Ocean Front Walk Creative Office Investment Opportunity in the Heart of Venice Beach

1007-1017 OCEAN FRONT WALK CREATIVE OFFICE INVESTMENT OPPORTUNITY IN THE HEART OF VENICE BEACH

Holliday Fenoglio Fowler, L.P., acting by and through Holliday GP Corp., a real estate broker licensed with the California Department of Real Estate, License Number 01385740 PROPERTY SUMMARY

HFF has been engaged as the Exclusive Advisor to extend to 1011-1017 qualified investors the opportunity to acquire the fee simple and leasehold interests in 1007-1017 Ocean Front Walk, Venice, California (the “Property” or “Ocean Front Walk”). The Property is comprised of a two-story, 10,778 square foot creative office and retail building that is owned fee simple, and an adjacent one story 2,811 square foot building and 24 surface parking space lot (leasehold). This location offers beach front views, an excellent live-work environment, extensive local amenities, strong economic fundamentals driven by the tech explosion in Silicon Beach and ample executive housing along the coast of the Westside.

PROPERTY OVERVIEW PROPERTY OVERVIEW

1007-1009 Ocean Front Walk 1011-1017 Ocean Front Walk Address Venice, CA 90291 Address Venice, CA 90291

Building Size 2,811 SF Building Size 10,8778 SF

Year Built 1987 Year Built 1921

Stories 1 Stories 2

Leased % 100% Leased % 73%

Parking 24 Surface Spaces Parking 0 Surface Spaces “Silicon Beach” is now one of the heaviest concentrations of technology Interest Owned Leasehold (18 Years Remaining) Interest Owned Fee Simple and startup companies in the world. THE OPPORTUNITY INVESTMENT HIGHLIGHTS

Ocean Front Walk represents the rare HIGH-TECH opportunity to acquire a truly creative office HIGHLY DESIRABLE opportunity in the heart of Venice Beach, one OFFICE LOCATION TENANT DEMAND of the top performing markets in Southern Rivaled only by submarkets within San Francisco Venice is synonymous with “new economy” California. Fueled by booming “new-economy” and New York, Venice/Playa Vista is one of the industries such as high-tech, media, entertainment, industries such as high-tech, media, and premier Southern California office markets, and mobile devices. Sitting at ground-zero for entertainment. Constructed in 1921 & 1987, attracting the best-of-the-best tenants and venture capital investment in Southern California, Ocean Front Walk has been partially converted to creative office, allowing an investor to enjoying a highly educated workforce, significant the greater Los Angeles area attracted $2.1 billion convert two additional beach front spaces to high-tech activity and substantial venture capital of venture capital money in 2014 and is a world- creative. Current rents are 48% below market momentum. The Property is located within Los renowned location for entrepreneurialism and allowing an investor the opportunity to increase Angeles’ “Silicon Beach,” one of the heaviest creative thought. Accordingly, Venice is poised the net operating income by over $300,000 by concentrations of technology and startup to ride a massive wave of tech-firm and “new year 3 of the analysis. companies in the world that is beginning to economy” expansion which will drive rents and compete with Silicon Valley, from where the values throughout the submarket evidenced by area derives its name. Venice enjoys some of the Snap Chat’s tremendous growth over the last 12

GROSS RENT (UPONGros sEXPIRATION) Rent (Upon Expiration) vs. MVS.arket RMARKETent RENT highest office rents in Southern California with months.

$14.00 $13.08 20.0% recent “creative” signings at over $10.00/SF NNN. 18.0% ) $12.00 $10.36 $10.41 $10.08 $9.54 $9.69 16.0% F S G

$10.00 g . 14.0%

s $7.61 i n o $8.00 $7.38 $9.38 12.0% i r M $7.25 10.0% p E x S F / $6.00 $7.29 P $6.81 8.0% ( $6.90 S F

t 6.0% R n $4.00 e

R 4.0% $2.00 $2.49 2.0% $0.00 0.0%

% RSF Expiring Gross Rent Upon Expiration Market Rent

The Los Angeles area attracted $2.1 billion of venture capital money in 2014 ATTRACTIVE BUILDING IDEAL FOR CREATIVE TENANTS AMENITY RICH LOCATION Rivaled only by submarkets within San Francisco and New York, Venice/Playa Vista Ocean Front Walk is located in one of the most amenity is one of the premier Southern California office markets, attracting the best- rich and most recognized areas of Los Angeles. The famed of-the-best tenants and enjoying a highly educated workforce, significant Venice Boardwalk on which the Property sits is known around high-tech activity and substantial venture capital momentum. The the world as a destination of the arts and entertainment. Property is located within Los Angeles’ “Silicon Beach,” one of the Restaurants, museums, theaters, farmer’s markets, parks, schools, heaviest concentrations of technology and startup companies grocery stores and gyms are all within walking distance. Located in the world that is beginning to compete with Silicon Valley, just a few blocks away from the Property is Abbott Kinney Boulevard, from where the area derives its name. Venice enjoys some rated as one of the hippest new streets in the United States. There of the highest office rents in Southern California with are an abundance of new restaurant and shopping concepts along recent “creative” signings at over $10.00/SF NNN. Abbott Kinney that draw crowds from all around the city who wish to experience the trendy flair that the street exudes. These Venice enjoys some of amenities will keep the Property in constant tenant demand, the highest office rents in resulting in higher rates, lower vacancies, and long-term Southern California with outperformance. recent “creative” signings at over $10.00/SF NNN Venice Beach is the 2nd-largest tourist attraction in Southern California after Disneyland ANDREW HARPER TODD TYDLASKA BLAKE A. ROGERS Director Senior Managing Director Director [email protected] [email protected] [email protected] T. 310.407.2139 T. 310.407.2175 T. 310.407.2138 CA License #01319640 CA License #01329711 CA License #01866591

FOR UNDERWRITING: FOR FINANCING: FOR A TOUR CONTACT: 1999 AVENUE OF THE STARS, SUITE 1200, LOS ANGELES, CA 90067 DAVID TURKEN JEFF SAUSE LYNNE JUDD Associate Associate Director Production Coordinator T. (310) 407-2100 | F. (310)407-2101 [email protected] [email protected] [email protected] www.hfflp.com 310.407.2132 T. 310.407.2133 310.407.2131 CA License #01976984 CA License #01852507 CA License #01719869