurant, Chuy’s, the 1.25 acre Midtown Park has become the backdrop for many events in just two short years: family and kids activities, concerts, walks/races, and community programs. The Midtown Raleigh community has fully discovered and embraced this common green space, coupled with the interactive water fountains that surround the performance stage, making the space versatile and inviting for guests of all ages.

THE OVERLOOK

North Hills was thrilled to host the Carroll Middle School 8th Grade Awards Assembly on the last day of school, June 9th. Midtown Park served as the backdrop, while 8th graders were celebrated for their wonderful achievements throughout the school year. (Photos on flickr)

Located between CAPTRUST and Bank of America Towers, The Overlook opened in March. Designed by renowned artist Thomas Sayre, The Overlook is a sculptural gateway that connects North Hills’ Main and Park Districts with a grand stair, meticulous landscaping, and multiple levels for gathering.

Midtown Park is home to several highly successful programs: Wellness Wednesday Fitness Series, Midtown Bluegrass Series, Friday Night Tribute Series, Kickin’ It Country BBQ Cook-Off, National Night Out, and numerous community events.

Available for Naming Rights

NORTH HILLS GREEN

Recycling

Our commitment to sustainability remains a priority with our dynamic growth and urban-style developments. North Hills is recognized for its ideal location for new initiatives due to its high number of visitors and other sustainable practices. Zipcar, a car-sharing program, joined the list of convenient North Hills amenities for 2016.

EV Chargers

Co-mingled recycling centers and clothing recycling stations are available onsite. Nearby restaurants also participate in grease collections, which can then be recycled into biodiesel fuel.

Eleven (11) charging stations are available in North Hills: six level-2 charging stations in the Park Districtâ&#x20AC;&#x2122;s Midtown Green Apartments, Bank of America Tower and Midtown Plaza; and four level-2 charging stations and one DC Fast Charger (charges in 30 minutes) in the Main District.

Zipcar The carbon copy continues to be reduced with the addition of Zipcar, a self-service, on-demand carsharing program. The two vehicles are located in the Park District near the HYATT house Hotel.

Energy Usage Energy consumption is decreased with LED lighting and by creating smart and efficient practices across the property with new technologies, such as automation systems.

Walkability Walkability is emphasized with the WALK [Midtown] program, which aims to improve pedestrian mobility, safety, and health. The proximity to the Raleigh Greenway, also helps reduce the carbon footprint of the community.

Solar Partnering with Baker Renewable Energy, North Hills utilizes rooftop solar panels to generate power for a range of services.

Transit Our fleet of electric shuttles transports guests throughout North Hills for shopping, dining, and special events. Two bus lines and a vanpool serve the community with stops in North Hills.

LEED Certification The sustainable commitment is backed with formal accreditations with LEED Gold at CAPTRUST Tower and LEED certified at Park District at North Hills, which was converted from a brownfield. 27

INITIATIVES NORTH HILLS MOBILE APP

Social Media & Trending

North Hills 3.0 is available for download on iOS and Android devices. The newest design will mirror the newly developed website in both functionality and design, in addition to social media integration.

• Displays Instagram posts from tenant and North Hills accounts

• Easy connection to North Hills social accounts

Search Tool • Home screen prominence for immediate searches for events, businesses, menu items, and retail brands

Map of North Hills • Points of interest for businesses, events, special offers • Locations for parking, EV charging stations, ATMS, event venues

Business Listings • Category listing, description, hours, phone number, location, and directions

Events • Upcoming events, descriptions, and locations

Parking • Outlines of parking decks, deck entrances, and EV charging stations • Once parked, users can mark their vehicle to easily locate vehicle

ONLINE

Facebook: 34,606 Total Likes for all accounts

North Hills continues to grow its impressive online presence through a thoughtful focus on fresh content, new relationships with community partners, and new marketing techniques. In 2016, North Hills social media accounts reach an audience of nearly 67,000, while the North Hills website attracted 331,680 users and generated over 1,800,000 pageviews.

