Sawgrass 21. Offering Memorandum. Everglades Wildlife Conservation Area. n rise Boulevard (33,500 trips per day)

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1 Sawgrass 21 Offering Memorandum Everglades Wildlife Conservation Area BB&T CENTER Sa w gr as Sawgrass 21 +/ Acres se xp re s sw ay (7 5,0 0 0 tr ip sp er da y) A +/ ACRES MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA SAWGRASS MILLS MALL W. Su n rise Boulevard (33,500 trips per day) SAWGRASS INTERNATIONAL CORPORATE PARK Sawgrass 21 Intersection of Sunrise Boulevard and Sawgrass Expressway Sunrise, Florida

2 OFFER SOLICITATION PROCESS Offers should be presented in the form of a contract or non-binding Letter of Intent delineating the significant terms and conditions of the Purchaser s offer including, but not limited to: (1) Purchase price; (2) Due diligence and closing time frame; (3) Earnest money deposit; (4) A description of the debt/equity structure; (5) Qualifications to close. The purchase terms shall require all cash to be paid at closing. Offers should be delivered to the attention of Wayne Schuchts at the address below. Wayne Schuchts Principal wayne.schuchts@avisonyoung.com Avison Young 95 Merrick Way Suite 380 Miami, Florida Keith O Donnell Principal keith.odonnell@avisonyoung.com Jonathan Senn Associate jonathan.senn@avisonyoung.com Lake at Markham Park Sunrise 2

3 TABLE OF CONTENTS EXECUTIVE SUMMARY Page 4 INVESTMENT HIGHLIGHTS Page 5 OFFICE MARKET OVERVIEW Page 9 RETAIL MARKET OVERVIEW Page 12 AREA OVERVIEW Page 15 DISCLOSURE Page 26 Seven Bridges Golf Club Sunrise A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 3

4 EXECUTIVE SUMMARY Avison Young - Florida, LLC has been appointed as the exclusive marketing agent for the disposition of Sawgrass 21 ( Property ) - a ±21.65-acre, mixed-use development site located proximate to the Sawgrass Mills Mall and Sawgrass Expressway in the high-barrier-to-entry city of Sunrise, Florida. The Property is being offered on an as-is, where is basis for the feesimple interest in the land. Sawgrass 21 Consisting of ±21.65 acres, the Sawgrass 21 Mixed-Use Development Site is zoned B-5 (Sunrise/Sawgrass Office District) and is ideally suited for a variety of development options with permitted uses that include single- and multi-tenant professional offices, bank branches, hospitality and medical offices. Prospective developers could also apply for rezoning of the parcel allowing for the possibility of retail a use. Located on the west side of West Sunrise Boulevard and the Sawgrass Expressway Interchange, Sawgrass 21 is surrounded by a multitude of amenities including world-class shopping and entertainment located at the Sawgrass Mills Regional Mall (one mile east) and the BB&T Center (one mile east). The Site is also surrounded by South Florida s largest transportation nodes - the Sawgrass Expressway (direct frontage), I-595 (two miles south) and I-75 (two miles south) allowing for an ease of access from anywhere within the region. The prime location of the Property at a nexus of the area s major transportation nodes near unrivaled amenities - combined with the flexibility of B-5 zoning, presents developers with an incredible opportunity to control a mixed-use site in a highly-desirable and expanding market. PROPERTY OVERVIEW Property Sawgrass 21 Address Sunrise Boulevard and Sawgrass Expressway Property Type Mixed-Use Development Site Land Area (AC) ± Zoning B-5 Single- and multi-tenant professional Potential Uses offices, bank branches, hospitality and medical offices 4

5 INVESTMENT HIGHLIGHTS IDEAL LOCATION IN THE CITY OF SUNRISE NEAR MULTIPLE AMENITIES Access to South Florida s major employment centers including Downtown Fort Lauderdale and the Miami Central Business District is extremely convenient due to the city s direct proximity to the region s largest transportation networks including the Sawgrass Expressway, I-595, Florida s Turnpike, I-75 and I-95. Within the past 10 years, more than 200 corporations have selected Sunrise as their home creating over 20,000 jobs - more than any other city in Broward County. IKEA Sunrise The Site is located within the Sawgrass Park Office Submarket in the Broward County MSA and contains approximately 3.8 million square feet or almost 6% of the total office space within the county. Fort Lauderdale-Hollywood International Airport (FLL), one of the fastest-growing airports in the U.S., is only 20 minutes east of the Property. EXCELLENT OFFICE AND RETAIL MARKET STATISTICS Office occupancy rates within the Sawgrass Park Submarket stood at an excellent 89.6% as of year-end 2014 and have grown a remarkable 10.4 percentage points from their bottom of 79.2% in From , Broward County absorbed almost 1 million square feet of office space - a number not achieved in a three-year period since the height of the market back in Retail occupancy rates in the Sawgrass Park Submarket were an astronomical 96.8% as of year-end As of year-end 2014, Sawgrass Park had the second-highest triple net retail rental rates within the entire Broward County Market closing the year at $25.88 psf. Sawgrass Mills Mall Sunrise A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 5

