GAME-CHANGING FOOTPRINT – SRGNC serves as development

manager for NVIDIA’s headquarters, under construction in Santa Clara. p 2

SARES•REGIS GRoup NEwSlEttER wINtER 2016

THE LOGISTICS CHANNEL Premier SoCal distribution project

is unveiled; television shopping channel QVC signs as first tenant.

In a pair of major transactions, SARES•REGIS Group acquired 150 acres of prime industrial land on Interstate 10 in Ontario and is underway on approximately 3 million sq. ft. of state-of-the-art LEED-certified industrial distribution buildings. In concert with the land purchase, SRG pre-leased the largest of the seven buildings planned for the site to QVC for the giant video and e-commerce retailer’s first West Coast distribution hub.

“This is the largest and last tract of developable land in the western end of the Inland Empire and located on the I-10 Freeway. QVC looked at several properties on the market, so we’re pleased our location met their requirements,” said Larry Lukanish, Senior Vice President of SRG Commercial Development.

s a re s - re g i s . c o m • s r g n c . c o m

SARES•REGIS Group is one of the leading developers and managers of commercial and residential real estate in the western United States. SARES•REGIS Group has a combined portfolio of property and fee-based assets under management valued at more than $4 billion, including 15 million square feet of commercial and industrial space and more than 13,000 rental apartments. Since its inception, the company has acquired or developed approximately 44 million square feet of commercial properties and 20,000 multifamily and residential housing units. For more information, go to www.sares-regis.com.

SRG MEREDITH INTERNATIONAL CENTRE –

Rendering of the 3-million-sq.-ft. project shows its pre-eminent location adjacent

to Interstate 10 and Ontario International Airport to the southeast. p 1

Continued page 7

STABILIZING INFLUENCE – Boardwalk in Huntington Beach is one of two SRG communities

recently leased up. p 3

GAME-CHANGING FOOTPRINT SRGNC serves as

development manager for NVIDIA, whose new headquarters is at the intersection

of science and art in Silicon Valley.

Construction of NVIDIA’s new 500,000- sq.-ft. building commenced in July. With a building footprint of nearly six acres, the scale of NVIDIA’s building is more akin to nearby Levi’s Stadium in Santa Clara, where the San Francisco 49ers play, than to a typical Silicon Valley office building. The large floorplates are driven by NVIDIA’s desire to foster employee interaction as well as collaboration among business units.

Recent workplace research has shown that colleagues who are located on the same floor are 95% likely to encounter each other on a daily basis. That percentage drops to almost zero if they are separated by floors or are located in separate buildings. The activated building core - which hosts centralized spaces for meetings and social and business functions

– serves as a gathering place and further encourages interaction. Outside the building, functional greenspaces were made possible by ensconcing parking under the building with earthen berms.

DESIGNED ARouND thE EmployEE ExpERIENcE; REfINED by tEchNoloGyIn a true partnership between client and design team, NVIDIA’s Iray technology was used to simulate the interior daylighting conditions and refine the quantity, size, and location of the roof skylights. Iray leverages a robust material library and a 3D design model to simulate photons of light as they travel through the building to the human eye. The resulting life-like simulations were used extensively to refine the final design.

The project, which can accommodate 2,500 employees, will supplement NVIDIA’s current 12-building, one-million-square-foot campus in Santa Clara. LEED gold certification is antici-pated, and occupancy is slated for late 2017.

OfficeProject WILL

AccoMMoDAte 2,500 eMPLoYeeS

.

Rendering of NVIDIA’S headquarters.

2 | StRAtEGIES

STABILIZING INFLUENCE Following busy months

of lease-up and move-in activity, two new amenity-rich apartment

communities have been stabilized in Los Angeles and Orange County.

With 340 apartments, The Boulevard Apartment Homes in Woodland Hills offers panoramic views of the San Fernando Valley. Boardwalk, a community of 487 apartments, is at the gateway to Huntington Beach, aka Surf City USA. Both SARES•REGIS Group-developed communities recently hit their stabilization targets, and the buzz among residents is well underway.

