Gateway-Republic Meeting

DECEMBER 5, 2018

PRESENTED BY
Mark Courson | Director
Josh Rowell | Executive Vice President
Craig Kalinowski | Executive Managing Director

±151,583 SQUARE FEET
CLASS A OFFICE

01 NKF Company Overview
02 Project Overview
03 Rail Corridor - Market Driver
04 Competitive Set
05 Life Science Impact
06 Lease Comps/Sales Comps
07 2019 Forecast
08 Bios/Resumes

01Newmark Knight Frank Company Overview

WHO WE ARE

GLOBAL REACH LOCAL EXPERTISE LEASING ADVISORY SERVICES

Newmark Knight Frank is one of the Newmark Knight Frank • Property Assessment
largest global real estate service A Dominant Real Estate Force since • Prospecting/Canvassing
firms 1935 • Marketing and Repositioning
• 13 Strategically Located Offices
14,100 Professionals Strategies
525 Million Square Feet throughout Northern California • Comprehensive Lease Negotiation
• Tremendous Local Knowledge • Financial Analysis
Managed • Market Analysis
More Than 400 Offices and Comprehenseive real estate • Tenant Retention Strategies
solutions through an extensive
on 6 Continents global platform of integrated
$2.5 Billion in Revenue services
• Over 300 local agents
• Over 2,140 Lease Transactions in
2018
• 22.5 Million SF Leased

02Project Overview

Gateway at Republic Station is an Attractive Urban Environment for Today’s Tenant Base

THE PROJECT CHECKS ALL
THE BOXES FOR OFFICE
TENANTS:

CALTRAIN/BART SERVED AND
DIRECT ACCESS TO MAJOR
FREEWAYS

ABILITY TO SCALE WITHIN A
SINGLE PROJECT

EXPANSIVE GLASS WINDOW
LINES

RARE SIGNAGE AND SINGLE-
USER BRANDING POTENTIAL

EXPANSIVE & EFFICIENT FLOOR
PLATES

URBAN ON-SITE AMENITY BASE

PROXIMITY TO ABUNDANCE OF
NEW HOUSING SUPPLY

MODERN CONSTRUCTION

Regus Lease Abstract - 100 Garden Lane, Millbrae

Premises: 100 Millbrae Ave, Millbrae, CA

Landlord: Republic Millbrae LLC Period Anuual/RSF Monthly Total
Tenant: RGN Millbrae I, LLC
Guarantor: REGUS PLC Month 1-8: Abated $0
Rentable Square Feet: 50,528 RSF Months 9-20: $55.80 $234,955.20
Lease Type: NNN Lease Months 21-32: $57.47 $242,003.89
Lease Term: 144 Months Months 33-44: $59.20 $249,263.97
Use: First-class general office Months 45-56: $60.97 $256,741.89
Early Access: 3 weeks prior to substantial completion for furniture, wiring, etc. Months 57-68: $62.80 $264,444.15
Renewal Option(s): Two (2), Five (5) year options to renew Months 69-80: $64.69 $272,377.47
Expansion Option: None Months 81-92: $66.63 $280,548.80
Assignment & Subleasing: Right to assign or sublease the premises with landlord’s Months 92-103: $68.63 $288,965.26
approval Months 104-115: $70.69 $297,634.22
Landlord Right to Recapture: TBD Months 116-127: $72.81 $306,563.24
Exterior Signage: Building-top and monument signage following Landlord and City Months 128-139: $74.99 $315,760.14
of Millbrae approval Months 140-144: $77.24 $334,989.93
Estimated Lease Commencement: April 1, 2021
Base Rent:
Pre-Paid Base Rent: $234,955.20 paid upon lease execution
Guarantor Payment: $7,000,000.00 paid upon lease execution
Landlord Allowances: $85/rental square feet = $4,294,880.00

