7± ACRE SITE 6 INDUSTRIAL BUILDINGS 3005 55,500 TOTAL SQUARE FEET LOCATED IN THE NEVILLE ISLAND/ GRAND AVENUE PARKWAY WEST INDUSTRIAL CORRIDOR NEVILLE ISLAND | PITTSBURGH, PA 15225 NEAR PITTSBURGH INTERNATIONAL AIRPORT FOR SALE: INDUSTRIAL INVESTMENT REDEVELOPMENT OPPORTUNITY 01 | PROPERTY OVERVIEW 1 2 3 FUTURE SHELL PROPERTY OVERVIEW CRACKER PLANT Great redevelopment site on Neville Island, located less than two miles from Interstate 79. This property features six (6) buildings situated on nearly seven acres of flat land. The site currently functions as a light-industrial building, ideally suited for various uses including contractor operations, light manufacturing, warehousing, and vehicle/ equipment maintenance. The property offers clear-span warehouse/shop space and fully conditioned office space. 3005 Grand Avenue This opportunity gives an investor an exclusive opportunity to acquire a 7-acre site in the heart of Neville Island with over 500 feet of frontage on Grand Avenue. This coveted location has been an industrial epicenter for over 100 years in and of Pittsburgh’s rich steel industry. This is an incredibly rare opportunity to own a piece of Neville Island that will only continue to appreciate with time. The property is located directly off of I-79 (the main North and South highway system running through Pennsylvania), and just minutes from Pittsburgh’s CBD, adjacent to the Parkway West premium office corridor and Pittsburgh International Airport. PITTSBURGH CBD PROPERTY DETAILS SITE DESCRIPTION UTILITIES 3005 Grand Avenue Allegheny Power and Duquesne Light - ELECTRICITY LOCATION Neville Township 480v 3p Heavy Power Allegheny County, Pennsylvania NATURAL GAS Columbia, Equitable and Peoples SITE AREA 6.93 total acres Three (3) parcels: WATER PA-American, Local Municipal Authorities 3005 Grand Ave: 212-L-90 (1.14 acres); BLOCK AND LOT NO. 2983 Grand Ave: 212-M-395 (2.97 acres); 2901 Grand Ave: 212-R-3 (2.82 acres) SEWER ALCOSAN, Local Municipal Authorities PRESENT USE Light Industrial Facility ON-SITE IMPROVEMENTS Six (6) buildings of various size and configuration INCENTIVES TOTAL BUILDING SF Total 55,500 square feet Designated Opportunity Zone Property FRONTAGE Over 500 feet of frontage along Grand Avenue Rail spur can be added – Pittsburgh & Ohio Central ACCESSIBILITY Railroad (short-line) FOR SALE $3,500,000 3 02 | LOCATION OVERVIEW NEVILLE ISLAND NEVILLE ISLAND/PARKWAY WEST PITTSBURGH OFFICE HEADQUARTERS 3005 Grand Avenue PENN CENTER WEST NAP The Parkway West Corridor is the largest and most popular office submarket in the Pittsburgh region. Tenants prefer this submarket due to ease of access, proximity to the Pittsburgh International Airport, nearby affluent suburbs and abundance of amenities. Major regional and national corporate headquarters located in the corridor include: FedEx Ground, Dick’s Sporting Goods, Chevron, Bayer Corporation, Thermo Fisher Scientific, Comcast, PNC Bank, Verizon, Computer Associates, Lanxess Corporation and Cigna. 5 ROBINSON CROSSROADS ROBINSON TOWN CENTRE THE MALL AT ROBINSON ADDITIONAL RETAIL AND RESTAURANTS AMPLE RETAIL AMENITIES MINUTES AWAY The Parkway West Retail Market is one of Pittsburgh’s largest and most dominant retail markets with a GLA of over 6,820,700 square feet of space. 3005 Grand Avenue 66,000 CPD POINTE AT NORTH FAYETTE SETTLERS RIDGE RESTAURANTS WITHIN 1 MILE SAM’S CLUB RADIUS OF PENN CENTER WEST WAL-MART SUPERCENTER AREA MAP AND DISTANCES TO MAJOR POINTS OF INTEREST FUTURE SHELL CRACKER PLANT 3005 Grand Avenue KEY DISTANCES Interstate 79 On-Ramp 0.8 Miles ± 2 Minutes Pittsburgh CBD 11 Miles ± 24 Minutes Pittsburgh Int’l Airport 11.2 Miles ± 20 MInutes Future Shell Cracker Plant 23 Miles ± 38 Minutes 7 03 | MARKET OVERVIEW CBRE Econometric Advisors Industrial Outlook Pittsburgh Q2 2018 Pittsburgh - Overview Pittsburgh The population of the Pittsburgh area stands at 2.34 million, 32nd largest of the industrial markets The Pittsburgh market is defined as CBRE EA tracks. The average per capita income (according to recent data from Moody's Allegheny, Armstrong, Beaver, Butler, Fayette, Washington and Economy.com) is estimated to be $54,706 - approximately 5% above the national average. Total Westmoreland counties in employment stands at 1.19 million workers. Pennsylvania. Key Statistics Level Rank 1-Quarter Change Metro All Mkts Population (mil.) 2.34 32 Total Employment Growth Total Employment (mil.) 1.19 29 Manufacturing Emp. Total Inventory (msf) 172.7 39 Distribution Emp. Manufacturing 54.2 23 Completion Rate WarehousePITTSBURGH INDUSTRIAL 96.6MARKET 40OVERVIEW Under Construction R&D 19.2 28 Absorption Rate Capital Markets Summary Availability Rate (%) 8.9 52 Availability Rate TW Rent Index ($/sf) 6.30 29 TW Rent Inflation Pittsburgh CBRE EconometricU.S. Advisors Industrial Market Forecast Volume ($ mil, U.S.: $ bil) The short-termIndustrial forecast calls for an overall Outlook decline in manufacturing and distribution workers. 