1000 MAIN REAL ESTATE SERVICES PROPOSAL EXCLUSIVELY PRESENTED TO INVESCO REAL ESTATE FEBRUAry 3, 2012 1000 MAIN FEBRUAry 3, 2012 Executive Summary It is with confidence and resolve Transwestern submits our response to your request for proposal for management and leasing services for 1000 Main. We are poised to unleash an unusually powerful focus and intensity on this project designed to generate exceptional project performance and ultimately, superior returns to Invesco. In the following written response, our team focuses on the underlying question - Why Transwestern? And, throughout our proposal, we will highlight several salient themes focused on creating value and enhancing the image of this iconic asset. Large Project Sponsorship is our Heritage Our reputation was built on the successful sponsorship of large scale, marquee office projects such as Post Oak Central, Allen Center and Four Oaks Place in Houston. We invite comparison with any other firm on this point and we are prepared to highlight our success through compelling case studies where we can demonstrate the value we have created in partnership with owners like Invesco. Reporting Excellence Leasing and operational excellence drive value, but we also win business through reporting excellence. We are proud to deliver tailored reporting to our clients, and our accounting and IT support teams differentiate us in the marketplace. Our accounting and property management teams are well-versed in Invesco’s Yardi Voyager system and will be ready to hit the ground running on this assignment. Ownership Mentality The Transwestern Team works synergistically to create value through a focused, creative leasing strategy and best in class operational excellence. We call on the full resources of the firm to deliver exceptional results for our clients and our team is empowered to think and act like owners. In fact, we are “hard wired” with a mentality towards long term value creation and that mandate governs our daily stewardship of your world class property. It is Personal Any company’s standards of performance are only as good as the people and the company that make the statements. All of us are fully aligned and committed to delivering the vast resources and unequaled personal and corporate relationships of Transwestern to the successful leasing and management of 1000 Main. Our relationship with and our word to Invesco have and will continue to stand the test of time. This is Our Home For a real estate services company, there is something special about its headquarters city. Usually, relationships have existed longer, the root system is deeper, market knowledge is more comprehensive and success stories are greater in number. There is simply no commercial real estate services firm more qualified to do this particular job in this particular city than Transwestern. Your level of attention to this process focuses the discussion in a manner that highlights the best of Transwestern - our people, our integrity, our expertise and the depth of our commitment. We look forward to our verbal presentation. We are ready to go to work. TRANSWESTERN AGENCY LEASING AND MANAGEMENT SERVICES PROPOSAL 1000 MAIN 1000 MAIN AGENCY LEASING AND MANAGEMENT SERVICES PROPOSAL PRESENTED TO WILLIAM BROWN, CPM®, CCIM DIRECTOR, ASSET MANAGEMENT INVESCO REAL estate FEBRUARY 3, 2012 CONTENTS Executive Summary 2 Table of Contents 3 Experience 5 Management 15 Leasing 27 Reporting 41 General 45 Fees 51 Evaluation of the Properties 55 About Transwestern 60 CONTACTS Eric Anderson Steve Ash Executive Vice President Managing Senior Vice President 713.407.8704 Management Services [email protected] 713.270.3365 [email protected] Doug Little Executive Vice President/Managing Director 713.272.1284 [email protected] Paul Wittorf Vice President 713.407.8709 [email protected] 3 TRANSWESTERN AGENCY LEASING AND MANAGEMENT SERVICES PROPOSAL EXPERIENCE 4 TRANSWESTERN AGENCY LEASING AND MANAGEMENT SERVICES PROPOSAL Indicate the number of local personnel in management, leasing, support and other services. Office property management and leasing experience in Houston, include a breakdown, for both current management and leasing. List must be broken down between company owned and fee managed properties. List should include name of properties, client, square footage, value of assets, length of assignment and distance from as well as the degree of competition with subject property. Also list any new business that is currently being proposed. LOCAL PERSONNEL With over 1750 team members in 31 markets across the U.S., Transwestern operates through six distinct functional lines of business - agency leasing, property and facility management, investment services, tenant advisory, development and research. A diversified operating company, Transwestern is active in the real estate service, development and investment management businesses. Our product specialties include office, industrial, retail, land, multifamily and healthcare. In Houston, our team is comprised as follows: Management – 160 Leasing – 101 Support – 50 