The Research Triangle Park: Briefing

Transforming the Region’s Economy

RTP was founded in 1959 by business, government and academic leaders to stem the “brain drain” and shift the agricultural, manufacturing and government economy to a research and technology focus.It was a BIG BET!The Research Triangle Foundation (RTF) is the non-profit entity responsible for the management, development and relationships within RTP.

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How has that ‘Big Bet’ and the commitment of the Triangle Region paid off?

Educational Attainment & Connectivity 45.9% College Degree 23.3% Bachelor 14.2% Graduate/Professional

Three tier one research universities

Two nationally ranked business schools

Two nationally ranked engineering schools

Nine other colleges and universities and seven technical community colleges

150,000+ students (university/community college) 24,000+ bachelor degrees or higher earned a year

We are extremely smart and well connected…

RTP TODAY

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RTP TodayScale7,000 acres (2,833 hectares) research parkUniversity Connections• Duke University• North Carolina State University• UNC - Chapel Hill

Critical Mass• 170+ world-class firms employ 40,000 full-time

workers • 22.5 million ft2 of developed space• 26 Multi-tenant buildings• 4 Office/Lab IncubatorsImpact• $2.8 billion in capital investment• $2.91 billion annual payroll

40%

21%

14%

9%8%

4% 2% 2% Life SciencesInformation TechnologyBusiness and Professional ServicesScientific Associations, Founda-tions, and InstitutesMaterial Sciences and EngineeringRetail Amenities and Service ProvidersEnvironmental SciencesFinancial and Insurance Activities

DIVERSE PORTFOLIO

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1996 2011over 5000 2 11000-5000 3 9500-1000 5 5250-499 7 9less than 250 93 151not reported 18 N/ATotal 128 175

Number of Employees

RTP COMPANY MIXLARGE AND SMALL

151515

Park Research Center• 13-building campus • 75,000 ft2 of office/lab space

First Flight Venture Center• Established in 1991• 16,000 ft2 of office/lab space• >150 graduates

Hamner Institutes for Health Sciences• 150,000 ft2 facility • Planned buildout of 1,000,000+ ft2

NURTURING NEW COMPANIESOver 1,800 start-ups have been created by RTP companies & the three research universities since 1970

Alexandria Innovation Center• Owned and managed by Alexandria Real Estate Equities, Inc.• 150,000 ft2 campus

• 16 miles of jogging/pedestrian trails

• 4 softball diamonds (spring/summer leagues)

• 12 volleyball courts (9 grass and 3 sand)

• 2 miles of mountain biking trails

RECREATIONAL AMENITIES

LOCATING IN RTP

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Project Opportunities & Challenges

Building Sites Remaining - Site Acerages12-100s

Leased space (Mulit/Single Tenant)

Entrepreneurial/Start-up Space

Redevelopment Phase 1

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Sites ranging from 12 acres to 100+ acres

$125,000/AC - $175,000/AC

Sources: North Carolina State Demographics (2000, 2005), U.S. Census American Community Survey (2000, 2005), Employment Security Commission of North Carolina (2006)

GREENFIELD DEVELOPMENT

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RTP CovenantsUpdated March 2013

»Control uses»Allow certain manufacturing activity with high degree of

scientific input (determined by percent of employees in technical, professional and kindred classifications, by industry)

»Establish Board of Design»Grant Right of First Refusal to repurchase property for

resale»Establish Owners & Tenants Association and association

voting rights»Property taxes are only paid to the county. RTP cannot be

annexed into surrounding municipalities

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Multi-tenant Buildings / Developments• Research Commons

• Park Center

• Progress Center

• One Park Drive

Buildings on Individual Sites• 7001 Development Drive (205,310 SF)

• 8001 Development Drive (262,000 SF)

RTP Area Average Pricing Details• Class A Office - $18 – $22 sqft Full-Service

• Manufacturing: $8 - $12 sqft NNN

Sources: North Carolina State Demographics (2000, 2005), U.S. Census American Community Survey (2000, 2005), Employment Security Commission of North Carolina (2006)

LEASED SPACE

RTP Redevelopment

BUILD A TRANSFORMATIVE VISION FOR THE FUTURE

Beukenhorst (Park 2020) – The Netherlands

Retain Existing Tenants

Attract Broader Range

of Tenants

Continue to Attract Large Companies

MARKET OBJECTIVESThe goal of the Master Plan is to create an environment that will allow RTP to continue to be an economic driver for the innovation economy.

This goal will be achieved by maintaining the Park’s attractiveness to existing tenants and owners, facilitating opportunities for existing companies to expand on site, and broadening the Park’s appeal to additional types of companies, including those not historically found at RTP.

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Realizing the Plan

•Input from Park companies and the community

•Multiple projects phased over time

•Regulatory updates & use changes

•Collaboration with partners: owners, universities, government, developers

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Mixed-Use Center

Park Center

Research Cluster

Development Clusters

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Development Clusters: Mixed-Use Center

Research is the core land use

Mix of retail, residential, hotel and education

Shared Open Spaces

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Development Clusters: Mixed-Use Center

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Mixed-Use Center

Park Center

Research Cluster

Development Clusters

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Development Clusters: Park Center

Business support cluster

Regenerate and renew Increase intensity Restore natural

systems

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Development Clusters: Park Center

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Mixed-Use Center

Park Center

Research Cluster

Development Clusters

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Development Clusters: Research Cluster

Research focus Amenity core Increase intensity

through infill Integrate natural

systems

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Development Clusters: Research Cluster

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Make RTP Land More Productive

Current Capacity Master Plan Capacity

Research & Office Space

26M sf 84M sf

Jobs ~ 45,000 ~ 150,000

Zoning for Infill Development

THE RESEARCH TRIANGLE FOUNDATION OF NC @TheRTP

919.549.8181

Bob GeolasPresident & CEOResearch Triangle Foundationgeolas@rtp.orgwww.RTP.org@BobGeolas - Twitter

Mason AilstockVice President of Business

DevelopmentResearch Triangle Foundationailstock@rtp.orgwww.RTP.org@MasonAilstock - Twitter