An anonymous trustee reports

AMERICAN HOTEL INCOME PROPERTIES REIT LP ANNOUNCES NORMAL COURSE ISSUER BID AND AUTOMATIC SECURITIES PURCHASE PLAN

The Toronto Stock Exchange (TSX) has accepted American Hotel Income Properties REIT LP's notice of intention to make a normal course issuer bid (the NCIB).

The notice provides that American Hotel may, during the 12-month period commencing Dec. 30, 2024, and ending Dec. 29, 2025, purchase up to 7,521,189 units of American Hotel trading under the symbols HOT.UN and HOT.U, representing 10 per cent of the public float (as defined in the TSX Company Manual) as of Dec. 19, 2024. Daily purchases of units under the NCIB will be limited to 17,803 units (which is equal to 25 per cent of the average daily trading volume of the units for the most recently completed six calendar months), subject to the exception for block purchases. As at the date hereof, there are 79,233,573 units issued and outstanding and 75,211,895 units in the public float.

American Hotel believes that its units are currently trading, or due to market volatility, may trade, in a price range that does not adequately reflect their underlying value based on American Hotel's assets, business prospects and financial position. Accordingly, depending upon future price movements and other factors, American Hotel may purchase outstanding units from time to time, provided that the repurchase of units at such market prices continue to be an appropriate use of American Hotel's resources and will benefit remaining unitholders by increasing their proportionate equity interest in American Hotel.

Purchases subject to the NCIB will be carried out pursuant to open market transactions through the facilities of the TSX, other designated exchanges, and/or alternative Canadian trading systems by CIBC World Markets Inc. on behalf of American Hotel in accordance with applicable regulatory requirements. All units purchased by American Hotel under the NCIB will be returned to treasury and cancelled. American Hotel has not purchased any of its units within the last 12 months.

American Hotel also announced today that in connection with the NCIB, it has entered into an automatic securities purchase plan (ASPP) with a designated broker. The ASPP is intended to allow for the purchase of units under the NCIB when American Hotel would ordinarily not be permitted to purchase units due to regulatory restrictions and customary self-imposed blackout periods.

Pursuant to the ASPP, American Hotel has provided instructions to the designated broker to make purchases under the NCIB in accordance with the terms of the ASPP, which may not be varied or suspended during blackout periods. Such purchases will be determined by the designated broker at its sole discretion based on purchasing parameters set by American Hotel in accordance with the rules of the TSX, applicable securities laws and the terms of the ASPP. units will be purchased under the ASPP through the facilities of the TSX, other designated exchanges, and/or alternative Canadian trading systems. The ASPP has been precleared by the TSX and will be implemented on Dec. 30, 2024, and if not terminated sooner based on the terms of the ASPP, will end on Dec. 29, 2025.

In addition to purchases under the ASPP, outside of predetermined blackout periods, units may be purchased under the NCIB based on management's discretion, in compliance with TSX rules and applicable securities laws. All purchases made under the ASPP will be included in computing the number of units purchased under the NCIB.

To the knowledge of American Hotel, no director or senior officer of American Hotel's general partner, American Hotel Income Properties REIT (GP) Inc. (the general partner) or any associate of any such persons, or any person acting jointly or in concert with American Hotel, or any person holding 10 per cent or more of American Hotel's issued and outstanding units, currently intends to sell units under the NCIB. However, sales by such persons through the facilities of the TSX or elsewhere may occur if the personal circumstances of any such person change or if any such person makes a decision unrelated to the NCIB.

American Hotel's strategic investor, HCI-BGO Victora JB LP, a joint venture limited partnership of BentallGreenOak Real Estate Advisors LP and Highgate Capital Investments LP, has provided its consent to the NCIB under the terms of the investor rights agreement between American Hotel, the investor and certain of their respective affiliates, subject to the aggregate purchase price of the units acquired under the NCIB not exceeding $5.0-million.

About American Hotel Income Properties REIT LP

American Hotel Income Properties is a limited partnership formed to invest in hotel real estate properties across the United States. American Hotel's portfolio of premium branded, select-service hotels are located in secondary metropolitan markets that benefit from diverse and stable demand. American Hotel hotels operate under brands affiliated with Marriott, Hilton, IHG and Choice Hotels through licence agreements. American Hotel's long-term objectives are to build on its proven record of successful investment, deliver monthly United States-dollar denominated distributions to unitholders, and generate value through the continued growth of its diversified hotel portfolio.

We seek Safe Harbor.