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BRENTWOOD SANTA MONICA

SANTA MONICA BOULEVARD

WESTGATE AVENUE

1526 OFFERING MEMORANDUM WESTGATE A premier multifamily or small lot subdivision development WEST , CA 90025 opportunity located in prime West Los Angeles, CA EXCLUSIVELY LISTED BY: 1 2 3 4 5 EXECUTIVE NEW CONSTRUCTION DEVELOPMENT SALES AREA OVERVIEW MICHAEL STERMAN SUMMARY RENT SUVEY GUIDELINES COMPARABLES First Vice President Investments Director - National Multihousing Group Tel: (818) 212-2784 Mobile: (818) 943-2319 [email protected] License: CA 01911703

MICHAEL KAMARA Investment Associate Member - National Multihousing Group Tel: (818) 212-2666 Mobile: (310) 666-5837 [email protected] License: CA 02062158

This information has been secured from sources we believe to be reliable, but we make no repre- sentations 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 exam- ple 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. © 2016 Marcus & Millichap 2 3 Prime West Los Angeles Location

1526 WESTGATE Potential to build 4 SLO Homes WEST LOS ANGELES, CA 90025 or 9 Apartment units

by-right or up to 15 units with a IDAHO state density bonus

AVENUE

SANTA MONICA BOULEVARD

Convenient accessibility to local retail and amenities

WESTGATE AVENUE 4 5 1526 WESTGATE a premier multifamily or small lot subdivision development opportunity in prime West Los Angeles, CA

Marcus & Millichap, as exclusive listing agent, is pleased to present 1526 S Westgate Avenue, a premier SLO or apartment development opportunity in prime West Los Angeles, CA.

This unique development opportunity is comprised of 7,000 SF of land zoned [Q]R3-1 with rear alley access, allowing for a “By Right” 9-unit apartment project or 4 small lot single family homes. A developer may also apply for a State Density bonus, allowing for the option to increase the density by 35% (14 units) with 11% VLI affordable units or up to 50% (15 units) with 15% VLI affordable units.

The property is currently comprised of 4 units with a unit mix of (3) 1 bedroom / 1 bath units and (1) 2 Bedroom / 1 Bathroom unit. The current building is 2,840 SF and was built in 1955.

1526 S Westgate Avenue has a prime location in the world-renowned West Los Angeles. Situated just two parcels south of Santa Monica Boulevard, which is quickly becoming the premier new development corridor of West LA. 1526 S Westgate Avenue is surrounded by affluent neighborhoods, home to expensive residences, as well as numerous high profile office and residential developments. The subject property is uniquely positioned in one of the most connected areas in Los Angeles. Within short walking distance to the numerous boutique retail and dinings destinations along Santa Monica Boulevard, future residents will benefit from conveniently accessibility to everything that the Westside has to offer.

6 7 ELEVATE (UCLA HOUSING + TARGET) - 100 FEET AWAY

THE OFFERING

PROPERTY SUMMARY

Address 1526 S Westgate Ave, Los Angeles, CA 90025

Price $2,500,000

Land Size (SF) 7,000 SF A 4 SLO Home or 9 unit Prime West Los Angeles development opportunity Location $ / SF $357.14

“By Right” Units 9

Density Bonus Units 14 (35%) | 15 (50%)

$ / Unit (By Right) $277,778

$ / Unit (DB) $166,667

APN 4262-005-017 Pedestrian-Oriented Community Surrounded by major shopping allowing tenants to run daily errands center developments Zoning [Q]R3-1 without a car

8 9 CONCEPTUAL RENDERING

CONCEPTUAL PROJECT a 4 SLO or 9-15 unit “residential development project

DEVELOPMENT GUIDELINES

“By Right” Density Bonus

1 du / 800 SF Density 1 du / 800 SF (+35%-50%)

Units 9 14-15

Min. Affordable Units 0 2-3

Floor Area Ratio 3 : 1 4.5 : 1

Height 45’ 56’

