CALUMET BUSINESS CENTER

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1 CALUMET BUSINESS CENTER O F F E R I N G S U M M A R Y Twelve Industrial Buildings Totaling 2,070,579 Square Feet Currently 93% Occupied Direct Class I Rail Service Majority of Space Controlled by Credit Tenants

2 Calumet Business Center Consistently high occupancy; Fantastic in-fill location without the congestion of competing parks; Ample trailer parking - rare for an in-fill location; 24-hour security; Class I rail served park. Holliday Fenoglio Fowler, L.P. ( HFF ) has been exclusively retained to offer qualified investors the opportunity to purchase the Calumet Business Center (the Portfolio / Park ). The Portfolio includes 12 industrial warehouse, distribution, manufacturing, and office facilities totaling 2,070,579 square feet of rentable area. This well-located, direct rail served Park is 93% occupied by 15 tenants and features a unique combination of long-term investment grade credit, varying lease terms, long-term tenancy, and significant tenant bolt-down costs due to their support of local plant operations. The Portfolio offers investors the unique opportunity to acquire a large block of well-occupied industrial assets, in the only Norfolk Southern Railroad direct served park in the City of Chicago. More than 50% of the Portfolio is occupied by tenants who have been in the Park for more than 15 years supporting local operations. The Portfolio is being offered to a select group of qualified investors on an as-is basis only. All inquiries should be directed to HFF. 2

3 Calumet Business Center INVESTMENT HIGHLIGHTS Critical Mass in One Park The Portfolio offers investors the opportunity to purchase 2,070,579 square feet in twelve (12) buildings, which are 93% leased and is comprised of extremely well-maintained industrial assets in a single industrial park. This concentration of assets reduces the need for a diverse management team, providing control over one of the largest portfolios in a single-location within Chicago. It is extremely rare to control 100% of the assets within a single park - especially 2 million square feet of assets. Direct Class I Rail Service Calumet Business Center is the only daily direct Class I rail served industrial park in the City of Chicago. The Norfolk Southern Railroad, which operates 22,000 miles of track in 20 eastern states, offers direct rail service to six of the Park s buildings, or 58.7% of the rentable square feet. This extremely rare feature is one of the main reasons for many tenants to remain in the Park, especially for tenants requiring rail access but needing smaller units. Units as small as 30,000 square feet have the unique luxury of daily Class I rail service, which is a feature usually enjoyed by larger tenants. Daily switches from a Class I is much less expensive than the high transfer cost per-rail-car to switch from a Class I railway to a short line carrier. Further, congestion within local rail yards can cause significant delays, which is significantly negated by direct rail service. 3

4 Calumet Business Center INVESTMENT HIGHLIGHTS Diversified Rent Roll Supporting Local Operations The tenant roster represents the full spectrum of industrial users with approximately 65% of space controlled by credit tenants, providing future ownership a well-diversified, financially stable tenant mix. Numerous tenants, including Grand Warehouse, Bullen Midwest, Precision Laboratories, MWD Logistics, MeadWestvaco, Cargill, and Arro Corporation, support local plants in the area, making Calumet Business Center s location key to their operations and a destination location for many users. The high cost of relocation and long historical occupancy in the Park increases the probability of renewal for a majority of these tenants. Upside exists in future ownership s ability to push rents during renewal negotiations and in the leasing of vacant space. Calumet Business Center's superb location is the reason for its historically stable occupancy and long-term tenancy. Tenants of Calumet Business Center supporting local operatings: Grand Warehouse supporting numerous local printing and packaging operations; Bullen Midwest / Precision Laboratories supporting its parent company, Nuance Solutions, 1/2 mile away; MWD Logistics supporting North American Salt, located in the Port of Chicago; 2.6 miles away MeadWestvaco supporting their own printing operation; Cargill supporting its Hammond, IN plant, one of the world s largest texturizer and emulsifier plants; Arro Corporation supporting its mission critical plant 4.25 miles away. 4

