Presented by:

Lee & AssociAtes - temecuLA VALLey ~ 25240 HAncock AVenue, suite 100 ~ murrietA, cA 92562 | corp. iD #01048055 | www.Lee-AssociAtes.com

offering memorandum

miKe HannaVice President

951.445.4503mhanna@lee-associates.comDRE LICENSE #01456055

micHael w. strodeSenior Vice President, CCIM, SIOR

951.445.4508mstrode@lee-associates.comDRE LICENSE #00798900

dave mudgeSenior Vice President, CCIM, SIOR

951.276.3611dmudge@lee-associates.comDRE LICENSE #01070762

tom PieriKSenior Vice President, SIOR

951.276.3610tpierik@lee-associates.comDRE LICENSE #00982027

Holt street

corona a

venue

ontario airport corporate center 1791, 1795 & 1797 Holt street | 201 & 211 corona avenue - ontario, ca

table of contents

SECTION I - EXECUTIVE OVERVIEW

Investment Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Property Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Comparables Sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Comparables Leased . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

SECTION II - PROPERTY DESCRIPTION

Property Photos . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Location Map . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Aerial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

Site Plan/Building Breakdown . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

SECTION III - AreA InforMAtIon

City of Ontario . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Demographics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

SECTION IV - BID PROCESS

Bid Process Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Rev. 11/10/2011

Section Oneexecutive overview

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 4

investMent suMMaryontario Airport corporate plaza is located in the heart of ontario, newly constructed business campus, five (5) building, office and flex development with thirty eight (38) units. condominium plan on file with the city of ontario llowing for future sale of the units individually.

desirable lOCatiOnsurrounded by commercial amenities such as hotels, restaurants and minutes from the ontario mills mall, the ontario convention center, california motor speedway, and the citizens park Arena

signifiCant upside with leasingimmediate upside through the lease-up of vacant space could double the noi. existing 21 units are built out and ready for immediate tenant occupancy.

investMent highlights

three (3) distinct product types that address a variety of uses: 1 and 2 • story office units with up to 5.5 /1000 parking ratio

Flex units with a 12’ x 14’ ground level roll up loading doors, 20’; ceiling • clearance and 2.8/1000 parking ratio

Below replacement cost•

Deep Discounted Bulk sale•

Highly visible location on Holt Boulevard•

prime location with immediate access to the i-10, i-15 and the i-60 • Freeways

Located across the street from the full service passenger LA / ontario • international Airport

close proximity to southern pacific railroad•

investment summary

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 5ProPerty overview

OffERINg PRICE: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BEST OffER

prOJeCt/site features:

BUILDINg TYPE: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Multi-tenant Commercial

TOTAL SQUARE fEET: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38 Units totaling ±104,398 Sf

OCCUPANCY: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Vacant

PARKINg: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . :4:1000 sf for office

3:1000 sf for flex

2:1000 sf for industrial

YEAR BUILT: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2009 / Unfinished

RENTABLE SQUARE fOOTAgE: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ±104,398 Sf

SITE AREA: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 .26 Acres

nUMBer of BUILDInGS: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Six (6)

nUMBer of StorIeS: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1) two-story & (4) Single Story

ASSeSSor’S PArCeL nUMBer(S): . . . . . . . . . . . . . . . . . . . . . . . 0110-91-01, 02, 04-0000

CONSTRUCTION TYPE: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Concrete Tilt-up

ZONINg: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C4, Airport Related Services

DIStAnCe froM HIgHWAYS: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1/4 Mile to I-10 & I-15 fwys

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 6comParables - sold

ProPertY nAMe / LoCAtIon PRICE PRICE/Sf BUILDINg SfYEAR BUILT/

REfURBISHEDCAP COE

111276 5th street

rancho cucamonga, cA 91730$4,325,000 $166.74 psF 25,939 sF 2003 10.26% 10/07/2011

