Newgen Set to Break Ground on New Corporate Headquarters and Customer Service Center in Sorrento Mesa; Newgen Addresses Rapid Growth Rate by Building New Headquarters
19 April 2000
Newgen Set to Break Ground on New Corporate Headquarters and Customer Service Center in Sorrento Mesa; Newgen Addresses Rapid Growth Rate by Building New Headquarters
SAN DIEGO--April 19, 2000--Newgen Results Corporation, a leading provider of Customer Relationship Management (e-CRM) services to automotive dealerships, has signed a $52-million, 15-year lease with Kilroy Realty (NYSE:KRC) to build a 103,000-square foot corporate headquarters in the Sorrento Rim Business Park of Sorrento Mesa. Designed to address Newgen's growing workforce resulting from a 60% annual revenue growth rate in 1999, the three-story office building will bring Newgen's three operations (Newgen Results Corporation, Newgen Management Service, Inc., and Carabunga.com, Inc.) and over 600 employees together, including 500 teleservice representatives, housed in a state of the art teleservice facility. Teleservice is an innovation that continues to play an integral role in Newgen's unparalleled success as a provider of CRM products.Grading at the site will begin in May 2000, with a projected building completion and occupancy date of April 2001. A three-level parking structure with over 900 spaces will also be built on the site, which is located at the corner of Mira Mesa Blvd. and Genetic Center Drive, 1.5 miles east of the 805 freeway.
The following parties are involved in the project: Kilroy Realty (builder/developer), Reno Construction (building contractor), TFW Construction/TI Division (tenant improvement contractor), Pacific Cornerstone Associates (architect for building and tenant improvements), and The Irving Hughes Group (leasing agent).
"The new building will enable us to continue to grow, while at the same time allow our employees to work in a more pleasing and productive environment. With ample parking and on-site dining facilities, we believe that the new facility will help us to attract more talent, and shows our continued commitment to the San Diego area," said Gerald L. Benowitz, chairman, president and CEO of Newgen Results Corporation.
About Newgen Results Corporation
Newgen Results Corporation is a leading business to business application service provider specializing in customer-relationship management (e-CRM) for the automotive industry. The company combines marketing and customer retention with an in-depth knowledge of service department operations to deliver highly targeted and customized solutions to the automotive community. Newgen currently supports 5,500 auto dealerships nationwide and maintains relationships with leading automotive companies and dealers groups including Ford, Mitsubishi, Volvo, Audi, BMW, Volkswagen, Jaguar, Kia, Nissan, Infiniti plus AutoNation and CarMax Auto Superstores. For more information, call 800-7NEWGEN or visit www.ngresults.com.
About Kilroy Realty Corporation
Kilroy Realty Corporation is a real estate investment trust that focuses on the commercial office and industrial property sectors in the coastal corridor of Southern California. The company is one of the most active developers in the San Diego area, with more than 900,000 square feet of build-to-suits and corporate campus properties currently under construction or committed. Kilroy has a current development pipeline of more than $500 million, including 1.3 million square feet in North San Diego submarkets. At the end of the fourth quarter of 1999, Kilroy owned 6.1 million square feet of commercial office space and 6.5 million square feet of industrial space.
This news release contains certain forward-looking statements that involve risks and uncertainties, including statements about the expected future growth of the Company, the expected completion date of the construction project and benefits of a new headquarters facility. Such statements are only predictions and the company's actual results may differ materially from those anticipated in these forward-looking statements. Factors that may cause such differences include but are not limited to delays in construction of the Company's new headquarters facility, the Company's ability to satisfy its automobile manufacturer and dealership customers, rapidly changing product requirements, the ability of the Company to successfully develop and market new products and the introduction of new products by competitors of the Company. These factors and others are more fully discussed under the heading "Risk Factors" and elsewhere in Annual Report on Form 10-K for the year ended Dec. 31, 1999 as filed with the Securities and Exchange Commission.