Stand-Alone M1 Industrial Building

Home , Coldwater Canyon Avenue, Glenoaks Boulevard, Lankershim Boulevard, Vineland Avenue

Stand-Alone M1 Industrial Building 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605 :: OFFERING MEMORANDUM CONFIDENTIALITY AGREEMENT 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605:: OFFERING MEMORANDUM

All materials and information received or derived from KW Commercial its directors, officers, agents, advisors, affiliates and/or any third party sources are provided without representation or warranty as to completeness , veracity, or accuracy, condition of the property, compliance or lack of compliance with applicable governmental requirements, developability or suitability, financial performance of the property, projected financial performance of the property for any party’s intended use or any and all other matters. Neither KW Commercial its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy or completeness of the materials or information provided, derived, or received. Materials and information from any source, whether written or verbal, that may be furnished for review are not a substitute for a party’s active conduct of its own due diligence to determine these and other matters of significance to such party. KW Commercial will not investigate or verify any such matters or conduct due diligence for a party unless otherwise agreed in writing.

EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE. Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections and investigations including through appropriate third party independent professionals selected by such party.

All financial data should be verified by the party including by obtaining and reading applicable documents and reports and consulting appropriate independent professionals. KW Commercial makes no warranties and/or representations regarding the veracity, completeness, or relevance of any financial data or assumptions. KW Commercial does not serve as a financial advisor to any party regarding any proposed transaction. All data and assumptions regarding financial performance, including that used for financial modeling purposes, may differ from actual data or performance. Any estimates of market rents and/or projected rents that may be provided to a party do not necessarily mean that rents can be established at or increased to that level. Parties must evaluate any applicable contractual and governmental limitations as well as market conditions, vacancy factors and other issues in order to determine rents from or for the property. Legal questions should be discussed by the party with an attorney. Tax questions should be discussed by the party with a certified public accountant or tax attorney. Title questions should be discussed by the party with a title officer or attorney. Questions regarding the condition of the property and whether the property complies with applicable governmental requirements should be discussed by the party with appropriate engineers, architects, contractors, other consultants and governmental agencies. All properties and services are marketed by KW Commercial in compliance with all applicable fair housing and equal opportunity laws.

RON FEDER Managing Director BROKER OF RECORD 818.222.0404 Direct Keller Williams Realty Calabasas Estates 818.332.4015 Fax 23975 Park Sorrento, Suite 110 [email protected] Calabasas, CA 91302 DRE# 00983855 DRE# 01872625 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605:: OFFERING MEMORANDUM EXECUTIVE SUMMARY EXECUTIVE SUMMARY

ADDRESS 11922 Valerio Street

CITY North Hollywood, CA 91605

OFFERING PRICE $2,295,000

APN 2317-015-014

ZONING LAM1

BUILDING SF 8,500

LOT SF 16,818

YEAR BUILT 1955

CEILING HEIGHT

DOCKS NONE

DRIVE INS 2 tot./10'w x 9'h

DISCLAIMER: The information contained herein is not a substitute for a thorough due diligence POWER 200a/220-240v 3p investigation. The Broker has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future 10 Surface Spaces are available; Ratio of PARKING projected financial performance of the property, zoning & land use, and the size and square 1.18/1,000 SF footage of the property and improvements.

STAND - A L O N E M 1 INDUSTRIAL BUILDING 4 FINANCIAL SUMMARY

OFFERING PRICE PRICE/BUILDING SF PRICE/LOT SF $2,295,000 $270 $136

LEASE SUMMARY

Year YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 LEASE EXPIRATION Date 11/1/2016 11/1/2017 11/1/2018 11/1/2019 11/1/2020 10/31/2021 Monthly Totals $6,487.72 $6,682.35 $6,882.82 $7,089.31 $7,301.99 SF/Month $0.76 $0.79 $0.81 $0.83 $0.86 Annual Totals $77,852.64 $80,188.22 $82,593.87 $85,071.68 $87,623.83 Rent Increase 3% 3% 3% 3%

STAND - A L O N E M 1 INDUSTRIAL BUILDING 5 THE OPPORTUNITY

UNIQUE OWNER-USER/INVESTMENT OPPORTUNITY Opportunity for an investor/owner-user to acquire a free- standing warehouse/light manufacturing facility in an opportunity zone! Flexibility for additional income through a lease-up strategy of any unused space. 11920-11922 Valerio Street is comprised of an 8,500 square foot facility situated on an 16,818 square foot lot.

