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GOODWILLPORTFOLIOTHREE LONG TERM ABSOLUTE NNNSINGLE TENANT GOODWILL RETAILBUILDINGS LOCATED IN THE PITTSBURGH MSA
C L I C K T O V I E WP R O P E R T Y V I D E O
ROBINSON TOWNSHIP, PA
BUTLER, PA
HEIDELBERG, PA
INVESTMENT ADVISORS
MARC MANDELManaging Director
STEVE SCHRENKDirector
FINANCING
TOM RIECKSenior Associate
HEIDELBERG, PA
Holliday Fenoglio Fowler, L.P. (Collectively “HFF”)
This Offering Memorandum has been prepared by HFF for use by a limited number of recipients. All information contained herein has been obtained from sources other than HFF, and neither Owner nor HFF, nor their respective equity holders, officers, employees and agents makes any representations or warranties, expressed or implied, as to the accuracy or completeness of the information contained herein. Further, the Offering Memorandum does not constitute a representation that no change in the business or affairs of the property or the Owner has occurred since the date of the preparation of the Offering Memorandum. All analysis and verification of the information contained in the Offering Memorandum is solely the responsibility of the recipient. HFF and Owner and their respective officers, directors, employees, equity holders and agents expressly disclaim any and all liability that may be based upon or relate to the use of the information contained in this Offering Memorandum.
Additional information and an opportunity to inspect the property will be made available upon written request to interested and qualified prospective investors.
Owner and HFF each expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers regarding the property and/or terminate discussions with any entity at any time with or without notice. Owner shall have no legal commitment or obligations to any recipient reviewing this Offering Memorandum or making an offer to purchase the property unless and until such offer is approved by Owner, a written agreement for the purchase of the property has been fully executed, delivered and approved by Owner and its legal counsel, and any obligations set by Owner thereunder have been satisfied or waived.
The recipient (“Recipient”) agrees that (a) the Offering Memorandum and its contents are confidential information, except for such information contained in the Offering Memorandum, which is a matter of public record, or is provided from sources available to the public (b) the Recipient, the Recipient’s employees, agents and consultants (collectively, the “need to know parties”) will hold and treat it in the strictest of confidence, and the Recipient and the need to know parties will not, directly or indirectly, disclose or permit anyone else to disclose its contents to any other person, firm, or entity without the prior written authorization of HFF and the Owner, and (c) the Recipient and the need to know parties will not use or permit to be used this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Owner or HFF or for any purpose other than use in considering whether to purchase the property. The Recipient and the need to know parties agree to keep this Offering Memorandum and all confidential information contained herein permanently confidential and further agree to use this Offering Memorandum for the purpose set forth above. If the Recipient has no interest in the property, or if in the future the Recipient or owner discontinue such negotiations, the Recipient will return this Offering Memorandum to HFF.
BUTLER, PA
InvesTmenT summaRyGOODWILL PORTFOLIO | PITTSBURGH MSA
Holliday Fenoglio Fowler, L.P. (“HFF”) Net Lease Advisory is pleased to exclusively offer a premier net lease opportunity to acquire three single tenant, absolute NNN Goodwill Retail Buildings (the “Properties”) located in the Pittsburgh MSA. The Properties are fully leased to Goodwill of Southwestern PA; which has over 1,200 employees and annual revenues of nearly $50 million, and ranks as one of the largest Goodwill organizations in the U.S. Goodwill of Southwestern Pennsylvania is under a franchise-like agreement with Goodwill Industries International, and operates 33 locations which serve eight counties in southwestern Pennsylvania and nine counties in north central West Virginia.
Over the past three decades, the Pittsburgh region has undergone a dramatic renaissance and it now stands as one of our nation’s largest and most appealing locations to live, do business and own real estate. The region supports an exceptionally strong market for all types of commercial real estate. The foundation of the real estate market is Pittsburgh’s central location, highly developed transportation system providing excellent connectivity, diverse and balanced economy, excellent universities, world renowned health care, and resurgence as an energy center.
· · ·
GOODWILL PORTFOLIO | PITTSBURGH MSA |InveSTMenT SUMMARy4
I N V E S T M E N T S U M M A R Y
LOCATIONS LEASE INFORMATION PROPERTY INFORMATION 3-MILE DEMOGRAPHICS
Address City, ST NOI Rent/SF LeaseExpiration
RentalIncreases
Building Size (SF) Acreage Year
Built Population HouseholdIncome
3 Urbano Way Robinson Township, PA $333,250 $21.50 12/31/2031 Increases every5 years 15,500 2.30 2011 25,001 $118,005
1905 Washington St Heidelberg, PA $286,553 $18.50 6/30/2034 Increases every5 years 14,695 1.65 2013 85,747 $103,590
370 New Castle Rd Butler, PA $204,126 $15.53 2/16/2032 Annual Increases 13,144 2.45 1999 19,096 $78,353
TOTAL $823,929
ROBINSON TOWNSHIP, PA HEIDELBERG, PA BUTLER, PA
3 Single Tenant Goodwill Properties featuring rental increases annually and every 5 years located throughout the Pittsburgh MSA
Goodwill’s business model is an “internet and recession proof” type of company
Goodwill of Southwestern PA operates 33 retail locations and has over 1,200 employees, annual revenues of nearly $50 million, and is one of the largest Goodwill organizations in the U.S.
