Engage in Tampa Bay

TAMPA BAY engage in Q3 2020

THE SAFE SIX recovery readiness &

GLOBAL OFFICE IMPACT STUDY & RECOVERY TIMING C&W RESOURCE

As areas stabilize from the COVID-19 pandemic and stay-at-home restrictions are lifted, organizations will begin to bring workers back into the physical workplace. It’s already begun in some parts of the world. In fact, as of April 2020, we have helped move our own employees, and those of our clients, back into more than 800 million square feet of properties globally. The “Recovery Readiness: A How-to Guide for Reopening your Workplace,” outlines some of the best thinking and practices that our more than 53,000 professionals have compiled across the globe and also includes insights from key partners. The recommended practices and protocols already have been implemented at locations across the globe with tremendous success.

IN THIS STUDY: • We examine both the aggregate cyclical and structural impacts on the office sector’s fundamentals. • We present three forecast scenarios that illustrate probable and/or possible recovery timing based on the information at hand today.

CLICK TO DOWNLOAD FULL STUDY

RECOVERY READINESS A HOW-TO GUIDE FOR REOPENING YOUR WORKPLACE Version 1.0

FOR RECOVERY READINESS RESOURCES AND TO DOWNLOAD THE GUIDE CLICK HERE: https://www.cushmanwakefield.com/en/insights/ covid-19/recovery-readiness-a-how-to-guide-for-re- opening-your-workplace

CUSHMAN&WAKEFIELDRESEARCH

This study is thefirst in a four-part series thatprovides anewperspectiveonCOVID-19’s effectson the commercial real estate industry and the futureof theoffice.Beginningwith thisglobal impact study, the series explores the cyclical and structural changes impacting theglobalofficemarket aswell as the implications for the timingof a recovery. Inpart two,wedo a thorough reviewof academic literature and industry studies, examining thebenefitsofoffice andworking fromhome (WFH) focusedon several key areas includingproductivity, culture,branding, employee engagement and creativity. Inpart three, the serieswill shift toperspectivesonfinding theoptimalmodel that incorporatesflexibility and a futureworkplace ecosystemmadeupof theoffice,work fromhome and places to creategreater employee satisfaction,productivity andprofitability.Finally, in the lastpartof the series,wewill explore the futurebeyond 2020.By focusingon the aspects that influence thebuilt environment—including the economy,geo-demographics, technology, societal shifts and thepolitical landscape—we strive to answerhow changingbehaviorpatternswill affectdecisionmaking. INTRODUCTION COVID-19 isdisrupting the economy, accelerating shifts and creating structural changes thatwill persist for years to come.Thepandemichas created several forces thatdirectly impact theoffice sector’s fundamentals.Someof the impacts are cyclical—for example, theCOVID-19 recessionwill result inoffice-using job losses,higher vacancy, andwillplacedownwardpressureon rental rates. Other impacts are structural, such as agreater shareof employeeswhowill regularlywork from home (WFH). In this study,we examineboth the aggregate cyclical and structural impactson the office sector’s fundamentals, andwepresent three forecast scenarios that illustrateprobable and/or possibleoutcomesbasedon the information athand today. Lastly,our studymakespredictionsonly at the regional level;we acknowledge thatnot every citywill follow the samepath as laidout inour aggregatedfindings.Further, althoughwebelieve the rangeof scenarios iswide enough to capturepossible andprobableoutcomes and that assumptionswemake arewell reasonedbasedon thedata available today,we acknowledge theunprecedented levelof uncertainty in today’soutlook. GLOBAL OFFICE IMPACT STUDY & RECOVERY TIMING September 2020 TABLEOFCONTENTS KEYFINDINGS ..................................................................................................................................2 5-YEAROFFICEOUTLOOKBYREGION ...........................................................................................3 STUDYOVERVIEW ...........................................................................................................................4 ASIAPACIFIC ...................................................................................................................................6 GREATERCHINA ............................................................................................................................10 EUROPE .........................................................................................................................................14 UNITEDSTATES ..............................................................................................................................18 CANADA ........................................................................................................................................ 22 BIBLIOGRAPHY ..............................................................................................................................26 APPENDIXA:ECONOMICSCENARIOASSUMPTIONS .................................................................... 29 MPTIONS .......................................................................................31

HELPING YOUR EMPLOYEES ADJUST TO A NEW NORMAL https://www.cushmanwakefield.com/ en/netherlands/six-feet-office

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Tampa ranks #3 on list of best destinations for Millennials TravelDailyNews, 2019

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Millennials are choosing Tampa Bay as their home. It is a place where our people are happy living and working where most only vacation. Tampa Bay is defined by three cities – Tampa, St. Petersburg and Clearwater, with each city contributing to the area’s tropical landscape and dynamic living environment. From a business perspective, highlights of the Tampa Bay market include Tampa CBD, Westshore, St. Petersburg CBD, Ybor City, the I-75 Corridor, and Gateway. All of these submarkets provide a short commute time, active business climate, wonderful quality of life, talented professionals, low cost of living, and low labor cost. Last but not least, the weather is beautiful all year round!

