DOWNTOWN counts 2017 INSIDE DOWNTOWN SNAPSHOT 5 RESIDENTIAL 6 OFFICE 10 EMPLOYMENT AND INDUSTRY 14 RETAIL AND RESTAURANTS 16 HOSPITALITY AND TOURISM 20 ARTS AND CIVIC LIFE 24 TRANSPORTATION AND ACCESS 28 SUSTAINABILITY 32 HEALTHCARE 36 EDUCATION 40 INVESTMENTS AND CAPITAL IMPROVEMENTS 44 DOWNTOWN 2031: REAL ESTATE FORECASTS 49 Downtown Snapshot DOWNTOWN ATLANTA ABOUT "DOWNTOWN COUNTS" Up-to-date and chock full of useful statistics about the heart of the city, Downtown Counts provides a glimpse into some of Downtown's greatest assets, latest trends, as well as opportunities for growth. The full report can be found and downloaded from www.atlantadowntown.com Downtown Makes Headlines Georgia State, developers, complete purchase of Turner Field - Atlanta Business Chronicle Startup CallRail expands in downtown Atlanta, plans 100 jobs - Atlanta Business Chronicle South Downtowncould get massive boost with eight-block development -Atlanta Business Chronicle Downtown's Kiser Building to be Reborn as Apartments - Curbed Post Properties develops its first Downtown Project -Atlanta Business Chronicle Why Tech Tenants are Attracted to Atlanta's Urban Core - LinkedIn 71 Study: Atlanta's is nation's 3rd greenest city - Atlanta Business Chronicle The Stitch: An ambitious proposal to build parks and housing above the Downtown Connector - Atlanta Magazine Incubator for Women Entrepreneurs coming to Flatiron Building - Atlanta Business Chronicle Downtown Snapshot population households average age 29.8 average household income 26,850 11,985 $59,492 housing units under construction or number of jobs Downtown number of annual visits to Downtown in the pipeline 8.7 million at attractions 1.1 million at concerts/shows 1.6 million at conventions 10,347 154,767 4.0 million at sporting events rental housing occupancy rate Class A Office Rental Rate (avg.) hotel occupancy rate (Tier 1 Hotels) 93.8% $1.34 Average rent per s.f. $25.37 72.1% number of students Downtown and dedicated bike lanes MARTA average weekday ridership surronding neighborhoods 40,527 65,000+ 7.4 miles at Downtown stations average walk score investment Atlanta Better Buildings Challenge 2007-2017 88 $3.9 B 71 79 $4.4 B Investment pipeline 43.9 mil sf committed to the challenge transit score bike score 2017-2022 Sources: Bleakly Advisory Group, ESRI 2016 Report, Jones Lang LaSalle, MARTA, WalkScore, CAP Live Rooftop of Kessler City Lofts Downtown Living Downtown Atlanta is a thriving place with a growing residential population and an established group of office workers, students, visitors and conventioneers. Downtown Atlanta experienced a modest increase in its residents in the past five years. Who is behind this increase? Young, upwardly mobile residents who are attracted to Downtown's easy accessibility to work and play, popular entertainment venues, walkability and affordable housing options. The Office Apartments A variety of housing options exist in Downtown Atlanta, ranging from townhomes to historic lofts to garden apartments to high-rise condominiums. Residents enjoy crisp skyline 26,850 views, inviting parks and streetscapes, and the convenience of restaurants, nightlife, and sports Downtown population venues all within walking distance. The many distinct neighborhoods of Downtown offer unique charm unlike anywhere else in the City. Where will you call home? 1.8% average annual growth "The main thing that attracted me to living (2010-2016) Downtown was the convenience to my work and other amenities like proximity and easy access to restuarants, bars, and sporting events. I looked Atlanta named at several other properties elsewhere in the City, but Downtown won over the rest because o. 1 you really just cannot beat the convenience. Not "N city for homebuying millenials" many people can say they walk to work! I love it." - Rachel, Downtown Resident Sources: Bleakly Advisory Group, Realtor.com Residents Residents Historic and Projected Annual Population Growth Rate, 2000-2021 2.5% 2.2% 26,850 2.0% 2.0% 1.8% people live Downtown 1.6% 1.4% 1.5% 1.3% 1.2% 1.1%1.1% Including: 0.9% 18,250 (68%) in 11,985 1.0% households 0.5% 0.2% 0.0% 0.0% 8,600 (32%) in group quarters Avg. Annual Growth 2000-2010 Avg. Annual Growth Est. 2010-2016 Avg. Annual Growth Forecast 2016-2021 Downtown Core (BAG Est.) Greater Downtown (Nielsen Est.) City of Atlanta Metro Atlanta Households By Age, 2016 Population by Race/Ethnicity Digitals (0-13) Millennials (14-32) White 35.8% Generation X (33-51) Downtown Black 50.6% Demographics Boomers (52-70) Pacific Islander Silent (71-84) 0.1% Two or More Asian 8.6% Races Other 3.2% 1.4% Greatest (85+) American Indian 0.2% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% Downtown Core Greater Downtown City of Atlanta Metro Atlanta Affordability of U.S. Cities