• North Hills Kids: 4,812 Likes

• North Hills: 25K Likes • Midtown Farmers’ Market: 3,351 Likes • Midtown Park: 1,443 Likes Twitter: 17,462 Followers for all accounts • @VisitNorthHills: 16,479 Followers • @MidtownFarmers: 983 Followers Instagram: 14,194 Followers for all accounts • @VisitNorthHills: 10.3K Followers • @MidtownFarmers: 862 Followers • @MidtownEvents: 3,032 Followers

1,820,866 VIEWS 66,490 PLAYS 2,253,165 VIEWS 34,606 LIKES 17,462 FOLLOWERS

Pinterest: 649 Followers With a mission to drive traffic into the doors of retailers and restaurants, followers have substantially increased in the last year. Attention grabbing collages, lists and high frequency of posting will grow engagement in this female dominated platform. North Hills YouTube: 66,490 video plays New videos of a variety of content helped to increase the number of views to our YouTube channel. Continued effort in merchant interviews, product reviews, and chef demos will share the story of North Hills before guests arrive. North Hills Google+: 2,253,165 page views

14,194 FOLLOWERS 649 FOLLOWERS

With current and relevant content, the North Hills page provides an improved presence in search engines, getting the attention of new guests while they are in the decision-making process and before they arrive to NH.

NORTH HILLS GIVES BACK North Hills is proud to support and assist in creating awareness for many Triangle nonprofits Donations in 2016 totaled $18,854.00

Fountain Wrap

Banners

SPONSORSHIP & PROPERTY BRANDING Event Sponsorship Opportunities available for:

Midtown Events is focused on creating memorable brand experiences for advertisers at North Hills by creating large-scale brand campaigns that entertain, educate and command attention while also enhancing the property. As guests enjoy various onsite amenities and events, they are exposed to and captivated by unique brand placements and imagery.

• Midtown Farmers’ Market ~ 10th Year! • Midtown Beach Music Series ~ 10th Year! • Midtown Music Fest • Midtown Bluegrass Series

Property Branding Opportunities

• Kickin’ It Country

• Banners

• Sunday FUNDay

• LED Display Board

• Wellness Wednesdays

• Vinyl wraps

• North Hills Kids

• Wallscapes

• Friday Night Tributes • North Hills Tree Lighting

Banners

Vinyl Wraps

LED Display Board

Wallscapes

Banners

EVENTS MIDTOWN EVENTS BROUGHT OVER 400 EVENTS, PROGRAMS, AND PROMOTIONS TO NORTH HILLS IN 2016. WELL-ESTABLISHED, COMMUNITY FAVORITES RETURNED AND NEW EVENTS & PROGRAMS WERE WELCOME.

Midtown Farmers’ Market

North Hills Kids

April 15 – November 4, 2017

May 1 – August 15, 2017

Back for its 9th season in 2016, the Midtown Farmers’ Market continues to be a community favorite. The “Producers Only” market sources from a 100-mile radius providing items made and sold by those vendors present on-site. The Market truly provides local residents the opportunity to support North Carolina Farmers every Saturday, while enjoying a vast selection of local, organic produce and meats, homemade bread goods, live music, along with health and wellness focused fitness programming.

A seasonal series of fun-filled events that provides an opportunity for children to learn, exercise, and socialize in an outdoor environment. Small children and their parents enjoy the Open Play area, located in the North Hills Commons, each spring and summer. The Commons green is filled with tumbling mats, soft foam equipment and then surrounded by colorful fencing. The young guests are also invited to attend special, weekly programs designed to highlight local children’s attractions, activity classes, and kid-friendly performances held in Midtown Park.

Midtown Beach Music Series

Wellness Wednesdays

April 20 – August 17, 2017

March 29 – June 28 and August 2 – October 4, 2017

Celebrating 10 years this year, the Thursday evening Midtown Beach Music Series at North Hills is an established, well-attended event - beloved by young and old alike. This series draws event goers, not just from the Triangle area, but from around North Carolina hosting over 125,000 guests throughout the 17-week season. The series offers the best of Beach Music on warm weather nights and features Shag dancing, a time-honored tradition in the South.