Tampa Bay is a moving to according to Forbes Magazine. TOP no state income tax, affordable housing, & strong job creation top 3 reasons spot in the country Americans are

#2 Tampa ranks

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USA Today and 10Best

Nearly a quarter of all adults living in Hillsborough County are between 18-34 years of age. - Tampa EDC

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FLORIDA # 2 RANKED

BEST STATE FOR BUSINESS according to Chief Executive Magazine

competing markets in the South. 45.3%

of millennials occupy white collar jobs. Hillsborough County boasts a higher percentage of college graduates than

Tampa Bay named a top metro for growth in million-dollar businesses. - LendingTree

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over 17.0 MILLION SF

leased since year- end 2017

LABOR POOL & TALENT • Population of Millennials with college degrees grew nearly 41% in the past 12 years • Tampa Bay claims 20% of the state’s IT workforce TampaEDC.com • Millennials make up 26% of the overall Tampa population Altreyx 2019 • Tampa ranked in the Top 10 Best Performing City in the Southeast Best Cities, January 2018

BUSINESS ENVIRONMENT • Best Small Business Cities - Tampa-St. Petersburg - No. 19 Biz2Credit • #6 most cost-friendly U.S. Business location Tampa EDC • 1st and 3rd ranked cities for Millennials in Florida NerdWallet, 2015 • Pro-Business local and state government officials

AFFORDABILITY & HOUSING • Tampa has the lowest housing cost among Florida metros. TampaEDC.com • Favorable tax climate; no personal income tax • Tampa’s cost of living ranks below the national average by 9% as of year-end 2019. Tampa EDC Cost of Living Index 3Q19 | TampaEDC.com • The cost-of-living in Tampa Bay is half that of San Francisco or Manhattan Tampa Bay Technology Forum | tbtf.org

WORK/LIFE BALANCE • 361 Days of Sunshine each Year

• 35 miles of Beaches • Professional Sporting Events Including The Lightning, Rays, & Buccaneers • World class fishing/boating • Tampa is a top Beer City in America TampaEDC.com

Millennial Matter, TampaEDC.com

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#2 City to Celebrate LGBT Pride USA Today, May 2019 St. Petersburg is

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SNAPSHOT tampa bay msa

473 TOTAL BUILDINGS

43,474,388 SF TOTAL INVENTORY

The Tampa-St. Petersburg- Clearwater (MSA) on Florida’s West Coast is composed of Hillsborough, Pinellas, Pasco, and Hernando counties. The region contains the third and fourth largest cities in the state, Tampa and St. Petersburg. With over 3.0 million people, Tampa Bay is the third largest MSA in the Southeast.

1,820,154 SF YTD LEASING ACTIVITY

Hernando

Pasco

Pinellas

Hillsborough

RECENT EXPANSIONS AND RELOCATIONS

• Industrious - Tampa CBD 44,000 SF in Sparkman Wharf • Industrious - St Petersburg CBD 37,000 SF in 200 Central • Industrious - Ybor City 45,000 SF Centro Ybor • Fanatics - Westshore 91,980 SF Relocation in Avion Park • WeWork - Tampa CBD 60,000 SF in 501 East Kennedy • AxoGen - Tampa CBD 75,000 SF Headquarters • ReliaQuest - Westshore 75,000 SF Headquarters • Surgery Partners - Westshore 30,000 SF Headquarters

• BayCare - Westshore 73,180 SF Expansion • PwC - Westshore

Average Income: $76,285

250,000 SF Expansion • USAA - I-75 Corridor 240,000 SF Expansion • Ironman – Westshore Headquarters Expansion (70 New Jobs) • Greenway Health – Westshore 130,000 SF Headquarters Expansion • Amgen – Westshore 125,000 SF Headquarters 33,000 SF Expansion • AAA – Westshore 150,000 SF Headquarters • Heritage Insurance - Westshore 90,000 SF Relocation

Population Growth (2010-2019): 11.2%

Labor Force: 1,566,479

White Collar Jobs: 64.5%

Residential: 1,442,461

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DRIVERS economic

Tampa / St. Petersburg’s growing consumer market and easy connections to South Florida and markets to the north, easily make the Tampa/St. Petersburg region one of the more diverse and dynamic areas of the country. It is home to many leading logistics, financial activities and business services firms. Tourism is also playing an increasingly important part in the region’s economy, growing significantly over the past ten years. The combination of Port Tampa Bay, Tampa International Airport (TIA), CSX rail, and major highways has positioned Tampa as the market of choice for major distributors such as Amazon and Coca-Cola Refreshments. Port Tampa Bay

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and TIA combined contribute $22.5 billion annually to the local economy and support approximately 160,000 jobs. Cushman &Wakefield Research

Tourism

Global Headquarters

International Airports

Ports

MacDill Air Force Base

Professional Sports

Higher Education

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TRANSPORTATION tampa bay

Tampa Bay MSA’s transportation system anticipates continuous improvements to accommodate the area’s growth. • Hillsborough County recently approved a 1.5% addition to the State’s sales tax rate bringing it to 8.2% total. The additional revenue is earmarked for infrastructure improvements within the County, individual cities, and school board. • 2 Phase streetcar extension planned for completion by January 2024, will connect downtown Tampa to the Heights along with system modernization of the exisitng vehicles, track and stations. • Pasco County’s S.R. 54 (east/west) has been widened to four and six lanes and is now connected to a new interchange at I-75. • U.S. Highway 41, a major north/south thoroughfare in Pasco County, is also undergoing widening of its highly traveled lanes. • The Suncoast Parkway has recently seen completion into mid-Hernando County extending the Veteran’s Expressway further north in the MSA, creating an improved north/south route for Hillsborough, Pasco and Hernando County communities.

Road Widening Underway

2 International Airports

3 Interstates

7th Largest Seaport in the U.S.

