TAMPA DOWNTOWN DEVELOPMENT FORUM

1.Tampa Bay MSA 2.Economic Factors 3.Office Market 4.Retail Market 5.Industrial Market 6.Investment Market 7.Looking Ahead Table of Contents

Tampa Bay MSA (2010 YTD) Population2,722,761 Labor Force1,307,984 Employment1,138,512 Unemployment Rate13.1%

Largest Public Companies Ranked by revenue  Tech Data Wholesaler of computer and peripheral equipment  Jabil Circuit Manufacturer of printed circuit boards and other electronic equipment  Well Care Health Plans Managed Health Care Plans  Teco Energy Utilities

Largest Public Companies Ranked by local employees  Hillsborough County School District Public School System  Pinellas County School District Public School System  McDill Air Force Base National Defense  School Board of Polk County Public School System  University of South Florida Public University

 Unprecedented run up in demand  Bubble Burst in 2008 – is there a bottom?  Carry-over to mid  Some stabilization in 2010 Economic Factors

 Values are still questionable  Selling a NOI vs. IRR  Lease rates have been challenged  Virtually no new construction Economic Factors

Office - Tampa Bay MSA (2010 YTD) Office Rentable Square Feet46,583,940 Vacancy21.4% Absorption-1,453,069 Average Leasing Rate$21.30

 Home building and service sector hit hard  Increased sublease space  Ownership struggle, like tenant, for capital dollars  Tenants’ market. Office HOME DEPOT/VANGENT

 Exiting base stabilized & diverse  Early renewals – large firm commitments  Growth, Consolidation, Spin-offs  Redevelopment opportunities  Increased profile of downtown Office - Downtown

Retail - Tampa Bay MSA (2010 YTD) Retail Rentable Square Feet70,781,666 Vacancy7.2% Absorption-520,716 Average Leasing Rate$15.57

 Consumer confidence, consumption and patterns have changed.  Big stores - redundant competition  Small stores - razor thin margins  Refocus in established trade area Retail REGIONS / CITI / BB&T FDIC

 Growing trade area - increased interest  Restaurants – ‘Fast/Casual’  Increased service sector interest  Higher visibility of CBD as community Retail – Downtown

Industrial - Tampa Bay MSA (2010 YTD) Industrial Rentable Square Feet141,259,893 Vacancy9.8% Absorption-2,435,922 Average Leasing Rate$5.69

 Reduced consumer demand has effect  Efficiency of logistical platform increases  Ports and rail will be increasingly important  Trade patterns are changing Industrial CEVA LOGISTICS IDI PREMIER BEVERAGE HIM TAMPA REALTY

 Equity/cash readily available  Lack of properties available  Lack of metrics to underwrite debt  REO wildcard in effort to stabilize Investments THREE PALMS LLC ELCO LANDMARK 500 N WESTSHORE PRICIPLE EOLA CAPITAL

 Job creation key to a sustainable recovery  Increased demand will increase fundamentals  Fundamental will underwrite new value  When/How will Florida compete Looking Ahead