CONFIDENTIAL OFFERING MEMORANDUM AIRPORT DOWNLOAD CORPORATE CENTER NON-DISCLOSURE AGREEMENT

NEWLY REMODELED CORE PLUS MULTI-TENANT OFFICE BUILDING

Grant Traub, +1 702 836 3789 [email protected] Chris Connell, +1 702 836 3709 [email protected] Senior Vice President License # NV-S.0039295 Senior Vice President License # NV-S.0075502 376 EAST WARM SPRINGS ROAD CONFIDENTIAL AIRPORT LAS VEGAS, NV 89119 OFFERING MEMORANDUM CORPORATE CENTER

This Confidential Offering Memorandum (this “Memorandum”) is being delivered subject to the terms of the Confidentiality Agreement signed by you (the “Confidentiality Grant Traub, Agreement”) and constitutes part of the Evaluation Material (as defined in the Confidentiality Agreement). It is being given to you for the sole purpose of evaluating the +1 702 836 3789 possible acquisition of Airport Corporate Center (“Property”), and is not to be used for any other purpose or made available to any other party without the prior written consent of the “Owner” or Colliers International (“Broker”). [email protected] License # NV-S.0039295 This Memorandum was prepared by the Broker based on information supplied by the Owner and the Broker. It contains selected information about the Property and the real estate market but does not contain all the information necessary to evaluate the acquisition of the Property. The financial projections contained herein (or in any other Evaluation Material, including any computer diskettes) are for general reference only. They are based on assumptions relating to the general economy and local Chris Connell, competition, among other factors. Accordingly, actual results may vary materially from such projections. Various documents have been summarized herein to facilitate your review; these summaries are not intended to be a comprehensive statement of the terms or a legal analysis of such documents. +1 702 836 3709 [email protected] While the information contained in this Memorandum and any other Evaluation Material is believed to be reliable, neither Broker, nor Owner, guarantees its accuracy or License # NV-S.0075502 completeness. Because of the foregoing and since the Property will be sold on an “AS-IS”, “WHERE-IS” basis, a prospective purchaser must make its own independent investigations, projections and conclusions regarding the acquisition of the Property without reliance on this Memorandum or any other Evaluation Material. Although additional Evaluation Material, which may include engineering, environmental or other reports, may be provided to qualified parties as marketing proceeds, prospective purchasers should seek advice from their own attorneys, accountants, engineering and environmental experts. Note: One Or More Colliers International Agents Is An Owner/Licensee. Owner expressly reserves the right, at its sole discretion, to reject any offer to purchase the Property or to terminate any negotiations with any party at any time with or without written notice. Owner shall have no legal commitment or obligations to any prospective purchaser unless and until a written sale agreement has been fully executed, delivered and approved by Owner and any conditions to Owner’s obligations hereunder have been satisfied or waived. Broker is not authorized to make any representation or agreement on behalf of Owner. Each prospective purchaser will be responsible for any claims for commissions by any other Broker in connection with 3960 Howard Hughes Parkway a sale of the Property if such claims arise from acts of such prospective purchaser or it’s Broker. Suite 150, Las Vegas, NV 89169

The Rent and Financials data provided here in have been provided by a third party property management firm. All information to be verified by the Purchaser. Due to the nature of the property and mixed use of tenants, the rents and rent roll is subject to change at any given time which may not be accurately noted in this Offering Memorandum on its published date.

© 2020 Colliers International TABLE OF CONTENTS AIRPORT CORPORATE CENTER

PAGE 04 PAGE 10 PAGE 15 PAGE 17 DEMOGRAPHICS EXECUTIVE SUMMARY LOCATION OVERVIEW COMPARABLES Property Details Location Aerial Competitive Set Investment Highlights Amenities Map Sale Comparables APPENDIX Site Plan LAS VEGAS MARKET OVERVIEW PAGE 08 PAGE 14

TENANT PROFILES FINANCIALS Financial Highlights AIRPORT CORPORATE CENTER

±46,419 SF office building located in the Airport Submarket of Las Vegas.

