1956 Jerome Avenue & 1937 Walton Avenue South Bronx

Home , 161st Street (Bronx), Burnside Avenue station, Grand Concourse (Bronx), Jerome Avenue, Tremont Avenue

1956 JEROME AVENUE & 1937 WALTON AVENUE SOUTH BRONX, NY EXECUTIVE SUMMARY

INVESTMENT HIGHLIGHTS

• The subject properties are two development sites located in the Mount Hope neighborhood of the South Bronx. 1956 JEROME AVENUE 1937 WALTON AVENUE • Both sites together offers a combined approximate of 120,000 • As part of the recently rezoned Jerome • Subject is a 75’ x 100’ residential buildable square feet. Avenue corridor, property is situated in the development site located on the west side mandatory inclusionary housing zoning (C4- of Walton Avenue between East Tremont • Sellers also owns 12 East Tremont Avenue which they will retain and 4D), allowing for 74,657 buildable square feet. Avenue and East 177th Street. sits in between both properties and will allow the transfer of air TABLE OF CONTENTS rights between sites if needed through a zoning lot merger. • S u b j e c t i s a c o r n e r m i xe d - u s e d eve l o p m e n t • Sellers will need to retain 15 parking spaces site located on the southeast corner of for neighboring business operation at 10 • Multiple transportation options are available with the 4 train within Jerome Avenue and East Tremont Avenue. East Tremont Avenue. I. EXECUTIVE SUMMARY 3 1.5 blocks to Burnside Avenue station and B D trains within 3.5 blocks to Tremont Avenue – Grand Concourse station. • Existing building is collecting $11,000/ • Property is situated in R8 zoning which II. THE NEIGHBORHOOD 5 month ($132,000/annually) and has allows up to 45,150 buildable square feet partial basement under corner restaurant, of free market units. III. DUE DILIGENCE 8 allowing for maximum lot coverage. TAX MAP JEROME AVENUE

107.38’ 100.27’

22 AVENUE TREMONT EAST 100’

FOR MORE INFORMATION, PLEASE CONTACT EXCLUSIVE AGENTS 100’

MITCHEL FLAHERTY DJ JOHNSTON STREET

st 32 Director Partner, Senior Managing Director 100’ 646 933 2642 646 933 2619 [email protected] [email protected] 75’ EAST 177 EAST WILLIAM CHENG MICHAEL MURPHY Director Senior Associate 646 933 2623 646 933 2639 [email protected] [email protected]

BEN RECHLER WALTON AVENUE Associate 646 933 2657 [email protected]

