Johns Manville RFQ

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Request for Qualifications

T E N A N T R E P R E S E N TAT I O N S E R V I C E S

PREPARED FOR:

MAY 31, 2018

Request for Qualifications

COVER LETTER

May 31, 2018

Mr. Scott Raecker Senior Sourcing Manager Johns Manville 10100 West Ute Avenue Littleton, Colorado 80127

Dear Mr. Raecker: On behalf of everyone at Cushman & Wakefield (“C&W”), we are delighted to present Johns Manville our response to your Request for Qualifications. C&W’s Logistics & Industrial Services group is a leader globally and in the Americas. Comprised of the most accomplished professionals with extensive experience in representing the world’s leading corporations, we are experts in providing comprehensive real estate services globally to clients of all sizes. We are the top- rated Logistics and Industrial Services platform in the United States - #1 in market share; our capabilities, coverage, and strength will add differential value for Johns Manville on this important assignment. While being among market leaders in much of the world, we are top performing in China, the United Kingdom, India, Australia, and The Netherlands. We are proposing to Johns Manville our most experienced team of professionals designed to deliver the results, speed and quality your business demands. Mark Collins will serve as the single-point-of-contact/ C&W project lead supported by Dan Cook and Dean Collins in addition to the service line heads for each service specifically utilized. In keeping with its mission and philosophy, C&W takes its commitment to quality assurance and client service seriously. The quality of C&W services and the quality of its personnel are inextricably linked to ensure that the firm’s “Best-in-Class” reputation is upheld. We look forward to meeting for our in-person presentation to discuss, in detail, Johns Manville’s goals and objectives. Thank you for providing this most important opportunity and please don’t hesitate to reach out with further questions regarding the enclosed proposal response. Sincerely,

Ran Holman Managing Principal | Dallas Market Leader Cushman & Wakefield

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 2

TABLE OF

COMPANY INFORMATION

BUSINESS ALIAS INFORMATION

Cushman & Wakefield, Inc. is a privately held, indirect, wholly owned subsidiary of DTZ Jersey Holdings Ltd., a Jersey limited company (the parent). Cushman & Wakefield has been providing clients with superior real estate services for almost a century, since its formation in 1917. It has always operated under the name of “Cushman & Wakefield” but has acquired or merged with several firms throughout the years, including DTZ, UGL Equis, Cassidy Turley and Cushman Realty.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 9

RELEVANT EXPERIENCE

Request for Qualifications

RELEVANT EXPERIENCE

RUBBERMAID

• Provided Disposition Services • 385,858 SF • Cleburne, TX • Sold Rail Served Plastic Injection Molding Plant

C&W represented Rubbermaid in the sale of their manufacturing facility. The property was sold to an investor who also owns Technical Chemical Company and could take advantage of the existing infrastructure including heavy power and rail service.

KW PLASTICS

• Provided Acquisition Services • 121,000 SF • Dallas, TX • Leased Rail Served Plastic Injection Molding Plant for the Manufacture of Plastic Paint Cans KW Plastics manufactures paint cans for some of the largest paint brands in the US by using recycled plastic pellets from their Troy, AL location.

ShelbyAve. KW determined they could lower their production cost by shipping the pellets to their plant via direct rail. C&W identified the rail-served facility with an existing spur to the warehouse that had space for a 50’ silo with associated equipment. SITE PLAN

AVA I L AB L E Special Properties Group

Newell Rubbermaid Facility ±1,031,746 SF on ±100.02 Acres 7121 Shelby Avenue :: Greenville, TX 75402

Docks

ManufacturingArea

Rail

FRITZ INDUSTRIES • Provided Acquisition Services

Docks

WarehouseArea

Gravel

Rail

Docks

Gravel

200 & 400 Mile Radius

- • 1,000,000 SF • Greenville, TX • Purchased Rail Served Rubbermaid Plant for the Production of Oilfield Chemical Fritz required a rail-served manufacturing plant within one hour of their existing facility in Mesquite, TX. C&W presented this property - -- - - - - - - - ------- - --------- - - - - - - - -- - -- - - - - - - - -- - -- 8 TX OK NM CO KS IL TN AR KY IN AL MS LA MO Dallas/FortWorth ll / rt rt ll / rt rt llll / rt rt ll / rt rt ll / rt rt LittleRock ittl ittl il ittl ittl ittl Evansvillevilleille ss eilleilleillilleil Wichita Wi it i it i i i it i it i it Memphisisiiiiii Nashvilleillillillillillill JeffersonCity ffr it ffr it ffr it ffr it ffr it ffr it ff it r St Louis t is t ii i i i t t t Jackson Tulsallllll OklahomaCity la it l it l i o l it l it l it Birmingham ir in ir i i i ir i ir i ir i Mobileileililililil ColoradoSprings lor rin lr ri l i lr ri lr ri lr ri RADIUSMAP Shreveport r rt r rt r rt r rt r rt BatonRouge t t t t t t NewOrleans rle rl rll rl rl Abilene ileililililil Austintintiintititin WichitaFallsalll i it l i it ll i i ll i it lF l i it lll i it l Waco Lubbock Beaumont BeBeBeB t Be tt aa n B ttt a Houston Ho tttt H tt o tnn Greenville, TX 200miles 400miles 4 s 44 s Greenville

SHELBY AVE. SHE BY AVE.

