2020 Comprehensive Annual Financial Report

On July 19, 2020, online retailer Amazon Inc. marked its first day of operations at its 1 million-square-foot fulfillment center at Triad Business Park in Kernersville. When fully staffed, the facility will employ more than 1,000 full-time employees. The new facility is within a couple miles of the FedEx Ground operation and within 10 miles of the Federal Express air and sorting hub at PTIA in Greensboro. Additionally, Amazon signed a second lease in April 2019 for 38 acres in the Piedmont Corporate Park. The ten-year lease begins in August 2019 and includes five additional options to extend the lease by five years. Since fall 2019, Amazon has opened last-mile delivery facilities in Kernersville and High Point, employing between 100 to 200 at each location and is planning to open a third last-mile center in Whitsett, 14 miles east of Greensboro. In the City’s downtown area, a Business Improvement District (BID) was established in FY 2005 with an additional separate tax rate assessed for properties within the district boundaries. Currently the district tax is $.08 per $100 valuation. The BID contributed approximately $994,000 in the fiscal year ended June 30, 2020 for downtown improvement projects. A variety of activities have been completed, including new housing developments, business location loans, business facade improvements, landscaping and public safety programs. In FY 2013, City Council adopted aspects of a “Good Repair” Ordinance to further enhance the attractiveness of downtown sites.

In 2005, a $20 million minor league baseball stadium with a 7,499- seat capacity, opened with annual attendance averaging 335,000 for the past five years (2015 through 2019). The Greensboro “Grasshoppers” , a South Atlantic League member, are a Class A affiliate team with the Pittsburgh Pirates. The owners of the “Grasshoppers”, Greensboro Baseball LLC, purchased the First National Bank Field for $12.8 million, becoming one of just a handful of groups that own the park where their team plays. Just south of First National Bank Field is the planned $140 million Carroll South of Ballpark mixed-use impact project that includes a proposed 20-story office tower, hotel, 280 apartment units, restaurants, conference center and street level retail shops. Phase 1 is anticipated to start by the end of 2020. An adjacent downtown development project includes a $24 million, nine-story office building, named “Project Slugger” , opening by the end of 2020. The building will be integrated into the ballpark’s entrance and overlook the stadium, maintaining many of the thematic elements of the ballpark. First National Bank will have its new market headquarters in the tower, along with retail space and a restaurant on the first floor and

approximately 110,000 square feet of office space. Carroll at Bellemeade , a luxury mid-rise hotel and apartment project also located next to the First National Bank Field, opened in March 2019 with a 110-room Hyatt Hotel and 289 apartment units. Both projects include upscale apartments and amenities with millennials in mind and are within walking distance of the baseball stadium and the Steven Tanger Center for the Performing Arts. In addition to the Hyatt Place Hotel that is part of the Carroll at Bellemeade mixed-use project, CN Hotels is well under construction of its 120-room Hampton Inn & Suites near the governmental plaza at the intersection of South Greene and West McGee Streets. To accommodate increasing demand for additional downtown parking, two new City owned and operated parking decks are under construction. The City purchased property from Guilford County to construct the Eugene Street parking deck adjacent to First National Bank baseball park. This deck will support existing and projected parking demand for the nearby hotels, retail and the office complex known as “Project Slugger.” The deck is scheduled for completion in January 2021. The second parking deck, February One, will connect to proposed hotel and or office, residential and retail space. The two parking decks will provide approximately 1,570 additional parking spaces and cost an estimated $61 million. The debt on these projects will be paid with VIII