CSX Advanced Intermodal Terminal

2 Toll Roads

Tampa International Airport

Tampa International Airport (TPA) has experienced tremendous growth over the past ten years. It is the 31st busiest airport by passenger movements in North America. The Airport was midway through a 3 Phase $690 million expansion, which is now delayed.

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Q3 2020 MARKETBEAT tampa bay ECONOMY

The Tampa Bay region, had an unemployment rate of 6.8% in August 2020, down 340 basis points (bps) from the previous month and 350 bps higher than the region’s rate from one year ago. Nonagricultural employment for the Tampa Bay region was 1.3 million, a decrease of 59,000 jobs, or 4.3%, over the year. Two employment sectors that gained jobs year-over-year (YOY) were Construction, adding 1,400 new positions and Wholesale Trade with 500 new jobs. Leisure & Hospitality led every other sector in jobs lost in the last 12 months, at 34,400 jobs gone, followed by Professional & Business Services which had payroll declines of 11,500 positions. Office-using employment in the area remained impacted by overall economic conditions and slowdown in business demand. SUPPLY Overall vacancy ended the third quarter at 13.8%, an increase of 210 bps over last year and up 160 bps when compared to the end of 2019. Class A vacancy rose by 380 bps YOY to 13.8% with space in Class B climbing by 50 bps to 14.9%. Two factors played key roles in the vacancy rate increase; vacant sublease space coming to the market and new construction deliveries. Since the beginning of 2020, vacant sublease space increased by 122,000 square feet (sf) to approximately 855,000 sf. In the Central Business District (CBD), Heights Union West and Strategic Property Partners’ Sparkman Wharf delivered, adding 307,000 sf to inventory. In the suburban Northwest submarket, 115,000-sf Renaissance Center VII delivered vacant as healthcare provider Centene marketed the building for sublease. DEMAND New leasing demand fell in the third quarter and totaled approximately 1.8 million square feet (msf) year-to-date (YTD) with only 18% of leases occurring in the third quarter. Both Hillsborough and Pinellas counties recorded the least amount of quarterly leasing activity in the last 12 years. Class A buildings YDT had the bulk of leasing activity, accounting for over 1.0 msf compared to 583,000 sf in Class B assets. In addition to falling leasing activity volumes, absorption continued to trend downward through the third quarter, recording approximately -390,000 sf YTD. MARKET PRICING Overall asking rents increased 1.4% YOY to $26.89 per square foot (psf) full service. For Class A assets, rental gains achieved cycle highs in the third quarter, rising to $30.27 psf, the second consecutive quarter Class A asking rents averaged above $30.00 psf in Tampa Bay. In the last 12-months, gains were recorded in both the CBD and suburban submarkets driving rental rates to $32.46 and $25.87 psf, respectively. Class A assets in the Tampa CBD submarket recorded the largest YOY increase, up 13.4% to $37.15 psf.

CLICK FOR FULL MARKETBEAT REPORT AND STATISTICS

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Development Timeline

DEVELOPMENT TIMELINE I tampa bay DEVELOPMENT TIMELINE T M ta pa bay

ONE-OFFS

THE LOFT AT MIDTOWN

CORPORATE CENTER V

INDEPENDENCE PARK II

SIZE: 72,387 SF SUBMARKET: WESTSHORE

MIDTOWN WEST WESTTOWER

CENTRO YBOR REDEVELOPMENT

CYPRESS CENTER IV

SIZE: 152,000 SF SUBMARKET: WESTSHORE MIDTOWN TAMPA

MIDTOWN THREE

SPARKMAN WHARF

THE OFFICES AT ORANGE STATION

1001 WATER STREET

EISENHOWER II

09/23/2016

SIZE: 380,000 SF WATER STREET OFFICE SUBMARKET: TAMPA CBD

SIZE: 150,000 SF SUBMARKET: TAMPA CBD

LAUREL STREET

SIZE: ±400,000 SF SUBMARKET: WESTSHORE

SIZE: 100,000 SF SUBMARKET: ST. PETE CBD

HEIGHTS UNION

FrontageRoad

A-301

LimitedSchematicDesign

PERSPECTIVE

SKYCENTER ONE

MIDTOWN TWO

400 CHANNELSIDE

HIGHWOODS BAY CENTER II

SIZE: 300,000 SF 2 BUILDINGS SUBMARKET: TAMPA CBD

WEST VIEW CORPORATE CENTER

SIZE: 270,00 SF SUBMARKET: WESTSHORE

SIZE: ±200,000 SF SUBMARKET: WESTSHORE

SIZE: 500,000 SF WATER STREET OFFICE SUBMARKET: TAMPA CBD

ESTIMATED COMPLETION 2021

COMPLETION 2020

FUTURE

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©2020 Cushman & Wakefield. All rights reserved. The information contained within this report is gathered from multiple sources believed to be reliable. The information may contain errors or omissions and is presented without any warranty or representations as to its accuracy.