10 11 CURRENT RENT ROLL

RENT ROLL SUMMARY

UNIT UNIT TYPE RENT

1528 1+1 $1,280.00

1530.5 2+1 $2,231.00

1526 1+1 $689.62

1530 1+1 $630.00

12 13 NEW CONSTRUCTION RENT SURVEY

14 15 RENT SURVEY - NEW CONSTRUCTION

1 &Pico - 11916 W Pico Blvd, Los Angeles, CA 90064

UNIT TYPE AVG. RENT UNIT SIZE (SF) AVG. RENT / SF Studio $2,585 476 SF $5.43 1 Bed / 1 Bath $3,425 711 SF $4.82 $2,674 | $5.40/SF 2 Bed / 2 Bath $4,495 978 SF $4.60 AVERAGE STUDIO YEAR BUILT: 2019

2 Linea - 2455 S Sepulveda Blvd, Los Angeles, CA 90064 3 UNIT TYPE AVG. RENT UNIT SIZE (SF) AVG. RENT / SF Studio $2,763 515 SF $5.37 1 Bed / 1 Bath $3,378 681 SF $4.96 2 2 Bed / 2 Bath $4,351 992 SF $4.39 YEAR BUILT: 2019 $3,341 | $4.71/SF 1 AVERAGE ONE BEDROOM 3 The SW by CLG - 1947 Sawtelle Blvd, Los Angeles, CA 90025 4

UNIT TYPE AVG. RENT UNIT SIZE (SF) AVG. RENT / SF 1 Bed / 1 Bath $3,499 790 SF $4.43 2 Bed / 2 Bath $4,299 999 SF $4.30 YEAR BUILT: 2019

3 C on Pico - 12301 W Pico Blvd, Los Angeles, CA 90064 $4,234 | $4.44/SF AVERAGE TWO BEDROOM UNIT TYPE AVG. RENT UNIT SIZE (SF) AVG. RENT / SF 1 Bed / 1 Bath $3,063 664 SF $4.61 2 Bed / 2 Bath $3,792 853 SF $4.45 YEAR BUILT: 2013

16 17 COMPARABLES ANALYSIS LAND

18 19 SALES COMPARABLES - LAND

SOLD 3 # ADDRESS SALE PRICE LAND SF ZONING “BY-RIGHT” UNITS $/SF $/ BUILDABLE UNIT COE DATE

Subject Property $2,500,000 7,000 [Q] R3-1 9 $357.14 $277,778 - 1526 S Westgate Avenue

2456-2460 Purdue Ave, 1 $5,667,000 15,002 R3 18 $37 7.75 $314,833 12/30/19 1 Los Angeles, CA, 90064

12518-12524 1/2 Venice Blvd, 2 $5,276,000 13,939 R3 17 $378.51 $310,353 10/11/19 Los Angeles, CA 90066

1820 Prosser Ave, 3 $2,500,000 7,052 R3 8 $354.51 $312,500 11/7/19 Los Angeles, CA 90025

AVERAGE $370.26 $312,562 2

20 21 SALES COMPARABLES - LAND

1 2456-2460 PURDUE AVE 2 12518-12524 1/2 VENICE BLVD 2456-2460 Purdue Ave, 12518-12524 Venice Blvd, Address Address Los Angeles, CA, 90064 Los Angeles, CA 90066 Sale Price $5,667,000 Sale Price $5,276,000 SF 15,002 SF 13,939 Zoning R3 Zoning R3 Buildable Units 18 Buildable Units 17 $/SF $377.75 $/SF $378.51 $/Buildable Unit $314,833 $/Buildable Unit $310,353 COE Date 12/30/2019 COE Date 10/11/2019

3 1820 PROSSER AVE 1820 Prosser Ave, Address Los Angeles, CA 90025 Sale Price $2,500,000 SF 7,052 Zoning R3 Buildable Units 8 $/SF $354.51 $/Buildable Unit $312,500 COE Date 11/7/2019

22 23 AREA OVERVIEW WEST LOS ANGELES

24 25 THE GEOGRIAN HOTEL MARINA DEL REY PLAYA VISTA SHOPPING MALL

Natural Beauty, Boutique Dining, Famed Shopping an iconic urban experience.

LOCATION The Los Angeles Westside is an urban region in western Los Angeles County, California. It has no official definition, but according to the Los Angeles Times, it comprises 101.28 square miles, encompassing not only districts in the city of Los Angeles but also two unincorporated neighborhoods, plus the cities of Beverly Hills, West , Culver City, and Santa Monica.

