Philadelphia. A Great Place to Do Business. passionate principals + committed professionals + unparalleled service

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1 Philadelphia A Great Place to Do Business INTECH Construction is the #1 Builder of Multi-Family Residential Projects, Educational Facilities, and Private Education Projects in the Philadelphia Market. (Dodge Data and Analytics rankings are based on construction starts over the last three years including year to date.) passionate principals + committed professionals + unparalleled service

2 F or the first time in decades, Philadelphians are optimistic about our city s future. The crime rate is down, employment is slowly improving, arts and culture are strong, and the retail and restaurant scene is one of the best in the country. Philadelphia is fast becoming the place to live, work, and play. Although there is no one factor driving these changes, an increase in downtown living is a significant contributor. Following the trend of many major cities, Philadelphia s population has risen for the eighth straight year after more than a century of decline. The population of greater Center City has grown by 16% since the year 2000, making ours the second largest downtown population in the country behind midtown Manhattan. The vitality of urban life is driving commercial real estate in unprecedented proportions. An increase in high-tech jobs is convincing graduates from Philadelphia s many universities to remain in the city after graduation; as a result, an increasing percentage of Center City residents are squarely in the 24 to 33 age bracket of the millennials. This change in population demographics has fueled an extraordinary increase in the construction of rental apartments, as these young new residents want to share their city with businesses so that they can walk to work and enjoy restaurants, shopping, and entertainment within their own neighborhoods. It s clear there has been a sea change in attitudes toward urban life and in the urban real estate market. - Chris Zimmerman, Vice President for Economic Development Smart Growth America This surge in construction has allowed INTECH to increase our market presence. Our current residential projects at 3601 Market Street, 3737 Chestnut Street, and 3939 Chestnut Street are nearing completion, providing the potential of adding 704 new residential units to University City. Rodin Square, a large project including both retail and residences, is in the early stages of construction. Luxury condominium towers 500 Walnut overlooking Independence Mall, and One Riverside near the Schyulkill River, are also both currently under construction. These projects are changing the face of Philadelphia, attracting new residents and mixed-use development to both traditional residential locations such as the Art Museum area, and to non-traditional locations such as University City. In addition to the growing appeal of Philadelphia as a place to live, our city is also gaining increasing recognition as a place to visit. The New York Times travel section recently rated Philadelphia as the third best place to go in the world in 2015 (after Milan and Cuba, and ahead of Yellowstone National Park!). An uptick in the desirability of Philadelphia as a destination is fueling a strong hospitality market. Occupancy rates are rising along with daily hotel room rates. In recent years INTECH has participated in this healthy market by constructing Kimpton s Hotel Palomar and Hotel Monaco, the Courtyard Marriott at the Navy Yard, and a major renovation of the Sonesta Hotel. An overhaul and rebranding of the former Four Seasons Hotel into a boutique Hilton Hotel is currently underway. 500 Walnut

3 Courtyard Philadelphia South at The Navy Yard...you have to provide the whole package. It s no longer just a job, it s no longer just an office. It s about the experience, it s about creating a sense of place. More opportunities for social interaction are the key things that millennials are looking for. - Paula Munger, Managing Director, Regional Research Director Cushman & Wakefield H igher education and healthcare remain consistent strengths of Philadelphia s economy, accounting for more than 30% of all jobs according to a recent Pew Report. Of the City s 15 largest employers, 12 are in Eds and Meds. Projects for local universities continue to constitute a significant part of INTECH s portfolio. After constructing Race Street Hall and Millennium Hall for Drexel University in recent years, INTECH is currently building New College House for the University of Pennsylvania, the school s first new student residence hall in decades. In University City, INTECH recently completed the 13-story 3737 Science Center, which houses Penn Medicine as the lead tenant, providing space for Penn Therapy and Fitness and Penn Medicine University City. Demand for space in the building was so strong that two additional floors were added during construction Science Center

4 University of Pennsylvania, New College House M illennials, entrepreneurs, and developers are driving new ideas about workspace. Demand for new office space, expiring leases, new technology, and shared workspace concepts are changing the way offices are designed. These trends promise to keep office renovations and tenant space fit-out projects strong in the near future as businesses look to relocate to the Central Business District in order to tap into the welleducated workforce located in Center City. Demand for updated office space is driving a strong workload for INTECH s Renovations/Interiors group. Fit-out projects at the Center City corporate offices shown below have been completed recently, and workload continues to be strong in all sectors for the R/I group. Since 2007, 17 coworking spaces, occupying 209,000 square feet, have opened in Center City and University City [however] while the style of work is changing, traditional office space still accounts for 99% of occupied supply. - From Center City District & Central Philadelphia Development Corporation s publication STATE OF CENTER CITY PHILADELPHIA 2015 Hill International Morgan Lewis Brandywine Management Office Pond Lehocky Stern Giordano

5 I NTECH has positioned itself well in the growing market for construction services, and has, as a result, experienced a large increase in our annual volume. Reflecting this increase in business, INTECH is now ranked third highest in construction revenue in Philadelphia and 230th nationally. The latter represents an upward movement in the ranking of 127 places in one year. In addition, INTECH was ranked in ENR s Top 100 Construction Management-at- Risk Firms for the first time Local Ranking (Philadelphia Business Journal) Top 25 Contractors - # National Ranking (Engineering News Record) MidAtlantic Top Contractors - #20 Top 100 Construction Management-at-Risk Firms - #84 Top 400 Contractors - #230 One Riverside By far the most prominent reasons companies cited for their move downtown, was to recruit and retain talented workers... in a fiercely competitive environment. - URBANLAND, The Magazine of the Urban Land Institute This success, while fueled by the growth of various market sectors in Philadelphia, is also a result of the long term local relationships we have built and fostered over almost thirty years, combined with an excellent reputation for constructing high quality buildings and delivering on our promise of unparalleled service. These are the values of INTECH at its founding, and remain the core of who we are today, still rooted in our great city of Philadelphia. Museum Towers II

6 3737 Chestnut 3601 Market Street Rodin Square Follow us on 3020 MARKET STREET PHILADELPHIA PA T F