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Tampa CBD Inventory: 6,366,086 SF Class A Vacancy: 16.3% Class A Asking Rents: $37.15 Westshore Inventory: 12,712,189 SF Class A Vacancy: 12.3% Class A Asking Rents: $36.27

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I-75 CORRIDOR

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Clearwater Exec. Airport

Old Tampa Bay

WESTSHORE

Tampa International Airport

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YBOR CITY

CLEARWATER DOWNTOWN

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Ybor City Inventory: 170,148 SF Overall Vacancy: 1.8%

HYDE PARK

TAMPA CBD

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SOUTHWEST

I-75 Corridor Inventory: 7,717,505 SF Class A Vacancy: 14.1% Class A Asking Rents: $24.81 St. Petersburg CBD Inventory: 2,038,302 SF Class A Vacancy: 11.1% Class A Asking Rents: $30.68 Gateway Inventory: 4,527,426 SF Class A Vacancy: 12.7% Class A Asking Rents: $24.91

MacDill AFB

699

SOUTH ST. PETERSBURG

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I-375

ST. PETERSBURG DOWNTOWN

I-175

Port of St. Petersburg

Tampa Bay

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The Riverwalk was nominated and won the American Planning Association's People's Choice for Great Places in America!

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Inventory 6.4 MSF Direct Vacancy—Class A 15.2% Direct Asking Rent—Class A $37.20 PSF

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TAMPA'S CBD HAS MORE CONSTRUCTION ACTIVITY THAN SEEN IN THE PREVIOUS 20 YEARS

CURRENT SITUATION

Office Market Breakdown

Major Leases Quarter Leased Building Name

Leased SF

Deal Type

Tenant Name

Class A, 4,210,410

Heights Union - West Building

3Q2018

AxoGen

75,000 New

Class C, 501,866

Class B, 1,653,810

1Q2018

Tampa City Center

Morgan & Morgan

60,052 Renewal

1Q2020 Sparkman Wharf

Industrious

44,000 New

1Q2019

100 North Tampa

Holland & Knight

41,427 Renewal

Class A Direct Vacancy and Rental Rates

2Q2020 Heights Union - West Building

White & Case

39,458 New

$10.00 $15.00 $20.00 $25.00 $30.00 $35.00 $40.00

10.0% 12.0% 14.0% 16.0% 18.0% 20.0%

SunTrust Financial Centre

4Q2018

Baker McKenzie

35,139 New

0.0% 2.0% 4.0% 6.0% 8.0%

4Q2018

Sparkman Wharf

SPP

31,826 New

$0.00 $5.00

1Q2018

Rivergate Tower

Quest Workspaces

26,505 New

1Q2019

100 North Tampa

Holland & Knight - Expansion 22,087 New

Direct Gross Asking Rental Rate

Direct Vacancy Rate

1Q2020 Tampa City Center

Mad Mobile

21,006 New

1Q2019

1001 Water Street

RSM Accounting

21,000 New

Class A Leasing Activity and Absorption

(50,000) 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000

Leasing Activity

Direct Net Absorption

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tampa cbd Downtown Tampa offers an inspiring culture of museums, diverse cuisines and memorable dining experiences, world-class arts venues, lush city parks, and waterfront public spaces including our amazing Riverwalk. With an array of outdoor activities and frequent community events occurring throughout the year, Downtown Tampa has quickly become the hottest place to live in the southeast!

Companies are attracted to downtown Tampa as a result of its impressive urban setting, which inspires business excellence and drives success. Tampa itself is a magnet for the young and educated. According to U.S. Census data, Hillsborough County’s millennial population is growing 13 percent faster than the nation as a whole, which is no surprise because of Tampa’s ideal location, high quality of life and reasonable cost of living. Boasting 18 high-rise office buildings with 8.8 million square feet of business space, Downtown Tampa is the ideal location for any business. ( tampasdowntown.com)

Total Submarket Population: 9,990

Office Inventory (Class A): 4,210,410 SF

Hotel / Lodging: 11 Establishments

Residential: 8,014 Housing Units

Historic Tampa Theatre – Built in 1926 as one of America’s most elaborate movie theaters, the ornate Mediterranean-style structure has maintained its historic feel and offers a movie experience unlike any other! Recently ranked as the number three movie theater in the world.

Food / Beverages: 166 Establishments

Direct Avg. Rental Rate (Class A): $37.20

There’s a heavy focus on creating engaging experiences and storefronts, making the neighborhood a place where people want to be —whether they’re residents, local employees or Lightning fans coming to a game. That’s what’s going to make or break this neighborhood in terms of its success,” Vinik said on the overall walkability of the district. “We must be brilliant at that.” - Jeff Vinik, Tampa Bay Lightning owner and backer of a $3 billion real estate development in downtown Tampa (bizjournals.com)

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• Tampa Convention Center • The Riverwalk with restaurants and meeting spots such as Sail Pavilion, Ulele and Armature Works • Amalie Arena, home to NHL’s Tampa Bay Lightning and over 150 special events each year • David A. Straz Jr. Center for the Performing Arts • Tampa Bay Historic Center • Florida Aquarium • Glazer Children’s Museum • Tampa Museum of Art • Florida Museum of Photographic Arts • Henry B. Plant Museum TAMPA CBD

• University of Tampa • Sparkman Wharf • Channelside Cruise Ship Port • Pirate Water Taxi • Teco Line Street Car System

• Numerous Gasparilla events, including the Pirate Invasion, Parade, Music Festival, Art Festival and International Film Festival • Parks & Recreations facilities including Curtis Hixon Park, Waterworks Park, Julia B Lane Park and Cotanchobee Fort Brooke Park

Food & Beverages Hotels & Lodging Arts & Entertainment Residential

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Total Business Population: 54,695

Major Employers in Tampa CBD • Morgan & Morgan • Frontier Communications (former Verizon) • Deloitte • Teco Energy • Ernst & Young • Sykes Enterprises • SunTrust • PNC • Bank of America • Industrious

Gasparilla ARGH! Every winter, the legendary pirate Jose Gaspar and his buccaneers return to invade the City of Tampa. The Mayor is forced to surrender the Key to the City into the hands of the Captain of Ye Mystic Krewe of Gasparilla. The jolly Krewe launches their victory celebration in the Parade of the Pirates down Bayshore Boulevard, the 3rd largest parade in the U.S. The people of Tampa come together for an unforgettable pirate- themed celebration, including a music festival, children’s parade, 5K Marathon and much more.