2 B6 REAL ESTATE ADVISORS 1956 JEROME AVENUE & 1937 WALTON AVENUE 3 THE NEIGHBORHOOD

PROPERTY INFORMATION TRANSPORTATION

The subject property is an 9 minute train PROPERTY DETAILS 1956 JEROME AVE 1937 WALTON AVE TOTAL BURNSIDE AV ride from Manhattan and approximately 1.5 Block / 2 Minutes 1956 SHERMAN AVENUE & 25 minutes from Midtown. Block / Lot 2853 / 22 2853 / 32 -- 4 1937 WALTON AVENUE Lot Dimensions 107' x 100' 75' x 100' -- 1956 Jerome Avenue and 1937 Walton Avenue are both conveniently located Lot SF 10,369 7,500 17,869 within a block and half of the 4 at B u rn sid e Avenue station, B , D at Tremont Avenue Zoning C4-4D / J R8 -- TREMONT AV station and the Metro North’s Tremont station is within close proximity. 3.5 Blocks / 4 Minutes DEVELOPMENT 145th STREET Multiple bus options are also available SELLER OWNED SITE 2 B D SITE 3 9 Minutes with Bx1 and Bx2 running along Grand DEVELOPMENT RIGHTS 1956 JEROME AVE 1937 WALTON AVE TOTAL Concourse. The Bx40 and Bx42 are 45,000 BSF “as of Right” A C B D Seller owned, will retain full ownership located at East Burnside Avenue, 6.02 (Free Market) - R8 Zoning FAR 7.2 (MIH) 6.02 (As-of-Right) -- providing access across the Bronx. Will allow transfer of air rights from Site 1 to Seller will need to retain 15 parking st Buildable SF 74,657 45,150 119,807 Site 2 if needed via zoning lot merger. 161 STREET – YANKEE STADIUM spaces for neighboring business By car, there are many different routes operation. 8 Minutes into Manhattan including the Washington 4 B D Heights Bridge, Alexander Hamilton Bridge, Macombs Dam Bridge, 145th 125th STREET Street Bridge, Madison Avenue Bridge, TAX INFORMATION 1956 JEROME AVE 1937 WALTON AVE TOTAL Third Avenue Bridge, Willis Avenue 15 Minutes Bridge and Robert F. Kennedy Bridge. Assessment (19/20) $1,007,480 $140,760 $1,148,240 4 5 6 The property is ideally situated in close 59th STREET - LEXINGTON AVENUE proximity to the Cross Bronx Expressway Tax Rate 10.537% 10.537% 10.537% 25 Minutes (Interstate 95), accessible within 0.5 mile of the property. RE Taxes (19/20) $106,158 $14,832 $120,990 4 5 6 N R W DEVELOPMENT The three major airports, LaGuardia SITE 1 (10.2mi), John F. Kennedy (17.9mi), and Newark (23.8mi) are located in the 59th STREET - COLUMBUS GROUP Site 1 – 75,000 BSF of IH 42nd STREET – GRAND CENTRAL immediate Metropolitan area. STATION DISTANCE FROM PROPERTY 20 Minutes 7.2 (MIH) FAR – C4-4D / J 31 Minutes (19 Minutes via Metro North) 1 A C B D Partial basement under corner restaurant, allowing 4 5 6 7 S TRAIN LINE STATION WALKING DISTANCE for maximum lot coverage. METRO NORTH 4 Burnside Avenue 1.5 Blocks / 2 Minutes

B D Tremont Avenue - Grand Concourse 3.5 Blocks / 4 Minutes

Metro North Tremont Avenue - Park Avenue 8 Blocks / 14 Minutes 34th STREET – HERALD SQUARE nd 42 STREET – BRYANT PARK 27 Minutes 25 Minutes B D F M N Q R W 7 B D F M PATH

4 B6 REAL ESTATE ADVISORS 1956 JEROME AVENUE & 1937 WALTON AVENUE 5 THE NEIGHBORHOOD

SOUTH BRONX NOTABLE DEVELOPMENTS

The South Bronx has attracted significant interest from investors/developers in recent times, due to it’s proximity to Manhattan, transport infrastructure and being New York’s last remaining affordable borough.

Established developers such as Brookfield, L&M, Lightstone, Domain Companies and Heritage Equity Partners are commencing projects that will bring over 9.5m sq ft to the South Bronx. The 3 major re-zonings of the past 15 years have altered the landscape giving major developers and investors the vision for the future.

JEROME AVENUE REZONING 2 The Jerome Avenue Rezoning was implemented in March 2018 to foster a vibrant mix of residential, commercial and facility uses along the 2-mile corridor. The primary focus of the Rezoning was to assist developers hit the affordable housing threshold set by Mayor De Blasio. With almost half a million sq ft under construction the area will mature within the next few years, with plenty of opportunity still available.

Source: https://www1.nyc.gov/assets/planning/download/pdf/plans-studies/jerome-ave/landuse_map.pdf

Under Construction

1 2400 JEROME AVE 46,390 sq ft five story School Developer - New York City 4 101 LINCOLN AVENUE & 2401 3RD AVENUE 355, 399 & 475 EXTERIOR STREET 2 2165 JEROME AVE Brookfield owns over 4 acres along the Bronx’s SHRWD with plans to build 1,300 housing units 30% of which Lightstone have ground leased a few parcels of land within the SHWRD with plans to build 2,000 units, 44,478 sq ft 9 story self-storage building will be designated as ‘income targeted’. The development has broken ground with an expected completion previously a vacant lot and bus depot. Developer - Tuck it Away of 2022.