03Rail Corridor - Market Driver

Caltrain Corridor

The New Epicenter Of The Bay AreaMILLVALLEY WALNUT CREEK
LAFAYETTE
THE JUNCTION OF SAN FRANCISCO AND SILICON VALLEY
ORINDA

BERKELEY

ALAMO

MORAGA

1 HIGH BARRIERS TO ENTRY IN CORE BAY AREA MARKETS PIEDMONT DANVILLE
SAN RAMON
CREATE AN IMBALANCE OF SUPPLY AND DEMAND West Oakland Lake Merritt
OAKLAND
1SAN
Embarcadero
FRANCISCO
4th and King Fruitvale
DALY CITY
2 PROXIMITY TO BOTH SAN FRANCISCO’S LABOR FORCE ALAMEDA
& PALO ALTO’S FUNDING IS CRUCIAL FOR THE BAY AREA 2SOUTH SAN FRANCISCO
Oakland Airport

TENANT BASE OAKLAND SAN LEANDRO San Leandro LIVERMORE
INTERNATIONAL MUNICIPAL
3 TRAFFIC HAS REACHED RECORD HIGHS FORCING TENANTS AIRPORT Bay FairCASTRO VALLEY DUBLIN Dublin/ MEADOWLARK
TO CONSOLIDATE ON TRANSIT NODES Pleasanton AIRPORT FIELD
Gateway at HAYWARD LIVERMORE
RepSuANblic EXECUTIVE PLEASANTON
REID-HILLVIEW
FRANCISCO AIRPORT HAYWARD Hayward AIRPORT
BAY

South San Francisco

SAN BRUNO San Bruno South Hayward

PACIFICA 3 SAN FRANCISCO
INTERNATIONAL
4 GATEWAY AT REPUBLIC STATION IS IDEALLY POSITIONED TO UNION CITY
4 AIRPORT
CAPTURE DEMAND FROM TENANTS IN THE MARKET Union City
BBuURLrINlGiAnMgE ame

FOSTER CITY FREMONT

SAN MATEO

THE NORTH PENINSULA IS AT THE HALF MOON SAN CARLOS NEWARK
EPICENTER OF A PARADIGM SHIFT BAY AIRPORT
CAUSED BY GROWING POLITICAL, 2 AIRPORT
GEOGRAPHICAL, AND ECONOMIC HALF MOON BAY SAN CARLOS
IMBALANCES IN SAN FRANCISCO SanRCEDWaOOrDlCoITYs
AND THE SOUTHERN PENINSULA / MENLO Fremont
SILICON VALLEY RedwoPAoRKd City

ATHERTON Menlo Park MOFFETT FEDERAL Warm SprMiInLPIgTASs /
Palo Alto AIRFIELD South Fremont

PALO 1Mountain View SAN JOSE
ALTO INTERNATIONAL
MOUNTAIN AIRPORT
LOS ALTOS
VIEW Sunnyvale

SUNNYVALE

Santa Clara
SANTA
CLARA

SAN JOSÉ

CUPERTINO

CAMPBELL

SARATOGA

MILL VALLEY WALNUT CREEK

The Pull: Northern Peninsula Is TheBERKELEY GeographicORINDA LAFAYETTE Center Of All Key Employee Pools

TENANT DEMAND THESIS MORAGA ALAMO BYRON AIRPORT
DANVILLE
SINGLE CAMPUS PIEDMONT THE THESIS HAS
LOCATION DRIVES OAKLAND SAN RAMON BEEN PROVEN IN THE
COLLABORATION AND NORTHERN PENINSULA
EMPLOYEE RETENTION MARKETINGSAN NON-DUBLIN
FRANCISCO ALAMEDA SPECIALIZED
& SALES WORKFORCE PLEASANTON
San Francisco OAKLAND TRACY
INTERNATIONAL Newark, San Leandro,
DALY CITY AIRPORT Fremont, Oakland TRACY MUNICIPAL
AIRPORT
SAN LEANDRO LIVERMORE
MUNICIPAL
SAN CASTRO VALLEY MEADOWLARK
FRANCISCO AIRPORT FIELD
HAYWARD
BAY EXECUTIVE LIVERMORE

