Proposal for the Webster Block

Development Team
DEVELOPER: PRINCIPALS: WEBSTER BLOCK, LLC ELLICOTT DEVELOPMENT COMPANY CASTLE MOSEY LLC CHARLES GORDON ARCHITECTURE

ARCHITECT: CONSTRUCTION MANAGER: STRUCTURAL AND CIVIL ENGINEER: PROJECT MANAGER:

CONCEPT CONSTRCUTION COMPANY

TREDO ENGINEERS

PAUL GREGORY

Project Area

Relation to Surrounding Area Hub Concept

Enhance Pedestrian Access

Make Connections
Blue = Pedestrian Green =grand Hotel entrance --link bet Washington and Main Orange= Public Parking Access

A New Street

A New Street

A New Street

Great Views

Pedestrian Protection at Street Level Canopy Locations

Canopy Protection Examples

But no Canvas or backlit plastic

Project Description
HOTEL: 140 rooms (including 19 suites and 121 rooms) RESIDENTIAL: 42 apartments (1,200 square feet to 3,000 square feet) OFFICE: 110,250 square feet, including 73,000 square foot floor plate RETAIL AND RESTAURANTS: 8,600 square feet of retail and restaurant space, plus restaurant and retail space in the hotel PARKING: 1,089 parking spaces, including 841 public spaces and 248 spaces for residents and hotel guests

Preliminary Stacking Plan

12 11 10 9 8 7 6 5 4 3 2 1 LL Apartments 14 Units Apartments 14 Units Apartments 14 Units Hotel 41 Rooms Hotel 41 Rooms Hotel 41 Rooms Office Hotel 17 Rooms Office Office Hotel Lobby, Pool 22,500 sf 22,500 sf 22,500 sf 22,500 sf 22,500 sf 22,500 sf 73,250 sf 18,200 sf 18,200 sf 18,200 sf 18,200 sf P6 139 Spaces for General Public P5 174 Spaces for General Public P3/P4 248 Spaces for General Public P2 180 Spaces for General Public P1 53 Spaces for General Public Retail

Hotel Conf. Ctr., Fitness 18,200 sf

PB 195 Spaces for Hotel Guests & Residents

Street Level

Provide permanent Canopies for Protection & Identity

Canopy Styles

Varieties of metal wall-hung canopies Develop for different conditions

1.Main Street --Typical 2. Special Cornersie Scott@ Main Street 3.Along Washington Street-for Service and Parking entry protection

3 types

2nd Floor: Hotel

3rd and 4th Floors: Office

5th Floor: Hotel

6th Floor: Office

7th-9th Floors : Hotel

10th-12th Floors: Apartments

North South Cross Section

East-West Cross Section

The SettingHistoric Urban Waterfront

Understand History

Original Webster Block - 1835

Inspired by History

Webster Block Proposal

Hotel Martinique 1926 Corner of Main and Scott Street

Understand Context --Current

Understand Context --Current

I think this is great and its

right next door!!!!

Image Inspiration

Should be more glass at Main & Scott cornermost important cornerBest Views

Columbus OH

White

Image Inspiration
This is our immediate Context

Arena brick portion similar to Columbus egs but Columbus is different---not on Historic Lake/riverfront ..We need white and must reference nautical aspects too somehow

Image Inspiration
Height & Proportions

18 +

18 +

60 +

Understand Context --Future

Ellicott Development Company

Webster Block Competition

Understand Context --Future

Ellicott Development Company

Webster Block Competition

Image Inspiration

665 Main Street

Note Washington Street side much different than Main Street side different and Context orientation --- and Ellicott Development Company

Sun/View

Cost Implications too

Webster Block Competition

Image Inspiration

Should be more glass at Main & Scott cornermost important cornerBest Views

Columbus OH
Ellicott Development Company
Webster Block Competition

Image Inspiration

Varieties of metal wall-hung canopies Develop for different conditions

1.Main Street --Typical 2. Special Cornersie Scott@ Main Street 3.Along Washington Street-for Service and Parking entry protection Ellicott Development Company
Webster Block Competition

3 types

Project Costs & Financial Projection

Site Acquisition $ 1,500,000 Site Preparation and Environmental Remediation 2,000,000 Construction Costs: Building Shell 29,655,000 Hotel Rooms 1,820,000 Hotel Lobby and Common Areas 1,272,000 Hotel Pool 80,000 Restaurant 285,000 Retail Buildout 817,000 Apartments 2,362,500 Office Buildout 2,756,300 Parking 14,157,000 Contingency (3.0%) 1,596,100 Total Construction 54,800,900 Soft Costs 5,669,800 Total Project Costs $ 63,970,700

Project Financing
Bank Financing NYS Brownfield Credit Remediation NYS Brownfield Credit Tangible Property National Grid Grant Equity Contribution Total $ 52,624,000 500,000 6,000,000 300,000 4,546,700 $ 63,970,700