3 1331 JEROME AVE 2 221,000 sq ft 15 story mixed use affordable housing Developer - Atlantic Development Group

4 1850 JEROME AVE 151,000 sq ft 11 Story mixed use affordable housing Developer - Cityscape Engineering PLLC

Recent Trades

1 1331 JEROME AVE 3 $11.1m / $80BSF May 2018 | Atlantic Development Group 1 3 2 1665 JEROME AVE $3m / $150 BSF September 2019 | Paul Patel plans to build 13 story new hotel with 71 beds.

3 1299 JEROME AVE $5.4m / $75 BSF February 2019 | Owner Occupier AFH Holdings LLC BRONX POINT LA CENTRAL An L&M Partners development with plans to build Significant affordable housing development located by ‘The Hub’ and developed by Hudson Companies & Over 1 ,000 units as well as its own Hip Hop museum, public space for performance and an expected completion partners this scheme will provide 1,000 units and complete in 2020. date of 2022.

6 B6 REAL ESTATE ADVISORS 1956 JEROME AVENUE & 1937 WALTON AVENUE 7 NewNew construction construction under under NewNew MIH MIH construction construction BasicBasic Quality Quality MandatoryMandatory R8A R8AR8A regulations regulations underunder R8A R8A regulations regulations HousingHousing envelope envelope InclusionaryInclusionary R8A DUE DILIGENCE HousingHousing envelope envelope R8A R8A contextual districts are high are density high density ZONING INFORMATION contextual districts ZONING INFORMATION districtsdistricts designed designed to produce to produce Quality Quality HousingHousing buildings, buildings, which, which, with heights with heights of of COMMERCIAL DISTRICTS C4 (1956 JEROME AVENUE) roughly 12 to 14 stories, are higher than an New construction under New MIH construction Basic Quality Mandatory RESIDENTIAL DISTRICTS R8A (1956 JEROME AVENUE) C4 districts are mapped in regional commercial centers, such as Flushing in Queens and roughly 12 to 14 stories, are higher than an R8A contextual districts are high density districts designed to produce Quality Housing R8AR7A District, and with higher FAR than R8A regulations under R8A regulations Housing envelope Inclusionary the Hub in the Bronx, that are located outside of the central business districts. In these R7A District, and with higher FAR than buildings, which, with heights of roughly 12 to 14 stories, are higher than an R7A District, an R7X District allows. Contextual bulk Housing envelope areas, specialty and department stores, theaters and other commercial and office uses an R7X District allows. Contextual bulk and with higher FAR than an R7X District allows. Contextual bulk regulations ensure that serve a larger region and generate more traffic than neighborhood shopping areas. Use regulations ensure that buildings will either buildings will either preserve or establish a scale compatible with older, higher density regulationsR8A contextual ensure districts that buildings are high willdensity either Groups 5, 6, 8, 9, 10 and 12, which include most retail establishments, are permitted in C4 districtspreserve designed or establishto produce a scale Quality compatible buildings. These districts are often, but not exclusively, mapped along wide streets. R8A districts. Uses that would interrupt the desired continuous retail frontage, such as home preserve or establish a scale compatible Districts were created in 1984, and can be found in Mott Haven and the Lower Concourse, Housingwith buildings, older, higher which, density with heightsbuildings. of ese maintenance and repair service stores listed in Use Group 7, are not allowed. with older,districts higher are densityoen, but buildings. not exclusively, ese The Bronx; in DUMBO, along 4th Avenue in Park Slope and along Atlantic Avenue in East roughly 12 to 14 stories, are higher than an New York, Brooklyn; and in Harlem and the Lower East Side of Manhattan. districtsmapped are oen, along but wide not streetsexclusively,. R8A Districts C4 districts with an A, D or X suffix are contextual districts in which the commercial and mappedR7A District, along and wide with streets higher. R8A FAR Districts than residential bulk and density regulations can differ from corresponding non-contextual an R7Xwere District created allows. in 1984, Contextual and can bulkbe found in districts. Some districts have the same commercial and residential floor area ratios were createdMott Haven in 1984, and and the canLower be foundConcourse, in e regulations ensure that buildings will either (FAR) as shown in the table, but may differ in parking requirements. Floor area may be Mott Haven and the Lower Concourse, e preserveBronx; or establish in DUMBO, a scale along compatible 4th Avenue in increased with a public plaza or Inclusionary Housing Program bonus. Bronx;Park in DUMBO, Slope and along along 4th Atlantic Avenue Avenue in in with older, higher density buildings. ese Park SlopeEast andNew along York, AtlanticBrooklyn; Avenue and in inHarlem C4-1 districts are mapped in outlying areas, such as the Staten Island Mall, that require large Eastdistricts New are York, oen, Brooklyn; but not andexclusively, in Harlem amounts of parking. C4-2 through C4-5 districts are mapped in more densely built areas, and the Lower East Side of Manhattan. andmapped the Lower along wideEast Sidestreets of. Manhattan.R8A Districts such as Steinway Street in Astoria (C4-2A), Fordham Road (C4-4), and parts of Jamaica were created in 1984, and can be found in (C4-5X). C4-6 and C4-7 districts are mapped in densely built areas in Manhattan, including most of Broadway on the Upper West Side (C4-6A) and portions of central Harlem (C4-7). Mott Haven and the Lower Concourse, e Bronx; in DUMBO, along 4th Avenue in Park Slope and along Atlantic Avenue in East New York, Brooklyn; and in Harlem and the Lower East Side of Manhattan.

