Hotel Online  Special Report

Unique Agreement With Non-Profit Salvation Army
Allows for Contruction of Homewood Suites
by Hilton in Salt Lake City


MEMPHIS, Tenn. - June 10, 2004 -- Homewood Suites by Hilton(R), the national brand of upscale all-suite, residential-style hotels, announced today a unique agreement for a 124-suite hotel in Salt Lake City. Rio Grande Development, LLC, a partnership between the Salvation Army and US Development, Inc., located in Layton, Utah, is developing the hotel, scheduled to open spring of 2005. Hilton Hotels Corporation will manage the hotel.

The hotel has just broken ground at 423 W. 300 South, on land owned by the Salvation Army. The property previously housed a Salvation Army soup kitchen and thrift store, both of which were relocated locally. More than half of the profits (55 percent) generated by Rio Grande Development from this hotel will be used to support the Salvation Army's homeless and family services in the Salt Lake City area.

This hotel will become part of the fast-growing roster of more than 130 Homewood Suites by Hilton hotels. This will be the second Homewood Suites by Hilton in Salt Lake City.

George B. Smith, project manager at Rio Grande Development, said, "We are excited to be embarking on this project with Homewood Suites by Hilton. The redevelopment of this downtown area of Salt Lake City provides an ideal place for a hotel of this nature. Both Salt Lake City and the Salvation Army will benefit from this hotel in many different ways, from the hotel services it will provide to visitors, as well as both Salt Lake City tourism and residents through proceeds to the Salvation Army."

The new Homewood Suites by Hilton will feature residential-style studios, one- and two-bedroom suites with fully equipped kitchens, and spacious sleeping and living areas that are large enough for work, study, entertainment and relaxation. Each unit will include a fully equipped kitchen and spacious sleeping and living areas that are large enough for work, study, entertaining or relaxing.

Jim Holthouser, senior vice president, brand management, Homewood Suites by Hilton, said, "We are thrilled that the Salvation Army and US Development, Inc. have chosen the Homewood Suites flag for their hotel. This is the first time Homewood Suites has entered into this type of relationship and we are pleased that the Salvation Army and Salt Lake City will benefit from the hotel."

Launched in 1989, the Homewood Suites by Hilton brand today has more than 130 hotels open, with another 50 in the pipeline.

Homewood Suites by Hilton is part of Hilton Hotels Corporation, which is recognized internationally as a preeminent hospitality company.

Hilton Hotels Corporation
Also See: Cartage Inc. Building $65 million Homewood Suites Condo/Hotel in Fort Lauderdale; Will Be Homewood's First Leisure Property / April 2004
Urgo Hotels Tremblant II, ULC Opens First Canadian Homewood Suites in Mont-Tremblant, Quebec / March 2003

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