Core-plus Case Study (active)

Scripps San Diego Campus

The Opportunity

• In Q2 2013 CIRE acquired a 39,800 SF single-tenant NNN office asset located in San Diego’s Sorrento Mesa/Sorrento Valley submarket

• The property is 100% occupied by Scripps Health, a $2.5 billion private, nonprofit, integrated health system in San Diego, CA (AA- S&P Rated)

• Investors will realize strong immediate cash-flows from a AA– credit rated, top 10 national health system

• Scripps Health has invested significant capital over the last 5 years to replace/repair major building systems and renovate interior build-outs

• The project is widely considered the most accessible property in the surrounding sub-market. This irreplaceable location will be further enhanced by the expected near-term completion of the $90 million Interstate 805/Carroll Canyon Road Extension Project

• The subject site offers a parking ratio above 6 per 1,000 SF, a valuable commodity among competing properties in the sub-market

Value-Add Strategy

• Provide Scripps and their employees with CIRE’s best-in-class property level and asset management services

• Conduct a complete audit and overhaul of property level operations to maximize efficiencies and reduce costs