- -------

CBRE | Exclusive Agents

SanAntonio t io t i t i t i t i t i

© 2012 CBRE, Inc. The information above has been obtained from sources believed reliable.Whilewe do not doubt its accuracy,we have not verified it andmake no guarantee,warranty or representation about it. It is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this transaction to you depends on tax and other factors which should be evaluated by your tax, financial and legal advisors. 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. AllRightsReserved.Sources:CBREMappingServices (877)580-4674;Nielsen,StreetPro. MapFiles\Work\.wor 1/1/2012 Youand your advisors should conducta careful, independent investigation of theproperty to determine to your satisfaction the suitabilityof theproperty for your needs. CBRE and theCBRE logo are servicemarksofCBRE, Inc.and/or itsaffiliated or related companies in theUnitedStatesand other countries.All othermarksdisplayed on thisdocumentare thepropertyof their respectiveowners. which already had the power, rail and supporting office required for their operation. This facility provided a growth strategy as well, with a purchase price that was more cost effective than new construction. :: Steve Berger, SIOR 214.979.6333 steve.berger@cbre.com M E X ICO :: Chuck Finney, SIOR 214.979.6325 chuck.finney@cbre.com - ------- CorpusChristi ss r riti r riti C i i Cr s riti r riti r riti :: CBRE 2100McKinney Ave, Suite 700 Dallas, Texas 75201 GulfofMexico - - Laredo aarddrarrrerLL  ©2012 CBRE, Inc. This informationhasbeen obtained from sourcesbelieved reliable.Wehavenot verified itandmakeno guarantee,warrantyor representationabout it. Anyprojections,opinions,assumptionsor estimatesused are for exampleonlyand do not represent the currentor futureperformanceof theproperty. For additional information, please visit our website at: www.cbre.com/rubbermaid

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 11

Request for Qualifications

RELEVANT EXPERIENCE

INTERNATIONAL GRAINS AND CEREALS

• Provided Acquisition Services • 240,000 SF • Greenville, TX • Purchased Rail Served Oilfield Chemical Plant for Production of White Corn Meal Product C&W had represented Fritz Industries in the acquisition of this plant several years prior to this transaction. IG&C was in need of

a new white corn flour mill to serve the US. C&W conducted a national search along I-35 and I-95 to identify existing properties. Multiple properties were identified, but were not viable options due to deed restrictions on future use which would hinder a future sale of the property. Understanding the nature of Fritz’s industry, C&W approached Fritz Industries to see if they had any interest in selling due to the fairly new and unused concrete silos. They agreed and C&W represented both Fritz and IG&C in an intermediary capacity. C&W was also able to secure incentives and grants via the City and County as well as money for training. AVAILABLE FOR LE 253,900 Square Feet (Divisible)

IDQ (SPECTRUM BRANDS)

• Provided Acquisition Services • 210,000 SF • Garland, TX • Leased Rail Served Manufacturing Plant for the Packing of Bulk 134A from Rail Tank Cars into DIY Pressurized Canisters IDQ was manufacturing DIY canisters in Mexico, but was challenged with identifying savings in their supply chain. C&W provided a transportation

NEWLY RENOVATED IN 2005 2901 West Kingsley Road 3001 National Drive Garland, Texas study that proved savings if IDQ could bring in their refrigerant bulk via direct rail. C&W identified the Garland, TX plant where IDQ built a tank farm for offloading the refrigerant and other additive chemicals for their on-site process.

PAREX

Presented by: Gary V. Lindsey, SIOR Senior Vice President 972.450.3249 gary.lindsey@grubb-ellis.com

• Provided Acquisition Services • 105,000 SF • Cleburne, TX

Owned and Managed by:

• Leased Plant Producing Cement Based Construction Materials C&W represented Parex in the lease of this manufacturing facility. The property required a zoning change M-1 to M-2 in order to accommodate heavy industrial manufacturing per the proposed use.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 12

Request for Qualifications

RELEVANT EXPERIENCE

CURRENT CLIENT LIST OF PROJECT TEAM

ABC Supply Americold Ari Gelles

Chewy.com Dean Foods Fleetpride Hallmark Hollander Family Intermodal Cartage Company Lineage Logistics Magnussen Home Furnishings Mars Petcare

Morrison Express Neovia Logistics Pactiv Panasonic Pepperidge Farm

PETCO Polyair Pretium Packaging Success Partners Trinity Broadcasting Network UTC – Pratt & Whitney VM Innovations

EXHIBIT E

C&W has reviewed Exhibit E from Johns Manville’s services agreement and we have no ongoing projects or current conflicts with any of the competitors listed.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 13

