Current Case Study: Security Title Plaza

SECURITY TITLE PLAZA, PHOENIX, AZ

Purchase Date: November 2003 Size: 207,000 sq ft Type: Class A Office

OPPORTUNISTIC ACQUISITION

	Acquired for $14.5($70 per sq. ft.) estimated to be 30% of replacement cost
	Motivated seller (a liquidating fund)
	75% occupancy, lease roll-over risk
	Recovering sub-market (central Phoenix)

VALUE ADDED

	Acquired adjacent land to increase parking ratio
	Improved all common areas and elevators
	Increased rents from $16.50 to $23.50/SF gross
	Increased occupancy from 75% to 93%

RESULTS

	Sold in Jan 2007 $38 million ($184/SF)
	Gross 63% IRR and a 4.66x gross equity multiple