2375 FOREST AVE SAN JOSE, CA 95128 OFFERING MEMORANDUM CONFIDENTIALITY AND DISCLAIMER

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. NON-ENDORSEMENT NOTICE Marcus & Millichap Real Estate Investment Services, Inc. (“M&M”) is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorse- ment by, said corporation of M&M, its affiliates or subsidiaries, or any agent, product, service, or com- mercial listing of M&M, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers. Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corpora- tion’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers. SPECIAL COVID-19 NOTICE All potential buyers are strongly advised to take advantage of their opportunities and obligations to conduct thorough due diligence and seek expert opinions as they may deem necessary, especially given the un- predictable changes resulting from the continuing COVID-19 pandemic. Marcus & Millichap has not been retained to perform, and cannot conduct, due diligence on behalf of any prospective purchaser. Marcus & Millichap’s principal expertise is in marketing investment properties and acting as intermediaries between buyers and sellers. Marcus & Millichap and its investment professionals cannot and will not act as lawyers, accountants, contractors, or engineers. All potential buyers are admonished and advised to engage other professionals on legal issues, tax, regulatory, financial, and accounting matters, and for questions involv- ing the property’s physical condition or financial outlook. Projections and pro forma financial statements are not guarantees and, given the potential volatility created by COVID-19, all potential buyers should be comfortable with and rely solely on their own projections, analyses, and decision-making.)

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS. exclusively listed

Investment Sales:

Jimmy Castellanos Senior Associate Investments PALO ALTO (650) 391-1777 Direct (408) 483-5040 Mobile [email protected] License: CA 02024152

Josh Johnson First Vice President Investments PALO ALTO (650) 391-1784 Direct [email protected] License: CA 01930127

Broker Of Record: Adam Christofferson Broker Encino Office Tel: (818) 212-2750 Fax: (818) 212-2710 [email protected] License: CA 01240999

OFFICES NATIONWIDE www.marcusmillichap.com Table of Contents

EXECUTIVE SUMMARY Offering Summary ...... 2

PROPERTY DESCRIPTION Investment Overview ...... 4 Investment Highlights ...... 5 Interior Photos ...... 6 Aerial Map ...... 8

MARKET OVERVIEW Demographics ...... 10 Demographics ...... 11 executive summary Offering Summary SUMMARY EXECUTIVE 2375 FOREST AVE SAN JOSE, CA 95128

THE OFFERING UTILITIES Property 2375 Forest Ave* Water Individually Metered PROPERTY

DESCRIPTION Property Address 2375 Forest Ave, San Jose, CA Electric Individually Metered Price $1,888,000 Gas Individually Metered Assessors Parcel Number 274-45-077 Zoning CO, Commercial Office CONSTRUCTION

* This is a medical office building. Foundation Perimeter Framing Wood Frame ANALYSIS FINANCIAL SITE DESCRIPTION Exterior Stucco Number of Floors One Parking Surface Concrete Year Built/Renovated 1970/2015 Roof Composition Shingles Rentable Square Feet 1,512 SF Ownership Fee Simple MECHANICAL Lot Size 0.13 acre(s) HVAC Central Air Parking Six Spaces COMPARABLES Parking Ratio 3.96/1,000 SF Topography Slightly Above Grade Intersection/Cross Street North Baywood Avenue MARKET OVERVIEW

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are 2 approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap property description Investment Overview

