ATTACHMENT E

MEMORANDUM

ADVISORS IN: Real Estate To: Ken Lee, Vice President, Development Affordable Housing Economic Development Pacific Plaza Premier Development Group

BERKELEY A. Jerry Keyser Timothy C. Kelly From: Kevin Engstrom Debbie M. Kern David Doezema Courtney Holt Kevin Feeney

LOS ANGELES Date: January 06, 2020 Kathleen H. Head James A. Rabe Gregory D. Soo-Hoo Kevin E. Engstrom Subject: Market and Economic Benefits Analysis for the Pacific Square Project in Julie L. Romey the City of San Gabriel Tim R. Bretz

SAN DIEGO Paul C. Marra

Pursuant to your request, Keyser Marston Associates, Inc. (KMA) prepared a market and economic benefits analysis for the proposed Pacific Square mixed-use development (Project) located on the 700-800 block in the City of San Gabriel (City). As part of this analysis, KMA first evaluated the key socio-economic and employment characteristics of the 1-mile, 3-mile, and 5- mile radius surrounding the site (Market Area) as compared with the City and County. KMA then analyzed the area’s underlying retail and residential real estate market conditions, including both existing and projected market factors, in order to estimate potential demand for the Project. Utilizing information submitted by the Developer, KMA then estimated the fiscal and economic benefits generated by the Project over a 20 year period. The data and findings from this analysis are presented in the following memorandum.

500 SOUTH GRAND AVENUE, SUITE 1480  LOS ANGELES, CALIFORNIA 90071  PHONE 213.622.8095

WWW.KEYSERMARSTON.COM

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SUMMARY OF FINDINGS

KMA conducted a market analysis for the 1-mile, 3-mile and 5-mile Market Area surrounding the Site, along with an economic benefits analysis of the proposed Project. The key findings of this analysis are summarized below:

1. Overall, market conditions in the City are strong for residential development, including both for- sale and rental product types. In particular, demand for condominiums has grown in recent years with the price per square foot having increased 47% since 2013. Population growth projections indicate 3-mile market support for nearly 6,000 residential units through 2034.

2. Market demand for new retail development is also robust, and a surplus-leakage analysis reveals potential unmet demand for over 200,000 square feet of retail in the 1-mile Market Area, and 1.9 million square feet in the 3-mile Market Area.

3. Retail lease rates along San Gabriel Blvd are relatively high at $2.23 when compared with the rest of the San Gabriel submarket; however, retail conditions on the Boulevard are challenging as nearby retail corridors like Valley Blvd. and E. Las Tunas Drive will continue to capture a large share of patrons and traffic in the City.

4. Based on a review of information provided by the developer and our experience with similar developments, KMA estimates the Project will generate $3.45 million in property tax revenue to the City over 20 years.

5. Based on submitted plans and proposed tenancies, the Project would generate approximately $11.1 million in taxable sales in the first year. Over a 20 year period, the Project is expected to generate $2.99 million in sales tax revenue to the City.

6. As summarized in the table below, over a 20-year period of operations, the Project is projected to generate $6.44 million in general fund revenues in the form of property tax and sales tax revenues.

Total City General Fund Revenues

Year 1 20 Years Property Tax $143,000 $3,453,500 Sales Tax $111,000 $2,986,300

Total $254,000 $6,439,800

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7. In addition, new residents in the Project are projected to generate $43,000 in sales tax within the City annually.

8. Direct, indirect and induced employment generated by the Project will result in 218 permanent jobs, including 144 on-site jobs.

9. During construction, the direct, indirect and induced impact of Project will generate nearly 1,200 temporary jobs throughout the County.

I. MARKET CONDITIONS & DEMAND ANALYSIS

EXECUTIVE SUMMARY

Socio Economic Characteristics The Market Area has a healthy population density and relatively large household sizes; however, the population is projected to grow at a slower pace when compared with Citywide projections. Median household incomes and per capita incomes are generally on par with Citywide levels, but the immediate 1-mile Market Area reveals slightly lower income levels when compared to both the City and County. When compared to the County median age of 36 years, the median age of both Market Area and City residents skews older at 41 years and 42 years, respectively.

Employment and Businesses Employment growth in the City of San Gabriel is not expected to keep pace with employment growth in the rest of the County through 2040; however, the Market Area’s most dominant industries, including Retail and Wholesale Trade, Educational Services, Healthcare, and Accommodation and Food Services, are all projected to experience strong rates of employment growth Countywide through at least 2024. Overall, industry employment concentrations in the Market Area reflect City-wide employment concentration patterns.

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Retail Market A surplus leakage analysis conducted for the Market Area indicates potential market support for approximately 228,847 square feet of additional retail space in the immediate 1-mile Market Area, and over 1.9 million square feet of demand in the 3-mile Market Area. General Merchandise Stores account for almost half of the unmet demand in the 3-mile Market Area (totaling almost 750,000 square feet). Average asking lease rates in the Market Area of $2.23 per square foot per month exceed average rates in the San Gabriel Valley submarket of $1.80 per square foot, and healthy population densities and household growth trends indicate future support for additional retail. Area brokers cited several potential barriers to retail demand along San Gabriel Blvd., including an overall lack of pedestrian and streetscape amenities, and the dominance of competing retail corridors like Valley Blvd. and E. Las Tunas Drive which continue to attract the bulk of visitors and traffic in the City.

Residential Market Market Area vacancy rates are very low at 3.1% and rents have grown steadily at an average of 4.0% year over year; however, asking rental rates remain lower than average rents Countywide. Healthy population growth, combined with low vacancy rates, will likely continue to drive demand for residential development within the Market Area. Ownership housing continues to experience strong price growth in the Market Area, where townhome and condominium prices have risen substantially since 2013. During this time period, the price per square foot grew 47% for condominiums and 23% for townhomes. Population growth projections indicate 3-mile market support for nearly 6,000 residential units through 2034.

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A. SOCIO-ECONOMIC CHARACTERISTICS

KMA evaluated the socio-economic characteristics of the 1-mile, 3-mile, and 5-mile radius surrounding the project site (“Market Area”) and compared this with the characteristics of the City and County.1 A summary of findings is below:

o Between 2019 and 2024 the population of the Market Area is expected to grow at a slightly slower pace than the rest of the City; however, household sizes in the Market Area are comparable to household sizes Citywide.

o Population densities in the Market Area are relatively healthy.

o Households in the 1-mile Market Area are much larger than typical for the County at approximately 3.20 persons per household compared to 3.00 persons in the County.

o Per capita income levels in the Market Area (ranging from $25,000 to $32,000) are comparable to income levels in the City ($27,500) and the County ($32,000).

o Commensurate with per capita income levels, household income levels are generally on par with income levels in the City. Approximately 30% of both Market Area and Citywide households earn at least $100,000 per year, compared to 33% in County. However, residents within the immediate 1-mile Market Area have slightly lower per capita and household incomes when compared to the greater Market Area, the City, and the County.

o Approximately 18% of households in the Market Area have an annual income lower than $25,000, compared to 16% in the City and 19% in the County.

o Market Area residents have, on average, a comparable educational attainment level to residents in the City and County; approximately 33% of Market Area, City and County residents have obtained a college degree.

o The median age of Market Area residents, 41.1 years, is similar to the City median age of 42 years, but skews older than the County median age of 36 years. Approximately 31% of Market Area residents are 55 years or older (Table)

1 ESRI (2019). ACS Population Summary and Community Profile. Retrieved July 2019 from the Business Analyst Online database.

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Table 1.1 Population & Households: 2019 - 2024 % Change 2019 2024 2019-2024 1-Mile Ring Population 32,761 33,186 1.30% Households 10,144 10,225 0.80% 3-Mile Ring Population 280,839 284,538 1.32% Households 87,483 88,249 0.88% 5-Mile Ring Population 650,003 659,666 1.49% Households 211,453 213,768 1.09% City of San Gabriel Population 41,363 42,048 1.66% Households 12,925 13,065 1.08% Los Angeles County Population 10,255,222 10,464,764 2.04% Households 3,362,815 3,424,453 1.83%

Table 1.2 Table 1.3 Table 1.4

Average Persons per Household Per Capita Income Median Household Income 1-Mile Ring 3.20 1-Mile Ring $25,074 1-Mile Ring $60,150 3-Mile Ring 3.19 3-Mile Ring $28,266 3-Mile Ring $61,957 5-Mile Ring 3.04 5-Mile Ring $31,919 5-Mile Ring $68,188 City of San Gabriel 3.17 City of San Gabriel $27,550 City of San Gabriel $62,050 Los Angeles County 3.00 Los Angeles County $32,163 Los Angeles County $66,297

Table 1.5

Household Income Distribution:

< $25,000 $25,000-$49,999 $50,000-$99,999 $100,000-$149,999 $150,000+ 1-Mile Ring 17% 23% 33% 15% 12% 3-Mile Ring 20% 20% 30% 16% 15% 5-Mile Ring 18% 19% 29% 16% 18% City of San Gabriel 17% 23% 30% 16% 14% Los Angeles County 19% 19% 29% 16% 18%

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Chart 1.5. Median Household and Per Capita Income Distribution, 2019

1-Mile Ring

3-Mile Ring

5-Mile Ring

City of San Gabriel

Los Angeles County

$0 $10 $20 $30 $40 $50 $60 $70 $80 Thousands

Median Household Income Per Capita Income

Table 1.6

Educational Attainment Levels

No HS Degree HS Degree Some College College Grad 1-Mile Ring 20% 28% 23% 30% 3-Mile Ring 21% 24% 21% 34% 5-Mile Ring 20% 22% 22% 37% City of San Gabriel 20% 27% 20% 33% Los Angeles County 20% 21% 26% 33%

Chart 1.6. Educational Attainment Distribution, 2019

40%

30% 1-Mile Ring

3-Mile Ring 20% 5-Mile Ring

City of San 10% Gabriel

0% No HS Degree HS Degree Some College College Grad

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Table 1.7 Age Distribution

Under 15 15 to 24 25 to 34 35 to 54 55 to 64 Over 65 1-Mile Ring 15.1% 11.3% 14.6% 28.0% 13.5% 17.5% 3-Mile Ring 15.5% 11.9% 14.3% 27.1% 13.6% 17.5% 5-Mile Ring 16.4% 12.3% 15.0% 26.7% 12.8% 16.9% City of San Gabriel 15.2% 11.1% 13.9% 28.3% 13.8% 17.8% Los Angeles County 18.5% 13.9% 16.2% 26.2% 11.6% 13.5%

Chart 1.7. Age Distribution, 2019

30.0%

20.0%

10.0%

0.0% Under 15 15 to 24 25 to 34 35 to 54 55 to 64 Over 65

1-Mile Ring 3-Mile Ring 5-Mile Ring City of San Gabriel Los Angeles County

Summary of Socio-Economic Data Findings

The Market Area has healthy population densities and average household sizes when compared to the City and County; however, the Market Area’s population is projected to grow at a slower pace than the rest of the City through at least 2024. Median household incomes and per capita incomes are generally on par with Citywide levels, but the immediate 1-mile Market Area reveals slightly lower income levels when compared to both the City and County. Approximately 27% of residents within the 1-mile Market Area generate a household income of $100,000 or higher, compared to 30% of households in the City and 33% of households in the County. Similarly, per capita income levels in the immediate 1-mile Market Area are relatively low at $25,000, compared to $27,500 in the City and $32,200 in the County. Market Area residents have, on average, a comparable educational attainment level to residents in the City and County; approximately 33% of Market Area, City and County residents have obtained a college degree. When compared to the County median age of 36 years, the median age of both Market Area and City residents skews older at 41 years and 42 years, respectively.

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B. EMPLOYMENT AND BUSINESSES

KMA analyzed Market Area, City and County employment growth and employment concentration by industry. A summary of findings is below along with charts and tables highlighting key data points. All supporting data can be found in Appendix 1, Tables 1 through 3.

o Prevailing Market Area industries include Healthcare, Retail and Wholesale Trade, Accommodation and Food Services, Educational Services, and Other Services2 (Chart 2.1).3

o Overall, industry employment concentrations in the Market Area reflects City-wide employment concentration (Chart 2.2).

o When compared to the County (Chart 2.3), the Market Area shows employment and business concentrations in service-related industries including Healthcare, Accommodation & Food Services, Educational Services, and other Services.

o The relative scarcity of Market Area jobs in sectors which traditionally occupy office space, such as the Professional, Real Estate, Insurance and Finance fields, is likely to imply lower demand for new office development.

o Between 2014 and 2024, almost every industry prevalent in the Market Area is projected to experience employment growth County-wide (Table 2.1). The only exception is manufacturing, which is projected to decrease 9.6% during this time period.4 Prominent industries in the Market Area that will experience the highest rate of employment growth from 2014 through 2024 include:

o Healthcare and Social Assistance (29.7%);

o Educational Services (29.0%);

o Accommodation and Food Services (25.1%); and

o Retail and Wholesale Trade (9.0%).

o Projected Employment growth through 2040 in the City of San Gabriel is healthy at 0.63%, but it is outpaced by employment growth in the rest of the County during the same time period (Table 5 2.2).

2 Other Services refers to service-providing industries which are not provided for elsewhere in the NAICS classification system. This includes equipment and machinery repair, religious activities, dry-cleaning and laundry services, and personal care services. 3 ESRI Business Analyst Employment Data 2019. 4 Employment Projections 2014-2024, Los Angeles County (Los Angeles-Long Beach-Glendale MD). State of California Employment Development Department. Retrieved July 13, 2018. 5 Southern California Association of Governments (2017). SCAG RTP/SCS Final Growth Forecast by Jurisdiction. Retrieved August 2019.

Market Analysis – San Gabriel Blvd Mixed Use Market Analysis | 9 Keyser Marston Associates, Inc. | October 2019 Chart 2.1. Distribution of Employment, 1-Mile Site Radius

Admin, Support, 3% Other, 11% Manufacturing, 5% Healthcare, 19% Real Estate, 5%

Retail & Finance & Wholesale, 16% Insurance, 6%

Professional, Other Science, Tech Svs, 8% Svs., 7% Accommodation Educational Svs, & Food Svs, 11% 10%

*Other category includes industries with a less than 3% share of employment, including Construction (2.9%), Transportation & Warehousing (2.2%), Public Administration (2.0%), and Information (1.3%).

Chart 2.2. Distribution of Employment, City of San Gabriel

Finance & Education, 9% Insurance, 6% Other Svs., 8% Professional, Sci. & Tech, 6%

Real Estate, 4% Accomodation Manufacturing, & Food Svs, 3% 16% Admin & Support, 3% Retail & Wholesale Construction, 3% Trade, 17% Healthcare, Arts, 17% Entertainment, 2%

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Chart 2.3. Distribution of Employment, County of Los Angeles

Admin & Support, 3% Real Estate, 4% Transportation Other, 8% Retail & & Warehousing, Wholesale 4% Trade, 17% Public Administration, 5% Healthcare, 12% Other Svs, 6%

Finance, Insurance & Information, 8% Accommodation & Food Svs, 9%

Educational Svs, 8% Professional, Sci Manufacturing, & Tech, 9% 8%

Table 2.1

Employment Projections: 2012-2040 Change 2012 2040 Total Percent

City of San Gabriel 14,100 15,300 2,700 0.63% Los Angeles County 3,257,600 3,946,600 689,000 0.74%

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Table 2.2

Industry Employment Projections, Los Angeles County 2014-2024 Estimated Projected Employment Employment % Change Annual Avg. 2014 2024 2014-2024 % Change Construction 119,600 146,700 22.7% 2.3% Manufacturing 364,100 329,300 -9.6% -1.0% Wholesale Trade 222,500 242,700 9.1% 0.9% Retail Trade 413,000 449,900 8.9% 0.9% Transportation & Warehousing 151,300 171,900 13.6% 1.4% Finance, Insurance, Real Estate 211,100 218,900 3.7% 0.4% Professional & Business Services 599,100 680,300 13.6% 1.4% Educational Services 720,700 929,500 29.0% 2.9% Healthcare & Social Assistance 602,100 780,900 29.7% 3.0% Accommodation and Food Services 386,800 483,700 25.1% 2.5% Other Services 150,500 167,000 11.0% 1.1%

Total 3,940,800 4,600,800 14% 1.4%

Summary of Employment Findings Although employment growth overall in the City of San Gabriel is not expected to keep pace with employment growth Countywide through 2040, a closer look at employment growth trends offers a positive outlook for prevailing industries in the Market Area including Retail and Wholesale Trade, Educational Services, Healthcare, and Accommodation and Food Services, which are all expected to experience strong rates of employment growth through at least 2024. While service-oriented industries represent the largest share of Market Area employment, these also tend to be lower wage industries which may affect local spending power and the types of retail which may be suitable for the Market Area.

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C. RETAIL MARKET

KMA evaluated current retail market conditions in the City and conducted a surplus/leakage analysis to identify whether unmet demand exists for certain types of retail around the Project Site. An overview of the findings is below, with underlying data in Appendix 2 – Table 1 through Table 9:

o The overall retail vacancy rate in the greater Los Angeles market area is 5.2%, ranging from its lowest rate of 2.6% in the Tri-Cities submarket area6 to 8.5% in the Greater Downtown 7 submarket area.

o Approximately 1,663,000 sf of retail space is currently under construction. A considerable share of new construction (429,600 sf) is taking place in the San Gabriel Valley submarket which has an average vacancy rate of 5.1%. Over 1,000,000 sf of retail space in the County is being developed for lifestyle centers, defined by the International Council of Shopping Centers (ICSC) as “specialized centers” containing upscale retail, dining and entertainment options in an outdoor setting.

o The average asking retail rent in Los Angeles County is $2.40 per square foot per month, compared to an average asking rent of $1.80 in the San Gabriel Valley submarket; the average 8 lease rate in the Market Area along San Gabriel Blvd. is $2.23 per square foot per month.

o Table 3.1 and the data in Appendix 2- Tables 6 through 7 summarize the Retail Surplus and Leakage Analysis for the 1, 3, and 5-mile radius around the Project Site. This analysis underscores which tenant types may be oversaturated in the Market Area, as well as those types which have unmet demand. The Market Area is currently leaking a significant amount of sales activity for a variety of retail establishment types (Table 3.1), particularly within the 3-mile 9 radius around the Site.