The Wellness Wednesdays Series consists of free fitness opportunities made up of two twelve-week seasons, spanning Spring and Fall. These events encourage participants to “Get Your Fit On” by promoting whole-body wellness through a wide variety of fitness concepts.

Kickin’ It Country

Midtown Bluegrass Series

June 3, 2017

May 7 and September 17, 2017

Our annual country music event, Kickin’ It Country, is a Southern celebration in Midtown Park. In 2016, the event featured three bands - Josh Phillips, Jacob Bryant, and The Chris Weaver Band, a North Carolina Pork Council sanctioned Whole Hog Series BBQ Cook-Off, kids activities, local breweries and vendors from around the area.

The Midtown Bluegrass Series appeals to old and young alike, featuring the best of bluegrass with popular string band music. With its unique combination of gospel, country, and blues, that iconic “high lonesome sound” has deep rooted ties to the Appalachian region of the Tarheel state. Concert guests are invited to relax on the grassy lawn of Midtown Park and enjoy family and friends on Spring and Fall Sunday afternoons.

Kickinâ&#x20AC;&#x2122; It Country

Wellness Wednesdays

Midtown Music Fest

Friday Night Tribute Series

Midtown Farmersâ&#x20AC;&#x2122; Market

North Hills Kids

Midtown Beach Music Series

Midtown Bluegrass Series

Midtown Music Fest

Friday Night Tribute Series

April 29, 2017

August 25 – October 13, 2017

Midtown Music Fest is a celebration of North Carolina. The annual event features local vendors from around the area, craft beers, and bands from the Carolinas. The event was presented in 2016 by: Big Boss Brewing Company, Bud Light, and Bold Rock Hard Cider, with radio partner G105.

The Friday night block party returns to Midtown Park in the Fall for its sixth year with the feel good music series highlighting music the community knows and loves. The series appeals to young and old alike, paying homage to throwback music genres starting in the 60’s to current day favorites. Live music will fill the air as an ideal place for friends, family, and co-workers to gather in celebration of the weekend to come.

National Night Out August 1, 2017

Tree Lighting Celebration

National Night Out welcomes local Public Safety officials to casually interact with the constituents they protect and serve. It’s a great an opportunity for communities and public servants to partner on crime prevention, safety and demonstrate community building. Local law enforcement and safety departments, restaurants, and vendors join together to celebrate at Midtown Park.

November 18, 2017 The Annual Tree Lighting Celebration kicks off the Christmas season with the lighting of the most magnificent tree in town! Santa Claus makes his way to Midtown, spreading cheer and merriment on this festive day full of holiday fun.

AND MORE Race 13.1 - Midtown Race Series

ACS: Making Strides Against Breast Cancer

June 3, 2017

October 14, 2017

LUNGe Forward Race/Walk September 24, 2017

Midtown Farmersâ&#x20AC;&#x2122; Market

Tree Lighting Celebration

Friday Night Tribute Series

Wellness Wednesdays

Midtown Beach Music Series

SPONSORS & PARTNERS We are grateful for the sponsors and partners that helped make the 400 events and programs of 2016 possible.

MIDTOWN SINCE ITS REDEVELOPMENT IN 2004, NORTH HILLS HAS BEEN THE HEARTBEAT OF MIDTOWN RALEIGH, THE 2.5 MILE RADIUS AROUND NORTH HILLS. MORE VIBRANT THAN EVER, THE COMMUNITY BEYOND NORTH HILLS OFFERS MORE FOR THOSE THAT LIVE, WORK, AND PLAY IN MIDTOWN.