DEVELOPMENT REINASSANCE From Chatsworth to North Hollywood, plans are in the pipeline to make neighborhoods more city-like, meaning more dense and maybe more walkable and bikeable and more transit-friendly. In the coming years, developers will build thousands of new units of housing, create open space, bring in new retailers, and build new offices, creating mini villages within neighborhoods.

STAND - A L O N E M 1 INDUSTRIAL BUILDING 6 LOCATED IN AN OPPORTUNITY ZONE! The subject is located in an Opportunity Zone! Properties and businesses in the area near the subject property will likely see an increase in value due to a substantial influx of development funds by way of the new Opportunity Zone tax incentive. This program was spearheaded by the federal government in late 2017 to revitalize areas of economic opportunity around the country. The incentive program has two parts:

1. The deferral, until the end of 2026, of taxation equal to the capital gain realized on the sale of the assets, provided the gain is reinvested within six months in a Qualified Opportunity Fund

2. The exemption of federal income tax upon the gain (if any) from the disposition of the OZP investment, provided it is held for more than 10 years.

TEMPORARY DEFERRAL STEP UP IN BASIS PERMANENT EXCLUSION A temporary deferral of inclusion in taxable income for The basis is increased by 10% if the investment in the A permanent exclusion from taxable income of capital gains capital gains reinvested into an Opportunity Fund. Opportunity Fund is held by the taxpayer for at least 5 years from the sale or exchange of an investment in an and by an additional 5% if held for at least 7 years, thereby Opportunity Fund if the investment is held for at least 10 excluding up to 15% years. ENTERPRISE ZONE CALIFORNIA ENTERPRISE ZONE PROGRAM The Enterprise Zone Program is a part of California’s Geographically-Targeted Economic Development Areas, which provides tax incentives and benefits to stimulate business investment and job creation for qualified disadvantaged individuals in state-designated economically distressed areas. In the State of California, there are a maximum of 42 Enterprise Zones (EZs), which are individually managed by their respective jurisdictions. Each EZ designation lasts for 15 years.

BENEFITS • Hiring Credits: With the hiring credits in the EZ program, firms can earn approximately $37,000 in state tax credits spread out over a five-year period for each “qualified employee” that is hired. The credits are given on the following schedule: 50% of qualified wages in the first year of employment; 40% of qualified wages in the second year of employment; 30% of qualified wages in the third year of employment; 20% of qualified wages in the fourth year of employment; and 10% of qualified wages in the fifth year of employment. • Up to 100% net operating loss carry-forward for 15 years. • Sales tax credits on purchases up to $20 million per year of qualified machinery and machinery parts. • Up-front expensing of certain depreciable property; lenders to Zone businesses may receive a net interest deduction. • Unused tax credits can be applied to future tax years, stretching out the benefit of the initial investment. • Preference points on state contracts.

STAND - A L O N E M 1 INDUSTRIAL BUILDING 8 STAND - A L O N E M 1 INDUSTRIAL BUILDING 9 Cosmos Steel Incorporated Network Autobody Sharp Pet Hospital Occidental Studios

National Fleet Wholesale Darrow Air Hi Pod Store Windows American Awning Lo Carb U

EXCELLENT SYNERGISTIC LOCATION The property benefits from excellent accessibility. Sandwiched in between the 170 Freeway and Lankershim Boulevard, there is a large concentration of national retailers, warehouse & manufacturing companies, and media firms located in the immediate vicinity. 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605:: OFFERING MEMORANDUM MARKET COMPARABLES SALES COMPARABLES 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605

Address & Total Units Type Built Gross SF Sale Date Price Price/SF Cap Rate 1 7254 Coldwater Canyon Avenue Warehouse 1990 5,781 02/15/19 $3,800,000 $657.33 4.90% North Hollywood, CA 91605

2 5444 Vineland Avenue Warehouse 1946 4,290 01/22/19 $3,787,625 $882.90 N/A North Hollywood, CA 91601

3 3130 N. Clybourn Avenue Warehouse N/A 8,064 01/16/19 $3,700,000 $458.83 N/A Burbank, CA 91505

