Orlando, FL

Four Single Story Office/Light Industrial Buildings with Excellent In-Place Metrics and an Above Market Parking Ratio in Orlando, One of ’s Most Vibrant Markets.

OFFERING SUMMARY EXECUTIVE SUMMARY Holliday Fenoglio Fowler, L.P. (“HFF”) has been retained to exclusively offer qualified investors the opportunity to acquire Lakefront I & II (the “Property”), four single story suburban office and light industrial buildings advantageously located within the 12 million square foot office and light industrial Orlando Central Park in the South Orlando submarket of Florida. The Property has a combined total of 192,767 leasable square feet, which sit on 6.2 acres containing an above market parking ratio of 6.8 per 1,000 RSF via two separate land leases to third party owners. The Lakefront I & II buildings are situated just East of S. John Young Parkway and South of W. Oak Ridge Road. Combined, the buildings enjoy an occupancy of 88.3% comprised of 8 tenants.

LAKEFRONT I & II PROPERTY SUMMARY Address 6101 to 6251 Chancellor Drive Orlando, FL 32809 Location Orlando Central Park No. of Buildings Four Stories Single Type Office/Light Industrial Net Rentable SF 192,767 Year Built 1986 to 1988 Clear Ceiling Height 9' with ability for 12' Occupancy % 88% Site Size (Acres)1 6.2 Excluding Ground Leases Parking On-Site 4.4/1,000 RSF Including Parking Leases 6.8 per 1,000 RSF 1 Additional 2.525 Acres available on the adjacent South Lot ground lease and additional parking from North Lot lease agreement. INVESTMENT HIGHLIGHTS Lakefront I & II comprises four single story office/light industrial buildings with a diverse tenant base in the highly sought after South NORTH Orlando submarket, offering excellent access, high quality space LOT and an above market parking ratio of 6.8 per 1,000 RSF.

STABILIZED RENT ROLL Current ownership has been successful in a long term extension through 2023 with the property’s largest tenant which occupies 36% of the total SF. This gives incredible stability to a new buyer. The combined rollover through calendar year 2020 is a paltry 30% with S TEXAS AVENUE the first expiration in April of 2018. Additionally, there are 3 vacant bays totaling 23,000 SF that a new owner has the ability to lease and gain additional income.

LEASING EXPIRATION (Existing Tenants Only) 70,000 100% 6101 90% 60,000

80% G

50,000 I N

70% I R P G

6149

60% E I N 40,000 %

I R E P 50% I E T

F 30,000 A

S 40% L 30%

20,000 C 20% 10,000

10% CHANCELLOR DRIVE

0 0% 2017 2018 2019 2020 2021 2022 2023 6203 Strong key financial metrics with no rollover until 2018 and an above market capitalization rate on the in-place income stream, allows new ownership to enjoy substantially outsized cash flows. 6251

ABOVE MARKET PARKING RATIO The 6.8 per 1,000 RSF parking ratio attracts diverse and quality tenants allowing for premium rents while providing stability among the various industry sectors. There are two land leases in place to two separate third party landlords. SOUTH PARKING LOT Location No. of Parking Spaces Parking Ratio On-Site 853 4.4/1,000 RSF North Lot 100 to 200 .5 to 1.0/1,000 RSF South Lot 255 1.3/1,000 RSF Total 1208 to 1308 6.8/1,000 RSF POSITIONED TO COMPETE AGAINST MULTI-STORY OFFICE Lakefront I & II are a perfect setting for corporate users that need a high parking ratio and efficient space. New ownership will benefit by targeting users in multi-story office buildings that have a common area loss factor POSITIVE HISTORICAL OCCUPANCY with higher expense pass-throughs. Positioning space on a useable vs. The buildings have historically outperformed industrial and flex/single-story rentable SF yields users incredible savings. When an average 20% loss factor office stock in their trade area. Current long time tenants include Hospital is considered, the cost savings are dramatic. For instance, a 15,000 SF tenant Corporation of America (HCA) and Regions Bank, which have been in the would save approximately $620,000 during a five year span as compared to buildings since 1995 and 1997, respectively. an equivalent useable multi-story space. The reduced occupancy costs are considerable due to both lower rate and reduced rentable area on which a INVESTMENT GRADE CREDIT TENANCY tenant is charged. Over 82% of the leased square footage of the Property is occupied by Multi Story Single Story Savings investment grade credit tenants including three Fortune 500 companies, one Office Office & Flex headquarters location and the State of Florida. Asking Face Rate $17.59 $13.35 $4.24 Loss Factor 20% Total Rent PSF $21.11 $13.35 $7.76 RSF 15,000 Annual Rent Savings $116,370 Savings over 5 Years $617,824

The chart below shows asking gross rental rates for single story office/flex properties vs. multi-story office buildings within a 5 mile radius.

AVERAGE RENTAL RATES 5 MILE RADIUS $18.00 $17.00

$16.00

$15.00

$14.00

$13.00

$12.00 15% Growth from 2013 $11.00

$10.00 2009 2010 2011 2012 2013 2014 2015 2016 2017 Q4 Q4 Q4 Q4 Q4 Q4 Q4 Q4 Q1

Multi Story O ce Single Story O ce & Flex

Source: CoStar & HFF HIGH MARKET OCCUPANCIES The immediate trade area within a 5 mile radius of the Property illustrates a seasoned and high-performing submarket with resilient fundamentals. Current industrial occupancy exceeds 92% and has not dipped below 85%, even during the economic downturn. Single story office and flex property types have also fared well indicating a strong appetite for infill space within this submarket.

