TampaTomorrow

| Riverwalk District (Update) - Downtown Tampa | During a time when it seems that we are barely getting by in the high-rise department, Related Group continues to show its commitment to the Tampa Bay market. Signage went up at the end of last week, displaying the new Riverwalk District developments along the future Riverwalk Extension. Extension permits for the masterplanned development have also been filed. Related went on record stating they plan to inject approximately $1B into the new mixed-use 6-acre site, for which they paid approximately $55MM. The two projects highlighted on the new posters are ‘District Flats’ and ‘Riverwalk District Icon’. These cover two out of the four developments planned in the multi-phase development. District Flats: A multi-family mixed-use high-rise that tops out at 24 stories, with 363 units, 744 parking spaces, and a gross square footage of nearly 500,000 GSF. ICON: A multi-family mixed-use high-rise that tops out at 38 stories, with 269 units, 481 parking spaces, and a gross square footage of nearly 700,000 GSF. Upon completion, the entirety of the Riverwalk District by Related Group will include condos, apartments, student housing, and retail space connected by a woonerf. This development will total 1.7M gross square feet, consisting of five buildings, 1,110 dwelling units, 33,000 square feet of commercial/retail space, and a helicopter pad, all along the new Riverwalk extension.

| Life Time Harbour Island Country Club - Harbour Island | Let’s just start by saying this place gave us a really good feeling, similar to what we experienced during the first tours of Water Street. The Life Time Harbour Island Country Club really impresses you when you walk inside. The luxurious scents, lighting, perfect equipment, and, of course, the space! There is a feeling of unlimited options in this place, likely because it measures nearly 40,000 square feet! With a current waitlist of 10,000 people, the nationally branded concept is set to open its doors to the public on Monday, July 8th. Spanning across 6.5 acres, the multi-million-dollar renovation includes an indoor club and 150,000 square feet of outdoor spaces, all dedicated to the pursuit of healthy living. Studios for exclusive group fitness, cycle, yoga, and pilates classes; cardio, strength, and training spaces for personal training, small group training, and individual programs; a full-service LifeCafe restaurant and bar featuring fresh and healthy food items; and LifeSpa for massage. Kids have their own dedicated Kids Academy. Outdoors includes 12 pickleball courts and eight tennis courts with stadium seating. A 4-lane lap pool, cold plunge pool, and kids splash pool, along with lounge-style seating and a bistro, add to the resort-like destination. The outdoor beach club will serve as a backdrop for social events year-round. A half basketball court is also included in the build-out and will open soon. Everyone is welcome to Life Time!

| Dutch Bros - Lutz | Before we start discussing the second Dutch Bros planned for the Tampa market, we double-checked the permits for the South of Gandy location and everything is moving right along. The commercial construction permits have been filed and updated in the last two months, and the commercial utility permits for that location were updated just two weeks ago. Now we can discuss this new location. Dutch Bros is investing in this area as they have officially filed plans for a new drive-thru concept at 18460 State Road 54. This build is set to sit at the corner of 54 & Sunlake in the Lutz area, marking their first Pasco County spot. The South Tampa project is taking place at 3616 W. Ballast Point Blvd, at a former self-service car wash. Dutch Bros is a coffee concept that has gone beyond coffee and gained a cult-like following. Known for its customer experience, which is over the top—think Chick-Fil-A on steroids, or coffee (lol)—the drive-thru model typically features two lanes, making it convenient and quick. Their community involvement, participating in local events, fundraisers, charities, and more, makes it close to people's hearts. What brings it close to their sensory system are the brand’s aesthetics, blended drinks, energy drinks, iced and hot drinks, lemonades, and more! Some of the top items listed are the Golden Eagle—a vanilla & caramel breve with caramel drizzle, 9-1-1—a 6-shot Irish cream breve, Electric Berry Lemonade with lime & blue raspberry, and Shark Attack Energy Drink with blue raspberry, coconut lime, and a pomegranate float. This is going to be a great addition to the Lutz neighborhood. Everyone, welcome Dutch Bros.

Harbour Island Apartments - Harbour Island | Let us be the first to say… Harbour Island residents are known for being highly protective of any development, even beyond their gates. In fact, the last time we discussed this parcel of land, they went so far as to create fake Instagram accounts just to voice their opinions. And they weren’t good ones, lol! The subject property we are discussing today is 800 S. Harbour Island, currently serving as a one-story office building owned by Tampa-based Liberty Group. Can you believe it has already been two years since the City last voted against the original plan the developers had in store? In late 2022, a $40M AC Hotel by Marriott was designated to go on the site after being tweaked many times per residents' requests. The last proposal called for a 10-story, 145-room hotel, which was a reduction from the 12-story, 150-room hotel that was rejected earlier that year. The parking spaces were reduced by 60%, the retail space was axed, and the Bayshore and Downtown city views would have no longer been obstructed with the rooftop restaurant being removed. Welcome back is all we can say as the developers team up with Boston Capital, a Boston-based real estate investment and advisory firm, to propose a new multifamily project. Utilizing the Live Local Act, they plan to build 162 dwelling units spanning across 14 stories, with 11,426 square feet of commercial/retail space along the pedestrian experiential level of the apartment building. The Live Local Act is a comprehensive, statewide attainable housing strategy designed to increase the availability of affordable housing opportunities for Florida’s residents who desire to live within the communities they serve. We look forward to seeing how this project plays out!

