Companies Who Relocated / Opened Offices in Philadelphia

Philadelphia Establishment and Employment Growth By NAICS Sector

100,000 SF200 Jobs

Accounting and

Bookkeeping

Architectural and

Engineering

Computer Systems Design

Management and Technical

Consulting

Advertising and PR

Management of Companies

and Enterprises

42,000 SF130 Jobs

60,000 SF290 Jobs

38,000 SF100 Jobs

112,000 SFTBD

Source: Savills Studley

Philadelphia credits up to $25,000/job created or 2%

of the annual wages paid for firms that can create at

least 25 new full-time jobs or increase their full-time

Philadelphia workforce by 20% within a five-year period.

Source: http://www.phila.gov/commerce/Documents/JCTC.pdf

Five Reasons to Believe in Philadelphia

“Change” is Part of “Challenge”

#1 Philadelphia’s CBD Viewed As an Asset

#2 Professional / Business Services Segment Is Growing

Source: Bureau of Labor Statistics.

Includes all NIH grants awarded in Philadelphia in FY 2014.

0%

4.9% 4.0%

7.5%5.2% 5.2%

0.8%

4.7%

13.0%

3.9%

6.9%

3.8%5%

15%

10%

Establishment Growth, % Change Q3 2013 – Q3 2014

Employment Growth, % Change Q3 2013 – Q3 2014

1.5%

$871 million

in

grants

Five Reasons to Believe in Philadelphia

“Change” is Part of “Challenge”

#3 Young Workers Are Changing Philadelphia’s Demographic Composition

#4 Rising Office Rents

Change in Fraction of the Resident Population Aged 20-34 2007 and 2013, in Percentage Points

Trophy Space is at a Premium

New Privately-Owned Residential Building Permits Philadelphia

0%

Philadelphia County, PA

New York County, NY

District of Columbia

Fulton County, GA

(Atlanta)

Baltimore County, MD

Essex County, MA

(Boston)

1% 2% 3% 4% 5% 6%

5.9%

5.1%

4.3%

2.9%

1.5%

1.0%

1997

3Q

2007 2008 2009 2010 2011 2012 2013 2014

1998

2Q

1999

1Q

1999

4Q

2000

3Q

2001

2Q

2002

1Q

2002

4Q

2003

3Q

2004

2Q

2005

1Q

2005

4Q

2006

3Q

2007

2Q

2008

1Q

2008

4Q

2009

3Q

2010

2Q

2011

1Q

2011

4Q

2012

3Q

2013

2Q

2014

1Q

2014

4Q

18% $36

16% $34

14% $32

12% $30

10% $28

8% $26

6% $24

4%

1,000

500

1,500

2,000

2,500

3,000

3,500

4,000

4,500

$22

2%

0

$20

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

Total Vacancy Rate Total Avg. Asking Rent

# Units

Construction Cost (Millions)

Arrival of Comcast Center

Cira Center 11 “Trophy” Properties

1. 1650 Market St. – One Liberty Place

2. 50 S 16th St. – Two Liberty Place

3. 130 N 18th St. – One Logan Square

4. 100 N 18th St. – Two Logan Square

5. 1717 Arch St. – Three Logan Square

6. 2929 Arch St. – Cira Centre North

7. 1701 JFK Blvd. – Comcast Center

8. 1735 Market St. – BNY Mellon Center

9. 1901 Market St. – Independence Blue Cross

10. 2005 Market St. – One Commerce Square

11. 2001 Market St. – Two Commerce Square

Source: American Community Survey, 1-Year Estimates, 2007 and 2013. Source: Census Bureau.

Source: CoStar and Savills Studley.

Five Reasons to Believe in Philadelphia

“Change” is Part of “Challenge”

#5 The University Impact and the Comcast Effect

Savills Studley is the leading commercial real estate services firm specializing in tenant representation. Founded in 1954, the firm pioneered the conflict-free business model of representing only tenants in their commercial real estate transactions. Today, supported by high quality market research and in-depth analysis, Savills Studley provides strategic real estate solutions to organizations across all industries. The firm’s comprehensive commercial real estate platform includes brokerage, project management, capital markets, consulting and corporate services. With 26 offices in the U.S. and a heritage of innovation, Savills Studley is well known for tenacious client advocacy and exceptional service.

The firm is part of London-headquartered Savills plc, the premier global real estate service provider with over 27,000 professionals and over 600 locations around the world. Savills plc is listed on the London Stock Exchange (SVS.L).

For more information, please visit www.savills-studley.com and follow us on Twitter @SavillsStudley and LinkedIn.

Hether SmithPhiladelphia Co-Branch Managerhsmith@savills-studley.com215.563.4000

Heidi LearnerChief Economisthlearner@savills-studley.com212.326.8648

Greg Soffian Philadelphia Co-Branch Managergsoffian@savills-studley.com215.563.4000

University Impact: Comcast Effect:

A new $1.5 billion patient pavilion is underway, with 700-beds (and 50 operating rooms) planned.

The company is taking 1.28 msf of office space in the newly-constructed Innovation and

Technology Center (which, at a cost of $1.2 billion, will mark the tallest building in the United

States outside of New York and Chicago).

The company has announced the formation of a new enterprise led by its CFO that

will focus on investments in global growth businesses, with $4 billion in investment

capital coming from Comcast directly.

Preparations for a 563,000 sf development along the Schuylkill River have started.

A preliminary strategy is developing for 10 sites and 6.4 msf from 30th to 32nd Streets and

Market Street to JFK Boulevard