�We made tremendous progress in 2004, bringing to 34 the number of hotels that have completed major renovations in the past three years,� said W. Thomas Parrington, president and chief executive officer. �Including the additional projects currently under way and planned, we will have refurbished and updated approximately 75 percent of our core hotel properties by the end of 2005. 

�We are seeing positive benefits from the completed renovations, the timing of which has dovetailed nicely with the rebound in the hotel industry.  Our renovated core hotels are now very competitive in their respective markets, and we are seeing gains in market share as travelers return to our renovated hotels.  Our goal is to keep our products, including those with renovations currently in the planning stage, competitive and in good physical condition.�

The Hotels

The hotels listed below completed major renovations in 2004:

1. Courtyard by Marriott Atlanta Buckhead, GA
2. Residence Inn by Marriott Little Rock, AR
3. Courtyard by Marriott Lafayette, LA
4. Courtyard by Marriott Paducah, KY
5. Fairfield Inn by Marriott Merrimack, NH
6. Courtyard by Marriott Tulsa, OK
7. Courtyard by Marriott Bentonville, AK
8. Courtyard by Marriott Abilene, TX
9. Fairfield Inn by Marriott Valdosta, GA
10. Courtyard by Marriott Florence, KY
11. Crowne Plaza Macon, GA
12. Holiday Inn Select, Windsor, Ontario
13. Quality Hotel Metairie, LA
14. Crowne Plaza Phoenix Airport, AZ (conversion from a Holiday Inn Select)
15. Holiday Inn Brunswick, GA
16. Holiday Inn Express Gadsden, AL

Major renovations are under way at the following hotels, including five that were damaged in the 2004 hurricane season, and are expected to be completed in the first half of 2005:

1. Radisson Phoenix, AZ
2. Radisson Kenner New Orleans Airport, LA (conversion to Radisson expected in March 2005)
3. Holiday Inn Winter Haven, FL (hurricane repairs)
4. Holiday Inn University Mall Pensacola, FL (hurricane repairs)
5. Holiday Inn Express Pensacola, FL (hurricane repairs)
6. Crowne Plaza West Palm Beach, FL (hurricane repairs)
7. Holiday Inn Melbourne, FL (hurricane repairs)
8. Holiday Inn Santa Fe, NM
9. Crowne Plaza Silver Spring, MD (conversion from Holiday Inn expected in 2005)
10. Holiday Inn Baltimore Inner Harbor, MD

Lodgian is in the planning/bidding/contracting phase to upgrade the following hotels by year end 2005:

1. Holiday Inn Hilton Head, SC
2. Holiday Inn Pittsburgh Meadowlands, PA
3. Holiday Inn Pittsburgh Monroeville, PA
4. Holiday Inn Pittsburgh North Hills, PA
5. Crowne Plaza Houston, TX
6. Holiday Inn Select Strongsville/Cleveland Airport, OH
7. Holiday Inn St. Paul/Arden Hills, MN
8. Holiday Inn Myrtle Beach, SC
9. Holiday Inn Baltimore BWI, MD
10. Holiday Inn Sheffield, AL
11. Fairfield Inn by Marriott Augusta, GA
12. Fairfield Inn by Marriott Jackson, TN
13. Fairfield Inn by Marriott Colchester, VT

About Lodgian
Lodgian is one of the largest independent owners and operators of full-service hotels in the United States.  At the end of the 2004 third quarter adjusted for the recent sale of two hotels, the company managed a portfolio of 85 hotels with 16,088 rooms located in 30 states and Canada.  Of the company�s 85-hotel portfolio, 72 are under the InterContinental Hotels Group (Crowne Plaza, Holiday Inn, Holiday Inn Select and Holiday Inn Express) and Marriott brands (Courtyard by Marriott, Fairfield Inn and Residence Inns), and 10 are affiliated with four other nationally recognized hospitality franchises.  Three hotels are independent, unbranded properties. 

This press release includes forward-looking statements related to Lodgian�s operations that are based on management�s current expectations, estimates and projections.