Currently 83% leased to 10 tenants, the building offers suites ranging from ±1,339 to ±7,827 SF. The property boasts a diverse, stable, corporate rent roll with companies including Carollo Engineers, Crop Data Management, Inc., Jensen Hughes, ConAm Management Corporation, and Australis Capital. Modest lease rollover of 7.7% over the next twelve months offers additional security.

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 4 CAPITAL INVESTMENT HIGHLIGHTS

Ownership has made a substantial investment in the building to offer a highly functional, well- maintained and contemporary asset.

The building includes newly remodeled lobbies, hallways, and restrooms. The lobbies also have designer grade commercial artwork installed.

Exterior improvements include a new warrantied roof product, complete replacement of all landscaping, full building exterior paint scheme, and parking lot refurbishment.

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 5 Offering Price: PROPERTY DETAILS $ 10,750,000 Product Type: Class B Suburban Office

Construction: Tilt-Up Concrete and Steel Price PSF: Address: 376 E. Warm Springs Road

$ Las Vegas, 89119 231.59 City, State, Zip Code: NOI (Year 1): $801,584

In Place NOI: $664,239.16

Occupancy: 83%

Building Size: ±46,419 Rentable Square Feet

Land Size: ±2.99 Acres

Number of Buildings: One (1)

Number of Stories: Two (2)

Number of Units: Twelve (12)

APN: 177-04-812-007

Year Built: 2005

Clark County, General Jurisdiction & Zoning: Commercial (C-2)

Fire Sprinklers: Ye s

Parking: 5:1,000; 36 covered parking spaces

Lease Asking Rate: $2.10 MG PSF

2020 Property Taxes: $62,563.36

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 6 INVESTMENT HIGHLIGHTS

DIVERSIFIED RENT ROLL | ONGOING CASH FLOW PROTECTION | STRONG MARKET FUNDAMENTALS LIMITED VACANCY EXPOSURE • Airport submarket historically attracts corporate users with several gaming • 83% leased to tenants, each occupying less than 17% of the total net rentable related companies area, eliminating a large vacancy and reduction in cash flow • Building caters to smaller and mid-size users between 2,500-7,500 SF • Stable, diverse, corporate rent roll • Positive absorption for class “B” space for the past 4 quarters • Well-balanced lease expirations limits cash flow variations

• High historical tenant retention diminishes turnover costs and reduces CORE-PLUS ASSET | BELOW REPLACEMENT COST vacancy exposure • Priced at $231.59 sf, the asset is offered at 20% below replacementcost and 17% • Loyal tenant base - occupying 46% of building have renewed at least one or below recent comparables more times since the building was built • No new Class “B” office construction planned in submarket and only one class “A” building in planning stages NEW INTERIOR AND EXTERIOR IMPROVEMENTS | • Exquisite central location with ultra-convenient access to airport, strip, and two LIMITED ONGOING CAPITAL REQUIREMENTS major freeways (I-15 and I-215)

• Upgraded exterior with new paint, full landscape replacement, and parking lot was • Abundant amenities including new limited service and dozens of restaurants resealed & restriped in 2019 within 1 mile • Interior lobby and restroom remodel completed in 2019 with accentuated design elements in hallways Submarket vacancy for small and medium spaces is 7%, well • New roof coating completed in 2018 below full submarket vacancy, illustrating strong demand for • Ample tenant improvement dollars spend on dated suite interiors small and medium suite sizes.

• New off-lobby ±3,548 RSF completed as of 2020 OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 7 AIRPORT TENANT PROFILES CORPORATE CENTER