MARKET KNOWLEDGE

Request for Qualifications

DFW INDUSTRIAL MARKET

717,443,390 sf

TOTAL DFW INVENTORY

79,348,725 sf

TOTAL DFW MANUFACTURING INVENTORY

VACANCY R AT E S CONSTRUCTION The Dallas -Fort Worth industrial market continues to tighten, closing Q1 2018 with a vacancy rate of 6.4% . This marks a 10 bps decrease when compared to the 6.5% rate at the end of Q1 2016. Manufacturing closed Q1 2018 with a vacancy rate of 2.4% . This marks a 80 bps decrease when compared to the 3.2% rate at the end of Q1 2016. • Total Market Vacancy has Decreased by 1.5% since Q1 2016 • Manufacturing Vacancy has Decreased by 25% since Q1 2016 Overall net average asking lease rates continue to climb, ending the quarter at $5.40 per square foot (psf) on an annual basis. This represents an impressive 8.9% jump compared to Q1 2017 ($4.96 psf). Among industrial product types, year-over-year asking rents for Manufacturing space were up 12.2%, from $3.76 psf to $4.22 psf, while rates for Warehouse/Distribution remained static at $4.27 psf. Office/flex asking experienced the only decrease in rates, from $9.63 psf to $9.13 psf. Cushman & Wakefield is tracking an additional 55 properties under construction totaling 20.2 msf. Of this, about half, or 10.7 msf, is expected to be completed by midyear. Based on current demand, however, the overall vacancy rate is not expected to increase COMPLETIONS: TOTAL MARKET 2016: 21,154,113 sf 2017: 29,208,294 sf 2018: 3,077,808 sf MANUFACTURING 2016: 1,045,263 sf 2017: 796,948 sf 2018: 161,000 sf

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 15

Dallas-Fort Worth Industrial Q1 2018 MARKETBEAT

Request for Qualifications

MARKET KNOWLEDGE

DFW INDUSTRIAL MARKET

Econom The Dalla thrive as According increased people at new resid Dallas-For 87,000, dr (bps) to 3. added, 28 sector, wh transporta utilities ca sector an industrial Market With the expanded North Tex the cover (msf) of in space. Not buildings t The Dallas closing Q1 bps decre of Q1 2017 (6.3%), an declines, bps, respe Dallas-For net absor recorded types, pos growth ac the DFW the larges first quart Logistics

DALLAS INDUSTRIAL

Dallas/Fort Worth is one of the top Industrial markets in the U.S. do in large part to its opportunity for new construction as well as strong labor, wages, low cost of living and lower real estate costs compared to other comparable industrial hubs nationwide. With a total market size in excess of 700M square feet, and growing by approximately 20-25M SF per year for the last 4 years, it continues to be considered for a prime location of both major distribution centers and manufacturing plants across all business sectors. DALLAS INDUSTRIAL Economic Indicators*

Economic Indicators*

12-Month Forecast

Q1 17

Q1 18

DFW Employment

3,565k

3,652k

DFW Unemployment

4.0%

3.4%

U.S. Unemployment

4.7%

4.1%

*Q1 data is based on the average of January & February values

Overall Vacancy Dallas-Fort Worth Industrial Q1 2018 MARKETBEAT

Market Indicators (Overall, All Property Types) Q1 17 Q1 18

12-Month Forecast

6.9%

6.4%

Net Absorption (SF)

5.3M

3.2M

Under Construction (SF)

21.2M 20.2M

Average Asking Rent*

$4.96

$5.40

$3.50 Economy The Dallas-Fort Worth-Arlington thrive as population and employ According to Moody’s Analytics, t increased by 136,000 year- ver-ye people at the end of March. Equatin new residents each day. During the Dallas-Fort Worth-Arlington employ 87,000, dropping the unemploymen (bps) to 3.4% at the close of Q1 2018. added, 28% (24,500 jobs) can be att sector, which is comprised of good transportation, and utilities. The tra utilities category accounts for 61% sector and is the leading indicat industrial space. Market Overview With the first quarter of 2018, expanded its industrial researchtore North Texas market. Nearly 800,00 the coverage area, encompassing (msf) of inventory, bringing the total space. Note: Cushman &Wakefield o buildings that are at least 20,000 sq The Dallas-FortWorth industrial mar closing Q1 2018 with a vacancy rate bps decrease when compared to th of Q1 2017. Year-over-year, Alliance ( (6.3%), and Far North I-35E (3.2%) le declines, with rates dropping 590 bps, respectively. $4.00 $4.50 $5.00 $5.50 $6.00 2016 2017 Q1 2018

*Rental rates reflect net asking $PSF/year

Overall Net Absorption/Overall Asking Rent 4-QTR TRAILING AVERAGE

12-Month Forecast

Q1 17

Q1 18

7.0

Opportunities for manufacturing in DFW remain strong across most of our major submarkets depending on the end user’s specific needs. C&W will help guide our Johns Manville’s site selection based upon the determinant factors that are important to their business such as labor, utilities, incentives, site parameters and more. Over this current economic cycle DFW has seen a dramatic decrease in vacancy to its current level of 6.4% which with increases in the cost of construction has also caused increases is both lease rates and purchase prices across all sub markets. The lowest costs in real estate remain in the South Dallas corridor due to its vast amount of land/expansion options and new construction delivered to the market in recent years as well as lower tax basis. Before focusing on any one particular area C&W will advise to look at all to compare what is important to Johns Manville. 0.0 1.0 2.0 3.0 4.0 5.0 6.0 2012 2013 2014 2015 2016 2017 Q1 2018 Net Absorption, MSF Asking Rent, $ PSF Overall Vacancy Market Indicators (Overall, All Property Types) Q1 17 Q1 18 12-Month Forecast Overall Vacancy 6.9% 6.4% Net Absorption (SF) 5.3M 3.2M Under Construction (SF) 21.2M 20.2M Average Asking Rent* $4.96 $5.40 DFW Employment 3,565k 3,652k DFW Un mployment 4.0% 3.4% U.S. Unemployment 4.7% 4.1% *Q1 data is based on the av rage of January & February values

