GuestHouse International, the owner-friendly franchise, today announced the explosive growth of its pipeline of hotels open or in development. In the fourth quarter of 2000, the company opened over 1,000 new guestrooms. Since January 1, 2000, GuestHouse International has expanded its total number of hotels open or in development by 58, an increase of more than 80%.

In the fourth quarter, GuestHouse International opened 8 hotels in 6 different states. The new hotels are located in Montgomery and Tuscaloosa, AL; Daly City and Hemet, CA; Augusta, GA; Lake City, FL; Hazel Park, MI and Bismarck, ND. GuestHouse International ended the year with 65 operating hotels, an increase of 41% since the beginning of the year. The brand also increased the total number of hotels open or under development to 130, an increase of 81%.

Commenting on the growth, President Rob Wilson stated “We are very pleased to see such tremendous interest in GuestHouse International. It is a real testament to our owner-friendly approach to franchising.”

GuestHouse International is a mid-market brand comprised of individually owned Inns, Hotels, Suites and Suites Plus properties. The brand encourages property diversity and provides a unique conversion or new construction opportunity for a wide variety of quality properties. GuestHouse International properties include conversions from industry leaders such as Ramada, Comfort, Howard Johnson and Residence Inn by Marriott. The brand`s franchising concept centers on fair treatment of owners and results-driven support to its properties. GuestHouse International license agreements include remarkably low flat fees, short 5-year agreements, designated areas of protection and a lenient liquidated damages policy.

GuestHouse International is a subsidiary of Suburban Lodges of America, Inc. (Nasdaq:SLAM). In addition to its GuestHouse International brand, Suburban Lodges of America owns, franchises and manages Suburban Lodge hotels, the nation`s largest chain of economy extended-stay hotels. For information about GuestHouse International locations nationwide, call 1-800-21-GUEST or visit www.guesthouseintl.com. For information about franchising opportunities, call 1-888-951-2100.

The matters discussed in the foregoing paragraphs of this news release include forward-looking statements that involve risks and uncertainties that could cause results to differ from anticipated results. These factors include, but are not limited to, economic conditions, financial markets and the availability of financing, the Company`s ability to enter into contracts with its franchisees, development efficiencies including planning and zoning approvals, site acquisition and weather delays, the Company`s financial condition and other risks indicated in the Company`s filings with the Securities and Exchange Commission.

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