6 INVESTMENT HIGHLIGHTS OUTSTANDING ECONOMIC IMPACT The Miami-Fort Lauderdale metropolitan area ranked as the third-leastcostly place to do business among 22 U.S. cities or metropolitan areas with populations exceeding two million, according to a 2010 study by KPMG LLP. In 2011, the Miami-Fort Lauderdale metropolitan area ranked as the fifth-best metro on the Kauffman Index of Entrepreneurial Activity, an annual study that measures business startup activity across the United States. According to the State of Florida s Seasonally Adjusted Local Area Unemployment Statistics (LAUS), Broward County continues to experience a strong recovery of employment gaining over 46,200 jobs year-overyear (YOY) as of November 2014, an excellent 4.7% increase which is 270 and 140 basis points (bps) higher than the United States and the state of Florida respectively. Unemployment in the MSA stood at a paltry 5.0% as of November 2014 (according to LAUS), representing an impressive YOY contraction of 40 bps. BB&T Center Sunrise TOP-NOTCH DEMOGRAPHICS South Florida is the 7th largest metropolitan statistical area (MSA) in the nation with roughly one-third of Florida s total population. The 2013 population in the Fort Lauderdale MSA (Broward County) was estimated at 1,802,819, reflecting a 44% increase since Household growth remains strong within the Broward County metro area as between 1990 and 2013 reveals a solid increase of 33%. According to REgis, the 2014 estimated population within a five-mile radius of the property was 167,032 and is projected to grow to 179,041 by 2019, a solid 7.2% increase. The average household income within a five-mile radius of the property is an excellent $92,370 - over 30% higher than Broward County ($70,642) and almost 41% higher than the state of Florida ($65,571). Metropica Rendering Sunrise 6

7 Yamato Road Glades Road BOCA RATON AIRPORT 36 AREA OVERVIEW Palmetto Park Rd 11 BOCA RATON 19 PALM BEACH COUNTY BROWARD COUNTY EVERGLADES NATIONAL PARK PARKLAND Sawgrass Expressway Hillsboro Blvd 10th St DEERFIELD BEACH 75 WESTON Flamingo Rd Sawgrass Expressway 869 SAWGRASS SUNRISE Nob Hill Rd CORAL SPRINGS Pine Island Rd Southgate Blvd 7 25 University Blvd 3 Riverside Dr McNab Rd Atlantic Blvd Rock Island Rd PLANTATION Wiles Rd SR 7 MARGATE Royal Palm Blvd Banks Rd Martin Luther King Jr. Blvd Lyons Rd Florida s Turnpike Cypress Creek Rd Commercial Blvd Copans Rd Sunrise Blvd Broward Blvd Davie Rd Sample Rd Powerline Rd 845 Coconut Creek Parkway EXECUTIVE AIRPORT OAKLAND PARK Military Trail 95 Dixie Hwy Oakland Park Blvd US1 SE 17th St Cswy PORT EVERGLADES POMPANO BEACH AIRPORT FORT LAUDERDALE US1 Federal Hwy POMPANO BEACH Ocean Blvd. SHOPPINg 1 Margate City Center 2 Downtown Coral Springs Project 3 Coral Square Mall 4 Promenade at Coconut Creek 5 Pompano Citi Centre 6 The galleria Mall 7 Broward Mall 8 Sawgrass Mills Mall 9 IkEA 10 Town Center Mall 11 Mizner Park ENTERTAINMENT 12 BB&T Center 13 Broward Center for the Perf. Arts 14 Seminole Casino - Coconut Creek 15 The Isle at Pompano Park 16 hard Rock hotel & Casino 17 Beach Place 18 Las Olas District 19 Boca Raton Resort PARkS 20 Tradewinds Park 21 Quiet Waters Park 22 Markham Park 23 hugh Taylor Birch State Park 24 John U. Lloyd Beach State Park HEALTH CARE 25 University hospital 26 Florida Medical Center 27 N. Broward Medical Center 28 Broward general hospital 29 West Boca Community hospital 30 Coral Springs Medical Center EDUCATION / EMPLOyMENT CENTERS 31 Sawgrass Corporate Park 32 Cypress Creek Office Market 33 Downtown Ft. Lauderdale 34 Boca Raton Corporate Center 35 Nova University / Broward College 36 Florida Atlantic University 37 Lynn University 38 Corporate Park of Coral Springs 39 Broward College - Coral Springs Griffin Rd FT. LAUDERDALE/ HOLLYWOOD INTERNATIONAL AIRPORT Stirling Rd A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 7