AIRPORT HAYWARD

SOUTH SAN FRANCISCO

SAN BRUNO GaRteepwubalyicat

PACIFICA SAN FRANCISCO
INTERNATIONAL
AIRPORT

UNION CITY

BURLINGAME

FOSTER CITY FREMONT

SAN MATEO

HALF MOON SAN CARLOS NEWARK
BAY AIRPORT AIRPORT

HALF MOON BAY SAN CARLOS REDWOOD CITY
MENLO
EXECUTIVES MOFFETT FEDERAL MILPITAS
ENPGARK INEERS AIRFIELD
Hillsborough, Menlo Stanford,
Park, Palo Alto, Palo Alto
Atherton, etc.
ATHERTON

PALO
ALTO

LOS ALTOS MOUNTAIN SAN JOSE
VIEW INTERNATIONAL
AIRPORT
SUNNYVALE

SANTA REID-HILLVIEW

CLARA AIRPORT

WITH RISING TENANT DEMAND FOR A SINGLE CAMPUSCUPERTINO LOCATIONSANJOSÉ PROVING TO BE TOO

EXPENSIVE IN TYPICAL CORE MARKETS, MANY TENANTS HAVE ELECTED TO MIGRATE TO
CAMPBELL

THE NORTHERN PENINSULA SARATOGA

LOS GATOS

Accessibility and Commute Times Continue to Be a Driving Force Behind
Tenant Migration
DIRECT ACCESS TO MAJOR BAY
• A recent study found that Bay Area residents spend an average of 90 minutes commuting to work each day. AREA FREEWAYS
• 33% of San Francisco employees have quit a job in their life time due to prolonged commutes.
• In 2017 alone, it is estimated the average commuter lost $2,250 and the city of San Francisco $10.6 billion Gateway at Republic Station benefits from
direct access to the on and off ramps of
in economic productivity. highways 101 & 280/380, significantly
reducing drive times to locations
throughout the Bay Area.

SF PENINSULA – AVERAGE RENTAL RATES CALT RAIN AVERAGE W E E K DAY R ID E R SH IP TR E N D
(CALTRAIN SERVE D V S N ON - C ALT R AIN SERV ED
RAIL-SERVED 65,000 82%
$10.00NNN ASSETS 60,000
COMMAND A 55,000 increase in
$8.25NNN 50,000 ridership
61% 45,000
RENTAL RATE (NNN) $6.35NNN $6.65NNN
$5.30NNN PREMIUM
$5.65NNN RIDERS BOARDING
$4.50NNN $4.25NNN

MOUNTAIN VIEW PALO ALTO SAN MATEO REDWOOD CITY 40,000
CALTRAIN SERVED NON-CALTRAIN SERVED
35,000

30,000

25,000

20,000

SF PENINSULA – AVERAGE VACANCY RATES 1997
( CALTRAIN SERVED VS N ON - C ALT R AIN SERV ED) 1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017

CALTRAIN SERVED YEAR
ASSETS BOAST AN
13.00% AVERAGE VACANCY
RATE
VACANCY RATE 8.60% CALTRAIN RIDERSHIP HAS BECOME A CRITICAL
290 bps FACTOR FOR BOTH TENANTS (82% OF
6.21% 6.70% 7.25% RIDERSHIP UP SINCE 2010) AND LANDLORDS
4.80% 4.60% 3.60% LOWER THAN (LOWER VACANCY RATES, HIGHER RENTAL
NON-RAIL SERVED RATES)