Full NNN Lease with an Average remaining lease term of 14 years for the entire portfolio
The Pittsburgh Region now stands as one of the nation’s largest and most appealing locations to live, do business and own real estate
I N V E S T M E N T H I G H L I G H T S
· · ·
| GOODWILL PORTFOLIO | PITTSBURGH MSA InveSTMenT SUMMARy 5
ROBINSON TOWNSHIP, PA
BUTLER, PA
HEIDELBERG, PA
PITTSBURGH INTERNATIONALAIRPORT
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
ROBINSONTOWNSHIP
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
PITTSBURGHCBD
LAWRENCEVILLE
SQUIRRELHILL
SOUTHSIDE
CARRICK
BEECHVIEWGREENTREE
MT LEBANON
BETHEL PARKWHITEHALL
BALDWIN
MILLVALE
SEWICKLEY
HOMEWOOD
SWISSVALE
BRADDOCK
WILKINSTOWNSHIP
MONROEVILLE
PITCAIN
NORTHVERSAILLES
WEST MIFFLIN
MUNHALL
LINCOLNPLACE
BRENTWOOD
GLENSHAW
O’HARATOWNSHIP FOX CHAPEL
CHAPELDOWNS
HARMARTOWNSHIP
ALLSION PARK
McCANDLESSTOWNSHIP
HAMPTONTOWNSHIP
BELLEVUE
AVALON
EMSWORTH
OSBORNE
EDGEWORTH
PERRYNORTH
MARSHALL-SHADELAND
CENTRALNORTHSIDE
CRAFTON
FAIRYWOOD
ELLIOTT
OAKWOOD
SHERADEN
CARNEGIE
PENNSBURYVILLAGE
BANKSVILLE
DORMONTSOUTHHILLS
PLEASANTHILLS
McKEESPORTDRAVOSBURG
LIBERTYGLASSPORT
WHITE OAKNORTH
HUNTINGDON
ARDARA
TRAFFORD
LARIMER
MURRYSVILLE
HOLIDAY PARK
REGENCYPARK
PLUM RENTON
IRWIN
PENN HILLS
ALCOMA
SEWICKLEYHEIGHTS
BELL ACRES
HARMONYTOWNSHIP
AMBRIDGEFRANKLIN
PARK
ROLLINGRIDGE
BRADFORDWOODS
WARRENDALE
SEVEN FIELDS
FOX RUN
CRANBERRYTOWNSHIP
MARS
VALENCIA
GIBSONIA
BAKERSTOWN
INDIANOLA
CHESWICK
ORRVILLE
BARKING
CHURCHILLVALLEY
HARRISONCITY
NEWKENSINGTON
LOWERBURRELL
BRACKENRIDGE
TARENTUM
CREIGHTON
HARRISONTOWNSHIP
CURTISVILLE
RUSSELLTON
WEXFORD
ECONOMY
CONWAY
ALIQUIPPA
FREEDOM
ROCHESTER
PULASKI
EVANS CITY
BURGETTSTOWN
SLOVAN
MIDWAY
MONACA
NEWBRIGHTON
CECIL-BISHOP
NATIONAL HILL
BULGER
ATLASBURG
CLINTON
CARMOT-MOON
ZELIENOPLE
HARMONY
BEAVERFALLS
WESTMAYFIELD
BIG BEAVER
KOPPEL
ELLWOODCITY
NEWBEAVER
ELLPORT
NIXON
OAK HILLS
MEADOWOOD
MERIDIAN
SAXONBURG
FREEPORT
WORTHINGTON
WEST HILLS
McGRANN
FORD CITY
LEECHBURG
VANDERGRIFT
APOLLO
JEANNETTEPENN
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
PITTSBURGHCBD
LAWRENCEVILLE
SQUIRRELHILL
SOUTHSIDE
CARRICK
BEECHVIEWGREENTREE
MT LEBANON
BETHEL PARKWHITEHALL
BALDWIN
MILLVALE
SEWICKLEY
HOMEWOOD
SWISSVALE
BRADDOCK
WILKINSTOWNSHIP
MONROEVILLE
PITCAIN
NORTHVERSAILLES
WEST MIFFLIN
MUNHALL
LINCOLNPLACE
BRENTWOOD
GLENSHAW
O’HARATOWNSHIP FOX CHAPEL
CHAPELDOWNS
HARMARTOWNSHIP
ALLSION PARK
McCANDLESSTOWNSHIP
HAMPTONTOWNSHIP
BELLEVUE
AVALON
EMSWORTH
OSBORNE
EDGEWORTH
PERRYNORTH
MARSHALL-SHADELAND
CENTRALNORTHSIDE
CRAFTON
FAIRYWOOD
ELLIOTT
OAKWOOD
SHERADEN
CARNEGIE
PENNSBURYVILLAGE
BANKSVILLE
DORMONTSOUTHHILLS
PLEASANTHILLS
McKEESPORTDRAVOSBURG
LIBERTYGLASSPORT
WHITE OAKNORTH
HUNTINGDON
ARDARA
TRAFFORD
LARIMER
MURRYSVILLE
HOLIDAY PARK
REGENCYPARK
PLUM RENTON
IRWIN
PENN HILLS
ALCOMA
SEWICKLEYHEIGHTS
BELL ACRES
HARMONYTOWNSHIP
AMBRIDGEFRANKLIN
PARK
ROLLINGRIDGE
BRADFORDWOODS
WARRENDALE
SEVEN FIELDS
FOX RUN
CRANBERRYTOWNSHIP
MARS
VALENCIA
GIBSONIA
BAKERSTOWN
INDIANOLA
CHESWICK
ORRVILLE
BARKING
CHURCHILLVALLEY
HARRISONCITY
NEWKENSINGTON
LOWERBURRELL
BRACKENRIDGE
TARENTUM
CREIGHTON
HARRISONTOWNSHIP
CURTISVILLE
RUSSELLTON
WEXFORD
ECONOMY
CONWAY
ALIQUIPPA
FREEDOM
ROCHESTER
PULASKI
EVANS CITY
BURGETTSTOWN
SLOVAN
MIDWAY
MONACA
NEWBRIGHTON
CECIL-BISHOP
NATIONAL HILL
BRIDGEVILLE
4430400044619041
BRIDGEVILLE
BULGER
ATLASBURG
CLINTON
CARMOT-MOON
ZELIENOPLE
HARMONY
BEAVERFALLS
WESTMAYFIELD
BIG BEAVER
KOPPEL
ELLWOODCITY
NEWBEAVER
ELLPORT
NIXON
OAK HILLS
MEADOWOOD
MERIDIAN
SAXONBURG
FREEPORT
WORTHINGTON
WEST HILLS
McGRANN
FORD CITY
LEECHBURG
VANDERGRIFT
APOLLO
JEANNETTEPENN
BUTLERBUTLER
ROBINSONTOWNSHIP
HEIDELBERGHEIDELBERG
7.8 MILES
8.8 MILES
43 M
ILES
· · ·
GOODWILL PORTFOLIO | PITTSBURGH MSA |InveSTMenT SUMMARy6
HEIDELBERG, PA
TenanT OveRvIeWGOODWILL PORTFOLIO | PITTSBURGH MSA
· · ·
GOODWILL PORTFOLIO | PITTSBURGH MSA |TenAnT OveRvIeW8
Goodwill was founded in 1902 in Boston by Rev. Edgar J. Helms, a Methodist minister and early social innovator. Helms collected used household goods and clothing in wealthier areas of the city, then trained and hired those who were poor to mend and repair the used goods. The goods were then resold or were given to the people who repaired them. The system worked, and the Goodwill philosophy of “Not Charity, but a Chance” was born.