Market Analysis

Market Analysis
Competitive Market Set Embassy Suites Buffalo182 Hampton Inn & Suites Downtown Buffalo Hyatt Regency Buffalo396 Doubletree Club Buffalo Downtown Total 817 100 139

Based on market study prepared by Transcend Hospitality

Market Analysis
Historical Market Summary (2006 2011) - Year Occupancy % Change ADR 2006 2007 2008 2009 2010 2011 66.7% 71.1% 78.0% 71.3% 74.8% 74.0% 4.4% 6.9% -6.6% 3.5% -0.9% $102.49 $105.48 $103.43 $106.23 $113.38 $122.62 2.9% -1.9% 2.7% 6.7% 8.2% 3.7% %Change RevPAR $68.37 $75.00 $80.86 $75.77 $84.86 $90.72 9.7% 7.5% -6.1% 12.0% 6.9% 5.8% % Change Supply % Change Demand % Change 231,410 154,363 231,410 0.0% 164,539 6.6% 232,044 0.3% 180,945 10.0% 259,562 11.9% 185,145 2.3% 287,255 10.7% 215,000 16.1% 294,574 2.5% 217,949 1.4% 4.9% 7.1%

CAGR 2006 2011 -

Based Market on Study prepared Transcend by Hospitality

Market Analysis
Projected Range of Occupancy and ADR Year 2011 2014 2015 2016 2017 Occupancy N/A 62% - 67% 65% - 70% 68% - 73% 71% - 76% ADR $106 - $111 $114 - $119 $117 - $122 $121 - $126 $124 - $129

Based on market study prepared by Transcend Hospitality

Market Analysis
Property The Belesario, 514 Main Street, Buffalo, NY The Bellasara, 546 Delaware, Buffalo, NY 857 Delaware Avenue, Buffalo, NY 414 Franklin, Buffalo, NY 351 Linwood, Buffalo, NY Commodore, 1240 Delaware, Buffalo, NY Sherwood, 140 Linwood, Buffalo, NY TOTAL No. of Units 30 24 7 3 4 66 60 194 Occupied Units 30 21 7 3 4 65 60 190 Occupancy Rate 100.00% 87.50% 100.00% 100.00% 100.00% 98.48% 100.00% 97.94% Median Rent $1,824 $1,520 $1,567 $1,543 $1,151 $ 591 $ 895 $1,047 1,405 $ 1.21 Median Sq. Ft. 1,601 1,124 Median Rent/Sq. Ft. $ 1.14 $ 1.35

Developer Qualifications

The Giacomo
A 20-story, mixed-use project in downtown Niagara Falls that includes a 38-room boutique hotel, 24 luxury apartments and 5,000 square feet of office space.

The Giacomo

The Giacomo

The Pasquale
13-story condominium building in Waterfront Village that includes 49 condominium units and a 2-level fully-enclosed parking ramp.

The Belesario
8-story mixed-use commercial and residential development 24 luxury loft apartments and 30,000 square feet of office and commercial space

The Belesario

Wyndham Garden - Amherst

$30 Million mixed-use project under construction at 5195 Main Street, Amherst, NY
120 Room Hotel 33 High-end Apartments 3,500 square feet of retail Space 3,000 square feet of Restaurant Space Fitness Center Indoor Pool Spa Facility Parking Garage

Project Schedule
Preferred Developer Designation Due Diligence Review Purchase Property Brownfield Program Conceptual Design Phase Site Plan Approval Construction Drawings Permits and Approvals Bidding Start Construction Complete Project August 15, 2012 September 15, 2012 October 15, 2012 November 15, 2012 November 15, 2012 January 15, 2013 February 15, 2013 April 15, 2013 April 15, 2013 May 25, 2013 December 1, 2014

Development Approach
Recognize and respect various stakeholders Hold Informational Meetings and Public hearings Create a Project Website Plans, Progress, Comments and Updates M/WBE Participation - Equal Opportunity Employer Minorities - 24.79% Women 47% - Comply with Good Faith Guidelines in Utilization Plan

Appendix

Sales Price
$1.5 Million (approximately $20.00 per square foot) Credit 50% of the unrecovered clean-up costs Subject to fair market appraisal

Brownsfield Credit
Remediation Credit: 25% of eligible remediation costs

Tangible Property Credit Equal to the lesser of: (a) 3x the eligible remediation costs or (b) 10% of the cost of the project

Brownfield Credit
Example: Remediation Credit: Eligible remediation costs Total Project costs Rehabilitation credit Eligible rehabilitation costs Percentage Rehabilitation credit Tangible Property Credit: (a)Eligible rehabilitation costs

$2,000,000 65,000,000 $2,000,000 x .25 $500,000

$2,000,000 x 3 $6,000,000 $65,000,000 x .10 6,500,000

(b)Total Project Costs