MOUNTAIN VIEW PALO ALTO SAN MATEO REDWOOD CITY
CALTRAIN SERVED NON-CALTRAIN SERVED

The Push: North Peninsula Is The Ideal Market For Tenants

TENANT SPACE REQUIREMENTS: SAN SAN BRUNO BURLINGAME
FRANCISCO'S
LOCATED IN CLOSE PROXIMITY PROP M IS ALL NEW SUPPLY IS OCCUPIED BY ONLY NEW SUPPLY IS OFF-TRANSIT AND
TO TRANSIT – PREFERABLY ON LIMITING SUPPLY ALPHABET’S YOUTUBE 100% LEASED TO FACEBOOK’S OCULUS
A BABY-BULLET STOP AND FORCING
TENANTS TO X X
SINGLE-TENANT BRANDING & MIGRATE DOWN
SIGNAGE CALTRAIN NOT A RELOCATION ALTERNATIVE NOT A RELOCATION ALTERNATIVE

HIGH QUALITY OFFICE SOUTH SAN FRANCISCO MILLBRAE SAN MATEO
SPACE, PREFERABLY NEW LIFE SCIENCE HUB GATEWAY AT REPUBLIC STATION NOT ACCESSIBLE VIA BART, LONGER
CONSTRUCTION COMMUTE FROM SAN FRANCISCO
NO NEW OFFICE SUPPLY THE ONLY
ABILITY TO ACCOMMODATE RELOCATION OPTION X
GROWTH WITHIN A SINGLE X
BUILDING OR PROJECT NOT A RELOCATION ALTERNATIVE
NOT A RELOCATION ALTERNATIVE
ABUNDANCE OF WALKABLE
RETAIL AMENITIES

PROXIMITY TO INDUSTRY
LEADERS AND MAJOR
EMPLOYMENT NODES

REDWOOD CITY MENLO PARK CALIFORNIA AVENUE DOWNTOWN MOUNTAIN VIEW

ABUNDANCE OF NEW PRODUCT HIGHLY LIMITED NEW MORATORIUM ON DEVELOPMENT HAS MAJORITY OF SUPPLY IS OLDER
UNDER CONSTRUCTION BUT IS ALL DEVELOPMENT. ALL NEW PRODUCT BEEN EXTENDED. NOT ENOUGH PRODUCT PRODUCT – NO LARGE BLOCK

PRELEASED IS SMALL IN SCALE IN THE MARKET TO ACQUIRE SCALE AVAILABILITIES

X X X X

NOT A RELOCATION ALTERNATIVE NOT A RELOCATION ALTERNATIVE NOT A RELOCATION ALTERNATIVE NOT A RELOCATION ALTERNATIVE

ATHERTON DOWNTOWN PALO ALTO SAN ANTONIO STATION LOCATIONS
PAST
VERY LIMITED EXISTING PRODUCT AND NO MORATORIUM ON DEVELOPMENT HAS MAJORITY OF PRODUCT IS NEW BUT ALL
NEW SUPPLY BEEN EXTENDED. EXISTING TENANTS PRE-LEASED MOUNTAIN
WILL LIKELY CONTINUE TO ABSORB NEW VIEW ARE TOO
X X FAR FROM SAN
AVAILABILITIES
NOT A RELOCATION ALTERNATIVE NOT A RELOCATION ALTERNATIVE FRANCISCO
X FOR TENANTS

NOT A RELOCATION ALTERNATIVE

Rail Corridor Premium vs Non-Rail Market

San Mateo Class A Inventory Total Class A SF Overall Availbility (%) Average Asking Rate
Downtown San Mateo Available (Monthly) Full Service
San Mateo w/o Downtown 5,740,385 869,859 15.15%
500,703 10,960 2.19% $4.67
5,239,682 858,899 16.39%
$6.41
64,706 $4.64
4,377
Redwood City 3,375,700 60,329 1.92% $3.97
Downtown Redwood City 1,474,669 0.30% $6.69
Redwood City w/o Downtown 1,901,031 5,218,078 3.17% $4.40
574,866
San Francisco 56,632,107 9.20% $6.88
SOMA 9,604,780 6.00% $6.92

