6001 La Madrona Drive Santa Cruz, CA 95060

Offered is the fee simple interest in the 178-key Hilton Scotts Valley in Santa Cruz, California. The property is offered unencumbered by management and debt, presenting a substantial discount to replacement cost. A long-term license agreement is available to maintain the Hilton flag upon completion of the Property Improvement Plan (PIP). The property offers strong operational upside through improved performance post-transition from institutional REIT ownership and third-party management. Unique upside potential is supported by a competitive set with metrics of near-$200 RevPAR and consistent mid-70% occupancy. The competitive set RevPAR grew 5% year over year, significantly outpacing the national average. The property's basis is compelling relative to replacement cost in high-barrier Santa Cruz County, a coastal destination with approximately 3 million annual visitors. Plans are advancing for the 58-acre Scotts Valley Town Center Mixed-Use Development, which will bring new housing, shops, restaurants, and public space to the downtown corridor. Scotts Valley has historically acted as a tech incubator for blue-chip tech firms like Netflix, Seagate, and Texas Instruments and remains influential today with easy access to Silicon Valley. This is a compelling time to invest in Northern California with Silicon Valley proximity, AI-driven market tailwinds, and re-energized Bay Area investor sentiment.