CAROLLO ENGINEERS CONAM MANAGEMENT JENSEN HUGHES

Carollo Engineers is an environmental ConAm Management Corporation is Since 1939, Jensen Hughes has been at the engineering firm that specializes in the part of The ConAm Group, a multi- leading edge of safety, security and risk- planning, design, and construction of disciplined real estate investment based engineering and consulting, serving water and wastewater facilities. Their and services firm based in San Diego, the most complex global projects. Jensen firm was founded in Phoenix, Arizona, California. Established in 1975, ConAm Hughes is a global team of engineers, in 1933. From that single office with has become recognized as one of scientists and consultants that operates in three engineers, Carollo has grown to the nation’s most astute multifamily more than 100 countries. Their services more than 1,000 people in 45 offices investment firms and an experienced span across the entire value chain of fire throughout the United States. Their and dependable provider of multifamily & building safety, security, risk, forensics staff includes civil, structural, electrical, real estate services. and emergency management. They pride mechanical, environmental, and themselves on driving code and standard instrumentation and control engineers, ConAm currently manages a development and adoption throughout the as well as scientists, planners, architects, nationwide portfolio of approximately world and across industries. and CAD designers. 53,000 apartment units in more than 26 key metropolitan areas. https://www.jensenhughes.com/

https://www.carollo.com/ https://www.conam.com/

±7,666 RSF ±4,348 RSF ±5,925 RSF

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 8 AIRPORT TENANT PROFILES CORPORATE CENTER

AUSTRALIS CAPITAL RENTERS CROP DATA (AUSA) WAREHOUSE MANAGEMENT INC.

Australis Capital (AUSA) Renters Warehouse is America’s leading Crop Data Management Inc. (CDMS, is focused on building the real estate investment services company. Inc.), provides data and decision infrastructure required to meet Founded in 2007 and backed by growth support technologies for agriculture. the demands of the growing U.S. equity investor and majority stakeholder Their services are utilized by a broad- cannabis market. They acquire and Northern Pacific Group, and under range of market participants across build transformative companies the leadership of President and CEO the continuum of food production to advance the cannabis industry, Kevin Ortner, Renters Warehouse including product manufacturers, bring forward innovation, and set now manages more than $3 billion in distribution, consultants, and growers high-standards for well-being and residential real estate, servicing 14,000+ throughout North America. quality of life afforded by cannabis. investors across 22,000+ residential homes in 40+ markets and 25+ states. https://www.jensenhughes.com/ From investment planning and acquisition https://ausacap.com/ to property management and disposition, Renters Warehouse is the largest, full- service “Rent Estate™” resource of tenanted properties in the nation.

https://renterswarehouse.com/

±7,353 RSF ±2,927 RSF ±3,019 RSF

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 9 15 SUNSET ROAD

±235,000 CARS PER DAY 5 MIN DRIVE TO AIRPORT LAS VEGAS 215

SUBJECT 215 ±29,600 15 CARS PER DAY

WARM SPRINGS ROAD 3 MIN DRIVE TO I-15 3 MIN DRIVE TO I-215

The Airport Submarket is mature, stable, and locationally integral to the Las Vegas MSA with ultra-convenient access to the 10th largest airport in the country, the , and both major freeways in Las Vegas, the I-15 and I-215.

Amenities are abundant at all price points SURROUNDING AMENITIES: with over a dozen sit down restaurants located 1.25 miles away at Town Square (5 minutes) or a dozen modest price point restaurants offered at Las Vegas Premium Outlets South (3 minutes).

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 10 The Airport submarket is home to many corporate users such as: WORLD FAMOUS FAMOUS WORLD 15 “STRIP” VEGAS LAS

±187,000 CARS PER DAY MCCARRAN MARKETPLACE

TOWN SQUARE SUNSET ROAD LAS VEGAS BOULEVARD LAS VEGAS HUGHES AIRPORT CENTER

±235,000 MCCARRAN AIRPORT CARS PER DAY CAR RENTAL FACILITY

215

±29,600 WARM SPRINGS

CARS PER DAY MARKETPLACE ROAD PECOS

SUBJECT WARM SPRINGS ROAD

LAS VEGAS PREMIUM OUTLET SOUTH FUTURE VIRGIN TRAINS USA HIGH SPEED TRAIN STATION EASTERN AVENUE EASTERN BERMUDA ROAD BERMUDA

Current Submarket Vacancy 12% Vacancy Rate For Small And Medium Suites 7.36% OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 11 AIRPORT FIRST FLOOR CORPORATE CENTER

