EXCLUSIVE OFFERING Towson, Maryland
2 THE OFFERING ( HFF ), as exclusive representative for the Owner, is pleased to present this offering for the sale of Dulaney Center, a portfolio of two Class A office buildings totaling 316,348 Square Feet and a seven-story parking garage ( the Properties or the Portfolio ) in the heart of Towson, Maryland. The Properties are located immediately adjacent to a 248-room Sheraton Hotel, and benefit from a pedestrian walking bridge that provides a direct connection to Towson Town Center, which is the premier shopping and dining destination in the Baltimore metropolitan region. Dulaney Center is 89% leased to a diverse roster of 30 tenants, 45% of which have occupied the Properties for more than ten years. The Portfolio s entrenched tenancy, consisting of businesses that are representative of the wealthy local Towson economy, provides excellent in-place cash flow and is complemented by an ideal rollover profile, with an average of just 7% of leased space expiring annually through 2028. In addition, investors have the ability to generate outsized revenue growth from the 1,542-space parking garage, which serves Dulaney Center as well as the adjacent Sheraton Hotel. DULANEY CENTER OVERVIEW Address Rentable Area Percent Leased WALT Year Built Dulaney Center I 849 Fairmount Avenue 133,502 SF 85% 5.0 Years 1983 Towson, MD 21286 Dulaney Center II 901 Dulaney Valley Road 182,864 SF 92% 4.7 Years 1987 Towson, MD 21204 Total Office 316,348 SF 89% 4.9 Years Parking Garage 855 Southerly Road Towson, MD 21286 1,542 Spaces* 1986 *Excludes 15 surface spaces. Accordingly, this core-plus investment offering represents a coveted opportunity to acquire an institutional quality office portfolio and perfectly positions investors long-term to benefit from the leasing activity, rental rate growth, and parking upside that will accompany Towson s continued revitalization as the premier live-work-play environment in the Baltimore metropolitan region.
INVESTMENT HIGHLIGHTS 89% Leased Institutional Quality Office Portfolio; Excellent In-Place Cash Flow; 10-Year Average Occupancy Of 90%; Over $2.8 Million Of Recent Capital Investments Seven-Story, 1,542-Space Structured Parking Garage Offers Tremendous Upside; Opportunity To Generate Outsized Monthly Parking Income Growth 3 Entrenched Tenancy; 45% Of Tenants Have Occupied Dulaney Center For More Than Ten Years; Ideal Rollover Profile; Average Annual Expirations Of Just 7% Over $1.0 Billion Of Recent Institutional Investment In Towson 24-7 Amenity-Rich Towson Location; Pedestrian Walking Bridge To Towson Town Center TOWSON TOWN CENTER Owner: General Growth Properties FAIRMOUNT AVENUE DULANEY VALLEY ROAD Owner: Starwood Hotels & Resorts Not included in Offering Pedestrian Walking Bridge PARKING GARAGE SOUTHERLY ROAD ENTRENCHED TENANCY % OF TENANTS WITH 20+ YEARS OF OCCUPANCY 22% % OF TENANTS WITH 15+ YEARS OF OCCUPANCY 39% % OF TENANTS WITH 10+ YEARS OF OCCUPANCY 45% % OF TENANTS WITH 7+ YEARS OF OCCUPANCY 52%
INVESTMENT HIGHLIGHTS 4 Highly Accessible From The Affluent Surrounding Suburbs; Less Than Half A Mile From The Baltimore Beltway (I-) Wealthy Local Demographics; Within A Three Mile Radius Of Dulaney Center, The Average Household Income Is $98,250, 52% Of The Population Has A Bachelor s Degree Or Higher, And There Are 10 Private High Schools And 6 Country Clubs Proximity To Major Regional Demand Drivers: The County Seat Of Baltimore County; Hospitals Including The Greater Baltimore Medical Center And Johns KENILWORTH DRIVE BOSLEY AVENUE TOWSON PROMENADE Owner: UDR, Inc. YORK ROAD 20 LAMBOURNE Owner: UDR, Inc. FAIRMOUNT AVENUE THE QUARTERS AT TOWSON TOWN CENTER Owner: J.P. Morgan Hopkins; Colleges Including Towson University, Goucher College, Loyola University Maryland, And Johns Hopkins DULANEY VALLEY ROAD GOUCHER COLLEGE FUTURE MIXED-USE DEVELOPMENT SHERATON BALTIMORE NORTH HOTEL Owner: Starwood Hotels & Resorts GOUCHER COLLEGE TOWSON TOWN CENTER Owner: General Growth Properties PARKING GARAGE SOUTHERLY ROAD KEY NEARBY INSTITUTIONALLY OWNED ASSETS
TOWSON S RAPIDLY TRANSFORMING URBAN-SUBURBAN CORE YOR KR OAD 5 TOWSON TOWN CENTER Over 30 Food Options Including Over 160 Stores Including BALTIMORE COUNTY COURTHOUSE TOWSON ROW DEVELOPMENT TOWSON GREEN TOWSON CIRCLE TOWSON MEWS FLATS AT 703 DULANEY PLAZA TOWSON SQUARE TOWSON TOWN CENTER Pedestrian FAIRMOUNT AVENUE e idg Walking Br PARKING GARAGE.2 M ILES ROAD Y L R E H T SOU
Bel Air 165 145 146 83 Kingsville Loch Raven Reservoir 25 7 95 Edgewood 40 147 Towson 83 140 7 139 26 1 40 70 Baltimore 40 95 Catonsville TOWSON MARYLAND 895 Brooklyn Curtis Bay 195 95 Elkridge Shipley Bruce E. Strasburg James A. Meisel Matthew T. Nicholson Stephen C. Conley Holliday BayFenoglio Fowler, L.P. Baltimore Senior Managing WashingtonDirector International Airport 202.533.2501 Harmans bstrasburg@hfflp.com Burnie Severn Sean R. Kraft 97 Associate Director 202.533.2502 mnicholson@hfflp.com 173 Cary P. Abod Associate 202.777.2307 skraft@hfflp.com Analyst Pasadena 202.777.2309 pglading@hfflp.com Managing Director 202.533.2513 cabod@hfflp.com Odenton Executive Managing Director 202.533.2533 sconley@hfflp.com FINANCING: 100 Patrick G. Glading Ridgeway 32 10 Managing Director Senior 202.533.2505 Glen jmeisel@hfflp.com Chesapeake Severna Park 1775 Pennsylvania Ave, NW 5th Floor Washington, DC 20006 202.533.2500 hfflp.com ( HFF ) a Maryland licensed real estate broker. HFF has been engaged by the owner of the property to market it for sale. Information concerning the property described herein has been obtained from sources other than HFF, and neither Owner nor HFF, nor their respective equity holders, officers, employees and agents makes any representations or warranties, express or implied, as to the accuracy or completeness of such information. Any and all reference 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 purchaser, and HFF, its partners, officers, employees and agents disclaim any liability that may be based upon or related to the information contained herein. Prospective purchasers should conduct their own independent investigation and rely on those results. The information contained herein is subject to change.