2120 Berkeley Way, Berkeley · o Over 23,000 seats of nearby entertainment Area Demographics 1-Mile 2-Mile 3-Mile Population 58,269 133,939 201,152 Avg. Household Income $65,545 $92,376

UC Press Building in Downtown Berkeley For Sale - Competitive Bid Process

2120 Berkeley Way, Berkeley

ZONING MAY ALLOW A VARIETY OF USES AT THIS SITEIncluding Office, Residential, Hotel, and Retail

Current Configuration:o 3 story office building configured for single tenant o Mix of private offices, conference, and open spaceo Elevator, central heat, modern lighting

Location Highlights:o Highly attractive downtown Berkeley locationo 1.5 blocks to UC Berkeley, largest employer in the East Bay, with a 50,000 daily population o 2.5 blocks to downtown BART station with 22,000 daily exitso Short walk to downtown Arts District

John Gordon (510) 704-1800

[email protected] License # 00789365

Building Size: +/- 23,119 SF

Lot Size: +/- 8,798 SF

Minimum Bid Amount:

$3,750,000

Bids Due By:October 14, 2014 at 5 pm

Bid Open Date:October 15, 2014 at 10 am

“As Is” Sale

Contact Lori Rosenthal(510) 524-2344

[email protected] # 01946676

www.gordoncommercial.com

SAMPLE TEXTThe Competitive Bid ProcessThe University of California is offering this property for sale through a competitive bid process described fully in their bid package. The property is being sold “as is” where is with all faults. In-terested parties will register with Gordon Commercial and then be given a bid package. All bid-ders are advised to read the bid package carefully and completely. It describes the sale process in detail including the required components of a completed bid form. Note that all purchases are ALL CASH ONLY at close of escrow. Please contact John Gordon or Lori Rosenthal to obtain a registration form.

All bidders interested in purchasing the Property shall make the required option payment and deposit equal to 3.0% of the Cash Bid Price, of which twenty thousand dollars will be considered a nonrefundable option payment, and the balance will be considered the deposit. The Regents will cash the Successful Bidder’s Option Payment and Deposit, and hold it outside of escrow. The Regents will return all other non-successful bidder’s options and deposits by certified mail.

The successful bidder shall have an Extended Due Diligence Period of sixty (60) days after being notified of their selection as the Successful Bidder.

The close of escrow will occur on or before 30 days from expiration of Successful Bidder’s Extend-ed Due Diligence Period. Assuming a 60 day Extended Due Diligence Period, Close of Escrow will occur on January 13, 2015.

This process is further explained in the Bid Package.

Discussion of Potential Uses at 2120 Berkeley WayThis site currently houses a 3-story office building. But 2120 Berkeley Way is not JUST an office building for sale. It is a wonderful building, in a highly attractive location adjacent to UC Berke-ley. This part of Downtown Berkeley is currently being renovated, rejuvenated, and dramatically increasing in density. The C-DMU zoning designation for 2120 Berkeley Way allows for increased density at this site too, and the potential for a variety of uses including residential, hotel, office and retail. Buyers should check with the City of Berkeley to verify allowable uses at this location.

Completed Bids and Studies at 2120 Berkeley WayThe feasibility of adding 2 additional floors to the building was explored in 2008. UC Press also received a bid to modernize the HVAC system. Neither of these projects was undertaken by UC Press.

Important Notes about the Process, the Property and the Area

The information contained herein has been given to us by owner of the property or other sources we deem reliable. We have no reason to doubt its accuracy, but we do not guarantee it. All information should be verified prior to purchase or lease.Page 2

Property Facts o The building has +/- 23,119 gross SF on three floors. NOTE - This number has not been adjusted to account for material vertical penetrations within the structure that materially affects the BOMA useable square footage o The land parcel has +/- 8,797 square feet o Built in 1924o Underwent extensive upgrades in 1983 to convert this former moving and storage building into University approved office standards o Current configuration is for a single office useo Includes a mix of private offices, conference rooms, and open space o Building is serviced by an elevator, central heat, modern lighting o Zoning is C-DMU (Downtown - Mixed Use)