8 Everglades Wildlife Conservation Area ay w s se as gr w Sa BB&T CENTER SAWGRASS MILLS MALL NW 136th Avenue Sawgrass 21 N N. Flamingo Road s re p x W. Sunrise Boulevard SAWGRASS INTERNATIONAL CORPORATE PARK Directions to Sawgrass 21 FROM I-595: Heading west on I-595 exit onto the Sawgrass Expressway. Take Exit 1 (Sunrise Boulevard). Turn left (west) onto Sunrise Boulevard. The Property is just ahead. Markham Park FROM I-75: Heading north on I-75 continue onto the Sawgrass Expressway. Take Exit 1 (Sunrise Boulevard). Turn left (west) onto Sunrise Boulevard. The Property is just ahead. NAPLES LAGO MAR COUNTRY CLUB FORT LAUDERDALE W. Broward Boulevard CITY OF WESTON 8

9 OFFICE MARKET OVERVIEW Nova Southeastern University Davie A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 9

10 OFFICE MARKET OVERVIEW The following section provides a general overview of the office market in the Broward County Metropolitan Statistical Area (MSA) and the Sawgrass Park submarket SUPPLY As of year-end 2014, the Broward County Office Market consisted of approximately 69 million square feet of rentable building area (rba) in 4,080 buildings. The Sawgrass Park Office Submarket contains almost 6% of the total office space within Broward County and consists of approximately 3.8 million square feet (sf). The construction of new office product within Broward County has been extremely limited over the past five years, but began to slightly rebound as 405k sf of product was delivered in As of the first quarter 2015, there are four projects totaling approximately 113k sf under construction in Broward County with one project consisting of 19k sf being built in the Sawgrass Park Submarket. ABSORPTION Historical net absorption in Broward County has been positive and climbing for the past three years and totaled over a positive 672k sf as of yearend Since 2012, Broward County has absorbed almost 1 million sf of office space - a number not achieved in a three-year period since the height of the market back in Over the past five years, almost 400k sf of office space has been absorbed in the Sawgrass Park Submarket - representing approximately 40% of total net absorption for the entire Broward County Market in that time span. Net absorption in the Sawgrass Park Submarket has remained strong as the five-year average from was a positive 79k sf, demonstrating a solid demand for office space within the area. RBA RBA HISTORICAL OFFICE DELIVERIES 450, , , , , , , , , Broward County (RBA) Sawgrass Park (RBA) Broward County (Buildings) Sawgrass Park (Buildings) Source: Costar 2015 HISTORICAL OFFICE NET ABSORPTION 700, , , , , , , , , Broward County Absorption Sawgrass Park Absorption Broward County 5-Year Avg. Sawgrass Park 5-Year Avg. Source: Costar 2015 # of Buildings 10

11 88.5% 88.0% 87.5% 87.0% 86.5% 86.0% Source: Costar % 90.0% 88.0% 86.0% 84.0% 82.0% 80.0% BROWARD COUNTY OFFICE HISTORICAL OCCUPANCY & RENTS Broward County Occupancy Broward County Full-Service Rents SAWGRASS PARK OFFICE HISTORICAL OCCUPANCY & RENTS Sawgrass Park Occupancy Sawgrass Park Full-Service Rents $24.50 $24.00 $23.50 $23.00 $22.50 $22.00 $26.50 $26.00 $25.50 $25.00 $24.50 $24.00 $23.50 OCCUPANCY RATES Occupancy rates have remained on the rise since the recession for both Broward County and the Sawgrass Park Submarket. As of year-end 2014, occupancy rates in the Broward County Market stood at 88.2% - representing an impressive 100-basis-point (bps) increase year-over-year (YOY). Since their trough of 86.4% in 2009, occupancy rates within Broward County have increased a solid 180 bps and continue to show signs of escalation. Occupancy rates in the Sawgrass Park Submarket stood at an excellent 89.6% as of year-end 2014 and have grown a remarkable 10.4 percentage points from their bottom of 79.2% in Increased demand for office space within the Broward County Market and Sawgrass Park Submarket should continue as the economy proceeds to strengthen and minimal supply is expected to deliver. RENTAL RATES OFFICE MARKET OVERVIEW Through the combination of escalating occupancy and absorption rates, combined with a lack of new product delivering to the market, full-service rental rates have been on the rise in both Broward County and the Sawgrass Park Submarket. Broward County full-service rental rates grew to $23.67 per square foot (psf) as of year-end 2014, a solid $0.88 psf or 3.8% increase from Sawgrass Park full-service rental rates have also demonstrated dynamic growth climbing $1.79 psf or 7.3% YOY and stood at $26.42 psf as of year-end Compared to neighboring submarkets, a strong demand for space - coupled with a highly desirable and convenient location - continues to keep performance elevated. Source: Costar 2015 A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 11

