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EXHIBIT 3 Public Pay Parking Lot Valbridge MARKET ANALYSIS PROPERTY ADVISORS Regional Office Market The subject property is within Orange County, which is part of the larger Southern California area. The Southern California office market consists of four major market areas. These include the Inland Empire, Los Angeles County, Orange County, and San Diego County. Office information for these areas is provided in the following table and was obtained from 3rd Quarter 2016 Costar Office Market Reports. The Southern California Office Market contains 774.0 million square feet of space. Projects in this market ranged from high-rise office towers to low-rise office buildings. The largest concentration of space was in Los Angeles County, with 433.0 million square feet of inventory, due primarily to the fact that Los Angeles County had a population of approximately 10 million. SOUTHERN CALIFORNIA TOTAL OFFICE MARKET OVERVIEW Source: Costar 3rd Quarter 2016 As shown in the table above, the markets outside of Los Angeles County were significantly smaller, with inventory levels ranging from approximately 73.1 to 154.0 million square feet. Overall, vacancy rates have remained relatively stable to improving since the recession, which started in 2007. Orange County has the lowest vacancy in the region at 8.9%. This is a decrease since the end of the year, 2015, which were 10.3% and 21/2 percentage points below the 11.5% vacancy at the end of 2013. All the markets were substantially impacted by the recession as many small service type businesses and the mortgage industry were significantly hit during this period. These made up a large portion of the office tenancy in the region, which remains slow to recover. All counties had positive absorption in the third quarter, 2016. This follows a year, 2015, which experienced a positive absorption in all four quarters. Although some new construction is occurring, the amount of space developed is limited relative to the base inventory and well off its highs established in 2007. Due to financing constraints, speculative construction has not been occurring. As a result, most new projects involved either owner/user development or multi -tenant projects with significant pre -leasing. With such criteria, some new construction was feasible in select locations, especially with urban and suburban locations in Los Angeles, Orange, and San Diego counties. Local Office Market Recent 3rd quarter 2016 data for Orange County shows an improvement from year end 2015 data. The current Office Market vacancy has declined from 9.4% at the end of 2015 to 8.9% at the end of the 3rd quarter of 2016. Vacancy had been steadily decreasing from 2006 -2010 with the implosion of the sub -prime lending market and its big effect on mortgage office tenants in the county, however, has slowly recovered to slightly less than the vacancy in 2007, which was 10.6%. Orange County had a positive net absorption of 1,342,207 square feet for the end of 3rd quarter 2016. Construction has slowed considerably since 2006, however, in the last two years has increased © 2015 VALBRIDGE PROPERTY ADVISORS I Penner and Associates, Inc. Page 21 SA4-53 Sub -Market Inland Empire #zId§s. 6,189 Building NRA 73,139,149 Vacancy SF 7,045,149 Vacancy Rate 9.6% SF Net Absorption construction 531,972 51: Under 432,702 Ave. Asking Lease Rate $1.66 Los Angeles County 18,085 432,689,680 45,825,737 10.6% 3,298,216 3,595,692 $2.73 Orange County 6,066 154,039,098 13,785,777 8.9% 1,342,700 2,430,157 $2.31 San Diego County 5,335 114,141,635 12,180,936 10.7% 1,119,464 365,867 $2.54 Southern California Total: 35,675 774,009,562 78,837,599 10.2% 6,292,352 6,824,418 $2.52 Source: Costar 3rd Quarter 2016 As shown in the table above, the markets outside of Los Angeles County were significantly smaller, with inventory levels ranging from approximately 73.1 to 154.0 million square feet. Overall, vacancy rates have remained relatively stable to improving since the recession, which started in 2007. Orange County has the lowest vacancy in the region at 8.9%. This is a decrease since the end of the year, 2015, which were 10.3% and 21/2 percentage points below the 11.5% vacancy at the end of 2013. All the markets were substantially impacted by the recession as many small service type businesses and the mortgage industry were significantly hit during this period. These made up a large portion of the office tenancy in the region, which remains slow to recover. All counties had positive absorption in the third quarter, 2016. This follows a year, 2015, which experienced a positive absorption in all four quarters. Although some new construction is occurring, the amount of space developed is limited relative to the base inventory and well off its highs established in 2007. Due to financing constraints, speculative construction has not been occurring. As a result, most new projects involved either owner/user development or multi -tenant projects with significant pre -leasing. With such criteria, some new construction was feasible in select locations, especially with urban and suburban locations in Los Angeles, Orange, and San Diego counties. Local Office Market Recent 3rd quarter 2016 data for Orange County shows an improvement from year end 2015 data. The current Office Market vacancy has declined from 9.4% at the end of 2015 to 8.9% at the end of the 3rd quarter of 2016. Vacancy had been steadily decreasing from 2006 -2010 with the implosion of the sub -prime lending market and its big effect on mortgage office tenants in the county, however, has slowly recovered to slightly less than the vacancy in 2007, which was 10.6%. Orange County had a positive net absorption of 1,342,207 square feet for the end of 3rd quarter 2016. Construction has slowed considerably since 2006, however, in the last two years has increased © 2015 VALBRIDGE PROPERTY ADVISORS I Penner and Associates, Inc. Page 21 SA4-53