MAJORITY IS
SUBLEASE SPACE

04 Competitive Set

2018 North Peninsula Market Statistics

Inventory Breakdown

NORTH PENINSULA BRISBANE SOUTH SF BURLINGAME SAN MATEO FOSTER CITY REDWOOD CITY REDWOOD SHORES MENLO PARK

Total Inventory: 38,967,146 SF 760,295 SF 2,281,912 SF 2,832,759 SF 8,926,697 SF 3,226,961 SF 5,451,573 SF 4,233,900 SF 6,230,519 SF
1.95% of Total 5.86% of Total 7.27% of Total 22.91% of Total 8.28% of Total
% NoPen 13.99% of Total 10.87% of Total 15.99% of Total
Inventory: 12.10% 2.50% 9.40% 13.48% 20.74%
9.92% $4.20/SF FS $3.42/SF S $3.93/SF FS $4.56/SF FS $5.22/SF FS 4.75% 11.91% 5.81%
Availability Rate: $4.88/SF FS (12,036) SF (18,733) SF (46,122) SF 92,004 SF (3,101) SF $5.08/SF FS $5.21/SF FS $7.19/SF FS
(19,558) SF 89,039 SF (3,555) SF (78,638) SF (177,624) SF (103,403) SF 19,207 SF (63,427) SF 36,913 SF
Weighted Avg 50,330 SF
Ask Rate (FS): (149,542) SF (182,982) SF 708,142 SF

3Q18 Net
Absorption:

2017 Net
Absorption:

MARKET ANALYSIS

AAsskkinigngReRntenantdaAnvdaiAlavbailitlyability NNeet tAAbsbosrpotriopntio(SnF)(SF)

$5.00 15.0% 400,000
13.0%
$4.40 11.0% 220,000
9.0%
$3.80 7.0% 40,000
5.0%
$3.20 3Q18 -140, 000

$2.60 -320, 000

$2.00 3Q14 3Q15 3Q16 3Q17 -500, 000 3Q14 3Q15 3Q16 3Q17 3Q18
3Q13 Availability (%) 3Q13

Average FS Asking Rent ($/SF)

SAN
FRANCISCO

OAK FREEWAY
BART
150 SERRA AVENUE SOUTH SAN 250 CALIFORNIA DRIVE 406 E 3RD AVENUE CALTRAIN
FRANCISCO
Muzzi Dewey Land Company Windy Hill 520 SOUTH EL CAMINO
Not Entitled - Mixed Use Entitled - Office Use Not Entitled - Mixed Use
±44,605 RSF Office Westlake Urban
±300,000 RSF Office $7.95/sf NNN ±119,000 RSF Office Renovation - Office Use
Rate TBD $7.00/sf NNN
±134,344 RSF Office
303 BALDWIN AVENUE SFO $6.75/sf NNN

Prometheus MILLBRAE
Not Entitled - Mixed Use
BURLINGAME
±60,000 RSF Office
$7.00/sf NNN SAN
MATEO

REDWOOD 855 MAIN STREET
CITY
The Acclaim Companies
BAY MEADOWS - 1&5 1180 MAIN STREET PALO Entitled - Office Use
ALTO ±78,000 RSF Office
Wilson Meany Premia Capital $8.00/sf NNN
Entitled - Office Use Not Entitled - Office Use MOUNTAIN
±370,000 RSF Office VIEW SAN
±112,000 RSF Office JOSE
$6.50/sf NNN $8.25/sf NNN

New Development Leasing History

Address Owner Direct Avail SF Total Size Vacancy Status Year Built/LED
300-333 Airport Blvd Kylli, Inc. - 802,853
250 California Drive Dewey Land Co 44,605 44,605 0% Under Construction 2019
988 Howard Avenue Opus One Howard, LLC. 26,581 26,581
Burlingame 225 California Drive Dewey Land Co - 56,000 100% Under Construction 2019 953,839 SF
240 Lorton Ave DLC Burlingame - 16,300
401 California Drive 401 Alprop LLC - 7,500 100% Under Construction 2019