Goodwill’s network of 162 independent, local Goodwills in the United States and Canada offers customized training and services for individuals who want to find a job, pursue a credential or degree, and strengthen their finances. Each Goodwill must be accredited, apply for membership and meet certain criteria established by Goodwill Industries International (GII).
The GII Member Services center, located in Rockville, MD, offers local Goodwills a number of benefits to enhance their programs and services, and grow their Goodwills.
Goodwill of Southwestern Pennsylvania is a human service agency and network of not-for-profit businesses whose mission is to help people overcome barriers to employment and enjoy the dignity and benefits of work and improved quality of life. The Company has over 1,200 employees and annual revenues of nearly $50 million, which ranks as one of the largest Goodwill organizations in the U.S.
Goodwill of Southwestern Pennsylvania is under a franchise-like agreement with Goodwill Industries International, and serves eight counties in southwestern Pennsylvania (Allegheny, Armstrong, Butler, Beaver, Fayette, Greene, Washington and Westmoreland) and nine counties in north central West Virginia (Barbour, Harrison, Lewis, Marion, Monongalia, Preston, Randolph, Taylor and Upshur).
www.goodwillswpa.com
CORPORATE OVERVIEW
Headquarters Rockville, MD
Number of Organizations 162
Number of Goodwill of SWPA Locations 33
Number of Goodwill of SWPA Employees 1,200
BENJAMIN FRANKLIN HWY - 25,176 VPDBUTLER, PA
NEW CASTLE RD - 7,417 VPD
GOODWILL PORTFOLIO | PITTSBURGH MSA
FInanCIaL anaLysIs
· · ·
GOODWILL PORTFOLIO | PITTSBURGH MSA |FInAncIAL AnALySIS10
L E A S E A B S T R A C T - R O B I N S O N T O W N S H I P , P A
LEASE DETAIL
Address 3 Urbano Way Robinson Township, PA 15205
Tenant Goodwill of Southwestern Pennsylvania
Branded As Goodwill
Lot Area 2.3 Acres
Size 15,500 SF
Year Built 2011
Annual Rent $333,250
Lease Type Fee Simple: NNN
Rent Commencement 1/1/2012
Lease Expiration 12/31/2031
Remaining Lease Term 12 Years
Remaining Options None
RENT SCHEDULE
Description Dates Annual Rent Rent Increase
Base Term: Years 6 - 10 1/1/2018 - 12/31/2022 $333,250 4.88%
Base Term: Years 11 - 15 1/1/2023 - 12/31/2026 $348,750 4.65%
Base Term: Years 16 - 20 1/1/2027 - 12/31/2031 $364,250 4.44%
LANDLORD RESPONSIBILITY DETAIL
NONE
TENANT RESPONSIBILITY DETAIL
Maintenance and Repairs
Lessee, at its expense, shall perform and pay for all maintenance, repairs and replacements necessary to keep the Leased Premises in good condition and repair, including without limitation all repairs and replacements to the interior and exterior of the building, the foundation and all columns, beams, ceiling, and floor slabs, the roof, all mechanical, plumbing, heating, air conditioning,and electrical systems, all parking lots, sidewalks and other paved areas, the surrounding grounds and landscaping and all other improvements
InsuranceLessee will reimburse landlord for its cost of insurance premiums for the demised premises and will obtain and maintain during the term at its sole cost all insurance required under the lease
Taxes Lessee will pay landlord, as additional rent, an amount equal to 100% of the taxes levied on the demised premises for each tax year
UtilitiesLessee at its expense will arrange for and pay all costs of the charges for all utilities and services provided or used in or at the Demised Premises
· · ·
| GOODWILL PORTFOLIO | PITTSBURGH MSA FInAncIAL AnALySIS 11
M A R K E T A E R I A L - R O B I N S O N T O W N S H I P , P A
376
376
22
60
GREATERPITTSBURGH
INTERNATIONAL AIRPORT
GROUNDPACKAGE
WE LIVE OUTDOORS
THE MALL AT ROBINSON
ROBINSON TOWN CENTREROBINSON TWP, PA
· · ·
GOODWILL PORTFOLIO | PITTSBURGH MSA |FInAncIAL AnALySIS12
L E A S E A B S T R A C T - H E I D E L B E R G , P A
LEASE DETAIL
Address 1905 Washington StreetHeidelberg, PA 15106
Tenant Goodwill of Southwestern Pennsylvania
Branded As Goodwill
Lot Area 1.65 Acres
Size 14,695 SF
Year Built 2013
Annual Rent $271,857
Lease Type Fee Simple: NNN
Rent Commencement 12/27/2013
Lease Expiration 6/30/2034
Remaining Lease Term 15.5 Years
Remaining Options None
RENT SCHEDULE
Description Dates Annual Rent Rent Increase
Base Term: Years 1 - 5 12/27/2013 - 6/30/2019 $271,857 5.13%
Base Term: Years 6 - 10 7/1/2019 - 6/30/2024 $286,553 5.41%
Base Term: Years 11 - 15 7/1/2024 - 6/30/2029 $301,248 5.13%
Base Term: Years 16 - 20 7/1/2029 - 6/30/2034 $315,943 4.88%
LANDLORD RESPONSIBILITY DETAIL
NONE
TENANT RESPONSIBILITY DETAIL
Maintenance and Repairs