12 RETAIL MARKET OVERVIEW The Colonnade at Sawgrass Sunrise 12

13 RBA HISTORICAL RETAIL DELIVERIES 900, , , , , , , , , Broward County (RBA) Sawgrass Park (RBA) Broward County (Buildings) Sawgrass Park (Buildings) Source: Costar 2015 RBA HISTORICAL RETAIL NET ABSORPTION 1,000, , , , , # of Buildings RETAIL MARKET OVERVIEW The following section provides a general overview of the retail market in the Broward County Metropolitan Statistical Area (MSA) and the Sawgrass Park Submarket. SUPPLY As of year-end 2014, the Broward County Retail Market consisted of approximately 103 million sf of gross leasable area (gla) in over 7,100 buildings. The Sawgrass Park Retail Submarket contains almost 5% of the total retail space within Broward County and consists of approximately 4.4 million sf. The construction of new retail product within Broward County has been limited over the past five years, but slightly rebounded as almost 290k sf of product was delivered in 2014 with zero of these deliveries occurring within the Sawgrass Park Submarket. As of the first quarter 2015, there are 14 projects totaling approximately 335k sf under construction in Broward County. Within Sawgrass Park, there was one project consisting of 112k sf delivered in the 1st quarter 2015, and there are currently no projects being constructed in the Sawgrass Park Submarket. ABSORPTION Historical net absorption in Broward County has been positive for four of the past five years, and as of year-end 2014, was a positive 41k sf , Broward County Absorption Sawgrass Park Absorption Broward County 5-Year Avg. Sawgrass Park 5-Year Avg. Source: Costar 2015 The five-year ( ) average net absorption for Broward County was a solid 463k sf or almost 0.5% of the total available retail space. Since 2010, Broward County has absorbed over 2.3 million sf or approximately 2.2% of the total available in the market, thus demonstrating the increased demand for this type of space. As of year-end 2014, just over 41k sf of retail space had been absorbed in the Sawgrass Park Submarket a higher figure than the overall 2014 total for the entire Broward County MSA. A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 13

14 RETAIL MARKET OVERVIEW OCCUPANCY RATES Occupancy rates have remained extremely elevated for both Broward County and the Sawgrass Park Submarket, demonstrating the appetite for this product type within the marketplace. As of year-end 2014, occupancy rates in the Broward County Market stood at 93.6% - representing a 20-basis-point (bps) increase year-overyear (YOY). Since their trough of 91.3% in 2009, occupancy rates within Broward County have increased a solid 230 bps and continue to show signs of escalation. Occupancy rates in the Sawgrass Park Submarket stood at an astronomical 96.8% as of year-end 2014 and have grown 90 bps since year-end RENTAL RATES Broward County triple-net rental rates grew to $19.39 per square foot (psf) as of year-end 2014, a $0.64 psf or 3.4% YOY increase. As of year-end 2014, Sawgrass Park had the second-highest triple net rental rates within the entire Broward County Market at $25.88 psf, which trailed only Downtown Fort Lauderdale at $27.95 psf. Sawgrass Park triple-net rental rates climbed $1.20 psf or 4.9% YOY, and stood at $25.88 psf as of year-end Since 2011, triple-net rents have grown 9.6% or $1.69 psf within Broward County, and 7.6% or $1.84 psf for the Sawgrass Park Submarket. 94.0% 93.5% 93.0% 92.5% 92.0% 91.5% Source: Costar % 98.0% 97.5% 97.0% 96.5% 96.0% BROWARD COUNTY HISTORICAL RETAIL OCCUPANCY & RENTS Broward County Occupancy Broward County NNN Rents SAWGRASS PARK HISTORICAL RETAIL OCCUPANCY & RENTS $19.50 $19.00 $18.50 $18.00 $17.50 $17.00 $27.00 $25.00 $23.00 $21.00 $19.00 $ % $15.00 Sawgrass Park Occupancy Sawgrass Park NNN Rents Source: Costar

