MeriStar Hospitality Corporation (NYSE: MHX), the nation`s third largest hotel real estate investment trust (REIT), today announced that it had completed the sale of the 149-suite St. Tropez Hotel & Plaza in Las Vegas, Nev., for an undisclosed amount.
“We continue to pursue our strategy of selling non-core assets,” said Paul W. Whetsell, chairman and chief executive officer. “Since the end of the third quarter of 2002, we have sold three assets and generated total net proceeds of approximately $47.0 million. With these recent dispositions and the $42.1 million proceeds from the settlement of our note receivable with Interstate, we have significantly enhanced our liquidity and financial flexibility. We will seek additional opportunities to dispose of non-core assets in the first half of 2003.”
Washington, D.C.-based MeriStar Hospitality Corporation owns 106 principally upscale, full-service hotels in major markets and resort locations with 27,432 rooms in 26 states, the District of Columbia and Canada. The company owns hotels under such internationally known brands as Hilton, Sheraton, Marriott, Westin, Radisson and Doubletree. For more information about MeriStar Hospitality Corporation, visit the company`s Web site: www.meristar.com.
This press release contains forward-looking statements about MeriStar Hospitality Corporation, including those statements regarding future operating results and the timing and composition of revenues, among others. Except for historical information, the matters discussed in this press release are forward-looking statements that are subject to certain risks and uncertainties that could cause the actual results to differ materially, including the following: the current slowdown of the national economy; economic conditions generally and the real estate market specifically; the impact of the September 11, 2001 terrorist attacks or actual or threatened future terrorist incidents; legislative/regulatory changes, including changes to laws governing the taxation of REITs; availability of capital; interest rates; competition; supply and demand for hotel rooms in our current and proposed market areas; and changes in general accounting principles, policies and guidelines applicable to REITs. Additional risks are discussed in the Company`s filings with the Securities and Exchange Commission, including the Company`s annual report on Form 10-K for the year ended December 31, 2001.