Primed to Capitalize on Over $13B of Local Development 7

from Maison Kesh 1634 N Capitol St (Washington, DC)

DISCLAIMER & CONFIDENTIALITY AGREEMENT

1. Union Station Renovation & Expansion

Cost: $10 Billion

Description: The $10 billion plans to modernize the nation’s second-busiest rail hub include a major reconfiguration of the bus terminal to align with a new train hall, adding wider rail platforms, a new bus terminal and updated concourses lined with shops and restaurants, and improved accessibility to Metrorail, buses, taxis, ride-hailing services, streetcars and parking.

2. Burnham Place

Cost: $3 Billion

Description: Burnham Place, a proposed 3 million SF development, will be built above Union Station’s rail yard, providing direct access to a newly expanded and improved station facility. The development will feature a mix of 1.5 million SF of first-class office space, over 1,300 residential units, 100,000 SF of retail space, and hotel space, as well as parks and plazas.

McMillan Sand Filtration Site

Cost: $720 Million

Description: The $720 million, 25-acre redevelopment of the former McMillan Reservoir Sand Filtration Site includes 860,000 SF of medical office, 467 apartments, a 52,000 SF supermarket, 146 townhomes and a central park and community center.

4. 7 New York Avenue

Cost: Not Disclosed

Description: A redevelopment of the former Covenant House location, this new project will deliver 116 residential units primarily consisting of micro units.

5. 1 Florida Ave

Cost: Not Disclosed

Description: Aria Development is replacing a former Exxon Mobile gas station at the corner of North Capitol Street and Florida Avenue, bringing a new 13-story-pluspenthouse building with 388 units and a swimming pool to the site.

6. The 202

Cost: Not Disclosed (developer received a $69.4M loan)

Description: Located in the NoMa neighborhood and adjacent to the Union Market district, the 202 will deliver a 16-story high-rise apartment building with 254 units and 3,800 square feet of retail. The building will include a mix of studio, one-bedroom, and two-bedroom units. Residents will enjoy a rooftop club room, pet facilities, fitness center, and shared workspaces.

7. Capitol Point North

Cost: Not Disclosed

Description: JBG Smith has submitted plans for a +700,000 square foot mixed-use development on the 1.5-acre site at 55 and 75 New York Avenue. The property is currently home to a McDonald’s and a three-story office building. The development would include 805 residential units along with over 30,000 square feet of retail and restaurant space as well as a penthouse-level restaurant/bar.

8. Financial Plaza (New SEC Headquarters)

Cost: Not Disclosed

Description: The General Services Administration signed a 1.23 million SF lease with Douglas Development Corporation for a new Securities and Exchange Commission headquarters to be constructed which will house approximately 4,500 SEC employees. The triangular site, bounded by New York Avenue, North Capitol Street and First Street NE, can also accommodate another 600,000 square feet of office or 600 residential units.

9. District of Columbia Housing Authority Development

Cost: Not Disclosed

Description: The multi-phased development will include an estimated 1,200 apartments and is slated to include a minimum of 244 affordable units, at least half of which would be deeply affordable for residents making 30 percent of the median family income and below.

10. Lacebark Alley

Cost: Not Disclosed

Description: Lacebark Alley will consist of a new three-building complex comprising of mixed-use space including 220 residential apartments, 366,000 SF of class A office space, 53,000 SF of on-site retail, and a 9,000 SF art centric plaza.

Investment Highlights

Impressive Top-Line Trajectory (+107% Y-o-Y RevPAR Growth) with Further Recovery Upside

As displayed in the chart below, year end 2022 RevPAR ($128.38) for the proposed competitive set is approximately 85% recovered when compared to year end 2019 benchmarks ($150.80), representing an impressive 107.1% growth rate when compared to the year end 2021 period. A new owner will be able to leverage these tailwinds in conjunction with a brandnew, luxury/boutique product offering, prime location within one of nation’s capital’s fastest-growing neighborhoods, and multifaceted growth via a returning office/government workforce, expanding convention calendar, anticipated ‘revenge’ travel from China, and multi-billion-dollar construction pipeline to achieve outsized gains in top-line performance as the Hotel stabilizes in the submarket.

• A complete return of Chinese travelers to the United States to 2019 levels (2.83M visitors | $33.5B in visitor spending) is anticipated by the second quarter of 2023 – hotel AVE

• On February 1, 2023, the House of Representatives passed the ‘SHOW UP Act of 2023’ – a bill aimed at rolling back pandemic-era telework policies – which would “require federal agencies to reinstate their pre-pandemic telework policies and require any expansion of telework to be certified by the Office of Personnel Management (OPM).”