. The surplus/leakage analysis indicates that the market could support approximately 228,847 sf of additional retail within a 1-mile ring around the site, 1,911,290 sf within a 3-mile ring, and 876,681 sf within a 5-mile ring. There are currently no regional or super regional shopping centers located within a 3-mile radius of the Project Site, which is consistent with the significant retail leakage indicating that there is unmet demand for major retail categories in this Market Area. Located within a 5-mile radius of the project site are several major super regional shopping centers10, including the Westfield Santa

6 The Tri-Cities submarket area includes Burbank, Pasadena and Glendale (CBRE). 7 CBRE. 1st Quarter 2019 Los Angeles Submarkets Retail Market Report. 8 Market area consists of an approximately one-mile radius around the project site with a focus on retail establishments located along San Gabriel Blvd. 9 ESRI, KMA (2019). Retail Marketplace Profile. Retrieved August 2019 from the Business Analyst Online database. 10 The International Council of Shopping Centers (ICSC) defines a Super Regional Shopping Center as a shopping mall with over 800,000 sq ft of gross leasable area including three or more anchors, and which serves as the dominant shopping venue for the region (25 miles) in which it is located.

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Anita, the Shops at Montebello, and the Paseo Colorado in Pasadena, which make up a combined 2.4 million square feet of retail space. These retail centers likely serve as principal shopping destinations for consumers within the 5-mile Market Area, absorbing a significant share of household spending.

. The major retail categories that have market support include Clothing & Clothing Accessories Stores; Sporting Goods, Hobby, Book and Music Stores; Furniture & Home Furnishings Stores; Building Materials and Equipment Supply Stores; Miscellaneous Store Retailers; and General Merchandise Stores.11 In particular, General Merchandise Stores account for almost half of the unmet demand in the 3-mile Market Area (totaling almost 750,000 square feet).

. Among the retail categories for which supply is currently outpacing expected demand within the 3-mile Market Area (indicated with “NA” in the table below), are Motor Vehicle and Parts Dealers, Food & Beverage Stores, Gasoline Stations, and Food Services and Drinking Places. This indicates that the Market Area is attracting expenditures for these categories from consumers outside of the Market Area boundaries.

Table 3.1

Estimated Retail Demand: SF of Supportable Development 1 Mile 3 Mile 5 Mile Motor Vehicle & Parts Dealers NA NA NA Furniture & Home Furnishings Stores NA 158,757 97,770 Electronics & Appliance Stores 13,081 118,156 NA Bldg Materials, Garden Equip. & Supply Stores 14,781 153,135 469,515 Food & Beverage Stores 27,769 NA NA Health & Personal Care Stores 6,910 42,180 72,091 Gasoline Stations NA NA NA Clothing & Clothing Accessories Stores 18,438 384,207 NA Sporting Goods, Hobby, Book & Music Stores 14,535 173,246 237,305 General Merchandise Stores 125,368 747,782 NA Miscellaneous Store Retailers 6,011 133,829 NA Nonstore Retailers NA NA NA Food Services & Drinking Places 1,954 NA NA Total 228,847 1,911,290 876,681

11 The General Merchandise category comprises establishments primarily engaged in retailing new goods in a general line of merchandise, such as apparel, automotive parts, dry goods, hardware, groceries, housewares, and home furnishings, with no one merchandise line predominating. Establishments known as warehouse clubs, superstores, or supercenters are included in this industry.

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A number of additional factors will impact any potential opportunities for new retail development:

a. Demand would need to fill existing retail spaces prior to new development taking place; Typically, vacancy rates would need to be 5% or less for interest in new development to occur. The current vacancy rate in the San Gabriel Valley market area is approximately 5% indicating that some opportunity for new retail development likely exists.

b. E-commerce will have a growing impact on retail sales in the market area and the nation. In recent years, e-commerce sales have risen nationally at a rate substantially faster than shopping center sales. The U.S. Census Bureau reported 3rd quarter 2018 e-commerce sales of $130.9 billion, an increase of 14.5% from 3rd quarter 2017 sales, and representing 9.8% of total U.S. retail sales.12 In the last year, the e-commerce retail market grew at a rate more than three times faster than total retail in the U.S.13 Additionally, technology has enabled greater efficiency in supply chains and store operations which means retailers require less square footage than ever before, indicating a longer term trend towards reduction of physical retail space and jobs. Successful retailers are focused on creating a unique in-store customer experience, integrating online and offline sales strategies, and utilizing technology to create a personalized shopping experience in order to drive visitors.

c. According to the International Council of Shopping Centers (ICSC) Office-Worker Retail Spending in the Digital Age, the spending of office workers accounts for 1-2% of national retail sales. Food service expenditures account for approximately 10-15% of worker spending; however, on-line sales (15%) and transportation related expenses (nearly 20%) account for the greatest share of these expenditures.14 Given these expenditure patterns, most retailers rely on market area residents for long-term success; daytime employee expenditures will augment sales, but not contribute significantly towards profitability.

d. Retail projects that are in the development pipeline will soak up any existing or potential market demand. At the time of this report, there is approximately 589,000 square feet of retail development either proposed or recently completed in the Western San Gabriel Valley submarket, including “Monterey Park Market Place,” a 332,320 square foot power center located approximately 4.5 miles from the Project Site, and a proposed 185,000 square foot WalMart Supercenter located approximately 3 miles from the Project Site at 4000 Arden Drive in the City of El Monte (Appendix 2 – Table 8).

KMA contacted a number of brokers that are active in the Market Area. The salient points from these conversations are provided below: a. Retail demand along San Gabriel Blvd is somewhat limited given that it’s not considered to be the main commercial corridor for the City; major retail development has traditionally been

12 Quarterly Retail E-Commerce Sales (3rd Quarter 2018). U.S. Census Bureau News. Accessed January 2019. 13 The Future of Physical Retail (2018). The Retail Performance Company. Accessed January 2019. 14 Over 50% of workers do not make any expenditures near their place of work.

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concentrated along Valley Blvd and E. Las Tunas Drive where there are greater volumes of automobile and pedestrian activity. San Gabriel Blvd tends to attract more small-scale, independent retail and businesses.

b. Brokers agreed that the San Gabriel Blvd corridor would benefit from enhanced pedestrian and streetscape amenities to attract more visitor traffic, as well as shopping destinations that will induce visitors to get out of their cars and walk around. Currently, the boulevard is mainly treated as a pass-through street allowing potential consumers to get from point A to point B as quickly as possible.

c. Brokers felt that any new retail should appeal to the area’s Asian-American population which currently accounts for over 60% of the City’s population. Market area demographics suggest that discount retail, such as a Ross Dress for Less or a 99 Cents Store, and fast, casual dining would likely be successful. Another broker pointed out that chain grocery stores are currently lacking in this area, and that a discount grocery store would perform well and fill that need.

d. Several major factors limiting retail market potential along the corridor include a general lack of parking and the lengthy entitlement process which incurs added cost for developers. Brokers also expressed concern that upward trends in vacancy rates for many retail centers indicates that online sales are continuing to take increasing shares of sales from traditional brick and mortar stores, and new retail developments will need to offer something different for shoppers.

Summary of Retail Market Findings Low submarket retail vacancy rates of 5.1% suggest that there may be some opportunity for new development in the City, and a surplus leakage analysis of the Market Area indicates market support for approximately 228,847 square feet of additional retail space in the 1-mile Market Area. In the 3-mile Market Area, there is a significant leakage exceeding 1.9 million square feet of demand, mainly in the form of General Merchandise stores which accounts for almost half of the total unmet demand. The General Merchandise category consists of department stores and mass merchandisers or “super stores” such as Wal-Mart. Currently, there are no major shopping centers located within a 3-mile radius of the Project Site; the closest regional shopping centers located outside the 3-mile radius are Westfield Santa Anita and Westfield Covina. Thus, it is likely that residents are leaving the Market Area to do a substantial amount of shopping, resulting in significant leakage for these categories.

As cited in the socio-economic data section of this report, and in KMA’s interviews with area brokers, healthy Market Area population densities and large household sizes would likely support additional retail; additionally, average asking lease rates along San Gabriel Blvd. of $2.23 per square foot are relatively high when compared to the San Gabriel Valley submarket average lease rate of $1.80 per square foot. Brokers agreed that certain categories of retail would be successful along San Gabriel Blvd.,

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including discount stores, a specialty grocery store, and convenient, fast casual dining establishments. However, brokers cited several potential barriers to demand including an overall lack of pedestrian and streetscape amenities, and the dominance of existing nearby retail corridors like Valley Blvd and E. Las Tunas Drive which continue to attract the bulk of visitors and traffic in the City.

D. RESIDENTIAL MARKET

KMA evaluated current market conditions and potential demand factors for both for-sale attached development types and rental housing stock within San Gabriel Valley submarket, the City of San Gabriel, and the Market Area. 15 A summary of this information is below, and the underlying data can be found in Appendix 3 – tables 1 through 5, and Appendix 4 – Tables 1 through 3.

For Sale Market

o A survey of attached new home sales (homes built in the last 15 years) shows that median sales prices for condominiums and townhomes in the Market Area have significantly increased in price between 2013 and 2019 (Table 6.1).16 During this time period, the median price per square foot for condominiums grew from $283 to $416, a total increase of 47%; the median price per square foot for townhomes grew from $298 to $367, a total increase of 23%. . The median sales price for condominiums in the Market Area in 201817 was $639,000, or $463 per square foot. The average unit size was 1,574 square feet.

. The median sales price for townhomes in the Market Area in 2018 was $710,000, or $392 per square foot. The average unit size was 1,978 square feet.

o Condominiums experienced the most significant price increase in 2017, when the median price per square foot jumped from $366 to $468, representing a 28% total increase. Since 2017, prices per square foot for condominiums have been declining, and as of Q2 2019 the median price per square foot is $416.

15 Source: Costar Submarket Dat 92019). 16 Historical home sales data is pulled from Redfin and limited to the City of San Gabriel. Only includes sales data for homes built in last 15 years. 17 2018 is the last full year for which home sales data was collected (2019 data only includes the first 6 months of sales).

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Table 6.1

Citywide Attached Home Sales: 2013 - 2019 (YTD)

Median Sales % Change # of Sales Avg. SF Price $/SF Y-O-Y Condominiums 2013 9 1,907 $518,000 $283 - 2014 8 1,601 $527,450 $333 17.9% 2015 23 1,635 $549,990 $342 2.5% 2016 17 1,728 $646,000 $366 7.0% 2017 22 1,625 $642,940 $468 28.0% 2018 28 1,574 $639,000 $463 -1.1% 2019 YTD 10 1,676 $678,750 $416 -10.1% Townhomes 2013 9 2,169 $585,000 $298 - 2014 1 2,025 $600,000 $296 -0.5% 2015 9 1,809 $591,000 $360 21.6% 2016 11 1,957 $635,000 $355 -1.5% 2017 14 2,124 $730,000 $355 0.0% 2018 11 1,978 $710,000 $392 10.6% 2019 YTD 3 1,808 $740,000 $367 -6.5%

Rental Market

o ESRI population growth projections indicate 3-mile market support for nearly 6,000 residential units through 2034 (Table 6.2).18 Several mid-size to larger apartment projects have been proposed or are currently under construction in the 3-mile Market Area which could absorb a portion of this demand, including the 149-unit San Gabriel Square project on at 220 S San Gabriel Blvd, and a 71- unit apartment project in El Monte at 4127 Rowland Avenue. o The current average asking rent in the City is $1,559 ($1.91 per sf) with an average vacancy rate of 3.1%; Comparatively, average asking rents Countywide are substantially higher at $1,946 ($2.47 per 19 sf) with an average vacancy rate of 3.9%.

18 ESRI (2019). ACS Population Summary and Community Profile. Retrieved June 2019 from the Business Analyst Online database. 19 Costar Analytics, City of San Gabriel and Los Angeles County Multifamily Data. Retrieved July 2019.

Market Analysis – San Gabriel Blvd Mixed Use Market Analysis | 18 Keyser Marston Associates, Inc. | October 2019

. Average rents per square foot in the City range from $2.78 for studios to $1.90 for three- bedroom units (Table 6.3). o KMA conducted a survey of large, multifamily projects constructed in the last 10 years located within a 5-mile radius of the Project Site20, which concluded that newer construction, amenity-rich buildings obtain rental lease rates which are approximately 47% higher than the City’s average asking lease rate (Table 6.4). Because there has not been any recent multifamily construction in the

City, the majority of these comparable projects were located in Pasadena, Alhambra and Monrovia. o Asking rents in the San Gabriel Valley submarket are projected to increase to $1,659 through 2022 (a 4.7% increase over current rents), while vacancy rates are projected to remain well under 5%

through at least 2022.

Table 6.2

Estimated Residential Demand: Three-Mile Market Area

2019 2024 2029 2034 Estimated Population 280,839 284,538 292,461 300,605 Households 87,483 88,249 90,706 93,232 Household Growth 766 2,457 2,526 Cumulative Households 766 3,223 5,749 Housing Units @ 103% of Growth 789 3,320 5,921

Table 6.3 Table 6.4 Average Asking Rent: Average Asking Rent: City of San Gabriel New Construction (5-Mile Market Area) Average Average Avg. Rent Average Average Avg. Rent Size (sf) Rent ($/sf/mo.) Size (sf) Rent ($/sf/mo.) Studio 360 $887 $2.78 Studio 610 $2,355 $3.86 1-Bedroom 664 $1,131 $1.95 1-Bedroom 767 $2,594 $3.38 2-Bedroom 999 $1,866 $1.87 2-Bedroom 1,193 $3,442 $2.88 3-Bedroom 1,290 $2,285 $1.90 3-Bedroom 1,794 $4,272 $2.38 Overall 993 $1,818 $1.83 All County 2.42 $2.42 $2.42

20 Survey limited to 4-5 star multifamily buildings with a minimum of 100 units.

Market Analysis – San Gabriel Blvd Mixed Use Market Analysis | 19 Keyser Marston Associates, Inc. | October 2019

Summary of Residential Market Findings Thanks in part to relatively low vacancy rates, rents in the City have grown at an average rate of 4.0% year over year but remain substantially lower than average asking rents Countywide. It is likely that the lack of new multifamily apartment development in the City accounts for some of this price differential, and a survey of the 5-mile Market Area reveals that most new construction has taken place in Pasadena, Monrovia and Alhambra, all of which have higher average rents. Healthy population growth and vacancy rates that are projected to remain low through at least 2022 will likely drive demand for residential development in the City, and household growth trends indicate 3-mile market support for up to 6,000 residential units through 2034.

Ownership housing, meanwhile, has experienced a much sharper rise in price than rental housing in the City; since 2013, median sales prices for condominiums have risen 47%. In the same time period, median sales prices for townhomes rose 23%. Along with rental housing stock, for-sale housing stock in the City tends to be older – the average year of construction for condominium units in the City is 1981. Currently there is one new attached housing project under construction in the City, the Hyatt Hotel and Residences Project which will contain 87 condominium units, as well as a proposed project at 860 E. Valley Blvd containing 42 condominium units. Overall, the Market Area’s low vacancy rates and price growth for both rental and ownership housing types indicate that market support exists for new residential development.

II. FISCAL & ECONOMIC BENEFITS ANALYSIS

In addition to estimating market demand for the Project, KMA estimated the fiscal and economic benefits generated by the Project over a twenty-year period. The proposed Project will include 243 for- sale residential units, 8 live-work units, and 69,280 square feet of commercial space. For this assignment, KMA performed the following tasks:

o Reviewed the Project’s development plans and scope as provided by the Developer

o Projected the property taxes generated by the Project based on estimated development costs as provided by the Developer

o Projected the gross and taxable sales generated by the Project based on typical sales productivity levels for the proposed tenancies, including estimated the potential retail sales generated by the Project residents

o Projected the temporary (construction) and permanent (retail) employment generated by the Project

A summary of the key revenue assumptions utilized for the fiscal analysis, and an overview of the findings, is provided below.

Market Analysis – San Gabriel Blvd Mixed Use Market Analysis | 20 Keyser Marston Associates, Inc. | October 2019

Property Tax The property tax analysis assumes the following:

o Properties in California are taxed at a 1.0% general rate applied to the assessed value of the property.

o Traditionally, a City receives an allocated share of the 1% general property tax, with the balance going to other governmental agencies (e.g. County).

o According to information received from the City, it typically receives 7.27% of the 1.0% general rate.

o KMA assumes that 75% of the Project units will be sold in Year 1 of Project operations, with the remaining 25% of units sold in Year 2.

KMA estimated the assessed market value of the Project based on the development costs as provided by the Developer. Taking into account the Site’s existing property tax revenues21, the proposed Project would generate approximately $112,700 in incremental property tax revenue to the City in Year 1, and $143,600 when the Project reaches full occupancy in Year 2. At this level of value, the project will generate $3.45 million in property tax revenue over 20 years.

Sales Tax The City receives a 1.0% share of taxable sales revenues. In addition to the sales tax revenue generated on-site by the Project’s retail component, Project residents are expected to spend money on retail goods at other locations in the City.