Harlem, Manhattan Harlem, Manhattan

Medium Density Contextual Residence District Lot Lot Rear MediumLot Coverage DensityFAR ContextualBase ResidenceBuilding District# of DU Required Parking R8A Area Width Yard Corner Other Lot Height Height Stories Factor Basic IRHU Lot Lot Rear Lot Coverage FAR Base Building # of DU Required Parking min. min. min. max. max. min.–max. (w/QGF) max. (w/QGF) max. (w/QGF) min. Harlem, Manhattan R8A Area Width Yard Corner Other Lot Height Height Stories Factor Basic IRHU Basic 6.02 60–85 (95) ft 120 (125) ft n/a (12) min. min. min. max. max. min.–max. (w/QGF) max. (w/QGF) max. (w/QGF) 40% ofmin. 12% of Mandatory Inclusionary 1,700 sf 18 ft 30 ft 100% 70% 680 Basic 6.027.20 60–85 60–105 (95) ft ft 120 140 (125) (145) ft ft n/a (12)14 DU IRHU Housing 40% of 12% of Mandatory Inclusionary 1,700 sf 18 ft 30 ft 100% 70% 680 Medium Density7.20 Contextual 60–105 ft Residence 140 (145) ft District14 DU IRHU Housing Lot Lot Rear Lot Coverage FAR Base Building # of DU Required Parking Lower East Side, Manhattan R8A Area Width Yard Corner Other Lot Height Height Stories Factor Basic IRHU min. min. min. max. max. min.–max. (w/QGF) max. (w/QGF) max. (w/QGF) min. Lower East102 Side, Manhattan 8 B6 REAL ESTATE ADVISORS Basic 6.02 60–85 (95) ft 120 (125) ft n/a (12) 1956 JEROME AVENUE & 1937 WALTON AVENUE 9 40% of 12% of Mandatory Inclusionary 1,700 sf 18 ft 30 ft 100% 70% 680 102 7.20 60–105 ft 140 (145) ft 14 DU IRHU Housing