405 E. Fourth Avenue 0% Existing 2018
2850 Delaware
221 S. El Camino Real 0% Existing 2018
400-450 Concar Drive
2950 Delaware 0% Existing 2015
3050 Delaware
San Mateo 3025 Clearview Way Windy Hill Property Ventures - 62,338 0% Under Construction 2019 1,121,509 SF
2 E. Third Avenue Bay Meadows Land Company - 189,103 0% Existing 2018
11-15 Ellsworth (N) Village Properties - 35,000 0% Existing 2018
Hines - 305,115 0% Existing 2017
2075 Broadway Street Bay Meadows Land Company - 174,000 0% Existing 2017
889 Winslow Street (815 Hamilton) Bay Meadows Land Company - 210,000 0% Existing 2016
601 Marshall Street Hines - 110,876 0% Existing 2016
550 Allerton Street Windy Hill Property Ventures LLC - 25,077 0% Existing 2016
900 Middlefield Road Baalbaki, Adnan & Dahl, Susan - 10,000 0% Existing 2014

Redwood City Lane Partners, LLC - 116,000 0% Under Construction 2019 728,473 SF
Hamilton & Winslow Properties - 68,614 0% Existing 2018
Dostart Development - 133,000 0% Existing 2017
Premia Capital, LLC - 76,647 0% Existing 2017
City of Redwood City - 334,212 0% Existing 2015

05 Life Science Impact

Competitive Assets Removed from Supply Since 2010

Property Name Address Owner Note Size (SF)

Britannia East Grand 660 E Grand Ave Roche Owner-User 500,000
Computer Associates Life Science Conversion 138,000
Edgewater Business Park 6000 Shoreline Ct Carlyle Group Life Science Conversion 167,597
Genesis South San Francisco Life Science Conversion 331,168
Opus Center Sierra Point 260-270 Littlefield Ave HCP Inc. Life Science Conversion 68,098
801 Gateway Blvd Owner-User 136,075
Gateway Business Park 1 Tower Place Phase 3 RE Partners Life Science Conversion 284,000
Sierra Point Owner-User 138,299
600-650 Gateway Blvd 4000 Shoreline Ct Phase 3 RE Partners Life Science Conversion 150,960
Mountain Cove Tech Center Life Science Conversion 140,000
901 Gateway 801 Gateway Blvd Health Plan of San Mateo Life Science Conversion 170,428
1000 Marina Blvd Life Science Conversion 104,000
Bayhill/Lake Amir 800 Gateway Blvd BioMed Realty Trust Owner-User 346,711
Walmart Headquarters Owner-User 266,073
Bayhill Office Center 5000 Shoreline Ct Actelion Pharmaceuticals US Inc. Owner-User 570,001
3,511,410
600-650 Gateay Blvd Alexandria Total SF

7000 Shoreline Ct Alexandria

901 Gateway Alexandria

1000 Marina Blvd Phase 3 RE Partners

900/1000 Cherry, 1150-1250 Bayhill Google

850 Cherry Ave Wal-Mart Stores

950 Elm, 1100 Grundy, 999-1111 Bayhill YouTube

South San Francisco/Brisbane Development Pipeline (December 2018)

6,819,405 SQUARE FEET

THE COVE HCP SIERRA POINT HCP OPUS CENTER OPUS/PHASE 3
Oyster Point Blvd R&D/Life Science Sierra Point Pkwy R&D/Life Science 3000-3500 Marina R&D/Life Science
Blvd
UC VARIOUS COMPLETION DATES UC VARIOUS COMPLETION DATES Proposed TBD