4 12031 Sherman Road Warehouse 1965 12,280 12/31/18 $3,725,000 $303.34 N/A North Hollywood, CA 91605

5 12567 Branford Street Warehouse 1992 7,531 10/31/18 $1,985,000 $263.58 N/A Pacoima, CA 91331

Total/Averages $513.19 S Subject Warehouse 1955 8,500 List Price $2,295,000 $270.00 11922 Valerio Street North Hollywood, CA 91605

STAND - A L O N E M 1 INDUSTRIAL BUILDING 12 SALES COMPARABLES 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605

COMPARABLES 1 7254 Coldwater Canyon Avenue 2 5444 Vineland Avenue 5 3 3130 N. Clybourn Avenue 4 12031 Sherman Road 5 12567 Branford Street S 11922 Valerio Street

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STAND - A L O N E M 1 INDUSTRIAL BUILDING 13 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605:: OFFERING MEMORANDUM LOCATION OVERVIEW

STAND - A L O N E M 1 INDUSTRIAL BUILDING 14 NORTH HOLLYWOOD

North Hollywood has transformed into the Valley’s go-to cultural hub over the last decade with an influx of dance studios, art galleries and acting workshops—and now...massive mixed-use communities. The immediate area has experienced a development boom that will continue through 2025.

Due to the city’s sought-after dining, nightlife and artistic lifestyle...demand for housing has reached an all time high. In order to meet the demand for housing, developers have flocked to North Hollywood to build close to $3 billion in mixed use projects from 2015 - 2020.

NoHo West is a massive 25-acre mixed use development project set to reshape the west side of North Hollywood. The project, a joint venture between Merlone Geier Partners and GPI Companies, recreates the failed shopping mall at 6150 Laurel Canyon Boulevard with a mix of low-rise and mid-rise structures containing a mix of rental apartments, offices, and pedestrian-oriented commercial uses.

North Hollywood has experienced a dramatic transformation over the past decade with a steady migration of higher-income residents attracted to the area’s urban amenities, improved schools, and convenient location near key employment and entertainment centers.

DEVELOPMENT SNAPSHOT

$ 3 + B I L L I O N 30+ PROJECTS Invested Since 2010 In the immediate area SUBMARKET OVERVIEW

NORTH HOLLYWOOD OVERVIEW The East San Fernando Valley Submarket is one of the northernmost submarkets in LA, with the Angeles National Forest to its east and the affluent Tri-Cities to the south. Manufacturing has been a staple of the community since the 1970s, and recent growth in logistics has helped offset some of the downsizing and offshoring in the sector. Indeed, strong demand has kept the vacancy rates under 2% for much of this cycle, spurring robust rent growth. Deliveries have been sparse recently and inventory has grown by 2% since 2010—a similar rate as the metro as a whole.

Most transactions are in the $3 million to $6 million range and sales volumes has held steady throughout this cycle. However, a Rexford Industrial purchased a 123,000 SF warehouse for $22.5 million ($183/SF) in July 2018—one of the largest sales executed in the submarket's history. Pricing in the submarket can range from $40/SF to $500/SF.

NET ABSORPTION, NET DELIVERIES & VACANCY

LOS ANGELES TRENDS Transaction activity remains extremely busy in the LA industrial market. Sales volume in 2018 surpassed $5.4 billion—about 7% of the nation’s volume. Outsized rent growth in LA's industrial market has led to increased liquidity, driving rapid cap rate compression and price gains. Investors in the market have been motivated by a multitude of reasons exemplified in some of the largest recent transactions. ▪ Expansion is one motivating factor for recent sales ▪ Another motivating factor is the ability to secure a tenant ▪ A more common motivation involves achieving steady cash flow ▪ Acquiring aging industrial assets in LA to redevelop for multifamily or creative office use has also been a popular investor strategy this cycle The NoHo Arts District is a community in North Hollywood, Los Angeles, California, that is home to contemporary theaters, art galleries, cafes, and shops. The community is generally bounded by Hatteras Street to the north, Cahuenga Blvd to the east, Tujunga Ave to the west, and Camarillo Street to the south. The area features more than twenty professional theaters, producing new work and classics, diverse art galleries, public art, and professional dance studios. The district also features the largest concentration of music recording venues west of the Mississippi. A Metro Rail station is located here, the North Hollywood station of the Red Line, and serves as the terminus of the Metro Orange Line busway.