“The Boulevard Apartment Homes has become a subject of social discussion. It’s the newest community in Woodland Hills, and no community has more amenities,” said John Gregory, Regional Vice President in SARES•REGIS Group’s Multifamily Property Management Division. “We get notes from residents who say they love the central location. One resident tells us of finding ‘peace and tranquility with a book near a fireplace or waterfall,’” Gregory said.

The community’s spacious clubhouse offers both work and play options with private offices for residents and a café bar area. A two-level fitness center has spa-like locker rooms with infrared saunas. Other resident amenities include

a sports bar/media lounge with attached patio space. A gourmet kitchen with a folding-glass wall opens to a resort-style swimming pool and spa area that are surrounded by private cabanas and lounge seating.

Boardwalk, a mixed-use development on Edinger Avenue near Beach Boulevard, includes a 9,500-sq.-ft. recreation and fitness center. Coffee 2 Go, ASAP Noodles and Ginny’s Cosmetics join Jimmy John’s gourmet sand-wiches as tenants in Boardwalk’s 9,000 sq. ft. of retail space.

The project is a short walk to the Bella Terra Mall as well as Whole Foods, Costco and a variety of entertainment options. Boardwalk’s spectacular outdoor amenities include a half-acre park with beach volleyball and paddle ball courts and playground, a resort-style saltwater pool and spa, three-story fitness center, outdoor barbecues, recreation rooms, media lounge, private dog run and a large roof deck. Interior finishes and features include gourmet kitchens with stainless steel appliances, hardwood floors and in-home washers and dryers.

“This is a dynamic-looking project. Its highly articulated design and first-class amenities attract energetic young professionals,” said Dave Powers, Vice President of SRG Multifamily Development.

The Boulevard is on an eight-acre hillside site that provides residents with sweeping views of the San Fernando Valley.

TwO luxuRy

cOMMunITIEStotALIng

827 APArtMentS

are in prime locations in Huntington Beach and Woodland Hills.

wINtER 2016 | 3

LOGISTICS EMPIRE SRG is in its element as intense demand for

distribution space in much of the western Inland Empire outpaces new deliveries.

SARES•REGIS Group has developed approximately 7.3 million sq. ft. of industrial and distribution buildings in the Inland Empire – the most of any company in the current development cycle – and is looking to develop an additional 1.2 million sq. ft. with a business park in Chino.

“We’ve been very aggressive during the recovery, and it’s paying off. Not only have we acquired several prime sites and gained needed entitle-ments to take advantage of intense demand for logistics facilities, companies are quickly leasing up all of our buildings to accommodate their requirements,” said Peter Rooney, President of SRG Commercial Development.

SRG’s recent projects in the Inland Empire are the 3-million-sq.-ft. SRG Meredith International Centre in Ontario (see story on Page 1), 1.6-million-sq.-ft. Deckers/Moreno Valley, 580,000-sq.-ft. SRG Perris Logistics Center and 2.1-million-sq.-ft. Empire Gateway in Chino. SRG has developed more than 21 million sq. ft. of industrial space in the Inland Empire since 1994.

cloSE to poRtS of l.A., loNG bEAchCurrently, SRG Commercial Development is seeking to gain entitlements to develop the Kimball Business Park, a 70-acre master-planned project in Chino, with 1.2 million sq. ft. of premium distribution and industrial buildings for lease. SRG’s planned development is

adjacent to Chino Airport and is in one of hottest distribution markets in the western end of the sprawling Inland Empire and where new construction struggles to keep up with demand.

Colliers International reports there was 662,400 sq. ft. of net absorption in 2015 through Q3 for buildings from 100,000 sq. ft. to 250,000 sq. ft. compared to 354,800 sq. ft. of new product delivered.

“Chino is the region’s closest big-box destina-tion to the ports of Long Beach and Los Angeles and is served by three major freeways,” Rooney said. “It’s simply a great logistical submarket.”

Exemplifying the strong net absorption trend, all four distribution buildings totaling 2.1 million sq. ft. at the Empire Gateway in Chino were leased within months of the project’s completion this year. SRG continues to manage the project.

