IRVING, Texas, Jun 2, 2003 /PRNewswire-FirstCall via COMTEX/—FelCor Lodging Trust Incorporated (NYSE: FCH), the nation`s second largest hotel real estate investment trust (REIT), today announced that it had closed on the sale of three non-strategic assets, with aggregate net sales proceeds of $12.1 million. Two non-strategic hotels, the 138-room Hampton Inn(R) in Moline, Illinois, and the 132-room Hampton Inn in Davenport, Iowa were sold, with net sales proceeds of $6.5 million. In addition, a parking facility that is adjacent to FelCor`s Crowne Plaza(R)—Union Square hotel in San Francisco, California, was sold for net sales proceeds of $5.6 million.
In February, the Company announced plans to dispose of 33 non-strategic hotels over 36 months, generally consisting of smaller properties in lower growth markets. Proceeds from the recent sales will be added to working capital. At May 31, 2003, FelCor had cash and cash equivalents of approximately $155 million, after its prepayment in May of a commercial mortgage loan with a principal balance of $7 million and bearing interest at 9.5 percent.
FelCor`s consolidated hotel portfolio revenue per available room (RevPAR) declined 10.9 percent for the month of April, and is estimated to be down seven percent for the month of May, compared to the same period of 2002. The RevPAR for April and May is consistent with the Company`s previous guidance.
FelCor is the nation`s second largest lodging REIT and the nation`s largest owner of full service, all-suite hotels. FelCor`s consolidated portfolio is comprised of 167 hotels, located in 35 states and Canada. FelCor owns 77 upscale, all-suite hotels, and is the largest owner of Embassy Suites(R) and Doubletree Guest Suites(R) hotels. FelCor`s portfolio also includes hotels in the upscale and full service segments. FelCor has a current market capitalization of approximately $2.8 billion. Additional information can be found on the Company`s Web site at www.felcor.com .
With the exception of historical information, the matters discussed in this news release include “forward looking statements” within the meaning of the federal securities laws that are qualified by cautionary statements contained herein and in FelCor`s filings with the Securities and Exchange Commission
SOURCE FelCor Lodging Trust Incorporated