Business and theater owners in the Universal City/North Hollywood Chamber of Commerce established a theater and arts district in 1992 with support from the Los Angeles Department of Cultural Affairs. They chose "NoHo", a play off the well-known SoHo Arts District neighborhood of New York City.

Today, The NoHo Arts District, in conjunction with greater North Hollywood, is being transformed into a regional center, in large part as a result of the construction of Metro Stations for the Red Line and the Orange Line, two lines that have made the neighborhood into a regional hub for the San Fernando Valley. Medium- and high-density developments are being built around the Metro Station, making the Arts District a center of citywide development, with the intent of creating a walkable urban village. North Hollywood's landscape (and the Art's District as a result) has been transformed in recent years, with condominium towers (including a fifteen-story building on Lankershim Boulevard being built in the midst of older one-story bungalows and small apartment complexes. Three-to-six-story buildings fronting Erwin Street and Radford Avenue at the northeast corner of the development site will comprise up to 742

A transformation is underway for this new mixed-use lifestyle center at the current Macy’s site on residential units, seated atop a basement parking garage. The east side of Laurel Canyon Boulevard at Oxnard Street in North Hollywood. The redevelopment will repurpose the the side will be improved with a new retail paseo, cutting north-to-south existing Macy’s building to serve office and retail uses, and incorporate a walkable main street retail between Erwin and Oxnard Streets. The 190,000 square feet of rentable concept and amenity-rich residential apartments. The design for the site layout weaves the new space will include uses such as a gym, a supermarket, and a multiplex development into the existing fabric of the neighborhood to include shopping, working and leisure cinema. Plans also call for an eight-story parking structure toward the that compliments the active and contemporary NOHO West community. NOHO West will offer western side of the property, with accommodations for up to 2,600 expanded retail shopping opportunities around a large open air plaza, an office building, new vehicles. At the center of the property, a former Macy’s department store is residences and abundant public open spaces. The retail main street may include a mix of regional the lone remnant of the property’s earlier use. The four-story structure is retailers, restaurants and cafes, a specialty market and cinema. This anticipated mix of uses will create being repurposed with more than 500,000 square feet of offices. a unique opportunity to live, work and shop in a walkable, vibrant setting.

STAND - A L O N E M 1 INDUSTRIAL BUILDING 18 ACCESSIBILITY 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605

STAND - A L O N E M 1 INDUSTRIAL BUILDING 19 NORTH HOLLYWOOD DEVELOPMENTS

Offices and Retail Rise at 25-Acre NoHo West Development Over two years after breaking ground, the office and retail component of the immense NoHo West development is now fully framed. The currently under construction buildings - centered on a pedestrian corridor cutting north-to-south between Erwin and Oxnard Streets - will provide 190,000 square feet of commercial space, including a gym, a supermarket, and a multiplex cinema. An eight story, 2,600-car parking structure is located along the western property line, buffering the project from the adjacent SR-170 Freeway. At the heart of the property, a former Macy's department store – the one remaining building from the former Laurel Plaza shopping mall - is being transformed into a four story, 500,000-square-foot office building. The retail and office buildings are being designed by STIR Architecture. Completion is anticipated in Spring 2020. Though the exact tenant mix has not been announced, Trader Joe's will reportedly operate a store at NoHo West. 1

84 Apartments Planned Near North Hollywood Station A strip mall and vacant apartment building in North Hollywood are set to make way for a larger multifamily residential development, according to plans submitted last week to the City of Los Angeles. The proposed development, slated for an approximately 25,000-square-foot site at 11410-11420 W. Burbank Boulevard, would consist of an 84-unit apartment building featuring nine units set aside as extremely low-income affordable housing. Requested Transit Oriented Communities incentives include a reduction to required side-yard setbacks and an increase in allowable height at the property, which sits two blocks north of Metro's North Hollywood Station. The existing building, constructed in the 1960s, features six residential units. City records show that the property was vacated via the Ellis Act in 2007.