Lessee, at its expense, shall perform and pay for all maintenance, repairs and replacements necessary to keep the Leased Premises in good condition and repair, including without limitation all repairs and replacements to the interior and exterior of the building, the foundation and all columns, beams, ceiling, and floor slabs, the roof, all mechanical, plumbing, heating, air conditioning,and electrical systems, all parking lots, sidewalks and other paved areas, the surrounding grounds and landscaping and all other improvements
InsuranceLessee will reimburse landlord for its cost of insurance premiums for the demised premises and will obtain and maintain during the term at its sole cost all insurance required under the lease
Taxes Lessee will pay landlord, as additional rent, an amount equal to 100% of the taxes levied on the demised premises for each tax year
UtilitiesLessee at its expense will arrange for and pay all costs of the charges for all utilities and services provided or used in or at the Demised Premises
· · ·
| GOODWILL PORTFOLIO | PITTSBURGH MSA FInAncIAL AnALySIS 13
M A R K E T A E R I A L - H E I D E L B E R G , P A
79
79
GREENTREE ROAD
WASHINGTON PIKE
CHARTIERS VALLEYMIDDLE SCHOOL
SCOTT TOWNSHIPMUNICIPAL PARK
®
HEIDELBERG, PA
· · ·
GOODWILL PORTFOLIO | PITTSBURGH MSA |FInAncIAL AnALySIS14
L E A S E A B S T R A C T - B U T L E R , P A
LEASE DETAIL
Address370 New Castle RoadButler, PA 16001
Tenant Goodwill of Southwestern Pennsylvania
Branded As Goodwill
Lot Area 2.45 Acres
Size 13,144 SF
Year Built 1999
Annual Rent $204,126
Lease Type Fee Simple: NNN
Rent Commencement 2/17/2017
Lease Expiration 2/16/2032
Remaining Lease Term 13 Years
Remaining Options None
RENT SCHEDULE
Description Dates Annual Rent Rent Increase
Base Term: Year 3 2/17/2019 - 2/16/2020 $204,126 1.77%
Base Term: Year 4 2/17/2020 - 2/16/2021 $207,675 1.74%
Base Term: Year 5 2/17/2021 - 2/16/2022 $211,356 1.77%
Base Term: Year 6 2/17/2022 - 2/16/2023 $215,036 1.74%
Base Term: Year 7 2/17/2023 - 2/16/2024 $218,848 1.77%
Base Term: Year 8 2/17/2024 - 2/16/2025 $222,659 1.74%
Base Term: Year 9 2/17/2025 - 2/16/2026 $226,603 1.77%
Base Term: Year 10 2/17/2026 - 2/16/2027 $230,546 1.74%
Base Term: Year 11 2/17/2027 - 2/16/2028 $234,620 1.77%
Base Term: Year 12 2/17/2028 - 2/16/2029 $238,695 1.74%
Base Term: Year 13 2/17/2029 - 2/16/2030 $242,901 1.76%
Base Term: Year 14 2/17/2030 - 2/16/2031 $247,107 1.73%
Base Term: Year 15 2/17/2031 - 2/16/2032 $251,445 1.76%
LANDLORD RESPONSIBILITY DETAIL
NONE
TENANT RESPONSIBILITY DETAIL
Maintenance and Repairs
Lessee, at its expense, shall perform and pay for all maintenance, repairs and replacements necessary to keep the Leased Premises in good condition and repair, including without limitation all repairs and replacements to the interior and exterior of the building, the foundation and all columns, beams, ceiling, and floor slabs, the roof, all mechanical, plumbing, heating, air conditioning, and electrical systems, all parking lots, sidewalks and other paved areas, the surrounding grounds and landscaping and all other improvements
InsuranceLessee will reimburse landlord for its cost of insurance premiums for the demised premises and will obtain and maintain during the term at its sole cost all insurance required under the lease
Taxes Lessee will pay landlord, as additional rent, an amount equal to 100% of the taxes levied on the demised premises for each tax year
UtilitiesLessee at its expense will arrange for and pay all costs of the charges for all utilities and services provided or used in or at the Demised Premises
· · ·
| GOODWILL PORTFOLIO | PITTSBURGH MSA FInAncIAL AnALySIS 15
M A R K E T A E R I A L - B U T L E R , P A
422 BENJAMIN FRANKLIN HWY
68
422
356
NEW CASTLE ROAD
356
EBER
HART
ROA
D
DUFF
Y RO
AD
BUTLERHIGH SCHOOL
KRENDALEGOLF COURSE
MORAINE POINTE PLAZA
®
BUTLER CROSSING
US ARMYRESERVE
BUTLER, PA
ROBINSON TOWNSHIP, PA
GOODWILL PORTFOLIO | PITTSBURGH MSA
maRkeT OveRvIeW
P I T T S B U R G H F O R T U N E5 0 0 C O M P A N I E S
171
182
153
244
357 365(Suburban)
PITTSBURGH OVERVIEWOver the past three decades, the Pittsburgh region has undergone a dramatic renaissance and it now stands as one of our nation’s largest and most appealing locations to live, do business and own real estate. The region supports an exceptionally strong market for all types of commercial real estate. The foundation of the real estate market is Pittsburgh’s central location, highly developed transportation system providing excellent connectivity, diverse and balanced economy, excellent universities, world renowned health care, resurgence as an energy center, and progressive leadership. This leadership has been instrumental in stimulating an unparalleled building boom including the $320 million CONSOL Energy Center arena, the $450 million Rivers Casino and the $400 million Tower at PNC Plaza that is the world’s greenest skyscraper.