On-Site Spending

The Developer has indicated that the Project will include almost 70,000 square feet of commercial space comprised of the following:

1. Supermarket Anchor Space 20,300 SF 2. Fitness Center 25,200 SF 3. Café 3,500 SF 4. Bakery 2,500 SF 5. Sit-Down Dining 5,000 SF 6. Fast Casual Dining 5,600 SF 7. Retail 7,100 SF

21 Per the LA County Office of the Assessor, the Site was last assessed at $472,300 in 2018.

Market Analysis – San Gabriel Blvd Mixed Use Market Analysis | 21 Keyser Marston Associates, Inc. | October 2019

Based on typical sales productivity levels, KMA assumed taxable retail sales would be $5 per square foot for the fitness center, $350 per square foot for the supermarket, $250 to $350 per square foot for retail and service tenancies, and $400 to $500 per square foot for restaurant tenancies.22

Based on the foregoing assumptions, the Project would generate approximately $11.1 million in taxable sales in the first year, resulting in $111,000 of sales tax revenue to the City. Over a 20 year period, the Project is expected to generate $2.99 million in sales tax revenue.

Total City Revenues As shown in Table 7.1, the Project is projected to generate $255,000 in City revenues in the first year of stabilized occupancy. Over a 20-year period of operations, the Project is projected to generate $6.44 million in general fund revenues.

Table 7.1

Total City General Fund Revenues

Year 1 20 Years Property Tax $144,000 $3,453,500 Sales Tax $111,000 $2,986,300

Total $255,000 $6,439,800

Resident Spending in the City

In addition to the on-site expenditures, Project residents will purchase taxable goods within the City. To estimate these off-site expenditures, KMA assumed the following:

• Spending on housing is 33% of household income.

• Expenditures as a share of income would be consistent with typical spending patterns for households in the market area.

• Approximately 25% of resident household income will be spent on taxable retail goods.

22 The Taxable share of retail sales is assumed to be 35% for supermarket sales and 100% for other retail and restaurant sales. Typical sales productivity is based on 10-K reports and data from the U.S. Business Reporter.

Market Analysis – San Gabriel Blvd Mixed Use Market Analysis | 22 Keyser Marston Associates, Inc. | October 2019

• The City would capture 50% of these expenditures,

Based on these assumptions an additional $43,000 in sales tax would be generated annually within the City from Project residents.

Estimated Employment Based on the construction costs provided by the Developer and utilizing RIMS II multiplier data, KMA estimated the construction employment generated by the Project at 1,177 temporary jobs (including direct, indirect and induced jobs).

KMA’s analysis assumes an average of 2.1 employees per 1,000 square feet of retail space. Assuming this ratio and the scope of retail development proposed, the Project would generate 218 permanent jobs (including direct, indirect and induced jobs), of which 144 would be located on-site.

Limiting Conditions to Projections, Conclusions, and Recommendations

Keyser Marston Associates, Inc. (KMA) has made extensive efforts to confirm the accuracy and timeliness of the information contained in this document. Such information was compiled from a variety of sources deemed to be reliable including state and local government, planning agencies, real estate brokers, and other third parties. Although KMA believes all information in this document is correct, it does not guarantee the accuracy of such and assumes no responsibility for inaccuracies in the information provided by third parties. Further, no guarantee is made as to the possible effect on development of current or future federal, state, or local legislation including environmental or ecological matters.

The accompanying projections and analyses are based on estimates and assumptions which were developed using currently available economic data, project specific data and other relevant information. It is the nature of forecasting, however, that some assumptions may not materialize and unanticipated events and circumstances may occur. Such changes are likely to be material to the projections and conclusions herein and, if they occur, require review or revision of this document.

1. The analysis contained in this document is based, in part, on data from secondary sources such as state and local government, planning agencies, real estate brokers, and other third parties. While KMA believes that these sources are reliable, we cannot guarantee their accuracy.

2. The analysis assumes that neither the local nor national economy will experience a major recession. If an unforeseen change occurs in the economy, the conclusions contained herein may no longer be valid.

Market Analysis – San Gabriel Blvd Mixed Use Market Analysis | 23 Keyser Marston Associates, Inc. | October 2019

3. The findings are based on economic rather than political considerations. Therefore, they should be construed neither as a representation nor opinion that government approvals for development can be secured.

4. Market feasibility is not equivalent to financial feasibility; other factors apart from the level of demand for a land use are of crucial importance in determining feasibility. These factors include the cost of acquiring sites, relocation burdens, traffic impacts, remediation of toxics (if any), and mitigation measures required through the approval process.

5. Development opportunities are assumed to be achievable during the specified time frame. A change in development schedule requires that the conclusions contained herein be reviewed for validity.

6. The analysis, opinions, recommendations and conclusions of this document are KMA's informed judgment based on market and economic conditions as of the date of this report. Due to the volatility of market conditions and complex dynamics influencing the economic conditions of the building and development industry, conclusions and recommended actions contained herein should not be relied upon as sole input for final business decisions regarding current and future development and planning.

APPENDIX SE-1 SOCIO ECONOMIC DATA

APPENDIX - SE1

CITY & COUNTY POPULATION & PROJECTIONS MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Population 2012 2040 Change % Change City of San Gabriel 40,100 46,900 6,800 0.56% LA County 9,922,600 11,514,800 1,592,200 0.53%

SCAG

Household 2012 2040 Change % Change City of San Gabriel 12,600 15,300 2,700 0.70% LA County 3,257,600 3,946,600 689,000 0.69%

SCAG

Employment 2012 2040 Change % Change City of San Gabriel 14,100 16,800 2,700 0.63% LA County 4,246,600 5,225,800 979,200 0.74%

SCAG

ESRI MARKET AREA SOCIO-ECONOMIC DATA & PROJECTIONS MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Population 2010 2019 2024 Density 2019-2024 2010-2024 Sq. Miles 1-Mile Ring 31,773 32,761 33,186 10,428 1.30% 4.45% 3.14 PI 3-Mile Ring 271,861 280,839 284,538 9,933 1.32% 4.66% 28.27 5-Mile Ring 627,732 650,003 659,666 8,276 1.49% 5.09% 78.54 City of San Gabriel 39,718 41,363 42,048 10,023 1.66% 5.87% 4.1 Los Angeles County 9,818,605 10,255,222 10,464,764 2,159 2.04% 6.58% 4,751.0

Households 2010 2019 2024 2019-2024 1-Mile Ring 9,927 10,144 10,225 0.80% Occupancy 97.0% 3-Mile Ring 85,372 87,483 88,249 0.88% 5-Mile Ring 205,467 211,453 213,768 1.09% City of San Gabriel 12,542 12,925 13,065 1.08% Los Angeles County 3,241,204 3,362,815 3,424,453 1.83%

Average Persons Per Hhold 1-Mile Ring 3.20 3-Mile Ring 3.19 5-Mile Ring 3.04 City of San Gabriel 3.17 Los Angeles County 3.00

Per Capita Income 1-Mile Ring $25,074 3-Mile Ring $28,266 5-Mile Ring $31,919 City of San Gabriel $27,550

Los Angeles County $32,163

Median Household Income 1-Mile Ring $60,150 3-Mile Ring $61,957 5-Mile Ring $68,188 City of San Gabriel $62,050 Los Angeles County $66,297

Household Income Distribution- Disaggregated

Under 15 15 to 24.9 25 to 34.9 35 to 49.9 50 to 74.9 75 to 99.9 100 to 149.9 150 to 199.9 200+ 1-Mile Ring 8.5% 8.7% 9.3% 13.4% 19.9% 13.0% 15.1% 6.9% 5.2% 3-Mile Ring 9.6% 9.9% 8.7% 11.7% 17.7% 12.0% 15.5% 6.8% 8.1% 5-Mile Ring 9.1% 8.7% 7.8% 11.0% 17.0% 12.4% 16.3% 8.0% 9.7% City of San Gabriel 7.0% 9.5% 9.0% 14.3% 17.8% 12.4% 15.6% 7.3% 7.1% Los Angeles County 10.4% 8.5% 7.8% 11.3% 16.5% 12.2% 15.8% 7.7% 9.8%

Household Income Distribution

< $25,000 $25,000-$49,999 $50,000-$99,999 $100,000-$149,999 $150,000+ Total 1-Mile Ring 17.20% 22.70% 32.90% 15.10% 12.10% 100.00% 3-Mile Ring 19.50% 20.40% 29.70% 15.50% 14.90% 100.00% 5-Mile Ring 17.80% 18.80% 29.40% 16.30% 17.70% 100.00% City of San Gabriel 16.50% 23.30% 30.20% 15.60% 14.40% 100.00% Los Angeles County 18.90% 19.10% 28.70% 15.80% 17.50% 100.00%

Median Age 1-Mile Ring 41.2 3-Mile Ring 41.1 5-Mile Ring 39.5 City of San Gabriel 42.1 Los Angeles County 35.9

Age Distribution- Disaggregated

Under 5 5 to 9 10 to 14 15 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 to 74 1-Mile Ring 4.8% 4.9% 5.4% 11.3% 14.6% 14.1% 13.9% 13.5% 9.6% 3-Mile Ring 4.8% 5.1% 5.6% 11.9% 14.3% 13.2% 13.9% 13.6% 9.8% 5-Mile Ring 5.2% 5.4% 5.8% 12.3% 15.0% 13.3% 13.4% 12.8% 9.3% City of San Gabriel 4.7% 5.0% 5.5% 11.1% 13.9% 13.7% 14.6% 13.8% 9.9% Los Angeles County 6.1% 6.1% 6.3% 13.9% 16.2% 13.5% 12.7% 11.6% 7.9%

Age Under 15 15 to 24 25 to 34 35 to 54 55 to 64 Over 65 Total 1-Mile Ring 15.1% 11.3% 14.6% 28.0% 13.5% 17.5% 100.00% 3-Mile Ring 15.5% 11.9% 14.3% 27.1% 13.6% 17.5% 99.90% 5-Mile Ring 16.4% 12.3% 15.0% 26.7% 12.8% 16.9% 100.10% City of San Gabriel 15.2% 11.1% 13.9% 28.3% 13.8% 17.8% 100.10% Los Angeles County 18.5% 13.9% 16.2% 26.2% 11.6% 13.5% 99.90%

Education Levels of Population Over 25- Disaggregated

< 9th Grade Some HS HS Grad. GED Some College Ass. Deg Bach Deg Grad Deg Total 1-Mile Ring 11.8% 7.7% 26.6% 1.0% 16.6% 6.6% 23.2% 6.6% 100.10% 3-Mile Ring 13.9% 7.4% 23.0% 1.1% 14.1% 6.9% 23.1% 10.4% 99.90% 5-Mile Ring 12.6% 7.5% 20.3% 1.2% 14.6% 7.2% 23.2% 13.4% 100.00% City of San Gabriel 12.1% 7.8% 25.9% 1.0% 14.1% 6.1% 25.3% 7.6% 99.90% Los Angeles County 11.9% 8.3% 19.3% 1.7% 18.8% 6.9% 21.5% 11.6% 100.00%

Education No HS Degree HS Degree Some College College Grad. Total 1-Mile Ring 19.50% 27.60% 23.20% 29.80% 100.10% 3-Mile Ring 21.30% 24.10% 21.00% 33.50% 99.90% 5-Mile Ring 20.10% 21.50% 21.80% 36.60% 100.00% City of San Gabriel 19.90% 26.90% 20.20% 32.90% 99.90% Los Angeles County 20.20% 21.00% 25.70% 33.10% 100.00%

Race Classification White Black American Indian Asian and PI Other Hispanic* Total (separate) 1-Mile Ring 22.2% 0.9% 0.6% 61.5% 14.8% 29.1% 100.00% 3-Mile Ring 24.5% 0.9% 0.5% 59.7% 14.4% 28.1% 100.00% 5-Mile Ring 33.8% 1.6% 0.6% 45.6% 18.4% 36.8% 100.00% City of San Gabriel 23.6% 0.9% 0.5% 62.5% 12.4% 25.7% 99.90% Los Angeles County 48.6% 8.2% 0.7% 15.3% 27.3% 48.9% 100.10%

Race Classification White alone Black Amerind Asian Hawaii PI Other 2 or more Hispanic Total 1-Mile Ring 22.2% 0.9% 0.6% 61.4% 0.1% 11.9% 2.9% 29.1% 100.00% 3-Mile Ring 24.5% 0.9% 0.5% 59.6% 0.1% 11.6% 2.8% 28.1% 100.00% 5-Mile Ring 33.8% 1.6% 0.6% 45.5% 0.1% 14.9% 3.5% 36.8% 100.00% City of San Gabriel 23.6% 0.9% 0.5% 62.4% 0.1% 9.5% 2.9% 25.7% 99.90% Los Angeles County 48.6% 8.2% 0.7% 15.0% 0.3% 22.4% 4.9% 48.9% 100.10%

APPENDIX 1 - TABLE 1

EMPLOYMENT & BUSINESSES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

1-Mile Radius 3-Mile Radius 5-Mile Radius Bus. Share Emp. Share Bus. Share Emp. Share Bus. Share Emp. Share Agriculture, Forestry, Fishing & Hunting 2 0.1% 12 0.1% 20 0.2% 92 0.1% 52 0.2% 258 0.1% Mining 1 0.1% 5 0.1% 5 0.0% 21 0.0% 12 0.0% 54 0.0% Utilities 2 0.1% 21 0.2% 10 0.1% 330 0.4% 28 0.1% 818 0.3% Construction 55 3.3% 271 3.0% 371 3.1% 1,937 2.3% 1,091 3.5% 6,998 2.7% Manufacturing 54 3.2% 431 4.8% 386 3.2% 3,868 4.7% 1,038 3.3% 14,197 5.5% Wholesale Trade 72 4.3% 389 4.3% 493 4.1% 3,150 3.8% 1,304 4.2% 8,848 3.4% Retail Trade 210 12.4% 1,046 11.6% 1,613 13.5% 10,599 12.8% 4,146 13.2% 33,561 12.9% Motor Vehicle & Parts Dealers 17 1.0% 125 1.4% 146 1.2% 1,458 1.8% 355 1.1% 4,023 1.6% Furniture & Home Furnishings Stores 16 0.9% 69 0.8% 85 0.7% 344 0.4% 252 0.8% 1,347 0.5% Electronics & Appliance Stores 10 0.6% 68 0.8% 73 0.6% 376 0.5% 195 0.6% 1,470 0.6% Bldg Material & Garden Equipment & Supplie 18 1.1% 116 1.3% 98 0.8% 1,072 1.3% 270 0.9% 1,887 0.7% Food & Beverage Stores 36 2.1% 234 2.6% 285 2.4% 2,364 2.9% 631 2.0% 6,160 2.4% Health & Personal Care Stores 27 1.6% 121 1.3% 210 1.8% 1,012 1.2% 450 1.4% 2,526 1.0% Gasoline Stations 6 0.4% 28 0.3% 51 0.4% 274 0.3% 135 0.4% 758 0.3% Clothing & Clothing Accessories Stores 21 1.2% 112 1.2% 204 1.7% 715 0.9% 677 2.2% 4,001 1.5% Sport Goods, Hobby, Book, & Music Stores 14 0.8% 42 0.5% 97 0.8% 357 0.4% 246 0.8% 1,164 0.4% General Merchandise Stores 10 0.6% 42 0.5% 101 0.8% 1,794 2.2% 231 0.7% 5,977 2.3% Miscellaneous Store Retailers 33 2.0% 78 0.9% 236 2.0% 732 0.9% 628 2.0% 2,911 1.1% Nonstore Retailers 2 0.1% 10 0.1% 27 0.2% 102 0.1% 77 0.2% 1,337 0.5% Transportation & Warehousing 30 1.8% 200 2.2% 196 1.6% 1,784 2.2% 407 1.3% 3,146 1.2% Information 22 1.3% 116 1.3% 185 1.6% 1,077 1.3% 547 1.7% 4,704 1.8% Finance & Insurance 105 6.2% 520 5.8% 802 6.7% 4,692 5.7% 1,964 6.3% 16,497 6.4% Central Bank/Credit Intermediation & Related 24 1.4% 193 2.1% 210 1.8% 2,394 2.9% 513 1.6% 6,922 2.7% Securities, Commodity & Other Related Activi 41 2.4% 174 1.9% 341 2.9% 1,349 1.6% 816 2.6% 5,088 2.0% Insurance Carriers & Related Activities 40 2.4% 153 1.7% 252 2.1% 949 1.1% 635 2.0% 4,488 1.7% Real Estate, Rental & Leasing 72 4.3% 478 5.3% 426 3.6% 3,730 4.5% 1,258 4.0% 8,708 3.4% Professional, Scientific & Tech Services 137 8.1% 644 7.1% 959 8.0% 10,032 12.1% 3,123 9.9% 27,975 10.8% Legal Services 37 2.2% 131 1.5% 235 2.0% 835 1.0% 867 2.8% 4,150 1.6% Management of Companies & Enterprises 7 0.4% 28 0.3% 60 0.5% 3,265 3.9% 131 0.4% 3,788 1.5% Administrative/Support/Waste Management Services 72 4.3% 284 3.2% 481 4.0% 2,117 2.6% 1,090 3.5% 5,687 2.2% Educational Services 51 3.0% 856 9.5% 325 2.7% 7,028 8.5% 768 2.4% 21,939 8.5% Health Care & Social Assistance 123 7.3% 1,679 18.6% 862 7.2% 10,862 13.1% 2,455 7.8% 33,456 12.9% Arts, Entertainment & Recreation 25 1.5% 168 1.9% 150 1.3% 1,284 1.6% 466 1.5% 5,712 2.2% Accommodation & Food Services 117 6.9% 947 10.5% 875 7.3% 8,801 10.6% 2,217 7.1% 26,491 10.2% Accommodation 4 0.2% 120 1.3% 42 0.4% 706 0.9% 136 0.4% 2,124 0.8% Food Services & Drinking Places 113 6.7% 826 9.2% 833 7.0% 8,094 9.8% 2,082 6.6% 24,367 9.4% Other Services (except Public Administration) 171 10.1% 723 8.0% 1,153 9.7% 4,851 5.9% 3,255 10.4% 15,761 6.1% Automotive Repair & Maintenance 32 1.9% 205 2.3% 244 2.0% 1,013 1.2% 694 2.2% 3,429 1.3% Public Administration 9 0.5% 183 2.0% 95 0.8% 3,057 3.7% 330 1.1% 19,943 7.7%