1,000,000 RSF 616,000 RSF 448,000 RSF

Rumored to be 100% pre-leased Phase 1 (200K SF) already In contract to sell to Phase 3 -
pre-leased, Phase 1 complete changing entitlement
end of 2019

GENESIS PHASE 3 213 E GRAND ALEXANDRIA GATEWAY OF PACIFIC BIOMED REALTY
2 Tower Place R&D/Life Science 213 E Grand Ave R&D/Life Science 1000 Gateway Blvd R&D/Life Science

UC Q4-18 UC MAY-19 UC Q4-18

375,000 RSF 294,000 RSF 1,300,000 RSF

First tenants moving in Dec-18, Under Construction - Available Phase 1 (550K SF) Under
approx 65% committed Construction - pre-lease to Abbvie

HCP KILROY ALEXANDRIA
R&D/Life Science R&D/Life Science R&D/Life Science

Proposed TBD approved TBD UC Q1-19

325,000 RSF 2,250,000 RSF 211,405 RSF

FORBES RESEARCH CTR HCP has yet to break ground THE LANDING Recently acquired by Kilroy and they ALEXANDRIA 83% leased
494 Forbes Blvd 379 Oyster Point plan to break ground TECHNOLOGY CAMPUS
279 E Grand Ave

06 Lease Comps/Sales Comps

Lease Comparables

NEW CONSTRUCTION

PROJECT NAME Status COMPLETION DATE Most Recent Transaction, notes
Address
PROJECT PHOTO City Total RSF
OWNERSHIP Direct Available SF
Direct Vacancy %
Quoted Rent

GATEWAY AT REPUBLIC Planned Q1-2021 Signed LOI with Regus for BAY MEADOWS STATION 4 Complete 2016 SurveyMonday, Inc.; 199,338 SF;
100 Garden Lane 50,000sf 3050 S Delaware Street $4.50/SF NNN base; 144 month
Millbrae 151,583 San Mateo 210,000 term; $75 TIs; 6 months free;
REPUBLIC FAMILY OF COMPANIES 151,583 WILSON MEANY 0 3% annual inc
100% 0% OpenText; 108,015 SF; $4.97/SF
$5.25/sf NNN $4.50/sf NNN NNN base; 126 month term; $65
TIs; 6 months free; 3% annual inc
BURLINGAME POINT UC Q4-2019 Facebook; 803,856 SF; $4.95/ BAY MEADOWS STATION 3 Complete 2017 Freshworks: 21,778 SF
300-333 Airport Boulevard SF NNN base; 144 month term; 2950 S Delaware Street Snowflake sublease: 48,353 SF
Burlingame 803,853 $100/SF TIs, 3% annual inc San Mateo 174,000 Guidewire Software; 179,496 SF;
KYLLI, INC. 0 WILSON MEANY 0 $5.05/SF NNN base; 126 month
0% 0% term; $85 TIs; 6 months free;
$4.95/sf NNN $5.25/sf NNN 3% annual inc
Chan Zuckerberg Foundation;
405 E 4TH AVE UC Q2-2019 Snowflake Computing; $5.75/ BAY MEADOWS STATION 2 UC Q4-2018 102,079 SF; Confidential rent;
405 E 4th Avenue SF NNN base; 120 month term; 2850 S Delaware Street 120 month term, 3% annual inc
San Mateo 62,338 $75/SF TIs, no free rent, 3% San Mateo 189,000
WINDY HILL 0 annual inc WILSON MEANY 0 Facebook; 520,988 SF; $5.93/SF
0% 0% NNN base; 157 month term; 9
$5.65/sf NNN $5.25/sf NNN months free, 3% annual inc

CONCAR Complete 2017 WeWorks, LLC.; 95,890 SF; BROADWAY STATION UC Q2-2019
400-450 Concar Drive $4.84/SF NNN base; 153 month 2075 Broadway Street
San Mateo 306,114 term; $100 TIs; 6 months free; Redwood City 116,000
HINES 0 3% annual inc LANE PARTNERS 0
0% 0%
$4.75/sf NNN $6.50/sf NNN

