PROVIDENCE BUSINESS CENTER 53 ACRE FULLY ENTITLED INDUSTRIAL LAND DEVELOPMENT OPPORTUNITY FEATURING INDUSTRIAL, OFFICE & RETAIL 6301 ARCHIBALD AVENUE EASTVALE INLAND EMPIRE, CA NEW MODEL COLONY (120,000 ANTICIPATED NEW RESIDENTS) PROVIDENCE BUSINESS CENTER Walmart A NATIONAL PARTNERS INDUSTRIAL INVESTMENT OPPORTUNITY
Providence Business Center Eastvale, California Executive Summary The Offering, Inc. is offering an excellent opportunity to purchase approximately 53 acres of entitled industrial land in the City of Eastvale (previously known as Mira Loma), California. This unique property is fully entitled for a 738,970 square foot business park and provides a developer with the opportunity to quickly bring product to market. The park has buildings planned ranging from 10,600 square feet to 254,810 square feet. The project consists of 694,770 square feet of industrial product with a small component of two story office and service retail. This is a unique opportunity to acquire a large, well-located, prime industrial site with Interstate 15 and Highway 60 freeway access in the Inland Empire West submarket. The Property is located in one of the top industrial investment markets in the country, with close proximity to the Ports of Los Angeles and Long Beach and excellent access to major transportation routes servicing Southern California and the Western United States. Over the last decade, the Inland Empire economy has ranked as one of the leading economies in the nation for population growth, job creation, construction and residential real estate. Limonite ave archibald ave Walmart +/- 53 ACRES 1
Executive Summary Executive Summary Property Highlights Fully Entitled/Speed to Market Providence Business Center will be one of the first sites in the area to be fully entitled and ready to build, offering a competitive advantage to alternative sites with the ability to bring product to the market quickly. Highly Functional Designed Business Park The 53 acre project provides good product segmentation with a desirable range of building sizes from 10,600 square feet to 254,810 square feet. The buildings are individually parceled for user sales and provide secured yards and ample dock high loading. Features 694,770 square feet of industrial, office and retail space. Strategic Inland Empire West Location Located in Eastvale, California, the project offers direct access to both I-15 and Hwy 60 via Archibald Avenue and Limonite Avenue. The property will also have future access to Hwy 71. Strategically located in the heart of the Inland Empire West, one of the most desired industrial submarkets in the United States. The property is within close proximity to the Ontario International Airport which provides an excellent location to service Southern California and the Inland Empire. Amenity Rich Environment Providence Business Center is surrounded by an abundance of retail, service, recreation and hotel amenities, and is just minutes from Ontario Mills Mall. Walmart will build a retail store directly across the street. New Model Colony Adjacency Considered by most to be ground zero for homebuilding activity in Southern California, the New Model Colony will add 120,000 new residents over the next 10-15 years. One of the largest master planned communities in Southern California, the project will have approximately 30,000 new homes and a dozen new schools on its 8,200 acres. Resurgence of Residential Construction Spending on new home construction nationally rose to its highest level in nearly five years in late 2013. Private residential construction spending rose 0.6% to a seasonally adjusted annual rate of $334.58 billion. This trend is evident in the Inland Empire as well - annual new home starts for the 12 months through June 2013 are up 67% when compared to the 12 months ending June 2012. Continued growth in new home construction will directly benefit business parks as sub-contractors, suppliers and consultants expand. Strong Market Rent Growth Forecast The Inland Empire industrial market continues to grow with market rent growth forecasts of 9.0% in 2014, 5.5% in 2015, 3.4% in 2016 and 2.3% in 2017 and 2.6% in 2018 according to Econometric Advisors. The buildings are individually parceled for user sales and provide secured yard and ample dock high loading. 2 6301 archibald Ave