5 Calumet Business Center Harlem INVESTMENT HIGHLIGHTS Midway Int. Airport Stockyards Brighton Park INDUSTRIAL CORRIDOR 94 Stony Island Ave 87th St Dan Ryan Expy Stevenson Greater Southwest Calumet Business Center 90 Calumet Business Center Burnside Calumet West Pullman Pullman 103rd St ord Fwy 94 Bish op F 94 Best in Class Industrial Locations Within City of Chicago Industrial Corridor The Portfolio is located less than a quarter mile northeast of I-94 at a full-interchange at South Stony The Portfolio is located within a City of Chicago designated Industrial Corridor, which provides Island Avenue, and within close proximity to interstate access points at 95th Street and 103rd Street. protection and incentives for industrial companies within the corridors. To help protect land, property, I-94 provides access to I-90 to the north, I-57 and I-294 to the west, and I-80 to the south. The Park is and business within the corridors, zoning change proposals within their borders are reviewed by the effectively located on an interstate entrance ramp, which alleviates the hassle of traffic congestion Chicago Planning Commission, which can reject proposals that would cause conflict with existing after leaving the Park, allowing for decreased transportation time. The Park is also located within an businesses or serve to weaken the corridor s industrial integrity. The Portfolio is within the Burnside Enterprise Zone, which helps local companies expand and create employment opportunities for local Industrial Corridor, which designates that: Chicago residents. Close proximity and access to downtown Chicago and Chicago s south, northwest, and western suburbs, along with locations throughout the Midwest make this an outstanding location Most properties are next to or within 400 feet of a truck route; for industrial users. No competing portfolio or property offers the convenient, congestion-free, in-fill The corridor has limited viaducts or viaducts all over 14 6 ; location of Calumet Business Center. Most sites have railroad access; Most sites are within ¼ mile of the interstate; and 60%-79% of the corridors boundaries are adjacent to expressways, arterial streets, railroad viaducts, industrial or commercial property, or forest preserve/parks, which promotes the corridor boundary integrity. 5

6 Calumet Business Center INVESTMENT HIGHLIGHTS Portfolio Tenant Make-Up 65% of Space Controlled by Credit Tenants 5% 15% 23% 22% MeadWestvaco Packaging Systems Cargill Incorporated Grand Warehouse Corporation Other Tenants occupying space in Calumet Business Center for at least 15 years: MeadWestvaco, currently occupying 466,085 SF Cargill, currently occupying 449,158 SF Grand Warehouse, currently occupying 316,395 SF Bullen Midwest, currently occupying 48,160 SF Del Monte, currently occupying 48,000 SF Chicago Tribune, currently occupying 22,998 SF Strong In-Place Cash Flow With an in-place net operating income of approximately $5.2 million, 93% occupancy, and an average remaining lease term of 3.9 years, the Portfolio offers investors substantial long-term inplace cash flow with a high renewal probability from a majority of tenants. The Portfolio has outperformed the market with 90%+ annual occupancy during and after the recession, while maintaining consistent rental rates. Well-Maintained Functional Real Estate The Portfolio is a collection of functional industrial real estate offering both single-tenant and multi-tenant buildings. The Park has been maintained to an institutional standard and efficiently caters to the demands of a variety of tenants within the marketplace, including those who require food grade warehouse space. The Portfolio offers a dock per square foot ratio of 1/7,000 SF, which is at institutional loading standards. Great access to main thoroughfares, ample off-street car and trailer parking, industrial clear heights from 18 6 to 28 clear, and generous column spacing are prominent features of the real estate. 6

7 Calumet Business Center PORTFOLIO DETAILS # of Buildings: 12 Total Project Size: 2,070,579 Square Feet Years Built: Site Size: 112 Acres Clear Heights: Dock / SF: 1 / 7,000 Square Feet Rail: Norfolk Southern Railroad Rail Loading: Available to six buildings (Bldgs. 4, 5, 6, 9, 10, 12) Car Parking: 572 Spaces (0.28 / 1,000 Square Feet) Trailer Parking: Approximately 250 throughout the Park Construction Type: Masonry & Metal Panel Portfolio Occupancy: 93% 7

8 Atlanta Austin Boston Charlotte CHICAGO Denver Dallas Florham Park (NJ) Houston Indianapolis Los Angeles Miami New York Orange County (CA) Orlando Philadelphia Pittsburgh Portland (OR) San Diego San Francisco Tampa Washington, DC INVESTMENT CONTACTS Patrick J. Sullivan Managing Director Ryan W. Chambers Analyst West Madison Suite 3900 Chicago, IL Telephone: Fax: DEBT CONTACT Christopher S. Carroll Managing Director FINANCIAL OVERVIEW Rentable Area: Percent Leased: 93% Approximate Year-1 NOI: OFFERING FORMAT Asking Price: Offer Deadline: 2,070,579 square feet $5.2 million LEASING CONTACT Chris Gary Vice President NAI Hiffman No asking price has been established for the Offering To be determined Holliday Fenoglio Fowler, L.P. ( HFF ) an Illinois licensed real estate broker HFF and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 22 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on HFF has been engaged by the owner of the property [properties] to market it [them] for sale. Information concerning the property [properties] described herein has been obtained from sources other than HFF and we make no representations or warranties, express or implied, as to the accuracy or completeness of such information. Any and all references to age, square footage, income, expenses and any other property specific information are approximate. Any opinions, assumptions, or estimates contained herein are projections only and used for illustrative purposes and may be based on assumptions or due diligence criteria different from that used by a buyer. Buyers should conduct their own independent investigation and rely on those results. The information contained herein is subject to change.