In the Chino submarket in Q3, 625,100 sq. ft. were completed but net absorption totaled 968,000 sq. ft. Chino’s vacancy rate settled at 1.1% in Q3, down 90 basis points from the prior quarter. Colliers’ Q3 data shows Chino with 669 buildings larger than 10,000 sq. ft., totaling 45.5 million sq. ft. Net absorption is 3.5 million sq. ft. year-to-date.

pRImE lAND IS lImItEDMore industrial space was absorbed in Chino last year than in the larger and more well-known neighboring submarket of Ontario.

SRG has assembled four parcels at Kimball and Hellman avenues just east of the county-owned Chino Airport. It is about five miles from I-15 and near I-10 and state highways 83, 91 and 60.

Rooney said the entitlements should be in place by June. When approved, the land will be transformed from dairy farming into a master-planned development with premier LEED-rated distribution buildings. The project will be valued at approximately $150 million.

The Inland Empire, the term used to identify Riverside and San Bernardino counties, has

moRE INDuStRIAl SpAcE hAS bEEN

AbSoRbED IN chINo thIS yEAR thAN IN thE

lARGER, moRE wEll-kNowN NEIGhboRING

SubmARkEt of oNtARIo.

4 | StRAtEGIES

MAP NOT TO SCALE

10

210

71

15

91

60

60

215

215

83Ontario

InternationalAirport

ChinoAirport

15

San Bernardino

Moreno Valley

Rancho Cucamonga

Riverside

Corona

Redlands

DowntownSan Diego,

96 Miles

Downtown Los Angeles, 42 Miles

n

New construction

in the IE’s western end struggles

to keep up with demand

n

gained about 200,000 jobs since the bottom in 2010. A report from an Inland Empire economic conference this year by the Los Angeles Times said the region’s growth was the fastest in the state and that logistics were responsible for nearly 25% of the region’s new jobs. Despite the region’s vastness, prime land for development is limited. San Bernardino County’s chief executive, Greg Devereaux, told the L.A. Times that much of the land is government-owned or lacks infrastructure needed for development.

groWtH In LogIStIcS ActIvItY IS reSPonSIBLe For

25% oF tHe regIon’S neW joBS

.

SRG Meredith Intl. Centre3 million sq. ft.

Empire Gateway2.1 million sq. ft.

Deckers/Moreno Valley1.6 million sq. ft.

SRG Perris Logistics Center 580,000 sq. ft.

Kimball Business Park 1.2 million sq. ft.

KIMBALL

wINtER 2016 | 5

GUEST COLUMN Worldwide investors of all stripes

like what they see in the U.S. and its real estate assets – and

for good reason.

By Jack Berquist, Managing Partner, Accord Group Holdings LLC, San Francisco

“It was the best of times, it was the worst of times.”

Just as Charles Dickens wrote in 1890 in “The Tale of Two Cities,” the U.S. economy and, more specifically, U.S. real estate markets are exhibiting steadily improving conditions and, in certain cases, reaching all-time high valuations. Two of the most significant reasons for these conditions can be attributed to a historically low and pervasive level of interest rates and, secondly, to the resulting strong flow of global capital into real estate assets in the U.S. Although market conditions are in most cases highly favorable, there are clear winners and losers emerging.

On a relative basis the U.S. economy is doing extremely well compared to the rest of the world. With strong job growth, declining unemployment (currently around 5%), a recovering single-family housing market and the easy availability of debt and equity capital, a modestly strong GDP growth rate of 2.1% in the third quarter of 2015 is not surprising. In the San Francisco Bay area alone there have been more than 500,000 jobs created since the depth of the global financial crisis, leading the entire world in its percentage growth over this period.

What is more unique than a recovering economy, however, are the effects of a prolonged period of low interest rates. For the last six and a half years the Federal Reserve has pursued a policy of essentially a zero short-term Fed Funds Rate. Even today, after this extended experi-ment in quantitative easing, the 10-year bond is around 2.15%, still a very low rate by historical standards. So what is the logical effect on U.S. real estate markets with an extended period of extremely low interest rates – a boom in demand for income producing properties. The demand for real estate assets has resulted in cap rate compression of 200-300 bps over the last six years as investors have piled into the sector. In many sectors real estate has reached historic highs in price level.

