SPARKS, NV./WASHINGTON, D.C., June 14, 2007—Crescent Hotels & Resorts, a rapidly growing hotel and resort management and ownership company, today announced that it has signed a letter of agreement to manage the 220-room, full-service Quality Inn in Sparks, Nevada, next to Reno, on behalf of an affiliate of the Navnish Group, a developer and owner of full-service and select-service hotels throughout the United States.  The hotel will be converted to a Holiday Inn following completion of a $6 million renovation, which will commence in the near future. The process will occur in phases to minimize guest disruption and is expected to be completed in early 2008.

“This is our first management assignment in northern Nevada, and we continue to have an aggressive appetite for other full-service and premium-branded, focused-service hotels in the western half of the nation,” said Michael George, Crescent president and CEO.  “We seek to acquire properties outright, in joint ventures or as third-party management assignments.”

“Reno is an important destination market, but remains underserved in the full-service market,” said Pamela Suhr, Crescent chief operating officer.  “Once the hotel completes its major renovation and re-flagging, we believe it quickly will establish itself as a market leader in its segment.  The property is well located and in great structural condition.  This renovation will vastly change the hotel’s quality and ambiance.”

“We are pleased to expand our portfolio and enter the growing Reno-Sparks market,” said Vamsi Bonthala, Navnish Group principal.  “We look forward to completing the renovation and serving our guests with a high quality product.  This is our fourth acquisition in the western United States and Navnish continues to seek acquisition opportunities in this exciting part of the country.” 

The conversion will include a complete renovation of all guest rooms and public space to adhere to Holiday Inn brand standards.  Additionally, the ballroom will receive a substantial upgrade, and the exterior “curb appeal” will be significantly enhanced.

Located at 55 East Nugget Avenue, Sparks, NV, the nine-story hotel is strategically located on Interstate 80 and is in close proximity to various Reno-Lake Tahoe-Sparks attractions and services, such as the Nugget and Silver Club Casinos, the under-construction Legends at Sparks Marina development, the Grand Sierra Resort development (which will include a large indoor waterpark), Reno-Tahoe International Airport, the Reno-Sparks Convention Center, the University of Nevada-Reno, area hospitals, area businesses and other places of interest.  The renovated property will include 8,000 square feet of meeting space, outdoor swimming pool, whirlpool, game room and 24-hour, complimentary shuttle service to and from the airport and within a five-mile radius of the hotel.  Guest room amenities will include high speed and wireless Internet access, oversized work desk with multiple outlets, and two-line telephones with voice mail.

About Crescent Hotels & Resorts
Headquartered in Fairfax, Va., outside of Washington, D.C., Crescent Hotels & Resorts owns and co-invests in hotel real estate, and is an independent, third-party operator of hotels and resorts.  The company currently owns or operates 35 upscale and mid-market hotels and resorts aggregating 5,800 rooms in 17 states.  The company’s portfolio encompasses properties in the resort, full-service, convention and premium limited-service segments under the premier hotel flags of the leading brands of Marriott, Hilton, Starwood, InterContinental, Choice and Wyndham Hotel Group, as well as independent hotels and resorts.  Additional information about Crescent Hotel & Resorts may be found on the company’s Web site www.chrco.com.

About the Navnish Group
Navnish develops and operates full-service and select-service hotels throughout the United States and is devoted to providing its hotel guests with the best possible experience while creating value and superior investment returns through its strategic focus on investing, hands-on approach to management and its principals’ unique combination of skills and backgrounds.  The principals of Navnish have approximately 50 years of combined experience in owning, developing and operating commercial properties (including retail, multi-family and office, in addition to lodging) throughout the United States.  Navnish currently owns and operates 6 hotels comprising of 811 hotel rooms.  Additional information concerning the Navnish Group may be found at www.navnish.com and the company may be reached at (212) 274-8535.