Creative Media · NASDAQ:CMCT
Creative Media — CIM Commercial Trust — IPO Roadshow (June 2019)
29 slides from Creative Media's IPO roadshow presentation, Jun 4, 2019
Slide 1: CIM Commercial Trust Corporation
CIM Commercial Trust Corporation | NASDAQ: CMCT | TASE: CMCT-L
Slide 2: CIM Commercial Trust overview
CIM Commercial Trust Excludes 1333 Broadway, which was sold to an un/related third party in May 2019, and 899 North Capitol Street, 901 North Capitol Street, 999 North Capitol Street, and 4750 Wilshire Boulevard, each of which either (i) is expected to be under contract for sale or (ii) is under con
Slide 3: Maximizing Returns For Shareholders
Maximizing Returns For Shareholders 4 As of May 31, 2019. The figure for the amount of assets sold includes anticipated gross sale price of $240 million relating to 899 North Capitol Street, 901 North Capitol Street, 999 North Capitol Street and 4750 Wilshire Boulevard, each of which either (i) is e
Slide 4: CIM Commercial Trust – Key Investment Highlights
Significant Embedded Organic Growth Opportunity From Outsized Growth In Key Gateway Markets CIM Commercial Trust – Key Investment Highlights High Quality Class A and Creative Office Portfolio 2 Deep Commercial Property Expertise Through Relationship with CIM Group 1 Equity Enhancing, Growth Oriented
Slide 5: CIM Commercial Trust - Key Investment Highlights
CIM Commercial Trust - Key Investment Highlights CMCT Deep Commercial Property Expertise Through Relationship with CIM Group High Quality Class A and Creative Office Portfolio (a M CT Significant Embedded Organic Growth Opportunity From Outsized Growth In Key Gateway Markets External Growth Opportun
Slide 6: Overview of CIM
Established Established in 1994 as an integrated owner and operator of real assets As of March 31, 2019. See Important Information on page 29. Strategies Real assets (infrastructure and real estate) focused in communities qualified by CIM as well as national credit (net-lease and debt) platforms Ver
Slide 7: CIM Competitive Advantages
CIM Competitive Advantages Diverse Team of In-House Professionals Commitment to Community Disciplined Approach Led by 14 principals (including the three original founders) with average CIM tenure of 14 years Vertically-integrated, real assets owner and operator with expertise across in-house researc
Slide 8: CIM qualifies communities in high barrier-to-entry markets
Since 1994, CIM has qualified 122 communities in high barrier-to-entry markets and has owned and operated real assets in 72 of those communities1. The qualification process generally takes between six months and five years and is a critical component of CIM’s asset evaluation CIM believes that its c
Slide 9: Community Focused Strategy - CIM Qualified Communities
8 Growth in CIM Qualified Communities vs. National Downtowns vs. National Suburbs CIM qualifies communities for acquisition (122 qualified as of May 31, 2019, 72 deployed capital). CIM Qualified Communities exhibit strong growth trends, which CIM believes will lead to outsized rental growth and/or c
Slide 10: Resources & Expertise of Institutional Owner Operator
Resources & Expertise of Institutional Owner Operator 11 Richard Ressler CIM Group Principal CMCT Chairman of the Board Avi Shemesh CIM Group Principal CMCT Board Member Shaul Kuba CIM Group Principal CMCT Board Member David Thompson CMCT CEO CIM Group CFO and Principal Held various Board positions
Slide 11: CIM Group Commitment to CMCT
CIM Group Commitment to CMCT Directors & officers of CMCT, CIM Group and its affiliates own approximately one million shares of CMCT 20 of 26 investors in the private fund are invested in other CIM Group funds Management and Corporate Governance CMCT’s Board is comprised of CIM Group’s three co-foun
Slide 12: Alignment of interests
@ Alignment of interests CIM Group Commitment to CMCT Management and Corporate Governance Strong Market and Knowledge Sourcing Management Agreement / Master Services Agreement ¥ . CMCT Directors & officers of CMCT, CIM Group and its affiliates own approximately one million shares of CMCT 20 of 26 in
Slide 13: CMCT History: Transition from Private Fund to Public REIT
CMCT History 14 Transition from Private Fund to High-Quality Public REIT February 2005 – June 2006 CIM Group formed CIM REIT with 24 private institutional investors October 2018 Announced program to unlock embedded value in portfolio and improve trading liquidity of common stock (see pages 26 & 27 f
Slide 14: High Quality Class A & Creative Office Portfolio
Hotel: Ancillary: Office: High Quality Class A & Creative Office Portfolio Excludes 1333 Broadway, which was sold to an unrelated third party in May 2019, and 899 North Capitol Street, 901 North Capitol Street, 999 North Capitol Street, and 4750 Wilshire Boulevard, each of which either (i) is expect
Slide 15: Embedded Growth Opportunity: Los Angeles
16 Embedded Growth Opportunity: Los Angeles CIM Group: 60+ Los Angeles Investments Over 25 Years Tech, media and entertainment demand driving growth Major content creators such as Netflix, Google, and Amazon Studios lease 2.2+ million SF of office and production space across West Los Angeles and Hol