COASTLINE AND BEACHES Broad, glistening beaches stretch for 26 miles along the scenic Santa Monica Bay, with 3.5 of those miles falling within Santa Monica proper. Primary beaches include Santa Monica State Beach and Will Rogers State Beach, both of which are popular for swimming, surfing, running, and beach METRO EXPOSITION LINE

BUSINESS Nearby Playa Vista has become Los Angeles’ emerging tech hub. From titans like YouTube, Space LA, and IMAX, to creative powerhouses like 72andSunny and USC’s Institute of Creative Technologies, Playa Vista has become fertile ground for innovation and connection.

DINING Downtown Culver City / Palms Eateries Include: Akasha. Novecento, AR Cucina, Bacoshop, Roccos Tavern, Rush Street, Public School 310, Tender Greens, Meet in Paris, Wildcraft, Ford’s Filling Station, and Father’s Office.

SHOPPING Downtown Culver City is a charming collection of outdoor cafes, unique shops, art galleries, creative offices and vibrant nightlife opening onto tree-lined boulevards. It boasts a City Hall of stunning architecture, ’s nationally renowned Theatre. Striking landmark buildings are home to an array of entrepreneurial CULVER CITY ARTS DISTRICT businesses and creative enterprises, along with a wide selection of retail and restaurant services for local residents to enjoy. Downtown Culver City offers the perfect combination WESTSIDE LOS ANGELES LOS WESTSIDE of small town charm, with all the benefits of cosmopolitan big-city living. 26 27 METRO EXPO LINE TRANSIT-ORIENTED

The Expo Line extension from Culver City to Santa Monica opened on May 20, 2016. With the opening of the Metro Expo Line extension, travelers can ride from Downtown L.A. to Santa Monica in 45 minutes. The Expo Line is part of the greater Metro Rail system, connecting Santa Monica with Hollywood, Pasadena, Long Beach, San Fernando Valley, and the South Bay and dozens of points in between. The Expo Line extension from Culver City to Santa Monica opened on May 20, 2016. The 6.6-mile extension adds seven stations, offering convenient access to Santa Monica, Sawtelle Japantown, Westwood Village and numerous hotels, museums, restaurants and shopping destinations. 5850 Washington Boulevard is conveniently located walking distance to the La Cienega/Jefferson station. It is a 10 minute walk to the station, which easily connects riders to Santa Monica or Downtown Los Angeles. 88 WALKSCORE

Most errands can be accomplished by foot

66

Many nearby public transportation options

78

Very Bikeable

28 29 313,843 Population Within a 3 Mile Radius 48.2% 51.8% $110,792 355,384 $78,720 POPULATION PROFILE MALE FEMALE Average HH income Daytime Population within 3-m radius Median HH income within 3-m radius within 3-m radius

139,711 7.19% 53.1% 86,683 Total households in a 3-M radius Household growth since 2010 Population under 40 years old Renter occupied units in a 3-mile radius 51,039 249,730 840,608 Owner Occupied Households Renter Occupied Households Population within a 5-m radius within 3-m radius within 5-m radius West LA... a true transit and pedestrian oriented comunity West Los Angeles area boasts an ideal location for transportation strategically positioned immediately to the southeast of the 405 and 10 freeway interchange, which serve as the primary north, south, east, and west highway arteries juxtaposing the Westside with the rest of Los Angeles. Gateway Apartments offers residents convenient access to local employers, cultural attractions and entertainment destinations without the use of a car.

The property is just a 10-minute walk to the dedicated Bundy Station LA Expo Line which provides a fast and efficient public transportation system from West Los Angeles to Downtown Los Angeles (to the East) and Santa Monica (to the West) further advancing the appeal of the Westside’s location. This metro station makes it easy for passengers to travel east and west to and from the traffic-riddled areas of Los Angeles at a very small cost. DEMOGRAPHICS 30 31 32