10.0% 11.0%

*Rental rates reflect net asking $PSF/year

Overall Net Absorption/Overall Asking Rent 4-QTR TRAILING AVERAGE

2.0% 3.0% 4.0% 5.0% 6.0% 7.0% 8.0% 9.0%

7.0

10-Year Historical Average = 6.9% 5-YEAR HISTORICAL AVERAGE = 6.9% $6.00

6.0

$5.50

5.0

$5.00

4.0

3.0

$4.50

2.0

2012

2013

2014

2015

$4.00

1.0

0.0

$3.50

2012

2013

2014

2015

2016

2017 Q1 2018

Net Absorption, MSF

Asking Rent, $ PSF

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 16

Overall Vacancy

Request for Qualifications

MARKET KNOWLEDGE

INDUSTRIAL DEVELOPMENT PIPELINE (2018-2020 Deliveries, MSF)

Chicago, IL Dallas, TX

Indianapolis, IN Los Angeles, CA Central NJ PA I-81/I-78 Corridor, PA Atlanta, GA Inland Empire, CA

Philadelphia, PA Denver, CO Charlotte, NC Baltimore, MD Seattle, WA St. Louis, MO Phoenix, AZ

Warehouse/Distribution Manufacturing Flex/R&D

DEMAND FOR INDUSTRIAL SPACE (Net Absorption, MSF)

2015-2017 Net Absorption

2018-2020F Net Absorption

Market

Inland Empire

Dallas/Ft. Worth

68.4

66.8

Dallas/Ft. Worth

Inland Empire

63.0

56.3

Chicago

50.8

40.1

Atlanta

PA I-81/I-78 Corridor

43.9

32.7

PA I-81/I-78 Corridor

Atlanta

36.2

28.6

Los Angeles

Indianapolis

35.5

17.0

Central NewJersey

16.4

33.0

Los Angeles

Phoenix

16.2

18.5

Phoenix

Indianapolis

12.5

16.6

St. Louis

Nashville

10.0

16.1

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 17

COMPENSATION

Request for Qualifications

COMPENSATION

In case of leases, Cushman & Wakefield brokerage professionals are compensated through commissions. Commissions in the Dallas/Fort Worth market are typically 4.5% of the net rent consideration over the term of an executed lease paid for by the Landlord. In the event of a purchase, fees range from 3% - 6% depending on many variables including but not limited to the type and size of the transaction. Our in-house subject experts in the fields of market research, marketing and financial analysis are salaried professionals, who are eligible for performance bonuses that are linked to mutually defined metrics, including feedback from branch leadership, senior management and departmental heads. We remain committed to not charging additional fees for the ancillary services that support our Transactional Process. This includes legal review support, financial analysis, in-depth market research, leased property profile and transactional management support. We remain committed to providing a high level of service under these pricing conditions. Our other service lines, such as Project Management, Appraisal, Lease Auditing, Consulting, St. Onge, and Business Incentives Practice etc., are priced utilizing fee for service, hourly rates and on a contingency basis. Our clients have found our pricing to be very reasonable when engaging these services, such as Project Management. We are committed to providing Johns Manville the best pricing for services and to tailor such service to Johns Manville’s needs. Cushman & Wakefield has always maintained a culture of providing a tailored- to-fit service level and as such we modify our costs based on the scope of service. We do not anticipate utilizing the services of any subcontractors other than potentially St. Onge Company whose engagement is at the sole discretion of Johns Manville.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 19

WHY CUSHMAN & WAKEFIELD

Request for Qualifications

WHY CUSHMAN & WAKEFIELD

COMPREHENSIVE understanding OF MANUFACTURING PLANTS, DISTRIBUTION CENTERS, COLD STORAGE, SUPPLY CHAIN ON LOCAL, NATIONAL, AND GLOBAL LEVELS.

RESPECTED INDUSTRIAL ADVISORY MARKET leadership (#1 IN US) WITH UNPARALLELED EXPERIENCE.

FULLY integrated TEAM: EXPERTISE IN TRANSACTION MANAGEMENT, CAPITAL MARKETS, PROJECT MANAGEMENT, FINANCIAL ANALYSIS, AND LABOR, TRANSPORTATION AND INCENTIVES CONSULTING.