2375 Forest Avenue is a 1,512-square-foot deluxe boutique medical office building SUMMARY EXECUTIVE situated on a 5,800-square-foot site across from in San Jose, . This meticulously well-maintained medical office has been completely rehabilitated by the seller to provide occupants with private, yet accessible, office space that is unrivaled by any other owner-occupied medical office building in the neighborhood. The building features two private entrances, two patient waiting rooms, and four private patient consultation rooms, making it ideal for either one or two occupants. The property features six on-site parking spaces and there is ample street parking along Baywood Avenue. PROPERTY DESCRIPTION 2375 Forest Avenue is located directly across from Westfield Valley Fair, which recently underwent a $1.1 billion expansion and renovation and a short distance from . Additionally, the property is near O’Connor Hospital, Valley Medical Center, and a large concentration of medical office buildings along Forest Avenue. The property is centrally located in and is easily accessible from Interstate 280 and Interstate 880. It is in a densely-populated neighborhood near major tech employers and universities, allowing for a dynamic demographic of potential patients ANALYSIS FINANCIAL and clientele. This property is in the Cory Neighborhood of San Jose, which is a quaint tree-lined residential neighborhood where home values have averaged $1.3 million over the past three years. The subject property offers an investor or owner/ user the opportunity to own a well-located, pride of ownership medical office building in an area that will continue to see a high demand for conveniently-located office space COMPARABLES MARKET OVERVIEW

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 4 performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap EXECUTIVE Investment Highlights SUMMARY

■ Ideal Owner/User or Investor Medical Office Opportunity

■ Exceptionally Well-Located Property Across Westfield Valley Fair in San Jose

■ Turnkey Property with more than $500,000 in Recent Capital Improvements

■ Building Configuration Allows for One or Two Tenants DESCRIPTION PROPERTY

■ Proximate to O’Connor Hospital, Valley Medical Center, and a Concentration of Medical Office Buildings Along Forest Avenue

■ Easily Accessible from Interstate 280 and Interstate 880

■

Densely-Populated Neighborhood with Attractive Income Demographic FINANCIAL ANALYSIS COMPARABLES OVERVIEW MARKET

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap 5 Interior Photos Interior Photos Aerial Map

san tomas expy

CUPERTINO VILLAGE

saratoga ave san tomas expy san tomas

2375 FOREST AVE STEVENS CREEK CENTRAL VALLEY FAIR

stevens creek blvd MAIN STREET SANTANA ROW SANTANA

8 market overview

san tomas expy

CUPERTINO VILLAGE

saratoga ave san tomas expy san tomas

2375 FOREST AVE STEVENS CREEK CENTRAL VALLEY FAIR stevens creek blvd MAIN STREET SANTANA ROW SANTANA Area Overview

Known to the world as Silicon Valley, the San Jose metro is located at the southern SUMMARY EXECUTIVE end of the San Francisco Bay and encompasses Santa Clara and San Benito Counites. A large portion of the area’s 1,315 square miles is unincorporated ranch and farmland. The metro contains roughly 2 million inhabitants and more than half of the region’s residents reside in the City of San Jose. It is the metro’s largest city, with more than 1 million residents, followed by Sunnyvale and Santa Clara. Venture capital funds received in the 1990s helped to turn the area into the world’s most prominent technology hub, a distinction that remains today. PROPERTY

DESCRIPTION The San Jose employment base contains more than 1.1 million workers, ranking the metro as one of the 30 largest job markets in the nation. There are 18 Fortune 500 companies headquartered in the San Jose metro, including Cisco Systems, Intel, Apple, eBay and Alphabet. The area’s many institutions of higher learning, including Stanford, San Jose State, and , support these companies by graduating thousands of engineering and computer science students each year. ANALYSIS FINANCIAL

The metro is expected to add approximately 107,300 people through 2024 and during the time more than 41,000 households will be formed. High home prices contribute to a home ownership rate below the national rate of 57 percent. Roughly 48 percent of COMPARABLES residents age 25 and older hold a bachelor’s degree, including 22 percent who have also obtained a graduate or professional degree. The San Jose metro has an enviable combination of major universities that produce a highly-educated workforce, cutting-edge firms and exceptional affluence. Residents can visit a variety of museums, including the and the Tech Museum of Innovation. Santa Clara County is home to performing arts companies and hosts the San Jose Jazz Festival. The San Francisco 49ers play their home MARKET OVERVIEW games at Levi’s in Santa Clara and the hockey team plays at the SAP center in San Jose. Other sports venues include and . The metro is close to San Francisco and some of the world’s finest wine-producing regions, notably the Napa, Sonoma, and Alexander valleys.