PLAYA VISTA “Silicon Beach” has as emerged the Westside’s Playa Vista is situated just over two mileswestofthe Triangle Jefferson Playa Vistaissituatedjustovertwo alongJefferson fertile groundfertile forinnovationandconnection. 72andSunny andUSC’s InstituteofCreative Technologies, PlayaVistahasbecome tech hub.From titanslike YouTube, SpaceLA,andIMAX,tocreative powerhouses like Care facility. Next door to Runway isthe Campus, home to Playa Vista’s emerging Hal’s Bar &Grill,800Degrees Care aswella new Cedars-Sinai andUrgent Primary Retailers atRunway includeWhole Foods Market, Cinemark,SolCocina,Panini Café, 200,000 space. square andoffice footshopping centeralongwithapartments new Runway mixed-usecommercial andsocialcenterthatincludesanapproximate Boulevard. Ithasbecomeadestinationinitsownrightwithattractions suchasthe “Google officially moves in to Playa Vista’s Spruce Goose hangar” Goose Spruce Vista’s Playa to in moves officially “Google right nexttothe hangar. Google also spent $120 million in 2014 to purchase 12 acres of vacant land 319,000-square-foot, spacein2016. seven-story-tall The movetoPlayaVistahasbeen alongtimecoming.Googleleasedthe where since2011. Googlehasheld offices three timesthe size inVenice, ofthe company’s offices Frank Gehry-designed Goose hangar—where Howard Hughes’s Hughes H-4Hercules wasbuilt—is Vista. Intermsofsize, the newlocationisanindisputable upgrade. The Spruce Two leasing a massive airplane hangar in Playa years ago, Google started premier tech hub. MARINA DEL REY Jamba Juice,Men’s Wearhouse, Ruth’s Pier1Imports, ChristSteakHouse tonameafew. and Brighton.VillaMarinaMarketplace features the Yard House,AMCMovieTheater, The Beans,DSW, Coffee Equinox,Gelson’s Market, Irori Sushi, Poke, Starbucks,Rainbow Acres, Fresh Brothers, ChipotleandCaliforniaPizza Kitchen. Retailers includeAnn Taylor L’occitane, Loft, Havaianas, DryBar, Waterside andVillaMarinaMarketplace. The Waterside includesrestaurants suchasSugarFishbySushiNozawa, Kreation, Mendocino Farms, Mainland accommodationssuchasthe RitzCarltonHotel.MarinaDelReybayside dining, premium alsofeatures wateractivitiesandluxury shopping two centers; The Just a10 minutedriveawayisthe seasideneighborhood ofMarinaDelRey. MarinaDelRey visitors offers someofthe bestLAbeaches, walkingtrails, the sea. meet where andurban business A highprofile lifestyle neighborhood Just 10 minutesfrom MotorAvenue Apartments Numerous Retail Options andEntertainment High Profile Employment District 33 DOWNTOWN CULVER CITY Just an 8 minute drive from the subject property El Capitan Theatre Culver City is experiencing a transformation on an immense scale.

Culver City is in high demand. It has become a prime destination to work, dine, shop and revel in the beauty of this historic movie town and its dynamic art scene. Culver City has become a focal point for culture and nightlife hosting an array of events while providing the clean and efficient transportation to reach them. CULVER HOTEL ARCLIGHT CINEMAS KIRK DOUGLAS THEATRE Culver City boasts an incredibly desirable demographic base - affluent, young, active and highly educated. With its centrality and a growing amount of retail as well as its housing and transportation options, many are choosing to live, work, and play in Culver City.

Situated 1.0 miles from The Motor Apartments, Sony Pictures Studios is one of the world’s most storied locations for motion picture production. Dating back nearly a century, the Culver City lot has been the site of countless entertainment classics, including Ben-Hur, Mutiny on the Bounty, Grand Hotel, The Wizard of Oz, and Singin’ in the Rain. Today, the studio continues to be a premier facility for film and television productions of all types, offering an impressive array of sound stages, state-of-the-art postproduction facilities and world-class support services amid an inspiring, historical setting.

Downtown Culver City is a charming collection of outdoor cafes, unique shops, art galleries, creative offices and vibrant nightlife opening onto tree-lined boulevards. It boasts a City Hall of stunning architecture, Center Theatre Group’s nationally renowned Kirk Douglas Theatre. Striking landmark buildings are home to an array of entrepreneurial businesses and creative enterprises, along with a wide selection of retail and restaurant services for local residents to enjoy. Downtown Culver City offers the perfect combination of smalltown charm, with all the benefits of cosmopolitan big-city living.

