100HEGENBERGER ROAD

OAKLAND, CA

DAVE MCCARTY, Principaldmccarty@lee-associates.com510.903.7601 | LIC# 01748283

BEN JONES, Principalbjones@lee-associates.com510.903.7606 | LIC# 01758720

ALEX PECK, Associateapeck@lee-associates.com925.239.1414 | LIC# 01981426

MITCH YADEN, Associatemyaden@lee-associates.com925.239.1425 | LIC# 01943445

OFFERING MEMORANDUM

EXECUTIVE SUMMARYI.Property Highlights

PROPERTY OVERVIEWII.Property Detail • Floor Plans

LOCATION OVERVIEWIII.Nearby Amenities • Aerial Overview

MARKET ANALYSISIV.Lease Comps • Office Market Analysis

FINANCIAL ANALYSISV.Rent Roll • Cash Flow • Sales Comparables

www.lee-associates.com

Lee & Associates Oakland | 520 3rd Street, Suite 105 | Oakland, CA 94607Lee & Associates Walnut Creek | 1407 Oakland Blvd. | Walnut Creek, CA 94596

The information contained herein is based on estimates and assumptions and is presented for illustration purposes only. No representations, warranties or guarantees of any kind are made.

Lee & Associates, as exclusive advisor, is pleased to present the opportunity to acquire the fee-simple interest in 100 Hegenberger Road (“The Property”), located in the East Bay Area city of Oakland, CA. Located directly along the Interstate 880 Freeway, the Property offers a central location within a close proximity to Downtown Oakland, San Francisco, San Jose, and Silicon Valley.

Built in 1979, this high image, 36,201 square foot property offers a rare opportunity for an owner-user or investor to acquire a premium property for a significant discount to replacement cost in a high barrier-to-entry market. Currently 33.4% leased, the Property may allow an owner-user to occupy space while earning income, with the flexibility to grow into the remaining space. Additionally, an investor may take advantage of a value-add strategy, a central location that has shown rapid economic growth, and superior market fundamentals and lease rates by rebranding the property to cater to specific local tenants.

Offering Summary

$5,250,000 36,201± SQUARE FEET

$145PER SQUARE FOOTLIST PRICE

Nearby Neighbors 100HEGENBERGER ROAD

Downtown San Francisco / 18.6 Miles

Downtown Oakland / 7.3 Miles

Coliseum 1.7 miles / 12th 7.3 miles

1.8 Miles

Downtown San Jose / 34.5 Miles

100HEGENBERGER ROAD

Property Photos

100HEGENBERGER ROAD

Offering Price $5,250,000 Total Rentable Building Area  36,201Price Per Square Foot $145 Current Number of Suites 13Current Occupancy 33.4% NOI (Stabilized) $572,828SF Available for Occupancy 24,113 Pro Forma Cap Rate 10.91%

(1) Stabilized Cap Rate based on year 3 NOI at an average rental rate of $2.25/SF

Property Overview

100HEGENBERGER ROAD

Net Rentable Area  36,201Gross Square Feet  32,117APN  44‐5020‐5‐47Address  100 Hegenberger Road, Oakland, CA 94621Site Area 1 Acre (43,560 SF)Percent Leased  33.4%Submarket  Oakland‐AirportYear Built  1979Zoning  Office ‐ Commercial (CR‐1)Parking  90 stalls (2.48 per 1000 SF)

UTILITY/SERVICE  PROVIDER

Electricity  Pacific Gas & ElectricGas  Pacific Gas & ElectricWater/Sewer EBMUDInternet  Comcast & AT&T (Fiber Available)

Property Details

United Business Bank | 4,021± RSF

Lathers Local 68-L | 4,239± RSFAllied Universal | 3,827± RSF

1ST FLOOR PLAN19,616± RSF

2ND FLOOR PLAN16,584 RSF

FULLY LEASED OFFICE BUILDING INVESTMENT OPPORTUNITYFULLY LEASED OFFICE BUILDING INVESTMENT OPPORTUNITY

SUITE TENANT SF ± % OFPROPERTY COMMENCE END BEGIN MONTHLY

RENTMONTHLY 

PSFANNUALRENT

ANNUALPSF

130 Allied Universal Services 3,827 10.6% Feb‐18 Jan‐21 Feb‐18 $7,271 $1.90 $87,256 $22.80Feb‐19 $7,489 $1.96 $89,873 $23.48Feb‐20 $7,714 $2.02 $92,569 $24.19

100/300 Lathers Local 68‐L 4,239 11.7% Dec‐17 Feb‐22 Oct‐18 $6,688 $1.58 $80,253 $18.93Mar‐20 $7,418 $1.75 $89,019 $21.00Mar‐21 $8,054 $1.90 $96,649 $22.80

150/160 United Business Bank 4,021 11.1% COE Jan‐29 COE $10,053 $2.50 $120,630 $30.00110 Vacant/Owner‐User Space 1,635 4.5% ‐ ‐ ‐ ‐ ‐ ‐120 Vacant/Owner‐User Space 2,129 5.9% ‐ ‐ ‐ ‐ ‐ ‐140 Vacant/Owner‐User Space 2,598 7.2% ‐ ‐ ‐ ‐ ‐ ‐170 Vacant/Owner‐User Space 1,167 3.2% ‐ ‐ ‐ ‐ ‐ ‐210 Vacant/Owner‐User Space 2,090 5.8% ‐ ‐ ‐ ‐ ‐ ‐220 Vacant/Owner‐User Space 4,587 12.7% ‐ ‐ ‐ ‐ ‐ ‐230 Vacant/Owner‐User Space 2,106 5.8% ‐ ‐ ‐ ‐ ‐ ‐240 Vacant/Owner‐User Space 2,988 8.3% ‐ ‐ ‐ ‐ ‐ ‐250 Vacant/Owner‐User Space 3,202 8.8% ‐ ‐ ‐ ‐ ‐ ‐260 Vacant/Owner‐User Space 1,611 4.4% ‐ ‐ ‐ ‐ ‐ ‐