Location Highlightso Part of downtown Berkeley’s 7 day a week dynamic downtown environmento 1.5 blocks to UC Berkeley, largest employer in the East Bay, with a 50,000 daily population o 2.5 blocks to downtown BART station with 22,000 daily exitso Short walk to the downtown Arts District with Berkeley Repertory Theater, Aurora Theater, Freight & Salvage and the JazzSchoolo Short walk to the new Berkeley Art Museum/Pacific Film Archive, now under constructiono Over 23,000 seats of nearby entertainment

Area Demographics

1-Mile 2-Mile 3-MilePopulation 58,269 133,939 201,152Avg. Household Income $65,545 $92,376 $98,937Bachelor’s Degree Education 34% 31% 31%Education Beyond Bachelor’s 36% 35% 34% Downtown Daytime Population 75,000

Property and Location Highlights / Area Demographics


Contact John Gordon Lori Rosenthal(510) 704-1800 (510) [email protected] [email protected] # 00789365 License # 01946676

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SAMPLE TEXT

The Area is Full of Restaurants, Arts Organizations & Housing


H5

H6

H7

KEYRestaurants/Food Retail (yellow)B Triple RockC ComalD PIQ CafeE Revival Bar+KitchenF Paris BaguetteG Eureka BurgerH Bobby G’s PizzeriaI SlowJ Chocolatier BlueK Bittersweet CafeL Trader Joe’s

Arts Organizations (orange)1 Berkeley Arts Museum (under construction)2 JazzSchool3 Aurora Theater4 Berkeley Rep5 Freight and Salvage6 UC Theater (permitted for a 1,440 seat music venue)

New, Proposed, and Approved Downtown Housing (green)H1 Acheson Commons (203 units)H2 Berkeley Central (143 units)H3 1931-35 Addison (69 units)H4 Stonefire (115 units)H5 L’Argent (78 units)H6 The Residences at Berkeley Plaza (355 units)H7 The Overture (44 units)

ParkingP1 Berkeley Way Surface Lot (113 spaces)P2 UC Golden Bear Garage (205 spaces)P3 Promenade Garage (80 spaces)P4 Milvia St Surface Lot (23 spaces)P5 Center St Garage (421 spaces)P6 Allston Way Parking (610 spaces)P7 University Hall West Lot (29 spaces)P8 Bank of America Lot (37 spaces)P9 Oxford Garage (99 spaces)

Appealing to the Diverse Daily Population it Serves


www.gordoncommercial.comPage 5

SAMPLE TEXTAcheson Commons Project Immediately adjacent to the property is the Acheson Commons project, which, when completed, will be over 200 new apartment units with ground floor retail. Acheson Commons will be built right up against the eastern wall of this property. Buyer is advised to learn more about this adjacent development.

Across the street at the UC Berkeley Energy Biosciences Building, over 200 research-ers come to work every day. The addition of this lively and inventive building is a vast improvement over the former State of California Building that sat dormant for many years. The subject property is an easy walk to the downtown BART station and is only a short block from the western entrance to UC Berkeley; two factors that increase its value to developers and office users. Over time, we are likely to see further development along Shattuck Avenue.

Berkeley’s Measure R/Downtown Area Plan o Under Measure R, there is potential for 2 buildings in this part of downtown to exceed 75 feet in height, but not more than 120 feet. 2120 Berkeley Way could be one of those taller buildings.

o Additionally, density bonuses for residential uses may allow additional height and floors over the 75 feet and not be counted in the height exception limitation.

o For office development, a study of today’s building codes to determine the adequacy of the structure and the development costs including City of Berkeley parking fees is suggested.

o Read more about the Downtown Area Plan on the City of Berkeley’s website at: http://www.cityofberkeley.info/dap/.

o We strongly suggest that interested parties look closely at permitted uses in the C-DMU dis-trict, development standards, and available engineering reports about the building in order to

best determine possibilities to pursue here.

Acheson Commons Project and Measure R/Downtown Plan

More information can be found on the City of Berkeley’s website: http://www.ci.berkeley.ca.us/ContentDisplay.aspx?id=62168.