VACANCY 5 MILE RADIUS POSITIVE MACRO-ECONOMICS 23% One of the largest demand drivers of flex and small bay 20% industrial projects similar to Lakefront I & II is population

18% growth. Orange County has experienced a population growth rate of 39.7% over the past 15 years and 9.3% just 15% in the past five years. This trend is expected to continue

13% with an additional 5.3% population expansion through 2020. “Gallup 2015” named Orlando the #1 U.S. city for 10% job growth, having increased its employment base by an 8% astounding 52,000 jobs. Gallup ranks Orlando’s year-over- year employment growth of 4.6% at #1 in the U.S and at 5% only 5.2%, Orlando’s unemployment rate is the lowest of 1 3 2 1 4 1 1 1 1 1 3 2 1 3 2 4 3 2 3 1 2 4 3 2 3 2 4 4 4 4 3 2 4 Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q the major Florida MSAs. 1 1 7 1 5 1 1 3 1 1 2 1 6 1 1 4 1 0 1 5 1 5 1 3 1 2 1 3 1 2 1 5 1 4 1 2 1 3 1 6 1 6 1 4 1 0 1 0 1 4 1 6 1 0 0 9 0 9 0 9 0 9 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0 2 0

Multi Story O ce Single Story O ce & Flex Source: CoStar & HFF Orlando CBD Universal Studios The Mall at Florida Convention Millenia 4 Center

S. John Young Parkway EXCELLENT REGIONAL ACCESS W Oak Ridge Road The Property is centrally located between Florida’s principle highways: , Florida’s Turnpike, The Oak Ridge Plaza Beachline Expressway (State Road 528) and US 441, which 4 provide easy access to Orlando International Airport, the Access to Orange County Convention Center, downtown Orlando and the Tourist corridor.

Chancellor Drive MINIMAL CAPITAL REQUIREMENTS Lakefront I & II have benefited from current ownerships’ thoughtful business plan that was implemented in January 2012 to construct a parking lot on the adjacent south parcel and to improve and upgrade both properties. Significant projects include:

CAPITAL PROJECTS CAPITAL PROJECTS 2012 2013 2014 2015 2016 TOTAL Landscape Upgrades $15,050 $9,980 $10,000 $3,400 $38,430 Parking Lot Development $552,531 $2,260 $6,870 $561,661 Parking Lot Seal/Stripe/Repair Included above $32,354 $32,354 Texas Ave Crosswalk Included above $0 HVAC Replacements $47,931 $14,130 $62,350 $124,411 Upgrade/Repair Parking Lot Lights $27,800 $39,295 $67,095 Masonry Sealant and Building Painting $49,250 $49,250 Window Caulk and Sealing $50,205 $50,205 TOTAL $567,581 $50,191 $73,360 $150,355 $81,919 $923,406 NEARBY SERVICE AND RETAIL AMENITIES Mall at Millenia With 5.7 million SF of retail within a 3 mile radius of Lakefront I & II, tenants have a plethora of options to satisfy their needs. In addition, given the Property’s excellent highway connectivity via the I-4 Expressway, tenants are within an 8 minute drive of The Mall at Millenia (1.2M SF), (1.7M SF) and , formerly Festival Bay Mall (108k SF). These popular malls feature tenants such as Bloomingdales, Brooks Brothers, Neiman Marcus, Macy’s, Chanel, Michael Kors, Forever 21, Bass Pro Shops and Cinemark.

Approximate travel times to major destinations follow:

Demand Driver Lakeside I & II Interstate 4 2.0 mi (4 mins) Florida's Turnpike 2.0 mi (4 mins) Mall at Mellenia 2.0 mi (4 mins) Orange County Convention Center 7.0 mi (y mins) Orlando International Airport 10.6 mi (20 mins) Downtown Orlando 7.2 mi (11 mins)

Downtown Orlando Orange County Convention Center ADDITIONAL INFORMATION If you have any questions or require additional information, please contact any of the individuals below.

SALE CONTACTS MIAMI Marty Busekrus Anthony Frogameni 1450 Brickell Avenue Director Associate Director Suite 2950 [email protected] [email protected] Miami, FL 33131 305.448.1333 407.745.3913 T 305.448.1333 F 305.448.6767 Hermen Rodriguez Maite Dominguez Senior Managing Director Real Estate Analyst [email protected] [email protected] 305.448.1333 305.448.1333

DEBT CONTACTS

ORLANDO Michael Weinberg 300 South Orange Avenue Managing Director Suite 1250 [email protected] Orlando, Florida 32801 407.745.3914 T: 407.745.3914 F: 407.745.3935

HFF has been engaged by the owner of the property to market it for sale. Information concerning the property described herein has been obtained from sources other than HFF, and neither Owner nor HFF, nor their respective equity holders, officers, employees and agents makes any representations or warranties, express or implied, as to the accuracy or completeness of such information. Any and all reference to age, square footage, income, expenses and any other property specific information are approximate. Any opinions, assumptions, or estimates contained herein are projections only and used for illustrative purposes and may be based on assumptions or due diligence criteria different from that used by a purchaser, and HFF, its partners, officers, employees and agents disclaim any liability that may be based upon or related to the information contained herein. Prospective purchasers should conduct their own independent investigation and rely on those results. The information contained herein is subject to change. ©2017 Holliday Fenoglio Fowler, L.P., HFF Real Estate Limited (collectively, “HFF”), HFF Securities L.P. and HFF Securities Limited (collectively, “HFFS”) are owned by HFF, Inc. (NYSE: HF). HFF and its affiliates operate out of 24 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment sales, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.