April 21, 2005
Members of the Board of Directors
Status of Office Space Study
The purpose of this document is to present the status of the office space study and to
request the Board’s approval for the next step in the process. As you know, a request for
proposals for a comprehensive office space study was issued, and three firms responded
and gave presentations to the evaluation committee. KLNB, a local commercial real
estate services firm, was selected and conducted the study, analyzing a comprehensive set
of alternatives. Staff supplied the consultants with a great deal of requested information
and worked with outside counsel to obtain answers to KLNB’s questions on legal
matters. The consultants presented their confidential report to the Financial Management
Committee at its March 23, 2005 meeting, and to the Board in a closed meeting on April
The following is a summary of KLNB’s study, based on the Executive Summary from
their confidential report dated April 7, 2005:
The objective was to identify and evaluate a number of options for office space within the
geographic boundary of Columbia Town Center, and to provide recommendations on
viable alternatives, including:
• Evaluate lease alternatives including the potential renewal of the existing lease.
• Explore potential buildtosuit opportunities, including those offering equity
participation, if any.
• Purchase a building under construction or renovation.
• Purchase an existing building or part of a building.
• Evaluate the development considerations and options surrounding CA’s land
adjacent to Symphony Woods.
• Explore land swap options or land sale of CA’s 2.26 acres in Columbia Gateway.
KLNB was specifically instructed to focus on downtown Columbia. There are 22
existing office buildings/projects in this area, of which General Growth Properties
(formerly The Rouse Company) owns 13 buildings representing 70 percent of the total