Osborn Campus Expansion of The Campus - An Enduring MIT Community Phoenix Development Group Bozho Deranja, Anthony Guma, Tianjin Luo, James Rizzo

EFFICIENT FLEXIBLE ENDURING SUSTAINABLE PREPARED PRODUCTIVE Osborn Campus Osborn Campus / Phoenix Development

Osborn Campus Creating Synergies Adaptive Reuse Flexible Design Efficient Energy 24 Hour Activation Complimenting Cluster Plan Strengthening the MIT Image Providing Returns $350 Million Paid Upfront 4 phase construction Flexible to MIT’s needs – And to the Market’s Experienced management Attracting Students and Faculty

Osborn Campus Program Residential Office Retail Hotel Conference Center Lab Academic Total 483, ,899 76, ,477 62, , ,936 3,104,260 SF

Osborn Campus Residential Lab Office/ Academic Mixed Use TOD Corner 5 SYNERGETIC CLUSTERS

Osborn Campus TOD Mixed-Use 100% Corner Mass. Ave. MIT Service to Business Urban Ring Activation

Osborn Campus Academic The Corridor Continues Campus Feeling Flexible Space Industry Relations / Lively Environment

Osborn Campus Lab / Bio-tech Proximity to Tech Sq. Premium Rents MIT - relationship – Flexible Space Biotech Campus

Osborn Campus Residential Neighborhood History Walk-able living Shared Views 24 Hour Activation Proximity – Kendall SQ / Central SQ /Urban Ring

Osborn Campus Mixed Use – Mass. Ave. MIT & Central – Bridging the Gap – Critical Mass Hip / Modern Hotel 5 Star Restaurant / Bar Desirable Office Address

Osborn Campus Value Drivers MIT Functional and Flexible Academic Facilities $350 million proceeds An Extension of Campus – 600 student beds by 2011 – 600,000 sq. ft. Academic Space by 2012 MIT Retains Ownership Professional Management Strengthened Relationship with Community & Industry City of Cambridge Activation of Surrounding Neighborhood Tax Benefit / Low Draw on Services Reasonable FAR of 4.0 – Planned Unit Development Mixed Income Housing 24 Hour Walk-able Environment Job Creation

Osborn Campus Development Deal $350 Million Upfront for 99 year Ground Lease – $1 per year lease – MIT Retains Land Ownership – Figures based on 8% WACC and 6.5% Cap Rate Phoenix Development Owns Builds (Sans Academic) Academic Buildings Built at cost plus Developer’s Fee ($146,571,685) MIT Retains Right of First Refusal for All Non Academic Phoenix Development Group Professionally Manages Properties