Unclassified Establishments 354 20.9% 14 0.2% 2,467 20.7% 174 0.2% 5,723 18.2% 690 0.3%

Total 1,691 100.0% 9,011 100.0% 11,931 100.0% 82,751 100.0% 31,404 100.0% 259,232 100.0%

Source: Esri

APPENDIX 1 - TABLE 2

EMPLOYMENT & BUSINESSES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

San Gabriel LA County Bus. Share Emp. Share Bus. Share Emp. Share Agriculture, Forestry, Fishing & Hunting 2 0.1% 12 0.1% 762 0.2% 5,510 0.1% Mining 2 0.1% 10 0.1% 280 0.1% 3,646 0.1% Utilities 1 0.0% 6 0.0% 285 0.1% 8,857 0.2% Construction 67 2.8% 323 2.5% 20,336 4.6% 142,074 3.4% Manufacturing 66 2.7% 441 3.4% 16,630 3.8% 348,345 8.3% Wholesale Trade 93 3.9% 481 3.7% 16,919 3.9% 187,731 4.5% Retail Trade 335 13.9% 1,682 12.9% 58,955 13.5% 535,662 12.8% Motor Vehicle & Parts Dealers 20 0.8% 130 1.0% 5,224 1.2% 67,060 1.6% Furniture & Home Furnishings Stores 15 0.6% 60 0.5% 3,138 0.7% 23,120 0.6% Electronics & Appliance Stores 15 0.6% 111 0.8% 2,924 0.7% 27,438 0.7% Bldg Material & Garden Equipment & Supplies D 22 0.9% 155 1.2% 4,011 0.9% 42,431 1.0% Food & Beverage Stores 54 2.2% 368 2.8% 8,432 1.9% 94,760 2.3% Health & Personal Care Stores 44 1.8% 168 1.3% 5,195 1.2% 36,883 0.9% Gasoline Stations 13 0.5% 58 0.4% 2,164 0.5% 16,511 0.4% Clothing & Clothing Accessories Stores 59 2.5% 206 1.6% 11,181 2.6% 73,038 1.7% Sport Goods, Hobby, Book, & Music Stores 22 0.9% 67 0.5% 3,359 0.8% 22,376 0.5% General Merchandise Stores 18 0.7% 232 1.8% 3,111 0.7% 73,487 1.8% Miscellaneous Store Retailers 49 2.0% 111 0.8% 9,230 2.1% 47,846 1.1% Nonstore Retailers 4 0.2% 16 0.1% 986 0.2% 10,712 0.3% Transportation & Warehousing 30 1.2% 196 1.5% 7,970 1.8% 147,528 3.5% Information 34 1.4% 169 1.3% 10,682 2.4% 164,779 3.9% Finance & Insurance 139 5.8% 834 6.4% 21,247 4.8% 178,214 4.2% Central Bank/Credit Intermediation & Related Ac 35 1.5% 337 2.6% 6,296 1.4% 66,513 1.6% Securities, Commodity & Other Related Activitie 49 2.0% 271 2.1% 7,386 1.7% 50,877 1.2% Insurance Carriers & Related Activities 55 2.3% 226 1.7% 7,565 1.7% 60,824 1.4% Real Estate, Rental & Leasing 83 3.5% 540 4.1% 21,586 4.9% 156,563 3.7% Professional, Scientific & Tech Services 188 7.8% 813 6.2% 43,254 9.9% 355,741 8.5% Legal Services 54 2.2% 181 1.4% 10,682 2.4% 78,043 1.9% Management of Companies & Enterprises 11 0.5% 44 0.3% 1,690 0.4% 16,519 0.4% Administrative/Support/Waste Management Services 100 4.2% 379 2.9% 15,021 3.4% 127,235 3.0% Educational Services 63 2.6% 1,114 8.5% 10,005 2.3% 332,526 7.9% Health Care & Social Assistance 189 7.9% 2,239 17.1% 30,132 6.9% 501,649 12.0% Arts, Entertainment & Recreation 36 1.5% 295 2.3% 9,013 2.1% 119,087 2.8% Accommodation & Food Services 224 9.3% 2,132 16.3% 29,202 6.7% 385,153 9.2% Accommodation 9 0.4% 470 3.6% 2,094 0.5% 63,825 1.5% Food Services & Drinking Places 215 8.9% 1,662 12.7% 27,108 6.2% 321,328 7.7% Other Services (except Public Administration) 257 10.7% 1,075 8.2% 45,380 10.4% 260,360 6.2% Automotive Repair & Maintenance 44 1.8% 226 1.7% 9,535 2.2% 44,892 1.1% Public Administration 20 0.8% 275 2.1% 3,748 0.9% 196,619 4.7%

Unclassified Establishments 464 19.3% 14 0.1% 75,024 17.1% 21,395 0.5%

Total 2,404 100.0% 13,074 100.0% 438,121 100.0% 4,195,193 100.0%

Source: Esri

APPENDIX 2 RETAIL MARKET

APPENDIX 2 - TABLE 1

TOTAL & PER CAPITA RETAIL SALES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

------Total Taxable Sales ($000s)------2016

Regional LA State of S an Gabriel A lhambra M onterey Park M arket C ounty C alifornia Motor Vehicles and Parts Dlrs $14,147 $514,722 $93,359 $622,228 $18,502,763 $84,225,652 Home Furnishing & App 11,166 16,161 7,536 34,863 7,842,400 29,910,069 Bldg Mtrl & Garden Equip 18,442 77,583 1,194 97,219 7,688,704 35,238,332 Food & Beverage Stores 17,792 31,588 28,378 77,758 6,696,653 27,678,056 Gasoline Stations 42,717 70,189 46,347 159,253 10,137,301 43,273,082 Clothing & Clothing Access 39,987 27,859 15,934 83,780 11,413,847 39,698,156 General Merchandise Stores 3,388 196,528 8,085 208,001 10,904,813 48,255,569 Food Services & Drinking Plcs 119,423 198,380 153,132 470,935 22,002,190 78,494,623 Other Retail Group 25,864 91,695 59,476 177,035 14,808,367 55,940,348 Retail Stores Total $292,926 $1,224,705 $413,441 $1,931,072 $109,997,038 $442,713,887

------Per Capita Taxable Sales------2016

Population 40,514 85,396 61,044 186,954 10,160,000 39,321,464

Regional LA State of S an Gabriel A lhambra M onterey Park M arket C ounty C alifornia Motor Vehicles and Parts Dlrs $349 $6,027 $1,529 $3,328 $1,821 $2,142 Home Furnishing & App 276 189 123 186 772 761 Bldg Mtrl & Garden Equip 455 909 20 520 757 896 Food & Beverage Stores 439 370 465 416 659 704 Gasoline Stations 1,054 822 759 852 998 1,100 Clothing & Clothing Access 987 326 261 448 1,123 1,010 General Merchandise Stores 84 2,301 132 1,113 1,073 1,227 Food Services & Drinking Plcs 2,948 2,323 2,509 2,519 2,166 1,996 Other Retail Group 638 1,074 974 947 1,458 1,423 Retail Stores Total $7,230 $14,341 $6,773 $10,329 $10,826 $11,259

$28,345

Source: California State Board of Equalization; and California State Department of Finance

1 Per the CA State Board of Equalization, for those categories listed as "-", the sales are included in the "Other Retail Stores" category.

APPENDIX 2 - TABLE 2

TOTAL PERMITS & SALES PER RETAIL PERMIT MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

------Total Permits------2016 Regional L A S tate of S an Gabriel A lhambra M onterey Park M arket C ounty C alifornia Motor Vehicles and Parts Dlrs 30 79 34 143 9,219 35,439 Home Furnishing & App 84 99 60 243 13,249 45,571 Bldg Mtrl & Garden Equip 22 17 14 53 3,808 18,259 Food & Beverage Stores 55 53 65 173 9,799 35,221 Gasoline Stations 11 10 10 31 2,147 10,179 Clothing & Clothing Access 142 147 105 394 36,061 106,575 General Merchandise Stores 34 54 49 137 9,453 27,025 Food Services & Drinking Plcs 221 239 215 675 30,155 111,249 Other Retail Group 385 5 26 3 69 1 ,280 8 3,038 3 22,209 Retail Stores Total 984 1,224 921 3,129 196,929 711,727

------Taxable Sales Per Permit------2016 Regional LA State of S an Gabriel A lhambra M onterey Park M arket C ounty C alifornia Motor Vehicles and Parts Dlrs $471,566.67 $6,515,468 $2,745,853 $4,351,245 $2,007,025 $2,376,637 Home Furnishing & App $132,929 $163,242 $125,600 $143,469 $591,924 $656,340 Bldg Mtrl & Garden Equip $838,273 $4,563,706 $85,286 $1,834,321 $2,019,092 $1,929,916 Food & Beverage Stores $323,491 $596,000 $436,585 $449,468 $683,402 $785,840 Gasoline Stations $3,883,364 $7,018,900 $4,634,700 $5,137,194 $4,721,612 $4,251,212 Clothing & Clothing Access $281,599 $189,517 $151,752 $212,640 $316,515 $372,490 General Merchandise Stores $99,647 $3,639,407 $165,000 $1,518,255 $1,153,582 $1,785,590 Food Services & Drinking Plcs $540,376 $830,042 $712,242 $697,681 $729,637 $705,576 Other Retail Group $67,179 $174,325 $161,182 $138,309 $178,332 $173,615 Retail Stores Average $297,689 $1,000,576 $448,904 $617,153 $558,562 $622,028

------Residents Per Permit------2016 Population 40,514 85,396 61,044 186,954 10,160,000 39,321,464 Regional LA State of San Gabriel Alhambra Monterey Park Market County California Motor Vehicles and Parts Dlrs 1,350 1,081 1,795 1,307 1,102 1,110 Home Furnishing & App 482 863 1,017 769 767 863 Bldg Mtrl & Garden Equip 1,842 5,023 4,360 3,527 2,668 2,154 Food & Beverage Stores 737 1,611 939 1,081 1,037 1,116 Gasoline Stations 3,683 8,540 6,104 6,031 4,732 3,863 Clothing & Clothing Access 285 581 581 475 282 369 General Merchandise Stores 1,192 1,581 1,246 1,365 1,075 1,455 Food Services & Drinking Plcs 183 357 284 277 337 353 Other Retail Group 105 1 62 1 65 1 46 1 22 122 Retail Stores Average 41 70 66 60 52 55

Source: California State Board of Equalization; and California State Department of Finance 1 Per the CA State Board of Equalization, for those categories listed as "$0", the sales are included in the "Other Retail Stores" category.

APPENDIX 2 - TABLE 3

1ST QUARTER 2019 RETAIL MARKET - LOS ANGELES COUNTY PRODUCT TYPES1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Square Feet Square Feet Vacancy Net Absorption Net Absorption SF Completions SF Under Average Asking Retail Product Type (Total Inventory) Vacant Rate Current Qtr YTD Current Qtr Construction Rent

Super Regional/Regional Malls 25,384,100 736,139 2.9% 28,900 28,900 81,100 21,900 $3.95 Power Centers 14,342,000 573,680 4.0% 25,000 25,000 16,000 20,000 $2.21 Lifestyle Centers 6,194,300 346,881 5.6% 634,400 634,400 536,900 1,221,300 $3.95 Community/Neighborhood Ctrs 80,652,100 4,919,778 6.1% 78,200 78,200 157,600 498,000 $2.21 Strip Centers 31,295,900 1,470,907 4.7% 25,100 25,100 26,300 188,600 $2.20 Single Tenant 78,514,100 1,491,768 1.9% 43,500 43,500 - 15,700 $2.80

Market Total 236,382,500 9,539,153 4.0% 835,100 835,100 817,900 1,965,500 $2.50

(1) Lease Rates are on a triple-net basis. Colliers International

APPENDIX 2 - TABLE 4

1ST QUARTER 2019 RETAIL MARKET - GREATER LOS ANGELES SUBMARKETS1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Square Feet Square Feet Vacancy Net Absorption Net Absorption SF Under Avg Asking Submarket GLA Vacant Rate Current Qtr (sf) YTD (sf) Construction Rent ($/sf/mo)

Antelope Valley 8,143,566 529,332 6.5% 38,628 38,628 - $1.47 Greater Downtown 2,718,807 231,099 8.5% (25,027) (25,027) 153,192 $2.25 Mid-Cities 12,253,735 710,717 5.8% (54,019) (54,019) - $1.58 Mid-Wilshire 3,690,362 110,711 3.0% (6,803) (6,803) - $5.54 San Fernando Valley 15,189,548 622,771 4.1% (52,084) (52,084) 214,810 $2.58 San Gabriel Valley 20,714,386 1,056,434 5.1% (71,116) (71,116) 429,620 $1.80 Santa Clarita Valley 6,072,883 370,446 6.1% (17,914) (17,914) - $2.74 South Bay 19,939,295 1,036,843 5.2% 4,608 4,608 255,000 $2.08 Southeast Los Angeles 7,234,894 289,396 4.0% (64,063) (64,063) 148,003 $2.20 Tri-Cities 9,338,387 242,798 2.6% (57,961) (57,961) 122,316 $2.29 Ventura 22,731,609 1,432,091 6.3% 9,369 9,369 - $2.73 West Los Angeles 5,193,051 270,039 5.2% (26,780) (26,780) 340,094 $4.91

Greater Los Angeles Total 133,220,523 6,902,676 5.2% (323,162) (323,162) 1,663,035 $2.40

(1) Lease Rates are on a triple-net basis. CBRE

APPENDIX 2 - TABLE 5

RETAIL MARKET BY PRODUCT TYPE Q1 2019- WESTERN SAN GABRIEL VALLEY1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Western SGV Square Feet Square Feet Vacancy Net Absorption Net Absorption SF Under Market Product Type RBA Vacant Rate Current Qtr (sf) QTD (sf) Construction Rent ($/sf/yr)

Malls 0 ------Power Center 1,100,174 - 11.1% 10,000 10,000 6,000 $23.19 Neighborhood Center 5,399,364 183,578 3.4% (2,369) (2,369) 0 $33.03 Strip Center 2,187,240 87,490 4.0% (4,370) (4,370) 0 $26.05 General Retail 11,496,759 333,406 2.9% (13,433) (13,433) 67398 $26.17 Other2 0 ------

Market Average 20,183,537 604,474 5.0% (10,172) (10,172) 73,398 $27.82

(1) Western SGV Submarket includes San Gabriel, Alhambra, Monterey Park, Rosemead, and El Monte (2) Other category includes lifestyle centers, theme centers, office or industrial parks. Costar July 2019

APPENDIX 2 - TABLE 6

RETAIL SALES SURPLUS/LEAKAGE DATA SUMMARY MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

(Surplus)/ Typical Potential Businesses Demand Supply Leakage Sales PSF Sq. Feet 1 Mile Radius Motor Vehicle & Parts Dealers 13 $64,517,530 $26,468,260 $38,049,270 NA NA Furniture & Home Furnishings Stores 15 $12,340,847 $14,485,848 ($2,145,001) $350 NA Electronics & Appliance Stores 7 $12,839,761 $8,261,314 $4,578,447 $350 13,081 Bldg Materials, Garden Equip. & Supply Stores 17 $19,161,445 $13,249,057 $5,912,388 $400 14,781 Food & Beverage Stores 25 $54,995,633 $42,499,683 $12,495,950 $450 27,769 Health & Personal Care Stores 29 $22,973,888 $20,209,906 $2,763,982 $400 6,910 Gasoline Stations 6 $28,551,827 $27,469,707 $1,082,120 NA NA Clothing & Clothing Accessories Stores 20 $25,732,800 $19,279,342 $6,453,458 $350 18,438 Sporting Goods, Hobby, Book & Music Stores 11 $11,065,155 $5,978,064 $5,087,091 $350 14,535 General Merchandise Stores 8 $56,607,690 $6,460,434 $50,147,256 $400 125,368 Miscellaneous Store Retailers 29 $12,284,934 $10,181,179 $2,103,755 $350 6,011 Nonstore Retailers 1 $10,261,921 $4,015,334 $6,246,587 NA NA Food Services & Drinking Places 95 $37,348,414 $36,566,796 $781,618 $400 1,954

