Hidden Hills Vistas

The accommodations will cover a wide range, from 2-bedroom to 8-bedroom units, with an emphasis on providing 4-bedroom or larger cabins to cater to various guest needs. These cabins, with sizes varying between 1,000 and 6,400 square feet, are conceptualized as standalone homes primarily aimed at short-term vacation rentals. Planned to enhance the guest experience, each cabin will offer amenities such as private pools, hot tubs, game/media rooms, and at least two private parking spaces, along with modern conveniences like contactless mobile check-in.

Key design elements of the cabins include large picture windows and vaulted ceilings to maximize the enjoyment of the Project’s scenic views. The interior design will focus on simplicity and modernity, employing earth tones and natural light to complement the surroundings. Features include fireplaces, high-end countertops and appliances, and a mix of wood and ceramic tile flooring. Outdoors, cabins will feature hot tubs and multiple decks, with select larger units offering private swimming pools, fitness centers, theater rooms, outdoor cooking facilities, and gaming rooms equipped with pool tables.

The Project also intends to enhance the guest experience with additional amenities, which include the following: Hiking Trails: A scenic hiking trail winds throughout the entire property. 2 Heated Outdoor Pools will be accessible to all guests. Retail Space: Within close proximity to the rooms, there will be a 12,000-square-foot retail facility, which includes a restaurant operated by the JCE, and spaces for retail leasing. Prospective tenants being considered include a virtual TopGolf Swing Suite for a thrilling interactive golf experience.

Hotels and Motels: The need for hotels and motels relies heavily on domestic and international tourism levels, making them dependent on the overall economic environment. Lifting former pandemic travel regulations resulted in skyrocketing hotel revenue. Specialty hotels, including extended-stay hotels, boutique hotels, spas, health retreats and resorts, expect higher growth as they offer unique features that differentiate them from the competition. Gatlinburg Tourism Market Overview: As outdoor amenities and attractions gained popularity during and following the pandemic, Great Smoky Mountain National Park is the country’s most visited national park and had 13.3 million visitors in 2023. Over the last decade, the park has enjoyed a 42% increase in visitation.* Communities within a 60-mile radius of Great Smoky Mountains National Park saw a 61.5% increase in visitor spending between 2021 and 2022. Of the $2.1 billion spent in 2022, lodging was the direct recipient of almost half, with nearly a $1 billion impact on the sector, followed by Restaurants (17%), Retail (10%) and Recreation (10%). Gatlinburg's proximity to the Great Smoky Mountains National Park, the most visited national park in America, positions the Project to respond to the demand for luxury mountain resort experiences. Demand Summary: Luxury accommodations and amenities and the proximity to the most popular national park aim to attract travelers looking for high-quality, short-term rental options that align with market trends toward experiential travel.

Strategic Location and Accessibility: The Project is located at 1625 Hidden Hills Road, Gatlinburg, Tennessee, 37738 (the "Property"). Positioned on a 37-acre site, it has direct access via US Highway 321 and Hidden Hills Road. The site is approximately 40 miles from Knoxville and the Knoxville McGhee Tyson Airport, providing access from major transportation hubs. Proximity to Key Attractions: Gatlinburg is a major tourism hub due to its proximity to numerous attractions, notably the access to the Great Smoky Mountains National Park, the most popular US national park. The Project is 6.2 miles east of the Sugarlands Visitor Center entrance to the Smoky Mountain National Park. Great Smoky Mountain National Park experienced a record attendance of over 17.7 million visitors in 2023. The Project is also in close proximity to Downtown Gatlinburg, the Rocky Top Sports World athletic complex, Pigeon Forge, Dollywood Amusement Park, Ripley’s Aquarium of the Smokies, and Gatlinburg SkyLift. Despite its small population, Gatlinberg is the third most visited city in the state.

The Project is estimated to create 1,141 jobs for 90 investors resulting in a job cushion of 27% or 12.7 jobs per investor.** The economic impact analysis has been prepared by Vermillion Consulting, using the RIMS II model. The EB-5 Reform and Integrity Act of 2022 ("RIA 2022") requires that for a project timeline of more than 2 years, 10% of the jobs must be from direct impacts thus requiring 90 direct jobs. The Project expects to create 614 direct jobs. Jobs will be allocated according to the conditional residency status of investors. ** Fundamental data and forecast supplied by management of the Company. Such projections may not be realized. Job-creation data source: Information provided by EB5 Marketplace.

EB-5 capital replaces bridge loan and will hold senior position in capital stack: The Project seeks to raise up to $72,000,000 from 90 investors (the "Offering"). The first $14.5 million of EB-5 capital will be used to repay the bridge loans from Citizens National Bank. The bridge loans currently hold a senior position, however, once repaid, the EB-5 capital will hold the senior position in the capital stack. The EB-5 investment takes form of a preferred equity investment initially, and then converts to a loan (the "EB-5 Loan") once advances aggregate to $14.5 million. Project Equity: over $18 million: Project Equity consists of Land Appraisal & Owner Cash ($19,500,000) plus Future Owner Cash ($5,280,000), minus 2023 year end bridge loan balance of ($6,380,656.64). Future Developer Cash Equity: Mr. Gadde is committed to providing an additional $5,280,000 to The Project. Alternative Financing Plan — owner can provide more money: The owner of the JCE, Mr. Gadde, can provide additional bridge equity or offer bridge loans to the JCE, if required, for the Project's financing. In the event that the NCE does not achieve the full $72 million aimed for in this Offering, the JCE may opt to sell some of the completed cabins and chalets to facilitate the ongoing development of the Project.

Revenue streams for the Project are expected to arise from three primary sources: room rentals, retail space leasing, and restaurant operations. Detailed financial projections for each of these components are presented in the images below, in addition to the combined pro forma of all segments.

Excluding initial site work, the entire construction process is anticipated to span approximately 55 months. Site preparation began in the fourth quarter of 2021, marking the start of the Project's physical development. Approval for the construction of the first 10 units has been secured, indicating progress in line with the planned timeline and milestones for the Project. For the first 10 units, they have secured the required entitlements, and building permits. Vertical construction on these units initiated in the second quarter of 2023. These units are expected to be ready for rent by the fourth quarter of 2024. The Project is projected to reach completion by the summer of 2027.