Other services – 46 In 2011, Transwestern oversaw the leasing and management of 1,245 properties across the country, representing 258 million square feet - leased and managed combined. Within that same time period, the firm completed leasing, sales and finance transactions totaling $6.46 billion. MANAGEMENT AND LEASING EXPERIENCE A complete list of Transwestern’s fee managed current management and leasing assignments in Houston are highlighted on the following pages. Currently, Transwestern does not have any company owned assets in Houston’s CBD NEW BUSINESS As the premier real estate provider in Houston, Transwestern always has an ear to the ground for new business. Our team prides itself on staying current with changes and opportunities in the market. However, we are not currently pursuing any new business opportunities in Houston’s Central Business District that would conflict with the 1000 Main asset. 5 TRANSWESTERN AGENCY LEASING AND MANAGEMENT SERVICES PROPOSAL Property Name Services Takeover Address City Zip Client Name Rent SF Date 251 Medical Center Blvd. Landlord Leasing 8/4/2006 251 Medical Center Blvd. Webster 77598 Cheyenne I Development Group, Ltd. 48,000 7007 North I-45 Landlord Leasing 8/19/2011 7007 North I-45 Houston 77076 Iron Creek Ventures, Inc. 85,510 Katy Green Medical Plaza I Landlord Leasing 5/3/2010 Tracts 66B & 66B-2 Katy Wile Interests 80,000 OakBend Doctors Center - Grand Landlord Leasing 11/1/2010 7830 W. Grand Parkway South Katy 77406 McShane Development Company 60,000 Parkway OakBend Doctors Center - South- Landlord Leasing 11/1/2010 22001 Southwest Freeway Richmond 77469 McShane Development Company 49,585 west Freeway One Fannin Landlord Leasing 10/9/2009 7400 Fannin Houston 77054 HCP, Inc 213,130 Park Plaza Professional Building Landlord Leasing 10/9/2009 1213 Hermann Drive Houston 77004 HCP, Inc 177,427 St. Joseph Professional Building Landlord Leasing 11/5/2003 2000 Crawford Houston 77002 Orix Capital Markets 135,586 Steeplechase Corner Professional Landlord Leasing 8/19/2011 11301 Fallbrook Houston 77076 Iron Creek Ventures, Inc. 85,510 Building The Vintage at St. Luke’s Landlord Leasing 7/1/2010 20171 Chasewood Park Drive Houston 77070 St. Luke’s Episcopal Health System 39,069 1020 Holcombe Landlord Leasing, Management 12/1/2004 1020 Holcombe Houston 77030 Norvin Operating Corp 263,907 11321 Fallbrook Drive Landlord Leasing, Management 6/1/2011 11321 Fallbrook Drive Houston 77065 EBK-DA, LLC & EBKT-DA, LLC 16,000 7900 Fannin Landlord Leasing, Management 7/2/2010 7900 Fannin Houston 77054 Healthcare Trust of America, Inc. 175,923 Greenpark II Landlord Leasing, Management 5/1/1995 7505 South Main Houston 77002 Norvin Operating Corp 80,098 Health Center I & II Landlord Leasing, Management 11/4/2008 1111 & 1211 State Highway 6 Sugar Land 77478 Norvin Operating Corp 117,400 HTA-Cypress Station Landlord Leasing, Management 6/9/2011 1140 Cypress Station Houston 77090 Healthcare Trust of America, Inc. 52,040 HTA-Mountain PLains-TX Landlord Leasing, Management 6/9/2011 250 Blossum Street Webster 77598 Healthcare Trust of America, Inc. 109,603 HTA-Pearland Broadway Landlord Leasing, Management 6/9/2011 8619 Broadway Pearland 77584 Healthcare Trust of America, Inc. 19,680 HTA-Pearland Cullen Landlord Leasing, Management 6/9/2011 2950 Cullen Parkway Pearland 77584 Healthcare Trust of America, Inc. 35,015 HTA-Sugar Land Landlord Leasing, Management 6/9/2011 15400 Southwest Freeway Sugar Land 77478 Healthcare Trust of America, Inc. 60,334 Kingsland Medical Plaza Landlord Leasing, Management 9/20/2007 777 Fry Road Katy 77450 Norvin Operating Corp 28,596 Memorial City Garage 5 Retail Landlord Leasing, Management 10/1/2011 929-B Gessner Houston 77024 Memorial Hermann Hospital System 35,020 Memorial City Medical Plaza Landlord Leasing, Management 10/1/2011 920 Frostwood Houston 77024 Memorial Hermann Hospital System 255,534 North Memorial Hermann Medical Landlord Leasing, Management 10/1/2010 902 Frostwood Houston 77024 Memorial Hermann Hospital System 211,662 Plaza 1 Memorial Hermann Medical Landlord Leasing, Management 10/1/2010 915 Gessner Houston 77024 Memorial Hermann Hospital System 216,792 Plaza 3 Memorial Hermann Medical Landlord Leasing, Management 10/1/2010 925 Gessner Houston 77024 Memorial Hermann Hospital System 146,317 Plaza 4 Memorial Hermann System Landlord Leasing, Management 10/1/2010 909 Frostwood Houston 77024 Memorial Hermann Hospital System 164,823 Services Bldg. Memorial Hermann Tower Landlord Leasing, Management 10/1/2011 929 Gessner Houston 77027 Memorial Hermann Hospital System 262,937 1201 Dairy Ashford Management 2/15/2010 1201 Dairy Ashford Houston 77079 Medistar Dairy Ashford Professional 58,001 Bldg., LLC 6620 Main Management 11/1/2006 6620 Main Houston 77030 St. Luke’s Episcopal Health System 210,000 Medical Arts Center I Management 11/1/2006 17198 St. Luke’s Way The Woodlands 77384 St. Luke’s Episcopal Health System 90,000 St. Luke’s Medical Tower Management 11/1/2006 6624 Fannin Houston 77030 St. Luke’s Episcopal Health System 450,000 (O’Quinn) St.