M A J O R M E T R O P O L I TA N A R E ALocated at the confluence of the Allegheny, Ohio and Monongahela Rivers, Pittsburgh is the largest inland port in the U.S., providing access to the nation’s 9,000 mile inland waterway system. The City of Pittsburgh has a population of over 300,000 people in its 55.6 square mile area. Located in Allegheny County (population 1.23 million people), Pittsburgh is the second largest city in Pennsylvania and the 26th Largest MSA in the nation. The Pittsburgh metropolitan statistical area is comprised of seven counties: Allegheny County, whose seat is Pittsburgh, Armstrong, Beaver, Butler, Fayette, Washington and Westmoreland.
● With a population of 2.5 million, it ranks as the 26th largest metropolitan statistical area in the United States.
● The city itself is the second largest in the state. It acts as the county seat and is the governmental, economic and cultural focus of the region.
· · ·
| GOODWILL PORTFOLIO | PITTSBURGH MSA 17MARkeT OveRvIeW
P I T T S B U R G H A C C O L A D E S D E M O G R A P H I C S H I F T S : Y O U N G E R P O P U L A T I O N A N D G R O W I N G W O R K F O R C EIn recent years, the Pittsburgh region has experienced positive demographic developments which include a growing workforce and a younger population. The labor force of the 10-county region surrounding Pittsburgh is approximately 1.4 million. Historically, the population of Pittsburgh has been heavily weighted toward older generations, resulting in more people retiring than those entering the workforce. However, the Pittsburgh region has increasingly retained its college graduates while attracting new talent from around the country and the world. People are attracted to the region by the diverse opportunities to start or advance a career, and by the cost of living which allows for a higher standard of living that many other metros cannot match. This has resulted in a population increase of 22% among young people ages 20-24 living in the city of Pittsburgh. Today, Downtown Pittsburgh population has 29% under the age of 30 and 52% under the age of 40, compared to 26% and 44%, respectively, in 2012. The biggest decline is in the 40-49 age range with 9% compared to 17% in 2012. Today, the median age of Pittsburgh is 33 years old.
22.1%Population Increase
2000-2016 for Ages 20-24
35.6Median Age
in the Year 2000
33Median Age
in the Year 2017
· · ·
GOODWILL PORTFOLIO | PITTSBURGH MSA |18 MARkeT OveRvIeW
T R A N S P O R TAT I O NPittsburgh is one of the most accessible areas on the east coast featuring an international passenger airport, a constantly improving highway system and a viable public mass transit system.
● Pittsburgh International Airport (PIA) is one of the largest and best airports in the world. The airport served nearly 9 million people in 2017, which was an 8% increase over 2016. The airport services 74 non-stop destinations.
● Highway infrastructure includes the following: U.S. Interstate and Federal highways I-70, I-76 (PA Turnpike), I-79, I-279, I-376, I-576, US 19, US 23, US 30 and US 40.
● The Port Authority Transit (PAT) provides public transportation. With a fleet of buses and light rail vehicles, PAT travels throughout Allegheny County. The East (dedicated) Busway provides convenient access from the eastern suburbs including Monroeville. The West (dedicated) Busway offers unimpeded access from the CBD to the airport. In 2012, the city completed another major transportation improvement–the extension of the subterranean LRT (Light Rail Transit) serving the Pittsburgh CBD from the Gateway Center Station under the Allegheny River to the North Shore (PNC Park, Heinz Field and Rivers Casino).
NEW YORKCONN.
MASS.
VTNH
RI
MAINE
NEW JERSEY
DEMD
VIRGINIA
WESTVIRGINIA
OHIO
MICHIGAN
KENTUCKY
NORTH CAROLINA
ILLINOISINDIANA
WISCONSIN
MISSOURI
CHICAGO460 MILESCHICAGO460 MILES
NEW YORK386 MILES
NEW YORK386 MILES
CINCINNATI293 MILES
CINCINNATI293 MILES
PHILADELPHIA311 MILES
PHILADELPHIA311 MILES
PITTSBURGH
CLEVELAND143 MILES
CLEVELAND143 MILES
WASHINGTON D.C.245 MILES
WASHINGTON D.C.245 MILES
PENNSYLVANIA
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| GOODWILL PORTFOLIO | PITTSBURGH MSA 19MARkeT OveRvIeW
E C O N O M YOnce known solely for its steel mills, Pittsburgh now boasts of a diverse economy which includes a significant high tech presence, robotics, and financial services plus world class universities, health care facilities and research groups, which all impact the real estate market in a positive way. There have been many new developments and improvements in and about the City of Pittsburgh, including a new casino, light rail expansion, and new venues for all four major sports teams.
