P3INFRASTRUCTUREREAL ESTATE ADVISORY

P3 DONE RIGHT

STUDENT HOUSING

HIGHER ED FACILITIES

MIXED-USE

RETAIL

JUSTICE FACILITIES

PUBLIC BUILDINGS

OFFICE

RESIDENTIAL

PARKING

HOTEL

INDUSTRIAL/FLEX

MILITARYINSTALLATIONS

TELECOM/CELLULAR

SURFACETRANSPORTATION

PUBLIC SECTOR REAL ESTATE EXPERIENCE

A&M has completed over 135 public sector real estate engagements in 37 states and U.S. territories. With offices located across the country, our professionals have served public and institutional clients throughout the lifecycle of their real estate and infrastructure projects. PUBLIC SECTOR REAL ESTATE ENGAGEMENTS

135+

A&M offers a full range of P3, real estate and project delivery services, providing customized solutions that address your unique fiscal and operational needs.

STRATEGY

School Facilities Expansion and Privatization

Feasibility Studies and Business Case Development

Strategic Portfolio Planning

Economic Development

Site Selection Advisory

Alternative Delivery

Financing Options for Capital Improvement Projects

Litigation Support

OPERATIONS

Portfolio and Asset Management

Real Estate Restructuring and Dispute Resolution

Program and Project Management

Forensic Accounting and Investigation

Cash Flow Impact Analysis

OUR SERVICESPROJECT DELIVERY

Real Estate

Valuation / Highest and Best Use Analyses

Public / Private Partnerships Structuring and Negotiations

Value for Money / Whole Life Cycle Cost Analyses

Financial Pro Forma Model and Cash Flow Analyses

Solicitation Development and Evaluations

Transaction Negotiations and Closings

TODAY’S CHALLENGESPublic entities and institutions face a unique set of challenges in providing state of the art facilities to meet their mission requirements. Capital and operating budget limitations often inhibit adequate maintenance, renovation and expansion of needed facilities, eventually hindering core business operations. Certain alternative delivery methods, including P3 structures, may help institutions achieve mission success by generating new revenue, eliminating deferred maintenance, and delivering services more efficiently. In addition, institutions may have underutilized assets which can be leveraged to fund facility improvements.

A&M’S PROFESSIONALS AND EXPERIENCEA&M professionals possess a unique blend of public and private sector commercial real estate experience. Our professionals have worked in federal, state and local government agencies, as well as higher education institutions, and are familiar with the public sector and institutions from the inside out. We possess a deep understanding of the institutional operating environment and the constraints that mission-oriented clients encounter. After 135+ results-driven engagements with public sector and higher education clients, our dedicated team is well-equipped to identify issues and structure the right solutions for your needs.

THE A&M ADVANTAGEUnlike other real estate advisers, A&M's operational heritage fuels our distinct "speed to execution" approach. We believe that swiftly implementing an action plan most effectively increases asset performance and minimizes risk. Furthermore, we apply two decades of company restructuring approaches and unlock value for public entities. A&M provides independent advisory services, not tied to the value or execution of a transaction, enabling us to provide impartial and independent recommendations that benefit our public sector clients. Our interests are always aligned with the economic and policy objectives of our clients.

A&M designs integrated portfolio strategies to capture value in underutilized assets.

P3 MARKET AND FEASIBILITY STUDIES

75+

P3 DEVELOPER SOLICITATIONS AND SELECTIONS

30+

MILLION SQUARE FEET OF HIGHER EDUCATION PROJECTS

3+

Howard UniversityStudent Housing Renewal

Challenge: Howard University sought to renovate its largest student housing asset – totaling 1,780 beds – which suffered from significant deferred maintenance and negatively impacted student retention.

A&M Role: Assessed financial feasibility of multiple transaction structures; led partner selection; led negotiations; and providing oversight during operations. Outcome: $40 million upfront payment $3 million additional annual revenues $5 million savings in annual deferred maintenance $70 million renovation Fully funded capital reserve account University retained land and facility ownership Improved student quality of life, attraction, and retention

Carlow UniversityMixed-use P3 Development with

Academic, Student Life, and Commercial

Facilities

Challenge: Carlow University sought to develop a 350,000sf mixed-use health sciences facility, dining hall, campus welcome center, and commercial office building along a high-visibility corridor in Pittsburgh, Pennsylvania.