AlluREmENtS of u.S. ASSEtSThe flow of capital into U.S. real estate has essentially come from all sources including individuals, institutions, offshore sovereign wealth funds and overseas pension funds. The phenomenon of low interest rates is not just a U.S. issue but also a global issue as western Europe and other parts of the world have concluded that quantitative easing (i.e., low interest rates) is the only solution to raising their economies out of lackluster economic growth. As a result, the U.S. has become one of the most highly desired locations in the world for real estate. The value and stability of our currency, our rule of law, greater transparency on operations and our well-developed capital markets for ease of exit are all driving overseas investors to our shores and adding to the demand for income-producing real estate.

Demand has compressed

cap rates

200-300 BPS –‘Investors have piled

into the sector.’

Continued page 11

StRAtEGIcAlly SpEAkING

6 | StRAtEGIES

SRG: THE LOGISTICS CHANNEL Continued from page 1

The property is part of the undeveloped 243-acre Meredith International Centre, which extends nearly a mile along the north side of I-10 and opposite LA/Ontario International Airport between Archibald and Vineyard avenues.

SRG completed the land purchase with the Meredith family on July 1. As the land purchase was being completed, SRG and QVC executed a lease agreement for QVC’s 1,050,000-sq.-ft. building to be completed July 1, 2016. The building will include 30,000 sq. ft. of office and employee cafeteria space. In its statement, a QVC spokesperson said the company “antici-pates hiring approximately 1,000 team members in total by 2020 as the distribution center expands fulfillment to all product categories.”

SIx buIlDINGS AVAIlAblE foR lEASE“At QVC, distribution plays a significant role in enriching the customer service experience. For each and every product we ship, we look at it as an opportunity to build trust, loyalty and engage-ment with our customers,” said James Reid, Vice President of Distribution Operations at QVC. “This new distribution center will enable us to

efficiently and swiftly serve our customers throughout the Western United States.”

SRG’s land purchase followed the Ontario City Council’s unanimous approval in April of a new Specific Plan and Development Agreement. In addition to SRG’s industrial project, there are entitlements for 1.1 million sq. ft. of office and retail space and 800 apartment units on the 80 acres retained by the Meredith family.

SRG’s six remaining industrial buildings planned for its 150-acre site are for lease. They range from 130,000 sq. ft. to 575,000 sq. ft. with 32-foot and 36-foot clear heights. SRG’s entire project will be completed by late next year.

Chuck Noble, a principal broker of Lee & Associates who represented the Meredith family, said the property is the largest new entitlement in Ontario in 20 years. The Meredith interests were also represented by John Hatzis and Dave Hunsaker of Lee & Associates.

SRG was represented in the land acquisi-tion and QVC lease by Joe McKay, also of Lee & Associates. QVC was represented by CBRE brokers Erik Wanland in Ontario and Mike Barker in Wayne, Penn.

n

SRG’s six

remaining

buildings

planned for its

150-acre site

are for

lease.

n

From left: Larry Lukanish, Sr. VP, SRG Comm. Dev.; Leslie McBride, Deputy Dir., Governor’s Office; Councilman Alan Wapner; John Hagestad, SRG Managing Dir.; Craig Meredith and son Brett Meredith, original property owners; Mayor Paul Leon; Councilman Jim Bowman; Mayor pro Tem Deborah Dorst-Porada; Beth Rubio, QVC Exec. VP for HR; Rob Muller, QVC Sr. VP of Customer and Business Services; Peter Rooney, SRG Managing Dir. and Pres., Comm. Dev. and Sr. VP. Patrick Russell.

wINtER 2016 | 7

SOuTH BAy’S

InDuStrIAL vAcAncY rAte

IS 0.8%

PHASED RELIEF SRG’s Pacific Pointe East will move the needle in

product-starved South Bay; Long Beach has only two available buildings larger

than 100,000 sq. ft.

