Kingwood

Jointly, the Co-Managers have acquired more than 20 projects together as part of an opportunistic strategy to acquire functionally obsolete hotels at an attractive all-in cost basis in undersupplied markets and convert them into competitively priced apartment units. Once the conversion is complete, the Co-Managers intend to refinance or sell the Property.

• Simple Construction Scope: Built in 2010, the Property rooms are already equipped with updated kitchenettes that feature a full-size refrigerator, two-burner stoves, as well as a sink and dishwasher.
• Attractive Amenity Package at a Discount: The Property will feature Class A amenities such as a large fitness center, a private courtyard with barbecue grills, a resort-style pool, and shared teleworking space. The Co-Managers have underwritten rents that they believe are 10%-19% below comparable properties in the surrounding area.¹
• Well-Located Submarket: Kingwood is located in the Northeast Lake Houston submarket and is approximately 23 miles from Downtown Houston. As evidenced by ongoing population growth above the national average,² outward expansion from Downtown Houston continues to be an ongoing trend, with the Lake Houston submarket benefitting from migration toward the suburbs.³ Additionally, the Co-Managers believe the Property can provide convenient workforce housing to employees of HCA Houston Healthcare Kingwood, a 457-bed acute care hospital serving NE Houston and located adjacent to the Property.⁴