The Columbus Way Columbus Opportunity Zone Prospectus What is the Columbus Way? “Columbus is America’s Opportunity City. We will continue to make this the best market in the world for our current companies, our future companies and our greatest asset: our residents. We have a very strong large-corporation community, [and] we think one of our great opportunities for growth [is] around small business and entrepreneurship and startups.” - Mayor Andrew Ginther, City of Columbus “Columbus is a region that is big enough to have scale, but small enough to get business and community leaders in a room together. In a Harvard Business School case study about Columbus, they coined the term the ‘Columbus Way,’ examining how our public and private sectors collaborate to drive important issues of the day forward.” - Alex Fischer, President and CEO of The Columbus Partnership The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way in Action Healthy Homes Smart Cities Challenge “Columbus was the winner of the U.S. Community Development for All People, Department of Transportation (DOT) a faith-based nonprofit organization, Smart City Challenge… grant totaling $50 joined with Nationwide Children’s million to explore, demonstrate, and test Hospital, Ohio Capital Corporation for technologies and infrastructure of the Housing and the City of Columbus in future. But we always intended the 2018 to announce a new $25 million federal award to serve as a spark, not investment to build or renovate 170 Photo: Save the Crew the entire package. Today, with affordable housing units on the South additional public and private funding, Side. Since 2008 more than $70 million #SavetheCrew we’ve grown that original $50 million to has already been invested through this a $500 million effort.” partnership with more than 60 homes “One of the things that I continue to be built, renovated or repaired. impressed with is the Save the Crew - For Columbus, public-private partnerships are key to economic development, May 2017, efforts, the organic uprising of support, Brookings Institution and it’s no surprise that, in essence, as founders of MLS we have a passionate fan base and it’s impressive that they’ve gotten over 250 local companies and have joined their efforts and have gotten involved.” - Alex Fischer, President of the Columbus Partnership, Q & A: Work continues to keep Crew SC in Columbus, January 2018, The Columbus Dispatch Photo: Community Development For All People Photo: Smart Columbus The Columbus Way Columbus Opportunity Zone Prospectus Opportunity Zone Tax Program The 2017 Tax The program offers three tax incentives for investing in low-income Cuts and Jobs communities through a qualified Opportunity Fund Act established new Internal Revenue Code Section 1400Z – Opportunity Zones. Temporary Step-Up In Permanent Deferral Basis Exclusion A temporary deferral of A step-up in basis for capital A permanent exclusion from inclusion in taxable income for gains reinvested in an taxable income of capital gains capital gains reinvested into an Opportunity Fund. The basis from the sale or exchange of Opportunity Fund. The is increased by 10% if the an investment in an deferred gain must be investment in the Opportunity Opportunity Fund if the recognized on the earlier of Fund is held by the taxpayer investment is held for at least the date on which the for at least 5 years and by an 10 years. This exclusion only Opportunity Zone investment additional 5% if held for at applies to gains accrued after is disposed of OR December least 7 years, thereby an investment in an 31, 2026. excluding up to 15% of the Opportunity Fund. original gain from taxation Information Courtesy of Economic Innovation Group The Columbus Way Columbus Opportunity Zone Prospectus Opportunity Zone Tax Program Taxpayers get federal tax For making timely benefits investments in Qualified Opportunity Which invest its Zone Funds funds in Qualified Opportunity Zone Property or Business Information Courtesy of Novogradac and Company LLP The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Meet Our City City Population – 880,000 Franklin County Population – 1.3 million 11 County MSA – 2.1 million “When you're searching for a place to start your business, some cities City Median Age – 32.2 years specialize… but Columbus doesn't need to do that. It's slowly and systematically Median Home Price - $136,500 becoming the new hub of the Midwest. It's sneaky big. Columbus is Unemployment (Nov. 2018) – 3.5% the 14th largest U.S. city in population, directly behind San Francisco, with nearly 900,000 people. But those are Columbus is home to some of the stats. It's the current generation of world’s most recognizable brands such business leaders in Columbus that make as DSW, Big Lots, Express, JPMorgan the area so appealing.” Chase, Nationwide, and Huntington, - Columbus Isn't the Next Business Destination. It's has experienced strong economic