Developer Breaks Ground on First All-New Construction Hearthside by Villager Extended Stay Hotel in

Villager Franchise Systems today announced that franchisee Dipak Patel has begun building the first all-new construction Hearthside by Villager extended stay hotel, a 67-room, two-story property at 3910 12th Avenue in Shakopee, MN.

The hotel, which will bring approximately 10 new jobs to the area, is expected to open in the fourth quarter of this year. “I`m truly excited to welcome Mr. Patel into the growing Villager family,” says Anthony Falor, Villager president and chief executive officer. “The groundbreak of this hotel demonstrates the Villager brand`s continuing popularity in the economy extended-stay segment and confirms the viability of our all-new-construction Hearthside by Villager tier.”

Patel said he is “delighted to join an organization that is a leader in the economy extended-stay segment,” adding, “I believe the Villager brand`s national marketing presence, brand recognition and resources will help ensure the success of this new hotel.”

Hearthside by Villager features four room types including efficiencies, executive suites and one- or two-bedroom corporate apartments, all specifically designed to appeal to the growing demand for extended-stay lodging.

Villager Franchise Systems Inc., an extended-stay chain of 116 hotels representing more than 11,500 guestrooms in the United States, Canada and Mexico, is a subsidiary of Cendant Corporation (NYSE: CD). For reservations or further information, call the Villager toll-free reservations number, (800) 328-7829, or access the chain`s Web site at