Plans Announced for $100 Million Westin Hotel and Residential Development at the Former Jordan’s Meats Plant

100% privately financed development expected to boost Maine economy with new jobs, tax revenues and business

PORTLAND, Maine (April 7, 2005) – Plans were unveiled today for a $100 million Westin Hotel and residential development at the site of the former Jordan’s Meats plant on Portland’s eastern waterfront.

A full-service Westin Hotel with 150 to 200 rooms will serve as the centerpiece to the development, which also will include as many as 100 private luxury condominium residences, a banquet facility and a parking garage.

The developers will not seek any public funding for the project, which will be 100 percent privately financed through conventional sources. When completed, it will be one of the biggest private developments in Maine’s history.

The 450,000-square-foot development is set for a May workshop with the Portland Planning Board. Preliminary plans call for the construction of buildings in two wings with a center core. The scale and style will blend with the surrounding architecture. Developers hope to break ground in the fall and open in early 2007.

The 77-year-old Jordan’s Meats factory, which closed in February, will be torn down. The approximate two-acre Jordan’s parcel sits in a prime location on the edge of Portland’s eastern waterfront. The parcel is essentially a city block bounded by Franklin Arterial and Middle, India and Fore streets.

The Jordan’s property is a high-visibility location that is central to Portland’s ongoing redevelopment plans to the north along the water’s edge. Developers received a warm response in initial meetings with Portland officials. The development is viewed as a perfect complement to the pending Ocean Gateway cruise ship terminal nearby.

The Westin Hotel/residences development is likely to be a boon to both the Portland and the State of Maine economies by creating new jobs in the construction, hotel and retail sectors; generating increased sales and income taxes for Maine; and infusing Portland’s tax base with a new large property taxpayer. Also, downtown Portland retailers as well as civic and cultural institutions will benefit from the patronage of tourists staying at the hotel as well as the new permanent residents.

The developers also announced Thursday that they have hired Planning Decisions Inc. of South Portland to conduct a study of the economic impact of the new project on the region and state. Senior Economist Charles Lawton said he expects to complete the study by mid- May.

Developers also plan to hold a series of meetings with community leaders and East End residents to gather input, review plans and stay abreast of issues throughout the process.

The project is being developed by PME I Limited Partnership, established as a joint venture between the Liberty Companies, a premier Maine developer, and The Procaccianti Group (TPG), a New England-based real estate company. Maine businessman Michael A. Liberty, chairman of the Liberty Companies, initiated the purchase of the land and is credited with bringing all the parties together.

Andrew Bedard is leading the Liberty Companies team that also includes James Stanley, CEO of Liberty Group, Inc. Thomas Niles of TPG will lead the effort on behalf of PME I Limited Partnership.

The Procaccianti Group is a full-service, privately owned, real estate company that acquires, manages, designs, builds and renovates full-service hotels. The Cranston, Rhode Island-based company currently has 25 hotels under ownership and/or management in 11 states, comprising 5,300 guest rooms. TPG has owned, developed or managed more than $1 billion of commercial and residential real estate since forming in 1964. The company was recently selected from more than 15 nationally recognized hotel developers by the Rhode Island Convention Center Authority to purchase and expand the Westin Hotel in downtown Providence, which includes the addition of luxury condominium residences.

“We have a strong background and track record in developing high-quality, upscale hotels and look forward to working with our partners on this development,” said James A. Procaccianti, president and CEO of The Procaccianti Group.

A number of local firms are involved in the design, engineering and due diligence investigations of the property, including Winton Scott Architects, Sebago Technics and the law firm of Preti Flaherty, where attorneys Harold Pachios and Severin Beliveau are involved.

Key to the development was Starwood Hotels and Resorts Worldwide, the parent company of Westin Hotels, interest in both the site and in downtown Portland as a target market. Mark Heisler, Starwood’s Northeast development director, said his company was impressed by the strong capabilities of the parties involved.

“Starwood is extremely excited about the opportunity to establish a flag near the harbor in the City of Portland, and continue to grow our relationship with The Procaccianti Group, one of our strongest franchise partners,” Heisler said.

In addition to as many as 200 guestrooms, hotel amenities will include banquet and function room space, an upscale restaurant and retail space, and an indoor recreation and pool/spa area. Hotel guests and condominium residents will have views of the waterfront and the surrounding cityscape.

# # #

Fact Sheet

Westin Hotel and residences

Development Overview

Development of a full-service Westin Hotel and residences at the site of the former Jordan’s Meats facility on Portland’s eastern waterfront. The project fits the city’s redevelopment vision for the area and will be completed without any public funding.

Size: 450,000 to 500,000 square feet, including parking

Total Project Value: $100 million

Hotel: Starwood Hotels & Resorts Worldwide will put in place a Westin Hotel with 150 to 200 full-service guest rooms. Other hotel amenities to include ballroom/function room space; upscale restaurant and retail space; indoor recreation and pool/spa area; parking garage to accommodate 100% of required parking.

Residences: 60 to 100 private residences

Lot size/location: 1.74 acre parcel bounded by Franklin Arterial, Fore, Middle and India streets, including adjacent .25-acre parking lot.

Design: Preliminary plans call for construction of buildings in two wings with a center core.

Financing: The project will be 100% privately financed through conventional sources. No public funding will be sought or used.

Developer: PME I Limited Partnership

Architect: Winton Scott Architects, PA, Portland
Cooper Carry Architects, Atlanta

Legal Counsel: Preti Flaherty Beliveau Pachios & Haley LLP

Civil Engineer: Sebago Technics, Westbrook

Gen. Contractor: TBD

Project timeline: On May workshop agenda with Portland Planning Board. Scheduled completion in early 2007.

Project Team

Westin Hotel and residences

PME I Limited Partnership was established in March 2005 as a joint venture to undertake the development of the former Jordan’s Meats facility on Portland’s eastern waterfront into a full-service Westin Hotel and condominium residences property.

PME I Limited Partnership includes:

The Procaccianti Group, Cranston, Rhode Island

The Procaccianti Group (TPG) is a full-service, privately owned, real estate company that acquires, manages, designs, builds and renovates full-service hotels. The Cranston, Rhode Island-based company currently has 25 hotels under ownership and/or management in 11 states, comprising 5,300 guest rooms. TPG has owned, developed or managed more than $1 billion of commercial and residential real estate since forming in 1964.

The Liberty Companies, South Portland, Maine

Real estate and affordable housing are core focuses of the Liberty Companies. The Liberty Group, Inc., a subsidiary, is among the largest and most successful real estate holding companies in New England. Another subsidiary, American Housing Preservation Corp., manages more than 10,000 apartment units in 18 states valued at more than $600 million.

The Project Team also includes:

Hotel: Starwood Hotels and Resorts Worldwide, Inc.
Besides Westin, other Starwood hotel brands include St. Regis, Sheraton, W Hotels and The Luxury Collection.

Mark Heisler, Director of Development, East Real Estate Group, Rosemount, Illinois

Legal Counsel: Preti Flaherty Beliveau Pachios & Haley LLP, Portland
Attorneys Harold Pachios and Severin Beliveau will handle the municipal permitting and other legal aspects.

Financing: Holiday Fenoglio Fowler, LP, Boston
Robert M. Herron, Managing Director

Architects: Winton Scott Architects, PA, Portland
Winton Scott, AIA, President

Cooper Carry Architects, Atlanta
Robert Neal, Principal

Civil Engineer: Sebago Technics, Westbrook
Walter Stinson, P.E., President
Dan Riley, P.E., Senior Project Manager