$52-Million Permanent Supportive Housing Campus Completed in Sun Valley Non-profit developer and service provider LA Family Housing has completed construction of a $52- million permanent supportive housing development in Sun Valley. The Irmas Family Campus, billed as the first facility of its kind in the San Fernando Valley, replaced a motel at the corner of Lankershim Boulevard and Arminta Street. In addition to 49 units of permanent supportive housing, the facility includes a 6,000- square-foot health center - operated by Northeast Valley Health Corporation - bridge housing for families and individuals, service centers for Neighborhood Legal Services, the Veterans Administration, the Los Angeles Unified School District, and other city agencies, and administrative offices for LA Family Housing. “The Campus is the physical manifestation of our three decades of work and best practices in helping families and individuals transition out of homelessness,” said LAFH President and CEO, 3 Stephanie Klasky-Gamer.

STAND - A L O N E M 1 INDUSTRIAL BUILDING 20 NORTH HOLLYWOOD DEVELOPMENTS

103-Unit Sun Commons Development Heads to City Planning Commission At its meeting this week, the Los Angeles City Planning Commission is scheduled to take up consideration of Sun Commons, a proposed affordable housing development in the San Fernando Valley. The project from non-profit developer Abbey Road, Inc. calls for replacing five single-family homes and two school buildings at the intersection of Clybourn Avenue and Dubnoff Way with a four-story, 103-unit apartment complex catering to households making at or below 30 and 60 percent of the area median income. The low rise structure would sit atop a single level of basement parking, offering accommodations for up to 106 vehicles. Designed by KFA Architecture, Sun Commons would have a V- shaped footprint, with apartments wrapping a central courtyard area. Floor plans also show other open spaces to be located on outdoor terrace levels atop the building. 4

20 Small Lot Houses Take Shape in North Hollywood Another small lot subdivision is fully-framed in North Hollywood. The project, called Cue NoHo, comes from developer Warmington Residential. Plans call for 20 single-family residences at 10907 Otsego Street, each of which will feature two bedroom floor plans between 1,571 and 1,788 square feet in size, with two-car garages and rooftop decks. Designed by Modative, the houses are all portrayed as contemporary three-story structures. Completion is anticipated in Summer 2019. The Cue development is located not far from Morrison 14, another small lot subdivision which opened last year just off of Lankershim Boulevard. Warmington, which was founded in Southern California in 1926, recently completed a different small lot project in the Eagle Rock area. 5

Street-Running Alternative Emerges as Favorite for North Hollywood-Pasadena BRT The project area - an 18-mile corridor which includes the cities of Los Angeles, Burbank, Glendale, and Pasadena - currently sees more than 700,000 daily trips. Approximately $267-million in funding has been identified for the project from Measure M and SB-1 gas tax revenue. Metro has considered multiple routes for the BRT line, including street-running alignments, freeway running alignments, and hybrids of the two. An alternatives analysis submitted to the Metro Board indicates that based on a variety of criteria - including ridership potential and connectivity – a street-running route has been determined to be the most promising option. A project map shows that buses would travel on a variety of major thoroughfares, including Colorado Boulevard through Eagle Rock, Glenoaks Boulevard through Glendale, Olive Avenue through Burbank, and Riverside Drive in North Hollywood. 6

STAND - A L O N E M 1 INDUSTRIAL BUILDING 21 NORTH HOLLYWOOD DEVELOPMENTS

119-Unit Development Planned in North Hollywood In November 2017, the North Hollywood property that was once Debbie Reynolds' dance studio sold to investor Alan Kleinman for $6.1 million. A filing made last week with the Los Angeles Department of City Planning sheds light on his plans for the 19,000-square-foot site. Kleinman, through an entity called Lankershim Hamlin, LLC, intends to construct a mixed-use apartment complex on the property, which is located at 6514 Lankershim Boulevard. The project's case filing calls for the construction of a building featuring 119 residential units and 4,800 square feet of ground-floor retail space. Entitlements are being sought with Transit Oriented Communities affordable housing incentives, with requests for additional height and a reduction of side yard setbacks. The project site is located in a Tier 1 TOC zone. 7

27 Small Lot Houses Break Ground in North Hollywood A groundbreaking ceremony was held yesterday for Outline at NoHo, a new small lot development in North Hollywood. The project, consisting of 27 single-family dwellings, is rising on a property at 11312-11326 Victory Boulevard. The three-story buildings will be arranged in rows surrounding a common driveway. Each of the homes will feature three-bedroom floor plans, ranging between 1,624 square feet and 1,846 square feet, with two-car garages and rooftop decks. Renderings depict a contemporary design for Outline, with open floor plans, high ceilings, and modern finishes. Sales prices are expected to begin in the high $600,000s.

