Presented by JP de Kervor (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE ©JP de Kervor All rights reserved January 16, 2013

REAL ESTATE IN BAJA World’s largest Privately held commercial real estate firm 253 offices in 60 countries 14,000 employees worldwide Worldwide transaction value (2010) $766 billion (US) Worldwide revenue (2010) $1.04 billion (US) 5 offices in Mexico D.F. Monterrey Juarez Tijuana Guadalajara 32 brokers in Mexico ABOUT │ Cushman & Wakefield Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858)

REAL ESTATE IN BAJA MEXICALI City Map │ Industrial Parks

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) REAL ESTATE IN BAJA MEXICALI Total Market Area │ Square Feet Grupo Nelson 4.7 million 25% Grupo IAMSA 3.4 million 18% Grupo PIMSA 4.5 million 24% CPA 1.3 million 7% Grupo Maran 2.1 million 11% Calafia I 518,000 3% Sahuaro 1 million 6% Calafia II 36,000 0% P.I. Progreso 900,000 5% Cucapa 270,000 1%

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) REAL ESTATE IN BAJA MEXICALI │ Vacancy Total Available Building Inventory (Sq. Ft.): 2.3 Million Total Land Inventory (Sq. Ft.): 21.8 Million

REAL ESTATE IN BAJA MEXICALI Major Transactions │ 2012 TypeSectorLocationSize (SF) New InvestmentAerospacePIMSA I80,000 ExpansionElectonicsPIMSA IV88,424 ExpansionConsumablesProgreso100,000 ExpansionAutomotivePIMSA I110,000 ExpansionAerospaceColorado164,000 Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) GKN

REAL ESTATE IN BAJA MEXICALI Sample Availability │ 150K+ Industrial ParkBuildingAvailable Space (SF) Colorado Industrial ParkVideocon973,173 MAG Building230,000 Cosmo 420,000 Desarrollo de Activos187,077 Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858)

REAL ESTATE IN BAJA MEXICALI Sample Availability │ 150K+ Maran Videocon Cosmo Accuride Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858)

REAL ESTATE IN BAJA NEW Industrial Park │ Nicoya Technology Park Nicoya Group has a development base on 9 years of experience in International Manufacturing with world buildings and the shelter concept "A Soft landing in Mexico" Nicoya’s location is perfect for the R&D Developments, Aerospace and Electronic Manufacturing. Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858)

REAL ESTATE IN BAJA SAN Luis Rio Colorado │ Industrial Zones Newest Port of Entry Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858)

BAJA CALIFORNIA INDUSTRIAL REAL ESTATE TIJUANA │ Industrial Zones

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE TIJUANA │ Market Overall Tijuana has 65 million SF of Industrial Real Estate of which 8.8 Million SF are vacant. Currently available: 149 buildings down from 219 Buildings 2 years ago. Vacancy Rate is at 14% down from 16% 1 year ago down from 18% 2 years ago. Absorption is positive – so we are heading in the right direction - Just not very fast. We only absorbed 8,000 SF 1st quarter 2012 Year end looks like less than 1 million.

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE TIJUANA │ Over 100,000 Square Feet 24 Available Buildings are over 100,000 SF The largest is 429,000 SF Two 300,000 SF Plus buildings came on the market in 2012 Basically no new construction, some expansions and TI’s have kept the construction industry above water. 1 New Industrial Park is planned. 3 buildings in Pacifico and one in Otay is under contract for under $20/SF.

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE TIJUANA │ Otay Mesa Total 72 Buildings Ave. 50k SF 101 Buildings Ave. 126k SF 73 Buildings Ave. 75k SF

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE TIJUANA │ Otay Mesa Total SF Available Of a total 2.7 million SF available in Otay, most is still Class A or B. Biggest comp (under contract) is at less than $20/SF. 8 buildings Ave. 120K SF

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE GDP PER CAPITA│ Vietnam, China, Mexico

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE Baja California │ Trends Medical is growing China is getting more expensive, but other Asian Locations will continue to provide low cost labor. Housing starts should start to increase, and that should boost Maquilas (furniture, Construction Materials) Most Growth will be expansions by existing Maquilas – Many that do Subcontracting Strong Peso Continues to increase costs in Mexico

Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858) BAJA CALIFORNIA INDUSTRIAL REAL ESTATE Baja California │ Conclusions Prices are increasing especially in Otay. Users - Time to buy if you can take advantage of low financing costs. Empty buildings selling for less than $20/SF but that may be over. Leased buildings at % cap for LT leased with solid US corporate guarantee. We expect to see less than 1 million SF of net absorption in 2013.

REAL ESTATE IN BAJA Real estate analysis and due diligence within: Site Selection Lease or purchase analysis Facilities requirements analysis Macro site selection Incentive negotiations Micro site due diligence Purchase Negotiation and closing Cushman & Wakefield Jean-Paul de Kervor ­ Lic. # Director M +1 (858) T +1 (858) F +1 (858)