SUITE 130 SUITE 140 Atkinson Law Associates SUITE 135 VACANT ±1,827 RSF AC LLC ±4,364 RSF ±1,378 RSF

SUITE 125 Legacy Food Service Design ±2,156 RSF

SUITE 120 SUITE 110 SUITE 190 Legal Angel and Breeden & Australis Capital Associates, PLLC VACANT ±7,353 RSF ±1,302 RSF ±3,548 RSF

Note: The RSF/USF will be updated upon renewals. OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 12 AIRPORT SECOND FLOOR CORPORATE CENTER

SUITE 250 SUITE 250 Carollo Engineers Inc. ConAm Management Corp. ±7,666 RSF ±4,333 RSF

SUITE 240 SUITE 220 SUITE 210 Renters Warehouse Nevada Crop Data Management, Inc. Jensen Hughes ±2,918 RSF ±3,019 RSF ±5,925 RSF

Note: The RSF/USF will be updated upon renewals. OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 13 FINANCIAL HIGHLIGHTS:

Building Size: ±46,419 Rentable Square Feet

In-Place Occupancy: 83%

Offering Price: $10,750,000

Price/Square Foot: $231.59

Base Rental Revenue (Y1): $1,087,485

Operating Expenses (Y1): $215,960

In-Place NOI: $664,239.16

Year 1 NOI: $801,584

Year 1 Cap Rate: 7.5%

PROPOSED DEBT:

Loan Amount-65%: $7,150,000

Rate: 3.5%

Term: 10 years

Amortization: 30 years

Leveraged Y10 IRR: 16.11%

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 14 Pebble Place Centra Point Marnell Corporate Center McCarran Center Business Center 8311-8395 W. Sunset Road 6650-6750 Via Austi Parkway 770 E. Warm Springs Road 2140-2190 E. Pebble Road

TOTAL SF ±51,878 TOTAL SF ±400,000 TOTAL SF ±355,465 TOTAL SF ±58,711 LEASE RATE PSF $2.10 LEASE RATE PSF $2.35 LEASE RATE PSF $2.50 - $2.75 LEASE RATE PSF $1.85 LEASE TYPE MG LEASE TYPE MG LEASE TYPE FSG LEASE TYPE MG

Located at Pebble Rd. just west Located in the Southwest Located adjacent to the Located in a 100 acre, 35 building of Eastern Ave. and north of the submarket adjacent to the I-215 interchange of I-15 and I-215 and mixed-use, master-planned I-215 Freeway. 2 two-story class Freeway. 8 two and three story across from Sunset Road from business park. This property is a “B”office buildings. class “B” office buildings. McCarran International Airport. 3-story class “B” office building. Master planned suburban class All common areas were recently “A” office development. renovated in 2018.

COMPETITIVE SET OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 15 Pebble Place Desert Canyon Marnell Corporate Green Valley Business Center Business Park Center Corporate Center South 2140 E. Pebble Road 9121 and 9127 W. Russell Road 6750 Via Austi Parkway 2475, 2485, and 2495 Village View Dr.

TOTAL SF ±25,939 TOTAL SF 85,950 TOTAL SF 93,650 TOTAL SF 162,940

SALE PRICE $7,070,693 SALE PRICE $24,300,000 SALE PRICE $30,750,000 SALE PRICE $34,000,000

SALE PRICE PSF $272.59 SALE PRICE PSF $282.72 SALE PRICE PSF $328.35 SALE PRICE PSF $208.67

SALE DATE 10/24/17 SALE DATE 07/12/19 SALE DATE 04/03/18 SALE DATE 11/05/18

Building was 100% occupied at Two fully occupied buildings. Occupancy at the time of sale Three class “B” office portfolio sale. time of sale. was approximately 86%. The property was 70.2% leased at time of sale.