Downtown Eateries Include: Akasha. Novecento, AR Cucina, Bacoshop, Roccos Tavern, Rush Street, Public School 310, Tender Greens, Meet in Paris, Wildcraft, Ford’s Filling Station, and Father’s Office.

34 SONY PICTURES STUDIOS THE CULVER STUDIOS PLATFORM 35 EMPLOYERS THREE GIANTS COMING......

Westside Los Angeles is home to many large corporations. Sony Pictures Entertainment is the largest employer in Culver City, employing “The iPhone maker is expected to move into a new approximately 3,200 people. The immediate neighborhood is also building in Culver City in 2019.” home to the NFL Network, Symantec, and Beats by Dre. Entertainment and tech companies are flocking to the Culver City market to take Apple is confirming what its real estate dealings already signaled: that it plans to significantly advantage of the unique adaptive reuse creative office spaces and its expand its presence in Los Angeles as its original programming efforts grow. central location. The iPhone maker announced that it will boost its Culver City operations to over 1,000 Another prominent area where web content companies are clustering is employees as part of a nationwide expansion that includes the establishment of a 133-acre around the Hayden Tract in Culver City. Mahalo.com is a video and web campus in Austin, Texas. company, Sugar Publishing, the parent company of the popular video site Popsugar, and Maker Studios, a YouTube content company all have leased space at the Hayden Tract. Long known for its Hollywood studio connections, Culver City has quietly become a haven for tech startups “Culver Studios expands as Amazon commits to and such big-name companies as Beats Electronics and multichannel network Fullscreen. Hollywood film and TV production” New additions to the studio site will include five new office buildings and two new parking structures with over 1,900 parking spaces for studio workers. Employer # of Employees Amazon will lease four of the five new office buildings. 1 Sony Pictures Entertainment 3,200 Amazon is putting down deep roots in Culver City. The online retail and media 2 Southern California Hospital at Culver City 1,000 giant will occupy an impressive 530,000 square feet of the Culver Studios. 3 Symantec 900 4 Culver City Unified School District 771 5 City of Culver City 760 “Google leases most of Westside Pavilion as office space.” 6 Goldrich & Kest Industries, LLC 717 Google has signed a 14-year lease for the entirety of the office space, which will be 7 West Los Angeles College 575 known as One Westside when it is complete in 2022. This adds to an already long 8 NFL Media 500 roster of office space Google is already renting on the Westside. 9 Target 475 One Westside will be “a first-of-its-kind conversion” from shopping mall to creative 10 Beats by Dre 450 office space, according to Macerich and Hudson Pacific Properties, which own the mall.

36 37 WESTSIDE PAVILION “Google leases most of Westside Pavilion as office space... mall owners plan to convert much of the mall into creative offices starting this year”

The Westside Pavilion shopping mall will soon be home to nearly 600,000 square feet of Google offices. Google has signed a 14-year lease for the entirety of the office space, which will be known as One Westside when it is complete in 2022. This adds to an already long roster of office space Google is already renting on the Westside. One Westside will be “a first-of-its-kind conversion” from shopping mall to creative office space, according to Macerich and Hudson Pacific Properties, which own the mall. Hudson Pacific and Macerich plan to begin converting the mall into offices later this year.

The Gensler-designed project will reuse the mall’s existing high ceilings, multi-level atrium, and skylights. Outdoor terraces with giant accordion-style glass doors and a rooftop lounge will also be features of the completed office development.

“Google’s selection of One Westside demonstrates the strength of the Los Angeles tech and media industries, and exemplifies the type of creative office space that is in demand from large tech and media tenants,” Victor Coleman, chairman and CEO of Hudson Pacific Properties, said in a statement.

The Rancho Park mall is located close to the Westwood/Rancho Park Expo Line station—a much more transit-convenient location than Google’s recently opened offices in the former Spruce Goose hangar in tech-filled Playa Vista. Google moved into that space, which measures more than 500,000 square feet, in October.

EXPECTED BY 2022

38 39 1,200 CUMULUS APARTMENT UNITS The project will consist of mid-rise and high-rise buildings next to La Cienega/ Jefferson Station Located on an 11-acre site that once housed a radio broadcast facility, the project consists of a sev- en-story podium-type building and a 30-story tower that will feature a combined 1,210 apartments and 100,000 square feet of retail space.