3 Mile Radius Motor Vehicle & Parts Dealers 124 $602,072,370 $644,940,339 ($42,867,969) NA NA Furniture & Home Furnishings Stores 70 $114,333,164 $58,768,333 $55,564,831 $350 158,757 Electronics & Appliance Stores 68 $117,125,151 $75,770,640 $41,354,511 $350 118,156 Bldg Materials, Garden Equip. & Supply Stores 80 $181,433,390 $120,179,528 $61,253,862 $400 153,135 Food & Beverage Stores 210 $505,557,037 $587,704,304 ($82,147,267) $450 NA Health & Personal Care Stores 177 $212,183,613 $195,311,646 $16,871,967 $400 42,180 Gasoline Stations 46 $262,367,766 $236,748,211 $25,619,555 NA NA Clothing & Clothing Accessories Stores 164 $235,855,863 $101,383,565 $134,472,298 $350 384,207 Sporting Goods, Hobby, Book & Music Stores 72 $101,258,267 $40,622,255 $60,636,012 $350 173,246 General Merchandise Stores 62 $520,490,388 $221,377,437 $299,112,951 $400 747,782 Miscellaneous Store Retailers 181 $113,356,275 $66,516,281 $46,839,994 $350 133,829 Nonstore Retailers 22 $94,804,449 $41,463,450 $53,340,999 NA NA Food Services & Drinking Places 694 $343,712,156 $351,817,083 ($8,104,927) $400 NA

5 Mile Radius Motor Vehicle & Parts Dealers 312 $1,567,323,414 $1,898,943,779 ($331,620,365) NA NA Furniture & Home Furnishings Stores 219 $294,336,170 $260,116,506 $34,219,664 $350 97,770 Electronics & Appliance Stores 177 $299,878,149 $320,138,876 ($20,260,727) $350 NA Bldg Materials, Garden Equip. & Supply Stores 240 $460,088,318 $272,282,291 $187,806,027 $400 469,515 Food & Beverage Stores 500 $1,296,583,477 $1,432,780,641 ($136,197,164) $450 NA Health & Personal Care Stores 383 $541,247,069 $512,410,720 $28,836,349 $400 72,091 Gasoline Stations 132 $681,173,608 $746,806,636 ($65,633,028) NA NA Clothing & Clothing Accessories Stores 613 $603,563,495 $674,063,216 ($70,499,721) $350 NA Sporting Goods, Hobby, Book & Music Stores 208 $259,964,101 $176,907,373 $83,056,728 $350 237,305 General Merchandise Stores 146 $1,338,429,045 $1,380,438,715 ($42,009,670) $400 NA Miscellaneous Store Retailers 549 $291,810,104 $295,531,893 ($3,721,789) $350 NA Nonstore Retailers 103 $241,185,693 $5,218,999,466 ($4,977,813,773) NA NA Food Services & Drinking Places 1,779 $887,423,703 $1,183,555,884 ($296,132,181) $400 NA

Source: Esri/KMA

APPENDIX 2 - TABLE 7

ESTIMATED RETAIL DEMAND (SQUARE FEET OF SUPPORTABLE DEVELOPMENT) MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

1 Mile Radius 3 Mile Radius 5 Mile Radius Motor Vehicle & Parts Dealers NA NA NA Furniture & Home Furnishings Stores NA 158,757 97,770 Electronics & Appliance Stores 13,081 118,156 NA Bldg Materials, Garden Equip. & Supply Stores 14,781 153,135 469,515 Food & Beverage Stores 27,769 NA NA Health & Personal Care Stores 6,910 42,180 72,091 Gasoline Stations NA NA NA Clothing & Clothing Accessories Stores 18,438 384,207 NA Sporting Goods, Hobby, Book & Music Stores 14,535 173,246 237,305 General Merchandise Stores 125,368 747,782 NA Miscellaneous Store Retailers 6,011 133,829 NA Nonstore Retailers NA NA NA Food Services & Drinking Places 1,954 NA NA

Total 228,847 1,911,290 876,681

Source: Esri KMA

APPENDIX 2 - TABLE 8

RETAIL RECENTLY DEVELOPED & UNDER DEVELOPMENT Q1 2019- WESTERN SAN GABRIEL VALLEY1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Under Construction Total Est. Date of Estimated Address City Name Product Type GLA Completion Rent/SF/Year2 101-111 W Valley Blvd San Gabriel Shops and Residences at Hyatt Place Storefront Retail 48,126 Dec-19 $21-25 4500 Market Place Dr Monterey Park Monterey Park Market Place Power Center 332,320 Jul-19 $23-29 NE Corner Garvey Ave & Peck Rd El Monte Garvey Square Mixed Use Center - 2019 $22-27 380,446 $24.50

Proposed Total Est. Date of Estimated Address City Name Product Type GLA Completion Rent/SF/Year2 11400 Garvey Ave El Monte - Retail Center 7,000 - - 9933 Valley Blvd El Monte - Retail Center 17,000 Jul-05 - 4000 Arden Dr El Monte Proposed WalMart Supercenter Freestanding Retail 185,000 - - Summer 2021 - 220 S San Gabriel Blvd San Gabriel San Gabriel Square Mixed Use Center 309,295 Dec-23 -

518,295 $24.50

Recently Completed Total Date Asking Address City Name Product Type GLA Completed Rent/SF/Year2

8469 Garvey Ave Rosemead Garvey 168 Plaza Mixed Use Center 35,000 2019 $33 2320 W Commonwealth Ave Alhambra Commonwealth Plaza Strip Center 17,696 2018 $22-27 52,696 $27.33

(1) Western SGV Submarket includes San Gabriel, Alhambra, Monterey Park, Rosemead, and El Monte (2) Costar estimates starting rent for new leases based on current and historical asking rents, lease transactions, and submarket trends. Leases are NNN. Costar July 2019

APPENDIX 2 - TABLE 9

MARKET AREA RETAIL LEASE RATE COMPARABLES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

SF No. Address City Property Type Rate Type Available

1 701 S San Gabriel Blvd San Gabriel Neighborhood Center $23.76 NNN 835 2 117-123 N San Gabriel Blvd San Gabriel Street Retail $23.40 MG 900 $26.04 MG 576 3 125-129 N San Gabriel Blvd San Gabriel Street Retail $24.60 MG 1,550 $25.44 MG 1,550 4 150-168 S San Gabriel Blvd San Gabriel Strip Center $12.00 MG 900 $12.24 MG 830 5 708 E Las Tunas Dr San Gabriel Strip Center $31.92 NNN 2,660 6 1544-1548 S Gladys Ave San Gabriel Street Retail $15.00 MG 1,200 $18.48 MG 1,200 7 625 E Valley Blvd San Gabriel Strip Center $39.00 NNN 1,000 8 501 S San Gabriel Blvd San Gabriel Neighborhood Center $25.20 MG 962 9 789 S San Gabriel Blvd San Gabriel Strip Center $22.20 NNN 1,107 10 1607-1623 S San Gabriel Blvd San Gabriel Strip Center $48.00 NNN 1,139 11 1442-1446 S San Gabriel Blvd San Gabriel Street Retail $23.04 MG 1,250 12 115-133 S San Gabriel Blvd San Gabriel Strip Center $20.52 NNN 1,200 13 828 E Valley Blvd San Gabriel Street Retail $36.00 MG 1,750 $37.20 MG 1,750 14 1026 San Gabriel Blvd San Gabriel Street Retail $29.52 MG 1,546 15 1006 S San Gabriel Blvd San Gabriel Street Retail $21.60 MG 1,600

$26.81

Costar July 2019

1 Market area limited to retail located along San Gabriel Blvd and adjacent sites, and leases signed in last 2.5 years.

APPENDIX 2 - TABLE 10

RETAIL MARKET HISTORIC TRENDS & PROJECTIONS - Western San Gabriel Valley Submarket 1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Western SGV

Net Absorption Inventory Market Rent/SF % Change Vacancy Rate (SF) Inventory (SF) Growth (SF)

2015 $25.66 - 3.6% 274,824 19,759,414 - 2016 $26.30 2.5% 2.9% 193,821 19,801,963 42,549 2017 $27.22 3.5% 3.6% (97,663) 19,854,203 52,240 2018 $27.69 1.7% 3.5% 292,878 20,140,317 286,114 YTD $27.82 0.5% 3.6% 26,714 20,183,537 43,220 2019 $28.02 0.7% 3.7% 15,642 20,191,437 7,900 2020 $28.26 0.9% 3.9% 4,973 20,242,388 50,951 2021 $28.45 0.7% 4.0% 8,620 20,274,731 32,343 2022 $28.71 0.9% 4.1% 11,604 20,319,724 44,993 2023 $28.95 0.8% 4.2% 25,985 20,369,474 49,750

LA County

Net Absorption Inventory Market Rent/SF % Change Vacancy Rate (SF) Inventory (SF) Growth (SF)

2015 $29.97 - 4.8% 1,429,144 439,849,172 - 2016 $30.98 3.4% 3.9% 3,675,100 439,736,657 (112,515) 2017 $32.08 3.6% 3.9% 1,728,497 441,658,366 1,921,709 2018 $32.70 1.9% 4.1% (365,085) 442,107,904 449,538 YTD $32.85 0.5% 4.4% (1,183,629) 442,284,633 176,729 2019 $33.25 1.2% 4.3% (343,843) 442,708,757 424,124 2020 $33.57 1.0% 4.6% 290,110 444,156,063 1,447,306 2021 $33.80 0.7% 4.7% 266,078 444,973,405 817,342 2022 $34.10 0.9% 4.8% 441,086 446,109,544 1,136,139 2023 $34.37 0.8% 4.9% 791,571 447,370,377 1,260,833

(1) Western SGV Submarket includes San Gabriel, Alhambra, Monterey Park, Rosemead, and El Monte Costar July 2019

APPENDIX 3 RESIDENTIAL RENTAL MARKET

PROJECTED HOUSEHOLD FORMATION WITHIN 3-MILE MARKET AREA1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

2019 2024 2029 2034

Estimated Population 280,839 284,538 292,461 300,605

Households 87,483 88,249 90,706 93,232

Household Growth 766 2,457 2,526

Cumulative Households 766 3,223 5,749

Housing Units @ 103% of Growth 789 3,320 5,921

Source: Esri, SCAG; KMA

1 Assumes Esri population and growth projections for 2017 and 2022, with SCAG growth projections thereafter.

APPENDIX 3 - TABLE 1

MARKET AREA RESIDENTIAL MULTIFAMILY COMPARABLES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

N o. N ame A ddress N umber of Units Y ear Built B drms B aths S F R ent R ent/SF

1 Residences at Westgate Apts 231 S De Lacey Ave, Pasadena, CA 91105 343 2013 0 1 566 $2,395 $4.23 2 Residences at Westgate Apts 232 S De Lacey Ave, Pasadena, CA 91105 343 2013 0 1 625 $2,348 $3.76 3 Bell Pasadena 3330 E Foothill Blvd, Pasadena, CA 91107 196 2016 0 1 602 $2,247 $3.73 4 Bell Pasadena 3331 E Foothill Blvd, Pasadena, CA 91107 196 2016 0 1.5 1,091 $3,618 $3.32 5 88 at Alhambra Place 88 S Garfield Ave, Alhambra, CA 91801 260 2016 0 1 575 $2,176 $3.78 6 Areum Apartments 1110 S 5th Ave, Monrovia, CA 91016 154 2017 0 1 576 $2,140 $3.72 7 Moda at Monrovia Station 228 W Pomona Ave, Monrovia, CA 91016 261 2018 0 1 620 $2,225 $3.59 8 Greystar Avila 75 W Walnut St, Pasadena, CA 91103 201 2018 0 1 539 $2,391 $4.44 9 Greystar Avila 76 W Walnut St, Pasadena, CA 91103 201 2018 0 1 560 $2,426 $4.33 10 Greystar Avila 77 W Walnut St, Pasadena, CA 91103 201 2018 0 1 631 $2,471 $3.92 11 Greystar Avila 78 W Walnut St, Pasadena, CA 91103 201 2018 0 1 635 $2,381 $3.75 12 Luxe 1769 E Walnut St, Pasadena, CA 91106 131 2016 0 1 500 $1,922 $3.84 13 Luxe 1770 E Walnut St, Pasadena, CA 91106 131 2016 0 1 517 $1,856 $3.59 14 The Hudson 678 E Walnut St, Pasadena, CA 91101 173 2017 0 1 547 $2,276 $4.16 15 The Hudson 679 E Walnut St, Pasadena, CA 91101 173 2017 0 1 568 $2,446 $4.31

Studios 610 $2,355 $3.86

16 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91101 120 2004 1 1 682 $2,438 $3.57 17 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91102 120 2004 1 1 686 $2,461 $3.59 18 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91103 120 2004 1 1 696 $2,643 $3.80 19 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91104 120 2004 1 1 704 $2,838 $4.03 20 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91105 120 2004 1 1 750 $2,691 $3.59 21 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91106 120 2004 1 1 828 $2,757 $3.33 22 Residences at Westgate Apts 232 S De Lacey Ave, Pasadena, CA 91105 343 2013 1 1 671 $2,421 $3.61 23 Residences at Westgate Apts 233 S De Lacey Ave, Pasadena, CA 91105 343 2013 1 1 689 $2,405 $3.49 24 Residences at Westgate Apts 234 S De Lacey Ave, Pasadena, CA 91105 343 2013 1 1 700 $2,386 $3.41 25 Residences at Westgate Apts 235 S De Lacey Ave, Pasadena, CA 91105 343 2013 1 1 777 $2,855 $3.67 26 Residences at Westgate Apts 236 S De Lacey Ave, Pasadena, CA 91105 343 2013 1 1 816 $2,509 $3.07 27 Residences at Westgate Apts 237 S De Lacey Ave, Pasadena, CA 91105 343 2013 1 1 920 $3,223 $3.50 28 Residences at Westgate Apts 238 S De Lacey Ave, Pasadena, CA 91105 343 2013 1 1 1,023 $3,105 $3.04 29 Bell Pasadena 3331 E Foothill Blvd, Pasadena, CA 91107 196 2016 1 1 646 $2,345 $3.63 30 Bell Pasadena 3332 E Foothill Blvd, Pasadena, CA 91107 196 2016 1 1 760 $2,564 $3.37 31 Bell Pasadena 3333 E Foothill Blvd, Pasadena, CA 91107 196 2016 1 1.5 995 $2,842 $2.86 32 Bell Pasadena 3334 E Foothill Blvd, Pasadena, CA 91107 196 2016 1 1 1,131 $3,041 $2.69 33 88 at Alhambra Place 88 S Garfield Ave, Alhambra, CA 91801 260 2016 1 1 738 $2,536 $3.44 34 88 at Alhambra Place 89 S Garfield Ave, Alhambra, CA 91801 260 2016 1 1 763 $2,494 $3.27 35 88 at Alhambra Place 90 S Garfield Ave, Alhambra, CA 91801 260 2016 1 1 897 $2,528 $2.82 36 Areum Apartments 1110 S 5th Ave, Monrovia, CA 91016 154 2017 1 1 694 $2,285 $3.29 37 Areum Apartments 1111 S 5th Ave, Monrovia, CA 91016 154 2017 1 1 757 $2,440 $3.22 38 Areum Apartments 1112 S 5th Ave, Monrovia, CA 91016 154 2017 1 1.5 796 $2,470 $3.10 39 Areum Apartments 1113 S 5th Ave, Monrovia, CA 91016 154 2017 1 1.5 818 $2,415 $2.95 40 Paragon at Old Town 700 S Myrtle Ave, Monrovia, CA 91016 157 2010 1 1 744 $2,428 $3.26 41 Paragon at Old Town 701 S Myrtle Ave, Monrovia, CA 91016 157 2010 1 1 833 $2,306 $2.77 42 Moda at Monrovia Station 228 W Pomona Ave, Monrovia, CA 91016 261 2018 1 1 631 $2,480 $3.93 43 Moda at Monrovia Station 229 W Pomona Ave, Monrovia, CA 91016 261 2018 1 2 724 $2,299 $3.18 44 Moda at Monrovia Station 230 W Pomona Ave, Monrovia, CA 91016 261 2018 1 2 756 $2,355 $3.12 45 Moda at Monrovia Station 231 W Pomona Ave, Monrovia, CA 91016 261 2018 1 1 780 $2,526 $3.24 46 Greystar Avila 76 W Walnut St, Pasadena, CA 91103 201 2018 1 1 720 $2,822 $3.92 47 Greystar Avila 77 W Walnut St, Pasadena, CA 91103 201 2018 1 1 748 $2,876 $3.84 48 Greystar Avila 78 W Walnut St, Pasadena, CA 91103 201 2018 1 1.5 773 $2,910 $3.76 49 Greystar Avila 79 W Walnut St, Pasadena, CA 91103 201 2018 1 1.5 837 $3,104 $3.71 50 Luxe 1770 E Walnut St, Pasadena, CA 91106 131 2016 1 1 500 $1,576 $3.15 51 Luxe 1771 E Walnut St, Pasadena, CA 91106 131 2016 1 1 606 $2,005 $3.31 52 Luxe 1772 E Walnut St, Pasadena, CA 91106 131 2016 1 1 631 $2,221 $3.52 53 Luxe 1773 E Walnut St, Pasadena, CA 91106 131 2016 1 1 669 $2,066 $3.09 54 Luxe 1774 E Walnut St, Pasadena, CA 91106 131 2016 1 1 872 $2,226 $2.55 55 The Hudson 679 E Walnut St, Pasadena, CA 91101 173 2017 1 1 632 $2,813 $4.45 56 The Hudson 680 E Walnut St, Pasadena, CA 91101 173 2017 1 1 727 $2,900 $3.99 57 The Hudson 681 E Walnut St, Pasadena, CA 91101 173 2017 1 1 792 $3,073 $3.88 58 The Hudson 682 E Walnut St, Pasadena, CA 91101 173 2017 1 1 1,054 $3,846 $3.65

