. TownePlace Suites Austin North/Lakeline, TX

TOWNEPLACE SUITES BY MARRIOTT® FRANCHISE PERFORMANCE*

TownePlace Suites by Marriott is designed to appeal to extended-stay travelers Average Occupancy: 75.4% who want to feel at home and stay productive. Featuring compelling economics and strong performance in Average Daily Rate (ADR), Occupancy, and Extended Average Extended Stay Occupancy: 38.7% Stay Occupancy, the brand also appeals to owners, franchisees and investors Average Daily Room Rate: $109.40 looking for an excellent growth opportunity. Backed by Marriott’s robust demand generation engines and featuring the best Extended Stay sales tools in the industry, Average RevPAR: $82.45 TownePlace Suites® is primed to perform. Average Extended Stay RevPAR: $41.48 The current prototype design offers guests extraordinary value and features modern spacious suites with full kitchens, larger public spaces and a complimentary hot Average RevPAR Index: 110.2 breakfast. The décor expresses today’s design trends with an emphasis on comfort and creating a sense of well-being. TownePlace Suites also features innovative partnerships with powerful brands like elfa® closets from The Container Store® and Loyal Customer Base: Weber® grills, creating unique opportunities to spark interest and drive demand. Marriott Rewards® Member Paid Nights represent 55.9% of total TownePlace Suites Nights With many superior development opportunities available in the U.S. and Canada, and the newly designed, flexible prototype that easily adapts to markets ranging Lower Cost Bookings: from cities to airports to suburbs, TownePlace Suites is ready to grow with you. Marriott’s channels generate 65.9% of TownePlace Suites’ reservations

KEY COMPETITORS: , , $ COMPETITIVE FEE STRUCTURE*

DISTRIBUTION (Q3 2018) Application Fee: The greater of $50,000 or $400 With the brand nearing 400 properties and over 200 projects in the pipeline, per suite TownePlace Suites continues to identify secondary and tertiary markets throughout Royalty Fee: 5.5% of Gross Room Sales the U.S. and Canada. Marketing Fund Fee: 2% of Gross Room Sales U.S. AND CANADA (Units / Rooms) Open: 366 / 36,958 OPTIMIZED COST PLAN* Pipeline: 214 / 22,175 80 – 110 keys Average Cost Per Key: $92,000– $150,000

120 – 150 keys Average Cost Per Key: $89,000 – $143,000 RECENT OPENINGS

TownePlace Suites Clovis, NM TownePlace Suites Milwaukee Grafton, WI Opened September 2018 Opened July 2018 *2018 TownePlace Suites Franchise Disclosure Document. For all other costs and fees, refer to the FDD. TOWNEPLACE SUITES PROTO MODEL ATTRIBUTES

PUBLIC SPACE • The lobby offers expansive public space with soft seating and areas to collaborate and enjoy meals.

• The lobby décor package, TurningPointS 2.0, provides warm colors and upgraded wood features.

• New decor package for public space to be launched in mid-2019.

• The Welcome Desk offers a quick check-in process and features the TowneMap® which provides a snapshot of the neighborhood and local recommendations.

• In A Pinch®, the 24/7 convenience market provides “grab and go” food offerings.

• On Us, a designated space in the lobby offers complimentary coffee and tea.

• Morning Break, offers complimentary hot breakfast daily.

GUEST SUITE • Flexible plans are available for studio and one bedroom suites which all have fully equipped kitchens and living areas.

• New guest suite decor package availabe in mid-2019.

• The HomeOffice features intuitive workspace with storage options and a pull-out table to work where you choose.

• The elfa® closet system, designed in partnership with The Container Store® offers guests a custom closet loaded with storage options and flexibility.

• A residential glass enclosed walk-in shower is available.

OTHER AMENITIES • Fitness center and pool allows guests to stay in shape.

• An exclusive partnership with Weber® features grills in the front BBQ patio along with Weber® tools and spices.

• On site guest laundry offers an added convenience for extended stay guests.

• Scalable meeting space options to meet the demands of your market.

