>> West L.A. Maintains Momentum To Start Year

Research & Forecast Report West Los Angeles OFFICE Accelerating success. >> West L.A. Maintains Momentum To Start Year Key Takeaways > The average asking monthly rent for West Los Angeles rose to $4.63 per square foot (P) full service gross (FSG), a $0.02 increase over the previous quarter. > Demand rose, recording 122,500 square feet of positive absorption. Gains in Marina Del Rey/Venice and Culver City figured prominently for the quarter. > The under-construction pipeline held steady, adding three more planned properties while four projects delivered; a total of 17 buildings remain in the pipeline > Investment maintained momentum with three properties trading, highlighted by Rockwood Capital s acquisition of the Water s Edge campus in Playa Vista. > Leasing activity recorded 1,417,400 square feet, up 7.6% year-over-year. Market Indicators Relative to prior period Forecast Net Absorption Construction Rental Rate Summary Statistics West Los Angeles, Class A Class B All Classes 15.1% 10.0% 13.9% +30-10 +10-51.0 +151.8 122.5 Rate Change from Q4 17 (Basis Points) Net Absorption* Construction Completions* Under Construction* 55.5 147.7 203.2 1128.3 526.1 1654.4 *, Thousands West Los Angeles Office Market in the West Los Angeles market rose by 10 basis points as the delivery of a few partially vacant buildings negated absorption gains in Marina Del Rey/Venice and Culver City. Rents continued their ascent, rising by $0.02 to $4.63 P FSG, although year-over-year growth fell considerably. Leasing activity rebounded from last quarter s 896,700 square feet, recording 1,417,400 square feet of velocity. The West Los Angeles market is poised to add more than 1.65 million square feet in the next two years as construction and creative conversions deliver. Leasing efforts for these projects will go a long way in determining whether vacancy stabilizes in the West Los Angeles market or continues to rise. Asking Rents West Los Angeles, Class A Class B All Classes $4.77 $4.14 $4.63 -$0.05 +$0.05 +$0.02 3.0% 5.3% 4.2% Average Asking Rent Change from Q4 17 ($) Y.O.Y. Change (%) Labor Force Los Angeles County, February 2018 Nonfarm Prof. & Business Services Financial Activities 12-mo Employment Growth (%) 1.4% 2.1% 0.5% 12-mo Actual Employment Change 61,500 12,800 1,000

West Los Angeles OFFICe > The overall vacancy rate for West Los Angeles rose 10 basis points to begin the year at 13.9%. > Class A properties accounted for most of the movement in vacancy, with a 30-basis-point increase from 14.8% to 15.1%. > rose despite positive absorption due to the delivery of vacant buildings in Culver City and Marina Del Rey/Venice. > Forecast: Heading into the middle of the year, vacancy should mirror 2017 s trend of incremental tightening, though much of that will depend on the occupancy of current construction projects at delivery. Absorption and Leasing Activity > Absorption recorded 122,500 square feet for the quarter. Leasing velocity rebounded from last quarter s 896,700 square feet, posting 1,417,400 square feet. > Culver City led the market in velocity as NFL Networks renewed for 175,000 square feet at 10950 W. Washington Boulevard, while Apple signed for 128,000 square feet and Amazon signed for 75,000 square feet at the 8777 Washington and Culver Steps projects, respectively. > Tesla occupied its 131,100-square-foot space at 4729 Alla Road in Marina Del Rey, while WeWork moved into 60,000 square feet at 10000 W. Washington Boulevard. At the same time, move-outs like Wasserman Media Group s exit from 10960 Wilshire Boulevard contributed to lower net gains. > Forecast: The low unemployment rate and a focus on space efficiency will lessen demand into early 2018. Rental Rates > Overall monthly asking rental rates continued along an upward trend, albeit at a more measured pace than past quarters. The current overall rental rate of $4.63 P increased by $0.02 from the previous quarter. > The current year-over-year growth of 4.1% is the lowest percentage since the first quarter of 2014. However, the torrid gains of the past few years still make the current rental rate the high-water mark since Colliers started tracking rents in 2005. > Century City rents experienced the greatest negative delta, down $0.34 to $4.59 P, as several large blocks of space were leased out. > Forecast: West Los Angeles rental rates will continue to rise at a more moderate pace in the near future. Historical v. Rents West Los Angeles Office Market Q1 14-18 $ P FSG PER MONTH (WEIGHTED) Net Absorption by Submarket West Los Angeles Office Market Q1 18 $4.80 $4.70 $4.60 $4.50 $4.40 $4.30 $4.20 $4.10 $4.00 $3.90 $3.80 $3.70 $3.60 $3.50 $3.40 $3.30 $3.20 $3.10 200,000 150,000 100,000 1Q14 1Q15 1Q16 1Q17 1Q18 50,000 0 (50,000) (100,000) (150,000) 60,900 CULVER CITY (112,000) MIRACLE MILE RENTS 71,800 WEST HOLLYWOOD (13,600) CENTURY CITY VACANCY (89,200) (12,100) (2,200) (39,600) 14,100 183,000 Historical Leasing Activity West Los Angeles Office Market Q1 14-18 1,900,000 1,700,000 1,500,000 1,300,000 1,100,000 900,000 700,000 500,000 300,000 100,000 WESTWOOD OLYMPIC CORRIDOR WEST LOS ANGELES BRENTWOOD SANTA MONICA MARINA DEL REY/VENICE 18% 16% 14% 12% 10% 8% 6% 4% % VACANT (TOTAL) 61,400 1Q14 1Q15 1Q16 1Q17 1Q18 BEVERLY HILLS 2

West Los Angeles OFFICe Construction > Four properties came to market, highlighted by the delivery of Building E at Rockwood Capital s Playa Jefferson. The property will expand the campus footprint by 55,000 square feet. > The West Los Angeles construction pipeline remains active. Hackman Capital s 5500 W. Jefferson Boulevard project and Colorado Creative Studios Santa Monica Gateway are due to deliver in the second quarter of 2018. > Three new projects broke ground in Culver City and Marina Del Rey/Venice adding just more than 160,000 square feet to the pipeline. > Forecast: West Los Angeles constitutes 40% of new construction in Los Angeles County, and robust construction activity will persist through 2018. Historical Net Absorption & Construction Completions West Los Angeles Office Market Q1 14-18 800,000 600,000 400,000 200,000 0 (200,000) (400,000) (600,000) (800,000) (1,000,000) (1,200,000) NET ABSORPTION CONSTRUCTION COMPLETIONS 1Q14 1Q15 1Q16 1Q17 1Q18 Investment Trends > Investment activity for properties greater than 25,000 square feet increased from the previous quarter s total of $273.4 million, recording $350.5 million in investment sales volume. > Rockwood Capital continued to bet on Playa Vista by purchasing the Water s Edge campus from DivcoWest for $190 million ($733 P). The property was 89% leased at the time of sale and included 2.4 acres entitled for a third building of up to 160,000 square feet. > The other notable sale took place in Beverly Hills. CIM Group acquired 9460-9470 Wilshire Boulevard for $132 million, or $1,416 P. The building, which was sold by a private family trust, was 90% occupied at the time of sale and anchored by Union Bank. > Forecast: Investment activity was robust in 2017. The market will be hard pressed to match this level of activity in 2018. Investment Trends Chart West Los Angeles Office Market 2012-2018 $/P $900 $800 $700 $600 $500 $400 $300 $200 $100 $- Average Price P Cap Rate 2012 2013 2014 2015 2016 2017 2018 7 6 5 4 3 2 1 0 Cap Rate Outlook The West Los Angeles market maintained limited momentum to begin 2018. experienced a slight uptick due to the delivery of vacant space, but demand remained positive for the quarter. While rents once again increased from the previous quarter, year-over-year growth slowed considerably. West Los Angeles continues to be one of the premier office markets for entertainment and tech tenants and we expect this to remain so for the foreseeable future whether rent growth continues to slide. Developers seem to agree, as new projects break ground to replace those that deliver to the market. Unemployment Rate U.S., CA & Los Angeles County February 2018 4.6% 4.5% 4.4% 4.3% 4.2% 4.1% 4.0% 4.1% 4.3% 4.5% 3.9% United States California Los Angeles County 3

