"Anacostia"

Zoe Rydzewski, Attorney

Nelson Mullins Riley & Scarborough LLP

100 S. Charles Street – Suite 1600

Baltimore, MD 21201

Known As

Under and by virtue of the power of sale contained in a certain Deed of Trust, Assignment of Leases and Rents, Security Agreement and Fixture Filing (the “Deed of Trust”) from The 1525 19th Street Flats LLC to the Trustee therein, dated August 27, 2024 and recorded on September 5, 2024, as Instrument No. 2024083896, as amended by that certain First Amendment to Deed of Trust, Assignment of Leases and Rents, Security Agreement and Fixture Filing dated April 21, 2025 and recorded on July 21, 2025, as Instrument No. 2025072189, said instruments recorded with the District of Columbia Recorder of Deeds (the “Recorder”), the holder of the indebtedness secured thereby having appointed the undersigned to act as Substitute Trustees, in place and stead of the aforementioned Trustee, by instrument duly executed, acknowledged and recorded aforesaid, default having occurred under the terms thereof and at the request of the party secured thereby, the undersigned Substitute Trustees will offer for sale at public auction, the real property as follows:

All those fee simple lots of ground being known and designated as Lots numbered  One (1), Two (2) and Three (3), in Block numbered Thirteen (13), in the subdivision made by the National Safe Deposit Savings and Trust Company, Trustee, known as “Randle Heights”, as per plat recorded in the Office of the Surveyor for the District of Columbia in Liber County 18 at folio 36; said Block numbered Thirteen (13) being assessed for taxation as Square numbered Fifty-five Hundred Seventy-two (5572).  Lot size 75′ x 140′, more or less.

The property is believed to comprise a three story brick garden apartment building, planned to contain 8 two-bedroom and bath units and 20 three-bedroom and bath units, of which 3 will be IZ, affordable housing units.  Unit sizes are believed to range from 445 to 572 square feet.  According to public tax records, the building was constructed as two stories in 1936 and contained 12,462 square feet of gross living area, comprising 16 two-bedroom and bath units.  A recent third floor addition plans to increase the building to 18,336 square feet (13,554 square feet of rentable area) with 8 parking spaces.  Information provided indicates that each unit will be separately metered and there will be a central laundry room.

NOTE:  The information contained herein has been obtained from sources deemed reliable and is believed to be accurate.  However, no express or implied warranty is made or may be inferred from any such representation.  Dimensions, square footage and acreage contained herein are more or less.  Prospective purchasers are encouraged to perform their own due diligence, in advance of the auction, regarding the permitted uses of the property.

TERMS OF SALE:  A deposit of $100,000, payable by cashiers check, will be required of the purchaser at time and place of sale.  If necessitated by price, the deposit must be increased to 10% of the purchase price within one business day at the Auctioneer’s office.  The deposit required to bid at the auction is waived for the Noteholder and any of its successors or assigns. The Noteholder may bid up to the amount owed on the Note plus all costs and expenses of sale on credit and may submit a written bid to the Substitute Trustees which shall be announced at sale. The Balance of the purchase price to be paid in certified funds within thirty (30) days of final ratification of the sale by the Court. TIME IS OF THE ESSENCE. If Purchaser fails to settle within the aforesaid thirty (30) days of the ratification, the Purchaser agrees to pay the Substitute Trustees’ reasonable attorney fees as ordered by the Court, plus all costs incurred, if the Substitute Trustees have filed the appropriate motion with the Court to resell the property. Purchaser waives personal service of any paper filed with the Court in connection with such motion and any Show Cause Order issued by the Court and expressly agrees to accept service of any such paper or Order by certified mail and regular mail sent to the address provided by the Purchaser and as recorded on the documents executed by the Purchaser at the time of the sale. Service shall be deemed effective upon the Purchaser three (3) days after postmarked by the United States Post Office. It is expressly agreed by the Purchaser that actual receipt of the certified mail is not required for service to be effective. If the Purchaser fails to go to settlement the deposit shall be forfeited to the Substitute Trustees and all expenses of this sale (including attorney fees and full commission on the gross sales price of the sale) shall be charged against and paid from the forfeited deposit. In the event of resale the defaulting Purchaser shall not be entitled to any surplus proceeds or profits resulting from any resale of the property regardless of any improvements made to the real property. Interest is to be paid on the unpaid purchase money, at the rate stated in the Note executed in connection with the foreclosed Deed of Trust, from the date of sale to the date the funds are received in the office of the Substitute Trustees. In the event that the settlement is delayed for ANY REASON WHATSOEVER, there shall be no abatement of interest. Taxes, water rent, all public charges/assessments payable on an annual basis, including sanitary and/or metropolitan district charges, if applicable, to be adjusted for the current year to date of sale and assumed thereafter by the Purchaser. The property will be sold in “AS IS, WHERE IS” condition, without express or implied warranty as to the nature and description of the improvements as contained herein, subject to easements, agreements, restrictions or covenants of record affecting same, if any, subject to existing leases, if any, and subject to any and all building, housing or zoning violation notices, if any. Purchaser shall be responsible for the payment of all transfer taxes, documentary stamps and all other costs incident to settlement. Purchaser shall be responsible for physical possession of the property. Purchaser assumes the risk of loss or damage to the property from the date of sale forward. If the Substitute Trustees are unable to convey good and marketable title, the Purchaser’s sole remedy in law or equity shall be limited to the refund of the deposit to the Purchaser. The sale is subject to post sale audit by the Noteholder to determine whether the borrower filed bankruptcy, entered into any repayment/forbearance agreement, reinstated or paid off prior to the sale. In any such event the Purchaser agrees that upon notification by the Substitute Trustees of such event the sale is null and void and of no legal effect and the deposit returned without interest.

Authority to cancel this sale rests solely with the Substitute Trustees and/or the Auctioneer. Prospective buyers should disregard all other statements and comments made by any other person or entity regarding minimum bids, pricing and cancellations of the sale. Additional terms may be announced at the time of sale. The Substitute Trustees reserve: (1) the right to accept or reject any or all bids; (2) the right to modify or waive the requirements for bidders’ deposits and terms of sale and/or settlement; (3) the right to withdraw the Property from the sale before acceptance of the final bid; and (4) the right to cancel or postpone the sale.

Michael E. Blumenfeld and Timothy M. Hurley,

Substitute Trustees