One Bedroom 767 $2,594 $3.38

61 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91106 120 2004 2 2 1,043 $3,263 $3.13 62 Avalon Pasadena 708-716 E Colorado Blvd, Pasadena Ca 91107 120 2004 2 2 1,106 $3,402 $3.08 63 Residences at Westgate Apts 238 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 906 $2,837 $3.13 64 Residences at Westgate Apts 239 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 1,050 $3,048 $2.90 65 Residences at Westgate Apts 240 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 1,172 $3,743 $3.19 66 Residences at Westgate Apts 241 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 1,260 $3,837 $3.05 67 Residences at Westgate Apts 242 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 1,338 $3,521 $2.63 68 Residences at Westgate Apts 243 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 1,441 $4,091 $2.84 69 Residences at Westgate Apts 244 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 1,545 $3,979 $2.58 70 Residences at Westgate Apts 245 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 2 1,641 $3,784 $2.31 71 Residences at Westgate Apts 246 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 1 1,775 $4,472 $2.52 72 Residences at Westgate Apts 247 S De Lacey Ave, Pasadena, CA 91105 343 2013 2 1 2,157 $4,226 $1.96 73 Bell Pasadena 3334 E Foothill Blvd, Pasadena, CA 91107 196 2016 2 2 1,094 $3,131 $2.86 74 Bell Pasadena 3335 E Foothill Blvd, Pasadena, CA 91107 196 2016 2 2 1,259 $3,317 $2.63

APPENDIX 3 - TABLE 1

MARKET AREA RESIDENTIAL MULTIFAMILY COMPARABLES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

N o. N ame A ddress N umber of Units Y ear Built B drms B aths S F R ent R ent/SF 75 Bell Pasadena 3336 E Foothill Blvd, Pasadena, CA 91107 196 2016 2 2 1,421 $3,759 $2.65 76 88 at Alhambra Place 90 S Garfield Ave, Alhambra, CA 91801 260 2016 2 2 1,029 $3,012 $2.93 77 88 at Alhambra Place 90 S Garfield Ave, Alhambra, CA 91801 260 2016 2 2 1,051 $3,030 $2.88 78 88 at Alhambra Place 90 S Garfield Ave, Alhambra, CA 91801 260 2016 2 2 1,105 $2,916 $2.64 79 88 at Alhambra Place 90 S Garfield Ave, Alhambra, CA 91801 260 2016 2 2 1,157 $3,350 $2.90 80 88 at Alhambra Place 90 S Garfield Ave, Alhambra, CA 91801 260 2016 2 2 1,202 $3,183 $2.65 81 Areum Apartments 1113 S 5th Ave, Monrovia, CA 91016 154 2017 2 2 1,028 $2,803 $2.73 82 Areum Apartments 1114 S 5th Ave, Monrovia, CA 91016 154 2017 2 2 1,080 $3,085 $2.86 83 Areum Apartments 1115 S 5th Ave, Monrovia, CA 91016 154 2017 2 2 1,188 $3,309 $2.79 84 Areum Apartments 1116 S 5th Ave, Monrovia, CA 91016 154 2017 2 2.5 1,496 $4,234 $2.83 85 Paragon at Old Town 701 S Myrtle Ave, Monrovia, CA 91016 157 2010 2 2 1,030 $2,642 $2.57 86 Paragon at Old Town 702 S Myrtle Ave, Monrovia, CA 91016 157 2010 2 2 1,034 $2,782 $2.69 87 Paragon at Old Town 703 S Myrtle Ave, Monrovia, CA 91016 157 2010 2 2 1,073 $3,022 $2.82 88 Paragon at Old Town 704 S Myrtle Ave, Monrovia, CA 91016 157 2010 2 2 1,247 $3,631 $2.91 89 Moda at Monrovia Station 231 W Pomona Ave, Monrovia, CA 91016 261 2018 2 2 1,046 $2,877 $2.75 90 Moda at Monrovia Station 232 W Pomona Ave, Monrovia, CA 91016 261 2018 2 2 1,106 $3,045 $2.75 91 Moda at Monrovia Station 233 W Pomona Ave, Monrovia, CA 91016 261 2018 2 2 1,260 $3,520 $2.79 92 Greystar Avila 79 W Walnut St, Pasadena, CA 91103 201 2018 2 2 1,097 $3,680 $3.35 93 Greystar Avila 80 W Walnut St, Pasadena, CA 91103 201 2018 2 2 1,125 $4,250 $3.78 94 Greystar Avila 81 W Walnut St, Pasadena, CA 91103 201 2018 2 2 1,143 $3,965 $3.47 95 Greystar Avila 82 W Walnut St, Pasadena, CA 91103 201 2018 2 2 1,355 $4,195 $3.10 96 Luxe 1774 E Walnut St, Pasadena, CA 91106 131 2016 2 2 862 $2,750 $3.19 97 Luxe 1775 E Walnut St, Pasadena, CA 91106 131 2016 2 2.5 934 $2,733 $2.93 98 Luxe 1776 E Walnut St, Pasadena, CA 91106 131 2016 2 2 952 $2,880 $3.03 99 The Hudson 679 E Walnut St, Pasadena, CA 91101 173 2017 2 2 860 $3,322 $3.86 100 The Hudson 680 E Walnut St, Pasadena, CA 91101 173 2017 2 2 990 $3,549 $3.58 101 The Hudson 681 E Walnut St, Pasadena, CA 91101 173 2017 2 2 1,060 $3,628 $3.42 102 The Hudson 682 E Walnut St, Pasadena, CA 91101 173 2017 2 2 1,270 $3,900 $3.07 103 The Hudson 683 E Walnut St, Pasadena, CA 91101 173 2017 2 2 1,321 $4,303 $3.26

Two Bedroom 1,193 $3,442 $2.88

111 Residences at Westgate Apts 247 S De Lacey Ave, Pasadena, CA 91105 343 2013 3 3 1,581 $3,519 $2.23 112 Residences at Westgate Apts 248 S De Lacey Ave, Pasadena, CA 91105 343 2013 3 3 1,637 $3,991 $2.44 113 Residences at Westgate Apts 249 S De Lacey Ave, Pasadena, CA 91105 343 2013 3 3 1,744 $4,315 $2.47 114 Residences at Westgate Apts 250 S De Lacey Ave, Pasadena, CA 91105 343 2013 3 3 1,865 $4,596 $2.46 115 Residences at Westgate Apts 251 S De Lacey Ave, Pasadena, CA 91105 343 2013 3 3 2,033 $4,408 $2.17 116 Residences at Westgate Apts 252 S De Lacey Ave, Pasadena, CA 91105 343 2013 3 3 2,302 $5,281 $2.29 117 88 at Alhambra Place 90 S Garfield Ave, Alhambra, CA 91801 260 2016 3 2 1,398 $3,794 $2.71

Three Bedroom 1,794 $4,272 $2.38

Total 981 $3,007 $3.06

Costar, Apartments.com, April 2019 1 Limited to 4-5 star multifamily buildings constructed in last 10 years located within an approx. 5 mile radius of the Site.

APPENDIX 3 - TABLE 2

SAN GABRIEL VALLEY SUBMARKET & LA COUNTY MARKET - CURRENT (Q2 2019) & FORECASTED RENTS1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

SGV Submarket LA County Vacancy Avg Asking Vacancy Avg Asking Market Rent/ Period Rate Rent % Change Rate Rent Unit Growth

QTD 3.8% $1,585 - 3.9% $1,921 - 2019 Q3 3.8% $1,594 0.6% 4.0% $1,925 0.2% 2019 Q4 3.7% $1,594 0.0% 4.1% $1,924 -0.1% 2020 Q1 4.0% $1,610 1.0% 4.2% $1,943 1.0% 2020 Q2 4.0% $1,624 0.9% 4.3% $1,960 0.9% 2020 Q3 4.0% $1,630 0.4% 4.4% $1,961 0.1% 2020 Q4 4.0% $1,622 -0.5% 4.5% $1,951 -0.5% 2021 Q1 4.1% $1,633 0.7% 4.5% $1,965 0.7% 2021 Q2 4.1% $1,644 0.7% 4.5% $1,978 0.7% 2021 Q3 4.1% $1,647 0.2% 4.5% $1,976 -0.1% 2021 Q4 4.2% $1,640 -0.4% 4.5% $1,970 -0.3% 2022 Q1 4.2% $1,652 0.7% 4.5% $1,985 0.8% 2022 Q2 4.2% $1,663 0.7% 4.5% $1,998 0.7% 2022 Q3 4.2% $1,666 0.2% 4.5% $1,997 -0.1% 2022 Q4 4.3% $1,659 -0.4% 4.5% $1,991 -0.3%

(1) Market includes all apartment buildings in Anaheim Costar April 2019

APPENDIX 3 - TABLE 3

CITY & COUNTY HISTORIC RENT TRENDS1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

City of San Gabriel Los Angeles County Average Average Average Effective Asking Average Effective Average Average Year Rent Rent Rent/SF Vacancy Rent Asking Rent Rent/SF Vacancy

2014 $1,274 $1,281 $1.56 3.9% $1,574 $1,583 $2.01 4.3%

2015 $1,334 $1,341 $1.64 3.7% $1,693 $1,704 $2.16 4.0%

2016 $1,419 $1,427 $1.75 3.3% $1,780 $1,796 $2.28 4.2%

2017 $1,482 $1,494 $1.83 3.4% $1,842 $1,861 $2.36 3.8%

2018 $1,535 $1,542 $1.89 3.2% $1,906 $1,921 $2.44 3.8%

2019 YTD $1,551 $1,559 $1.91 3.1% $1,928 $1,946 $2.47 3.9%

Source: Costar Multifamily Data, July 2019 1 Includes all market rate apartment buildings in the City and County

APPENDIX 3 - TABLE 4

CITY OF SAN GABRIEL RENTS BY UNIT TYPE (QTD)1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Units in Average Average Average Unit Type Sample Square Feet Asking Rent Rent PSF

Studio / Efficiency 2 360 $887 $2.78

One Bedroom 86 664 $1,131 $1.95

Two Bedroom 377 999 $1,866 $1.87

Three Bedroom 92 1,290 $2,285 $1.90

Overall 557 993 $1,818 $1.83

Source: Costar Multifamily Data, July 2019 1 Includes 3 - 5 star rated apartment buildings in the City. Affordable units are excluded.

APPENDIX 4 RESIDENTIAL FOR SALE MARKET

APPENDIX 4 - TABLE 1

SUMMARY OF CONDO AND TOWNHOME SALES, 2013-2019 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Condominium Sales Median Median Change in Year No. of Sales Average SF Sales Price $/SF $/SF

2013 9 1,907 $518,000 $283 -

2014 8 1,601 $527,450 $333 17.9%

2015 23 1,635 $549,990 $342 2.5%

2016 17 1,728 $646,000 $366 7.0%

2017 22 1,625 $642,940 $468 28.0%

2018 28 1,574 $639,000 $463 -1.1%

2019 YTD 10 1,676 $678,750 $416 -10.1%

Townhome Sales Median Median Change in Year No. of Sales Average SF Sales Price $/SF $/SF

2013 9 2,169 $585,000 $298 -

2014 1 2,025 $600,000 $296 -0.5%

2015 9 1,809 $591,000 $360 21.6%

2016 11 1,957 $635,000 $355 -1.5%

2017 14 2,124 $730,000 $355 0.0%

2018 11 1,978 $710,000 $392 10.6%

2019 YTD 3 1,808 $740,000 $367 -6.5%

Redfin Sales Data 2013-2019

APPENDIX 4 - TABLE 2

CONDOMINIUM/COOP SALES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Address City Zip Sale Date Year Built # BR # Bath SF Sales Price $/SF

2019 Sales

128 E Broadway Unit C San Gabriel 91776 7/3/2019 2008 3 3 1,570 $650,000 $ 414.01 909 Santa Fe Ave Unit IA San Gabriel 91776 6/24/2019 2015 3 3 1,520 $667,500 $ 439.14 120 De Anza St #213 San Gabriel 91776 5/30/2019 2007 2 2 1,125 $471,000 $ 418.67 612 S Gladys Ave Unit B San Gabriel 91776 4/29/2019 2016 3 4 1,970 $785,000 $ 398.48 272 S Arroyo Dr Unit C San Gabriel 91776 4/3/2019 2017 3 3 1,460 $663,000 $ 454.11 8869 Duarte Rd San Gabriel 91775 3/8/2019 2006 4 4 2,330 $885,000 $ 379.83 120 De Anza St #212 San Gabriel 91776 3/4/2019 2007 2 2 1,125 $448,000 $ 398.22 519 W Newby Ave Unit F San Gabriel 91776 2/15/2019 2018 3 3 1,629 $759,000 $ 465.93 1527 Abbot Ave Unit D San Gabriel 91776 1/22/2019 2017 3 3 1,483 $690,000 $ 465.27 8837 E Fairview Ave San Gabriel 91775 1/2/2019 2016 4 4 2,543 $1,000,000 $ 393.24

Average 2013 3.0 1,676 $ 702,000 $ 422.69 Median 3.0 1,545 $ 678,750 $ 416.34

2018 Sales

309 S Arroyo Dr Unit B San Gabriel 91776 12/27/2018 2006 3 3 1,600 $658,000 $ 411.25 636 S Gladys Ave Unit B San Gabriel 91776 12/13/2018 2015 2 2 1,230 $620,000 $ 504.07 8839 E Fairview Ave San Gabriel 91775 12/13/2018 2016 4 4 2,732 $1,060,000 $ 387.99 710 S Ramona St Unit C San Gabriel 91776 11/27/2018 2004 3 3 1,832 $760,000 $ 414.85 1309 Stevens Ave Unit C San Gabriel 91776 11/9/2018 2007 3 3 1,390 $615,000 $ 442.45 255 S California St San Gabriel 91776 10/26/2018 2007 3 3 2,064 $870,000 $ 421.51 1527 Abbot Ave Unit C San Gabriel 91776 10/9/2018 2018 3 3 1,458 $688,000 $ 471.88 1527 Abbot Ave Unit I San Gabriel 91776 10/5/2018 2017 2 2 1,281 $638,000 $ 498.05 309 S Arroyo Dr Unit C San Gabriel 91776 10/5/2018 2006 3 3 1,540 $640,000 $ 415.58 1527 Abbot Ave Unit J San Gabriel 91776 10/4/2018 2017 2 2 1,229 $628,000 $ 510.98 1527 Abbot Ave Unit F San Gabriel 91776 9/28/2018 2017 3 2 1,343 $668,000 $ 497.39 420 E Las Tunas Drive Dr Unit 2D San Gabriel 91775 9/19/2018 2017 2 2 1,290 $631,000 $ 489.15 5241 Rosemead Blvd Unit C San Gabriel 91776 8/30/2018 2006 4 2 1,786 $530,000 $ 296.75 519 W NEWBY Ave Unit B San Gabriel 91776 7/13/2018 2018 2 3 1,775 $769,000 $ 433.24 519 W NEWBY Ave Unit A San Gabriel 91776 7/6/2018 2018 2 3 1,629 $739,900 $ 454.21 130 S Mission Dr #202 San Gabriel 91776 6/29/2018 2017 3 2 1,275 $633,000 $ 496.47 120 De Anza St #305 San Gabriel 91776 6/15/2018 2007 2 2 887 $427,000 $ 481.40 420 E Las Tunas Drive Dr Unit 2B San Gabriel 91775 5/24/2018 2017 2 2 1,320 $633,000 $ 479.55 608 S Gladys Ave Unit D San Gabriel 91776 5/11/2018 2016 4 4 2,040 $775,000 $ 379.90 309 S Arroyo Dr Unit B San Gabriel 91776 5/4/2018 2006 3 3 1,600 $632,000 $ 395.00 271 S Arroyo Dr Unit B San Gabriel 91776 5/4/2018 2005 3 3 1,780 $632,000 $ 355.06 130 S Mission Dr #303 San Gabriel 91776 4/6/2018 2017 3 2 1,275 $610,000 $ 478.43 130 S Mission Dr #201 San Gabriel 91776 4/5/2018 2017 3 2 1,261 $615,000 $ 487.71 420 E Las Tunas Drive Dr Unit 2A San Gabriel 91775 3/23/2018 2017 2 2.5 1,520 $729,000 $ 479.61 420 E Las Tunas Drive Dr Unit 4A San Gabriel 91775 3/2/2018 2017 2 2.5 1,520 $735,000 $ 483.55 608 S Gladys Ave Unit B San Gabriel 91776 2/6/2018 2016 3 2.5 1,610 $703,000 $ 436.65 8835 E Fairview Ave San Gabriel 91775 2/6/2018 2017 4 4 2,543 $1,010,000 $ 397.17 130 S Mission Dr #203 San Gabriel 91776 1/2/2018 2017 3 2 1,275 $618,375 $ 485.00

Average 2013 2.8 1,574 $ 688,000 $ 445.89 Median 3.0 1,520 $ 639,000 $ 463.04

APPENDIX 4 - TABLE 2

CONDOMINIUM/COOP SALES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Address City Zip Sale Date Year Built # BR # Bath SF Sales Price $/SF

