Plans to Build a 157-suite Embassy Suites
|PALM BEACH, Fla., September 14, 2004 — Innkeepers USA Trust (NYSE:
KPA), a hotel real estate investment trust (REIT) and a leading owner of
upscale, extended-stay hotel properties throughout the United States, today
announced that it has acquired a site in Valencia, Calif., for $3.7 million
and plans to build a 157-suite Embassy Suites hotel there. When completed,
the hotel will be managed by Innkeepers Hospitality Management, Inc.
Jeffrey H. Fisher, chief executive officer and president of Innkeepers
USA Trust, owns Innkeepers Hospitality Management.
Valencia, located 30 miles north of downtown Los Angeles in the city of Santa Clarita, within the Santa Clarita Valley, is home to Valencia Gateway, the largest master-planned center for business, technology and industry in Los Angeles, encompassing more than 4,700 acres and 22 million square feet of office space housing 1,400 companies and 44,500 employees. Valencia Gateway is located adjacent to the Golden State (I-5) Freeway and Highway 126, providing the area with a steady base of corporate demand. Valencia also is the largest master-planned residential community in Los Angeles County. Valencia’s neighboring Newhall Ranch development plan includes housing for 58,000 residents within the community’s five villages, with over 20,800 homes upon buildout.
“The Santa Clarita Valley is one of the hottest growth areas in Southern California, and Valencia, with its numerous business and leisure demand generators, has all of the characteristics we look for,” Fisher said. “Numerous companies have relocated or expanded their presence in the area over the last few years, including Princess Cruises, Specialty Laboratories, Advanced Bionics and Kaiser Permanente, to name a few. On the leisure side, Six Flags Magic Mountain will continue to generate visitation into the area and provides a stable base of leisure demand for the local hotel market. The city of Santa Clarita also offers six premier golf courses, including the Tournament Players Club at Valencia.”
Fisher added that the acquisition is part of a strategic relationship
the company has formed with Dimension Development for the purpose of acquiring
and developing hotels throughout the United States. “This will be
our second development with Dimension, a highly regarded developer/operator
in our industry. Dimension has been recognized with a number of awards,
including Hilton’s (NYSE: HLT) prestigious ‘Developer of the Year’ award.
This will be our first Embassy Suites hotel, a Hilton brand, and we look
forward to building on our relationships with Dimension and Hilton.”
Innkeepers USA Trust is a hotel real estate investment trust (REIT) and a leading owner of upscale, extended-stay hotel properties throughout the United States. The company owns 68 hotels with a total of 8,579 suites or rooms in 21 states and focuses on acquiring and/or developing upscale and upscale extended-stay hotels with premium brands and the rebranding and repositioning of other hotel properties.
Cautionary statements set forth in reports filed by the company from time to time with the SEC discuss important factors impacting, or that could impact, the company and its results or forecasted results.
EVP, CFO and Treasurer
|Also See:||Innkeepers USA Trust Acquires the 216-room Four Points by Sheraton in Ft. Walton Beach, Florida, for $30 million / May 2004|
|The 146-suite Homewood Suites on San Antonio’s Riverwalk Acquired by Innkeepers USA Trust for $21 million / May 2004|