Lower East Side, Manhattan

102 Special Area Rules Special Area Rules DUE DILIGENCE

INCLUSIONARY HOUSING ZONING INFORMATION

MANDATORY INCLUSIONARY HOUSING (1956 JEROME AVENUE) RESIDENTIAL DISTRICTS R8 (1937 WALTON AVENUE) make units aordable to people with a range of incomes Designated Areas DesignatedDesignated Areas Areas Building Building EnvelopeEnvelope In 2016, the City adoptedmake Mandatory units aordable Inclusionary to Housing people (MIH),with awhich range has of since incomes been Designated Areas Apartment buildings in R8 districts can range from mid-rise, eight- to ten-story buildings applied in areas wherethat zoning are sometimes changes significantly di cult to increasemeetthat arewith permittedsometimes other aordable di cult residential to meet with other aordable District Base FAR Max FAR to much taller buildings set back from the street on large zoning lots. This high density density. „e CPC and the City Council can apply one or morehousing of the programs. following options District Base FAR Max FAR residential district is mapped along the Grand Concourse in the Bronx and on the edge 1 within areas where MIHhousing applies: programs. R6 2.20 2.42 of Brooklyn Heights. R8 districts are also widely mapped in Manhattan neighborhoods, R61 2.20 2.42 MIH projects that include the aordable units on site R62 2.70 3.60 such as Washington Heights. New buildings in R8 districts may be developed under • Option 1 — 25 percent of the residential floor area at an average of 60 percent AMI, either height factor regulations or the optional Quality Housing regulations that often 2 with a minimum of 10MIH percent projects at 40 thatpercent include AMI the aordablecan generally units use theon samesite higher FAR and heights forR6 R6A2.70 2.70 3.60 3.60 reflect the older, pre-1961 neighborhood streetscape. the relevant zoning district available under the IHDA • Option 2 — 30 percentcan of generally the residential use the floor same area higherat an average FAR andof 80 heights percent forAMI R6B 2.00 2.20 program. Projects that do not exceed 25 units or 25,000R6A 2.70 3.60 • Deep Affordability theOption relevant — 20 percentzoning ofdistrict the residential available floor under area the at IHDAan average R7A 3.45 4.60 of 40 percent AMI (public funding allowed only where necessarysquare feet are to supporteligible to more pay into an Aordable HousingR6B 2.00 2.20 1 affordable housing)program. Projects that do not exceedFund, as 25 an units alternative or 25,000 to building the aordable units. e R7-2 2.70 3.60

R7A 3.452 4.60 • Workforce Option square — 30 percent feet are of eligible the residential to pay floorintoDepartment an area Aordable at an of Housing average Housing Preservation of 115 and Development R7-2 3.45 4.60 percent AMI, with a minimum of five percent at 70 percentadministers AMI and fivethe fund, percent which at must90 be used for aordable R7-21 R7-32.70 3.75 3.60 5.00 percent AMI (no publicFund, funding as an permitted) alternative to buildinghousing the aordable purposes within units. the esame Community District as Department of Housing Preservationthe site. and Development R7-22 R7D3.45 4.20 4.60 5.60 Within an MIH area, alsoadministers mapped in theAppendix fund, F which of the mustResolution, be used new for developments, aordable R7X 3.75 5.00 enlargements and conversions that create more than 10 units or 12,500 square feet e program requires that an additional ve percentR7-3 of the 3.75 5.00 of residential floor areahousing on a zoning purposes lot must within comply the samewith one Community of the options District that are as R8 5.40 7.20 total oor area also be reserved when the aordable units available there. R7D R94.20 6.00 5.60 8.00 the site. are located on a separate zoning lot. The program options available in each MIH area are determined through the public R7X R9A3.75 6.50 5.00 8.50 review process for the proposal. Option 1 and Option 2 are basic options, and at least R9D 7.50 10.00 one must be availablee in each program MIH area. requires „e Deep that Affordability an additional or Workforce ve percent Options of the R8 5.40 7.20 may also be available, totalalthough oor the area Workforce also be Option reserved cannot when be appliedthe aordable in Manhattan units R9X 7.30 9.70 Community Districts 1 through 8, where market rents are generally strong enough to help R9 6.00 8.00 cross-subsidize lower-incomeare located housing. on a separate zoning lot. R9A 1 for zoning 6.50lots, or portions thereof, beyond8.50 100 ft of a wide street MIH allows “income averaging,” which means that the affordable units can target multiple 2 for zoning lots, or portions thereof, within 100 ft of a wide street income bands, so long as the weighted average is at or below the AMI threshold specified R9D 7.50 10.00 in the chosen option. „is makes it possible to make units affordable to people with a R9X 7.30 9.70 range of incomes that are sometimes difficult to meet with other affordable housing programs. MIH projects that include the affordable units on site can generally use the same higher FAR and heights for the relevant zoning district available under the IHDA

