Prime Hospitality Corp.
(NYSE: PDQ) announced today that it has completed the sale of its Lakeland, FL
Wellesley Inn for $4.9 million. The hotel will continue to be operated as a
Wellesley Inn under a 20-year franchise agreement.
The sale represents Prime`s fifth Wellesley hotel disposition in 2000 and
reflects its ongoing strategic initiative to divest its hotel real estate
while maintaining franchise rights. Prime intends to utilize the proceeds to
repurchase stock, retire debt and/or invest in the growth of its brands.
Since the beginning of the year, Prime has generated approximately
$155 million from the sales of hotels which, in addition to the five Wellesley
Inns, includes three AmeriSuites, the Frenchman`s Reef Marriott hotel in St.
Thomas U.S.V.I. and five HomeGate hotels. Prime currently has several other
asset sales under contract or in negotiation.