High-value , END-TO-END HOLISTIC PROJECT APPROACH SUPPORTED BY CUSHMAN & WAKEFIELD’S FULL SERVICE OFFERING.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 21

Request for Qualifications

BUSINESS INCENTIVES Addendum

BUSINESS INCENTIVES <> Cushman & Wakefield’s Business Incentives Practice secures cash and other benefits for Occupiers, Investors and Developers. We implement strategies for the development, expansion, consolidation or relocation of facilities. Our mission is to enhance business performance through the procurement of economic incentives. Combining the best elements in the industry allows us to provide unparalleled results for our clients. Incentives acquired include: • Tax Abatements, Credits, and Refunds

• Recruitment & Training Assistance • Relocation Expense Reimbursement • Favorable Utility Rates • Tax Increment Finance (TIF) • Taxable and Tax Exempt Industrial • Revenue Bonds • Infrastructure Grants • Transportation Improvements • Fixed Asset Grants • Low Interest Loans • Forgivable Debt • Expedited Permitting, Variances, etc. The Cushman & Wakefield Edge Team: Our team provides diverse backgrounds needed to deliver best in class results: accounting, finance, engineering, government and legal. Process: our proven process ensures efficient and predictable results. Analytics: We have access to the best research tools to ensure our clients get their fair share. Our Incentive Deal Database tracks real-time financial incentives awarded to companies nationally.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 22

Request for Qualifications

BUSINESS INCENTIVES

Addendum

Business Incentives Process

Fees: Fees are typically success-based, computed on an agreed upon percentage of savings. The fee is usually determined using the NPV of expected realized incentive benefits, calculated over the term of the Incentive Agreement. Fees: F es are su ces -based and based pon savin s that J hns Manville agrees can be utilized and wh r Cushma & Wakefield added value. The fee is a p rcent ge of sa ings and will vary depending on whether or not Johns Manville elects to have Cushman & Wakefield complete Phase 4 – Administration. The fee is typically paid over a 3-year period.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 23

Request for Qualifications

BUSINESS INCENTIVES

TEXAS TAX OVERVIEW

Texas imposes a 6.25% state sales/use tax on all retail sales, leases and rentals of most goods, as well as taxable services.

Local taxing jurisdictions can also impose up to 2% sales and use tax

FRANCHISE TAX

SALES TAX

• Privilege tax imposed at a rate of 0.75% • The tax is based on Total Revenue, less the greater of: –– Cost of Goods Sold –– Compensation –– 30% of Total Revenue • Total Revenue is apportioned using a single sales factor based on sales within TX/Total Sales

• Texas imposes a 6.25% state sales/use tax on all retail sales, leases and rentals of most goods, as well as taxable services. • Local taxing jurisdictions can also impose up to 2% sales and use tax

PROPERTY TAX

INVENTORY TAX

• Mill levy rate will vary depending upon taxing entities • Property tax is based on the assessed value of both real and business personal property

• Texas also imposes a local property tax on business

inventories other than Freeport eligible property • Inventory is considered Freeport and exempt from the tax if it is transported outside of TX within 175

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 24

Request for Qualifications

BUSINESS INCENTIVES

Incentives may be negotiated at both the state and local level. In Texas, typically the biggest portion of the incentives are negotiated with the city and county. Depending on the size of investment, incentives may also be negotiated with the school districts. The State of Texas may also award cash grants depending on project size and location. TEXAS INCENTIVE OVERVIEW

PROPERTY TAX

SALES TAX

INVENTORY TAX

• Cities/Counties may

• Manufacturing equipment is generally exempt from sales tax • Electricity and natural gas

• Cities, Counties and School Districts have the ability to approve a Freeport exemption (“triple freeport”) but not have. • Some cities will include non-freeport inventory in their Chapter 380 incentive (county and school taxes will still apply)

provide property tax relief through either a property tax abatement or Chapter 380/381 • Depending on the location and the capital investment, a Chapter 313 may be negotiated which would

used in the manufacturing process is also generally exempt

• If an Enterprise Zone is negotiated project can

create a property tax “floor” and anything above could become exempt

receive a refund of sales tax incurred on project

LOCAL GRANTS & OTHER RELIEF

TRAINING ASSISTANCE

PROJECT INVESTMENT

• May negotiate training through the Skills Development Fund • Must partner with a community or technical college • Grants per business are capped at $500,000 • Some cities have also

• State can provide a grant

• Certain cities may provide a cash grant based upon the number of new jobs created. • Certain cities will provide

through the Texas Enterprise Fund

• Will require creation of at least 75 full-time jobs in an urban area with an average wage that meets or exceeds the average county wage • Grants up to $10,000/ job but typically between $5,000 - $7,000/job

permitting and impact fee relief, which would create a property tax “floor” and anything above could become exempt

created job training assistance programs

FINANCING BENEFITS

• New Markets Tax Credits may be available depending on the location and availability. • The NMTC is a 39% federal credit that is earned on a Qualified Equity Investment (QEI) into a certified Community Development Entity (CDE). It is claimed over a 7-year compliance period • Typically, Client does not receive a tax credit but instead receives cash up-front to reduce Client’s cash investment in the project (typically 17% - 22%). • Investment fund makes interest-only payments during 7-year compliance period with balloon payment of principal due at maturity.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 25

Request for Qualifications

FINANCIAL MODELING

C&W has extensive experience in utilizing financial modeling applications to determine optimal real estate-based financial and transactional methodologies for our clients. These applications are aimed at maximizing critical benefits whether based on cash flow, GAAP/financial statement reporting, and/or capital structuring. Our work goes beyond traditional real estate financial analysis to show the impact of various alternatives on after-tax cash flow, and income statement and balance sheet. We bring to each project a thorough understanding of real estate supply-side economics – landlord objectives and market dynamics; and insight into the real estate capital markets and project financing structures.