Traffic Generators That Add Value to Downtown Berkeley Underway and Recently Completed

o The new five-story +/-112,800 UC Berkeley Energy Biosci-ences Building opened in September 2012.

o Well over 2,000 new residential units have been added to downtown Berkeley in the last ten years and over 1,000 more units are now approved, under construction or in the permit process. The completed projects added over 125,000 sq. ft. of retail and commercial space to downtown, and projects now underway will add an additional 20,000 sq. ft. A few of these projects are:

o Acheson Commons, to the side of the UC Press building, is a proposed 203 unit project on the block bounded by University, Shattuck, Berkeley Way and Walnut. The development will convert the landmark Acheson Physicians Building to apartments, add five stories of housing atop the landmark Sill Grocery / Ace Hardware store, construct another five story residential building atop and behind the commercial structures at the northeast corner of Uni-versity and Shattuck, and remove two brown shingle apartment buildings at Walnut and Berkeley Way, replacing them with a new residential tower.

o L’Argent, 1951-1975 Shattuck Avenue, is a newly proposed 120 foot condo project with 78 residential units on 10 floors, and 10,000 sq. ft. retail on the bottom 2 stories. This property is adjacent to the UC Press building on the west side.

o Berkeley Central, 2055 Center Street, across from Berkeley City College is now leasing. This high end building was originally built as condo units.

o The Residences at Berkeley Plaza, 2211 Harold Way. This17-story high rise will be an L-shaped building with 1-, 2-, and3-bedroom apartments. It will include a 180-foot tower next to the property now housing the Landmark Theatre’s Shattuck Cinemas and other offices. Developers also plan to include 6 state of the artmovie theaters.

o The Overture, 1812 University Avenue, is a proposed 4-story building with 44 residential units and 4,907 sq. ft. commercial space.



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More Traffic Generators That Add Value to Downtown Berkeley

o Measure R introduced new guidelines that will allow greater urban density. Under Measure R, the city will permit the construction of five high rises in downtown. Three of these can be 180 feet high and must be located within a one-block radius of the downtown BART station. Two must be residential towers and one must be a hotel. The city will also permit development of two towers of 120 feet. These could be either residential or office space. Read more about the Downtown Area Plan on the City of Berkeley’s website: http://www.cityofberkeley.info/dap/.

o The UC Theater Nightclub and Concert Venue will bring +/- 1,440 new live theater/music venue seats, bringing the total number of live theater/music venue seats in the Downtown area to over 9,500. The new UC Theater operator currently also operates Slims and the Great Ameri-can Musical Hall.

o The Skydeck Innovation Center now occupies the top floor of 2150 Shattuck Ave., the tallest building in downtown Berkeley. Skydeck, a new 10,000 sq. ft. incubator for fledgling technology companies, can house up to 60 workers.

o The new home of the UC Berkeley Art Museum and Pacific Film Archive (BAM/PFA) is now under construc-tion on Center Street in downtown Berkeley. The new museum project will combine an existing +/- 48,000 sq. ft. building at 2120 Oxford Street with a new 50,000 sq. ft. addition to be constructed adjacent to the build-ing. Read more about the new building on the BAM/PFA website at: http://press.bampfa.berkeley.edu/building/.

o Trader Joe’s project at MLK and University has been a huge success and increases foot and car traffic to the north side of University. It is in the ground floor of the New Californian, a 5-story 148-apartment complex.

o The City of Berkeley received a multi-million dollar grant from the Metropolitan Transportation Commission to renovate the BART Plaza.


More Traffic Generators That Add Value to Downtown Berkeley

Zoning Information - C-DMU (Downtown Mixed Use) Land Use and Building Heights



A. The height for main buildings shall not exceed the following limits and shall satisfy the fol-lowing requirements:

Table 23E.68.070Height Limits (as per Downtown Area Plan) *

C-DMU Sub-Area ** Minimum *** Maximum Maximum With Use Permit

Core Area† 50 feet 60 feet 75 feetOuter Core† 40 feet Corridor 40 feet Buffer None 50 feet 60 feet

* Notwithstanding Sub-title 23F, in the case of a roof with parapet walls, building height shall be measured to the top of the roof and parapets may exceed the height limits above by up to five (5) feet as of right.** See Downtown Area Plan Sub-area map in Figure LU-1 and the Zoning Map.*** New buildings only, measured to the top of the plate. Theater and Museum Buildings are exempt.† Within the Core, up to three buildings over 120 feet but not more than 180 feet. Within the Core and Outer Core, up to two buildings over 75 feet but not more than 120 feet. See section 23E.68.070.B.

