Doral Tesoro Hotel & Golf Club near Dallas/Ft. Worth
Va., June 16, 2006 — Interstate Hotels & Resorts (NYSE: IHR), the nation’s
largest independent hotel management company, today announced that it has
acquired for $2 million, a 21 percent equity interest in the 286-room Doral
Tesoro Hotel & Golf Club near Dallas/Ft. Worth. Interstate has
managed the property since late 2002.
“This is a high quality, full-service hotel with significant meeting space, food & beverage operations and a highly rated championship golf course,” said Thomas F. Hewitt, Interstate’s chief executive officer. “It fits well with our strategy of co-investing with select owners. When the new owners acquired the property in August last year, we began negotiating a plan under which Interstate would become a joint venture partner.
“We already have first-hand knowledge of the property and the market, and believe both have substantial upside potential,” he noted. “Lodging demand is beginning to gain traction in Dallas-Ft. Worth, and minimal new supply is expected for the next few years. The property and golf course were renovated within the past two years, and the resort is in excellent physical condition. The joint venture plans to invest just in excess of $1 million to further upgrade the property.”
Located at 3300 Championship Parkway in Ft. Worth, the resort is situated in Beechwood Business Park, a 902-acre master-planned, mixed-use community with convenient access to Interstate 35 and Highway 114, 20 miles north of Ft. Worth and 20 minutes from Dallas-Ft. Worth International Airport. The property also is adjacent to the Texas Motor Speedway, the second largest sporting venue in the United States and home to major sporting events, including several annual NASCAR races and a host of special concert events.
In addition to the Jay Morrish re-designed golf course, the property features a full range of luxury amenities, a fitness facility, two restaurants, a lounge, 24-hour room service, an exterior pool area and sun deck and the latest in audio-visual technology, Internet access and technical support. The property also houses approximately 20,000 square feet of sophisticated meeting and event space, including 14 rooms with a full range of conference facilities that can accommodate groups ranging in size up to 750 people.
“With this transaction, we continue to execute on our strategy of diversifying our earnings stream from third-party management contracts to include more real estate ownership, both in joint ventures and wholly owned,” Hewitt added. “We also create a stable, long-term management contract. We will continue to look selectively for opportunities to increase our hotel real estate holdings, through partnerships and sliver investments as well as outright ownership.”
As of May 31, Interstate Hotels & Resorts operated 264 hospitality
properties with nearly 60,000 rooms in 41 states, the District of
Columbia, Canada, and Russia. BridgeStreet Worldwide, an Interstate
Hotels & Resorts’ subsidiary, is one of the world’s largest corporate
This press release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995, about Interstate Hotels & Resorts, including those statements regarding future operating results and the timing and composition of revenues, among others, and statements containing words such as "expects," "believes" or "will,” which indicate that those statements are forward-looking.
Interstate Hotels & Resorts
|Also See:||Interstate Hotels Renames the Financially Troubled The Creeks at Beechwood Hotel & Conference Center to Doral Tesoro Hotel & Golf Club; Investing $2 million Makeover of Greg Norman Designed Golf Course to Make it Easier / March 2003|
|The Former Westin Beechwood Fort Worth Now Managed by Interstate Hotels; Renamed The Creeks at Beechwood Hotel & Conference Center / Oct 2002|
|Open Only 45 Days, Lender Files Foreclosure Petition Against the $53.5 million Westin Beechwood in Fort Worth / November 2001|
|Developers of the Westin Beechwood Hotel and Creeks Hope to Stave Off a Dec. 4 Foreclosure / November 2001|
|Beechwood Co. Opening the 286-room Westin Beechwood With High Hopes / Sept 2001|
|Greg Norman to Construct World-Class Resort Golf Course Next to Texas Motor Speedway in Fort Worth / April 1999|