Financial analysis example

PROJECT RUBICON

Maryland Market

South Carolina Market

Virginia Market

BEST MARKET OPTION SUMMARY (7 Year Term)

CenterPoint Intermodal Center, Suffolk, VA

1411 Tangier Dr., Baltimore, MD

610 Chelsea Rd, Aberdeen, MD

Hillwood, 180 Trade Center, Summerville, SC

Patillo Industrial @ Palmetto Commerce Park, SC

5/15/2015

AnalysisCommencement LeaseExpiration LeaseTerm

7/1/2016 8/31/2023 86Months

7/1/2016 6/30/2023 84Months

7/1/2016 7/31/2023 85Months

435,490RSF

405,000RSF *

400,000RSF

401,066RSF

RentableSquareFeet (RSF)

OccupancyCosts -PreTax

$19,157,614 $2,673,155 $14,949,321

$21,548,566 $3,006,777 $16,678,623

$15,673,577 $2,187,011 $12,210,462

$16,793,392 $2,399,056 $13,237,765

$13,673,647 $1,930,397 $10,730,617

AverageAnnual

7.00% PV -PreTax

Average $$Cost / SF

$6.14 /RSF

$5.48 /RSF

$5.47 /RSF

$6.00 /RSF

$4.81 /RSF

Year 1RentalRate/SF

$4.80NNN

$4.45NNN

$4.15NNN

$4.59NNN

$4.06NNN

Occupancy Costs

PV - Full Term

Avg $$/RSF

$25,000,000

$20.00 /RSF

$18.00 /RSF

$21,548,566

$20,000,000

$16.00 /RSF

$19,157,614

$16,793,392

$14.00 /RSF

$15,673,577

$16,678,623

$12.00 /RSF

$15,000,000

$13,673,647

$14,949,321

$10.00 /RSF

$13,237,765

$12,210,462

$10,000,000

$8.00 /RSF

$10,730,617

$6.14 /RSF

$6.00 /RSF

$5.48 /RSF

$5.47 /RSF

$4.81 /RSF

$5,000,000

$4.00 /RSF

$2.00 /RSF

$0.00 /RSF

1411TangierDr.,Baltimore,MD

610ChelseaRd,Aberdeen,MD Hillwood,180TradeCenter,Summerville,SC Patillo Industrial@PalmettoCommerce Park,SC

CenterPoint IntermodalCenter,Suffolk,VA

Cushman andWakefield, Inc.Confidential

5/15/2015

Page 2

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 26

Request for Qualifications

LABOR MARKET ANALYSIS

STUDY LEVEL VARIATIONS

LEVEL 1 DETAILED STATISTICAL COMPARISONS

Provides a statistical assessment to rank order locations on their basis of anticipated labor supply, demand and projected costs specific to facility job functions PURPOSE • Screen and identify finalist locations for additional due-diligence (e.g., labor market interviews, occupancy negotiations, cost analyses) CONTENT & DELIVERABLE • Statistical, desktop evaluation and index-rating comparison of candidate locations • Projected labor costs and differentials/savings between candidate locations • Executive dashboard of key market findings and supporting thematic maps

LEVEL 2 EMPLOYER INTERVIEWS

Field-validates the anticipated operating environment by conducting interviews with peer employers

PURPOSE • Field-validate Level 1 findings through peer company employer interviews • Confirm top-performing locations from a labor-market perspective; reveal risks CONTENT & DELIVERABLE • Digest of employer interviews (insight on local wage offering, applicant volume, quality, attrition, unionization, benefits practices, etc.)

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 27

Request for Qualifications

LABOR MARKET ANALYSIS

LEVEL 1: PROPERTY-SPECIFIC DIFFERENTIATION OF ‘LONG-LIST’ PROPERTIES

Once preferred properties have been identified, Cushman & Wakefield ranks and compares each on a variety of labor market indicators to help narrow the list of properties for additional due-diligence activities. • Cushman & Wakefield examines labor market statistics within 10-mile radius and 30-minute drivetime of each property. • 30+ metrics are rated, weighted for importance, and compiled into overall composite index score.

EXAMPLE QUALITATIVE LABOR MARKET COMPARISON

PRIMARY FACTOR WEIGHTING DESIRABLE CONDITIONS Targeted Labor Resources 30%

Larger pool of targeted demographics aligned with the operation’s requirements, blue-collar underemployed, and workforce responsiveness to part-time and shift work Greater size and density of specific targeted skills; balanced competitor profile; fewer employers-of-choice in proximity Less exposure to tight labor supply-demand balance; suitable educational attainment; lower inflation trends; lower market affluence and cost of living indicators Fewer petitions for election certification and successful union election outcomes

25%

Scalability

25%

Sustainability

20%

Union Risk

SAMPLE INDEX

Higher Score = Better Suited Labor Market

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 28

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LABOR MARKET ANALYSIS

LEVEL 2: EXAMPLE IN-PERSON ACTIVITIES: EMPLOYER INTERVIEWS • Field-based, primary research consisting of one-on-one interviews with competitor employers (company identity not revealed) to validate desktop data and observations. • Provides insights on applicant flow/quality, union activity, wage positioning, bonus/premium pay, progression schedules, benefit package offerings, etc. A company representative is encouraged to attend.