65-Unit Apartment Complex Planned Near North Hollywood Metro Station A mid-century apartment building near Metro’s North Hollywood Station could make way for a larger multifamily residential development, according to a filing made last week with the City of Los Angeles. The project site, located at 5110 Bakman Avenue, is slated for the construction of a 65-unit building featuring 51 market-rate apartments and 14 units reserved as affordable housing at the low-, very low-, and extremely low-income levels. Applicant Nir Paz proposes to replace 14 existing units in a two-story structure. City records list the project's representative as the architecture firm Apel Design, Inc. A flythrough video posted to the company's website depicts a five-story structure colored red, white and blue. Additional details regarding the project are currently unclear. 9

STAND - A L O N E M 1 INDUSTRIAL BUILDING 22 NORTH HOLLYWOOD DEVELOPMENTS 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605

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STAND - A L O N E M 1 INDUSTRIAL BUILDING 23 SFV MAJOR EMPLOYERS 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605

FORTUNE 500/1000 COMPANIES DOLE ❖ AMGEN ❖ NORTHROP GUMMAN ❖ TELEDYNE TECHNOLOGIES ❖ TUTOR PERINI ❖ PUBLIC STORAGE ❖ AVERY DENNISON ❖ HEALTHNET

2022 JOINT VENURE

OTHER MAJOR FIRMS HINES ❖ KEYES ❖ ANTHEM ❖ ALLISON ASSET ❖ BURBANK STUDIOS ❖ WESTFIELD ❖ RYLAND HOMES ❖ KAISER PERMANENTE ❖ WARNER BROS ❖ ADLER REALTY ❖ MARVEL ❖ ABC

STAND - A L O N E M 1 INDUSTRIAL BUILDING 24 SAN FERNANDO VALLEY 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605

SAN FERNANDO VALLEY DEMOGRAPHICS 1 Mi. 3 Mi. 5 Mi. Almost 2.5 million people reside in the San Fernando Valley, which includes the POPULATION submarkets of Northridge-Northwest San Fernando Valley; Van Nuys-Northeast San Fernando Valley; Woodland Hills; Burbank-Glendale-Pasadena; as well as 2024 Projection 39,720 200,203 534,156 Sherman Oaks-North Hollywood-Encino. The area’s population is expected to 2019 Estimate 38,241 196,803 521,826 increase by 1.9 percent through 2019, or by nearly 45,000 new residents. Growth % 3.87% 1.73% 2.36% HOUSEHOLDS ENTERTAINMENT INDUSTRY 2024 Projection 15,868 69,760 185,721 Known for its entertainment industry, the Valley boasts more than 100 soundstages. Entertainment giants calling the Valley home include Walt Disney 2019 Estimate 15,278 68,681 181,780 Co., Universal Studios, Warner Brothers, DreamWorks and Paramount Ranch. Growth % 3.86% 1.57% 2.17% The entertainment industry continues to set the area’s economic pulse. Local INCOME motion picture and entertainment companies employ roughly 25,000 people. 2019 Avg. HH Income $83,253 $94,161 $90,430 2019 Med. HH Income $63,601 $69,693 $65,599 LIMITLESS OPPORTUNITIES While the Valley has grown into the world’s center for entertainment, aerospace giants Boeing and Northrop Grumman, and 21st Century Insurance also generate numerous well-paying jobs. Healthcare is a also a major source of SAN FERNANDO VALLEY COMPANY HEADQUARTERS employment with providers that include Kaiser Permanente, and Providence

Health & Services. As a result of its large concentration of high-salaries and FORTUNE successful companies, the area’s median household income of $59,300 per year 500/1000 has risen dramatically since 2000. Although the median home prices dipped during the recession, affordability remains a challenge for much of the local OTHER MAJOR population. High home prices keep the homeownership rate near 50% in the San FIRMS Fernando Valley and provide a large rental base.

STAND - A L O N E M 1 INDUSTRIAL BUILDING 25 Stand-Alone M1 Industrial Building 1 1 9 2 0 - 11922 VALERIO STREET, NORTH HOLLYWOOD CA 91605:: OFFERING MEMORANDUM