Commercial Real Estate CRE Commercial Real Estate Panel

Commercial Real Estate (CRE)

Commercial Real Estate Panel Alec Campbell Vice President Supply Chain Wash Multifamily Laundry Systems Jilliene Helman CEO Realty. Mogul Brett Dedeaux Kent Hindes Jay Dick Principal Dedeaux Properties Senior Director Cushman&Wakefield Senior Vice President CBRE, Ontario Randall R. Kendrick CEO Xebec Craig Meyer President and Head JLL Industrial Properties Group for the Americas

Commercial Real Estate Panel Bios Panelist Bio Alec Campbell Alec has focused on delivering innovative solutions that drive productivity and support market growth with 25+ years of experience as a supply chain thought leader. In his role as VP of Supply for WASH, Campbell works cross functionally on the design and execution of demand planning, procurement, remanufacturing and distribution planning capabilities. Prior to joining WASH in 2017, was the Global VP of Supply Chain Design at a large third-party logistics company. Leading global customer solution initiatives across multiple industries. Campbell also served as a consultant for Capgemini Ernst and Young where he demonstrated expertise in aerospace, automotive, high tech, and industrial sectors. Brett Dedeaux leads a team of talented professionals as President of Dedeaux Properties LLC. , an industrial real estate investment & development firm. The company controls over 6, 500, 000 sq. ft. of industrial property in California along with a strategic presence in Chicago. Dedeaux Properties focuses on acquiring and developing distribution facilities, cold-storage buildings and transportation-related properties including truck terminals and trailer parking yards. Currently the firm has a pipeline of projects over 1, 000 sq. ft. in various stages of entitlement, construction or under contract with various high quality partners. Jay Dick Since 1988, Jay Dick has been involved in more than 1, 200 sale and lease transactions totaling more than 6 f 5 million square feet of industrial space and 30 million square feet of land. After securing “Rookie of the Year” honors in his first year, Mr. Dick has continued to succeed , earning a place in the Century Club five times and subsequently annual honors in the Millennium Club. His involvement with all facets of the business, including acquisitions, build-to-suits and dispositions has made him a valuable asset to top clients live QVC and Space Center. Over the past 29 years, Mr. Dick has been responsible for the sale and leasing of properties in and around the inland Empire of California. Jilliene Helman is the Founder and Chief Executive Officer of Realty. Mogul, a private equity firm focused on investing in commercial real estate that uses crowdfunding to raise equity capital. In this capacity, Ms. Helman has invested in over $2 billion of real estate and deployed over $400 million of equity capital. Ms. Helman has also raised over $50 million in venture capital to finance the business from top-tier venture capital firms including Canaan Partners and Sorenson Capital. Ms. Helman is a Certified Wealth Strategist and hold FINRA Series 24, 7 and 63 licenses. She has been named as one of Forbes 30 Under 30 and Fin. Tech Woman of the Year. Vice President of Supply Chain Wash Multifamily Laundry Systems Principal Dedeaux Properties Senior Vice President CBRE, Ontario CEO Realty Mogul

Commercial Real Estate Panel Bios Panelist Bio Kent Hindes is based in the Inland Empire Office of Cushman & Wakefield. He has been with C&W for more than 20 of his 30 plus years in the industrial real estate practice. Mr. Hindes has played a significant role in the growth, development and expansion of the Inland Empire region. His background includes expertise in industrial project development, aviation related and air cargo operations, lease and sale transactions, tenant representation, build-tosuit, and investment sales. Mr Hindes has completed numerous lease and sale transactions for major corporations, institutional owners, and professional service firms on a local, regional, national and internalional basis Randall R. Kendrick is a Founder of Xebec and has served as its CEO since its inception in 1996. As CEO of Xebec, Mr. Kendrick is responsible for the development, acquisition and capital markets strategies for the firm, and serves as Chairman of its Investment Committee. He also provides the strategic vision for Xebec as it continues to evolve as a market leader in the industrial real estate sector. The Xebec platform benefits from Mr. Kendrick’s 30 -year career in industrial real estate in the infill markets of Southern California, one of the most valuable and competitive industrial markets in the U. S, and home to the country’s most active port, the Los Angeles/Long Beach port complex. Mr. Kendrick is a graduate of the University of Southern Calfiornia where he earned a Bachelor’s of Science Degree in Business Administration and successfully completed the Real Property Development and Management Program. Senior Director Cushman & Wakefield CEO Xebec Craig Meyer President and Head JLL Industrial Properties Group for the Americas Craig is President of JLL Industrial. He is responsible for the JLL business lines that service the industrial and logistics real estate asset class in the Americas. Craig serves on the firm’s Americas Brokerage Executive Committee and Americas Market Strategy Committee. In addition, Craig is Chair of JLL’s Global Industrial Board which sets global strategy for the firm’s three operating regions(Americas, EMEA, APAC). He was named international Director of the firm in 2012