Already Happening, September 2018, Inc. Magazine growth and boasts innovative small businesses as well as powerhouse research and academic institutions. The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Meet Our City The Stats Know the Population Know the Assets Know the Numbers • Columbus is the 4th fastest • After New York and Los • $950 million in new capital growing city in the country Angeles, Columbus is home to construction in 2018 alone • City Population – 880,000 more fashion designers than • Median Age – 32.2 years any other U.S. metropolis • Per CBRE, under construction in Q4 2018: • The population of millennials • 46% of the U.S. population is • 4.5 million sf industrial in their 20s grew by 5.2% in within a 10 hour drive • 444,000 sf office the past five years • 5 Fortune 500 Headquarters & • Per CBRE, the industrial vacancy • 89% of residents have a high 15 Fortune 1000 Headquarters rate is 3.9% school degree or higher • 52 colleges and universities • Per CBRE, average asking lease • Median household income has within an hour drive rates: grown 25% in the past 10 years • Industrial - $3.80 /sf to $50,800 in 2017 • Columbus is home to 53 • Commercial - $19.50 /sf breweries ranging from • Median gross rent is $889, • The 10 largest venture deals of microbreweries to major with 54.6% of households 2018 raised more than $278 regional operations renting million for Columbus startups The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Meet Our City Transportation The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Meet Our City The Rankings • Amazon HQ2 Finalist • U.S. Department of Transportation Smart City Challenge Winner • One of America’s Most Digitally Inclusive Cities, Brookings Institution • The 6 Best Big Cities: Columbus, Making the Midwest Cool, Money Magazine • No. 1 Rising City for Startups, Forbes • One of the Best U.S. Cities for Veterans, Veterans United • Ohio State University Ranks among Best of the Best LGBTQ-Friendly Campuses, Campus Pride • Best American City to Work in Tech, SmartAsset The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Meet Our City The News Why All the Cool Kids Love Top Metro for New and Columbus, Ohio Expanded Facilities National Geographic Magazine Site Selection Magazine Photo: Dayton Daily News Photo: The Pizzuti Companies National Veterans Memorial and Museum One of the 12- Columbus Isn't the Next Most-Anticipated Buildings of Business Destination. It's #1 Next Great Tech Hub 2018 Architectural Digest Already Happening. Forbes Magazine Photo: Aerial Impact Solutions Inc. Magazine Photo: covermymeds.com Photo: Columbus 2020 The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Meet Our City Quality of Life “The city has matured into a culinary “Even though Columbus earns its destination with amazing young nickname of the Biggest Small talent feeding into the industry and Town in America (“Everyone’s reflect the diverse culinary offerings friendly here… It’s like living and in Columbus. Dining is a form of working on Sesame Street”), it entertainment in Columbus… it’s also gives the nation's biggest wonderful for our city to have so cities a run for their money” many dining options” - Travis Samson to National Geographic – Cameron Mitchell to Forbes Magazine Magazine Photo: cameronmitchell.com Photo: Samson Men’s Emporium Photo: The Pearl Photo: Short North Alliance Photo: PGAV Destinations Photo: Columbus Recreation and Parks The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Our Assets From Major Corporate Headquarters… Founded in 1967 and headquartered in Columbus, Over the last 85 years, Nationwide has grown from Big Lots, Inc. is a unique, non-traditional, discount a small mutual auto insurer to one of the largest retailer operating 1,448 Big Lots stores in 47 states. insurance and financial services companies in the In 2018 Big Lots, Inc. moved more than 800 world. Headquartered in Downtown Columbus, the employees to a new 300,000 sf headquarters company has been a major partner in the growth of building catalyzing growth on Columbus’ eastside. the central business district. Founded in 1866 as The Huntington National Bank, Based in downtown Columbus, Ohio, Hexion Inc. is today Huntington Bancshares Incorporated still a global leader in thermoset resins. Through a operates from the same Columbus, Ohio founding broad range of technologies and products, Hexion location in the heart of the Midwest. Today serves customers operating approximately 60 Huntington is a $106 billion asset regional bank industrial facilities around the world. holding company. The Columbus Way Columbus Opportunity Zone Prospectus The Columbus Way – Our Assets …To A Growing Start Up Community “When brothers Andy and Phil George [of MentorcliQ] decided to find a permanent Columbus has increasingly become a home for startups, home for their then-fledgling company in from early stages to growth and acquisition.