B. The Board may issue Use Permits for up to five buildings that exceed the limits set forth in Table 23E.68.070 if it makes the finding in Section 23E.68.090.E, and as follows:

1. In the combined Core and Outer Core areas, up to two buildings of over 75 feet but not more than 120 feet.

2. In the Core area, up to three buildings over 120 feet but not more than 180 feet. Allowed uses in such buildings include:a. Two residential buildings with ground-level commercial uses.b. One hotel building with conference facilities and accessory commercial uses.

3. Application process for buildings over 75 feet in height:a. Applications for any of the five buildings over 75 feet in height may be submitted on July 1, 2012. If no applications that satisfy the submittal requirements as determined by the Zoning Offi-cer are submitted on that date, then the next deadline to submit applications will be no later than six months from that date, with application opportunity dates at six month intervals until the first application has been submitted. Once the first application has been submitted, then the applica-tion opportunity date will occur once yearly on the anniversary of the date of the first submittal.

Zoning Information - 2120 Berkeley Way - C-DMU Development Standards (23E.68.070)


b. A project shall secure a position as one of the five allowed buildings over 75 feet in height following final Use Permit approval. Such Use Permits shall include a condition of approval that establishes a schedule for: submittal of a building permit application, timely response to plan check comments, payment of building permit fees such that a building permit can be issued, and commencement of construction. The process for allowing extension of the timeline requirements, if any, shall be specified in the condition.c. Failure of a permittee to strictly comply with the schedule established by the Use Permit shall be grounds for revocation of the Use Permit pursuant to Chapter 23B.60.

C. No yards for main buildings, accessory buildings, or accessory structures shall be required, except as required in Section 23E.04.050 for commercial lots abutting or confronting residential zoning. In addition buildings shall be set back from property lines as set forth in the table and pro-visions below, unless modified by a Use Permit subject to the findings in Section 23E.68.090.F.

Portion of Building Front Lot Line Interior Side Lot Line Rear Lot Lineat Height of: 65’ and less from Over 65’ from

lot frontage lot frontage

Zero to 20 feet 0’ minimum, 0’ minimum 0’ minimum 0’ minimum 5’ maximum

21 feet to 75 feet 0’ minimum 0’ minimum 5’ minimum 5’ minimum

76 feet to 120 feet 15’ minimum 5’ minimum 15’ minimum 15’ minimum

Over 120 feet 15’ minimum 15’ minimum 15’ minimum 15’ minimum

1. For buildings over 120 feet in height, that portion of the building over 120 feet must be less than 120 feet in width when measured at the widest point on the diagonal in plan view.

2. For a lot that abuts the interior side or rear lot line of a residentially-zoned lot, a new building shall be set back from the shared property line by 20 feet where the building exceeds 45 feet in height.

3. For a lot that confronts a residentially-zoned lot, a new building shall be set back 10 feet from the street-facing property line where the building exceeds 45 feet in height, except that this provi-sion shall not apply to lots confronting public uses with a residential zoning designation, such as Berkeley High School, Civic Center Park, and Fire Station 2. However, this provision will apply for all lots with frontage on the Martin Luther King Jr. Way right-of-way.





4. For lots with frontage on the Shattuck Avenue right-of-way south of Durant Avenue, a new building shall be set back 15 feet from the Shattuck Avenue property line where the building ex-ceeds 65 feet in height.

5. Architectural features such as eaves, cornices, canopies, awnings, bay windows, uncovered porches, balconies, fire escapes, stairs and landings may project up to five feet into required set-backs of this section so long as the surface area of such projections does not exceed 50% of the surface area of the side of the building on which the projections are located.

D. New buildings shall provide on-site open space as follows:

1. For residential uses, 80 square feet of usable open space per unit.

a. Each square foot of such open space that is provided as Privately-Owned Public Open Space shall be counted as two square feet of required on-site open space for residential uses.

2. For non-residential uses, one (1) square foot of privately-owned public open space per 50 square feet of commercial floor area.