In recent years, the Pittsburgh MSA has experienced an unprecedented amount of eco-nomic growth as oil & gas companies move into the region, including Shell Oil, Exxon Mobil, Range Resources, Halliburton, and Chevron due to the presence of Marcellus Shale natural gas. In total, the Marcellus Shale contains nearly 500 trillion cubic feet of natural gas, twice the amount of Texas’s Barnett Shale. Reportedly, the development of Marcellus Shale exploration and support will add nearly $13.5 billion and 1,750,000 new jobs to Pennsylvania’s economy by 2020.
Shell recently started construction on a multi-billion dollar petrochemical complex along the Ohio River in Beaver County, just 30 miles from downtown Pittsburgh. The project, expected to require 6,000 construction workers, will be the largest “from-the-ground-up” facility investment in the Pittsburgh region in a generation and first major U.S. project of its type to be built outside the Gulf Coast region in 20 years. The complex, estimated to be completed early next decade, will create 600 permanent jobs and bring economic growth to the region now and for generations to come.
In addition, Pittsburgh still maintains a significant Fortune 500 presence with six Fortune 500 companies headquartered in downtown Pittsburgh, and three additional Fortune 500 companies located in nearby suburbs.
Pittsburgh is recognized internationally as a medical center as well as a center of higher education and high technology. It is also a financial center. This is clearly illustrated by the region’s ten largest employers.
53,000Employees
Healthcare & Insurance
UPMC Health System
21,251Employees
Healthcare & Insurance
Highmark
16,573Employees
StateGovernment
Commonwealth of Pennsylvania
13,000Employees
Financial Services& Banking
PNC Financial Services Group
18,358Employees Federal Government
U.S. Government
12,338Employees
HigherEducation
University of Pittsburgh
7,236Employees
Civil Service & Government Administration
Allegheny County
7,000Employees
Diverse Financial Services
BNY Mellon
9,000Employees
Department/Grocery Store Retailer
Wal-Mart Stores Inc.
9,764Employees
Giant Eagle Inc.Food, Fuel & Pharmacy Retailer
P I T T S B U R G H ’ S T O P E M P L O Y E R S
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GOODWILL PORTFOLIO | PITTSBURGH MSA |20 MARkeT OveRvIeW
H I G H T E C H I N D U S T R YIn recent years Pittsburgh has attracted an abundance of high-tech companies to the city, which offer a diverse set of products and services. These companies benefit from Pittsburgh’s low cost of doing business as well as its renowned universities including Carnegie Mellon University and the University of Pittsburgh. In turn the city benefits from a well-educated workforce in a growing industry and the high paying jobs that come with it. Over the last year, the two cities in the US with the biggest tech salary gains were St. Louis and Pittsburgh with a 16.8% increase. Today, Pittsburgh tech jobs pay an average of $79,600.
High-tech companies in Pittsburgh are primarily located in the Central Business District, Oakland and the East End, and Cranberry. They span a broad range of submarkets including advanced manufacturing, energy, life sciences, and information technology. Google is the most prominent high-tech company to operate in Pittsburgh. In fact, they recently expanded their office space in East Liberty to a total of 280,000 SF. Additionally, Apple, Facebook, and Uber have all opened offices in Pittsburgh to capitalize on the city’s infrastructure and intellectual capital. Other significant high-tech companies in Pittsburgh include Computer Sciences Corporation, 4moms, Aquion, ALung, and RDX.
In aggregate, there are approximately 29,000 high-tech employees in Pittsburgh that lend to the innovation and growth of the city.
ComputerSystems Design
44%
SoftwarePublishers
5%
DataProcessing3%
Other InformationServices7%
