Host Marriott Corporation today announced that it has sold three hotels
and signed an agreement to sell two additional hotels for total proceeds
of $70 million to a joint venture comprised of HEI Hospitality, Greenfield
Partners, LLC and GIC Real Estate. The three hotels sold were the Atlanta
Marriott Northwest, the Detroit Airport Marriott, and the Detroit Marriott
Southfield hotels. The closing of the sale of the two remaining hotels,
the Atlanta Marriott Norcross and the Fullerton Marriott at California
State University, is expected to occur in mid March and is subject to
customary closing conditions. In addition, the Company announced the sale
of the Mexico City Airport Marriott hotel for total proceeds of $30
million. The proceeds from these sales are expected to be used to repay
debt or for other corporate purposes.

The Company intends to increase its sales efforts for its non-core assets
as a result of strong demand in the market. The Company now forecasts the
sale of a total of approximately $500 million of assets in 2004 (including
the transactions announced today) with the majority of dispositions
occurring in the first half of the year. Sales proceeds will be used to
pay down debt, invest in the Company`s existing portfolio and/or
acquisitions. To the extent the proceeds are employed to repay debt, the
Company expects to incur certain one-time adjustments, consisting of call
premiums and accelerated deferred financing costs (in addition to the
amounts discussed in our December 30, 2003 press release).

Christopher J. Nassetta, president and chief executive officer, stated,
“We believe selling non-core assets in this environment is the right
long-term strategic decision for the company. The sale of these non-core
assets will enhance the overall quality of our portfolio and our long-term
earnings growth rate.”

The Company has finalized the review of individual property budgets for
2004 and continues to believe that its prior RevPAR and margin guidance
are still appropriate. RevPAR is expected to increase approximately 3% to
4% from 2003 and margins will be generally flat. The Company will provide
initial 2004 earnings guidance on its fourth quarter earnings call
scheduled to take place on February 24, 2004.

Host Marriott is a Fortune 500 lodging real estate company, which owns 113
upscale and luxury full-service hotel properties primarily operated under
Marriott, Ritz-Carlton, Four Seasons, Hyatt, Westin and Hilton brand names.

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