The 320-foot-tall high-rise, designed by Chicago-based Solomon Cordwell Buenz, will contain 300 dwelling units atop a parking podium and residential amenities. 100KSF The larger podium-type building, which is being designed by Los Angeles-based TCA Architects, will RETAIL SPACE feature 910 apartments in addition to outdoor common areas and ground-floor shops and restau- rants.

Both buildings will wrap around a one-acre publicly-accessible green space, which is being de- signed by landscape architecture firm Studio MLA.

A project website describes the apartments as featuring high-ceilings, in-unit washer-dryer sets, and high-quality finishes. Planned amenities include 24-hour concierge service, co-working space, 100,000 square feet of landscaped courtyards, fitness centers, and rooftop observation decks. 320FT HIGH RISE

40 41 THE NEW HBO HEADQUARTERS HBO NEW THE 42

DEVELOPMENT WEST EDGE WEST known asLumenWest L.A. completed, the campuswill be nearly555,000-square-foot construction earlynextyearandwrapstart by2022. Once 10-storyacross two buildings. The developers expect to contains about300,000square feetofofficespacespread on OlympicBoulevard, Urbanize reported. Itcurrently entitlements to expand the Tridentnecessary Center, located Investors have secured Cook and Northwood theMcCarthy LUMEN WEST LA Construction hasBegun will beavailabletolowincomehouseholds.) making 150 percent ofthe area median incomeorless;fivepercent below-market rates. (15 percent willbeworkforce housing fortenants Twenty percent of West Edge’s 516 will be availableat apartments plus retail store, space,agrocery anda10-story officebuilding. The Gensler-designedcomplexwillhold more than500apartments, WEST EDGE LUMEN LA WEST spaces. include three levels of underground parking with a totalof579 parking ontopofthat.Theapartments newmixed-use complexwouldalso 24-hourput a55,430-square-foot, store grocery onthe lotwith166 planning documentshavebeenfiledshowing the latestplanisto City NOW - 11660-11674 SANTA BLVD MONICA NOW 43 WESTSIDE PAVILIONWESTSIDE TRANSFORMATION (GOOGLE) 44

DEVELOPMENT 11434 WPICOBLVD11434 median incomein the area. units willbeset asideforresidents makinglessthanhalf ofthe and the remaining units. 15 six willbe two-bedroom of the total Of the 129 units,63willbestudios, 60willbeone-bedrooms, garden. lounge, androoftop community proposed amenities forresidents includeagym,barbecue area, feet ofopenspacewouldalsobefeatured inthe project, while for cars andanadditional 146 spacesforbikes. 17,776 square undergroundatop atwo-level parkingstructure with154 spaces The DFHArchitects-designed structure wouldbebuilt five-story, 11460 GATEWAY BLVD underground parking. households. The levelsof newdevelopment wouldalsohold two Of those units,11 wouldbeavailable to extremely low-income 102-unit building onthe siteat11434 West PicoBoulevard. Amoroso onMondaytobuilda Companies,filedplanswiththe city LLC connected to the Calabasas-basedreal estateinvestmentfirm The owner11434 property PicoBoulevard Investors, an Apartments WPICO BLVD11434 COBALT machines, andflatscreen televisions. fitness center boastscardioThe equipment,fitness state-of-the-art social outdoorareas, waterfeatures.includes landscaped courtyards, cocherePorte entrance. space 40,000square feetofoutdooramenity A robust amenities packageincludesa24-hour concierge and service withupgraded hardware,modern cabinetry andunder cabinetlighting. windows, andfull-sized washers Designertouches include and dryers. retail. The project’s ceilings,floorto ceiling lofty 595 offer apartments building buildings, andthree including 5,000 6-story square feet of Located ona4.06-acre site,The project iscomprisedofone10-story -COMPLETED LINEA LINEA 45 MICHAEL STERMAN MICHAEL KAMARA First Vice President Investments Investment Associate Director - National Multihousing Group Member - National Multihousing Group Tel: (818) 212-2784 Tel: (818) 212-2666 Mobile: (818) 943-2319 Mobile: (310) 666-5837 [email protected] [email protected] License: CA 01911703 License: CA 02062158

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