DATRANcenter Miami FL OFFERING SUMMARY DATRANcenter LEASE-TO-CORE CLASS A OFFICE COMPLEX WITHIN COVETED DADELAND MARKET OFFERING UNMATCH URBAN CONNECTIVITY Holliday Fenoglio Fowler, L.P. (“HFF”), is pleased to exclusively offer the opportunity to acquire Datran Center (the “Property”)—a 472,794 square foot, Class A office complex located in one of Miami’s most desirable markets— Dadeland. The Property is situated at the epicenter of the Dadeland Triangle, an urban infill location bounded by three of Miami’s most heavily trafficked thoroughfares and proximate to the 1.4 million-square foot Dadeland Mall— one of the highest grossing malls in the United States. Datran Center is surrounded by a dense concentration of mixed-use development containing 2.0 million square feet of office space, over 2.2 million square feet of existing retail, and over 3,000 existing and under construction residential units within numerous mid- and high-rise buildings. Moreover, Datran Center boasts unparalleled accessibility from virtually anywhere within Miami-Dade County as part of the Dadeland South Metrorail Complex, Miami’s rapid rail transit system utilizes to link the greater Miami region. This offering represents an extraordinary opportunity to acquire two Class A office buildings that have a combined occupancy of 81% and provide immediate value creation opportunities through the lease-up of available space and mark-to-market of existing rental rates in one of Miami’s strongest commercial and residential market. PROPERTY FACTS One Datran Two Datran Total Street Address 9100 S Dadeland Boulevard 9130 S Dadeland Boulevard City, State Miami, FL 33156 Miami, FL 33156 Year Built/Renovated 1984/2003 1986/2003 - Net Rentable Area 256,656 216,138 472,794 BOMA Remeasured Rentable Area 270,246 217,577 487,823 Site Area 2.70 acres 1.87 acres 4.57 acres Number of Stories 18 stories 20 stories - Leased % 89% 72% 81% Finished Ceiling Height 9 feet 9 feet - Parking Spaces 650 spaces 802 spaces 1,452 spaces Parking Ratio 2.5 per 1,000 SF 3.7 per 1,000 SF 3.0 per 1,000 SF Leasehold Interest The leasehold interest underlying Datran Center is with Miami-Dade County with an initial lease expiration of December 31, 2038. The ground lease will be automatically renewed at the end of the initial term for an additional 44 years (December 31, 2082). Downtown Miami Brickell Coral Gables South Miami South Miami 5 6 874 8 Dadeland SNAPPER CREEK EXPRESSWAY 4 Metrorail Station North Dadeland Mall Pinecrest 2 PALMETTO EXPRESSWAY 1 826 7 3 DATRANcenter 7 1 2 Dadeland DADELAND OFFICE MARKET Metrorail 1 One Datran Center Station South 2 Two Datran Center 3 R 3 Dadeland Centre I 4 Dadeland Centre II 5 9350 Financial Center 6 One Dadeland Center 7 Dadeland Town Center I 4 RESIDENTIAL 1 Downtown Dadeland 2 Toscano at Dadeland 3 Metropolis One & Two 4 Colonnade Dadeland 5 Alta Dadeland 5 6 Modera Dadeland 6 7 Pearl Dadeland 8 Towers at Dadeland OFFERING HIGHLIGHTS IRREPLACEABLE TROPHY LOCATION Datran Center enjoys an irreplaceable strategic location within one of the largest business and shopping districts south of Downtown Miami—Dadeland. Few submarkets in the Southeast boast the immediate residential and commercial density, proximity to affluent neighborhoods, access to mass transit and major highway systems. The opportunity to reposition and enhance the return profile of this Class A office complex is limitless as evidenced by the recent developments and current statistics within the immediate area. PREFERRED SUBURBAN OFFICE COMPLEX As one of the original components of the Dadeland South Metrorail Station, Datran Center is an easily identifiable landmark with an exceptional reputation within the market. This Class A office complex benefits from a well-maintained physical plant with prolonged institutional ownership that has invested nearly $4.5 million in capital over six years to enhance and improve the marketability of the complex. It features exquisite interior finishes along a 3-story atrium lobby and state-of-the-art conference facilities. Additionally, it is LEED Gold-certified and has been ENERGY STAR rated for eight consecutive years for its operating efficiency. LEASE-TO-CORE UPSIDE OPPORTUNITY With a combined occupancy of 81% and 90,042 square feet of available space, a new owner has the ability to create significant and immediate value through an aggressive lease-up strategy. The average occupancy of competing Class A office buildings within the submarket is greater than 90%. The office complex offers enough available square footage to transform the assets and enhance the return profile. Downtown Miami Brickell Coral Gables South Miami South Miami UNRIVALED URBAN CONNECTIVITY 5 6 Datran Center is a part of the Dadeland South Station of the Metrorail, Miami’s rapid rail transit system. Metrorail’s 23 874 8 Dadeland SNAPPER CREEK EXPRESSWAY 4 Metrorail stations connect