The 311-room Conrad Chicago, previously a Le Meridien hotel, has been purchased by an investment group led by Chicago-based Lodging Capital Partners, LLC., which has signed an agreement with Conrad Hotels to operate and manage the hotel. 

Plans for a complete repositioning of the hotel are being developed, and once complete, will significantly enhance the luxury experience -- providing new levels of exemplary service, contemporary decor and luxurious amenities, synonymous with Conrad hotels worldwide. In addition, special attention will be paid to infusing the hotel with Chicago's rich cultural and artistic flavor. 

"We are excited that Conrad Hotels is now in Chicago -- no doubt, one of the most important and vibrant cities in North America -- and this is certainly an essential part of the Conrad brand's expansion plans in the region," said Dieter Huckestein, chairman and CEO, Conrad Hotels. "The synergies provided by the strong existing network of the Hilton Family of Hotels in Chicago will help ensure the success of this new luxury option." 

The growth of the Conrad brand in North America will continue in March 2006 with the opening of the Conrad Indianapolis. The U.S. portfolio will then include the two Midwest properties, The Waldorf Towers(R) in New York City and the Conrad Miami. 

The Conrad Chicago is located between Rush Street and Michigan Avenue in the heart of Chicago's Magnificent Mile. With an exclusive entrance at 521 North Rush Street, the Conrad Chicago rises above the Westfield North Bridge shopping center and the Nordstrom department store on North Michigan Avenue. The hotel's favorable location gives it close proximity to The Loop, Chicago's financial district, Lake Michigan, Navy Pier and the Merchandise Mart. 

"We have every confidence that the Conrad Chicago will offer an excellent luxury product in such a strategic market place," said Steve Kisielica, principal, Lodging Capital Partners. "We are pleased that Conrad, one of the world's finest hotel brands, has joined us in this partnership, which will lead to a range of mutually beneficial achievements for our two companies." 

About Conrad Hotels 
With award-winning properties in the U.S., U.K., Ireland, Belgium, Egypt, Turkey, Hong Kong, Singapore, Thailand, Indonesia, Japan, Australia and Uruguay, Conrad has 19 luxury city and resort hotels that welcome guests in exotic and cosmopolitan destinations. Conrad Hotels has established and maintained the highest levels of service delivery with the renowned "Conrad Service Culture." The hotels provide fine accommodation, excellent restaurants, fully equipped health clubs and sophisticated meetings facilities. Six Conrad development projects are planned in the U.S., the Caribbean, Thailand, China, Indonesia and the UAE (Dubai) between 2006 and 2008.

About Lodging Capital Partners 
LCP was formed by David Sims, Bradley Falk and Steve Kisielica to become a premier owner of full-service hotels, primarily in the United States and in selected international markets. Members of LCP have combined 35 years of experience in hotel valuation, acquisitions, financing, asset management and dispositions. The team have purchased over $3.5 billion of properties, implemented over $5 billion of financings, raised over $1.5 billion of public and private equity and sold $1 billion worth of assets, all of which relate to full-service hotels and resorts. Additional information can be found at www.lodgingcapital.com.

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