15 AREA OVERVIEW Seminole Hard Rock Hotel & Casino A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 15

16 AREA OVERVIEW Broward County is located in Southeast Florida and is bordered by the Atlantic Ocean to the east, the Everglades to the west, Palm Beach County to the north and Miami-Dade County to the south. It is easily accessible via Interstate-95, Interstate-75 and Florida s Turnpike - the three primary north/south freeways within South Florida. Other major thoroughfares in the county include the Sawgrass Expressway and Interstate which connects western Broward County with the eastern portions of the county. Transportation is facilitated by countless miles of waterways, an international airport, three local airports and a seaport. The county covers a total area of 1,320 square miles, including 1,205 square miles of land, 65% of which is conservation area, and 115 square miles of water. There are 31 incorporated cities within Broward County, many of which have experienced substantial growth over the last two decades. Recent trends indicate major growth towards western Broward County from the populated metro areas of eastern Broward and Miami-Dade Counties, and the resurgence of the downtown areas of Fort Lauderdale and Hollywood into 24-hour cities. Broward offers 23 miles of Atlantic Ocean coastline, an average annual temperature of 76 degrees and a comfortable lifestyle attracting residents, businesses and visitors. Sawgrass Marriott The City of Sunrise, located in western Broward County, is home to about 90,000 residents and plays host to several million national and international visitors each year. Sunrise is conveniently situated in the heart of South Florida s tri-county region (Miami-Dade, Broward and Palm Beach). Bordered by I-595, I-75 and the Sawgrass Expressway - and easily accessible via Florida s Turnpike - Sunrise offers links to three international airports and three seaports, as well as direct connections to every major highway in South Florida. The city also is the gateway to a vast number of residential, business, entertainment and cultural opportunities. Metropica Rendering 16

17 DEMOGRAPHICS REPORT 1-Mile 3-Mile 5-Mile POPULATION Est. Population (2014) , ,032 Proj. Population (2019) , ,041 Projected Annual Population Growth 47 (1.4%) 3,479 (1.4%) 12,009 (1.4%) Est. Households (2014) ,797 61,459 Proj. Households (2019) ,444 63,820 Projected Annual Household Growth 8 (0.7%) 647 (0.8%) 2,361 (0.8%) Median Age HOUSEHOLD INCOME Est. Avg. Household Income (2014) $88,793 $86,531 $57,685 Proj. Average Household Income (2019) $97,525 $94,590 $61,307 Est. Median Household Income (2014) $84,043 $75,300 $75,838 Proj. Median Household Income (2019) $91,809 $82,171 $91,809 EDUCATION Any College (Some College or Higher) 65.2% 68.8% 67.7% College Degree + (Bachelor Degree or Higher) 31.9% 34.0% 37.6% WORKFORCE Total Businesses 483 2,661 8,030 No. of Employees 7,693 31,394 72,032 White Collar Workers 66.5% 68.7% 72.1% Blue Collar Workers 33.5% 31.3% 27.9% CONSUMER SPENDING Total Annual Consumer Spending (2014) $15.0 M $1.7 B $4.07 B Total Non-Retail Expenditure $8.6 M $619 M $2.35 B Total Retail Expenditure $6.3 M $451 M $1.72 B HOUSING Owner-Occupied Median Home Value $240,132 $207,930 $209,167 Renter-Occupied Median Rent $1,463 $1,229 $1,232 Housing Units Owner-Occupied 56.0% 74.1% 76.0% Housing Units Renter-Occupied 44.0% 25.9% 24.0% Source: REgis Pro POPULATION/DEMOGRAPHICS AREA OVERVIEW The Sawgrass 21 Mixed-use Development Site is encompassed by strong demographics making it an ideal place for future development. The following is a summary of the key local demographics. According to a report conducted by Claritas Inc., the 2013 population in the Fort Lauderdale MSA (Broward County) is estimated at 1,802,819, reflecting a 44% increase since By 2018, the population is expected to grow to 1,897,488, representing a 5.3% increase over the next five years. Household growth in the metro area between 1990 and 2013 reveals a solid increase of 33%. According to REgis, the 2014 estimated population within a five-mile radius of the property was 167,032 and is projected to grow to 179,041 by 2019, a solid 7.2% increase. The Sawgrass 21 Mixed-Use Development Site is surrounded by a youthful populace as the median age within a one-mile radius of the property is only 35 years old. The average household income within a five-mile radius of the property is an excellent $92,370, which is over 30% higher than Broward County ($70,642) and almost 41% higher than the state of Florida ($65,571). Within a one-mile radius of the property, median household income was recorded at a solid $84,043 over 61% higher than that of the state ($52,012) and almost 47% higher than the entire county ($57,227). Sawgrass 21 is also situated in an area known for its highly-educated populace as over 65% of the people within a one-mile radius have Some College or Higher as compared with 58.6% of the population within the county and 55.7% in the state of Florida. A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 17