Construction is underway on Pacific Pointe East at Douglas Park at Long Beach Airport – a new phase of pre-mium headquarters-style distribution buildings by SARES•REGIS Group. Three buildings will range from approx-imately 110,000 sq. ft. to 230,000 sq. ft. and are available for lease.

Pacific Pointe East is entering one of the nation’s most supply-constrained markets for industrial buildings where the vacancy rate is less than 1%.

“For many companies that are looking to expand, Pacific Pointe East could be the last chance to secure a premium facility in a highly desirable location. Master-planned Douglas Park is near freeways and ports,” said Larry Lukanish, SRG Commercial Development Senior Vice President. The buildings will be the same state-of-the-art corporate headquarters-style facilities that SRG developed in a previous award-winning phase.

Third-quarter reports from CBRE show there are only 1.7 million sq. ft. of empty space in the

South Bay market for a vacancy rate of 0.8%. South Bay is greater Los Angeles’ largest industrial market with 218 million sq. ft. of inventory, 21% of the region’s total. The vacancy rate was 1.5% in the Long Beach submarket, which only has two available buildings larger than 100,000 sq. ft., according to the report.

Each building in the 24.8-acre Pacific Pointe East will include two-story executive office space. The buildings will be LEED rated with 3% skylights, secure concrete truck courts, load levelers, dock-high and grade-level loading. Buildings will have 30 feet of clear height and energy-efficient T-5 fluorescent lighting fixtures on sensors.

Seven previous Pacific Pointe buildings – the region’s largest collection of LEED-rated facilities – totaled 677,142 sq. ft. and were leased or sold in one year. One phase was judged “best industrial project” by the Los Angeles Business Journal.

Pacific Pointe East is being marketed by CBRE’s Brian DeRevere, John Schumacher and JB Green.

E A S T

8 | StRAtEGIES

‘SRG helped

broker the deal

and build the shell

in record time.

’

SCHOOL FOR MOTORHEADS Universal Technical Institute –

one of the nation’s foremost automotive trade schools – opens its second

Southern California campus in Douglas Park.

The 136,965-sq.-ft. facility was built by SARES•REGIS Group to suit UTI’s specifications for administrative opera-tions and classroom space for 800 students and instructors. UTI leased the building from SRG for 15 years.

“Having a central location for coastal Los Angeles County, the South Bay and Orange County with access to several freeways was important to meet the needs of an underserved student population,” said Larry Hohl, Campus President of UTI-Long Beach.

“Douglas Park near Long Beach Airport offered that and more. SARES•REGIS Group helped broker the deal and build the shell in record time. I’d like to recognize SRG and its

professional staff for leading the effort. We broke ground in November 2014. In less time than it takes to build a single-family home, we constructed a 142,000-sq.-ft., highly technical facility, which was delivered on-time and on-budget,” Hohl said.

In addition to Long Beach, UTI has a campus in Rancho Cucamonga and 10 others nationwide for students seeking careers as professional automotive, diesel, collision repair, motorcycle and marine technicians. They will be among 1.4 million workers in those specialities by 2020, according to the U.S. Department of Labor.

UTI works with top manufacturers to develop programs that meet the evolving needs of the industry, graduating more than 190,000 students in the last 50 years.

Universal Technical Institute celebrated the opening of its 12th campus. From left are: Adrian Cordova, UTI Regional VP Operations; Joe Oltmans II, Chairman and CEO, Oltmans Construction; UTI-Long Beach Campus President Larry Hohl; Brian Udall, UTI VP and Asst. General Counsel; Long Beach City Councilwoman Stacy Mungo; Mayor Robert Garcia and Peter Rooney, SRG Managing Dir. and Pres., Comm. Dev.

wINtER 2016 | 9

PLANSFEATURE Two

oFFicE bUildings ToTAling

600,000 sq. FT.

After years of working collaboratively with officials in Foster City, including amending the city’s general plan, Sares Regis Group of Northern California secured entitlements for Foster City Center, a marquee 800,000-sq.-ft. office development. Its prime location is drawing interest from prominent local companies with expansion plans.

