<strong>SITUATION:</strong>
<a href="http://www.prgim.com/wp-content/uploads/2013/08/ScenarioPic.png"><img class="alignleft size-medium wp-image-258" alt="ScenarioPic" src="http://www.prgim.com/wp-content/uploads/2013/08/ScenarioPic-300x200.png" width="300" height="200" /></a><b>•2006:</b>Seller acquired property and secured condo map for individual commercial/flex/industrial units with plan to sell units for $255/sq. ft. Seller’s total investment basis and outstanding loan balance was $165/sq. ft.
<b>•2011:</b> Company acquired business park an a short sale basis at $78/sq. ft., representing a 50% discount to outstanding loan balance
•Business Park was acquired via a friendly short sale transaction with borrower/seller and lender
•Business Park was 29% occupied by 3 month-to-month tenants at acquisition. Broker sentiment was negative due to lack of tenant demand and historically high vacancy at competing business parks.

<strong>STRATEGY AND EXECUTION:</strong>
<a href="http://www.prgim.com/wp-content/uploads/2013/08/strategyPic.png"><img class="alignleft size-medium wp-image-259" alt="strategyPic" src="http://www.prgim.com/wp-content/uploads/2013/08/strategyPic-300x200.png" width="300" height="200" /></a>•Repositioning strategy included addressing deferred maintenance, improving appearance and presentation of the asset.
•Leasing strategy included competing for “market share” by offering tenants in competing properties the best deal (higher quality product at a discount).
•Personal interaction with brokers representing these tenants, based on 13 years of relationships.
•Aggressive campaign direct to tenants to demonstrate the leasing value proposition.

<strong>RESULTS:</strong>
<a href="http://www.prgim.com/wp-content/uploads/2013/08/resultsPic.png"><img class="alignleft size-medium wp-image-257" alt="resultsPic" src="http://www.prgim.com/wp-content/uploads/2013/08/resultsPic-300x286.png" width="300" height="286" /></a>•Occupancy of 98% was achieved in Month 9 of ownership (stabilization preformat occupancy was Month 18)
•Actual rents were 9% higher than preformat
•Tenant improvement and capital costs were 10% lower than preformat
•High quality tenant mix including NYSE company, bio-tech firm, industrial entrepreneurial companies.
•Unsolicited offer received in Month 14 of ownership representing 34% premium to original purchase price.




<strong>CONCLUSION:</strong>
<a href="http://www.prgim.com/wp-content/uploads/2013/08/conclusionpic.png"><img class="alignleft size-medium wp-image-256" alt="conclusionpic" src="http://www.prgim.com/wp-content/uploads/2013/08/conclusionpic-300x173.png" width="300" height="173" /></a>•Established as a partner for investors seeking real estate investments in Southern California where Company holds a clear competitive operating advantage
•Exclusive Focus on Southern California where Company holds “home court advantage”
•Exceptionally strong relationship network provides unique operating advantage to interconnected industry matrix
•Proven reputation and strong operating track record with tangible results