Credit Tenant NNN Lease

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STEEL INDUSTRIES, INC. Investment Summary,500,000 7.70 Initial Cap ate 8.

1 STEEL INDUSTRIES, INC. Investment Summary,500, Initial Cap ate 8.18 Minimum 5 ear Blended Cap Rate 500,80 I 1 3 Minimum Annual Increases 5 ears emaining Initial Term our 5- ear enewals 10 Acres ully Developed SELF-SERVICE AUTO & TRUCK DISMANTLERS a subsidiary of Schnitzer Steel Industries, Inc. etail-manufactring-industrial rowth Area 1 As of eb. 201 Vancouver, B.C. SITE Arlington Additional Information Available with Con dentiality Agreement http wp.me a3 el-gi Tulalip Everett Marysville Seattle nd St E S -531 Arlington, WA Lake Stevens Larry Ingraham, CCIM ext.11 Larry emeraldre.com 2014 The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 1 of 13

Investment Summary,500,000 7.70 Initial Cap ate 8.

2 Investment Summary,500, Initial Cap ate 8.18 Minimum 5 ear Blended Cap Rate 500,80 I 3 Minimum Annual Increases 5 ears emaining Initial Term our 5- ear enewals 10 Acres ully Developed etail-manufactring-industrial rowth Area Investment Highlights ee simple ownership in land and improvements Absolute NNN lease structure 1 State-of-the-art facility Annual Increases High barriers to entry use Income tax free state Available debt free Pending Manufacturing Industrial Center designation etail growth area Tenant Summary 180th St NE Pick-n-Pull Arlington Advanced Manufacturing Park perates 55 self-service auto parts S & Canadian stores 59th Ave NE SITE 67th Ave NE A wholly owned subsidiary of Schnitzer Steel Industries, Inc. SCH ASDA 1.9 Billion in revenue for Million of stockholder e uity Access Tenant provides strong environmental indemni cation Crown Distributing 172nd St NE An industry leader in vehicle recycling 350,000 ehicles per year 5,400,000 etail Customers per year Source: oogle.com 2013 oogle 1 Landlord provides general liability insurance policy - less than 1,000 per year covering multiple locations Larry Ingraham, CCIM ext.11 Larry emeraldpbd.com Larry emeraldre.com 2014 The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 2 of 13

3 Larry Ingraham, CCIM ext.11 Larry emeraldre.com 2014 The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 3 of 13

2015-2016 Opening 400,000 SF Mixed Use Development Vancouver Arlington Municipal Airport

531 between 43rd Ave NE & 67th Ave NE N Seattle Arlington-Marysville MIC Zone Source:

4 Opening 400,000 SF Mixed Use Development Vancouver Arlington Municipal Airport Arlington Advanced Manufacturing Park SITE Access $35 Million funded improvements for SR 531 between 43rd Ave NE & 67th Ave NE N Seattle Arlington-Marysville MIC Zone Source: Bing.com 2013 Microsoft Corporation 2014 The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k emeraldpre.com 4 of 13

AUTO RECYCLING Schnitzer operates Pick-n-Pull, one of the nation's premier self-service used auto parts networks dedicated to supplying customers with lowcost, quality used auto parts.

We purchase approximately 350,000 used and salvaged vehicles annually from tow companies, private parties, auto auctions, city contracts and charitable organizations.