FRANKLIN TEMPLETON UC Q3-2019 Roblox Corporation; 173,104 SF; MENLO GATEWAY UC Q2-2019
EXPANSION $4.75/SF Full base; 108 month 125 & 135 Constitution Drive
1 Franklin Parkway 241,968 term; $20-$50 TIs; 5 months Menlo Park 520,988
San Mateo 120,000 free; 3% annual inc BOHANNON DEVELOPMENT 0
FRANKLIN TEMPLETON 50% 0%
$4.75/sf Full Service $6.50/sf NNN

Sale Comparables

OPUS CENTER THE GATEWAY BURLINGAME BAY BAY PARK PLAZA
SIERRA POINT 701 Gateway Blvd CENTER 577 Airport Blvd
1000 Marina Blvd South San Francisco 555 Airport Blvd Burlingame
Brisbane Burlingame

Buyer: Phase 3 Real Estate Buyer: Alexandria Real Estate Buyer: EverWest Real Estate Investors Buyer: EverWest Real Estate Investors
Seller: Meridian Property Company Seller: Prudential Real Estate Seller: H&Q Asia Pacific Seller: H&Q Asia Pacific
Building SF: 104,335 Building SF: 170,414 Building SF: 147,784 Building SF: 147,784
Sale Price: $39,500,000 Sale Price: $76,000,000 Sale Price: $60,029,860 Sale Price: $60,029,860
Sale Price/SF: $378.588 Sale Price/SF: $445.973 Sale Price/SF: $406.20 Sale Price/SF: $406.20
CAP Rate: 5.00% CAP Rate: 7.20% CAP Rate: 0.00% CAP Rate: 0.00%
Date Signed: 06/15/2018 Date Signed: 12/19/2017 Date Signed: 06/27/2018 Date Signed: 06/27/2018

METRO PENINSULA OFFICE SAN MATEO 130 SHORELINE
CORPORATE PARK EXECUTIVE PARK 130 Shoreline Dr
CENTER 2600 Campus Dr 3025 Clearview Way Redwood Shores
1840 Gateway Dr San Mateo San Mateo
San Mateo
Buyer: Golden Pacific Investments Buyer: Hines Buyer: Thor Equities
Buyer: Monday Properties Seller: Hudson Pacific Properties Seller: RREEF Management Seller: Premia Capital
Seller: Westbrook Partners Building SF: 63,050 Building SF: 110,876 Building SF: 81,569
Building SF: 68,490 Sale Price: $22,500,000 Sale Price: $63,349,002 Sale Price: $58,000,000
Sale Price: $25,000,000 Sale Price/SF: $356.86 Sale Price/SF: $571.35 Sale Price/SF: $711.054
Sale Price/SF: $365.017 CAP Rate: 0.00% CAP Rate: 0.00% CAP Rate: 7.00%
CAP Rate: 0.00% Date Signed: 01/31/2018 Date Signed: 04/19/2018 Date Signed: 01/19/2018
Date Signed: 12/21/2017

07 2019 Forecast

Current Pricing Recommendations

Asking Rent

$5.25 - $5.50/sf NNN

TI Contribution

$75-85

Concessions

6-9 months
free rent

08 Bios/Resumes

The 778 Lease Transactions 1,470 Lease Transactions 175 Lease Transactions
Team $1.27B $1.69B $400M

Office Leasing Total Consideration Total Consideration Total Consideration
R&D Leasing
Landlord Representation 7.19M 9.63M 1.00M
Tenant Representation
Total Square Feet Total Square Feet Total Square Feet
“47 years of
combined Craig Kalinowski Josh Rowell Mark Courson
experience
EXECUTIVE MANAGING DIRECTOR EXECUTIVE VICE PRESIDENT DIRECTOR

“

Thank you