28656 Haven Avenue

rancho cucamonga, cA 91730$5,500,000 $90.93 psF 60,486 sF 2008 n/A 08/25/2011

33290 Guasti road - Bldg 3, phase i

ontario, cA 91761$880,000 $108.78 psF 8,090 sF 2005 n/A 07/27/2011

43280 Guasti road - Bldg 5, phase i

ontario, cA 91761$790,447 $68.71 psF 6,499 sF 2005 n/A 06/09/2011

58300 utica Avenue

rancho cucamonga, cA 91730$2,350,000 $68.715 psF 34,202 sF 1988 n/A 06/06/2011

6800 n. Haven Avenue

ontario, cA 91764$9,250,000 $115.04 psF 80,406 sF 1985/1999 n/A 05/19/2011

7835 Haven Avenue - Bldg 2

rancho cucamonga, cA 91730$2,981,875 $125.00 psF 23,855 sF 2008 5.33% 05/19/2011

83105 e. Guasti road - Bldg 6, phase i

ontario, cA 91761$1,178,880 $120.00 psF 9,824 sF 2005 n/A 05/16/2011

94550 ontario mills pkwy

ontario, cA 91764$3,490,000 $131.25 psF 26,590 sF 2008 n/A 03/25/2011

1011023 eucalyptus street

rancho cucamonga, cA 91730$958,321 $95.83 psF 10,000 sF 2006 n/A 03/04/2011

114686 ontario mills pkwy - Bldg 7

ontario, cA 91764$1,300,000 $98.13 psF 13,248 sF 2008 n/A 02/18/2011

12 9421 Haven Avenue $2,272,600 $110.00 psF 20,660 sF 2006 n/A 01/03/2011

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 7comParables - leased

ProPertY nAMe / LoCAtIon LEASE RATE CoMP Sf terMDATE

LEASED

1 1627 e HoLt BouLeVArD - ontArio, cA $1.97 FsG 33,000 sF 36 mos 2011 3rD

2 1637 e HoLt BouLeVArD - ontArio, cA $1.97 FsG 26,284 sF 36 mos 2011 3rD

3 1647 e HoLt BouLeVArD - ontArio, cA $2.07 FsG 26,250 sF 36 mos 2011 3rD

4 9445 FAirwAy View pLAce - rAncHo cucAmonGA, cA $2.08 FsG 20,085 sF 36 mos 2011 3rD

5 10350 commerce center - rAncHo cucAmonGA, cA $1.75 FsG 1,363 sF 60 mos 2011 2nD

6 2151 s HAVen - ontArio, cA $1.35 mGr 2,115 sF 36 mos 2011 2nD

7 9340 sAntA AnitA - rAncHo cucAmonGA, cA $0.70 mGr 1,565 sF 24 mos 2011 2nD

8 9302 pittsBurGH AVe - rAncHo cucAmonGA, cA $1.46 mGr 13,843 sF 24 mos 2011 1st

9 9320 sAntA AnitA - rAncHo cucAmonGA, cA $0.65 mGr 3,280 sF 12 mos 2011 1st

10 4355 Airport Dr - ontArio, cA $0.60 mGr 1,583 sF 24 mos 2011 1st

11 10370 commerce center Dr - rAncHo cucAmonGA, cA $2.10 FsG 1,041 sF 12 mos 2011 1st

12 9340 sAntA AnitA - rAncHo cucAmonGA, cA $0.60 mGr 1,565 sF 12 mos 2011 1st

Section TwoProPerty descriPtion

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 9ProPerty PHotos

the ontario Airport corporate park, as proposed, will consist of 104,398 square feet of gross building area in 5 separate buildings that will include 28 office condominiums (ranging from 882 to 5,303 square feet) and 10 flex condominiums (ranging from 3,600 to 4,956 square feet). the project had been approximately 85% completed on the +/- 320,602 square feet condominium site