SALE COMPARABLES OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 16 AIRPORT DEMOGRAPHICS ESTIMATED HOUSEHOLDS BY TYPE CORPORATE CENTER

5-Mile

POPULATION 0 - 1 MILES 0 - 3 MILES 0 - 5 MILES

2024 Projection 8,730 100,530 387,672 3-Mile 2019 Estimate 8,224 93,786 361,271 2010 Census 7,580 83,705 312,740

2000 Census 6,670 63,715 233,158 1-Mile Projected Growth 2019 - 2024 6.15% 7.19% 7.31% Estimated Growth 2010 - 2019 8.50% 12.04% 15.52% 0% 20% 40% 60% 80% 100% 120% 140% Growth 2000 - 2010 13.64% 31.37% 34.13% Single Person Household Married Other Family - Male Head Other Family - Female Head

HOUSEHOLDS 0 - 1 MILES 0 - 3 MILES 0 - 5 MILES

2024 Projection 3,199 39,343 156,042 ESTIMATED HOUSEHOLDS BY INCOME 2019 Estimate 3,027 36,810 145,904 2010 Census 2,829 33,132 127,943 50% 45% 2000 Census 2,434 24,461 96,821 40% Projected Growth 2019 - 2024 5.68% 6.88% 6.95% 35% 30% Estimated Growth 2010 - 2019 7.00% 11.10% 14.04% 25% Growth 2000 - 2010 16.23% 35.45% 32.14% 20% 15% 10% 2019 EST. POPULATION BY 5% SINGLE-CLASSIFICATION RACE 0 - 1 MILES 0 - 3 MILES 0 - 5 MILES 0% $15,000 or $15,000 to $25,000 to $35,000 to $50,000 to $75,000 to $100,000 to $125,000 to $150,000 to $200,000 to $250,000 to $500,000 or Total 8,224 93,787 361,272 Les s $24,999 $34,999 $49,999 $74,999 $99,999 $124,999 $149,999 $199,999 $249,999 $499,999 More White Alone 69.21% 59.98% 54.91% 1-Mile 3-Mile 5-Mile Black or African American Alone 5.07% 9.44% 11.16% Amer. Indian & Alaska Native Alone 0.78% 0.74% 0.70% Asian Alone 9.05% 12.28% 14.14% EST. POPULATION BY AGE Native Hawaiian & Other Pac. Isl. Alone 1.14% 1.16% 1.06% 20% Some Other Race Alone 9.82% 10.30% 11.31%

Two or More Races 4.92% 6.11% 6.71% 16% Not Hispanic or Latino 76.65% 75.62% 74.74% 12% Hispanic or Latino 23.35% 24.38% 25.26%

8% 2019 EST. HOUSEHOLDS 4% BY HH INCOME 0 - 1 MILES 0 - 3 MILES 0 - 5 MILES

Per Capita Income $32,904 $31,770 $32,205 0% 0 to 4 5 to 9 10 to 14 15 to 17 18 to 20 21 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 to 74 Est. Average Household Income $97,514 $81,687 $78,316 Years Years Years Years Years Years Years Years Years Years Years

Est. Median Household Income $71,630 $61,871 $56,819 1-Mile 3-Mile 5-Mile

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 17 LAS VEGAS MARKET OVERVIEW

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 18 LAS VEGAS ECONOMIC TRENDS (Las Vegas Convention and Visitors Authority)

Statistic 2014 2015 2016 2017 2018

Visitor Volume 41,126,512 42,312,216 42,936,109 42,208,100 42,116,800 Las Vegas Gaming Revenue $9.5bn $9.6bn $9.7bn $10.8bn $10.25bn

Room Occupancy 86.8% 87.7 % 89.1% 88.6% 88.2% Area Overview

Average Daily Room Rates $116.73 $120.67 $125.96 $129.05 $128.85 Clark County, the most populous of Nevada’s 17 counties, is home to more Convention Delegates 5,169,054 5,761,366 6,310,616 7, 2 59,10 0 6,501,800 than 2.3 million residents, about 75.8%

Total En/Deplaned of the state’s population. The estimated 42,878,346 45,389,074 47,43 5,640 48,500,194 49,716,584 Passengers median household income is approximately

Room Inventory 150,126 149,612 149,339 147, 26 8 149,158 $57,189. The city of Las Vegas sits at the heart of Clark County and is internationally renowned as the world capital of entertainment. Las Vegas’ gaming, dining, VISITOR VOLUME VS. GAMING REVENUE shopping and business conventions are major attractions for national and 44,000,000 $10,400,000,000 international visitors. Las Vegas has 43,000,000 $10,200,000,000 approximately 149,158 hotel rooms.

