advertisement
..
|
|
advertisement
|
for $77 million, Approximately $114,000 per Key |
 MCLEAN,
VA, February 17, 2006 - Highland Hospitality Corporation (NYSE:HIH), a
lodging real estate investment trust, or REIT, announced today the signing
of a definitive agreement to acquire the 673-room Renaissance Nashville
hotel in Nashville, Tennessee. The purchase price for the hotel is
$77 million, or approximately $114,000 per key. The Company
intends to close on this acquisition within the next thirty days following
approval of the sale by the ground lessor, and will enter into a long-term
management contract with an affiliate of Marriott International, Inc. (NYSE:MAR)
to operate the hotel under the Renaissance flag. Following the acquisition,
Highland plans to invest approximately $6.5 million in a two-year property
improvement plan at the hotel.
James L. Francis, Highland�s President and CEO, stated, �We are pleased to announce our impending acquisition of the Renaissance Nashville hotel. This property is centrally located in Nashville�s business district, and within walking distance to several of the city�s attractions. We believe our investment in this hotel will provide very attractive stabilized returns for our shareholders that will continue to benefit from a growing Nashville market with high barriers-to-entry.� Highland Hospitality Corporation is a self-advised lodging real estate investment trust, or REIT, focused on hotel investments primarily in the United States. The Company currently owns 23 hotel properties with an aggregate of 6,708 rooms in 11 states, Washington DC and Mexico. Additional information can be found on the Company�s website at www.highlandhospitality.com. Certain statements and assumptions in this press release contain or are based upon �forward-looking� information and are being made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. |
| Contact:
Highland Hospitality Corporation
|