UPSIDE POTENTIAL

Approximately 40% of the rentable space has recently been refinished primarily for office, flex and design use. And an additional 15% of the property has been refinished as office and showroom space. Depending on level and quality of finish and depending upon type of building and location, similar suites are available in the market for between $9 - $12.00 NNN or more. Gunbarrel Business Center rents for this type of space are $7.50 - $7.75 NNN.

Current in place rents at the Gunbarrel Business Center average $7.00 per SF. Taking into consideration level of finish and type of use, market rents for all similar property types averaged $8.50 per SF, and historic average market rents have been as high as $10.00 per SF. The Gunbarrel Business Center is currently 95% occupied with only 3, 045 SF available in two spaces sized 1,970 SF and 1,075 SF.

Gunbarrel Business Center has received approximately $700,000 worth of improvements within the past 6 months. These recent improvements will provide benefits well beyond the expiration of all current leases.