$10,000,000,000 42,000,000

$9,800, 000,000 41, 000,000 $9,600, 000,000 40,000,000 $9,400,000,000 Over 42.1 million 39,000,000 people visited Las Vegas in 2018. $9,200,000,000

38,000,000 $9,000,000,000

37,000,000 $8,800,000,000

36,000,000 $8,600,000,000 2011 2012 2013 2014 2015 2016 2017 2018

Vi sitor V olume Gaming Reve nue

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 19 Las Vegas Employment Overview

As of 2019, Las Vegas unemployment stands at 4.7% down from 5.41% in January 2018. Tourism is the largest job sector in Las Vegas, representing 24.8% of the market, but professional and business services and retail trade have a significant impact as well, representing 14.0% and 10.3% of the market, respectively.

LAS VEGAS TOP EMPLOYERS Firm Employees Gaming, government, tourism and education are the leading areas of Station Inc. 13,000-13,499 Nellis Air Force Base 12,000-12,499 employment in Las Vegas. Although in recent years, several new industries Boyd Gaming Corp. 9,000-9,499 Las Vegas Sands Corp. 8,500-8,999 such as data centers, high tech manufacturing and healthcare services are LLC 8,000-8,499 helping to diversify the local economy. MGM Resorts International 8,000-8,499 LLC 8,000-8,499 Aria Resort & 7,000-7,499 300,000 new jobs Prestigious Companies Resort & Casino 7,000-7,499 Wal-Mart Stores Inc. 6,000-6,499 Expected In The Next 20 Years With Major 8 Fortune 1000 Companies Headquartered Gains In Technology, Healthcare & In Las Vegas Caesars Entertainment Corp. 5,500-5,999 Infrastructure Sectors The Valley Health System 5,000-5,499 University of Nevada-Las Vegas 5,000-5,499 Las Vegas Metropolitan Police Department 4,500-4,999 $2.5 Billion+ $4 Billion+ Mirage Casino-Hotel 4,500-4,999 In Manufacturing/Tech Facility In Public Infrastructure The Venetian Casino Resort 4,000-4,499 Investment Underway Investment Underway SUPERVALU Inc. 4,000-4,499 Cosmopolitan of Las Vegas 4,000-4,499 Casino Resort 3,500-3,999 University Medical Center of Southern Nevada 3,000-3,499

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 20 Las Vegas Highlights

20,000 Seats NHL Expansion The Las Vegas Raiders T-Mobile Arena, a multi-use indoor arena T-Mobile Arena hosts over 150 events per The relocation of the Oakland Raiders on the Las Vegas Strip opened in April 2016 year and is the current home of the is anticipated to create a $600+ million NHL Vegas Golden Knights economic impact add 450,000+ incremental visitors and host 45+ events annually

Mandalay Bay LVCC Expansion Convention Center $1 billion public Las Vegas Convention Center recently underwent a 350,000 square foot is currently undergoing a $2.5 billion, works project expansion and is now one of the largest in 600,000 square foot expansion to absorb underway to modernize and expand North America excess demand Las Vegas vehicular infrastructure

Steady Growth MSG Sphere The University continues to grow with a Las Vegas Ballpark hosts this Triple-A professional A revolutionary new 18,000-seat venue for total student headcount of 30,457 (2018) baseball team in Summerlin concerts, sports and live entertainment that will be completed in 2020.