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WATER STREET — TAMPA’S DOWNTOWN WATERFRONT DISTRICT

SPP’S ESTIMATED $2 TO $3 BILLION MIXED USE DEVELOPMENT TO INCLUDE: • Office buildings totaling approximately 1.5 - 1.8M SF ranging from 20,000 - 25,000 SF per floor – 1001 Water Street ±375,000 RSF and 20 Stories, 9 Outdoor Terraces and 12,000 SF Retail Space – 400 Channelside ±500,000 RSF and 19 Stories, 27,000 SF Rooftop Space and 110,000 SF Retail Space

– The Offices at Sparkman Wharf ±150,000 RSF and 80,000 SF Retail Space - restaurants started construction on the office portion in later 2018 and is expected to deliver in 2020 • Additional 330,000 SF in medical office and research space with the USF Morsani College of Medicine and Heart Health Institute. Construction commenced in Q4 2017 • Over 3,500 residential condominiums and apartments • Over 1.5M SF of international brands and world-class cuisine, to charming boutiques and local fare offering a myriad shopping, dining and outdoor activities. • The Tampa EDITION will offer a boutique, individualized hotel experience. Newly renovated 719-key Tampa Marriott Water Street hotel and future 5 Star JW Marriott with 650-keys and 70,000 sf of meeting space • First WELL Certified District in the Country ( waterstreettampa.com )

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TOUR THE 6TH FLOOR

HEIGHTS UNION - CONSTRUCTION COMPLETE • Two Office Buildings: 100,000 SF Available – West Building – East Building • The Pearl Apartments—314 Luxury Rental Units • Ground Level Retail—28,873 SF • Urban Inner City Development • The Heights Public Market (Armature Works)—73,000 open market that includes 14 walk-up food vendors, two chef-driven restaurants, a courtyard, a roof top bar and 11,000 SF event space • 2-Acre green space offering public boat slips, paddle boards, kayaks and other water-craft for rent • Access to Tampa’s Riverwalk, providing connectivity from The Heights to Downtown Tampa • Julian B. Lane Riverview Park ($35 million renovation): The 23-acre park sits just across the river from Tampa’s blossoming downtown.

Armature Works Heights Public Market

SF

Julian B. Lane Park

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MANOR RIVERWALK • Developer—Related Group • First major development on the western bank of the Hillsborough River • Includes a free-standing parking garage, fitness center, and multiple courtyards • Located on the former Tampa Tribune office building site • 8-stories with 400 units. • Resort-style amenities, waterfall infinity-edge pool that appears to be spilling into the Hillsborough River, private poolside cabanas and daybeds, an outdoor kitchen, a meditation garden and a luxury fitness center • Construction completed in early 2019 • manorriverwalk.com

ENCORE! • Located in the heart of Downtown Tampa and adjacent to the Central Business District, Ybor City, Channelside, Tampa Heights and Tampa East, ENCORE! is the vibrant, unifying mixed-use destination for commerce. • A 40+ acre mixed use redevelopment consisting of multifamily, retail, office and hotel. • The pedestrian-friendly plan blends commerce with community in a unique “city within a city” concept. A formal town square with pathways, a history museum, public artwork and relaxation niches is center stage to hotels, offices, apartments, retailers and restaurants. • Property Highlights—180,000 SF Office, 300+ Hotel Rooms, 1,500+ Residential Units, 50,000 SF of Retail • encoretampa.com/

NOVEL RIVERWALK • 394-unit community at 109 W. Fortune St., which is on the former 5 acre surface parking lot next to the Barrymore Hotel, Tampa Riverwalk and The Tampa Bay Times office building • NOVEL Riverwalk offers luxury studios and one-, two- and three-bedroom apartments with breathtaking water and city views • It provides parking for the adjacent office building via a parking deck on the site • crescentcommunities.com/multifamily/novel- riverwalk/

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Home to 3.1 million residents, the Tampa Bay region is one of America's fastest growing cities Forbes, 2018 Tampa Bay

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Tampa International Airport ranks fourth in the nation - Travel & Leisure Magazine

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Inventory 12.7 MSF Direct Vacancy—Class A 10.2% Direct Asking Rent—Class A $36.86 PSF

WESTSHORE

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WESTSHORE SUBMARKET SPOTLIGHT

TAMPA'S PREEMINENT SUBMARKET WITH A VARIETY OF SPACE OPTIONS

CURRENT SITUATION

Westshore Office Market Breakdown

Major Leases Quarter Leased Building Name

Leased SF

Deal Type

Tenant Name

Class C, 1,008,67 88%

1Q2018

MetWest Three

Pricewaterhouse Cooper

250,000 New

Class B, 4,586,924, 36%

Class A, 7,116,587, 56%

1Q2018

Corporate Center IV Greenway Health

101,139 Renewal

2Q2019

SkyCenter One

Aviation Authority

97,000 New

4Q2019

Avion Park

Fanatics

91,980 New

4Q2019

LakePointe One

Fisher Investments

74,742 New

4Q2019

Meridian Three

Simply Healthcare

69,673 Renewal

Class A Class B Class C

4Q2018

Corporate Center II

BKS Partners

61,598 New

2Q2018

MetWest One

Atkins North America

55,456 Renewal

1Q2020 Tampa Commons

Traveler's Insurance

53,486 Renewal

2Q2020 The Pointe

USI Insurance

41,421

Renewal

2Q2019

Highwoods Bay Center Reliaquest

39,609 New

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Westshore Direct Vacancy and Rental Rates