EMPLOYER INTERVIEW TOPICS

• Absenteeism and turnover • Applicant quality and response • Geographic labor shed/capture • Labor relations • Pay rates including bonus/incentive pay • Pre-employment testing and failure rates

• Specific recruiting challenges • Staffing feasibility and timing • Unique benefit package offerings • Workers’ compensation claims • Workweek and shifts

EXAMPLE INTERVIEWED EMPLOYER COMPENSATION PRACTICES

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 29

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LABOR MARKET ANALYSIS

LABOR COST VS. QUALITATIVE ATTRIBUTES The graphic illustrates trade-offs for each location from a conditions and cost standpoint. • All locations score above the acceptable qualitative threshold at various degrees of favorability • Dallas, TX (Mountain Creek) scores highest in the qualitative scoring and is among the more favorable cost options followed closely by Dallas, TX (Dallas Ave. / Telephone Rd) • Coppell, TX and Haslet, TX score more favorably in cost but less favorably in terms of qualitative attributes Executiv Summary Labor Cost vs. Qualitative Attributes

Qualitative Labor Market Score 100=Minimum Acceptable Threshold

The graphic il each location cost standpoi • All location acceptable various de • Dallas, TX highest in t among the followed cl Ave. / Tele • Coppell, T

100

110

120

130

140

More Favorable Costs, Less Favorable Conditions

Higher=Better Labor Conditions

More Favorable Costs & Conditions

Haslet, TX

Coppell, TX

Dallas TX (Dallas Ave / Telephone Rd)

Dallas, TX (Mountain Creek)

favorably i terms of q

100

Less Favorable Costs, Less Favorable Conditions

Wage Index (U.S. Avg. = 100)

Less Favorable Costs, More Favorable Conditions

Increasing Costs

105

Bubble size denotes target demographic volume

Note: Wage index represents average surveyed starting market wages for Fulfill and Forklift Operators as compared to the U.S. average.

*This study is shown just as an example and not to be used specifically for any other projects. Cushman & Wakefield | Project Salt

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 30

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LABOR MARKET ANALYSIS

LEVEL AND GROWTH IN INDUSTRIAL EMPLOYMENT (000s)

2017 Industrial Employment

Market

NewYork

1,152

Los Angeles

1,036

Chicago

902

Dallas/Ft. Worth

668

Houston

526

Atlanta

480

Detroit

410

Philadelphia

406

Minneapolis

368

Miami/Ft. Lauderdale

350

2017-2020F Industrial Job Growth

Market

Dallas/Ft. Worth

25.1

Houston

24.6

Miami/Ft. Lauderdale

13.1

Atlanta

12.0

Chicago

10.3

Austin

10.3

Phoenix

7.6

Cincinnati

7.6

Orlando

6.5

Columbus

6.3

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 31

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PROJECT & DEVELOPMENT

OFFICE

Project Managers across Dallas

100

INDUSTRIAL

Projects Managed in Development, Tenant, and Investor Services

HEALTHCARE

$392

4.2

Million Square Feet Valued at

MISSION CRITICAL

Million

S E RV I C E S

MOVE MANAGEMENT

INTERIORS PROJECT MANAGEMENT

FURNITURE

DEVELOPMENT MANAGEMENT

DEVELOPMENT ADVISORY

P R O C E S S

Opportunity for Cost Savings

Operation and Maintenance

Planning Conception

Schematic Design

Design

Development

Construction Documents

Construction

Relocation

/ Closeout

Contract Project Phases

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 32

Request for Qualifications

ST. ONGE

17 years OF PARTNERSHIP WITH C&W ON 100+ projects

60+ engineers FOCUS ON DISTRIBUTION FACILITY DESIGN DISCIPLINES

3,000+ DC PROJECTS COMPLETED FOR 600+ COMPANIES

SUPPLY CHAIN ENGINEERING

SUPPLY CHAIN STRATEGY

SALES & OPERATIONS PLANNING

WAREHOUSING & DISTRIBUTION DESIGN

MANUFACTURING DESIGN

SYSTEMS & TECHNOLOGY

OTHER SERVICES • Animation Services • Simulation Modeling • Automation Strategies

• LEED Certification Support • Customized Job Training • CAD Modeling • Operations Planning & Management

Pricing for these services are based on a per project basis and its defined scope of services.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 33

DISCLOSURES

Request for Qualifications DISCLOSURES

Is your company currently expecting to assist any other organization in a search for land or manufacturing space in the Dallas/Fort Worth, Texas market? Yes. Assisting clients with the site selection of their corporate facilities is C&W’s core business. That said we do not have anything ongoing that will conflict with the needs or site selection of Johns Manville. How does your company resolve the situation if a potential or actual conflict of interest develops while you are working with us? All conflicts are guarded against, confidentiality is ensured, and sensitive information is protected by strict enforcement of Cushman & Wakefield’s Conflict of Interest Policy. All account information is marked confidential and carefully managed by the Project Team and all client information is segregated. No client specific data is shared with our other clients, or with anyone outside the direct Cushman & Wakefield Johns Manville Project Team unless Cushman & Wakefield receives express permission from Johns Manville allowing us to share such information. There is no exception to this rule. Historically, Cushman & Wakefield has represented numerous companies in the same industry. We treat all clients’ business information, including business plans and strategy, as confidential information. Additionally, where we maintain databases, the databases are never commingled and contents are not disclosed without the express written consent of the client. Is your company the object of a lawsuit related to the engagement, in the State of Texas, land area to lease, purchase or sell property for a client? If so, please describe the circumstances. Cushman & Wakefield is involved in litigation of the type routine to an international, multi-disciplined real estate services provider. On the plaintiff side, Cushman & Wakefield has brought routine accounts receivable actions to recover commissions or fees due it for services rendered. In a corporation as large as Cushman & Wakefield, it is not unusual that we are named a defendant or as a co-defendant in legal actions. Due to our fiduciary obligations to our existing customers, we are unable to discuss those legal actions. Cushman & Wakefield and many of its clients consider information regarding any such litigation confidential. Cushman & Wakefield is not a party to any criminal or administrative proceeding, nor to the best of its knowledge is Cushman & Wakefield the subject of any criminal or administrative investigation, which would impact Cushman & Wakefield’s ability to render your firm real estate services.

