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8 3 FREDERICKSBURG 0 8 SAN ANTONIO OFFERING SUMMARY EXECUTIVE SUMMARY Holliday Fenoglio Fowler, L.P. (“HFF”) is pleased to offer the unique opportunity to purchase 8303 Fredericksburg Road, a 3.69-acre parcel with 53,343 square feet of improvements (the “Property” or “Site”) in the high performing northwest submarket of San Antonio, TX. Located near the top of the Fredericksburg Hill, the Site offers exceptional frontage and visibility along the highly trafficked Fredericksburg Road corridor. Situated adjacent to the South Texas Medical Center and USAA Headquarters, the Property benefits from proximity to San Antonio’s main economic drivers, which account for more than 70,000 jobs in the immediate area. Location 8308 Fredericksburg Road San Antonio, TX 78229 Parcel # 531309 Site Area 3.69 Acres County/City/ Bexar/San Antonio/Texas State Current Zoning MF-65 (Multifamily) Current Use Special Purpose 2 8308 FREDERICKSBURG OFFERING SUMMARY OFFERING SUMMARY 8308 FREDERICKSBURG 3 INVESTMENT HIGHLIGHTS PROXIMATE TO MAJOR ECONOMIC DRIVERS • Located just minutes from some of San Antonio’s largest employers including the South Texas Medical Center, USAA Headquarters, Valero Energy Headquarters, and the University of Texas at San Antonio • With a cost of living 15% below the national average and cost of business 20% below the national average, Northwest San Antonio is booming in both population and corporate growth as people relocate to Texas’ most historic city • Population and business relocation to San Antonio has resulted in a diverse economy ranging from military, energy, and healthcare, to tourism, as well as recent advancement in industries such as technology, cybersecurity, bioscience, aerospace, and renewable energy ADJACENT TO SOUTH TEXAS MEDICAL CENTER • San Antonio’s preeminent South Texas Medical Center boasts a 900-acre medical complex consisting of 10 major hospitals, 80 clinics, over 56,000 jobs, and over three million outpatients each year • South Texas Medical Center serves as the hub for San Antonio’s booming healthcare industry, with an annual budget of more than $2 billion • Notable healthcare institutions include University Health System, Methodist Hospital, St. Luke’s Baptist Hospital, Audie Murphy VA Hospital, as well as The University of Texas Health Science Center, a nationally renowned academic and healthcare facility 4 8308 FREDERICKSBURG OFFERING SUMMARY DRIVE TIMES TO/FROM 8308 FREDERICKSBURG 3 5 11 STONE OAK 12 16 18 MINUTES MINUTES MINUTES MINUTES MINUTES MINUTES TO TO TO TO TO TO SOUTH TEXAS USAA UTSA VALERO AIRPORT DOWNTOWN MEDICAL CENTER HEADQUARTERS HEADQUARTERS d a o SHOPS AT THE RIM R o LA CANTERA c n HILL COUNTRY a l VILLAGE B SHAVANO PARK W B urzb ch Parkway a a n d e ra R San Antonio o International a RANDOLPH d Airport AIR FORCE CASTLE BASE HILLS CONVERSE INCLUDING: PARK NORTH & WINDCREST UT HEALTH SCIENCE CENTER NORTH STAR AUDIE MURPHY VA HOSPITAL y CTRC ALAMO a hw ad BROOKE ARMY MEDICAL CENTER ig Ro QUARRY H in TEXAS CANCER CLINIC San Antonio tin u us eg CHILDREN’S CANCER RESEARCH INSTITUTE e A S CHRISTUS SANTA ROSA HEALTH SYSTEM nu e TEXAS NEUROSCIENCE INSTITUTE v A ST. LUKE’S BAPTIST HOSPITAL TERRELL HILLS METHODIST HEALTHCARE SYSTEM Pedro n Sa SAMMC FORT SAM Cul ebra Road HOUSTON THE PEARL W DOWNTOWN est Comme rce StreetSAN ANTONIO CBD OFFERING SUMMARY 8308 FREDERICKSBURG 5 SUPERIOR ACCESS & VISIBILITY • Located just northwest of the IH-10/Loop 410 interchange, one of San Antonio’s busiest crossroads, with IH-10 boasting 240,000 vehicles CLOSE PROXIMITY TO MAJOR per day and Loop 410 boasting 260,000 vehicles per day EMPLOYERS • Convenient ingress/egress points with direct access to extensive thoroughfare Fredericksburg Road and minutes from IH-10 and IH- 410 frontage • Rapid access to some of San Antonio’s most desirable retail and office amenities throughout the city including The Rim, Shops at La Cantera, 56,000 EMPLOYEES Huebner Oaks, Ingram Park Mall, Park North, North Star Mall, and Wonderland of the Americas LOCATION OVERVIEW 17,000 EMPLOYEES The Site is located in the heart of Northwest San Antonio, the most sought- after submarket in the San Antonio metropolitan area. Strategically located along Fredericksburg Road, The Property offers direct access to upscale residential communities, convenient retail amenities, and swift egress from the Site to the city’s most desirable business and leisure destinations. This central location along Fredericksburg Road offers immediate access 1,600 EMPLOYEES to major San Antonio thoroughfares, specifically the IH-10 Loop and the Loop 410 interchange. The Site provides an unparalleled opportunity to acquire land in one of the fastest growing areas throughout San Antonio. Surrounded by affluent residential communities and proximate to San Antonio’s largest 29,000 STUDENTS & 1,400 FACULTY employers, the Site provides the opportunity to develop a multitude of property types. 