Tracey established a trust to take care of his children. The trust document gave Traceys brother, Doug, the power to distribute income and corpus to the children as needed. In addition, the trust gave Doug the right to demand for his own benefit up to 15% of the value of the trust each year. Doug allowed the 15% general power of appointment to lapse each year. Doug died three years after the trust was established. The trust was worth $1,000,000 when established in 2016 and $1,500,000 when Doug died in 2019. What amount of the trust is included in Doug's gross estate?

$525,000

$375,000

$675,000

$1,500,000