$10.00 $15.00 $20.00 $25.00 $30.00 $35.00 $40.00

10.0% 15.0% 20.0% 25.0%

0.0% 5.0%

$0.00 $5.00

Class A Direct Asking Rental Rate

Class B Direct Asking Rental Rate

Class A Direct Vacancy Rate

Class B Direct Vacancy Rate

Class A Leasing Activity and Absorption

0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000

Leasing Activity Direct Net Absorption

METWEST THREE • This is the fourth office building in the MetWest International project bringing the total to 1 Million square feet. MetWest International is 99% leased.

• 250,000 RSF building • 100% pre-leased to PwC • Delivered in November 2019

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westshore Tampa’s Westshore district is the center of activity not only in the Tampa Bay region, but also on Florida’s west coast. Located at the intersection of several major highways and an interstate, it’s easy to see how it has become Florida’s largest office community comprised of 4,000 businesses with nearly 94,000 employees. But it doesn’t stop there, Westshore has evolved – it’s not just 9 to 5 anymore. The Westshore district is now home to a vibrant 24/7 community and boasts some of Tampa’s finest restaurants, world- class shopping, extraordinary hotels and vibrant residential neighborhoods. And if that wasn’t enough, the award-winning Tampa International Airport is just minutes away. Tampa has invested heavily in doubling the capacity of all three major bridges connecting Hillsborough and Pinellas Counties, providing seamless access between the two counties with Westshore being the heart of all the connectivity. The phrase “location, location, location” rings true in Westshore. ( choosewestshore.com )

Total Submarket Population: 69,333

Office Inventory (Class A): 7,116,587 SF

Hotel / Lodging: 41 Establishments

Residential: 31,901 Housing Units

Food / Beverages: 312 Establishments

Direct Avg. Rental Rate (Class A): $36.86

“Westshore has more of a business oriented feel, a lot of transplants, easier to meet people. It has the best mall in the area and a lot of upscale trendy restaurants which makes for a great afternoon-evening social scene. I am a 27 yr old single professional and I live inWestshore, it is a good fit for me. I can get off work and go to happy hour solo, or meet friends, and mingle with other like minded, active young professionals.” - Craig M., (city-data.com)

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Total Business Population: 105,575

Major Employers in Westshore • New York Life Insurance • PricewaterhouseCoopers (PwC)

• Capital One • Chase Bank • Amgen • Bloomin’ Brands (Outback Steakhouse HQ) • Bristol-Meyers Squibb

Food & Beverages Hotels & Lodging Arts & Entertainment Residential WESTSHORE

• Superior transportation infrastructure—3 major highways pass through Westshore and there are two HART public transit centers in Westshore • 30-minute drive to 75% of Tampa Bay area residential neighborhoods • Top-rated Tampa International Airport is located within 5 to 7 minutes from any Westshore Business District location • Upscale shopping including 2 regional malls WestShore Plaza & International Plaza and Bay Street • Westshore is the center of the region's hospitality industry with over 40 hotels and more than 312 restaurants • 10-minute drive to the Tampa CBD and Tampa's Convention Center • Full service 24-hour post office located at Tampa International Airport • Raymond James Stadium, home of NFL’s Tampa Bay Buccaneers and George M. Steinbrenner Field, home to MLB’s New York Yankees spring training facility

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TAMPA INTERNATIONAL AIRPORT EXPANSION

THERE ARE CURRENTLY DELAYS IN THE $906 MILLION CONSTRUCTION PROJECT DUE TO THE PANDEMIC All new on-site construction will be either delayed or canceled over the next five years, according to Tampa Bay Times. This includes Airside D, a $690 million project envisioning 16 additional gates for domestic or international flights, initially slated to deliver by late 2024, now pushed back by four more years. Work will continue, however, on the airport’s ongoing projects that are part of its $2 billion, master-planned expansion, such as the 270,000-square-foot SkyCenter One office building which

OVERVIEW • Phase 1 of the TIA expansion, completed in 2018, addressed immediate needs to de-congest the curbsides, roads and Main Terminal • Phase 2, which broke ground in 2019, includes a curbside expansion and 35-acre commercial development around the Rental Car Center. The commercial development area will feature an office building, convenience store with gas station, hotel, a commercial curb to accommodate transit and other ground transportation, and connections to regional trail networks. The curbside expansion includes 16 new express lanes exclusively for passengers without checked luggage. • Phase 3 includes the construction of a new Airside D with 16 gates capable of handling both domestic and international flights.

broke ground late last year. READ FULL ARTICLE HERE

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OFFICE MIDTOWN NORTH ±400,000 RSF

