PHILADELPHIA, November 16, 2011—Mast Capital, a Florida-based real estate private equity firm has closed on the purchase of the Hotel Monticello in Washington, D.C.  The Hotel Monticello, a seven-story boutique hotel located in Washington D.C.’s Georgetown neighborhood, is the second oldest hotel in Georgetown and has only traded once since opening in 1967.  Located near the Four Seasons Washington D.C. and the Ritz Carlton Georgetown, the Hotel Monticello maintains one of the most coveted addresses in the District and will be the gem of Georgetown following Mast Capital’s repositioning plans.  Hersha Hospitality Management (HHM) has been named as manager and plans to operate the hotel as part of its Independent Collection of hotels.

The Hotel Monticello is a reproduction of an old Georgetown manor and will feature 58 newly appointed, over-sized guestrooms, improved roof top amenities, an innovative food and beverage experience, upgraded technology package and expanded common areas after its upcoming redevelopment, currently planned to commence in early 2012.  Located at the intersection of M Street NW and 30th Street, The Monticello benefits from its proximity to the nation’s top tourist attractions, renowned universities, luxury retailers, and world class restaurants.

“The Hotel Monticello is a very exciting investment for Mast Capital,” stated Camilo Miguel, Jr., Chief Executive Officer of Mast Capital.  “The hotel is our first hospitality acquisition in the Washington D.C. metropolitan area, one of the strongest and most consistent lodging markets in the United States.  We are looking forward to reinvigorating the hotel and enhancing its already charming character.  Mast Capital and HHM worked closely in getting this acquisition closed and are excited about the future success of the property.”

The Hotel Monticello represents HHM’s eighth hotel in the Washington, D.C. metropolitan area and the first hotel that HHM will be managing for Mast Capital.  “We are excited to add the Hotel Monticello to HHM’s growing portfolio of independent hotels.  It’s our first property in the vibrant neighborhood of Georgetown, and the hotel has the unique personality that we look for in the Independent Collection.  We look forward to continuing to build our partnership with Mast Capital,” stated Naveen Kakarla, Chief Executive Officer.

About Mast Capital
Mast Capital is a Florida-based, value-oriented private real estate investment company seeking to invest across the capital structure in real estate debt, equity and securities.  Its discretionary capital together with its strong internal operational and management capabilities enhances its ability to react quickly and take advantage of pricing disparities that exist in the market.  The company’s objective is to identify, acquire and manage real estate and real estate related assets, including the purchase of performing and nonperforming debt instruments and value-add opportunities across its verticals.  Additionally, Mast Capital can employ creative structures to enable the firm to transact on unique and complex opportunities.  Mast Capital focuses its efforts on hospitality, residential, office and retail opportunities throughout the United States.

About Hersha Hospitality Management
Hersha Hospitality Management currently operates over 80 hotels.  In addition to boutique hotels, Hersha Hospitality also provides turnkey hotel management and asset management for properties with leading brand affiliations through Marriott, Hilton, Hyatt, Starwood, and Intercontinental Hotel Group.  It is currently operating Independent Collection hotels in the Northeast and Florida with future sites identified on the West Coast.  This highly experienced team is accustomed to serving as a fiduciary to publicly traded companies, joint ventures, institutional real estate owners and private investors.