Highland Signs to Re-Flag Tremont Boston

Highland Hospitality
Corporation , a lodging real estate investment trust, or REIT, announced
today the signing of a definitive agreement with Marriott International,
Inc. to re-flag the Tremont Boston Hotel located in Boston, Massachusetts
to the Boston Tremont Courtyard by Marriott hotel, beginning in early
2005. Marriott International will begin management of the property under a
long-term agreement on October 16, 2004. Highland acquired the property as
part of a four-hotel portfolio from Wyndham International, Inc. on August
19, 2004. James L. Francis, Highland’s President and CEO, stated, “We are excited
about our plans to re-flag the Tremont Boston Hotel and look forward to
working with Marriott International to realize the potential of this asset
as an urban Courtyard hotel. We plan to invest in excess of $6 million in
order to bring this property in line with the high quality standards of
the Courtyard brand.”

Chad Waetzig, senior vice president of select service lodging for Marriott
International, said, “We are excited to work with Highland to welcome this
landmark hotel situated in the middle of Boston’s vibrant downtown into
our Courtyard system. Bringing the Tremont hotel into our Courtyard
portfolio expands our collection of historic hotels to 17, and fits well
with our strategy of building the brand in prime urban locations.”

The 322-room Tremont Boston Hotel is situated in downtown Boston in the
heart of the city’s Theater District. The hotel is centrally located near
Boston’s financial district and government center, and within walking
distance to Boston Common, Newbury Street, Faneuil Hall Marketplace and
the Back Bay.
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