Cost Costof Living of Living IndexIndex 200 176.4 180 160 140 119.5 112.8 112.3 109.6 120 99.9 96.4 96.1 96.0 95.9 94.3 100 percent 80 60 40 20 0 The W Residences Sources: Bleakly Advisory Group (BAG), ESRI 2016 Data, Council for Community and Economic Research Housing Downtown Core Multifamily Rental Market Downtown Housing Inventory 10000 9000 8926 8000 7000 7368 6000 5000 4884 4000 3000 2000 1000 510 0 Apartments Condominiums University Owned Private Student Housing Housing NEW STOCK IN 2016-2017 City Lights 80 units Fulton Supply Lofts 74 units Lucy Street Townhomes 4 units $1,492 $1.54 97.1% Water Tower Stacks 10 units average monthly rent average rent per sf occupancy rate TOTAL 168 units For Class A apartment units Highest occupancy rate than any other intown market UNDER CONSTRUCTION The Byron 65 units Castleberry Park 122 units Distribution of Existing Housing, By Tenure, 2016 Four15 Stacks 24 units 100% The George 130 units 90% 27% Grant Park Apartments 325 units 80% 40% 44% The Kiser Loft Apartments 40 units 70% 66% The Parker 238 units 60% Post Centennial 438 units 50% 73% TOTAL 1,382 units 40% 73% Downtown 30% 60% 56% 20% households are PLANNED 34% 10% renters An additional 9,600 units are planned for development in and 0% Downtown Core Greater Downtown City of Atlanta Metro Atlanta adjacent to Downtown Atlanta over the next five years. % Renters % Owners $218,580 average home value within one mile of Downtown The Byron Sources: Haddow & Associates, 1Q 2017 Intown Market Report, Bleakly Advisory Group, ESRI 2016 data, CAP Housing Investment Database Work Woodruff Park looking at 100 Peachtree Office and Employment CAP is dedicated to promoting the economic vitality of Downtown Atlanta through retention of existing businesses and recruitment of new and emerging industries. Downtown is where the region comes to work, boasting over 154,000 jobs in just four square miles. From sleek Class A offices to funky, creative loft space, you are bound to find a home here in Downtown. Home to four Fortune 500 companies Switchyards Downtown Club headquarters, Downtown Atlanta is an economic driver in our region and home to some of the country's largest corporations such as The Coca- Cola Company, Georgia-Pacific, Deloitte, and 15,000,000 Turner Broadcasting System. But big business is not all Downtown is known for. Small business square feet of Class A and B space and entrepreneurship have also found fertile representing ground in some of Downtown's oldest and 32% of the city's office space most unique buildings - such as FlatironCity and Switchyards Downtown Club. With the Downtown office market experiencing Downtown Office Rent Growth rent growth, now is the time to discover why so many are calling Downtown their home for expansion and innovation. 25% over the past five years "All entrepreneurs like to be able to spot the next big thing. I think Downtown is the next great home to neighborhood for creative talent 5,904 business in the city." source: Bleakly Advisory Group, ESRI 2016 data, Jones Lang LaSalle (JLL) - Michael Tavani, Founder of Switchyards Downtown Club Office Occupancy Rates, 2Q-2017 100% 80% 60% 40% 84.5% 84.6% 83.4% 86.9% 88.1% 80.1% 84.1% 78.4% 79.7% 71.1% 78.0% 79.0% 20% 0% Downtown Buckhead Midtown Metro Class A & B Class A Class B "We love being Downtown because of the sense of connection to the city-both historic Atlanta and the city we're becoming. It feels like there's an energy here that is really starting to coalesce around a central point, and we like being in the thick of that.” - Lauren Morris, SimplePart FlatironCity SIGNIFICANT OFFICE SALES Small Business, Big Opportunity Building Buyer Price/S.F. Date American Cancer Society Carter Validus $167 June 2017 29% employ 100 Peachtree Zeller Realty $128 May 2017 more than 191 Peachtree Banyan Street Capital $163 October 2016 100 SIGNIFICANT OFFICE LEASING 71% employ less than DOWNTOWN Tenant Building S.F, Sign Date 100 BUSINESSES Anthem Bank of America 148,192 3Q-2016 Georgia's Own Credit Union 100 Peachtree 100,000 3Q-2016 Drew Echl Farnham SunTrust Tower 65,000 2Q-2016 Atlanta Regional Commission Peachtree Center 41,381 1Q-2017 C.H. Robinson Centennial Tower 20,000 3Q-2017 Sources: JLL 2Q2017 Office Report, BusinessWise Office Unprecedent Rent Growth Propels Downtown Forward Average Rent Growth, 2011-2016 Class A and B 45.0% 35.0% 25.0% 15.0% 5.0% -5.0% 2011-12 2012-13 2013-14 2014-15 2015-16 2011-2016 Downtown Midtown Buckhead "The vibrancy and energy of the Downtown Class A and B Rental Rates community flows through our work, energizing our 35.00 $33.28 ideas. Our location serves as a great recruiting tool, 30.00 $30.37 and our team loves the variety of walkable lunch 25.00 $23.94 options and easy access to MARTA for car-free 20.00 commuting.