The sixteen former Wyndham Garden properties were purchased by Barcelo Hotels USA for $325 million from Dallas investment firm, Bedrock Partners. This single acquisition, to close on April 27, increases Barcelo Hotels USA�s portfolio from two to 18 properties, totaling 4,089 guest rooms.

According to Charles Scott, President of Barcelo Hospitality USA and the executive in charge of Barcelo Hotels USA, �The acquisition marks the growing presence of Barcelo Empresas in the United States. Our worldwide hospitality network and the financial strengths of the company and its partners positions Barcelo Hotels USA�and its affiliate, Barcelo Hospitality USA�for future growth.�

Two of the properties will be managed by Barcelo Hospitality USA, a full-service hospitality company affiliated with Barcelo Hotels USA. This will double Barcelo Hospitality USA�s growing management portfolio from two hotels to four.

�These management contracts will bring us one step closer to achieving our goal for Barcelo Hospitality USA to become a preferred choice of hotel owners by providing a full range of management, asset management, accounting, sales and marketing, and operations services to the hotel industry,� said Scott.  Starwood Hotels Resorts Worldwide, Inc. (NYSE: HOT), will manage 14 properties, with thirteen converting to Four Points, Starwood�s mid-priced, full service brand, and one to Sheraton. The remaining two properties, managed by Barcelo Hospitality USA, will be converted to Clarion Hotels, Choice Hotels International�s (NYSE: CHH) upscale, full-service hotel brand.

As part of the agreements Barcelo has established with Sheraton, Four Points and Clarion, it will have the unique opportunity to co-brand each property with the Barcelo name, reinforcing the Spanish company�s partnership with these prominent American brands.
The Four Points Barcelo properties are in Newark and Piscataway, New Jersey; Pittsburgh, Pennsylvania; Burlington and Waltham, Massachusetts; Oakbrook, Illinois; Kansas City, Missouri; Lexington, Kentucky; Denver, Colorado; Phoenix, Arizona; and Monrovia, Culver City and San Rafael, California. The Sheraton Barcelo hotel is in Annapolis, Maryland.

The Clarion Barcelo properties are located in Romulus, Michigan and Chicago, Illinois. Approximately $25 million will be invested in additional upgrades, raising the properties operating and service standards to match their new brand affiliations.

Prior to the acquisition, Barcelo Hotels USA owned and operated two Radisson Barcelo properties in Washington, D.C. and Orlando, FL.

The Washington hotel contains 301 rooms, while the Orlando property, located on International Drive proximate to the Orange County Convention Center, has 299 rooms, with an additional 221 rooms currently under construction and scheduled to open in June 2000. The Orlando hotel will ultimately be expanded to over 1000 rooms.  

Barcelo Empresas, Spain�s third largest travel and hotel company with approximately $1 billion in annual revenues is the parent company of Barcelo Hospitality USA. Founded in Mallorca, Spain in 1931 as a transport company, Barcelo Empresas has grown into a diversified group of companies with divisions in hotels, travel and construction.  Its hotel division owns 76 properties located in Europe, the Caribbean, the United States, Central and South America, and Asia.

Barcelo Hotels USA is a wholly owned subsidiary of Grubarges Inversion Hotelera, S.A., a Spanish company owned equally by Barcelo Empresas and its partners Fomento de Construcciones y Contratas, S.A., Spain�s largest contractor, and Banco Bilbao Vizcaya Argentaria, Spain�s second largest bank. Barcelo Hospitality USA is a wholly owned subsidiary of Barcelo Empresas.