Computer/Electronic Product Manufacturing
30%
Electrical EquipmentManufacturing11%
M A J O R T E C H E M P L O Y E R SI N P I T T S B U R G H
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| GOODWILL PORTFOLIO | PITTSBURGH MSA 21MARkeT OveRvIeW
PITTSBURGH INTERNATIONALAIRPORT
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
ROBINSONTOWNSHIP
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
PITTSBURGHCBD
LAWRENCEVILLE
SQUIRRELHILL
SHADYSIDE
OAKLAND
SOUTHSIDE
CARRICK
BEECHVIEWGREENTREE
MT LEBANON
BETHEL PARK
WHITEHALL
BALDWIN
MILLVALE
SEWICKLEY
HOMEWOOD
SWISSVALE
MUNHALL
LINCOLNPLACE
BRENTWOOD
GLENSHAW
O’HARATOWNSHIP
ALLSION PARK
McCANDLESSTOWNSHIP
HAMPTONTOWNSHIP
BELLEVUE
AVALON
EMSWORTH
OSBORNE
EDGEWORTH
PERRYNORTH
MARSHALL-SHADELAND
CENTRALNORTHSIDE
CRAFTON
FAIRYWOOD
ELLIOTT
OAKWOOD
SHERADEN
CARNEGIE
PENNSBURYVILLAGE
BANKSVILLE
DORMONTSOUTHHILLS
SOUTH PARKTOWNSHIP
PLEASANTHILLS
DRAVOSBURG
GLASSPORT
JEFFERSONHILLS
SEWICKLEYHEIGHTS
BELL ACRES
HARMONYTOWNSHIP
AMBRIDGEFRANKLIN
PARK
ROLLINGRIDGE
BRADFORDWOODS
GIBSONIAWEXFORD
ALIQUIPPA
BURGETTSTOWN
SLOVAN
MIDWAY
CECIL-BISHOP
NATIONAL HILL
THOMPSONVILLE
McMURRAY
HICKORY
BULGER
ATLASBURG
CLINTON
CARMOT-MOON
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
PITTSBURGHCBD
LAWRENCEVILLE
SQUIRRELHILL
SHADYSIDE
OAKLAND
SOUTHSIDE
CARRICK
BEECHVIEWGREENTREE
MT LEBANON
BETHEL PARK
WHITEHALL
BALDWIN
MILLVALE
SEWICKLEY
HOMEWOOD
MUNHALL
LINCOLNPLACE
BRENTWOOD
GLENSHAW
O’HARATOWNSHIP
ALLSION PARK
McCANDLESSTOWNSHIP
HAMPTONTOWNSHIP
BELLEVUE
AVALON
EMSWORTH
OSBORNE
EDGEWORTH
PERRYNORTH
MARSHALL-SHADELAND
CENTRALNORTHSIDE
CRAFTON
FAIRYWOOD
ELLIOTT
OAKWOOD
SHERADEN
CARNEGIE
PENNSBURYVILLAGE
BANKSVILLE
DORMONTSOUTHHILLS
SOUTH PARKTOWNSHIP
PLEASANTHILLS
DRAVOSBURG
GLASSPORT
JEFFERSONHILLS
SEWICKLEYHEIGHTS
BELL ACRES
HARMONYTOWNSHIP
AMBRIDGEFRANKLIN
PARK
ROLLINGRIDGE
BRADFORDWOODS
GIBSONIAWEXFORD
ALIQUIPPA
BURGETTSTOWN
SLOVAN
MIDWAY
CECIL-BISHOP
NATIONAL HILL
BRIDGEVILLEBRIDGEVILLE
THOMPSONVILLE
McMURRAY
HICKORY
BULGER
ATLASBURG
CLINTON
CARMOT-MOON
ROBINSONTOWNSHIP
3 MILES
5 MILES
7 MILES
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GOODWILL PORTFOLIO | PITTSBURGH MSA |MARkeT OveRvIeW22
R O B I N S O N T O W N S H I P , P A
D E M O G R A P H I C S
POPULATION
3 MILES 5 MILES 7 MILES
2010 Census 23,818 72,771 185,635
2019 Estimate 25,001 75,250 189,222
2024 Projection 25,531 76,331 190,772
POPULATION GROWTH
Historical Growth: 2010 to 2019 4.97% 3.41% 1.93%
Projected Growth: 2019 to 2024 2.12% 1.44% 0.82%
HOUSEHOLDS
3 MILES 5 MILES 7 MILES
2010 Census 9,847 31,368 80,981
2019 Estimate 10,458 33,085 84,191
2024 Projection 10,721 33,782 85,434
2019 Est. Average Household Income $118,005 $97,687 $88,767
2019 Est. Median Household Income $92,036 $72,419 $63,968
HOUSEHOLD GROWTH
Historical Growth: 2010 to 2019 6.21% 5.47% 3.96%
Projected Growth: 2019 to 2024 2.52% 2.11% 1.48%
PITTSBURGH INTERNATIONALAIRPORT
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
ROBINSONTOWNSHIP
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
PITTSBURGHCBD
LAWRENCEVILLE
SQUIRRELHILL
SHADYSIDE
OAKLAND
SOUTHSIDE
CARRICK
BEECHVIEWGREENTREE
MT LEBANON
BETHEL PARK
WHITEHALL
BALDWIN
MILLVALE
SEWICKLEY
HOMEWOOD
BRADDOCK
WILKINSTOWNSHIP
MONROEVILLE
PITCAIN
NORTHVERSAILLES
WEST MIFFLIN
LINCOLNPLACE
BRENTWOOD
GLENSHAW
O’HARATOWNSHIP FOX CHAPEL
CHAPELDOWNS
HARMARTOWNSHIP
ALLSION PARK
McCANDLESSTOWNSHIP
HAMPTONTOWNSHIP
BELLEVUE
AVALON
EMSWORTH
OSBORNE
EDGEWORTH
PERRYNORTH
MARSHALL-SHADELAND
CENTRALNORTHSIDE
CRAFTON
FAIRYWOOD
ELLIOTT
OAKWOOD
SHERADEN
CARNEGIE
PENNSBURYVILLAGE
BANKSVILLE
DORMONTSOUTHHILLS
SOUTH PARKTOWNSHIP
PLEASANTHILLS
McKEESPORTDRAVOSBURG
LIBERTYGLASSPORT
WHITE OAK
VERSAILLES
LINCOLNCLARITONJEFFERSONHILLS
COULTER
LINCOLN HILLS
NORTHHUNTINGDON
ARDARA
TRAFFORD
LARIMER
MURRYSVILLE
HOLIDAY PARK
REGENCYPARK
PLUM RENTON
IRWIN
PENN HILLS
ALCOMA
SEWICKLEYHEIGHTS
BELL ACRES
HARMONYTOWNSHIP
AMBRIDGEFRANKLIN
PARK
ROLLINGRIDGE
BRADFORDWOODS
