| 1E - DSCR < 1.20 and 1F - DSCR < 1.40 and <= 75% U/W DSCR. The loan is secured by a 174 room hotel in Tinton Falls, NJ built in 1974 and renovated in 1986. The property was inspected on 08/26/08; rated in Good condition. TTM 03/31/09 NCF DSCR is -.93 with an occ of 38%; YE 2008 NCF DSCRwas -1.20 with an occupancy of 37.80%. The decline in NCF is a result of a decline in revenues at the property. Although TTM 03/09 revenus show a 9% increase from YE 2008, revenues are still down from U/W. 2008 revenues showed a declined 55% from YE 2007 further caused by an occupancy decline of 44%, and a RevPar decline of 40.31%. Borrower indicated to the primary servicer that the decline in NCF was a direct result of an ongoing renovation project that was completed in June 2009. Total cost of the renovation was approx. $7MM. Per Bwr, the subject property occupancy and revenue rate for 2009 show an increase over 2008. In May 2008, occ was 32.4% for May 2009 it was 51.14%. Property occ rate in June 2008 was 37.9% and for June 2009 it was 61.8 % as per Bwr. Per Bwr, the MTD Occ rate for July 2008 was 52.41% and for July 2009 it is 61.5%. Bwr anticipates an August 2009 occ rate of 65% and for September 50%-55%. Per Bwr, they are anticipating occupancy and revenue for the remainder of 2009 to show an increase over 2008. The June 2009 STAR report indicates that the subject property\''s occupancy, ADR, and RevPar are below the competitive set. Subject property Occ, ADR, and RevPar were 39.2%, $117.14, and $45.92, respectively. Comp Set was 59.4%, $131.02, and $77.82, respectively. The property is advertised through Billboard advertisements, internet, bridal shows, and hotel sales personnel contact with local businesses. Bank of America will continue to monitor the loan.
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