32 Total net absorption is forecasted to be a positive 2.2 million square feet, out-pacing supply during 14.1 the same period. By year-end 2019, the availability rate is expected to be 8.4% while rents are 23 Pittsburgh 12.2 forecasted to grow - reaching $6.56 compared to current market rents of $6.30. 2Q '17 2Q '18 2Q '17 2Q '18 Q2 2018 Pittsburgh Forecast Summary: Q2 2018 # Properties Demand Supply Performance Pittsburgh - Overview Pittsburgh New Jobs Net Absorp Absorp Deliveries Compl Avail TW Rent Rent 2 2 932 The populationMfg of Distributionthe Pittsburgh(sf area x 1000) standsRateat (%)2.34(sf million, x 1000) 32ndRate largest (%) Rateof the (%) industrial($/sf) marketsInfl (%) The Pittsburgh market is defined as 2017PITTSBURGHCBRE EA300 -tracks. OVERVIEWThe800average per-367 capita-0.2 income (according767 to0.5recent8.8 data from6.23 Moody's7.1 Allegheny, Armstrong, Beaver,892 Butler,2Q '17Fayette, 2Q '18Washington2Q '17 and 2Q '18 2018FTheEconomy.com) population100 of the Pittsburghis estimated-100 area standsto be at 2.34$54,706912 million, 32nd - approximately0.6 largest of the industrial6535% above markets0.4 CBRE the nationalEA8.6 tracks. The average.6.39 average perTotal 2.6capita income (according to recent data from Moody’s Economy.com) is estimated to be $54,706 - approximately 5% above the national average. Westmoreland counties in Q1Totalemployment employment200 stands at at1.19-400 1.19 million million workers. workers.380 0.2 160 0.1 8.6 6.26 0.5 Pennsylvania.Price per Square Foot ($) Q2 200 100 -439 -0.3 12 0.0 8.9 6.30 0.6 12-mo. rolling avg. Key Statistics Level Rank 1-Quarter Change Metro All Mkts Q3F -200 100 688 0.4 375 0.2 8.7 6.37 1.1 Population (mil.) 2.34 32 Total Employment Growth 91 69 Q4F -100 100 283 0.2 106 0.1 8.6 6.39 0.3 Total Employment (mil.) 1.19 29 Manufacturing Emp. 56 2019F -1,400 0 1,259 0.8 1,012 0.6 8.4 6.56 2.7 86 Total Inventory (msf) 172.7 39 Distribution Emp. Historical Performance (1980 - Present) 2Q '17 2Q '18 2Q '17 2Q '18 Manufacturing 54.2 23 Completion Rate Min -26,900 -6,500 -6,294 -5.5 169 0.1 7.3 2.08 -26.9 Cap Rate (%) Warehouse 96.6 40 Under Construction Max 6,800 3,800 10,643 9.0 2,454 1.6 28.5 6.30 23.6 12-mo. rolling avg. R&D 19.2 28 Absorption Rate Capital Markets Summary Mean -3,500 100 1,177 1.0 1,001 0.7 16.2 4.35 2.7 Availability Rate (%) 8.9 52 Availability Rate 7.5 6.6 Historical minimum, maximum, and average values for each variable are provided to put current 6.3 TW Rent Index ($/sf) 6.30 29 TW Rent Inflation Pittsburgh 5.9 market performance in perspective. The time period from which these values are calculated is 2Q '17U.S. 2Q '18 2Q '17 2Q '18 1980 (or the earliest year of available data) to the current year. CBRE EA expects net absorption to beIndustrial higher than Market long-term Forecast averages during the forecast, though still below historical peaks. Source:Volume ($Real mil, Capital U.S.: $ bil)Analytics, Inc. Transactions $5 million and greater The short-term forecast calls for an overall decline in manufacturing and distribution workers. 32 Total net absorption is forecasted to be a positive 2.2 million square feet, out-pacing supply during 14.1 Copyrightthe same© 2018,period. CBRE, Inc.By year-end 2019, the availability rate is expected to be 8.4% while rents are 23 12.2 forecasted to grow - reaching $6.56 compared to current market rents of $6.30. 2Q '17 2Q '18 2Q '17 2Q '18 Pittsburgh Forecast Summary: Q2 2018 # Properties Demand Supply Performance New Jobs Net Absorp Absorp Deliveries Compl Avail TW Rent Rent 2 2 932 Mfg Distribution (sf x 1000) Rate (%) (sf x 1000) Rate (%) Rate (%) ($/sf) Infl (%) 2017 300 800 -367 -0.2 767 0.5 8.8 6.23 7.1 892 2Q '17 2Q '18 2Q '17 2Q '18 2018F 100 -100 912 0.6 653 0.4 8.6 6.39 2.6 Q1 200 -400 380 0.2 160 0.1 8.6 6.26 0.5 Price per Square Foot ($) Q2 200 100 -439 -0.3 12 0.0 8.9 6.30 0.6 12-mo. rolling avg. Q3F -200 100 688 0.4 375 0.2 8.7 6.37 1.1 91 69 Q4F -100 100 283 0.2 106 0.1 8.6 6.39 0.3 56 2019F -1,400 0 1,259 0.8 1,012 0.6 8.4 6.56 2.7 86 Historical Performance (1980 - Present) 2Q '17 2Q '18 2Q '17 2Q '18 Min -26,900 -6,500 -6,294 -5.5 169 0.1 7.3 2.08 -26.9 Cap Rate (%) Max 6,800 3,800 10,643 9.0 2,454 1.6 28.5 6.30 23.6 12-mo.