3. In lieu of providing the open space required by this Section on site, an applicant may pay an in-lieu fee to help fund the Streets and Open Space Improvement Plan (SOSIP) and/or construct public improvement consistent with the SOSIP, as specified in the Use Permit, provided the Board makes the findings in Section 23E.68.090.G. (Ord. 7229-NS § 1 (part), 2012).



Laws Relating to Sales of University-Related Property

The sale of any surplus property owned by The Regents of the University of California is governed by Sections 10511, 10512, and 10513 of the Public Contract Code of the State of California (“Stull Act”). The Stull Act, as amended, is as follows:

COMPETITIVE BID REQUIREMENTS APPLICABLE TO THE SALE OF UNIVERSITY OF CALIFORNIA REAL PROPERTY(“STULL ACT” PROVISIONS)

MODIFICATIONS TO PUBLIC CONTRACT CODE EFFECTIVE JANUARY 1, 1998Public Contract Code § 10511.a. 1. The Regents of the University of California shall give public notice to bidders of the sale of University of California real property situated in California if the estimated value of the real prop-erty to be sold exceeds the amount specified in paragraph (2).

2. Paragraph (1) shall apply to real property whose estimated value exceeds five hundred thousand dollars ($500,000) net to the seller.

b. Notice of the sale of real property shall be by publication a minimum of six times, between two and twelve weeks preceding the day set for receiving bids, as follows:

1. A minimum of three times in at least one newspaper of general circulation in the county in which the property is situated.

2. At least three times in a newspaper of general circulation in the City of Los Angeles, the City of San Diego, the City of San Francisco, or the City of Sacramento, whichever is deemed most appropriate by the regents.

3. The published notices shall specify the general description of the property, the source for bid materials and information, and the date and place for the receiving of sealed bids.

Public Contract Code § 10512.a. On the date designated in the public notice, the sealed bids shall be publicly opened.



Overview of the Competitive Bid Process

b. 1. The regents shall accept in public the bid that offers the combination of price and terms which it deems to be in the best interest of the university, or reject all bids.

2. If a successful bidder fails to perform in the manner specified, the regents may, at their sole option and without further notice, accept, from those remaining bids submitted and opened in public pursuant to subdivision (a), the bid that offers the combination of price and terms that the regents deem to be in the best interest of the university.

Public Contract Code § 10513.10513. The publication and award procedures set forth in this article shall not be applicable to any of the following:

a. The sale of an undivided or fractional ownership interest in real property.

b. A sale of a right of use in real property that is less than fee ownership.

c. A sale of real property subject to title conditions or restrictions on the university’s owner-ship deriving from the origin of that ownership by gift, devise, or otherwise, if that sale would be inconsistent with those title conditions or restrictions.

d. The disposition of real property acquired through exercise of a power of sale pursuant to a deed of trust, or held as an asset in the university’s investment portfolio.

e. A sale of public lands under the direction of the federal land agent.

f. A sale to a person or entity who will dedicate the real property to public use.

g. A sale of real property acquired after January 1, 1985 through eminent domain proceed-ings initiated by the Regents of the University of California. In those cases, the person from whom the property was acquired shall be notified and be accorded an exclusive opportunity for 90 days to purchase the property at its fair market value. If the person fails to undertake proceedings to purchase the property within 90 days, the procedures specified in Sections 10511 and 10512 shall then be followed in the sale of the property.

h. An exchange to acquire real property of another person or entity for university purposes. Any exchange shall be upon terms and conditions agreed to by the exchanging parties.

Overview of the Competitive Bid Process (cont)



Photos

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GORDON COMMERCIAL REAL ESTATE SERVICES2091 Rose Street, Berkeley, CA 94709

The information contained herein has been given to us by owner of the property or other sources we deem reliable. We have no reason to doubt its accuracy, but we do not guarantee it.

All information should be verified prior to purchase or lease.

FOR MORE INFORMATION OR TO ARRANGE A TOUR, PLEASE CONTACT: John Gordon Lori Rosenthal

(510) 704-1800 (510) [email protected] [email protected]

License # 00789365 License # 01946676


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Documents

2120 Berkeley Way, Berkeley · o Over 23,000 seats of nearby entertainment Area Demographics 1-Mile 2-Mile 3-Mile Population 58,269 133,939 201,152 Avg. Household Income $65,545 $92,376