Entitlements include two office buildings at 275,000 sq. ft. and 330,000 sq. ft., two parking structures and an “amenity building” with a landscaped rooftop garden that connects the nine- and 12-story Class A office towers. A third phase could add 200,000 sq. ft. on an adjacent two acres of land. The entitlement represents a nearly four-fold increase in income-producing square footage for Foster City.

Northwestern Mutual Life retained SRGNC in 2005 to develop the eight-acre site just off SR 92 that contained 150,000 sq. ft. of obsolete industrial buildings. The project included gaining city approvals for a master plan, EIR, develop-ment agreement and use permit.

The project’s marketing by brokers with DTZ has attracted a number of qualified potential tenants who are evaluating the opportunity. The planned development is close to San Francisco International Airport and the East Bay via the San Mateo Bridge.

When completed, Foster City Center will create value for NML’s policy owners, deliver a substantial economic development for Foster City and complement NML’s recently completed Plaza Apartments on the south side of SR 92.

Foster City Center’s towers will alter the skyline of the city off SR 101 and at

the foot of the San Mateo Bridge.

MARQUEE APPROVAL SRGNC receives entitlements for

Foster City Center on behalf of landowner Northwestern Mutual Life.

EnTITlEMEnT represents a nearly

four-fold increase in

income-producing square

footage in Foster City.

10 | StRAtEGIES

EnTITlEMEnT represents a nearly

four-fold increase in

income-producing square

footage in Foster City.

With respect to real estate property types, two of the clear winning strategies have been multifamily apartments and industrial warehouse facilities. As noted by Ken Rosen of Rosen Consulting, multifamily has provided the best risk-adjusted return among all property types over the last 10-20 years. With the positive demographics of a booming 18-24 year old, primary-renter population leading to solid rent growth (exceeding 5% per year nationally for the eleventh straight month) owners of Class A and Class B apartments in major metropolitan areas (especially in cities like San Francisco, Los Angeles, Portland and Seattle) have seen very strong risk-adjusted returns. On the other hand, poorly capitalized buyers (unable to compete with well-capitalized institutional investors), properties in secondary or tertiary market locations and functionally obsolete properties have been left out in the cold and unable to benefit from very positive general market conditions.

ASSEt QuAlIty mAttERSIndustrial properties, more specifically bulk warehouse distribution facilities, have also been among the strongest performing sectors over the last decade. Similar to apartments, they show strong resiliency in down markets with occupancy rates exceeding 90% even in the worst of times. For most all institutional investors, especially offshore sovereign wealth funds and pension funds, they are well below their target ownership of industrial assets and are actively pursuing high-quality assets. Highly functional large warehouses near major ports and intermodal facilities (such as LA/Long Beach) and within a three-hour drive from major population centers have demonstrated occupancy rates increasing faster than the growth in real GDP. These markets generally have significant barriers to new entry, adding to the favorable supply/demand characteristics and prompting high levels of acquisition demand. It can be the worst of times, however, for functionally obsolete properties, “C” quality

assets, tertiary markets or highly leveraged assets as they suffer from a cold shoulder response from the investor community.

The improving U.S. economy, but more specifically, low interest rates and strong capital inflows have provided highly attractive returns to owners of commercial real estate assets over the last few years. With cap rates compressing to 4% to 5% in many sectors (including the best quality multifamily and industrial assets) and rent growth outperforming historical averages, holders of these assets have done extremely well. Despite these trends, well-capitalized new asset purchasers can still use positive leverage and expect above-average rent growth to continue in the best performing markets, especially infill locations in the major western markets (such as Los Angeles, San Francisco, Portland, Seattle and Denver). Although many expect moderately increasing interest rates in the future, investors that pursue a value-added strategy with a “best-in-class” operating partner can continue to generate very attractive returns in a generally high-priced asset market. It does require finding an operator with the ability to acquire well-located assets at favorable prices (often due to an asset’s physical or management defects) and to use their skills to improve the assets before selling into a deep investor- demand market.

