Owned Hotels for $227 million; Approximately
$134,500 per Room
|MCLEAN, VA, June 25, 2004 - Highland Hospitality Corporation (NYSE:HIH),
a lodging real estate investment trust, or REIT, announced today the signing
of a definitive agreement to acquire four hotels consisting of 1,687 rooms
from Wyndham International, Inc. (AMEX:WBR).
The four hotels are -
the 510-room Hilton hotel in Parsippany, New Jersey,
The purchase price for the four-hotel portfolio is $227 million or approximately $134,500 per room and the company expects to close on the hotels within 40 – 75 days of signing the definitive agreement.
James L. Francis, Highland’s President and CEO, stated, “We are pleased with the completion of our agreement to purchase four high quality urban hotels in key markets.
This acquisition fits well with our stated strategy of investing in upscale full-service hotels in major urban markets with high barriers to entry. We will further invest additional capital after closing in order to reposition and renovate the portfolio, including the re-branding of two hotels. This portfolio will be a great addition to our balance sheet and will perform well as our industry and these key markets continue to recover.”
Highland Hospitality Corporation is a self-advised lodging real estate investment trust, or REIT, focused on hotel investments primarily in the United States. The company owns eight hotel properties with an aggregate of 2,216 rooms in five states.
Certain statements and assumptions in this press release contain or are based upon “forward-looking” information and are being made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
Highland Hospitality Corporation
|Also See:||Highland Hospitality Corporation Acquires the 491- room Dallas/Fort Worth Airport Marriott hotel for $59 million in Cash / May 2004|
|Highland Hospitality Corporation, a New Lodging REIT with Seven Hotel Properties, Reports a Loss of $2.7 million for Period Ended December 31, 2003 / February 2004|