2017 Sales 821 Lafayette St San Gabriel 91776 12/29/2017 2006 4 3 2,070 $705,000 $ 340.58 251 S California St San Gabriel 91776 12/22/2017 2007 3 4 2,128 $974,000 $ 457.71 120 De Anza St #102 San Gabriel 91776 12/6/2017 2007 1 1 708 $323,000 $ 456.21 420 E Las Tunas Drive Dr Unit 3B San Gabriel 91775 11/1/2017 2017 2 2.5 1,320 $635,000 $ 481.06 420 E Las Tunas Drive Dr Unit 3E San Gabriel 91775 11/1/2017 2017 2 2.5 1,290 $633,000 $ 490.70 420 E Las Tunas Drive Dr Unit 4B San Gabriel 91775 11/1/2017 2017 2 2.5 1,320 $637,000 $ 482.58 420 E Las Tunas Drive Dr Unit 3D San Gabriel 91775 11/1/2017 2017 2 2.5 1,290 $633,000 $ 490.70 130 S Mission Dr #301 San Gabriel 91776 10/26/2017 2017 3 2 1,261 $625,000 $ 495.64 8859 Duarte Rd #1 San Gabriel 91775 10/11/2017 2006 4 4 2,439 $945,000 $ 387.45 8833 E Fairview Ave San Gabriel 91775 10/11/2017 2017 4 4 2,543 $1,000,000 $ 393.24 130 S Mission Dr #304 San Gabriel 91776 9/15/2017 2017 2 2 1,075 $536,000 $ 498.60 130 S Mission Dr #205 San Gabriel 91776 8/31/2017 2017 3 2 1,356 $650,000 $ 479.35 130 S Mission Dr #204 San Gabriel 91776 8/22/2017 2017 2 2 1,075 $536,000 $ 498.60 130 S Mission Dr #302 San Gabriel 91776 8/21/2017 2017 3 2 1,275 $594,000 $ 465.88 130 S Mission Dr #305 San Gabriel 91776 8/3/2017 2017 3 2 1,356 $648,880 $ 478.53 130 S Mission Dr #206 San Gabriel 91776 8/1/2017 2017 3 2 1,485 $720,000 $ 484.85 5241 Rosemead Blvd Unit B San Gabriel 91776 7/24/2017 2006 4 2.5 1,786 $570,000 $ 319.15 302 S Arroyo Dr Unit B San Gabriel 91776 6/30/2017 2017 3 2.5 1,602 $754,156 $ 470.76 302 S Arroyo Dr Unit C San Gabriel 91776 6/30/2017 2017 3 3 1,886 $797,464 $ 422.83 1500 S Palm Ave Unit D San Gabriel 91776 3/1/2017 2013 3 3 2,158 $765,000 $ 354.49 128 W Live Oak St Unit A San Gabriel 91776 2/21/2017 2007 4 4 2,393 $768,888 $ 321.31 260 S Arroyo Dr Unit B San Gabriel 91776 1/4/2017 2005 4 3 1,941 $630,000 $ 324.57

Average 2013 2.9 1,625 $ 685,000 $ 436.13 Median 3.0 1,421 $ 642,940 $ 468.32

2016 Sales 115 Dewey Ave Unit F San Gabriel 91776 12/20/2016 2004 3 3 1,490 $540,000 $ 362.42 1920 B Strathmore Ave San Gabriel 91776 12/9/2016 2016 3 2.5 1,879 $719,000 $ 382.65 127 Del Marino Pl San Gabriel 91776 11/7/2016 2007 3 2.5 1,990 $690,000 $ 346.73 1920 Strathmore Ave Unit A San Gabriel 91776 8/30/2016 2016 3 2.5 1,879 $719,000 $ 382.65 123 S Walnut Grove Ave San Gabriel 91776 8/23/2016 2007 3 3 1,640 $600,000 $ 365.85 123 Walnut Grove Ave #3 San Gabriel 91776 8/23/2016 2007 3 3 1,640 $600,000 $ 365.85 800 N Gladys Ave San Gabriel 91776 8/18/2016 2016 3 2.5 1,719 $745,376 $ 433.61 802 N Gladys Ave San Gabriel 91776 8/18/2016 2016 3 2.5 1,719 $749,407 $ 435.96 259 S California St San Gabriel 91776 8/16/2016 2007 4 4 2,187 $780,000 $ 356.65 1915 Denton Ave Unit A San Gabriel 91776 8/5/2016 2007 2 2 1,332 $490,000 $ 367.87 710 S Ramona St Unit B San Gabriel 91776 7/21/2016 2004 3 3 1,832 $646,000 $ 352.62 702 S Gladys Ave Unit A San Gabriel 91776 5/4/2016 2016 4 4 2,240 $691,000 $ 308.48 812 S Gladys Ave Unit C San Gabriel 91776 4/26/2016 2016 2 3 1,260 $544,000 $ 431.75 816 S Gladys Ave Unit C San Gabriel 91776 4/25/2016 2016 4 4 2,240 $685,000 $ 305.80 816 S Gladys Ave Unit B San Gabriel 91776 4/22/2016 2015 2 2.5 1,247 $490,690 $ 393.50 128 E Broadway Unit D San Gabriel 91776 4/4/2016 2008 3 3 1,660 $593,500 $ 357.53 1917 Denton Ave Unit B San Gabriel 91776 3/31/2016 2007 3 3 1,429 $538,888 $ 377.11

Average 2011 3.0 1,728 $ 637,000 $ 372.18 Median 3.0 1,719 $ 646,000 $ 365.85

2015 Sales

636 S Gladys Ave Unit C San Gabriel 91776 12/31/2015 2015 2 3 1,260 $522,500 $ 414.68 911 Santa Fe Ave Unit E San Gabriel 91776 12/31/2015 2015 3 3 1,740 $653,000 $ 375.29 305 San Marcos St Unit C San Gabriel 91776 12/31/2015 2002 3 3 1,650 $550,000 $ 333.33 640 S Gladys Ave Unit C San Gabriel 91776 12/30/2015 2015 4 3.5 2,245 $676,785 $ 301.46 646 S Gladys Ave Unit A San Gabriel 91776 12/28/2015 2015 4 3.5 2,245 $699,990 $ 311.80 909 E Sante Fe Unit B San Gabriel 91776 12/23/2015 2015 3 2.5 1,506 $549,990 $ 365.20 630 S Gladys Ave Unit C San Gabriel 91776 12/14/2015 2015 4 4 2,230 $668,000 $ 299.55 640 S Gladys Ave Unit B San Gabriel 91776 11/25/2015 2015 2 3 1,230 $495,500 $ 402.85 640 S Gladys Ave Unit A San Gabriel 91776 11/24/2015 2015 2 2.5 1,266 $495,665 $ 391.52 905 E Sante Fe Unit A San Gabriel 91776 11/24/2015 2015 3 2.5 1,576 $533,990 $ 338.83 630 S Gladys Ave Unit B San Gabriel 91776 11/20/2015 2015 2 3 1,230 $502,000 $ 408.13 630 S Gladys Ave Unit B San Gabriel 91776 11/20/2015 2015 2 2.5 1,247 $495,090 $ 397.02

APPENDIX 4 - TABLE 2

CONDOMINIUM/COOP SALES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Address City Zip Sale Date Year Built # BR # Bath SF Sales Price $/SF 905 E Sante Fe Unit E San Gabriel 91776 11/20/2015 2015 3 2.5 1,729 $595,170 $ 344.23 909 Santa Fe Ave Unit E San Gabriel 91776 10/28/2015 2015 3 4 1,970 $635,000 $ 322.34 909 E Sante Fe Unit E San Gabriel 91776 10/28/2015 2015 3 3.5 1,932 $644,528 $ 333.61 1309 Stevens Ave Unit D San Gabriel 91776 7/17/2015 2007 3 3 1,460 $499,000 $ 341.78 5237 Rosemead Blvd Unit A San Gabriel 91776 7/7/2015 2006 4 2.5 1,786 $573,000 $ 320.83 1309 Stevens Ave Unit I San Gabriel 91776 6/26/2015 2007 3 3 1,450 $488,000 $ 336.55 120 De Anza St #311 San Gabriel 91776 6/16/2015 2007 2 2 1,125 $385,000 $ 342.22 812 Santa Fe Ave Unit A San Gabriel 91776 6/10/2015 2016 2 3 1,610 $558,500 $ 346.89 305 San Marcos St Unit F San Gabriel 91776 5/22/2015 2002 3 3 1,650 $575,000 $ 348.48 1309 Stevens Ave Unit H San Gabriel 91776 5/11/2015 2007 3 3 1,460 $490,000 $ 335.62 122 W Marshall St #2 San Gabriel 91776 1/2/2015 2006 3 3 2,018 $500,000 $ 247.77

Average 2012 2.9 1,635 $ 556,000 $ 346.09 Median 3.0 1,610 $ 549,990 $ 341.78

2014 Sales

5561 Walnut Grove Ave San Gabriel 91776 12/16/2014 2012 4 5 2,840 $850,000 $ 299.30 1927 Strathmore Ave Unit E San Gabriel 91776 9/2/2014 2007 2 3 1,320 $475,000 $ 359.85 120 De Anza St #106 San Gabriel 91776 8/8/2014 2007 1 1 708 $265,000 $ 374.29 120 De Anza St #306 San Gabriel 91775 5/30/2014 2007 2 2 887 $340,000 $ 383.31 128 E BROADWAY Unit E San Gabriel 91776 4/30/2014 2008 3 2.75 1,620 $540,000 $ 333.33 128 E Broadway Unit E San Gabriel 91776 4/30/2014 2008 3 2.75 1,620 $540,000 $ 333.33 247 S Arroyo Dr #1 San Gabriel 91776 3/19/2014 2009 2 2.5 1,643 $514,900 $ 313.39 132 W Live Oak St Unit B San Gabriel 91776 1/29/2014 2007 3 3.5 2,166 $660,000 $ 304.71

Average 2008 2.5 1,601 $ 523,000 $ 337.69 Median 2.5 1,620 $ 527,450 $ 333.33

2013 Sales

5241 Rosemead Blvd Unit E San Gabriel 91776 11/25/2013 2006 3 3 1,786 $505,000 $ 282.75 1409 Stevens Ave Unit A San Gabriel 91776 10/8/2013 2007 4 3 2,270 $600,000 $ 264.32 9014 E Greenwood Ave #4 San Gabriel 91775 8/28/2013 2006 3 3 1,810 $550,000 $ 303.87 271 S Arroyo Dr Unit B San Gabriel 91776 7/5/2013 2005 3 3 1,780 $505,000 $ 283.71 5239 Rosemead Blvd Unit B San Gabriel 91776 7/2/2013 2006 3 3 1,786 $470,000 $ 263.16 708 S Ramona St Unit B San Gabriel 91776 5/21/2013 2007 3 3 2,080 $602,800 $ 289.81 1927 Strathmore Unit H San Gabriel 91776 2/5/2013 2007 3 3 1,818 $518,000 $ 284.93 305 San Marcos St Unit H San Gabriel 91776 1/8/2013 2002 3 3 1,650 $450,000 $ 272.73 261 S California St San Gabriel 91776 1/8/2013 2007 4 4 2,186 $618,000 $ 282.71

Average 2006 3.2 1,907 $ 535,000 $ 280.89 Median 3.0 1,810 $ 518,000 $ 282.75

Source: Redfin Historical Data, 2013 - 2019

APPENDIX 4 - TABLE 3

TOWNHOME SALES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Address City Zip Sale Date Year Built # BR # Bath SF Sales Price $/SF

2019 Sales

503 Anderson Way Unit F San Gabriel 91776 6/18/2019 2008 3 2.5 2,045 $740,000 $ 361.86 123 Dewey Ave Unit F San Gabriel 91776 3/26/2019 2004 3 3 1,334 $541,500 $ 405.92 503 S Anderson Way Unit C San Gabriel 91776 3/14/2019 2008 3 2.5 2,045 $750,000 $ 366.75

Average 2007 3.0 1,808 $ 677,000 $ 378.18 Median 3.0 2,045 $ 740,000 $ 366.75

2018 Sales

1918 Denton San Gabriel 91776 10/25/2018 2005 3 3 1,961 $650,000 $ 331.46 1960 New Ave Unit B San Gabriel 91776 10/3/2018 2008 3 3 2,270 $760,000 $ 334.80 519 W NEWBY Ave Unit D San Gabriel 91776 10/2/2018 2018 3 3 1,617 $773,000 $ 478.05 1260 Elm Ave Unit B San Gabriel 91775 9/26/2018 2004 4 3 1,890 $733,000 $ 387.83 1256 Elm Ave San Gabriel 91775 9/10/2018 2005 3 2 1,660 $690,000 $ 415.66 8937 Emperor Ave San Gabriel 91775 8/9/2018 2006 5 3 2,263 $876,888 $ 387.49 1917 Denton Ave Unit A San Gabriel 91776 4/10/2018 2007 3 3 1,410 $668,000 $ 473.76 8340 Mission Dr Rosemead 91770 4/2/2018 2016 5 4.5 3,064 $1,330,000 $ 434.07 271 S Arroyo Dr Unit A San Gabriel 91776 2/23/2018 2006 4 3 1,810 $710,000 $ 392.27 271 S Arroyo Dr Apt A San Gabriel 91776 2/23/2018 2006 4 3 1,810 $710,000 $ 392.27 1918 Denton Ave Unit D San Gabriel 91776 1/17/2018 2005 3 4 2,004 $635,000 $ 316.87

Average 2008 3.6 1,978 $ 776,000 $ 394.96 Median 3.0 1,890 $ 710,000 $ 392.27

2017 Sales

400 W Mission Rd Unit E San Gabriel 91776 12/6/2017 2008 3 3 2,170 $720,000 $ 331.80 400 W Mission Rd Unit E San Gabriel 91776 12/6/2017 2008 3 3 2,170 $720,000 $ 331.80 9006 Greenwood Ave #5 San Gabriel 91775 9/1/2017 2006 4 3 1,840 $698,000 $ 379.35 9081 Arcadia Ave San Gabriel 91775 8/29/2017 2001 3 3 2,693 $955,000 $ 354.62 8939 Emperor Ave San Gabriel 91775 7/17/2017 2008 4 3 2,263 $888,000 $ 392.40 326 S Pine St San Gabriel 91776 6/28/2017 2004 3 3 2,200 $718,000 $ 326.36 503 Anderson Way Unit A San Gabriel 91776 6/12/2017 2008 3 2.5 2,045 $740,000 $ 361.86 503 Anderson Way Unit A San Gabriel 91776 6/12/2017 2008 3 2.5 2,045 $740,000 $ 361.86 708 S Ramona St Unit A San Gabriel 91776 5/31/2017 2007 3 3 1,990 $705,000 $ 354.27 1506 S Palm Ave Unit B San Gabriel 91776 5/15/2017 2009 3 2.5 2,000 $800,000 $ 400.00 305 San Marcos St Unit G San Gabriel 91776 3/31/2017 2002 3 3 1,650 $610,000 $ 369.70 1500 Palm Ave Unit D San Gabriel 91776 2/2/2017 2013 3 3 2,158 $765,000 $ 354.49 5565 Walnut Grove Ave San Gabriel 91776 1/26/2017 2012 4 4.5 2,649 $887,000 $ 334.84 7266 Jackson Pl Unit C San Gabriel 91775 1/23/2017 2007 4 4.5 1,860 $650,000 $ 349.46

Average 2007 3.3 2,124 $ 757,000 $ 357.34 Median 3.0 2,102 $ 730,000 $ 354.56

2016 Sales 115 Dewey Ave Unit D San Gabriel 91776 11/2/2016 2004 3 3 1,470 $535,000 $ 363.95 115 Dewey Ave Unit C San Gabriel 91776 8/19/2016 2004 3 3 1,490 $540,000 $ 362.42 1408 PALM Ave Unit C San Gabriel 91776 7/8/2016 2016 3 3.5 2,579 $880,000 $ 341.22 9004 Greenwood Ave San Gabriel 91775 6/22/2016 2006 4 2.5 1,810 $645,000 $ 356.35 1408 PALM Ave Unit D San Gabriel 91776 6/10/2016 2016 3 3.5 2,579 $915,000 $ 354.79 5235 ROSEMEAD Blvd Unit C San Gabriel 91776 5/27/2016 2006 4 2.5 1,786 $573,800 $ 321.28 305 San Marcos St Unit E San Gabriel 91776 5/27/2016 2002 3 3 1,650 $575,000 $ 348.48 128 E Broadway Unit D San Gabriel 91776 4/4/2016 2008 3 3 1,660 $593,500 $ 357.53 1408 PALM Ave Unit A San Gabriel 91776 4/1/2016 2016 3 3.5 2,579 $949,000 $ 367.97 708 S Ramona St Unit C San Gabriel 91776 4/1/2016 2006 3 3 1,910 $640,000 $ 335.08 153 Junipero Serra Dr Unit A San Gabriel 91776 1/22/2016 2008 3 3 2,010 $635,000 $ 315.92

Average 2008 3.2 1,957 $ 680,000 $ 347.73 Median 3.0 1,810 $ 635,000 $ 354.79

2015 Sales 1500 Palm Ave Unit A San Gabriel 91776 12/24/2015 2014 3 2.5 2,118 $763,000 $ 360.25

APPENDIX 4 - TABLE 3

TOWNHOME SALES MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

Address City Zip Sale Date Year Built # BR # Bath SF Sales Price $/SF 5235 N ROSEMEAD Unit E San Gabriel 91776 12/18/2015 2006 4 2.5 1,786 $568,000 $ 318.03 911 Santa Fe Ave Unit A San Gabriel 91776 12/1/2015 2015 3 2.5 1,576 $591,000 $ 375.00 121 S Walnut Grove Ave San Gabriel 91776 11/19/2015 2007 3 3 1,640 $580,000 $ 353.66 9073 Arcadia Ave San Gabriel 91775 10/2/2015 2001 4 3 2,052 $780,000 $ 380.12 501 Anderson Way Unit C San Gabriel 91776 8/28/2015 2008 3 2.5 2,070 $610,000 $ 294.69 1500 Palm Ave Unit B San Gabriel 91776 8/26/2015 2014 3 2.5 2,109 $759,800 $ 360.27 9012 E Fairview Ave Unit G San Gabriel 91775 6/9/2015 2009 2 3 1,380 $539,888 $ 391.22 1946 Denton Ave Unit D San Gabriel 91776 4/22/2015 2003 3 3 1,547 $520,000 $ 336.13

