Chatham Street Commercial

CHATHAM STREET COMMERCIAL

ogers Building

ary, North Carolina

A PROPOSAL FOR RETAIL LEASING & MARKETING SERVICES presented by:

Schematic Rendering

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TABLE OF CONTENTS BANDWIDTH & TEAM 3 ACCESS TO BEST IN CLASS TENANTS 4 PROVEN TRACK RECORD 5 ANTICIPATED TENANT MIX 6 LEASING & MARKETING STRATEGY 7 CREATING AN IDENTITY 8 OUR PLEDGE 9

BANDWIDTH & DOMINANT MARKET SHARE

PROJECT TEAM

Exclusive leasing assignments for over

8,000,000 SF

of retail/mixed-use, urban and suburban properties in the Triangle

MATT LARSON

Senior Vice President

One team of 10 market leading retail professionals

204 leases completed in 2019, totaling over 1,370,000 SF Over 60 active retail and restaurant clients

Project co-lead Day-to-day leasing contact and cold calling Over 10 years of experience in Cary Local restaurant expert

#1 in Triangle retail market share

CHARLIE COYNE

3 of Top 5 retail leases in 2019

#1 largest retail lease in 2013, 2015 and 2016 #2 largest retail lease in 2013 and 2014

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CHATHAM STREET COMMERCIAL

Director, Retail Services Project co-lead Project strategy & relationship manager Active in Cary for over 15 years Mixed-use specialist

DIRECT ACCESS TO BEST OF CLASS TENANTS FITNESS

SERVICE & FINANCIAL

RESTAURANTS

A Proposal for Retail Leasing & Marketing Services

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PROVEN TRACK RECORD ACROSS THE TRIANGLE

CAROLINA SQUARE

555 MANGUM

CHAPEL HILL | 201K SF

DURHAM | 240K SF

HILLSBOROUGH ST TARGET RALEIGH | 27K SF

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CHATHAM STREET COMMERCIAL

AMERICAN TOBACCO CAMPUS DURHAM | 1M SF

MACGREGOR VILLAGE CARY | 141K SF

ANTICIPATED TENANT MIX CBRE will provide a detailed merchandising plan within 15 days of engagement.

Google Earth A Proposal for Retail Leasing & Marketing Services

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LEASING & MARKETING STRATEGY PLANNING

WITHIN 60 DAYS OF COMMENCEMENT

Understand the short term and long term goals

Create leasing strategy based on ownership goals

and objectives of ownership

(Restrictions, opportunities, & market conditions)

RESEARCH • • • • • •

Primary Trade Area Secondary Trade Area Demographics Lifestyle Buying Behavior Competition

GAP ANALYSIS/SALES POTENTIAL TRADE AREA VOIDS • • • • • •

Void/Retail Gap Reports Credit Analysis Operations Issues Operation/Image Rent/Sales Ratios (Occupancy Costs) Anchor Tenant Restrictions & Exclusives

PROPERTY ANALYSIS • • • • • • • •

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OPTION & VISION

WITHIN 30 DAYS OF COMMENCEMENT

Property Restrictions Legal Restrictions Parking Tabulations/Analysis Restaurant Limitations Trash/Loading Ceiling Heights Identify Capital Improvements Property Area Maximized

CHATHAM STREET COMMERCIAL

IMPLEMENTATION INTRODUCE CHATHAM STREET COMMERCIAL •

CREATE MERCHANDISE PLAN • • • •

Carefully Analyze Restaurant Mix Non-Restaurant & Service Target Lists of Categories Target Retailers

•

Optimize Mix/Rents

•

DEVELOP MARKETING CAMPAIGN DETERMINE CAPITAL EXPENDITURE REQUIREMENTS ESTABLISH TIMELINE GAIN TEAM CONSENSUS

•

Implement Marketing Campaign • Professional Marketing Book • Campaign Logic E-mail Blast • Leasing Signage • Social Media/Crowdsourcing • Branding/Naming Web-based Marketing • Dedicated Property Website • Co-Star Listing • LoopNet Listing • CBRE Website Broker Event

IMPLEMENT LEASING PLAN • • • • • • •

Phone and Mail Campaign to Target Tenants on a Regular Basis Phone and Mail Campaign to Retail Brokers on a Regular Basis Canvas Other Shopping Centers for Retailers in Target Categories (in person cold calls) Market Property at all ICSC Events Consult CBRE’s Capital Markets Group to Validate Leasing Strategy on Consistent Basis

MONTHLY REPORTING MARKET AND MANAGE TO PLAN

OUR PLEDGE DEEP PLACEMAKING EXPERIENCE Crafts the right story in the right place

LOCAL-TO-GLOBAL PERSPECTIVE

Blends world-class ideas with homegrown Cary authenticity

FAR-REACHING RESTAURANT ACCESS

Leverages our connections to deliver the perfect mix

SPECIALIZED, NETWORKED EXPERIENCE Ensures a nuanced, custom-tailored approach

WHEN WE DELIVER RESULTS

We recommend an Exclusive Leasing Agreement for an initial period of one year with the understanding that the Listing Agreement could be renewed, and may be terminated with thirty days prior written notice.

PROPOSED COMMISSION STRUCTURE NEW LEASES Direct | 4% Co-broker | 6%

A Proposal for Retail Leasing & Marketing Services

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CHATHAM STREET COMMERCIAL

MATT LARSON

CB Richard Ellis-Raleigh, LLC, a Delaware limited liability company. © 2020 All Rights Reserved. All information included in this letter/proposal pertaining to CB Richard Ellis-Raleigh, LLC, a Delaware limited liability company.—including but not limited to its operations, employees, technology and clients—are proprietary and confidential, and are supplied with the understanding that they will be held in confidence and not disclosed to third parties without the prior written consent of CB Richard Ellis-Raleigh, LLC, a Delaware limited liability company.

This letter/proposal is intended solely as a preliminary expression of general intentions and is to be used for discussion purposes only. The parties intend that neither shall have any contractual obligations to the other with respect to the matters referred herein unless and until a definitive agreement has been fully executed and delivered by the parties. The parties agree that this letter/proposal is not intended to create any agreement or obligation by either party to negotiate a definitive lease/purchase and sale agreement and imposes no duty whatsoever on either party to continue negotiations, including without limitation any obligation to negotiate in good faith or in any way other than at arm’s length. Prior to delivery of a definitive executed agreement, and without any liability to the other party, either party may (1) propose different terms from those summarized herein, (2) enter into negotiations with other parties and/or (3) unilaterally terminate all negotiations with the other party hereto.

Senior Vice President matt.larson@cbre-raleigh.com +1 919 831 8268

CHARLIE COYNE

Director, Retail Services charlie.coyne@cbre-raleigh.com +1 919 831 8233