Cushman & Wakefield – Nelson Mullins RFP Response

GENERAL

FINANCIAL ISSUES Our understanding of NMRS’ existing financial lease commitments will be critical to the development of occupancy strategies. Our process will include an extensive evaluation of all rights and obligations under the existing leases, including use, subleases, assignments, and option provisions. Although the impact of qualitative factors can often be hard to quantify, we will incorporate such non-economic criteria into the decision-making process. In addition, we will closely evaluate and prepare an outline of current and potential future analytics including per-attorney annual occupancy costs (at capacity and with vacancies), capital cost evaluation and funding goals, evaluation of undepreciated capital costs, lease securitization, and overall financial goals and implications that are important to understand and integrate into all options considered. Specific financial issues that we will address and prioritize include cash flow, timing, funding of capital, risk aversion, and other occupancy costs. As part of the development of financial criteria, we will analyze NMRS’ financial commitment under its existing leases, including:

• Security deposits • Undepreciated capital costs • General impact • Other costs or benefits of current occupancy • Lease expirations/renewals/key dates OPERATIONAL ISSUES Working closely with NMRS, we will gain a full understanding of the Firm’s overall operational issues and pre-established targets in the Firm’s current locations, as well as any potential new location(s), with the development of a future space program (completed by the selected architect) and evaluation of workplace strategies that the legal sector is implementing in the real estate evaluation process. In addition, we will assist in the detailed evaluation of your current buildings, including overall infrastructure (HVAC, electrical, structural, elevators, floor loads, etc.) and base building aspects, such as overall security, image, exterior, amenities, and your overall “wish list” that would be required for you to remain at the current location for a longer period of time (including growth, reduction, and disposition needs). The areas to be evaluated may include, but not be limited to, the following:

• Real estate as a percent of revenue • Per attorney annual seat costs • Base rent and increases

• Right sizing space/disposition • Excess space identification • Growth/reduction strategies • Ratio evaluation (timekeeper-to-Staff) • Design standard development • Space flexibility • Training • Hoteling/Virtual officing • Densification • Attorney offices (interior/shared) • Technology

• Current operating expenses & escalations • Overtime charges & above-standard cleaning • Electricity & HVAC charges • Real estate taxes • Out-of-pocket capital budgets • Fee structures & impact • Per equity partner annual seat costs

• Lease securitization • Per-attorney costs • Equity partner costs

18 Legal Sector Advisory Group | ADVISING FOR EXCELLENCE