Average 2009 3.1 1,809 $ 635,000 $ 352.15 Median 3.0 1,786 $ 591,000 $ 360.25

2014 Sales

331 W Norwood Pl San Gabriel 91776 1/8/2014 2004 4 3 2,025 $600,000 $ 296.30

Average 2004 4.0 2,025 $ 600,000 $ 296.30 Median 4.0 2,025 $ 600,000 $ 296.30

2013 Sales

503 Anderson Way Unit E San Gabriel 91776 11/26/2013 2008 3 2.5 1,920 $560,000 $ 291.67 5241 Rosemead Blvd Unit E San Gabriel 91776 11/25/2013 2006 3 2.5 1,786 $505,000 $ 282.75 131 Del Marino Pl San Gabriel 91776 11/8/2013 2007 3 2.5 2,000 $630,000 $ 315.00 305 San Marcos St Unit A San Gabriel 91776 10/10/2013 2002 3 3 1,796 $535,000 $ 297.88 9012 E FAIRVIEW Unit F San Gabriel 91775 9/12/2013 2009 2 3 1,380 $520,000 $ 376.81 320 S Pine St San Gabriel 91776 7/29/2013 2004 3 3 2,211 $586,000 $ 265.04 400 W Mission Rd Unit D San Gabriel 91776 4/26/2013 2008 3 2.5 2,190 $585,000 $ 267.12 8836 EMPEROR Ave San Gabriel 91775 1/25/2013 2011 4 4 3,119 $968,000 $ 310.36 8840 EMPEROR Ave San Gabriel 91775 1/9/2013 2011 4 3 3,121 $1,000,000 $ 320.41

Average 2007 3.0 2,169 $ 654,000 $ 303.00 Median 3.0 2,000 $ 585,000 $ 297.88

Source: Redfin Historical Data, 2014 - 2019

APPENDIX 5 COMPARABLE SALES

APPENDIX 5 - TABLE 1

RETAIL BUILDING SALES COMPARABLES1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

P rice Per SF N o. B uilding Type A ddress C ity S ale Date Y ear Built R BA (SF) L and (SF) S ales Price P rice Per SF L and

1 Retail 102 Alabama St San Gabriel 12/31/2018 1954 3,256 5,506 $1,200,000 $369 $218 2 Auto Repair 834 E Broadway San Gabriel 2/27/2018 1923 2,682 14,985 $1,500,000 $559 $100 3 Storefront 515 S Del Mar Ave San Gabriel 4/17/2017 1947 1,470 2,148 $455,000 $310 $212 4 Freestanding 604 S Del Mar Ave San Gabriel 12/28/2018 1928 2,612 7,405 $1,106,000 $423 $149 5 Bar 1062 Las Tunas Dr San Gabriel 6/7/2019 1949 2,123 5,009 $1,038,000 $489 $207 6 Restaurant 506 E Las Tunas Dr San Gabriel 8/16/2018 1949 2,400 9,104 $380,000 $158 $42 7 Storefront 917-919 E Las Tunas Dr San Gabriel 4/24/2017 1962 9,908 18,051 $3,825,000 $386 $212 8 Storefront 718-724 W Las Tunas Dr San Gabriel 4/2/2019 1924 6,600 6,534 $1,395,000 $211 $213 9 Storefront 524 E Mission Rd San Gabriel 12/21/2018 1924 2,369 4,661 $625,000 $264 $134 11 Retail 929-931 S San Gabriel San Gabriel 4/3/2019 1947 2,800 3,920 $830,000 $296 $212 12 Freestanding 136-138 S San Gabriel Blvd San Gabriel 8/1/2017 1949 21,850 22,651 $4,600,000 $211 $203 13 Storefront 1009 S San Gabriel Blvd San Gabriel 3/9/2018 1957 2,344 7,501 $1,061,500 $453 $142 14 Garden Center 1143 S San Gabriel Blvd San Gabriel 12/15/2017 1947 11,475 30,056 $2,850,000 $248 $95 15 Fast Food 1530 S San Gabriel Blvd San Gabriel 12/14/2018 1969 2,625 20,473 $2,600,000 $990 $127 16 Storefront 846 E Valley Blvd San Gabriel 11/7/2018 1946 4,700 12,554 $3,030,000 $645 $241

Weighted Average $334 $155 Minimum Price/SF $158 $42 Maximum Price/SF $990 $241

Source: Costar 7/2019 1 Limited to buildings sold in last 2 years in the City of San Gabriel.

APPENDIX 5 - TABLE 2

MULTIFAMILY SALES COMPARABLES1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

N umber of P rice Per P rice Per P rice Per N o. B uilding N ame A ddress C ity S ale Date Y ear Built U nits G BA (SF) L and (SF) S ales Price S F GBA S F Land U nit

1 Class C Apartments - 355 S Arroyo Dr San Gabriel 4/4/1948 1960 11 9,347 18,326 $3,050,000 $326 $166 $277,273 2 Class C Apartments - 328 E Broadway San Gabriel 1/23/2019 1987 16 17,770 20,038 $4,950,000 $279 $247 $309,375 3 Class C Apartments - 218-222 S Del Mar Ave San Gabriel 9/12/2018 1953 12 9,560 16,836 $3,500,000 $366 $208 $291,667 4 Class C Apartments - 9074 Huntington Dr San Gabriel 4/13/2017 1956 8 6,456 13,944 $2,150,000 $333 $154 $268,750 5 Class B Apartments - 9146 Huntington Dr San Gabriel 2/28/2019 1962 17 12,725 18,731 $3,999,999 $314 $214 $235,294 6 Class B Apartments - 131 E Live Oak St San Gabriel 3/30/2018 1962 32 44,055 43,521 $10,350,000 $235 $238 $323,438 7 Class C Apartments - 138 E Live Oak St San Gabriel 8/10/2017 1962 8 9,096 10,019 $2,410,000 $265 $241 $301,250 8 Class B Apartments - 321 E Live Oak St San Gabriel 1/18/2017 1963 24 28,332 34,935 $7,650,000 $270 $219 $318,750 9 Class C Apartments Mission Drive Apts 204 S Mission Dr San Gabriel 4/25/2017 1957 10 8,540 13,939 $2,745,000 $321 $197 $274,500 10 Class C Apartments The Prospect 1552 Prospect Ave San Gabriel 8/14/2018 1987 8 8,388 10,454 $3,130,000 $373 $299 $391,250 11 Class C Apartments Juniper Pointe 6648 Rosemead Blvd San Gabriel 9/1/2017 1962 32 20,456 31,642 $8,550,000 $418 $270 $267,188 12 Class C Apartments - 6710 Rosemead Blvd San Gabriel 8/10/2017 1962 32 18,262 26,881 $5,550,000 $304 $206 $173,438 13 Class C Apartments San Gabriel Apartments 5045 N Rosemead Blvd San Gabriel 7/31/2018 1963 14 17,020 21,344 $4,025,000 $236 $189 $287,500 14 Class C Apartments Emerald Apartments 1232 S San Gabriel Blvd San Gabriel 6/19/2017 1963 36 12,441 16,540 $4,250,000 $342 $257 $118,056 15 Class C Apartments - 254 San Marcos St San Gabriel 2/22/2017 1961 8 5,080 10,036 $1,850,000 $364 $184 $231,250

Weighted Average $300 $222 $254,328 Minimum Price/SF $235 $154 $118,056 Maximum Price/SF $418 $299 $391,250

Source: Costar 7/2019 1 Limited to buildings sold in last 2 years in the City of San Gabriel.

APPENDIX 5 - TABLE 3

LAND SALES COMPARABLES1 MARKET ANALYSIS - PACIFIC PLAZA PREMIER DEVELOPMENT GROUP CITY OF SAN GABRIEL

N o. D escription A ddress C ity S ale Date S ize (AC) S ize (SF) S ales Price P rice Per SF

2 Commercial 3546 S Baldwin Ave El Monte 12/1/2017 0.44 18,979 $678,000 $35.72 3 Commercial Chapel Ave Alhambra 2/23/2017 0.69 30,109 $1,200,000 $39.86 4 Commercial 9048 Garvey Ave Rosemead 2/24/2017 0.52 22,664 $818,000 $36.09 5 Commercial 402 E Las Tunas Dr San Gabriel 12/12/2018 0.45 19,524 $970,000 $49.68 6 Commercial 223 E Live Oak St San Gabriel 12/29/2017 0.38 16,387 $1,600,000 $97.64 7 Commercial 9350 Lower Azusa Rd Temple City 11/2/2017 0.90 39,256 $2,830,000 $72.09 8 Commercial 126 N New Ave Monterey Park 4/28/2017 2.84 123,532 $12,000,000 $97.14 9 Commercial S San Gabriel Blvd San Gabriel 5/29/2018 2.89 125,819 $28,000,000 $222.54 30 Industrial 4200 Baldwin Ave El Monte 1/31/2017 1.00 43,682 $1,200,000 $27.47 31 Industrial 4304 Temple City Blvd El Monte 6/2/2017 2.89 125,888 $3,960,000 $31.46 37 Residential 229 S 5th St Alhambra 3/19/2018 0.17 7,449 $720,000 $96.66 38 Residential 1527 Abbot Ave San Gabriel 10/12/2018 0.54 23,605 $690,000 $29.23 39 Residential 8528 Callita St San Gabriel 10/15/2018 0.12 5,288 $595,000 $112.52 40 Residential 1975 S Del Mar Ave San Gabriel 1/10/2017 0.57 24,681 $2,680,000 $108.59 41 Residential 1616 Euclid Ave San Gabriel 6/21/2019 0.34 15,028 $1,800,000 $119.78 42 Residential 7435 Hellman Ave Rosemead 6/28/2018 0.20 8,499 $640,000 $75.30 43 Residential 305-315 N Monterey St Alhambra 12/21/2017 0.52 22,499 $2,750,000 $122.23 44 Residential 6449 Rosemead Blvd San Gabriel 3/27/2018 0.26 11,352 $1,190,000 $104.83 45 Residential 5702 Temple City Blvd Temple City 3/14/2019 0.20 8,581 $1,000,000 $116.54

Total Weighted Average $94.28 Commercial Weighted Average $121.37 Industrial Weighted Average $30.43 Residential Weighted Average $95.01

Source: Costar 7/2019 1 Limited to sales in last 2 years within an approximately 2-mile radius of the Site.

APPENDIX 6 REVENUE PROJECTIONS

TABLE 1

STABLIZED ANNUAL GENERAL FUND REVENUES PACIFIC SQUARE SAN GABRIEL CITY OF SAN GABRIEL, CALIFORNIA

I. P roperty Tax Revenue

A. C ity Property Tax Assessed Value $197,808,000 Property Tax Rate 1.00%

Total Property Tax Revenue $1,978,000 City Share of Property Tax Revenue 7.27% (Less): City Share of Existing Value ($340)

Incremental City Property Tax Revenue $143,000

II. S ales Tax Revenue A. C ommercial Sales Tax

Gross Sales $15,739,100 Taxable Sales $11,114,000 City Sales Tax Rate 1.00% City Sales Tax $111,000

Stabilized San Gabriel Revenues (Incremental) $254,000

II. P roject Employment A. O n-Site Employmnet

Project Square Footage 69,280 Employees/1,000 Sq. Feet 2.10 Total On-Site Employment 144

B. P roject Employment Multiplier Project Employment 144 Rims II Direct Effect Multiplier2 1.5144 Direct, Indirect & Induced Employment 218

C. P roject Employment Multiplier (Temporary) Direct Construction Costs $120,564,000 Rims II Final Demand Construction Multiplier3 9.75960 Direct, Indirect & Induced Construction Employment 1,177

2 Rims II Direct Effect Multiplier for Other & General Merchandise Retail for LA County (2007/2015) 3 Rims II Final Demand Multiplier for LA County (2007/2015)

TABLE 2

PUBLIC REVENUES PROJECTIONS PACIFIC SQUARE SAN GABRIEL CITY OF SAN GABRIEL, CALIFORNIA

Property Project Year Tax Sales Tax

1 2023 $112,655 $111,100 2 2024 143,648 $114,500 3 2025 149,641 $117,900 4 2026 152,634 $121,400 5 2027 155,626 $125,100 6 2028 158,619 $128,800 7 2029 161,611 $132,700 8 2030 164,604 $136,700 9 2031 168,596 $140,800 10 2032 171,588 $145,000 11 2033 174,579 $149,400 12 2034 178,571 $153,800 13 2035 181,562 $158,500 14 2036 185,554 $163,200 15 2037 189,545 $168,100 16 2038 193,536 $173,200 17 2039 196,527 $178,300 18 2040 200,517 $183,700 19 2041 204,508 $189,200 20 2042 2 09,498 $ 194,900

2 0 Year Term Nominal Total $3,453,619 $2,986,300 NPV@ 8% $3,454,000 $2,986,000

ATTACHMENT 1 REVENUE ESTIMATES

ATTACHMENT 1 - TABLE 1

CITY SHARE OF PROPERTY TAX PACIFIC SQUARE SAN GABRIEL CITY OF SAN GABRIEL, CALIFORNIA

Incremental Existing City City Share for Project Year Assessed Value 1 Base Levy 2 City Share 3 Share Total Project

1 2023 $156,030,767 $1,560,000 $113,000 ($345) $112,700 2 2024 $197,808,142 $1,978,000 $144,000 ($352) $143,600 3 2025 $205,799,590 $2,058,000 $150,000 ($359) $149,600 4 2026 $209,915,582 $2,099,000 $153,000 ($366) $152,600 5 2027 $214,113,894 $2,141,000 $156,000 ($374) $155,600 6 2028 $218,396,172 $2,184,000 $159,000 ($381) $158,600 7 2029 $222,764,095 $2,228,000 $162,000 ($389) $161,600 8 2030 $227,219,377 $2,272,000 $165,000 ($396) $164,600 9 2031 $231,763,765 $2,318,000 $169,000 ($404) $168,600 10 2032 $236,399,040 $2,364,000 $172,000 ($412) $171,600 11 2033 $241,127,021 $2,411,000 $175,000 ($421) $174,600 12 2034 $245,949,561 $2,459,000 $179,000 ($429) $178,600 13 2035 $250,868,552 $2,509,000 $182,000 ($438) $181,600 14 2036 $255,885,923 $2,559,000 $186,000 ($446) $185,600 15 2037 $261,003,642 $2,610,000 $190,000 ($455) $189,500 16 2038 $266,223,715 $2,662,000 $194,000 ($464) $193,500 17 2039 $271,548,189 $2,715,000 $197,000 ($473) $196,500 18 2040 $276,979,153 $2,770,000 $201,000 ($483) $200,500 19 2041 $282,518,736 $2,825,000 $205,000 ($492) $204,500 20 2042 $288,169,111 $ 2,882,000 $ 210,000 ( $502) $ 209,500

2 0 Year Term Nominal Total $47,604,000 $3,462,000 ($8,381) $3,453,500 Net Present Value @ 8% $22,036,000 $1,603,000 ($4,000) $1,599,000

1 Based on assessed value of $156,030,767 in Year 1 and $197,808,142 in Year 2. Assessed value inflates at 2.0% annually. 2 Based on a 1% general levy. Calculation does not include voter-approved indebtedness or special assessments. 3 Assumes a city share of 7.3% of the general levy.

ATTACHMENT 1 - TABLE 2

TAXABLE ON-SITE SALES CALCULATION PACIFIC SQUARE SAN GABRIEL CITY OF SAN GABRIEL, CALIFORNIA

Gross Taxable Taxable Sq, Feet Sales PSF 1 Sales Share Sales Sales Tax

LA Fitness2 25,233 $5 $126,200 100.0% $126,000 $1,000 ALDI Supermarket 20,330 $350 $7,115,500 35.0% $2,490,000 $25,000 Café 3,537 $300 $1,061,100 100.0% $1,061,000 $11,000 Bakery 2,500 $350 $875,000 100.0% $875,000 $9,000 Sit-Down 5,000 $400 $2,000,000 100.0% $2,000,000 $20,000 Fast Casual 5,565 $500 $2,782,500 100.0% $2,783,000 $28,000 Retail 7,115 $250 $1,778,800 100.0% $1,779,000 $18,000 Total 69,280 $15,739,100 $11,114,000 $111,000

1 Based on Developer submittal and KMA estimates. Sources: 10K Reports, US Business Reporter; QSR Magazine, E- Marketer 2 Sales exclude membership dues.

ATTACHMENT 1 - TABLE 3

ON-SITE SALES TAX PROJECTION PACIFIC SQUARE SAN GABRIEL CITY OF SAN GABRIEL, CALIFORNIA

Project Year Taxable Sales1 Sales Tax2

1 2023 $11,114,000 $111,100 2 2024 11,447,500 114,500 3 2025 11,790,900 117,900 4 2026 12,144,600 121,400 5 2027 12,508,900 125,100 6 2028 12,884,200 128,800 7 2029 13,270,800 132,700 8 2030 13,668,800 136,700 9 2031 14,078,900 140,800 10 2032 14,501,200 145,000 11 2033 14,936,100 149,400 12 2034 15,384,200 153,800 13 2035 15,845,800 158,500 14 2036 16,321,100 163,200 15 2037 16,810,700 168,100 16 2038 17,315,000 173,200 17 2039 17,834,500 178,300 18 2040 18,369,600 183,700 19 2041 18,920,800 189,200 20 2042 $19,488,500 $ 194,900

2 0 Year Term Nominal Total $2,986,300 NPV @ 8% $1,361,000

1 Inflates at 3.0% annually. 2 Assumes a 1% city share.