II.

III.

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 35

APPENDIX

Request for Qualifications

PROJECT TEAM BIOS

Mark Collins Managing Director, Global Supply Chain Solutions 2021 McKinney Ave., Suite 900 | Dallas, TX 75201 Direct: +1 972 663 9706 Mobile: +1 214 564 9191 mark.collins@cushwake.com | cushmanwakefield.com Lic # 494568

Professional Expertise Mark Collins is a Managing Director within Cushman & Wakefield’s Occupier Advisory Group. He is partnered with his brother, Dean, and the two of them specialize in corporate advisory services for industrial and office clients. Mark specifically focuses on representing the real estate needs and interests of the duo’s industrial clients. Services include lease and sale negotiations, strategic planning, site selection, development, and logistics for distribution centers, manufacturing facilities, and food-grade facilities. Mark has served on Cushman & Wakefield’s Industrial Executive Board and is actively involved in the firm’s Tenant Advisory Group, which focuses on collaborating and sharing best practices for tenant representation. Additionally, he is a member of Cushman & Wakefield’s Global Supply Chain Solutions group, enhancing his capabilities in advising clients in this area. Prior to joining Cushman & Wakefield, Mark was a Vice President at Swearingen Realty Group, where he oversaw the firm’s Industrial division. During the past four years, he has completed more than 10 million square feet of transactions and has been one of Cushman & Wakefield’s Top 50 industrial brokers nationally each year. Major Clients Served • ABC Supply Inc.

• Henkel Corp • KidKraft

• Nature’s Best • Office Max/Office Depot • PETCO • Sears • Wells Fargo

• Chewy.com • Club Corp. • Emser Tile & Natural Stone • FOX Sports • GENCO

• Lindt Chocolate • Manchester Tank • Michaels Stores • Monitronics

Professional Affiliations • Member, Texas Real Estate Commission (TREC) • Past Member, Council of Supply Chain Management Professionals Professional Recognition • DCEO, Power Broker, 2015-2018 • Cushman & Wakefield Americas, Top 50 Industrial Broker, 2014-2016 • Cushman & Wakefield Dallas, Top 10 Producer, 2014 and 2015 • Cushman & Wakefield Americas, Top 25 Industrial Broker, 2014

• Dallas Business Journal, Commercial Real Estate Broker of the Year, 2012 • Dallas Business Journal, Commercial Real Estate Deal of the Year, 2012 Community Leadership • Charities supported include Navy Seal Warfare Family Foundation, Mercy Chefs, and Dallas Ramps Education • Bachelor of Business Administration, Marketing, Texas Tech University

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 37

Request for Qualifications

PROJECT TEAM BIOS

Dean Collins Managing Director 2021 McKinney Ave, Suite 900 | Dallas, TX 75201 Direct: +1 972 663 9908 Mobile: +1 214 783 8561 dean.collins@cushwake.com | cushmanwakefield.com

Professional Expertise Dean Collins is a Managing Director in Cushman & Wakefield’s Occupier Advisory Group. He is partnered with his brother, Mark, and the two of them specialize in corporate advisory services for office and industrial clients. They specifically focus on lease and sale negotiations, strategic planning, site selection, development, headquarters and office transactions, logistics for distribution centers, and manufacturing facilities. During the past four years, Dean has completed more than 500,000 SF of office transactions and more than 10 million square feet of industrial, for a total volume of more than $500 million.

Clients Served • AlonUSA • Chewy.com • ClupCorp • FOX Sports

• Genco • Huawei Technologies • KidKraft • Monitronics International

• Panasonic • Salesforce • Sanyo Energy • Wells Fargo Bank

Professional Affiliations • Member, North Texas Commercial Association of Realtors (NTCAR) • Member, Texas Real Estate Commission (TREC)

Professional Recognition • D CEO Power Broker 2013, 2015-2018 • Dallas Business Journal Heavy Hitter, 2007, 2013-2016 • Irving Chamber of Commerce, Deal of the Year, KidKraft, 2011 • Dallas Business Journal, Deal of the Year, finalist, Sanyo headquarters relocation, 2006

Community Leadership • Finance Committee, First United Methodist Church of Prosper

Education • Bachelor of Business Administration in Finance, Texas Tech University

JOHNS MANVILLE | CUSHMAN & WAKEFIELD 38

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