5 AUTO RECYCLING Schnitzer operates Pick-n-Pull, one of the nation's premier self-service used auto parts networks dedicated to supplying customers with lowcost, quality used auto parts. Pick-n-Pull has 55 auto recycling facilities in 15 U.S. states and Canada as well as an online inventory for customers to rapidly locate specific vehicles and track availability of parts. We purchase approximately 350,000 used and salvaged vehicles annually from tow companies, private parties, auto auctions, city contracts and charitable organizations. After the autos are properly drained of fluids and hazardous materials are removed, the autos are then set in our well-organized yards for customers to select and pull valuable parts. We also sell some vehicles as "rebuilders." Over five million customers visit annually, from do-it-yourself retail customers to recreational mechanics, professional rebuilders, entrepreneurial business owners, volume resellers and collision repair shops. Each facility stocks a large number of domestic and foreign cars, vans and light trucks which are continually replaced by new arrivals to offer our customers a wide and fresh selection of parts from which to choose. The customer pays a nominal admission fee, finds a vehicle with the desired parts and removes the part with their own tools, or using our wheelbarrows and engine hoists. After a vehicle has finished its time in the retail area, our staff removes remaining recyclable nonferrous materials and valuable core parts that can be sold wholesale such as engines, transmissions and alternators. The remaining auto body is crushed and sold as ferrous scrap metal to metal recyclers, including our metals recycling facilities. Why buy auto parts from Pick-n-Pull? It's simple: Our quality recycled parts saves money, energy, resources and landfill space Our huge inventory includes many hard-to-find parts Our computerized parts interchange system lists alternative vehicles that have the same parts Our parts are considerably less expensive than traditional parts sources Our shopping experience and excellent customer service can't be beat We remain competitive in our industry because of these reasons, plus our efficient processing of auto bodies and use of technology in managing our geographically diverse network of locations. Recycling, Sustainability and the Environment Our vehicle disposal process recycles everything we possibly can. Countless parts are purchased by retail Cont. and Info above is from http ersteel.com auto recycling.aspx and is 201 Schnit er Steel.Industries, Inc The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 5 of 13

wholesale customers as a sustainable and cost-effective alternative to purchasing from traditional parts sources. Parts that can be refurbished (i.e. transmissions, alternators, compressors) are sold for remanufacturing.

6 wholesale customers as a sustainable and cost-effective alternative to purchasing from traditional parts sources. Parts that can be refurbished (i.e. transmissions, alternators, compressors) are sold for remanufacturing. Many vehicle fluids including gasoline and oil are recycled. Ferrous and nonferrous metals are recycled and sold to steel mills and foundries for new products. All of this reuse reduces the amount of virgin materials needed to create new products as well as the energy needed to create them. Environmental compliance and conservation is a priority. We have implemented standardized policies and procedures at all locations for managing vehicles and disposing of hazardous wastes. In fact, our best practices set many of the standards adopted by local communities as guidelines for others to follow. All of these efforts taken together protect the environment, beautify our neighborhoods and reduce the cost of new goods by returning valuable scrap metal to new production. Info above is from http ersteel.com auto recycling.aspx and is 201 Schnit er Steel.Industries, Inc The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k of 13

7 Arlington-Marysville Manufacturing/Industrial Center The Cities of Arlington and Marysville are establishing a joint Manufacturing/Industrial Center (MIC) to promote long term economic growth by encouraging expansion of existing manufacturing businesses and attracting new concentrated manufacturing uses 1. The 4,091 acre area is mostly underdeveloped and has over 1,200 acres of undeveloped land available. It currently includes 5,513 jobs, with the goal to eventually support over 77,000 jobs, of which approximately 70% would be family wage aerospace and high tech jobs, adding to Snohomish County s existing 109,000 aerospace and high tech jobs now generating $5.9 billion in annual wages. As a MIC, the zone is eligible for state and federal transportation and infrastructure funding. The MIC designation creates a streamlined permitting process to encourage new manufacturing and industrial growth in coordination with local and regional economic development strategies. Located between three major transportation corridors (SR 530/31, SR 9, I-5), the MIC includes Arlington Municipal Airport and the BNSF rail line. The MIC designation prioritizes the development of policies and building infrastructure to encourage and facilitate new manufacturing and industrial growth. The Arlington-Marysville MIC has the potential to become Snohomish County s second largest manufacturing/employment center, behind Paine Field. 1 MIC designation approved by Snohomish County Council June 2014; Puget Sound Regional Council currently reviewing awarding MIC designation The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 7 of 13

Arlington - Marysville Joint Manufacturing/Industrial

Users SITE Marysville - Smokey Point Local MIC 4,091

Jobs: 5,513 Total Jobs Goal: 77,000 2014 The information

8 Arlington - Marysville Joint Manufacturing/Industrial Center Arlington - Smokey Point Local MIC Major Retail Users SITE Marysville - Smokey Point Local MIC 4,091 Acres in Joint MIC 1,200+ Acres Undeveloped Current Jobs: 5,513 Total Jobs Goal: 77, The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 8 of 13