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future 10 performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap EXECUTIVE Demographic Summary SUMMARY

POPULATION 1 Miles 3 Miles 5 Miles HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles 2024 Projection 2019 Estimate Total Population 26,615 257,212 628,292 $200,000 or More 21.37% 19.52% 22.03% 2019 Estimate $150,000 - $199,000 14.57% 13.97% 14.88% Total Population 25,310 244,974 600,125 $100,000 - $149,000 18.43% 19.49% 19.54%

2010 Census $75,000 - $99,999 9.09% 9.69% 9.20% DESCRIPTION PROPERTY Total Population 23,200 225,535 554,903 $50,000 - $74,999 11.49% 11.95% 10.45% 2000 Census $35,000 - $49,999 8.36% 8.27% 7.55% Total Population 21,993 213,345 521,194 $25,000 - $34,999 5.29% 5.18% 4.86% Daytime Population $15,000 - $24,999 5.62% 5.22% 5.02% 2019 Estimate 25,310 244,974 600,125 Under $15,000 5.79% 6.70% 6.47% Average Household Income $157,832 $150,162 $158,774 Median Household Income $111,082 $107,068 $115,918 HOUSEHOLDS 1 Miles 3 Miles 5 Miles Per Capita Income $67,921 $60,017 $60,731 2024 Projection FINANCIAL ANALYSIS Total Households 11,448 102,487 239,571 POPULATION PROFILE 1 Miles 3 Miles 5 Miles 2019 Estimate Population By Age Total Households 10,844 97,165 227,981 2019 Estimate Total Population 25,310 244,974 600,125 2010 Census Under 20 20.2% 22.2% 23.5% Total Households 9,645 86,832 205,399 20 to 34 Years 24.1% 26.6% 24.4% 2000 Census 35 to 39 Years 7.9% 8.4% 8.1% Total Households 9,292 82,849 192,559 40 to 49 Years 13.8% 14.1% 14.5%

50 to 64 Years 19.2% 17.2% 17.5% COMPARABLES Age 65+ 14.9% 11.6% 12.0% HOUSING UNITS 1 Miles 3 Miles 5 Miles Median Age 38.6 35.7 36.3 Persons In Units Population 25+ by Education Level 2019 Estimate Total Occupied Units 11,077 98,754 231,030 2018 Estimate Population Age 25+ 18,762 173,927 420,432 1 Person Units 34.57% 31.59% 28.69% Elementary (0-8) 3.18% 3.57% 4.39% 2 Person Units 32.10% 30.66% 29.75% Some High School (9-11) 4.90% 5.36% 5.33% 3 Person Units 14.63% 16.00% 16.76% High School Graduate (12) 16.65% 16.09% 14.77% 4 Person Units 11.22% 12.51% 14.44% Some College (13-15) 20.38% 18.09% 16.47% 5 Person Units 4.47% 5.21% 5.71% Associate Degree Only 7.20% 6.72% 6.65% 6+ Person Units 3.00% 4.03% 4.65%

Bachelors Degree Only 28.53% 28.23% 28.00% OVERVIEW MARKET Graduate Degree 17.71% 20.42% 22.56% Population by Gender 2018 Estimate Total Population 25,310 244,974 600,125 Male Population 49.29% 50.99% 50.89% Female Population 50.71% 49.01% 49.11%

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap 11 exclusively listed

Investment Sales: Jimmy Castellanos Senior Associate Investments PALO ALTO (650) 391-1777 Direct (408) 483-5040 Mobile [email protected] License: CA 02024152

Josh Johnson First Vice President Investments PALO ALTO (650) 391-1784 Direct [email protected] License: CA 01930127

Broker Of Record: Adam Christofferson Broker Encino Office Tel: (818) 212-2750 Fax: (818) 212-2710 [email protected] License: CA 01240999

OFFICES NATIONWIDE www.marcusmillichap.com