| Pura Vida - Tampa Bay | Pura Vida is described as a husband-and-wife-owned, locally sourced all-day cafe serving breakfast, lunch, dinner, and everything in between. From personal experience, this place is such a hit in the Miami market; it is wild. People swear by it, and when they open their new locations along the West Coast, if you have not tried it, you will soon see why. Known for using healthy ingredients that are properly sourced, some of the top items on the menu include their hard boiled eggs, signature acai, toasted chicken wrap, tuna sprout sandwich, mango salmon bowl, orange poppy seed mini cake, Welcome to Miami smoothie, and many more items. The location for Tampa is rumored to be International Plaza and set for late 2024/ early 2025. The confirmed location for Sarasota is University Town Center, with signage already displayed. As far as our location, we wait for confirmation and will, in the meantime, pray for a brick-and-mortar location.

| Harrison (Lot 12) - Encore | First and foremost, navigating the market is incredibly challenging. Anyone suggesting otherwise is not being truthful. Therefore, we are especially relieved to announce the successful closing of debt on Aureate Development’s inaugural Encore District project, "Harrison" (Lot 12 at Encore). Aureate is the social impact arm of the Patel Family Office, and they work to provide sustainability and innovation to the Central Florida landscape. The team describes their plot of land as strategically located at the GasWorx Gateway. Harrison is a mere 5-minute walk from the proposed Brightline station, and the prime location provides connectivity and accessibility to the Tampa urban core. The Encore District is also a force, as the project is set to introduce four high-rises in its future, totaling over 1,000 residential units and over 100,000 square feet of retail space just within those new builds. Standing 20 stories tall (233 feet), "Harrison" will feature 294 luxury apartment units, a state-of-the-art 22,000-square-foot grocery store, and 44,000 square feet of medical office space. This nearly $200 million project is designed to be a premier destination for health and wellness and a retail destination for pedestrians in proximity. Orlando-based PCL Construction is the responsible contractor and has officially mobilized on-site and filed construction permits. Huge congratulations to the Aureate team, as we know how difficult it is to get a new high-rise off the ground in Tampa within this turbulent market!

| Bayshore Gardens - Bayshore Beautiful | Formerly known as Bayshore Center, a 1970s office complex located a block away from Bayshore, the building began to look dilapidated and outdated compared to the new towers that were rising around it. We originally thought the property would one day be sold to a developer that would tear it down and turn the nearly 2-acre site into another high-rise condominium, as it was a prime location for that. However, Charlotte-based real estate investment group Asana Partners had a different idea for the property. In 2021, the company purchased Bayshore Center for a whopping $21MM! Asana, known for focusing on the retail sector, launched a major overhaul on the 2 buildings that span 6 and 2 stories across 91,000 square feet. We are beginning to see some major changes happening as the building’s exterior is scrapped for a more modern glass look. Concrete trucks were spotted on site pouring foundations for the rooftop bar space, pedestrian walkways are being framed, and the main building is being scaled by construction crews for renovations. Upon completion, this will be one of the top developments in the Bayshore beautiful area as it provides retail to all of the new residential developments. Concepts already have an idea about are ‘Barcelona Wine Bar’ - a tapas-focused restaurant inspired by Mediterranean, Spanish, and South American cuisines. The Counter Culture concept stays put and in the permits, it calls out for a bar concept titled ‘Bar Chifa’. When looking for the concept, we cannot find info on any chains; however, the term traces back to a Chinese/Peruvian fusion. Either way, we wait for these new concepts with excitement!!!

| Interest Rates (Update) - USA | As we survey the market for trading real estate, it's remarkably different than it was two years ago. The primary reason for this difference is the change in interest rates, which have led to a significant slowdown in commercial development, commercial sales, residential development, and residential sales. Everyone had been anticipating the Federal Reserve to lower interest rates earlier this year, but that didn't materialize. It almost seemed as though we all knew today’s verdict from the Federal Reserve’s Chairman Jerome Powell because there were no rumblings of interest rates potentially being lowered. Interest rates were held steady for the sixth consecutive time and were acknowledged as a “lack of further progress” on cooling inflation. The Federal Open Market Committee, the monetary policy-setting body of the central bank, kept its target interest rate in a range between 5.25% and 5.5%, where it has been since last July. Fed officials have suggested in recent weeks that signs of sticky inflation mean the central bank might have to hold interest rates at a higher level for longer than previously anticipated unless the job market cools… The data has not given central bankers the confidence that inflation is falling towards 2% which is essentially why they’re going to sit tight. On a positive note stocks rally as Powell states that there is unlikely to be a rate hike which is good news for us all!

| Water Street Tampa Phase II - Water Street Tampa | Guys we are just blown out of the water with these new renderings released… Literally! This morning Water Street released the plans for their next phase and it comes to a surprise that there will be a for sale product included. Three new project to be exact are part of the ongoing development including a residential condominium building, a build-to-suit trophy office complex, and an entertainment destination which builds on the energy and excitement of Amalie Arena. The office and residential towers will occupy an extension of Water Street currently under construction north of the 900 and 1000 blocks of E. Cumberland Avenue, basically behind Cora and Asher. The mixed-use entertainment destination, located just north of Amalie Arena between S. Morgan St. and Jefferson St., will feature a select service hotel, and event parking garage, and a variety of entertainment-oriented uses. The new residential condominium building will be the tallest building at Water Street and bring more residential choices to complement the Asher, Cora, and Heron residences located to the South. Additionally, SPP is exploring a new club concept with a social and fitness focus, providing an exciting new offering to the Tampa market. Located within North America’s first WELL “Gold” Certified Community, the residential tower is being designed by Gensler with Nichols Architects acting as the architect of record. The second tower will be dedicated to the office complex with ground floor retail and green space with a focus on a pedestrian-friendly experience. A preliminary design concept for the office tower was completed by KPF on of the world leaders on office design, to showcase the scale and type opportunity available to corporations. The road and utility infrastructure work for these additions to WST has already begun and is expected to be completed by the Spring of 2025. Everyone welcome the second phase of your city Water Street Tampa!!!