Technology in Commercial Real Estate Decisions & Our Panel’s Expertise Commercial Sales Crowd Liquidity Funding (Sources of Funding) Jay Kent Craig Jilliene # & W/H Location(s) Define W/H Requirements How you will operate ? • Network Optimization • Holistic Approach to SC Design (80% of cost) • • • Robotics Artificial Intelligence Movement sensors & RFID WMS LED (Sustainability) • Customer delivery requirements • Sourcing locations & costs (facility, labor, utilities, taxes, etc. ) • W/H costs • Inventory costs • Opportunity zones • • • Automated vs manual Integration to legacy systems Flat floor vs slanted (robotics) Building height / racking Sustainability Equipment Modeler Optimize Total Op Total Cost Alec Cost Buy Developers Will you lease or buy? • • • Insource (Within 7 - 10 years own asset) Randall Brett Existing vs Green Field • No Require Location Flexibility ? Yes • • Lease • • (GAP Rules) Lower costs Better balance sheet to lower building costs Risk mitigation Importance of customer service High levels of training to handle product High value / Security Customized value add Labor Issues Management Outsource Labor to a 3 PL for Ops Will you use a 3 PL for all? • • Insource vs Outsource Ops ? • • One stop shop Convenience No building risk if volumes change Source: Ochi Consulting Lower op costs Gain expertise you may lack Convenience Labor Issues

Commercial Real Estate Q&A Topics: Evolution, Revolution or Disruption 1) Using Network Optimization to find the ideal commercial real estate location 2) Factors to use in finding the “right” commercial real estate for you 8) Evolution, Revolution or Disruption – What to expect in the future 3) Factors that impact the demand for commercial real estate to help you understand cost drivers. 7) Occupant Trends (Buy or lease, which is better for you 6) Commercial real estate pricing to optimize your cost 5) “Opportunity Zones” to lower costs & help rejuvenate city blight areas 4) Leasing Trends to improve your knowledge to make the best deal.

The business and supply chain strategies set the decision framework (the trade offs to make) for the Network Strategy. Real Estate (WH, Mfg. , Office) Winners optimize the primary supply chain cost drivers − IBM Global Services Service Level Inventory It is not the strongest of the species that survives, not the most intelligent, but the one most responsive to change Transportation − Charles Darwin Network Strategy Labor It ain't what you don't know, that gets you into trouble. It's what you know for sure, that just ain't so. − Mark Twain Sustainability & Energy Risk … and More May 1, 2017 The challenge is a network strategy can establish “ 80%” of the cost for a substantial period of time. 7

Network Optimization (Network SC Structure Drives 80% of SC Cost) Location of Customers Service Level • • • Real Estate Cost W/H labor Taxes Energy & Sustainability Costs Where to place inventory Where to Source Domestic & International Transportation Minimize Risk

Using Network Optimization to Select Final Logistic Center Site Jay Dick Senior Vice President CBRE, Ontario

Commercial Real Estate Q&A Topics: Evolution, Revolution or Disruption 1) Using Network Optimization to find the ideal commercial real estate location 2) Factors to use in finding the “right” commercial real estate for you 8) Evolution, Revolution or Disruption – What to expect in the future 3) Factors that impact the demand for commercial real estate to help you understand cost drivers. 7) Occupant Trends (Buy or lease, which is better for you 6) Commercial real estate pricing to optimize your cost 5) “Opportunity Zones” to lower costs & help rejuvenate city blight areas 4) Leasing Trends to improve your knowledge to make the best deal.

Southern California Opportunity Zones

Opportunity Zone: Incentive Tax Timing

Commercial Real Estate Q&A Topics: Evolution, Revolution or Disruption 1) Using Network Optimization to find the ideal commercial real estate location 2) Factors to use in finding the “right” commercial real estate for you 8) Evolution, Revolution or Disruption – What to expect in the future 3) Factors that impact the demand for commercial real estate to help you understand cost drivers. 7) Occupant Trends (Buy or lease, which is better for you 6) Commercial real estate pricing to optimize your cost 5) “Opportunity Zones” to lower costs & help rejuvenate city blight areas 4) Leasing Trends to improve your knowledge to make the best deal.

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