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 21 Las Vegas #1 Trade Show Destination for 25 consecutive years -Trade Show News Network

#3 and #9 Largest Convention Centers in the U.S. are Located in Las Vegas Convention Centers While Las Vegas has historically been known as a gaming destination, the city’s diverse non-gaming allure continues to strengthen and has far surpassed gambling demand. 70,700 jobs and generates One such demand driver is the unparalleled convention and meeting space capacity more than $11.1 billion in available throughout the city. In 2018, Las Vegas held over 21,000 conventions and hosted over 6.5 million convention delegates. economic impact. The Las Vegas M.I.C.E . Las Vegas also hosted 3 of the top 10 and 6 of the top fifteen largest (meetings, incentives, conferences, and events) sector conventions/trade shows held in the U.S.

Las Vegas visitation numbers hit a new peak of 42.9M visitors in 2016, a 10% increase over its pre-recession peak.

There was a 17.8 increase in International visitation from 2013-2015. McCarran International Airport has benefited from the increased visitation, making it the No. 30 busiest airport in the world in 2018.

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 22 Developments in the

NFL - LAS VEGAS RAIDERS $1.9 Billion estimated cost

Las Vegas’ First NFL Team – On March 27th, 2017, the NFL owners approved the Raiders’ relocation to Las Vegas. The $1.9 billion stadium is expected to take three years to build and will be located near the southern end of the Las Vegas Strip (near Mandalay Bay). This new stadium will also host world-class events including college football games, big-name concerts, major UFC fights, March The Las Vegas metropolitan area is home to many sports, most of which Madness, soccer matches and political events. The Raiders are take place in the unincorporated communities around Las Vegas rather than in the city itself. The area’s first professional team into town are the expected to play in the 65,000-seat domed stadium by the 2020 NHL Vegas Golden Knights. The Raiders of the NFL will begin play in Las season. The Southern Nevada Tourism Infrastructure Committee Vegas as the Las Vegas Raiders by 2020 and become the region’s second (SNTIC) estimates that Las Vegas can expect $100 million worth of major professional team. Las Vegas is also home to one minor league media exposure a year from the Raiders which is excellent publicity sports team: The Las Vegas Aviators Minor League Baseball. Las Vegas across the Las Vegas community. Ballpark hosts this Triple-A professional baseball team in Summerlin. In addition, Las Vegas also has the WNBA team- The Las Vegas Stars and the United Soccer League’s Las Vegas Lights FC.

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 23 Developments in the Las Vegas Valley This popular destination is the 28th largest Metropolitan Statistical Area in the United States with over 2.3 million residents. With its strong economic recovery, Las Vegas has about $15 billion in construction projects that are planned, proposed or under construction. The following pages include a summary of these projects.

400,000 SF RESORTS WORLD THE DREW LAS VEGAS CONVENTION CENTER $4 Billion estimated cost $1.2 Billion Renovation CONSTRUCTION LAS VEGAS Broke ground May of 2015. Upon their Witkoff and Also restoring the 18-hole Tom CONVENTION CENTER 2021 completion date, this $4 billion have announced a partnership to open Fazio-designed golf course EXPANSION Asian-themed resort will include 3,400 the former Fontainebleau as The Drew hotel rooms and will consist of 175,000 Las Vegas in 2022. The resort is Ltd. is moving forward $2.3 Billion estimated cost square feet of gaming. It’s estimated estimated to include $1.2 billion in that there will be 3,500 slot machines renovation fees in addition to the with its 400,000 SF Convention and table games. Genting BHD, $600 million price tag for the Center construction. The convention The Las Vegas Convention and Visitors Southeast Asia’s largest casino property. The property will contain center is under construction just Authority (“LVCVA”) has a planned operator, is developing this property in 3,780 rooms and over 500,000 SF of north of Sands Avenue and east of the expansion and renovation project multiple phases. The first phase is convention and meeting space. In Wynn Las Vegas tower. They’re also intended to make the Las Vegas expected to be completed in 2021. addition to The Drew Hotel, the resort restoring the 18-hole Golf Course. “We Convention Center the best meeting Once fully finished, there will be three will also house from two actually went back and re-engaged and convention facility in the World. towers totaling the room count to Marriott brands – EDITION and JW Tom Fazio, who was the original The $2.3 billion project, named the Las 3,400. will Marriott, making it the first JW designer of our golf course to come in Vegas Global Business District, is the help the Las Vegas employment market Marriott to open on the Las Vegas and take a look at the couple holes largest economic development by employing 13,000 direct and indirect Strip. The project will create 5,000 that were disrupted by this initiative the LVCVA has undertaken jobs. It will also contribute greatly to construction jobs and 6,000 jobs 400,000-square-foot convention since the Las Vegas Convention the Las Vegas economy which is upon opening. center and see if we can design a new Center was originally built in the late projected to generate $155 million in 18-hole golf course connected to 1950s. The expansion project is annual tax revenue. Wynn and Encore and have that back expected to lead to an additional in back in action before our 480,000 new attendees as current convention center opens.” conventions grow and through attracting an estimated 20 new trade shows and conventions. OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 24 Developments in the Las Vegas valley