9 Bill gives tax breaks to companies in 4 cities in exchange for job creation By Jerry Cornfield Herald Writer OLYMPIA Marysville and Arlington will soon have a new tool to help attract businesses to an industrial area they share: a tax break. A bill passed by state lawmakers last week allows the cities to exempt companies from paying a portion of property taxes if they create a minimum of 25 jobs that pay at least $18 an hour. Senate Bill 5761 was passed by the Senate and House on Thursday, the final day of the first special session. It will now go to Gov. Jay Inslee for his expected signature. The city of Marysville is very grateful for the Legislature's support, Marysville Mayor Jon Nehring said in a written statement. Encouraging new manufacturing businesses to locate and expand in the area will bring jobs to cities and strengthen our economy. The bill also applies to Lake Stevens and Mill Creek, but it was Marysville and Arlington that pursued the tax break. Leaders there have been lobbying lawmakers for three years. They say other communities in other states already offer the same or similar incentives to the very companies the two cities are trying to land. Their goal is to convince aerospace, high-tech and manufacturing companies to settle in areas designated for industrial development. Under the bill, taxes that are now paid on the land would continue to be collected. The proposed exemption would apply only to taxes due on the value of improvements, such as construction of new facilities. A company would be exempt from paying those taxes for 10 years under certain conditions, including that the firm creates 25 or more jobs that pay a family living wage estimated to be at least $18 an hour. City leaders are focused on developing roughly 1,200 contiguous acres straddling the two cities' borders in and around Arlington Municipal Airport. About 800 acres are in Marysville and lie east of I-5 and south of Highway 531, between 128th and 164th streets NE. That property once was considered for a NASCAR race track and a University of Washington branch campus. It connects with about 400 acres in Arlington around the airport. I hope it works. I hope we get some family wage jobs in that area, said Rep. June Robinson, D-Everett, who pushed the bill through the House. Info above is from http ournal.com article BI and is 2015 The Daily Herald Co The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 9 of 13

10 House Minority Leader Dan Kristiansen, R-Snohomish, said in a written statement that jobs created as a result of the exemption will have a multiplier effect for our economy as employees purchase homes, cars, groceries, clothes, fuel, eat in our restaurants and pay for their daily needs. Essentially, everyone in our local area stands to benefit from this legislation. Until Thursday, the bill hadn't been discussed in the special 30-day legislative session. During the regular session that preceded the special session, the bill cleared the Senate but didn't get voted on in the House. We had heard it was in a holding pattern and could move. We were hopeful, said Gloria Hiroshima, chief administrative officer for the city of Marysville. The measure wound up passing unanimously in the Senate and on vote in the House. Rep. Elizabeth Scott, R-Monroe, voted against the bill. Sen. Kirk Pearson, R-Monroe, the bill's prime sponsor, praised Robinson for coming up with the wording for an amendment to precisely define which cities could offer the tax break without actually naming them. The state Constitution prohibits legislation that would favor a particular person or community, so bills are worded to be potentially more inclusive than intended. This bill's language says that an eligible city must have a population of at least eighteen thousand; and is north or east of the largest city in the county in which the city is located and such county has a population of at least seven hundred thousand, but less than eight hundred thousand. That definition applies only to four cities in one county. In Snohomish County, that applies Marysville, Arlington, Lake Stevens and Mill Creek. If it goes well, other cities might come back to the Legislature and ask for this, Pearson said. Info above is from http ournal.com article BI and is 2015 The Daily Herald Co. On June 10, 2015, Washington Governor Jay Inslee signed into law legislation, effective August 27, 2015 and applicable to taxes levied for collection in 2016 and thereafter, creating a property tax exemption for the value of new construction of industrial and manufacturing facilities in targeted urban areas. L. 2015, S5761, effective 08/27/2015. Info above is from https tax.thomsonreuters.com blog onesource washington-enacts-property-tax-exemption-for-industrial-and-manufacturing-pro ects and is 2015 Thomson euters Snohomish County Population: 745,000+ Everett Population: 105,000+ (largest in Snohomish County) Qualifying cities must be north or east of Everett Marysville Population: 63,000+ Arlington Population: 18, The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 10 of 13

From the Puget Sound Business Journal :http://www.bizjournals.com/seattle/blog/techflash/2015/10/bellevue-companyplans-100m-aerospace-business.