Total Leased 12,087 33.4% $24,012 $1.99 $288,138 $23.84Total Vacant 24,114 66.6% $54,256 $2.25 $651,073 $27.00Total SF 36,201 100.0% $78,268 $2.16 $939,211 $25.94

*COE = Close of Escrow

Rent Roll

24,114 SFTotal Available

16,584 SFMax Contiguous 2nd Floor

FULLY LEASED OFFICE BUILDING INVESTMENT OPPORTUNITYFULLY LEASED OFFICE BUILDING INVESTMENT OPPORTUNITY

CURRENT MONTHLY PSF

PRO FORMA (Yr 3) YEARLY PSF

Potential Gross RevenueScheduled Base Rental Revenue $288,138 $7.96 $950,595 $26.26

     General Vacancy (5%) $14,407 0.40 $47,530 1.31Effective Gross Revenue $273,731 $7.56 $903,065 $24.95

Property Taxes (Reassessed) 1.349% $70,802 $1.96 $71,715 $1.98Supplemental Tax $3,235 $0.09 $3,235 $0.09Insurance $6,200 0.17 $6,600 0.18Management Fee 4% $11,526 0.32 $38,024 1.05PG&E $30,000 0.83 $85,000 2.35Janitorial $25,000 0.69 $55,000 1.52Repairs and Maintenance $18,296 0.51 $22,424 0.62Water/Sewer $8,000 0.22 $21,000 0.58Garbage $5,500 0.15 $11,000 0.30Landscaping $6,000 0.17 $6,000 0.17

Total Operating  Expenses $184,558 5.10 $319,998 8.84

Net Operating Income $89,173 $2.46 $583,068 $16.11

Projected Operating Expenses

Cash Flows

100HEGENBERGER ROAD

OAKLAND, CA

DAVE MCCARTY, Principaldmccarty@lee-associates.com510.903.7601 | LIC# 01748283

BEN JONES, Principalbjones@lee-associates.com510.903.7606 | LIC# 01758720

ALEX PECK, Associateapeck@lee-associates.com925.239.1414 | LIC# 01981426

MITCH YADEN, Associatemyaden@lee-associates.com925.239.1425 | LIC# 01943445

INVESTMENT CONTACTS

www.lee-associates.com

Lee & Associates Oakland | 520 3rd Street, Suite 105 | Oakland, CA 94607Lee & Associates Walnut Creek | 1407 Oakland Blvd. | Walnut Creek, CA 94596

100HEGENBERGER ROAD

OAKLAND, CA

CONFIDENTIALITY & DISCLAIMERLee & Associates. (“L&A”) has been retained on an exclusive basis by the Owners 100 Hegenberger Road, Oakland, CA with respect to the offering of the 100% fee simple interest in the above reference property (the “Property”). The Owner has indicated that all inquiries and communications with respect to the contemplated sale of such Properties be directed to L&A. All fees due L&A in connection with the sale of the Property shall be paid by the Owner. Neither L&A nor Owner shall be responsible for paying any fees to agents representing Potential Purchasers unless agreed to in writing in advance.

L&A has available for review certain information concerning the Properties which includes a complete Offering Memorandum brochure and other materials (collectively “Informational Materials”). L&A will not disclose such Informational Materials to Potential Purchaser unless and until the Purchaser has executed this agreement. Upon L&A’s receipt of this executed agreement, L&A is prepared to provide the Informational Materials for the Potential Purchaser’s consideration in connection with the possible purchase of the Property subject to the following conditions:

1. All Informational Materials pertaining to the Property which may be furnished to the Potential Purchaser by L&A shall continue to be the property of the Owner. The Informational Materials will be used solely for the purpose of the Potential Purchaser and may not be copied or duplicated without L&A’s written consent and must be returned to L&A immediately upon L&A’s request or when the Potential Purchaser terminates negotiations with respect to the Property.

2. The Informational Materials may be disclosed to the Potential Purchaser’s partners, employees, legal counsel and institutional lenders (“Related Parties”), for the purpose of evaluating the potential purchase of the Properties.

3. The Potential Purchaser understands and acknowledges that L&A and the Owner do not make any representations or warranty as to the accuracy or completeness of the Informational Materials and that the information used in the preparation of the Informational Materials was furnished to L&A by others and has not been independently verified by L&A and is not guaranteed as to completeness or accuracy.

4. The Potential Purchaser hereby indemnifies and holds harmless L&A and the Owner and their respective affiliates and successors and assigns against and from any loss, liability or expense, including attorney’s fees, arising out of any breach of any of the terms of this agreement.

5. The Potential Purchaser acknowledges that the properties have been offered for sale subject to withdrawal from the market, change in offering price, prior sale or rejection of any offer because of the terms thereof, lack of satisfactory credit references of any prospective purchaser, or for any other reason whatsoever, without notice. The Potential Purchaser acknowledges that the property is being offered without regard to race, creed, sex, religion, or national origin. This agreement terminates one (1) year from the date hereof except as to written claims by Owner against Potential Purchaser prior thereto.