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 10location maP

241

247

261

73

SAN BERNARDINO NATIONAL FOREST

JOSHUA TREE WILDERNESS

SANTA ROSA MOUNTAINS WILDRENESS

ANZA-BORREGO DESERT STATE PARK

SALTON SEA

SAN JACINTOWILDERNESS

SAN BERNARDINONATIONAL FOREST

15

215

133

1

5574

5

405

60

91

10

60

10

57

71

66

74

79

62

371

79

86

111

111

195

86

15

SAN GORGINOWILDERNESS

CLEAVLAND NATIONALFOREST

CAMP PENDLETON MARINE CORPS BASE

330

COACHELLA

PALM DESERT

DESERTSPRINGS

BANNING

YUCAIPA

REDLANDS

SANBERNARDINO

RANCHOCUCAMONGA

RIVERSIDE

CORONA

MURRIETA

TEMECULA

SAN JUANCAPISTRANO

DANA POINT

LAGUNA BEACH

CHINO

ONTARIO

YORBA LINDA

BREA

NEWPORTBEACH

COSTA MESA

ANAHEIM

WEST COVINA

GLENDORA

FONTANA

NORCO

MECCA

BIGHORN MOUNTAIN & WHITEWATERRIVER NATIONAL RECREATION LANDS

LA QUINTA

INDIO

THOUSANDPALMS

TWENTYNINE PALMS

PALM SPRINGSCATHEDRALCITY

BEAUMONT

SAN JACINTO

HEMET

SUN CITY

FALLBROOK

MORENO VALLEY

215

91

210

LAKE ELSINORE

PERRIS

210

ONTARIO AIRPORTCORPORATE PARK

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 11aerial

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 12site Plan/building breaKdown1797 HOLT BLVD UNIT NO. NET USEABLE ArEA grOSS 1791 EAST HOLT UNIT NO. ArEA grOSS

Two-story Office

Parking: 133

Parking Ratio: 4.70

101 1,079 1,330 Office Condo

Parking: 63

Parking Ratio: 5.11

101 2,579

102 2,235 2,755 102 2,701

103 4,302 5,303 103 2,222

104 1,960 2,416 104 2,503

105 937 1,155 105 2,579

106 1,474 1,817 Sub-total 12,584

107 1,672 2,061

201 1,438 1,773 1795 EAST HOLT UNIT NO. ArEA grOSS

202 1,841 2,269 Office Condo

Parking: 67

Parking Ratio: 4.2

101 3,285

203 1,419 1,749 102 3,117

204 2,001 2,467 103 3,312

205 1,311 1,616 104 3,201

206 1,982 2,443 105 3,285

207 1,220 1,504 Sub-total 16,200

208 834 1,028

209 920 1,134 Total Office Parking: 130 28,784

210 939 1,158 BLDg 4 & 5 Parking ratio: 4.6

211 715 882

Sub-total 28,279 34,860

201 NOrTH COrONA UNIT NO. ArEA grOSS

Business Park Flex

Parking: 64

Parking Ratio: 2.62

101 4,040

102 4,608

103 4,956

104 4,608

105 4,040

Sub-total 22,252

211 NOrTH COrONA UNIT NO. ArEA grOSS

Business Park Flex

Parking: 48

Parking Ratio: 2.62

101 3,623

102 3,828

103 3,600

104 3,828

105 3.623

Sub-total 18,502

Total Flex Bldg 2 & 3

Parking: 112Parking ratio: 2.77

40,754

Section Threearea information

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 14city of ontario

ontario has been one of southern california’s fastest growing cities for more than 25 years. with the inland empire currently home to 3.2 million people, the population is anticipated to increase by another 1.8 million people by 2020 making its growth rate higher than 47 u.s. states (superseded only by california, texas & Florida). ontario’s location between LA and orange county, near mountains, desert playgrounds, attractions & theme parks and 11 local colleges and universities with an abundant skilled workforce uniquely positions ontario to be southern california’s next great urban center.

ontario, cA is situated in san Bernardino county, about 40 miles east of downtown Los Angeles. Historically ontario’s economy was agrarian, driven primarily by citrus farmers who took advantage of the rocky soil to plant lemon and orange groves with vintners and olive growers later following suit. ontario’s sunkist plant remains as a living vestige of this citrus boom era. today ontario’s economy has mostly moved away from its farming roots to now be dominated by service, warehousing, and manufacturing industries.

ontario’s proximity to claremont, upland, riverside, rancho cucamonga, montclair and pomona increases its appeal as an LA / orange county overflow working center as the cost of living in the inland empire is considerably less than LA or orange county and it is easily commutable to urban centers. ontario also boasts a highly educated workforce and has an ample supply of fresh graduates from eleven college and universities located in the inland empire.