BRANDS. LOYALTY. PARTNERSHIPS. RESULTS. MADE HERE. VISIT MARRIOTTDEVELOPMENT.COM OR CALL: 301.380.3200

TOWNEPLACE SUITES FRANCHISE DISCLOSURE: The data above reflects the performance of all 253 franchised TownePlace Suites by Marriott open and operating in North America for 24 months as of December 31, 2017, for which Smith Travel Research, Inc. has data and which did not undergo material renovations or expansions during the 24 months preceding December 31, 2017. Of the 253 TownePlace Suites hotels, 144 (56.9%) achieved an average occupancy rate equal to or greater than 75.4%; 94 (37.2%) achieved an average daily room rate equal to or greater than $109.40; 105 (41.5%) achieved or exceeded the average RevPAR of $82.45; and 118 (46.6%) achieved an average RevPAR Index equal to or greater than 110.2. For the 254 N.A. Included Franchised Hotels that represent the one-year period ended December 31, 2017; 123 (48.4%) achieved or exceeded the average ESOcc of 38.7%; and 106 (41.7%) achieved or exceeded the average ESRevPAR of $41.48. There were 254 franchised TownePlace Suites by Marriott hotels open and operating in North America for at least two years as of December 31, 2017, and did not undergo any material renovations during that time. Of the 254 TownePlace Suites hotels, 140 (55.1%) had at least 65.9% of their gross room nights booked through the Marriott Channels; and 129 (50.8%) achieved or exceeded the average percentage of Marriott Rewards contribution to Occupancy of 55.9%. There is no assurance that you will do as well. OFFER AND SALE BY PROSPECTUS ONLY. See Item 19 of our Franchise Disclosure Document dated March 31, 2018, for additional details.

FRONT ELEVATION

SITE PLAN

Area Summary

Building Length 301 feet Building Depth 81 feet Land 2.19 acres Parking 126 spaces GROUND FLOOR Typical Unit Mix Studio King 60-65% Studio Queen/Queen 20-25% One Bedroom Queen 10-15%

Optional Two Bedroom (also available)

STUDIO

ONE BEDROOM QUEEN QUEEN TownePlace Suites by Marriott - Criteria Facilities Program

GUEST SPACES QUANTITY PERCENTAGE UNIT AREA TOTAL (SF) BACK-OF-HOUSE TOTAL NET (SF) Lobby Areas Administration Vestibule General Manager Office Sales Office Welcome Deck Work Room Breakfast Room Closet Communal Table Lending Connection Center Employee Areas Hub Break Room Launching Pad Engineering & Maintenance Public Restrooms Engineer Maintenance Office Total Lobby Areas 1,637 Food & Beverage Back-of-House Food & Beverage Front-of-House Food Preparation Buffet 171 Laundry Recreation Facilities Laundry Room Fitness Center 603 Housekeeping Swimming Pool (Outdoor - Not Included) Linen and Linen Chute Rooms Pool Equipment/Storage 61 Storage Recreation Facilities Total 664 Elevators Retail Elevators In A Pinch 66 Elevator Equipment Room In A Pinch Storage 60 Property Technology Retail Total 126 Server Closet Meeting Spaces Mechanical, Plumbing & Electrical Meeting Room 275 Mechanical Guestrooms Electrical Studio King 59 305 17,995 Studio King X 6 60-65% 320 1,920 TOTAL BACK-OF-HOUSE SPACES 2,722

Accessible Studio* 6 423 2,538 SUMMARY QUANTITY TOTAL (SF) Studio Queen/Queen 22 393 8,646 20-25% Total Number of Guestroom Room Floors 4 Accessible Queen/Queen* 3 422 1,266 One Bedroom Queen 14 449 6,286 Total Number of Floors 4 10-15% Accessible One Bedroom* 2 453 906 Guest Spaces 50,814 Guestrooms Total 112 39,557 Back-of-House 2,722 Guestroom Corridors & Support Total Net Building Area 53,536 Guestroom Vestibule Walls and Shafts (Estimated) 5,661 Corridors/Elevator Lobby Total Gross Building Area 59,197 Stairs Total Square Feet per Room 529 Guest Laundry ® Ice Machine The information released by in this communication with respect to the TownePlace Suites by Marriott project is provided to the owner Guestroom Corridors & Support Total 8,384 and franchise community merely as a guide and all information and supporting TOTAL GUEST SPACES 50,814 documentation serves solely as guidelines and is not, and should not be considered final. All plans regarding this project are routinely updated and remain subject to revision and clarification. *Comply with all governing regulations for size, percentage and quantity of accessible guestrooms. November 2018 TownePlace Suites by Marriott® TownePlace Suites® is designed for extended stay travelers who want to feel at home and stay productive. With thoughtful service, comfortable spaces and local know-how, TownePlace makes the new feel familiar. With nearly 400 locations, hotels offer extraordinary value, including modern spacious suites with full kitchens and enhanced organization and productivity with the home office and elfa® closets from The Container Store®.

Key features include:

• Exterior featuring the beacon light element providing better visibility of the property • Expansive public space with soft seating and areas to collaborate and enjoy meals • Prep kitchen located behind the buffet allowing for easy access for service and replenishment • Decor package, TurningPointS 2.0, in suites and public spaces featuring warm colors and upgraded wood features • Larger layout of the fitness center • Partnership with The Container Store providing elfa closets in all suites • Partnership with Weber® featuring grills in the front BBQ patio along with Weber tools and spices available for guests to use

The brand’s efficient cost model works in every market, from urban to tertiary with flexible spaces that can be sized to meet the market needs. By developing with Marriott, owners and franchisees harness the power of our industry leading sales, marketing, and loyalty engines. Visit marriottdevelopment.com to learn more about developing a TownePlace Suites by Marriott.