WARRENDALE
VALENCIA
GIBSONIA
BAKERSTOWN
INDIANOLA
CHESWICK
ORRVILLE
BARKING
CHURCHILLVALLEY
NEWKENSINGTON
LOWERBURRELL
BRACKENRIDGE
TARENTUM
CREIGHTON
HARRISONTOWNSHIP
RUSSELLTON
WEXFORD
ECONOMY
CONWAY
ALIQUIPPA
FREEDOM
BURGETTSTOWN
SLOVAN
MIDWAY
CECIL-BISHOP
NATIONAL HILL
CANONSBURG
McGOVERN
HOUSTON
MEADOWLANDS
THOMPSONVILLE
McMURRAY
GASTONVILLE
FINLEYVILLE
FLOREFFE
ELRAMA
ELIZABETH
BUENAVISTA
HICKORY
BULGER
ATLASBURG
CLINTON
CARMOT-MOON
FREEPORT
MADISON
HERMINIE
SUTERSVILLE
WESTNEWTON
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
KENNEDYTOWNSHIP
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
MOON
IMPERIAL-ENLOW
McDONALD
OAKDALE
STURGEON-NOBLESTOWN
CORAPOLISGLENFIELD
BRIGHTONHEIGHTS
ROSSTOWNSHIP
SHALERTOWNSHIP
PITTSBURGHCBD
LAWRENCEVILLE
SQUIRRELHILL
SHADYSIDE
OAKLAND
SOUTHSIDE
CARRICK
BEECHVIEWGREENTREE
MT LEBANON
BETHEL PARK
WHITEHALL
BALDWIN
MILLVALE
SEWICKLEY
HOMEWOOD
BRADDOCK
WILKINSTOWNSHIP
MONROEVILLE
PITCAIN
NORTHVERSAILLES
WEST MIFFLIN
LINCOLNPLACE
BRENTWOOD
GLENSHAW
O’HARATOWNSHIP FOX CHAPEL
CHAPELDOWNS
HARMARTOWNSHIP
ALLSION PARK
McCANDLESSTOWNSHIP
HAMPTONTOWNSHIP
BELLEVUE
AVALON
EMSWORTH
OSBORNE
EDGEWORTH
PERRYNORTH
MARSHALL-SHADELAND
CENTRALNORTHSIDE
CRAFTON
FAIRYWOOD
ELLIOTT
OAKWOOD
SHERADEN
CARNEGIE
PENNSBURYVILLAGE
BANKSVILLE
DORMONTSOUTHHILLS
SOUTH PARKTOWNSHIP
PLEASANTHILLS
McKEESPORTDRAVOSBURG
LIBERTYGLASSPORT
WHITE OAK
VERSAILLES
LINCOLNCLARITONJEFFERSONHILLS
COULTER
LINCOLN HILLS
NORTHHUNTINGDON
ARDARA
TRAFFORD
LARIMER
MURRYSVILLE
HOLIDAY PARK
REGENCYPARK
PLUM RENTON
IRWIN
PENN HILLS
ALCOMA
SEWICKLEYHEIGHTS
BELL ACRES
HARMONYTOWNSHIP
AMBRIDGEFRANKLIN
PARK
ROLLINGRIDGE
BRADFORDWOODS
WARRENDALE
VALENCIA
GIBSONIA
BAKERSTOWN
INDIANOLA
CHESWICK
ORRVILLE
BARKING
CHURCHILLVALLEY
NEWKENSINGTON
LOWERBURRELL
BRACKENRIDGE
TARENTUM
CREIGHTON
HARRISONTOWNSHIP
RUSSELLTON
WEXFORD
ECONOMY
CONWAY
ALIQUIPPA
FREEDOM
BURGETTSTOWN
SLOVAN
MIDWAY
CECIL-BISHOP
NATIONAL HILL
BRIDGEVILLEBRIDGEVILLE
CANONSBURG
McGOVERN
HOUSTON
MEADOWLANDS
THOMPSONVILLE
McMURRAY
GASTONVILLE
FINLEYVILLE
FLOREFFE
ELRAMA
ELIZABETH
BUENAVISTA
HICKORY
BULGER
ATLASBURG
CLINTON
CARMOT-MOON
FREEPORT
MADISON
HERMINIE
SUTERSVILLE
WESTNEWTON
HEIDELBERGHEIDELBERG
ROBINSONTOWNSHIP
7 MILES
3 MILES
5 MILES
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| GOODWILL PORTFOLIO | PITTSBURGH MSA MARkeT OveRvIeW 23
H E I D E L B E R G , P A
D E M O G R A P H I C S
POPULATION
3 MILES 5 MILES 7 MILES
2010 Census 86,007 207,390 387,778
2019 Estimate 85,747 206,162 386,754
2024 Projection 85,669 205,662 386,408
POPULATION GROWTH
Historical Growth: 2010 to 2019 -0.30% -0.59% -0.26%
Projected Growth: 2019 to 2024 -0.09% -0.24% -0.09%
HOUSEHOLDS
3 MILES 5 MILES 7 MILES
2010 Census 38,676 92,257 168,934
2019 Estimate 39,329 93,859 172,746
2024 Projection 39,552 94,374 174,045
2019 Est. Average Household Income $103,590 $93,994 $87,823
2019 Est. Median Household Income $73,095 $67,449 $62,602
HOUSEHOLD GROWTH
Historical Growth: 2010 to 2019 1.69% 1.74% 2.26%
Projected Growth: 2019 to 2024 0.57% 0.55% 0.75%
B U T L E R , P A
D E M O G R A P H I C S
POPULATION
3 MILES 5 MILES 7 MILES
2010 Census 19,348 45,134 56,733
2019 Estimate 19,096 44,372 55,817
2024 Projection 19,101 44,338 55,781
POPULATION GROWTH
Historical Growth: 2010 to 2019 -1.30% -1.69% -1.61
Projected Growth: 2019 to 2024 0.03% -0.08% -0.06
HOUSEHOLDS
3 MILES 5 MILES 7 MILES
2010 Census 8,395 19,479 24,077
2019 Estimate 8,521 19,729 24,385
2024 Projection 8,608 19,924 24,623
2019 Est. Average Household Income $78,353 $74,851 $74,851
2019 Est. Median Household Income $59,327 $57,580 $57,580
HOUSEHOLD GROWTH
Historical Growth: 2010 to 2019 1.50% 1.28% 1.28%
Projected Growth: 2019 to 2024 1.02% 0.99% 0.98%
79
376
BUTLER
FORD CITY
CRANBERRY
FOXBURG
3 MILES
5 MILES
7 MILES
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GOODWILL PORTFOLIO | PITTSBURGH MSA |MARkeT OveRvIeW24
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