6 8308 FREDERICKSBURG OFFERING SUMMARY The Shops at The Rim La Cantera SHAVANO PARK ROAD CANCER THERAPY CHRISTUS RESEARCH CENTER CKSBURG HEALTH SYSTEM FREDRI W ST. LUKE’S URZBACH PARKWAY BAPTIST HOSPITAL UTHSCSA UNIVERSITY HOSPITAL METHODIST ME HEALTHCARE DICAL DRIVE SYSTEM CASTLE HILLS CALLAGHAN ROAD OFFERING SUMMARY 8308 FREDERICKSBURG 7 COST OF LIVING ECONOMIC OVERVIEW SAN ANTONIO Commonly known as “the heart of Texas”, San Antonio has consistently led the nation in economic growth and COST OF EXPENSES stability over the last several years. Among Texas’s “big four” metro areas — Houston, Dallas, Austin and San Antonio — there is a rejuvenated buzz about the Alamo City. Building upon its rich history and authentic culture, San Antonio stands out as an opportunity city celebrated for its attractive quality of life, emerging culinary and arts scene and affordable cost of living. DIVERSE ECONOMY Home to five Fortune 500 companies, San Antonio boasts a broad industry portfolio that continues to expand, with the local construction, trade and healthcare service sectors seeing the highest job growth in 2017. New business strengths have emerged over the last five years, including technology, financial services, manufacturing, and information systems. These new ventures have diversified San Antonio’s economy and provide a safeguard for the local economy. With business costs nearly 20% below the national average, the San Antonio MSA is also one of the five least expensive metros in the U.S. to do business, attracting many startups and corporate relocations in recent years. Consistently named one of the best markets for job seekers, the San Antonio metro area has enjoyed steady employment growth over the past several years and its unemployment levels rank near the lowest in the state. According to Oxford Economics, San Antonio has seen economic growth of 5.5% per year over the last 5 years, landing a spot in the top 5 growth metro’s in the country. Employment growth in San Antonio is forecasted to average nearly 2.0% annually through 2021. San Antonio continues to be one of the OVERALL COST OF EXPENSES RELOCATIONS & EXPANSIONS most attractive metros in the country due to its exceptional economic and populationRECENT growth, ANNOUNCEMENTS low business and living costs, central geographic location and versatile transportation infrastructure. RELOCATIONS & EXPANSIONS 400 JOBS 500 JOBS 1,500 JOBS INTERNATIONAL TRADE CENTER COST OF LIVING San Antonio is the center of economic activity and commerce in South Central Texas, located 14% LOWER about 140 miles north of the Gulf of Mexico and 70 miles south of Austin. The Alamo City is THAN NATIONAL positioned at the crossroads of several interstate highways and railroads serving both coasts, AVERAGE and enjoys a prime position along the NAFTA corridor. With strong cultural and economic ties to Mexico, San Antonio is an international trade center as more than 50% of the goods traveling between Mexico and the United States flows through San Antonio. Additionally, the logistical functionality of San Antonio is enhanced through Port San Antonio, a massive (1,900- COST OF EXPENSES acre) multimodal logistics hub and industrial complex that caters to multinational firms such as FOR BUSINESS IS Boeing, Lockheed Martin and Xerox, as well as federal and state government agencies. 20% LOWER THAN NATIONAL AVERAGE POPULATION TRENDS The San Antonio MSA has a population of more than 2.4 million residents, making it the third largest metro in the Lone Star State and the 25th largest in the United States. As one of the largest cities in America, San Antonio’s flourishing economy continues to grow as young #1 professionals and businesses are taking notice of its opportunities. San Antonio is poised to IN experience rapid growth in the next 25 years, increasing 57.3% to nearly 4 million people by POPULATION GROWTH 2040. In 2017, San Antonio topped the Census Bureau’s List of “Fastest-Growing Large Cities” IN 2017 Source: U.S. Census Bureau with the largest population gains in the United States. Milken Institute also named San Antonio among its Top 25 list of Best-Performing Cities in 2017 based on the city’s booming economy and robust population growth. San Antonio’s population grew 1.9% in 2017 and is forecasted to increase by 9% over the next five years – almost double the U.S. average. As such, the 2.0 metropolitan area is projected to add more than 230,000 people over the next five years. EMPLOYMENT GROWTH EMPLOYMENT TRENDS ANNUALLY THROUGH 2021 San Antonio’s employment trends are keeping pace with local population growth. Consistently named one of the best markets for job seekers, the San Antonio metro area has enjoyed steady employment growth and low unemployment levels over the past several years. San Antonio’s UNEMPLOYMENT RATE unemployment consistently ranks near the lowest in the state. The current rate of 3.5% compares IS 10TH LOWEST IN THE U.S. favorably to the Texas and national unemployment rates of 3.9% and 4.1%, respectively.