BLOCK 21 AWARDED LEED SILVER CERTIFICATION FOR COMMITMENT TO SUSTAINABILITY; HIGHEST RATED AUSTIN ENERGY AND GREEN BUILDING MIXED-USE BUILDING IN AUSTIN

Block 21 Becomes the First Mixed Occupancy Project of this Type to Achieve LEED® Certification

 Block 21, a mixed-use high-rise property located in the heart of downtown Austin’s vibrant 2ND Street District, announced today that it has been recognized for its commitment to sustainability with a LEED® Silver certification and Four Stars certification from Austin Energy’s Green Building program.

 On Tuesday, March 6, Austin Mayor Lee Leffingwell along with Rick Fedrizzi, CEO and Founding Chair of the U.S. Green Building Council will attend a LEED® certification dedication of Block 21 on the terrace of the W Hotel Austin, which is part of the development.  The recent certifications, established by the U.S. Green Building Council and verified by the Green Building Certification Institute, makes Block 21 both the largest Austin Energy four-star rated project and the highest LEED certified mixed-use building in the state of Texas.

Completed by Stratus Properties Inc. and the Canyon Urban Fund II in 2010, the 1.08 million square foot building includes the W Austin Hotel and The Residences at W Austin and Austin City Limits Live at The Moody Theater (ACL Live),  a 2,700 plus capacity live music venue and television studio. The development also features 159 private residences, Coal Vines Restaurant, TRACE Restaurant, Urban Outfitters apparel store, bars, other retail and office space and Away spa.

Block 21 is the first mixed-occupancy project of this type and size in the world to achieve LEED® certification. Additionally, ACL Live, recently named “Best New Major Concert Venue” by Pollstar, is one of only two dedicated live music venues in the U.S. to achieve LEED® certification, as well as  the largest.

“It is so satisfying to see our vision of Block 21 realized,” said Beau Armstrong, Chairman and CEO of Stratus Properties Inc. “Our goal was to not only build something that would contribute to the revitalization of downtown but to also support Austin’s long term goal of being one of the most sustainable cities in the country.”

“Block 21’s LEED certification demonstrates tremendous green building leadership,” said Rick Fedrizzi, President, CEO & Founding Chair, U.S. Green Building Council. “The urgency of USGBC’s mission has challenged the industry to move faster and reach further than ever before, and Block 21 serves as a prime example with just how much we can accomplish.”

“Austin has long been known for its live music, hospitality, and also for its sustainability leadership,” said Lucia Athens, Chief Sustainability Officer, City of Austin. “Block 21 brings it all together in a new and exciting way. This green building achievement is a great way to reach music fans and visitors to Austin, and help them understand how we do things a little differently here. Block 21 is a major contributor to downtown Austin’s cultural and economic vitality, and keeps us on the map for green innovation. Texas style green building means you can have fun, turn a profit and protect the environment at the same time.”

Sus­tainable design features of Block 21 include low-impact site development, water and energy efficiency, recycled-content, regionally sourced and manufactured, low-emitting construction materials, diver­sion of construction debris from landfills, abundant daylight and views, and health­ful indoor air quality. Block 21 seamlessly combines cosmopolitan elegance with environmental stewardship.

From its inception, Block 21 commit­ted to an integrated design process and third-party certification through the U.S. Green Building Council’s LEED for New Construction, a nationally recognized green building rating system, and Austin Energy’s Green Building Program.

Stratus Properties and the Canyon John­son Urban Fund II, the project’s owners, positioned Block 21 to be a hall­mark of sustainability throughout its op­erational life cycle. To this end, a green operations plan and tenant guidelines coordinated between the developers, the project sustainability consultant Center for Maximum Potential Building Systems and principal tenants established a cohe­sive framework to realize this goal.

About Stratus Properties, Inc.
Stratus Properties Inc. is a diversified real estate company engaged in the acquisition, development, management and sale of commercial, multi-family and residential real estate properties located primarily in the Austin, TX area.  Stratus Properties Inc. is a publicly traded company and is listed on the NASDAQ under the symbol STRS.  Learn more at www.stratusproperties.com.

About Canyon-Johnson Urban Funds
The Canyon-Johnson Urban Funds (CJUF) are one of the country’s largest private real estate funds focused on the development of urban properties in underserved neighborhoods. A joint venture between Canyon Capital Realty Advisors and an entity of Earvin “Magic” Johnson’s Magic Johnson Enterprises, the funds were formed to identify, enhance and capture value through the development and redevelopment of real estate in densely populated, ethnically diverse urban communities. Fundamental to Canyon-Johnson’s investment thesis is its commitment to a “triple bottom line” philosophy of achieving superior financial results, fostering opportunities within urban communities, and embracing environmental responsibility. With nearly $2 billion in committed equity capital, the funds are positioned to facilitate more than $8 billion in development and revitalization in major U.S. metropolitan areas. For more information, visit www.cjuf.com.

About W Hotels Worldwide
W Hotels is a contemporary, design-led lifestyle brand and the industry innovator with 41 hotels and retreats in the most vibrant cities and exotic destinations around the world. Inspiring, iconic, innovative and influential, W Hotels provides the ultimate in insider access, offering a unique mix of cutting-edge design and passions around fashion, music and entertainment. W Hotels offers a holistic lifestyle experience that is integrated into the brand's sensibility through contemporary restaurant concepts, glamorous entertainment experiences, stylish retail concepts and signature spas. With more than 12 years of proven success, W Hotels is on track to reach more than 50 hotels by the end of 2012. W Hotels and W Retreats have been announced for Paris, St. Petersburg, Guangzhou, Shanghai, Abu Dhabi, Bangkok, Athens – Astir Palace, and Verbier, among other international destinations.  For more information, please visit http://www.whotels.com

About W Residences
W Austin are 159 private luxury condominiums that are one component of the $300 million high rise “Block 21” project in Downtown Austin’s vibrant 2nd Street district. Located on floors 18 – 37 above the stunning new 251-room W Austin Hotel, the Residences feature modern design with a distinctly Austin vibe and provide unparalleled views in every direction.  One, two, three bedroom and Penthouse units are available for purchase.   Residential amenities include underground parking, valet service, 24/7 concierge service, in-home dining, pet services, dry cleaning services, a state of the art gym, world class spa and two pools – one for residents only as well as a hotel pool that may also be used by homeowners.  Block 21 also includes ACL Live at The Moody Theater, a live music and performance venue that will serve as the new home of the iconic Austin City Limits, the longest running music series in American television history.  W Austin residents will enjoy preferred access to concerts and performances in the venue.  For more information, please visit http://www.block21residences.com

About Austin City Limits Live at The Moody Theater
Austin City Limits Live at The Moody Theater (ACL Live) is a state-of-the-art, 2,750-person capacity live music venue that serves as the new home for the taping of the acclaimed KLRU-TV produced PBS series Austin City Limits, the longest running music series in American television history.  Named “Best New Major Concert Venue” in 2012 by Pollstar, the venue hosts approximately 80 concerts a year. ACL Live is nestled next to the W Austin Hotel & Residences™, which are both part of the 1.08 million square foot mixed-use Block 21 project in downtown Austin developed by Stratus Properties and the Canyon-Johnson Urban Fund II.  ACL Live is the premier destination in Austin for live performances as well as numerous special and private events, and is the largest dedicated live music venue to achieve LEED certification. For more information, please visit http://www.acl-live.com