OFFICE THE LOFT AT MIDTOWN 49,327 RSF of Office Est. Delivery Q1 2021

OFFICE MIDTOWN SOUTH ±200,000 RSF

GROUND FLOOR RETAIL Est. Delivery: Q1 2021

HOTEL ALOFT &

275

DOG PARK

ELEMENT HOTELS Est. Delivery: Q1 2021

PARKING STRUCTURE Est. Delivery: Q1 2021

3-ACRE MIDTOWN LAKE

RESIDENTIAL NOVEL BY CRESCENT COMMUNITIES Est. Delivery: Q1 2021

WATERCOURSE

GROCER WHOLE FOODS MARKET Est. Delivery: Q1 2021

OFFICE MIDTOWNWEST ±152,000 RSF Est. Delivery: Q2 2021

W Cypress St

Dale Mabry Highway

MIDTOWN TAMPA • On 23 Acres in Westshore, Midtown Tampa is the first mixed-use project of its kind in Tampa • This $500M project will deliver 1.8 million SF of retail, residential, office, entertainment and hospitality • Office – 822,000 SF – The Loft at Midtown ±72,387 RSF Est. Delivery: Q1 2021 – Midtown West ±152,000 RSF and 8 stories, 22,200 RSF typical floor plate, covered bridge to parking, Est. Delivery: Q2 2021 – Midtown South ±200,000 RSF and 10 stories – Midtown North ±400,000 RSF and 13 stories connected parking garage • Whole Foods Market will be taking 48,000 SF and opening in Q1 2021. They will employ approximately 200 full and part-time employees

Office: 822,000 SF Retail: 220,000 SF Multifamily: 390 Units

The Loft at Midtown to be Tampa Bay’s first post-COVID office building prioritizing health, and wellness, of its tenants with innovative features such as touch- free features, a design with physical distancing in mind and access to tenant-exclusive outdoor spacing. Click Here to Read More

Boutique Hotel: 235 Keys

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Ybor City remained the Cigar Capitol of the World until the 1930s

YBOR CITY welcome to

In 2008, 7th Avenue, was recognized as one of the “10 Great Streets in America” by the American Planning Association

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ybor city is known as Tampa’s National Historic Landmark District. In the 1880s Ybor City was a melting pot of immigrants from Spain, Cuba, Germany and Italy and home to some of the world’s most famous cigar factories. Today, several structures in the historic district are listed in the National Register of Historic Places. Evoking the history of Ybor City, the classic brick streets and historic facades blend

into a distinct sense of culture that enlivens your environment while preserving a rich history of diversity, community and industry.

While it respects its history, Ybor is all about looking forward. There is so much more to explore in Ybor—a lively nightlife, a thriving influx of growing small businesses, eclectic retail stores, a growing number of new residential units and an abundance of diverse and locally-owned restaurants and eateries.

More than a century later and Ybor City continues to be the dynamic, energetic melting pot of Tampa Bay. ( yborcityonline.com )

Office Inventory: 170,148 SF

Total Submarket Population: 3,218

Hotel / Lodging: 2 Establishments

Residential: 1,426 Housing Units

Food / Beverages: 17 Establishments

Direct Ave Rental Rate: N/A

“This is a time of strong growth for Ashley Furniture, and we’re proud to partner with the city of Tampa, Hillsborough County and the Ybor City business community to build our future in this exciting and historic location.” –ToddWanek, president and CEO of Ashley Furniture Industries

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“...because it is ‘where millennials want to be,’” Why Ybor City over San Francisco and New York City?

- Todd Wanek, president and CEO of Ashley Furniture Industries

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Food & Beverages Hotels & Lodging Arts & Entertainment Residential

Masonite

YBOR CITY

• The Ritz Ybor performance venue • Ybor City Museum • The Historic Columbia Restaurant • Cigar Industry Historic Tours • Tampa Bay Brewing Company • Cigar City Cider & Mead • Centro Ybor Shopping Center • Tampa Bay Brew Bus • Vibrant nightclub scene, including Prana, the Orpheum, Empire & Crowbar

Total Business Population: 11,138

Major Employers in Ybor City • Kforce • Kitedesk • Ashcomm* (Ashley Furniture Industries: E-Commerce HQ) • Masonite

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University Way Precedent Images - billion-dollar redevelopment of shopping mall

N PIN

COUNTR

Clear Exec.

CLEARWATER DOWNTOWN

BAYSIDE

I-75 CORRIDOR welcome to the

GATEWAY / M

699

S

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19

75

TOLL 589

41

54

54

i-75 submarket spotlight Q3 2020

56

54

581

597

75

NORTH NELLAS

Ehrlich Rd

301

593

TOLL 589

580

RYSIDE

275

NORTHWEST

I-75 CORRIDOR

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4 4

Inventory 7.7 MSF Direct Vacancy—Class A 12.1% Direct Asking Rent—Class A $24.93 PSF

92

rwater . Airport

Old Tampa Bay

WESTSHORE

Tampa International Airport

301

4

YBOR CITY

75

TOLL 618

275

19

60

Port Tampa Bay

E

41

St. Petersburg International Airport

HYDE PARK

TAMPA CBD

MID-PINELLAS

41

SOUTHWEST

MacDill AFB

SOUTH ST. PETERSBURG

19

I-375

ST. PETERSBURG DOWNTOWN

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I-175

Port of

THE I-75 CORRIDOR IS A KEY MARKET FOR CAMPUS-STYLE CORPORATE ENVIRONMENT

CURRENT SITUATION

I-75 Office Breakdown

Major Leases Quarter Leased Building Name

Leased SF

Deal Type

Class C 548,090 , 7%

Tenant Name

1Q2019

8800 Hidden River

CitiGroup

135,000 Renewal

Class B 3,021,081, 39%

Class A 4,148,334, 54%

3Q2019

Highwoods Preserve VII

Metlife

115,230 Renewal

3Q2019

Highwoods Preserve V

MetLife

60,794 Renewal

1Q2020 Tampa Oaks One

Aspen University

29,562 New

4Q2019

Hidden River Corporate Center III United Insurance Management 26,678 New

Class A Class B Class C

3Q2018

Hidden River Corporate Center III Datalink Services Fund Solutions

26,141

New

3Q2018

Intellicenter - Tampa Phase I

Open Text

21,344 Renewal

Overall Leasing Activity and Absorption

Overall Direct Vacancy and Rental Rates

1,000,000

$18.00 $19.00 $20.00 $21.00 $22.00 $23.00 $24.00 $25.00

25.0%

800,000

20.0%

600,000

15.0%

400,000

10.0%

200,000

5.0%

0

0.0%

(200,000)

