Tarrant County office market

Overview of Presentation

I. 2008 Projections

II. 2008 Market Recap

● Office Building Sales
● Leasing Market

III. 2009 Forecast

GOOD NEWS
 F Cantey Hanger Plaza
O  80,000 SF

R  4 stories

E  Leased: 38,000 SF

C  Available: 42,000 SF

A  Rates: $25.50 + E (Ground)

$23.50 + E (2nd Floor)
S
T
2009
 F One Hundred Lexington
O
 65,233 SF
R
E  4 Stories

C  Leased: 13,500 SF
A  Available: 51,733 SF
S
 Rates: $25.00 - $28.00 + E
T
2009
 F 550 Bailey Avenue
O
 122,834 SF
R
E  7 Stories

C  Leased: 27,023 SF
A  Available: 95,811 SF
S
 Rates: $24.00 - $27.00 + E
T
2009
 F Museum Place
O
R  108,000 SF (Block D)

E  30,000 SF (Block B1)

C  Leased: 87,000 SF
A  Available: 51,000 SF
S
 Rates: $27.50-$29.00 + E
T
2009
 F The Carnegie
O
R  280,400 SF

E  16 Stories

18,000 + per floor

C 
 EOG – 196,000 RSF +
A
 Available 65,600 SF
S
 Rates - $27.50 + E
T
2009
 F Heritage Commons
O
R  114,000 SF

E  2 Stories

C  Leased: 90,000

A  Available: 24,000

S  Rates - $24.00-$36.00 + E

T
2009
B BLUE CROSS BLUE SHIELD
I
 53 Acres
G
 200,000 + SF

 250 jobs
D
E
A
L
S
B
I
G
 107 Acres

 825 Rooms / 1.1 M

D
 Training
E
A
L
S
B
I DAIMLER BUILDING
G
 164,000 SF

 Consolidation
D
E
A
L
S
2008 Projections

• Big asset sale downtown

• 7th Street
• Northeast Tarrant County
• Alliance
 Office Buildings - Sales
2008
Chesapeake Plaza
R Fort Worth CBD

E 460,000 SF
C $104,000,000

A
P
 Office Buildings - Sales
2008
RadioShack Campus

R
E  Purchase Price - $238 M

C
A
P
 Office Buildings - Sales
2008
Transport Life
 198,000 SF

R
E
C
A
P
Fort Worth CBD

Class A

MARKET SIZE 5,855,354 SF

ABSORPTION 186,846 SF

VACANCY-Direct 435,000 SF

SUBLEASE SPACE 55,000 SF

QUOTED RATES $23.50-$29.00 FS + E

2008 Fort Worth CBD
Total (A, B, & C)
R MARKET SIZE 8,929,759 SF

E ABSORPTION 252,123 SF
C VACANCY 798,621 SF
A
QUOTED RATES $15.00-$32.00/FS
P

Source: CoStar/Jones Lang LaSalle

2008 Fort Worth CBD

R  Shadow Space 346,000 feet

E  To be vacated 160,000 feet

C
 New Deliveries 105,000 feet
A
P

Source: CoStar/Jones Lang LaSalle

2008 Fort Worth Suburban
Class A
R MARKET SIZE 2,508,765 SF
E
ABSORPTION 203,462 SF
C
VACANCY 9.49 %
A
QUOTES RATES $21.00-$29.00/FS
P

Source: CoStar/Jones Lang LaSalle

2008 Fort Worth Suburban
Total (A, B, & C)

R MARKET SIZE 15,496,264 SF

E
C ABSORPTION (76,393 SF)

A VACANCY 10.18%
P
QUOTES RATES $15.00-$29.00/FS

Source: CoStar/Jones Lang LaSalle

2008 Mid-Cities
Northeast Tarrant County
R Class A

E MARKET SIZE 5,335,757 SF

C ABSORPTION (132,000 SF)

A VACANCY 10.2 %

P QUOTED RATES $19.00-$27.00/FS

Source: CoStar/Jones Lang LaSalle

2008 Mid-Cities
Northeast Tarrant County
R Total (A, B, & C)

E MARKET SIZE 22,085,813 SF

C ABSORPTION 103,042 SF

A VACANCY 12.60 %

P QUOTED RATES $14.00-$29.00/FS

Source: CoStar/Jones Lang LaSalle

2008 Industry Growth

R  ENERGY
E
 GOVERNMENTAL ENTITIES
C
A
P
Forecast
2009
 F
O Office Building Sales
R
E
C
A Few
S
T
2009
 F
O
R
E Negative
C Absorption
A
S
Financial
T
Markets
2009
 F
O
New Buildings
R
E CBD – No
C
North Fort Worth – No
A
S
T Rents
2009
Lower
 F
O Risk to Market
R
E Consolidation
C  Energy
A
 Financial
S
T  Retail
2009  Medical
 FORECAST

Stormy Weather
 F
O Office Forecast
R
E
C George Duncan
Executive Vice President
A Jones Lang LaSalle
Formerly The Staubach Company
S
T
2009