West Los Angeles OFFICe Market Description West Los Angeles is a moderately large office market comprised of 56.2 million square feet, representing 19% of the total office space in buildings 25,000 square feet and greater in the Los Angeles Basin. It is also a moderately young and dense market, with 40% of its space built in 1985 or later, and 70% of its space contained within mid-rise and high-rise buildings. It has a large concentration of highmargin firms (including those in the entertainment, digital media, software, and finance sectors), and is situated in the midst of some of the most affluent neighborhoods nationally. Submarket Map RECENT TRANSACTIONS & MAJOR DEVELOPMENTS West Los Angeles Office Market SALES ACTIVITY PROPERTY ADDRESS SIZE SALE PRICE PRICE P BUYER SELLER Water's Edge (3 Bldgs.)., Playa Vista 259,200 $190,000,000 $733 P Rockwood Capital LLC DivcoWest 9460-9470 Wilshire Blvd., Beverly Hills 93,200 $132,000,000 $1,416 P CIM Group LP Universal Properties Inc 11859 Wilshire Blvd., Los Angeles 47,700 $28,500,000 $598 P Parsons Corporation ICDC College LEASING ACTIVITY PROPERTY ADDRESS LEASED LEASE TYPE BLDG TYPE LESSEE LESSOR 10950 W. Washington Blvd., Culver City 175,000 Renewal B NFL Networks Hudson Pacific Properties 8777 Washington Blvd., Culver City 128,000 Direct A Apple Clarion Partners 9300 Culver Blvd., Culver City 75,000 Direct A Amazon Studios Hackman Capital Partners 2029 Century Park East, Century City 55,000 Direct A Proskauer Rose LLP NES Financial 10250 Constellation Ave., Century City 45,400 Direct A Knight Law Group JMB Financial Advisors MAJOR DEVELOPMENTS PROJECT DEVELOPER SIZE SUBMARKET STATUS ESTIMATED COMPLETION 5865 S. Campus Center Dr., Playa Vista ASO Group 310,000 Marina Del Rey/Venice Under Renovation Q4 2018 8830 National Blvd., Culver City City of Culver City 200,000 Culver City Under Construction Q3 2019 2834 Colorado Ave., Santa Monica (2 bldgs) Colorado Creative Studios, LLC 200,000 Santa Monica Under Construction Q2 2018 9300 Culver Blvd., Culver City City of Culver City 70,500 Culver City Under Construction Q4 2019 302 Colorado Ave., Santa Monica Seritage Growth Properties 52,800 Santa Monica Under Renovation Q4 2018 325 N. Maple Dr., Beverly Hills GRT Portfolio Properties 100,000 Beverly Hills Under Construction Q2 2018 5500 W. Jefferson Blvd., Culver City Hackman Capital Partners 85,000 Culver City Under Construction Q2 2018 12414 Exposition Blvd/, Los Angeles 12414 Exposition Owner Llc 80,400 Olympic Corridor Under Construction Q1 2019 953 N. Sycamore Ave., West Hollywood CIM Group 65,800 West Hollywood Under Construction Q3 2018 4065 Glencoe Ave., Marina Del Rey Glencoe Avenue Associates LLC 65,200 Marina Del Rey/Venice Under Construction Q2 2019 5005 McConnell Ave., Marina Del Rey Marina Creative Office LP 65,200 Marina Del Rey/Venice Under Renovation Q4 2018 12910 Panama St., Marina Del Rey (3 Bldgs) Ron-pan LLC 155,000 Marina Del Rey/Venice Under Construction Q3 2019 5860 W. Jefferson Blvd., Culver City Rad Beverly Llc 49,000 Culver City Under Construction Q2 2018 257 N. Canon Dr., Beverly Hills Fes Limited Partnership 48,800 Beverly Hills Under Construction Q2 2018 5830 Rodeo Rd, Culver City Westport Capital Partners 40,000 Culver City Under Renovation Q3 2018 2041-2105 Colorado Ave., Santa Monica Colorado Campus Owner LLC 37,000 Santa Monica Under Construction Q3 2018 3317-3325 Exposition Pl., Culver City Lion Real Estate Group, LLC 29,700 Culver City Under Renovation Q2 2018 4

West Los Angeles OFFICe OFFICE OVERVIEW West Los Angeles Office Market EXISTING PROPERTIES VACANCY ACTIVITY ABSORPTION CONSTRUCTION RENTS Submarket/ Class Bldgs Inventory Direct Sublease Prior Qtr Leasing Activity Current Qtr Leasing Activity YTD Net Absorption Current Qtr Net Absorption YTD Completions Current Qtr Under Construction Weighted Avg Asking Lease Rate A 241 45,663,800 13.8% 1.3% 15.1% 14.8% 1,178,500 1,178,500 (51,000) (51,000) 55,500 1,128,300 $4.77 B 185 11,221,100 9.1% 0.9% 10.0% 10.1% 238,100 238,100 151,800 151,800 147,700 526,100 $4.14 C 19 735,000 2.0% 0.5% 2.5% 5.4% 900 900 21,600 21,600 0 0 $2.70 CENTURY CITY Subtotal 20 10,594,100 8.0% 1.0% 9.0% 8.9% 230,200 230,200 (13,600) (13,600) 0 0 $4.59 SANTA MONICA Subtotal 103 9,432,900 10.8% 0.9% 11.7% 11.9% 86,600 86,600 14,100 14,100 0 289,800 $5.41 BEVERLY HILLS Subtotal 72 6,815,500 11.7% 1.5% 13.2% 14.1% 197,400 197,400 61,400 61,400 0 148,800 $5.35 MIRACLE MILE Subtotal 25 5,279,500 16.3% 1.4% 17.7% 15.6% 81,700 81,700 (112,000) (112,000) 0 0 $3.91 WESTWOOD Subtotal 27 4,743,100 15.1% 0.9% 15.9% 14.1% 171,800 171,800 (89,200) (89,200) 0 0 $4.27 CULVER CITY Subtotal 50 4,053,500 22.3% 0.5% 22.8% 23.4% 389,100 389,100 60,900 60,900 49,000 474,200 $4.35 MARINA DEL REY/VENICE Subtotal 59 6,226,200 17.5% 3.1% 20.6% 21.6% 115,200 115,200 183,000 183,000 154,200 595,400 $4.82 BRENTWOOD Subtotal 20 3,370,100 8.9% 0.2% 9.1% 7.9% 37,300 37,300 (39,600) (39,600) 0 0 $4.58 OLYMPIC CORRIDOR Subtotal 27 3,301,100 4.8% 0.8% 5.5% 5.2% 55,400 55,400 (12,100) (12,100) 0 80,400 $3.99 WEST HOLLYWOOD Subtotal 32 2,954,300 16.0% 1.0% 17.0% 19.4% 44,800 44,800 71,800 71,800 0 65,800 $4.28 WEST LOS ANGELES Subtotal 10 849,600 18.1% 0.0% 18.1% 17.9% 7,900 7,900 (2,200) (2,200) 0 0 $3.59 MARKET TOTAL 445 57,619,900 12.7% 1.2% 13.9% 13.8% 1,417,400 1,417,400 122,500 122,500 203,200 1,654,400 $4.63 Note: revisions to the inventory base were made effective, historical data reported here reflect these revisions and may not match data reported in previous quarters. 5