Economy: today, much of ontario’s agriculture and manufacturing industries have waned, leaving ontario’s economy dominated by service industries and warehousing. southern ontario still contains dairy and agricultural farms; however, that area is slated to be developed into a mixed-use area of residential homes, industrial and business parks, and town centers, collectively known as the new model colony.

freeways: As ontario is a major hub for passengers and freight, the city is served by several major freeways. interstate 10 and the pomona Freeway (state route 60) run east-west through the city, and interstate 15 runs in the north-south directions at the eastern side of the city. state route 83, also known as euclid Avenue, is the primary north-south traffic corridor at the western side of the city.

transportation: the LA/ontario international Airport (pictured) provides domestic and limited international air travel. the airport also serves as a major hub for freight, especially for Fedex and ups. this airport is owned by the city of Los Angeles. the metrolink station off of Haven Avenue connects ontario with Greater Los Angeles, orange county and san Fernando Valley. omnitrans provides public bus service.

AreA AMenItIeS:

ontario Mills – A primary tourist attraction in the inland empire, ontario mills is a 1,482,310 sf indoor outlet mall. it is the largest one level mall in western north America.

Citizens Business Bank Arena - the citizens Business Bank Arena is an 11,000-seat multi-purpose arena which opened in late 2008. it is owned by ontario, but is operated by AeG and is home to the ontario reign, a team in the ecHL.

ontario Convention Center – Host to 200+ events every year, the ontario convention center is a major source of tourism dollars for the city. the center features a 70,000 sf exhibition Hall and a 20,000 sF ballroom.

ontario International Airport – considered the best alternative to LAX over John wayne (snA) & Long Beach (LGB) airports, ontario international Airport (ont) is heir apparent to Los Angeles international Airport (LAX) as it is anticipated to assume passenger and cargo growth LAX is unable to service due to capacity limitations. ont boasts a 10 million passenger capacity, with a future projected capacity of 30 million passengers and has the room and capacity to expand to meet future demand expectations. ont is the 4th largest in cargo volume in california, 2nd only to LAX in cargo volume in southern california and is the 15th largest in cargo volume in the united states.

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 15demograPHics0.00 - 1.00 miles 0.00 - 3.00 miles 0.00 - 5.00 miles

Description Radius 1 % Radius 2 % Radius 3 %Population 2016 Projection 14,208 156,834 378,933 2011 Estimate 13,238 145,506 351,061 2000 Census 11,889 128,949 305,878 1990 Census 10,672 111,117 265,446

Growth 1990 - 2000 11.40% 16.05% 15.23%

Households 2016 Projection 3,214 41,429 110,368 2011 Estimate 3,016 38,643 102,592 2000 Census 2,890 36,053 93,631 1990 Census 2,789 33,833 86,523

Growth 1990 - 2000 3.62% 6.56% 8.22%

2011 Est. Population by Single Classification Race 13,238 145,506 351,061 White Alone 4,698 35.49 59,193 40.68 166,485 47.42 Black or African American Alone 873 6.59 9,121 6.27 24,197 6.89 American Indian and Alaska Native Alone 149 1.13 1,759 1.21 3,799 1.08 Asian Alone 334 2.52 5,181 3.56 20,558 5.86 Native Hawaiian and Other Pacific Islander Alone 80 0.60 570 0.39 1,117 0.32 Some Other Race Alone 6,418 48.48 61,495 42.26 113,491 32.33 Two or More Races 687 5.19 8,187 5.63 21,413 6.10

2011 Est. Population Hispanic or Latino 13,238 145,506 351,061 Hispanic or Latino 10,659 80.52 105,369 72.42 209,909 59.79 Not Hispanic or Latino 2,578 19.47 40,137 27.58 141,152 40.21

2011 Tenure of Occupied Housing Units 3,016 38,643 102,592 Owner Occupied 972 32.23 19,963 51.66 57,833 56.37 Renter Occupied 2,044 67.77 18,680 48.34 44,759 43.63

