|ATLANTA, March 30, 1999 - Buckhead America Corporation
(Nasdaq: BUCK), the hospitality services company, said it signed a master
development agreement with an affiliate of H.I. Development Corp., Tampa,
Fla., a closely held hotel and resort development company, for the development
of 22 Country Hearth Inn hotels in Florida during the next 10 years.
Under the agreement, Country Hearth Inns of Florida Ltd., the newly created H.I. affiliate, would begin construction of at least two hotels a year for the first five years and three hotels a year for the remaining five years. The company also has an option to develop a total of 66 Country Hearth Inns in 20 years.
H.I. Development has 35 years experience developing and managing hotel properties in the southeastern United States, Puerto Rico and Europe. David H. Callen, president of H.I., said, "We will begin developing Country Hearth Inns immediately in the 60- to 100-room range. We believe the brand and the people at Country Hearth Inn best meet the hospitality product needs for the next two decades."
Douglas C. Collins, chairman, president and chief executive officer of Buckhead America, said, "Country Hearth Inns have been well-received by the traveling public, and now the confidence exhibited by H.I. Development elevates the brand to a new threshold among developers. We are proud to be associated with one of the most respected hotel developers in the nation."
Country Hearth Inns are mid-priced hotels that serve both the business traveler and the vacationer. The hotels combine the homey atmosphere of a bed-and-breakfast, including an expanded complimentary breakfast, manager's reception and free local telephone calls, with the convenience of a modern hotel. Buckhead America is expanding the chain through franchise sales and company development.
The Country Hearth Inn lodging system currently totals 40 operating hotels. In addition, there are 10 properties under construction, 12 signed agreements in various pre-construction stages, and multiple development agreements covering up to 87 more Country Hearth Inns. Buckhead America acquired the then five-unit Country Hearth Inn chain in 1994 and is expanding it nationally through franchise sales and company development.
Buckhead America is a diversified hospitality services company whose holdings include the Country Hearth Inn lodging system and 28 additional hotels owned, leased and/or managed. Buckhead America common shares trade on the Nasdaq National Market System under the stock symbol "BUCK."
|Also See:||Buckhead America Hotel-Management Unit Signs Contracts on Three Florida Properties / Dec 1998|
|Buckhead America Opens First Country Hearth 'Rural Gold' Prototype Hotel in Georgia Under Multi-Property Agreement / Dec 1998|