The slow death of the neighborhood office building 12/31/2018 Trimark corporation

The neighborhood office building owner….. 12/31/2018 Trimark corporation

So what’s the problem? Technical Obsolescence Site Underdevelopment Renovation Unfeasibility Functional Obsolescence 12/31/2018 Trimark corporation

Those millennials…… Account for 25% of the population… Work-life integration Fun is important – want to be where the action is Integrating telecommuting Open office, co-working and collaboration spaces 12/31/2018 Trimark corporation

Again, those millennials……. Those entrepreneurs want shared office space Lower costs Fewer responsibilities Smaller commitments Networking opportunities Urban-centric locations 12/31/2018 Trimark corporation

In a battle of survival…… 50,000 square foot office building in Falls Church: Annual top line revenue: 2007 - $1,001,926 2016 - $773,850 45,000 square foot office building in Falls Church: 2007 - $998,007 2016 - $818,974 12/31/2018 Trimark corporation

In a battle of survival…… 100,000 square foot office building in Springfield: Annual top line revenue: 2007 - $1,634,924 2016 - $1,560,787 40,000 square foot office building in Springfield: 2007 - $1,175,398 2011 - $136,595 2018 - $908,974 12/31/2018 Trimark corporation

Begin with the end in mind…… Strategy Commercial Real Estate Purchase ✔ 12/31/2018 Trimark corporation

If you don’t….. 12/31/2018 Trimark corporation

If you don’t……. 12/31/2018 Trimark corporation

If you don’t….. 12/31/2018 Trimark corporation

If you don’t….. 12/31/2018 Trimark corporation

If you don’t….. 12/31/2018 Trimark corporation

20,000 square foot, 2-story office building in If you do….. 20,000 square foot, 2-story office building in Falls Church, Virginia 4/05 3 individuals purchased building - $3,000,000 8/05 Leased property to their company 11/05 Sold property to their company - $7,400,000 1/17 – Sold business/leased building to buyer 5/17 – Sold property to an investor - $6,000,000 12/31/2018 Trimark corporation