2011 Average Household Size 4.35 3.73 3.39

2011 Est. Households by Household Income 3,016 38,643 102,592 Income Less than $15,000 410 13.59 4,493 11.63 10,347 10.09 Income $15,000 - $24,999 391 12.96 4,114 10.65 9,559 9.32 Income $25,000 - $34,999 489 16.21 4,779 12.37 10,579 10.31 Income $35,000 - $49,999 596 19.76 7,171 18.56 16,450 16.03 Income $50,000 - $74,999 595 19.73 8,691 22.49 23,124 22.54 Income $75,000 - $99,999 257 8.52 4,658 12.05 13,964 13.61 Income $100,000 - $124,999 139 4.61 2,399 6.21 8,646 8.43 Income $125,000 - $149,999 50 1.66 1,027 2.66 4,362 4.25 Income $150,000 - $199,999 41 1.36 717 1.86 3,232 3.15 Income $200,000 - $499,999 45 1.49 515 1.33 2,015 1.96 Income $500,000 and over 3 0.10 79 0.20 314 0.31

2011 Est. Average Household Income $51,354 $58,023 $66,811

2011 Est. Median Household Income $40,487 $47,416 $54,714

2011 Est. Per Capita Income $11,949 $15,592 $19,741

2011 Median HH Inc by Single Race Class or Ethn White Alone 39,206 48,940 58,724 Black or African American Alone 38,069 46,311 50,338 American Indian and Alaska Native Alone 46,556 49,778 59,148 Asian Alone 62,410 58,169 58,390 Native Hawaiian and Other Pacific Islander Alone 52,086 58,002 51,178 Some Other Race Alone 41,561 45,400 48,688 Two or More Races 35,520 44,381 49,908

Hispanic or Latino 39,833 46,138 51,092 Not Hispanic or Latino 41,828 49,551 58,424

Section Fourbid Process

O f f e r i n g M e M O r a n d u M : O N t a r i O a i r p O r t C O r p O r a t e p a r k - O N t a r i O , C a

: 17bid Process overview

BID PROCESS AND ASSET SALE PROCEDURE OVERVIEW

the seller, in conjunction with Lee & Associates, has prepared a array of due diligence data (the “Due Diligence materials”), which will be made available to bidders. Due Diligence materials, the terms of sale and the seller’s required form of the sale Agreement will be distributed to prospective Bidders pursuant to the terms and conditions of the confidentiality Agreement (“the confidentiality Agreement”).

SUMMArY of BIDDInG rULeS

Lee & Associates is soliciting non-contingent Bids for the Asset outlined on the preceding overview. prospective Bidders are encouraged to complete all due diligence prior to submitting bids with the proposed timeline below.

After receipt of Bids, Lee & Associates, in conjunction with the seller, will then select the winning bidder. upon selection, the winning bidder will be supplied the purchase and sale agreement with previously agreed upon terms and conditions.

rePreSentAtIonS AnD DISCLAIMer

the seller will make their respective and required form of the purchase and sale agreement available for review prior to Bid Due Date. pursuant to the respective purchase and sale agreement, seller is selling the Asset subject only to those warranties and representations explicitly stated in the purchase and sale agreement which shall be on an “As-is, wHere is” basis. no other representations or warranties, either expressed or implied, shall apply. All prospective Bidders must rely solely on their own respective investigation and review of the asset.

this offering solicitation has been prepared to assists the recipient in deciding whether to proceed with further investigation of the asset. while the information is deemed to be accurate and reliable, seller, Lee & Associates, Affiliates, Agents, Assignees, officers, trustees, shareholders and employees make no representations or warranties, expressed or implied, as to the accuracy of completeness of such information. only those representations and warranties that are made by the respective seller to a purchaser in a definitive, executed purchase and sale agreement shall have any legal effect.

REgISTRATION

to register for this sale please sign the applicable confidentiality Agreement and return to:

Attn: mike HAnnAF: 951.445.4543e: mhanna@lee-associates.com

lee & associates® – temecula valleyA Member of the Lee & Associates® Group of Companies25240 Hancock Avenue, Suite 100, Murrieta, CA 92562

P: 951.445.4500 f: 951.445.4527Corp. ID 01048055

www.lee-associates.com

miKe Hannavice President951-445-4503

mhanna@lee-associates.comDRE License #01456055

micHael w. strodesr. vice President, ccim, sior

951.445.4508mstrode@lee-associates.com

DRE LICENSE #00798900

dave mudgesr. vice President, ccim, sior

951-276.3611dmudge@lee-associates.com

DRE License #01070762

tom PieriKsr. vice President, sior

951.276.3610tpierik@lee-associates.comDRE LICENSE #00982027