A&M Role: Conducted market and highest and best use analyses; assessed multiple financial structures and associated risks; assisting with partner negotiations; and drafting transaction documents.

Outcome: Creating new and diverse revenue streams by monetizing underutilized land Increased revenue from commercial development and preserved debt capacity through site analysis Creating a new campus gateway and interface with the community

North Carolina A&T Real

Estate FoundationCommercial Mixed-use Development

at Campus Edge

Challenge: North Carolina A&T University Real Estate Foundation sought an advisor to understand the potential for commercial development in East Greensboro to support community and economic development goals.

A&M Role: Conducted market and highest and best use analyses; and recommended development programs at sites that would catalyze neighborhood revitalization.

Outcome: Guided the Foundation’s understanding of the viability of commercial mixed-use development across four sites in East Greensboro

California Polytechnic State University

Revenue Generation and Housing for Students, Faculty, and Staff

Challenge: Cal Poly sought an advisor to determine whether P3 was a viable alternative to deliver much-needed student, staff, and faculty housing.

A&M Role: Participated in master plan revision process; conducted market and highest and best use analyses; created plan to monetize select sites; and crafted solicitation for faculty and staff housing at one site.

Outcome: Identified $90 million in value across 11 sites through P3 monetization Developed action plan to grow campus while limiting impact on debt capacity

HIGHER EDUCATION EXPERIENCE

OUR REPRESENTATIVE CLIENTS

HIGHER EDUCATION

Howard University Carlow University California State University System Dormitory Authority of the State of New York Morehouse College San Juan Community College Robert Morris University North Carolina A&T University

STATE GOVERNMENT

State of Louisiana Pennsylvania Department of Transportation State of Kansas Virginia Office of Public-Private Partnerships Texas Facilities Commission Empire State Development Corporation

LOCAL GOVERNMENT

Travis County, Texas Fairfax County, Virginia New York City Economic Development Corporation Grand Forks County, North Dakota District of Columbia City of Falls Church, Virginia City of 29 Palms, California

FEDERAL GOVERNMENT

Office of the Secretary of Defense U.S. Department of the Army U.S. Department of the Navy U.S. Department of the Air Force Federal Bureau of Investigations

A&M structures public-private partnerships (P3) to attract industry expertise and private capital with transparency and public accountability.

IN P3 PROJECTS

$1 billion+SUCCESSFULLY CLOSED

Jay BrownManaging Director202-729-2110jbrown@alvarezandmarsal.com

Yaye-Mah SarSenior Director202-227-8486ysar@alvarezandmarsal.com

Jenifer BossDirector202-590-0784jboss@alvarezandmarsal.com

WASHINGTON, D.C. • LOS ANGELES

HIGHER EDUCATION

“ The A&M Team has been a critical and trusted partner for Howard University over the past three years. Through the team’s support with developing a real estate strategy aligned with our academic mission and master plan, managing our real estate program, and executing a number of transactions, we have been able to deliver over 800,000 SF of new and modernized facilities and generate over $200 million in upfront capital for the University.

- Anthony Freeman, Associate Vice President and Senior Real Estate Advisor, Howard University

“ The Alvarez & Marsal team laid the groundwork for a successful ULI Advisory Services Panel for Howard University’s 23-acre East Campus project. Their team developed a detailed briefing book for panel members that clearly articulated project goals and provided market data, development site characteristics, competing development projects, and a regulatory framework that allowed panel members to hit the ground running on day one.

- Dick Reynolds, President, The Reynolds Group; Urban Land Institute Advisory Services Panel Chair for Howard University East Campus

“Alvarez and Marsal have partnered with us since 2013 on one of our longest running professional development events, at Academic Impressions, currently entitled, Public/Private Partnerships Institute: A Roadmap for Success. They provide impartial education and advisory support throughout the event which caters to higher education leaders learning how P3s work and key factors to support their success. Their group has contributed substantial time and energy in contributing ideas for the content and curriculum of this event to make it a meaningful learning experience. The latest iteration in January of this year scored 4.9 out of 5.0 for overall satisfaction and their individual sessions performed extremely well in terms of quality and satisfaction.

- Grace Royal, Manager, Programs and Industry Partnerships, Academic Impressions

Client Testimonials