cCARE | Offering Memorandum

HEALTHCARE ADVISORY PRACTICE

M A R K E T HEALTHCARE ADVISORY GROUP Medical Office Report Office QX 2016 Medical Office Report San Diego Q4 2018

SAN DIEGO MEDICAL OFFICE SNAPSHOT 4Q 2018

OVERALL AVERAGE ASKING RENT

CURRENT DIRECT NET ABSORPTION (SF)

YTD DIRECT NET ABSORPTION (SF)

YTD LEASING ACTIVITY (SF)

UNDER CNSTR (SF)

SUBLET VACANT (SF)

DIRECT VACANT (SF)

OVERALL VACANCY RATE

SUBMARKET INVENTORY (SF)

North County 3,252,980 7,732 288,566 9.1%

72,236

72,044

66,280

68,000 $3.14

Mid City

2,295,270 20,553 144,870 7.2%

29,221

981

43,163

30,000 $3.42

I-15 Corridor

1,021,293 24,864 45,583 6.9%

3,596

63,328

95,894

0

$3.33

Central Suburban

3,480,858 2,694 134,176 3.9% 35,854

-469

87,735

0

$3.20

East County

1,082,195 1,600 69,787 6.6%

-3,437

-8,953

13,754

0

$2.82

South County

1,490,159 7,679 61,609 4.6% 10,306

12,675

57,504

0

$2.69

On Campus

4,568,749 26,040 279,758 6.7%

98,091

78,731

73,906

68,000 $3.07

Off Campus

8,054,006 39,082 464,833 6.3% 49,685

60,875

290,424

30,000 $3.20

Single Tenant

4,071,287

0 18,039 0.4%

-3,179

39,381

72,780

68,000 $3.08

Multi Tenant

8,551,468 65,122 726,552 9.3% 150,955

100,225

291,550

30,000 $3.15

12,622,755 65,122 744,591

6.4% 147,776

139,606 364,330

98,000

$3.15

TOTAL

*Rental rates reflect full service (FS) asking $psf/month. Vacancy rate includes direct and sublease. Net absorption excludes sublease. Key Lease Transactions Q4 2018

TRANSACTION TYPE

PROPERTY

SF

TENANT

LANDLORD

SUBMARKET

Pacific Highland Ranch

16,350

UCSD

Coast Income Properties

New

Mid City

38

CCARE | 838 NORDAHL ROAD, SUITE 300, SAN MARCOS

Park Terrace Health Center 13,583 Rogers Behavioral Health

MBRE Healthcare

New

Mid City