TORONTO, July 14, 2004 - Fairmont Hotels & Resorts Inc. ("FHR")
(TSX/NYSE: FHR) today announced that it has sold The Fairmont Glitter Bay
in Barbados to a group of investors for approximately $31 million, or $620,000
per room, resulting in an after tax gain of about $8 million. The new owners
intend to renovate and develop the property. The resort continues to be
managed by FHR as The Fairmont Glitter Bay.
| "In 1998, we acquired our initial
interest in The Fairmont Glitter Bay as part of the Princess Hotels transaction.
The property's size, its need for renovation and the complicated ownership
structure with privately-owned condominiums precipitated this sale," commented
William R. Fatt, Chief Executive Officer of FHR. "We will maintain ownership
of the recently renovated Fairmont Royal Pavilion on the fabled Gold Coast
in Barbados as well as the adjacent block of undeveloped beach front land,
which has significant future development potential."
FHR is one of North America's leading owner/operators of luxury hotels
and resorts. FHR's managed portfolio consists of 82 luxury and first-class
properties with more than 33,000 guestrooms in the |
The Fairmont Glitter Bay
St. James, Barbados |
United States, Canada, Mexico, Bermuda, Barbados and the United Arab Emirates.
FHR owns Fairmont Hotels Inc., North America's largest luxury hotel management
company, as measured by rooms under management, with 44 distinctive city
center and resort hotels such as The Fairmont San Francisco, The Fairmont
Banff Springs and The Fairmont Scottsdale Princess. FHR also owns Delta
Hotels, Canada's largest first-class hotel management company, which manages
and franchises 38 city center and resort properties in Canada. In addition
to hotel management, FHR holds real estate interests in 22 properties and
an approximate 35% investment interest in Legacy Hotels Real Estate Investment
Trust, which owns 24 properties. |