program. Projects that do not exceed 25 units or 25,000 square feet are eligible to pay 1 into an Affordable Housing Fund, as an alternative to building the affordable units. The for zoning lots, or portions thereof, beyond 100 ft of a wide street Department of Housing Preservation and Development administers the fund, which must 2 for zoning lots, or portions thereof, within 100 ft of a wide street be used for affordable housing purposes within the same Community District as the site. „e program requires that an additional five percent of the total floor area also be reserved when the affordable units are located on a separate zoning lot.

An R8A building in an IHDA, not participating in the Inclusionary Housing program, has a maximum residential FAR of 5.4 and a maximum height of 125 feet (top). A building participating in the program would be allowed a maximum residential FAR of 7.2 and a maximum height of 145 feet (bottom).

163

10 B6 REAL ESTATE ADVISORS 1956 JEROME AVENUE & 1937 WALTON AVENUE 11 An R8A building in an IHDA, not participating in the Inclusionary Housing program, has a maximum residential FAR of 5.4 and a maximum height of 125 feet (top). A building participating in the program would be allowed a maximum residential FAR of 7.2 and a maximum height of 145 feet (bottom).

163 DUE DILIGENCE

AFFORDABLE NEW YORK PROGRAM TAX BILL - 1956 JEROME AVENUE TAX BILL - 1937 WALTON AVENUE

Formerly known as the 421 -A program, the new Af fordable New York Program restored tax exemption benefits for new residential construction. Below is a general outline of the program. This information is subject to change and should only be used for general reference.

The new program is available to rental projects that commenced on or after January 1, 2015 and before June 15, 2022. The project must also be completed on or before June 15, 2026.

Projects that commenced prior to January 2016 and have not received benefits but comply with the provisions of the Affordable Housing New York Program, may receive benefits pursuant to this program. Below is an outline of three of the seven affordability options that developers may choose from:

OPTION A • 10% of the rental units are offered at no more than 40% AMI • 10% of the rental units are offered at no more than 60% AMI • 5% of the rental units are offered at no more than 130% AMI • Years 1 through 25 receive a 100% exemption; only the “mini tax” (calculated on assessed value prior to construction) must be paid • Years 26 through 35 receive 25% exemption, requiring that 75% of the taxes including the “mini tax” be paid • These projects are also eligible to receive tax exempt bonds and tax credits

OPTION B • 10% of the rental units are offered at no more than 70% AMI • 20% of the rental units are offered at no more than 130% AMI • Years 1 through 25 receive a 100% exemption; only the “mini tax” must be paid • Years 26 through 35 receive a 30% exemption, requiring that 70% of the taxes including the “mini tax” be paid • These projects are eligible for substantial government assistance OPTION C • 30% of the rental units are offered at no more than 130% AMI • Years 1 through 25 receive a 100% exemption; only the “mini tax” must be paid • Years 26 through 35 receive 30% exemption, requiring that 70% of the taxes including the “mini tax” be paid • This option is not available in Manhattan south of 96th Street

Furthermore, the program established three “enhanced affordability areas”. Among them are Brooklyn’s Community Boards 1 and 2 within one mile of the bulkhead along the East River. In these areas, new residential buildings with 300 or more rental units may qualify for an “enhanced 35-year benefit” as long as they meet additional criteria, not outlined in the general overview.