18 AREA OVERVIEW EMPLOYMENT/ECONOMIC IMPACT Broward County has grown to become a multifaceted industrial center and regional leader in business. Due to the region s highly-skilled labor force, favorable business climate and low cost of living, the metropolitan area has experienced tremendous population and employment growth over the past 20 years. Sunrise lies at the heart of South Florida, in the Miami-Dade, Broward and Palm Beach tri-county area. Access to major South Florida centers of employment is extremely convenient due to the city s direct access to major transportation networks including I-595, Florida s Turnpike, I-75 and I-95, which provide access to Downtown Miami, Downtown Fort Lauderdale, Port Everglades and the Fort Lauderdale International Airport. Other notable economic highlights within the surrounding MSA are as follows: BROWARD COUNTY - TOP EMPLOYERS Company City Employees Broward County School Board County-Wide 31,880 Memorial Healthcare System County-Wide 11,200 Broward Health County-Wide 8,219 Broward County Commission County-Wide 5,790 Broward County Sheriff County-Wide 5,395 AutoNation Fort Lauderdale 3,971 Nova Southeastern University Davie 3,783 American Express Plantation 3,200 The Answer Group North Lauderdale 2,800 Interbond Corp. of America (BrandsMart) Hollywood 2,400 Source- Greater Fort Lauderdale Alliance (2014) South Florida is the 7th largest metropolitan statistical area (MSA) in the nation with roughly one-third of Florida s total population. The Miami-Fort Lauderdale metropolitan area ranked as the third leastcostly place to do business among 22 U.S. cities or metropolitan areas with populations exceeding two million, according to a 2010 study by KPMG LLP. In 2011, the Miami-Fort Lauderdale metropolitan area ranked as the fifth-best metro on the Kauffman Index of Entrepreneurial Activity, an annual study that measures business startup activity across the United States. According to the State of Florida s Seasonally Adjusted Local Area Unemployment Statistics (LAUS), Broward County continues to experience a strong recovery of employment gaining over 46,200 jobs yearover-year (YOY) as of November 2014, an excellent 4.7% increase in job growth which is 270 and 140 basis points (bps) higher than the United States and the state of Florida respectively. Fort Lauderdale Skyline 18

19 EMPLOYMENT/ECONOMIC IMPACT (CONT D...) AREA OVERVIEW Unemployment in the MSA stood at a paltry 5.0% as of November 2014 (according to LAUS), representing an impressive YOY contraction of 40 bps. The Sawgrass 21 Mixed-Use Development Site is located within the Sawgrass Park Office Submarket in the Broward County MSA. This submarket contains almost 6% of the total office space within Broward County and consists of approximately 3.8 million square feet. American Express HQ Rendering Sunrise Sunrise is the site of a wide variety of corporate parks tailored to meet the needs of today s complex businesses - including the latest, state-ofthe-art telecommunications network. Broward County s first all-digital fiber optic switching facility is located in Sunrise, along with a Cityowned satellite farm. In the past 10 years alone, more than 200 corporations have selected Sunrise as their home, creating over 20,000 jobs - more than any other city in Broward County. Sawgrass International Corporate Park, South Florida s largest office park, features 612 acres of prime sites and facilities for corporate headquarters and regional office operations. Strategically bound by I-595, I-75 and Sunrise Boulevard, this state-of-the-art business park features a variety of business space from high-tech manufacturing and R&D to executive office suites and mid-rise Class A office projects. BB&T Center Sunrise The Sawgrass Mills Regional Mall, Florida s largest outlet retail center and number two tourist attraction behind Walt Disney World, is located just over one mile east of the Property. The mall is the 6th-largest shopping center in the U.S. featuring 2.3 million square feet of retail space with over 350 stores and restaurants, and attracts over 26-million visitors each year from the U.S., Latin America, Caribbean and Europe. A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 19

20 AREA OVERVIEW EMPLOYMENT/ECONOMIC IMPACT (CONT D...) The Downtown Fort Lauderdale CBD, located approximately 20 minutes east of the Property, consists of 9.2 million square feet of office space and is the second largest office market in Broward County. Major employers in the CBD include the Broward County Government and School Board, the Federal Courthouse, the Sun-Sentinel and AutoNation, as well as numerous other law and financial firms. The Miami Central Business District, approximately 30 minutes from the Property, is comprised of Downtown Miami and the Brickell area. This urban core contains 18.9 million square feet of office space with almost 150,000 daytime employees. This major employment market boasts the highest concentration of prime office space in South Florida and is home to numerous major companies including Lennar Corporation, Carnival Corporation, World Fuel Services, Royal Caribbean Cruises and several prestigious financial firms. ACCESS/TRANSPORTATION Downtown Fort Lauderdale The city of Sunrise is located in close proximity to the South Florida region s major transportation networks including the Sawgrass Expressway, I-595, I-75, Florida s Turnpike and I-95 which provide access to myriad amenities including Downtown Fort Lauderdale, Port Everglades and the Fort Lauderdale International Airport. The following is a sampling of the area s major roadways, airports, seaports and railways. Sawgrass 21 is located along the Sawgrass Expressway just west of Sunrise Boulevard, providing excellent visibility and convenient access to I-75 and I-595. Sunrise City Hall 20