Dadeland with Coconut Grove, Coral Gables, Miami’s Brickell Financial District, Downtown Miami, Station North Dadeland Mall Miami International Airport and stretch as far north and west as Hialeah and the Palmetto, respectively. Importantly, Pinecrest the Dadeland South Metrorail Station provides the luxury of quick, convenient transportation to Downtown Miami in 2 PALMETTO EXPRESSWAY 1 roughly 15 minutes, allowing professionals access in the otherwise congested ingress and egress to the Miami CBD. 826 In addition, Miami-Dade County Transit and Parks, Recreation and Open Spaces Departments, in partnership with 7 3 DATRANcenter Friends of The Underline, are working together on a master plan for The Underline—a 10-mile stretch of biking and 7 pedestrian trails and park spaces located beneath the county’s Metrorail between the Miami River north of Brickell and Dadeland South stations. 1 2 Dadeland ONE OF MIAMI’S PREMIER LIVE + WORK + PLAY NEIGHBORHOOD DADELAND OFFICE MARKET Metrorail 1 One Datran Center Station South The Dadeland area is home to world class restaurants and shopping destinations, Class A office buildings, international 2 Two Datran Center 3 R 3 Dadeland Centre I hotel chains and luxury multifamily all intertwined to, create a walkable, urban environment that is unmatched by 4 Dadeland Centre II 5 9350 Financial Center any community in southern Miami-Dade County. Simon Property Group’s Dadeland Mall, a 1,448,000 square foot 6 One Dadeland Center 7 Dadeland Town Center I 4 super regional shopping center anchored by Saks Fifth Avenue and Nordstrom, and one of the Company’s trophy RESIDENTIAL 1 Downtown Dadeland assets, boasts sales of over $1,000 per square foot and is located within walking distance to Dadeland’s core, 2 Toscano at Dadeland 3 Metropolis One & Two adding to the numerous amenities and options offered by the vast array of street level retail and dining options in 4 Colonnade Dadeland 5 Alta Dadeland 5 the neighborhood. 6 Modera Dadeland 6 7 Pearl Dadeland 8 Towers at Dadeland PREDICTABLE AND APPRECIATING INCOME STREAM Datran Center offers a unique combination of secure in-place cash flow with contractual rent increases and significant growth opportunity through the lease-up of vacant space and mark-to-market opportunities in a strengthening market. NOI is projected to increase by 67% over the 10-year projection, an impressive 5.6% compounded annual growth rate. STRONG AND DIVERSIFIED TENANT ROSTER Datran Center possesses an outstanding investment profile, offering dynamic tenant diversification complemented by excellent duration. The 472,794 square foot office complex features a rent roll of nearly 70 tenants. Equally impressive is a weighted average remaining lease term for the five largest tenants of over 9.8 years. The total office complex boasts a weighted average remaining lease term of 6.6 years. No single tenant occupies more than 15.1% of the net rentable area and less than 25% of the property rolls over within the first several years. MAJOR TENANTS Tenant Industry Area (SF) % of Property Notes Preferred Care Partners Healthcare 71,366 15.1% S&P: A, $11.4B market cap MDM Hotel Group Hospitality 32,767 6.9% - Ace American Insurance 24,352 5.2% S&P: AA, $34.2B market cap AXA Advisors Financial 20,268 4.3% S&P: A, $64.2B market cap Regus Executive Suites 15,558 3.3% $2.3B market cap Klein Glasser Park Lowe Legal 11,484 2.4% - Liberty Mutual Insurance 10,911 2.3% S&P: A Markowitz Legal 9,009 1.9% - Horr Novak & Skipp Legal 8,081 1.7% - Binstock Rubin Legal 7,794 1.6% - Verifone Telecommunications 7,461 1.6% S&P: BB, $4.4B market cap Brown Sims Legal 7,167 1.5% - Avon Products Cosmetics 7,042 1.5% S&P: BB, $2.8B market cap Sabadell United Bank Financial 3,507 0.7% S&P: BB+, $11.8B (EUR) market cap Morgan Stanley Financial 3,475 0.7% S&P: A, $76.4B market cap Raymond James Financial 2,361 0.5% S&P: BBB Chicago Title Insurance Insurance 2,234 0.5% S&P: A Total 244,837 51.8% Datran Center Tenant Composition by Category Telecommunications, Cosmetics, 2% 2% Real Estate, Other, 4% 7% Financial, 15% Legal, 26% Healthcare, 20% Insurance, 15% Hospitality, 9% SYNERGISTIC ON-SITE AMENITIES The combination of office, retail and hotel offerings at Datran Center offer a synergy not found at competitive standalone properties. The successful incorporation of multiple uses in a fortress location drives consistent traffic to the Property at all times of the day. Office tenants appreciate the unparalleled access to mass transit and the convenience of working steps away from premium shopping and dining amenities including two grocery stores— Publix and Trader Joe’s. Additionally, a four-star, luxury Marriott Hotel anchors the eastern end of the atrium lobby. The 302-room Miami Marriott Dadeland offers full-scale amenities to hotel guests and office tenants, including a restaurant and meeting room / conference room facilities.