MIDTOWN RALEIGH ALLIANCE Membership for the Midtown Raleigh Alliance has grown steadily and our Board of Directors welcomed new representatives from North State Bank, Bank of America, Raleigh Magazine and SunTrust to its leadership ranks. In May, Alliance business leaders initiated discussions with experts on providing transit benefits for employees to keep our area competitive when recruiting talent. Panelists included GoTriangle executives and representatives from the American Tobacco Campus and the RTP Foundation. MRAâ&#x20AC;&#x2122;s commitment to bringing better transit options to Midtown continues to drive these and like conversations as we prepare for enhanced mobility in our region. The Midtown Raleigh Alliance has continued its mission to advocate for Midtownâ&#x20AC;&#x2122;s needs and plan for its continued success. The MRA has provided members with new programs and member benefits including special area hotel member room rates, magazine subscription to Raleigh Magazine and the development of a Midtown Arts to Team. The Midtown Raleigh Alliance has also joined other business and elected leaders in the RaleighTogether transit support program which seeks to bring artistic expression to a number of new and existing transit facilities. The next topic of interest to the MRA includes a Transportation Forum featuring NC Transportation Secretary Nick Tennyson to apprise members and community leaders about statewide policy changes and programming initiatives that affect our Triangle region.

SIX FORKS CORRIDOR STUDY In 2015, the City of Raleigh completed a study to enhance the Six Forks Road Corridor from I-440 to Lynn Road. The vision of the Six Forks Road Corridor Study is to enhance the corridor in a way that creates a sense of place that is “Uniquely Midtown” with:

• Transportation modes of all types • Neighborhood gateways • An irresistible gathering place After a series of revisions and discussions, City Council has asked the consultants and city staff to develop a new four-lane plan to include improvements for pedestrians and bicyclists. The staff will submit a new plan following a public meeting, council session, and two design sessions over the next five months.

• Enhanced fluidity of movement • Environmental sensitivity • Connectivity for residents, workers, students, and visitors

MIDTOWN CERT Midtown CERT was approved and established in 2015 by the Department of Homeland Security and Federal Emergency Management Association, and listed in the national database. Midtown CERT is one of only two CERT program in the City of Raleigh, one of 13 within the Triangle and 68 in the State of North Carolina. CERT (Community Emergency Response Team) is a FEMA and DHS program that prepares citizens and community members for disasters and hazards that may impact their area and trains them in basic disaster response skills: • Fire Safety • Light Search and Rescue • Team Organization • Disaster Medical Operations In 2006, Kane Public Safety became the first CERT program in a mixed-use development. KRC Risk Manager Herb Ubbens, Public Safety Captain Robert Way, Public Safety Major Jason Hunt and Chief Robert Batista became CERT program trainers in June 2015 and led the way in creating Midtown CERT. Currently all ground crew members for Midtown Property Services and Kane Realty Corp. have been trained and are active members of the Midtown CERT team. CERT Basic training classes will take place in the Spring, Summer and Fall of 2017.

ACCOLADES

Why Raleigh?

WE ARE FORTUNATE TO BE IN THE RALEIGH MARKET. Raleighâ&#x20AC;&#x2122;s market continues its momentum through the diversity of high-paying jobs from the biotech, medical, pharmaceutical industries and growth of the professional service sector. Our city and region continues to garner numerous accolades from national organizations.

Best Cities for Men to Be Fit and Happy

Best Big Cities in the Southeast

Top 25 Best Cities for Jobs

Eastiest City to Find a Job

2016

2015

2016

Best Metro Area in the United States

Best Midsize Metros for Job Seekers

Best Cities for Young Families

10 Most Hospitable U.S. Cities

2015

2016

Best Place to Live

City With the Most Job Openings Per Person

City Secretly Great for Tech Grads

Mid-Sized American Cities of the Future

2016

2015

2016

2015

JOHN KANE 2016 Tar Heel of the Year News & Observer On January 1, 2017, the News & Observer awarded John Kane with their top honor, Tar Heel of the Year. John Kane was recognized for his vision and for emerging “as one of the Triangle’s most successful dealmakers, a catalyst for growth and mass transit.”

2016 DEVELOPER OF THE YEAR NAIOP of North Carolina On March 15, 2016, Kane Realty Corporation was awarded the 2016 Developer of the Year Award by NAIOP of North Carolina for consistent excellence with commercial real estate development and positive economic impact in the community. The award highlighted the redevelopment of North Hills, Stanhope Student Apartments near NC State University, and The Dillon in downtown Raleigh.