SECURE INCOME

American Life Inc. properties have historically maintained 97% occupancy. The overall growth of the Seattle economy, coupled with SODO’s unique location immediately south of downtown, attracts companies to the area. At the same time, government has been acquiring substantial tracts of land and buildings for capital and transportation infrastructure projects. This net reduction in building stock diminishes supply, while the market continues to demand more.

Due to its proximity to Seattle’s downtown and regional transportation infrastructure, SODO warehouse rents tend to be higher than warehouse rents in more distant locations. Over the past twenty years, SODO rents have increased at an average rate of some 7% a year, compared to the South Seattle industrial area average rental increase of 3% a year. ¹American Life Inc. management believes that investors who wish to project future rentals may conservatively assume annual increases of 5-6%.

Providing a superior service keeps buildings rented. American Life Inc. works directly with its tenants in customizing spaces to best suit their needs. In addition to normal property management services our tenants receive free space planning and access to loans for tenant improvements. As tenant space needs grow and change, they may also rearrange their space within any American Life Inc. managed building without penalty. Referrals from satisfied tenants are our best source of new business.

To prevent cost and level of service issues from affecting investor returns, all tenants sign ² “triple net leases”. Under these leases all buildings’ operating expenses are charged to tenants.

1. Source: Lamb, Hanson and Lamb Appraisers.

2. Triple Net is a term for all expenses of the building, including: tax, insurance, repairs and utilities.