21 ACCESS/TRANSPORTATION (CONT D...) AREA OVERVIEW I-75, located just two miles south of the Property, travels north from Miami into Broward County before turning west. I-75 is the primary transportation corridor connecting Southeast Florida to Naples and Florida s west coast. I-595, located two miles south of the Property, is a 12.8-mile interstate that connects eastern and western Broward County. The interstate provides a direct connection to Fort Lauderdale International Airport and downtown Fort Lauderdale. Ft. Lauderdale/Hollywood International Airport Florida s Turnpike, less than 20 minutes east of the Property, is the state s most traveled toll road connecting the Miami area to Central Florida. Florida s Turnpike intersects with I-75 in northern Miami-Dade County, which extends from Miami, west to Naples. I-95, located only 15 minutes east of the Site, is Florida s largest interstate highway and provides direct access to many major cities along Florida s east coast. I-95 extends from Florida all the way up the eastern seaboard of the United States. Fort Lauderdale-Hollywood International Airport (FLL), one of the fastest-growing airports in the U.S., is only 20 minutes east of the Property. In 2011, passenger traffic at FLL made it the 21st busiest airport in the United States and placed it 13th in domestic origin and destination passengers, with more than 300 departure and 300 arrival flights a day. Tri Rail Florida A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 21

22 AREA OVERVIEW ACCESS/TRANSPORTATION (CONT D...) Port Everglades is Broward County s gateway for international trade and cruise vacations and is only 20 minutes east of the Site. The Port generates nearly $26 billion worth of business activity annually and supports 11,700 direct jobs and approximately 201,000 jobs statewide, according to a study produced by nationally recognized maritime research company Martin Associates. Miami International Airport (MIA) is within a 40-minute drive south of the Property. MIA serves over 35.7 million passengers each year domestically and internationally. It is among the busiest airports in the world with over 80 airlines serving approximately 150 destinations around the globe. Port Everglades Florida Tri Rail is a commuter-rail line linking Miami, Fort Lauderdale, and West Palm Beach, Florida with the Fort Lauderdale Station only 20 minutes east of the Property. The system connects directly to Amtrak at numerous stations, and the Metrorail in Hialeah (Miami) at the Tri-Rail and Metrorail Transfer Station. Miami International Airport 22

23 AREA OVERVIEW EDUCATION The South Florida region offers excellent opportunities for education. The Broward County Public School District is one of the most highly-rated school districts in the state. Additionally, the quality and growth of research and training at South Florida colleges and universities are increasingly recognized as an extraordinary community asset. The following is a list of some of the more notable educational institutions in the surrounding area. Nova Southeastern University Davie Nova Southeastern University (NSU), located just over nine miles southeast of the Property, is a private, not-for-profit research university located in Davie. With an enrollment of more than 29,000 students, Nova has been named one of the best colleges in the nation by the publication The Best 201 Colleges for the Real World. The university offers more than 40 undergraduate programs, encompassing everything from arts and sciences, education and the health professions to business. Broward College has over 42,000 students, making it one of the largest community colleges in the country. The college s main campus is located in Davie adjacent to Nova Southeastern University, just nine miles away from the Site, and is spread out over 150 acres. The institution offers a comprehensive curriculum of university transfer and career/technical programs in business administration, computer and information technology, and health sciences and technologies. Florida Atlantic University Davie West Campus Florida Atlantic University (FAU), with its satellite campus in Davie adjacent to NSU and Broward College located nine miles south, has its main campus in Boca Raton about 30 minutes north. The university has an enrollment of 26,000 students and offers degree programs in more than 57 fields from nine colleges, 50 master s degree disciplines and 15 doctoral programs. FAU has budgeted over $250 million in expansion projects, including a new $48 million engineering building, a $26 million general classroom building and a $10 million recreation and wellness center. A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 23