Based in San Francisco, Accord harnesses a powerful combination of capital markets, investment management and principal investing capabilities to bring an aligned approach to real estate investing across a range of sectors and geographies.

GUEST COLUMN Continued from page 6

‘It can be the worst

of times...for functionally

obsolete properties.

’

wINtER 2016 | 11

SareS•regiS group regional OfficesCorporate OfficeJohn S. Hagestad, Managing DirectorGeoffrey L. Stack, Managing DirectorWilliam J. Thormahlen, Managing DirectorChristopher L. Payne, Managing Director, President, Multifamily DevelopmentPeter Rooney, Managing Director, President, Commercial DevelopmentMichael Bissell, President, Multifamily Property ManagementVince Ciavarella, President, Commercial Property ServicesBill Montgomery, President, Multifamily Investments Kelly Peart, President, Multifamily Construction18802 Bardeen Avenue, Irvine, CA 92612 (949) 756-5959 • www.sares-regis.com

SRG Contractors, LPRegis Contractors, LP18825 Bardeen Avenue, Irvine, CA 92612 (949) 756-5959

Ventura/Los AngelesRuss Goodman, Regional President966 S. Seaward Ave., Ventura, CA 93001 (805) 604-7101

Denver/Phoenix–ResidentialJennifer Nessett, Vice President, and Regional Manager900 E. Louisiana Ave., Suite 101 Denver, CO 80210 (303) 715-9600

Sares Regis Group of Northern California, LLCRegis Homes Bay Area, LLCRobert W. Wagner, Managing DirectorMark R. Kroll, Managing DirectorGinger Bryant, Chief Operating Officer/ Chief Financial OfficerJeffrey A. Birdwell, President, Commercial DevelopmentKenneth Gladstein, Chief Investment Officer, Income PropertiesTodd Regonini, Chief Development Officer, Residential DivisionDrew Hudacek, Chief Investment Officer, Development Properties901 Mariners Island Blvd., Suite 700 San Mateo, CA 94404 www.srgnc.com • www.regishomes.com

Regis Homes of Sacramento, LLCBill Heartman, President1990 3rd St., Suite 400 Sacramento, CA 95811 www.regishomessacramento.com

pAtRIck S. SImoNS joined SARES•REGIS Group as Senior Vice President in Multifamily Development from Strategic Property Economics, a market research and economic forecasting firm he founded in 2008 that focused on attached residential development and investment. In his career, Simons has supervised the performance of all facets of real estate acquisition, development, and asset management for more than 10,000 residential units valued in excess of $1 billion with such companies as Summerhill, JPI, LNR Property Corporation, and the Kaufman and Broad Multi- Housing Group. He is a licensed real estate broker and earned a bachelor’s in engineering and master’s in real estate development from the University of Southern California.

ANNOUNCEMENTS

Patrick S. Simons

TOPPING OUTCrews racing to protect The Pierce luxury apartments in San Jose against El Niño have topped out framing and are roofing the five buildings by Sares Regis Group of Northern California and Clark Construction.

“Our contractors are now finishing framing the last two buildings. Weather permitting, roofing on these will start in the next three weeks,” said Jeff Smith, Senior Vice President of SRGNC.

The Pierce is a seven-story, amenity-rich development on Market Street between Pierce and Reed streets. The project sits at the center of the burgeoning South First Area district, a visual arts and entertainment destination locally known as SOFA.

When completed, the 232 residences will offer studios, one- and two-bedroom units and a two-story concrete garage with 323 spaces. Amenities include a clubroom, fully equipped fitness center, an outdoor kitchen, screening room, bike shop, swimming pool, landscaped gardens and a roof terrace.

The ground floor will feature 4,300 sq. ft. of retail space and will include the main lobby and leasing office. Leasing is set to begin in August.

SRGNC is partnering on the project with Chicago-based Pritzker Realty Group. The team includes Steinberg Architects, HMH Civil Engineers, The Guzzardo Partnership, Belden Consulting Engineers and Nishkian Menninger.

12 | StRAtEGIES