(400,000)

Leasing Activity Direct Net Absorption

Direct Gross Asking Rental Rate

Direct Vacancy Rate

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i-75 corridor Hillsborough County’s I-75 corridor is widely regarded as one of the most prestigious office submarkets in Tampa Bay. The submarket is located in the eastern portion of the County with superior access to Tampa Bay’s major roadways, such as the Selmon Crosstown Expressway, Interstates 75, 275 and 4, US Highway 301, and State Road 60. The submarket’s accessibility and affordability has attracted high profile companies such as Johnson & Johnson, Chase, CitiCorp, Progressive Energy, Coca-Cola, Spectrum, and USAA, which all have large operation centers in the submarket. One reason the area is attractive is because it provides a cost- effective alternative to Tampa’s CBD and Westshore submarkets. It also has significant land that allows for secure multi-building campus style office parks. Its strategic location provides a bridge to the I-4 Corridor and major markets in Central Florida. In late 2017, USAA announced plans to expand upon their existing I-75 Corridor location. The expansion will net a new 240,000 sf office building, create up to 1,215 new jobs, and $164.3 million in capital investment by 2019. The original 420,000 sq. ft. office building served its purpose well, but according to USAA officials the new expansion is part of the “financial services provider’s strategy to meet the evolving needs of its growing membership by attracting the best people in talent-rich regions like Tampa.”

Total Submarket Population: 66,764

Office Inventory (Class A): 4,148,334 SF

Hotel / Lodging: 106 Establishments

Residential: 242,763 Households

Food / Beverages: 1,010 Establishments

Direct Ave Rental Rate (Class A): $24.93

“Tampa has been a great market for us, and we are thrilled to be expanding our presence in the region.” -Yvette Segura, USAA vice president and general manager in Tampa

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Total Business Population: 231,173

Major Employers in the I-75 Corridor • Syniverse • MetLife • USAA • Depository Trust Clearing Corp. • Johnson & Johnson • CitiCorp

Food & Beverages Hotels & Lodging Arts & Entertainment Residential I-75 CORRIDOR Retail has experienced a resurgence in recent years and focused around University Square Mall, the 1.3 msf regional mall with over 160 stores built in 1974. In 2014, RD Management purchased the mall for $29.5 million and recently announced that they will be unveiling a billion-dollar redevelopment plan for the property. Besides benefitting USF and its students, the mall is also located adjacent to one of the country’s leading health institutions, the H. Lee Moffit Cancer Center & Research. The Moffit Cancer Center is located on the USF campus, and includes a hospital clinic, and research facilities. It is consistently ranked as one of the top cancer research facilities in the country and is the only National Cancer Institute-designated Comprehensive Cancer Center based in Florida. The Center has multiple locations in Hillsborough County including an outpatient facility near the Tampa International Airport, a screening center in north Tampa, and an Outpatient Center on McKinley Drive. The system also recently purchased a 300,000 sf industrial building directly across the street from their Outpatient Center.

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University of South Florida 4202 E Fowler Ave, Tampa, FL 33620

NUMBER OF STUDENTS (FALL 2019) 51,000 ENROLLMENT INCREASED 3,773 incoming freshman, marks the largest freshman class in USF history, an increase of more than 15% over last year. NEW CAMPUS DEVELOPMENT • State-of-the-art residence halls at The Village offer expanded housing options for incoming students and upperclassmen

The University of South Florida serves more than 51,000 students at its campuses in Tampa, St. Petersburg and Sarasota-Manatee. These students come from across the United States and more than 141 countries around the globe to achieve their dreams. They don’t just eat, sleep, study and attend class on campus. They reach higher. They collaborate, cultivate, engage, innovate, overcome and flourish. “USF’s national reputation for meaningful research, academic excellence and student success continues to attract exceptionally talented students,” said USF President Steve Currall. “We are committed to providing a transformative educational experience that helps our students achieve their academic and career goals.” Over the past five years, USF has been the fastest-rising university in the nation, public or private, on the U.S. News and World Report's list of best universities. USF ranks as the 44th best public university in America. Their graduate programs continue to number among the best, according to the U.S. News and World Report, with eight programs ranking in the top 50 in 2018.

• four new dining locations cater to the diverse dietary needs of our campus

• The state’s first on-campus Publix Super Market opened in December 2018. With indoor and outdoor seating areas, grab- and-go prepared foods and easy walking access from neighboring residence halls, the new grocery store is a superb shopping and dining option for students.

usf.edu

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One of the Most Family-Friendly Cities - Homes.com, 2019

Top 10 Best Big Cities in the U.S. - Condé Nast Traveler, 2020 Readers' Choice Awards

ST. PETERSBURG welcome to

#1 Best Cities for Women to Start a Business - Business.org, 2018

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