Slide 16: Embedded Growth Opportunity: Oakland
Embedded Growth Opportunity: Oakland Relative Value vs. San Francisco Central Business District (“CBD”) (Class A asking rents)1: San Francisco - $74.85 Oakland - $52.06 Limited new office supply in Lake Merritt / City Center: Last major office project completed in 20081 Office building development h
Slide 17: Embedded Growth Opportunity: Austin
Embedded Growth Opportunity: Austin Diverse Employment Sources – government, education and tech Austin is home to many large U.S. corporations including Amazon, Facebook, Apple, Cisco, eBay, GM, Google, IBM, Intel, Oracle, Paypal, 3M and Whole Foods Sustained, rapid market rent growth Five year Incr
Slide 18: Redevelopment In Progress: Austin Building L
Redevelopment In Progress: Austin 19 4 “Building L” – Expansion to Existing Campus 3601 South Congress- Existing Buildings 3601 S. Congress Avenue Expansion - Mid-2020 Expected Completion Approximately 42,000 SF add-on building to existing 183,885 SF office complex (98.6% leased as of March 31, 2019
Slide 19: Growth Pipeline: Oakland Potential Build-to-Suit
Growth Pipeline: Oakland 20 Potential Build-to-Suit 2 Kaiser Plaza (Beacon Tower), Oakland, CA 4 1 Kaiser Plaza – Existing Building Bay Area 2 Kaiser Plaza (Beacon Tower) Build-to-suit opportunity Currently marketing development to potential anchor tenants Entitled for 425,000-800,000 SF office Curr
Slide 20: Growth Pipeline: Sacramento Potential Redevelopment
Growth Pipeline: Sacramento 21 Potential Redevelopment 4 Sheraton Grand Sheraton Grand Potential redevelopment opportunities: Renovate existing hotel to drive average daily rate New hotel tower, multifamily or build-to-suit office on top of owned garage and retail Expansion/Renovation of Adjacent Sa
Slide 21: Equity Enhancing, Growth-Oriented Capital Structure
Historical Preferred Stock Issuance2 Equity Enhancing, Growth-Oriented Capital Structure Preferred Stock Program 22 Series A Perpetual Preferred Stock at 5.5% coupon Continuously offered - monthly issuance Company and investor option to call/redeem five years from issuance1 Redemption paid in cash o
Slide 22: Debt & Preferred Summary and Debt Maturity Schedule
Corporate Debt Revolving Credit Facility4 Variable LIBOR+ 1.55%4 10/31/2022 $ - Junior Subordinated Notes Variable LIBOR+ 3.25% 3/30/2035 $ 27,070 Total Corporate Debt $ 27,070 Total Debt $ 154,668 23 Debt & Preferred Summary (March 31, 2019)1 Debt Maturity Schedule (March 31, 2019)1,2 (in thousands
Slide 23: Debt & Preferred Summary (March 31, 2019)
© Equity Enhancing, Growth-Oriented Capital Structure CMCT Debt & Preferred Summary (March 31, 2019)' Debt Maturity Schedule (March 31, 2019)'? —. (in thousands) a Mongages? {faedivariable etc.) Interest Rate. Date 1 Kase Pla Feed ras Thiates Total Mortgages: 4% oer Date ‘SBA 7(a) Loan-Backed Notes?
Slide 24: Key Metrics: Lease Expirations and Top 5 Tenants
Key Metrics 25 Lease Expirations as a % of Annualized Office Rent1,2 Top 5 Tenants1 Excludes 1333 Broadway, which was sold to an unrelated third party in May 2019, and 899 North Capitol Street, 901 North Capitol Street, 999 North Capitol Street, and 4750 Wilshire Boulevard, each of which either (i)
Slide 25: Program to Unlock Embedded Value: Targeted Asset Sales
Program to Unlock Embedded Value and Improve Trading Liquidity of Our Common Stock Unlock Embedded Value Through Targeted Asset Sales Monetize stabilized assets to unlock embedded value that has been created since as early as 2006 Substantial portion of net proceeds from asset sales expected to be u
Slide 26: Program to Unlock Embedded Value and Improve Trading Liquidity
Program to Unlock Embedded Value and Improve Trading Liquidity of Our Common Stock As of May 31, 2019. Based on fair value. The Company has met and consulted with certain holders of the Preferred Stock as it considers such engagement to be important and expects to continue to meet and consult with h
Slide 27: Program to Unlock Embedded Value and Improve Trading Liquidity
Program to Unlock Embedded Value and Improve Trading Liquidity of Our Common Stock CMCT » Anticipate shares of CMCT common stock held by our majority shareholder (~90% of CMCT's outstanding common stock’) will be distributed to a diverse group of holders, which CMCT expects to be comprised of many o
Slide 28: Important Information
Important Information 29 Assets Owned and Operated (AOO) represents the aggregate assets owned and operated by CIM on behalf of partners (including where CIM contributes alongside for its own account) and co-investors, whether or not CIM has discretion, in each case without duplication. AOO includes
Slide 29: Important Information
Important Information CMCT Assets Owned and Operated (AQO) represents the aggregate assets owned and operated by CIM on behalf of partners (including where CIM contributes ‘alongside for its own account) and co-investors, whether or not CIM has discretion, in each case without duplication. AOO inclu