Contract analysis

I. EXECUTIVE SUMMARY This memorandum presents the results of our analysis of the zoning and entitlement status for the Harbor Point Towers mixed-use development project (the "Project") located at 1500–1580 Wills Street, Baltimore, MD 21231 (Block 7419, Lots 1–6, Baltimore City) (the "Site"). This analysis has been prepared in connection with the formation of Harbor Point Development JV, LLC (the "JV"), the $240,000,0

II. SITE DESCRIPTION AND PRIOR ZONING CLASSIFICATION A. Parcel Description The Site is located at 1500–1580 Wills Street, Baltimore, MD 21231, in the Harbor Point district of Baltimore City. The Site is identified in the records of the Baltimore City Department of Finance, Bureau of Revenue Collections, as Block 7419, Lots 1 through 6. The total area of the Site is approximately 8.2 acres (approximately 357,192 squar

III. PLANNED UNIT DEVELOPMENT APPROVAL — ORDINANCE NO. 24-0417 A. PUD Application and Approval Process The PUD application for the Harbor Point Towers project was filed by Harbor East Land Holdings, LLC, as the fee simple owner of the Site, in accordance with the Baltimore City Zoning Code, Title 32, Subtitle 5 (Planned Unit Developments). The application was prepared by the land use attorneys and planning consultant

1. Infrastructure Improvements. The PUD Ordinance requires the developer to design, construct, and dedicate the following public infrastructure improvements in connection with the Project: (a) Public Street Improvements. The developer must reconstruct and improve the segment of Wills Street adjacent to the Site (approximately 900 linear feet) to include widened sidewalks (minimum 12 feet), new street trees, pedestria

2. Design Review. The PUD Ordinance requires that the final architectural design of the Project, including building elevations, materials, ground-floor retail façade treatment, and landscape design, be submitted to and approved by the Baltimore City Department of Planning's Urban Design and Architecture Advisory Panel ("UDAAP") prior to the issuance of any building permit. The UDAAP review is intended to ensure that

3. Affordable Housing / Workforce Housing. The PUD Ordinance requires that a minimum of 10% of the total residential units (61 units) be set aside as "workforce housing" units, defined as units affordable to households earning no more than 80% of the Area Median Income ("AMI") for the Baltimore Metropolitan Statistical Area, as determined by the U.S. Department of Housing and Urban Development. The workforce housing

4. Transportation / Traffic Mitigation. The PUD Ordinance incorporates the findings and mitigation commitments from the traffic impact study prepared by the applicant's traffic engineers in connection with the PUD application. The required transportation and traffic mitigation measures include: (a) Signal timing modifications and signal equipment upgrades at the intersection of Wills Street and Eastern Avenue, to be

5. Environmental / Waterfront Protections. The PUD Ordinance imposes the following environmental and waterfront protection requirements: (a) Approval of a comprehensive stormwater management plan by the Baltimore City Department of Public Works and, if applicable, the Maryland Department of the Environment, incorporating Environmental Site Design (ESD) to the maximum extent practicable, as required by the Maryland St

6. Public Amenities. In addition to the waterfront promenade and infrastructure improvements described above, the PUD Ordinance requires the developer to provide the following public amenities: (a) A publicly accessible ground-level plaza of not less than 8,000 square feet between the two towers, designed as a gathering space with seating, landscaping, public art, and programmable event space; (b) A minimum of two pu

7. Timing / Commencement Requirements. The PUD Ordinance contains a commencement requirement providing that construction of the Project (defined as the commencement of foundation work) must begin within 36 months of the effective date of the PUD Ordinance (i.e., by June 14, 2027). If construction does not commence within this 36-month period, the PUD approval shall lapse and the Site shall revert to its prior zoning

8. Reporting and Compliance. The PUD Ordinance requires the developer to submit semi-annual progress reports to the Baltimore City Planning Commission during the construction period, documenting: (a) The status of construction and percentage of completion; (b) Compliance with the conditions of approval, including infrastructure improvements, affordable housing commitments, and environmental requirements; (c) Any modi

IV. VESTED RIGHTS ANALYSIS UNDER MARYLAND LAW A. Maryland Vested Rights Doctrine Under Maryland law, the doctrine of vested rights determines the point at which a property owner's right to develop property in accordance with an approved plan becomes legally protected against subsequent changes in zoning or land use regulations. The vested rights doctrine is a critical consideration for the JV, as the period between J

V. BUILDING PERMIT APPLICATION AND TIMELINE A. Current Status As of the date of this memorandum (December 18, 2025), building permit applications for the Harbor Point Towers project have not yet been filed with the Baltimore City Department of Housing and Community Development ("DHCD"), which administers the building permit review and issuance process for Baltimore City. The building permit applications are expected