Source: “Statement and Summary: Affordable New York Housing Program.” REBNY. www.rebny.com. April 12, 2017.

12 B6 REAL ESTATE ADVISORS 1956 JEROME AVENUE & 1937 WALTON AVENUE 13 CONFIDENTIALITY & CONDITIONS

The information contained in this offering memorandum (“Offering Memorandum”) is proprietary and strictly confidential. This Offering Memorandum was prepared by and is the property of B6 Real Estate Advisors LLC (“B6”) and has been reviewed by the owner (the “Owner”) of the Property. It is furnished solely for the purpose of review by a prospective purchaser of the Property and is not to be used for any other purposes or made available to any person without the express written consent of the Owner or B6. By accepting this Offering Memorandum, the party in possession hereof agrees to return it to B6 immediately upon request of B6 or Owner. No portion of this Offering Memorandum may be copied or otherwise reproduced or disclosed to anyone without the prior written authorization of B6 and Owner. Each prospective purchaser and/or broker proceeds at his, her or its own risk.

You have the obligation to keep this Offering Memorandum, and any various papers, documents, legal instruments, studies, leases, brochures, computer output, and other materials concerning the Property (all of the aforementioned information is collectively referred to as “Evaluation Material”) confidential. Certain Evaluation Materials, including any leases, are described in summary form. The summaries do not purport to be complete nor accurate descriptions of the full agreements involved, nor do they constitute a legal analysis of such documents.

The information in this Offering Memorandum has been compiled from sources deemed to be reliable and does not purport to be all-inclusive or to contain all of the information which a prospective purchaser may desire. Neither B6 nor the Owner makes any representation or warranty whatsoever regarding the accuracy, veracity, or completeness of the information provided herein and each of Owner and B6 (and their agents, advisors and representatives) expressly disclaim any and all liability for representations or warranties, express or implied, contained in this Offering Memorandum or the Evaluation Material or for omissions therefrom. Financial projections and information contained herein and in any Evaluation Material, shall not be relied upon, are provided for general reference purposes only, and are based on assumptions relating to (and subject to) the general economy, market conditions, competition, and other factors beyond control and, therefore, are subject to material change, volatility or variation. A prospective purchaser must make its own independent investigations, projections, and conclusions regarding the acquisition of the Property. This includes legal, tax, environmental, engineering and other as deemed necessary relative to a purchase of the Property. This Offering Memorandum does not constitute an offer to accept any investment proposal but is merely a solicitation of interest with respect to the investment described herein. This Offering Memorandum does not constitute an offer of securities.

The Owner expressly reserves the right, at its sole discretion, to reject any offer to purchase the Property or to terminate any negotiations with any party, at any time, with or without written notice. The Owner and B6 reserve the right to negotiate with one or more prospective purchasers at any time. This Offering Memorandum is subject to errors, omissions, changes or withdrawal without notice and does not constitute a recommendation, endorsement or advice as to the value of the Property by B6. Only a fully-executed real estate purchase agreement, approved by the Owner, and executed and delivered to Owner and a prospective purchaser shall bind the property. In no event shall a prospective purchaser have any claims against the Owner or B6 or any of their affiliates, officers, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

The terms and conditions set forth above apply to this Offering Memorandum in its entirety.

14 B6 REAL ESTATE ADVISORS 1956 JEROME AVENUE & 1937 WALTON AVENUE 15 B6 REAL ESTATE ADVISORS 1040 Avenue of the Americas, 8th Floor New York, NY 10018 B6REALESTATEADVISORS.COM

FOR MORE INFORMATION, PLEASE CONTACT ONE THE FOLLOWING INDIVIDUALS

MITCHEL FLAHERTY DJ JOHNSTON WILLIAM CHENG MICHAEL MURPHY BEN RECHLER Director Partner, Senior Managing Director Director Senior Associate Associate 646 933 2642 646 933 2619 646 933 2623 646 933 2639 646 933 2657 [email protected] [email protected] [email protected] [email protected] [email protected]