Providence Business Center Eastvale, California Strong Market Dynamics The Inland Empire industrial market continues to experience steadily increasing levels of demand which is driven by steady port activity and recovery in consumer confidence as represented by the 3.2% vacancy rate in the West as of the first quarter of 2014. Net absorption reached over 2.1 million square feet in the West and over 5.8 million square feet of total gross activity for the entire Inland Empire through the first quarter. The mid-size tenant market (<250,000 SF) is gaining momentum in 2014, which will translate into increased leasing/sales activity and rent/sales price growth. Unique Small Service Retail/Office Buildings The project was designed with service retail and an office building along the frontage to cater to the traffic that will be generated by all of the new residents and proposed Walmart across the street. The 10,600 SF service retail building is highly divisible to units between 6,200 and 4,400 SF with 5:1,000 parking. The two story office building totals 33,600 SF. The building was designed to take advantage of a segment of the market that is underserved in this submarket. The demographics along with the planned developments bode well for the future potential of this portion of the development. Ideal for companies looking to capitalize on growing population and new residents in the area who prefer to work and shop closer to home. Park will also have 9 buildings ranging in size from 26,600 SF to 85,300 SF ideal for owner/users. There is only 1 building in this size range under construction in the West and the vacancy rate is 2.5%. Inland Empire West First Quarter Activity Base Construction Vacancy Size Building Count Building Sq. Ft. U/C Building Count U/C Building Sq. Ft. Vacancy Rate 10,000-19,999 1,045 14,182,701 0 0 3.0% 20,000-29,999 429 10,401,459 0 0 2.9% 30,000-39,999 238 8,208,205 0 0 2.1% 40,000-49,999 151 6,634,018 0 0 2.6% 50,000-59,999 137 7,376,800 0 0 1.5% 60,000-69,999 80 5,080,924 0 0 7.3% 70,000-79,999 52 3,867,064 0 0 0.0% 80,000-89,999 54 4,541,719 1 89,164 2.3% 90,000-99,999 47 4,456,421 2 189,506 8.4% 100,000-249,999 391 59,980,181 5 895,115 2.8% 250,000-499,999 197 70,021,886 3 1,233,866 4.6% Total 2,821 194,751,378 11 2,407,651 3.4% Highly Desired Industrial Product Largest building is a state-of-the-art 254,810 SF facility with 28 dock doors and 32 clearance. This building was designed to be divisible and has separate legal parcels for future flexibility. Only 7.7% vacancy rate for buildings from 200,000 SF to 300,000 SF and only 4 buildings under construction. 6301 archibald Ave 3
Executive Summary Local Map: Freeway access Providence business Center 4
Providence Business Center Eastvale, California Conceptual Site Plan OFFICE 1 3, 6 12 INDUSTRIAL 3 4A 2 1B 6 5 SERVICE/ RETAIL 4B 7 Executive summary 8 9 1A 10 11 12 5
CAPITAL Markets Experts Darla Longo Vice Chairman/Managing Director Lic. 00639911 T. +1 909 418 2105 darla.longo@cbre.com 4141 Inland Empire Blvd., Suite 100 Ontario, CA 91764 Barbara Emmons Vice Chairman Lic. 00969169 T. +1 213 613 3033 barbara.emmons@cbre.com 400 S. Hope St., 25th Floor Los Angeles, CA 90071 Local Market ExpertS Grant Ross First Vice President Lic. 01443252 T. +1 909 418 2159 M. +1 949 929 9973 grant.ross@cbre.com 4141 Inland Empire Blvd, Suite 100 Ontario, CA 91764 CAPITAL MARKETS I DEBT & structured FINANCE Val Achtemeier Executive Vice President Lic. 01868169 T. +1 213 613 3109 val.achtemeier@cbre.com 400 S. Hope St., 25th Floor Los Angeles, CA 90071 www.cbre.com/np Northeast Michael D. Hines Robert Fahey Lizann McGowan Brian Fiumara Jerome Kranzel Brad Ruppel Southeast Chris Riley Frank Fallon Brian Budnick Jennifer Klingler South central Jack Fraker Josh McArtor Jonathan Bryan Heather McClain North Central Mike Caprile Ted Staszak Stephanie Park West Darla Longo Barbara Emmons Debt & structured Finance Val Achtemeier Steve Roth Steve Kundert Offering integrated real estate capital markets solutions from strategy to execution delivered by a seamless national partnership 2014, Inc. This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs. and the logo are service marks of, Inc. and/or its affiliated or related companies in the United States and other countries. All other marks displayed on this document are the property of their respective owners. Photos herein are the property of their respective owners and use of these images without the express written consent of the owner is prohibited.