24 AREA OVERVIEW EDUCATION (CONT D...) Lynn University, established in 1962, is a private, coeducational institution located in Boca Raton. It offers diverse academic programs leading to associates, bachelors, masters and doctoral degrees. Consisting of a 123-acre campus with seven freshwater lakes, Lynn University is located about 30 minutes north along Military Trail. Sunrise s public school system is highly ranked with nearly all its schools having a B rating or higher according to the 2013 State of Florida s School Grades. Nearby schools include: o Sawgrass Elementary School; o Bair Middle School; and o Plantation High School. POINTS OF INTEREST The South Florida area is home to numerous world-renowned attractions, first-class shopping and dining, as well as an abundance of outdoor and natural activities. The Sawgrass 21 Mixed-Use Development Site is located proximate to a multitude of these points of interests with the most notable among the group to follow. Sawgrass Mills Mall Sunrise The Sawgrass Mills Regional Mall, Florida s largest outlet retail center and number two tourist attraction behind Walt Disney World, is located just over one mile east of the Property. The mall is the 6th-largest shopping center in the U.S. featuring 2.3 million square feet of retail space with over 350 stores and restaurants, and attracts over 26-million visitors each year from the U.S., Latin America, Caribbean and Europe. BB&T Center, host to more than 200 events annually including being the home of Florida Panthers hockey, ranks among the top 10 venues in the United States. It is located nearby in the city of Sunrise, just one mile from the Site and hosts numerous world-class concerts and community events during the year. BB&T Center Sunrise 24

25 AREA OVERVIEW POINTS OF INTEREST (CONT D...) Sunrise Symphonic Pops Orchestra is the City s own 65-member professional symphony. Founded in 1987, this independent cultural gem conducts its highly-anticipated concert season from October through May. Lago Mar Country Club is one of South Florida s finest private golf and country clubs and the newest golf course in Broward County. The club features an exceptional 18-hole course built to USGA specifications. Lago Mar Country Club Plantation The Property is proximate to Markham Park, a vast county park on the edge of the Everglades with a series of interlocking lakes offering activities such as fishing and boating. IKEA recently opened a 293,000-square-foot store in Sunrise along I-595 and NW 136th Avenue. This flagship store was the first of its kind in South Florida. Flamingo Gardens is one of the oldest botanical gardens in South Florida and is only ten minutes south of the Site in Davie. This 60-acre botanical garden contains over 3,000 tropical and subtropical species of plants and trees and its Everglades Wildlife Sanctuary is home to the largest collection of native Florida wildlife in the state. Sun Life Stadium Miami Gardens Sun Life Stadium, less than 20 minutes south of the Property in Miami Gardens, hosts the Miami Dolphins of the NFL and the University of Miami Hurricanes football team. The operations of the Miami Dolphins, along with other activities at Sun Life Stadium, currently support an estimated 14,000-full-time and part-time jobs for Miami-Dade residents and generate a total economic impact of approximately $1.364 billion for Miami-Dade County each year. A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 25

26 DISCLOSURE BB&T Center Sunrise 26

27 DISCLOSURE This confidential Offering Memorandum was prepared by Avison Young - Florida, LLC and has been reviewed by the Owner. It contains selected information pertaining to the Property and does not purport to be all-inclusive, nor to contain all the information that a prospective investor may desire. This presentation is not an offer to sell or a solicitation to buy any securities, and is subject to prior placement, errors, omissions, changes or withdrawal without notice and does not constitute a recommendation, endorsement, or advice as to the actual return of this investment. Except for any historical information, such matters discussed herein are forward-looking statements that are subject to certain risks and uncertainties that could cause the actual results to differ materially from those projected, and could result in the loss of principal. Each prospective investor is to rely upon its own investigation, evaluation and judgment as to the advisability of the investment described herein. Sources of information contained within this Investment Memorandum include, but are not limited to: the City of Sunrise, Broward County, CoStar, REgis Pro, Florida Department of Labor, Google, the US Census Bureau and REIS. Avison Young - Florida, LLC expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers and/or to terminate discussions with any party at any time with or without notice. Avison Young - Florida, LLC shall have no legal commitment or obligation to any investor reviewing this Offering Memorandum or making an offer to invest in the Property unless a written agreement has been fully executed, delivered, and approved by the Owner and any conditions to Owner s obligations thereunder have been satisfied or waived. This Offering Memorandum is the property of the Avison Young - Florida, LLC and may only be used by parties approved by Avison Young - Florida, LLC. The Property is being privately offered and by accepting this Offering Memorandum, the party in possession hereof agrees that its contents are of a confidential nature and will be held and treated in the strictest confidence. No portion of this Offering Memorandum may be copied or otherwise reproduced or disclosed to anyone without the prior written authorization of Avison Young - Florida, LLC and Owner. The terms and conditions set forth apply to this Offering Memorandum in its entirety. A +/ ACRE MIXED-USE DEVELOPMENT SITE LOCATED IN THE CITY OF SUNRISE, FLORIDA 27

28 Sawgrass Expressway Sawgrass 21 ± Acres W. Sunrise Boulevard Wayne Schuchts Principal Keith O Donnell Principal keith.odonnell@avisonyoung.com Jonathan Senn Associate jonathan.senn@avisonyoung.com