11 From the Puget Sound Business Journal : Bellevue company plans $100M aerospace business park in Arlington Oct 13, 2015, 1:07pm PDT Updated: Oct 13, 2015, 2:44pm PDT Marc Stiles Staff Writer- Puget Sound Business Journal Twitter GS Venture Partners of Bellevue on Tuesday said it is starting development of a $100 million business park in Arlington that could have 1 million square feet of space for aerospace and other manufacturing companies. GS Managing Partner Chris Gayte last month paid $4.2 million for the 54-acre former site of Northwest Hardwoods and the Weyerhaeuser log mill at th Ave N.E., according to public records. Gayte said work will begin within two weeks to demolish existing buildings and clean up the property to make way for the Gayteway Business Park, an 11-building project. He expects the demolition and cleanup work to take three to four months. This business park is the largest project to date for Gayte, a builder of high-end homes mostly in Bellevue. He builds homes under a separate company, Gayteway Custom Homes. Forty people worked at the the Northwest Hardwoods sawmill when it closed in The number of people who could one day work at Gayteway is much higher. "Development of the vacant 54-acre site will create as many as 2,000 family-wage jobs in Arlington," Arlington Mayor Barbara Tolbert said in a press release. Arlington will face competition from other cities north of Everett for these jobs. Marysville, which is between Everett and Arlington, has more than 1,000 acres of under-used industrial land. In addition, a new report from commercial real estate company Kidder Mathews states that while Snohomish County s industrial market rebounded last quarter, the growth was in the south county area. Meanwhile, vacancy rates in the north end of the county remain high, according to Kidder The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 11 of 13

12 The city and Gayte are hoping that Boeing (NYSE: BA) and other aerospace companies look 28 miles north of Paine Field in Everett to the Gayteway Business Park whose buildings will range in size from around 41,000 to 200,000 square feet. If companies are looking to expand into larger buildings, they will have trouble finding that with what currently exists in the market, said Gayte, who plans to build the buildings as they are leased out. He said even though it's early in the development process, he has "multiple tenants" who are interested in leasing space. He declined to say who his partners on on the project are, and added that GS Venture Partners will fund the development with a bank. "We have the ability to fund it," Gayte said. Gayte bought the 54 acres from his longtime business partners, Jim Rose and Mick Schreck of Trinity Partnership of Seattle. Rose and Schrek own the former Bayliner Boat plant property near the Gayteway Business Park. Marc Stiles covers commercial real estate and government for the Puget Sound Business Journal. New road in Arlington will serve business park Herald staff A new road will be added to the grid in Arlington as part of a new business park planned for the old Northwest Hardwoods site. The Washington State Transportation Improvement Board selected several projects submitted by the city of Arlington, including $2.3 million to build the new Arlington Valley Road. The road is currently being designed by Reid-Middleton. The road will have a southern connection at 67th Avenue and 192nd Street and a northern connection onto 74th Avenue. The two-lane road will include a 12-foot wide trail and rain garden drainage. Have a question? us at streetsmarts@heraldnet.com. Please include your first and last name and city of residence. Look for updates on the Street Smarts blog The Daily Herald Co., Everett, WA 2014 The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 12 of 13

Future Gayteway Business Park Projected 11 buildings on 54 acres 1M+ SF of aerospace/manufacturing Anticipated 2,000+ new jobs SITE N 2014 The information supplied in

13 Future Gayteway Business Park Projected 11 buildings on 54 acres 1M+ SF of aerospace/manufacturing Anticipated 2,000+ new jobs SITE N 2014 The information supplied in this package is from sources we deem reliable. It is provided without any representation, warranty or guarantee, expressed or implied, as to its accuracy MM1319k 13 of 13

Offering Memorandum REDMOND DEVELOPMENT SITE th Ave NE Redmond, WA. Exclusively offered by Paragon Real Estate Advisors

Offering Memorandum REDMOND DEVELOPMENT SITE 8921 166th Ave NE Redmond, WA Exclusively offered by Paragon Real Estate Advisors 1 Offering Summary The Redmond Townhouse Development Site is a rare developable