West Los Angeles OFFICe Q4 2017 Definitions of key terms in this report Rentable Square Feet: Office space in buildings with 25,000 square feet or more of speculative office space, including competitive space in Class A, B and C single-tenant and multi-tenant buildings. Excludes non-competitive owner-occupied buildings, buildings that include 30 percent or greater of medical or retail space, and space that is under-construction, underrenovation or off-market. Class A Space: Space that an image-conscious company would lease for its headquarters. Typically, this space has a very high level of finish, an excellent location and commands the highest rents in the market. Class B Space: Highly functional, attractive space that is less prestigious than Class A Space and commands lower rental rates. Class C Space: Functional, competitive space with a lower level of finish and/or a less desirable location than Class B Space and commands lower rental rates. Low-Rise: Buildings with four or fewer total floors. Mid-Rise: Buildings with five or 13 total floors. High-Rise: Buildings with 14 or more floors. Direct : Space in existing buildings that is vacant and immediately available during the quarter for direct lease, plus space that is vacant but not available for direct lease or sublease (for example, space being held for a future commitment). : Space in existing buildings that is vacant and immediately available during the quarter for direct lease or for sublease, plus space that is vacant but not available for direct lease or sublease. Net Absorption: Net change in occupied square feet from one period to the next (including the impact of change in vacant space available for sublease). Leasing Activity: Square feet leased from all known transactions completed during the quarter, excluding lease renewals. Weighted Average Asking Rental Rates: Rental rates weighted by the total square feet available for direct lease. Data, reported on a monthly basis, is based on per square foot (P) full service gross (FSG) rents and includes all costs associated with occupying the space, including taxes, insurance, maintenance, janitorial service and utilities. Space Added (Net): square feet added during the quarter via construction completions, including renovated space returned to market, less total square feet taken off-market due to demolitions or conversions. Under Construction: Includes buildings that are in some phase of construction, beginning with foundation work and ending with the issuance of a Certificate of Occupancy. Technical Note: Colliers International is continuously refining its database. The data shown in the historical tables and graphics in this report have been adjusted to take into account these changes in the database. This report has been prepared by Colliers International for general information only. Information contained herein has been obtained from sources deemed reliable and no representation is made as to the accuracy thereof. Colliers International does not guarantee, warrant or represent that the information contained in this document is correct. Any interested party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This report and other research materials may be found on our website at www.colliers.com/greaterlosangeles. 413 offices in 69 countries on 6 continents United States: 145 Canada: 28 Latin America: 23 Asia Pacific: 79 EMEA: 131 UNITED STATES: Downtown LA Office License No. 01908231 865 S. Figueroa St., Ste. 3500 Los Angeles, CA 90017 HANS MUMPER Executive Managing Director Southern California CHRIS WONG Regional Research Analyst Research Services > $2.7 billion in annual revenue > 2.0 billion square feet under management > Over 15,400 professionals TEL: +1 213 627 1214 FAX: +1 213 327 3200 CAITLIN MATTESON Research Director Research Services 6