Construction has begun on MSG Sphere Las Vegas with an estimated completion in early 2021

22,000-SEAT MSG SPHERE LAS VEGAS 360 feet tall and just off the McCarran International Airport flight pattern

The facility, to be built on a 63-acre lot east of the Sands Expo Center, The Venetian and the Palazzo, will be connected to the convention center by a pedestrian bridge. The 400,000-square-foot facility will be built on an open-air storage lot at Sands Avenue between Koval Lane and Manhattan Street. OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 25 Developments in the Las Vegas Valley This popular destination is the 28th largest Metropolitan Statistical Area in the United States with over 2.3 million residents. With its strong economic recovery, Las Vegas has about $15 billion in construction projects that are planned, proposed or under construction. The following pages include a summary of these projects.

UNION VILLAGE LAS VEGAS MEDICAL DISTRICT $1.6 Billion estimated cost & UNLV MEDICAL LAS VEGAS PROJECT NEON Union Village is the first Integrated SCHOOL Health Village in the world and is listed ALL NET ARENA $900 Million estimated cost as the “largest healthcare building $3.6 Billion estimated cost project in the United States,” $2.7 Billion estimated cost Project Neon is the largest public according to Health Facilities Manage- works project in Nevada history. The Las Vegas Medical District was ment. This +/-$1.6 billion project is The All Net Arena’s site is located on Costing $900 million to complete, initially concieved in 2002 in order to located at U.S. 95 and Galleria Drive in the north end of the Las Vegas Strip this project will widen 3.7 miles of created a cohesive area for medical Henderson, Nevada. Sitting on where the former Wet ‘n’ Wild site Interstate 15 between Sahara Avenue education and healthcare that was 228-acres, this mixed-use healthcare was once located (just south of the and the “Spaghetti Bowl” interchange central to the Las Vegas Valley. It is complex is projected to create more SLS Resort). Construction is in . This is known currently undergoing a $3.6 billion than 17,000 direct, indirect and underway on this $2.7 billion project for being the busiest stretch of expansion which is inclusive of a UNLV construction jobs. Once fully complete and will consist of 22,000 seat highway in Nevada with 300,000 Medical School. This district is in 2022, it is expected to attract vehicles per day (one-tenth of the expected to bring in $181 million in arena, 240,000 SF of convention 15,000 to 30,000 people a day. state population). Currently, this Government revenue, as well as 24,182 space, two hotel towers, a movie Henderson Hospital opened fall of corridor has approximately 25,000 jobs by 2030. theatre and a Victory Plaza 2016 and is located inside the Union lane changes in an hour and it’s been Village development. Costing $168 shopping/dining district. predicted that traffic will double million to construct, this local along this stretch by 2035. Project acute-care hospital is part of the Neon is estimated to be completed in Valley Health System. late 2019.

OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 26 AIRPORT CORPORATE CENTER

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2020 Colliers International. Information herein has been obtained from sources deemed reliable, however its accuracy cannot be guaranteed. The user is required to conduct their own due diligence and verification. OFFERING MEMORANDUM - 376 EAST WARM SPRINGS ROAD PAGE 27