Jones Lang LaSalle Announces Sale of Hyatt Regency Washington to Blackstone

Feb 24, 2004, 00:00 AM by User Not Found
WASHINGTON, DC, February 24, 2004 – Jones Lang LaSalle Hotels has arranged the sale of the Hyatt Regency Washington, D.C. on Capitol Hill on behalf of SHC Capitol, LLC to BRE/Capitol Hill LLC (an affiliate of the Blackstone Group) for an undisclosed price.

WASHINGTON, DC, February 24, 2004 – Jones Lang LaSalle Hotels has arranged the sale of the Hyatt Regency Washington, D.C. on Capitol Hill on behalf of SHC Capitol, LLC to BRE/Capitol Hill LLC (an affiliate of the Blackstone Group) for an undisclosed price.

“Washington, D.C. is one of the most sought after markets for hotel investors,” said Thomas Fisher, Senior Vice President of Jones Lang LaSalle Hotels, who spearheaded the deal. “The level of investor interest was keen. The Hyatt Regency was particularly attractive due to its strong historical financial performance and its outstanding track record and reputation in the corporate and group markets.”

The Hyatt Regency Washington, D.C. on Capitol Hill is an 834-room, deluxe, full-service hotel situated in the heart of the District of Columbia -- the largest on Capitol Hill. It contains nearly 35,000 square feet of recently renovated meeting space and is steps from the U.S. Capitol, Library of Congress, Supreme Court, Smithsonian Museums, Washington Mall and Amtrak's Union Station. It is only nine blocks from the new, 2.3 million-square-foot Washington Convention Center that opened in March 2003.

Blackstone plans to commence work immediately on a guestroom renovation and capital improvement plan which will total in excess of $10 million.

“The Hyatt Regency Washington, D.C. on Capitol Hill is proximate to some of the most visited tourist attractions in the country,” said Arthur Adler, Managing Director and CEO-Americas of Jones Lang LaSalle Hotels. “The hotel will benefit from the District of Columbia’s renaissance including the opening of the new convention center, the restoration of Union Station and on-going improvements to its numerous museums and monuments. The economic vigor of Washington, D.C. has resulted in solid levels of lodging demand that has made it one of the top hospitality markets in the nation.”

Jones Lang LaSalle Hotels, the world’s leading hotel investment services group, provides clients with valueadded investment opportunities and advice. In 2003, its success story includes the sale of 12,429 hotel rooms to the value of US$2.4 billion in 59 cities and advisory expertise on 119,814 rooms to the value of US$18.8 billion across 281 cities. Jones Lang LaSalle Hotels’ services include transactions, mergers and acquisitions, financial advice and capital raising, valuation and appraisal, asset management, strategic planning, operator assessment and selection and industry research. Jones Lang LaSalle (NYSE: JLL) is the world’s leading real estate services and investment management firm, operating across more than 100 key markets on five continents. www.joneslanglasallehotels.com

About The Blackstone Group

The Blackstone Group, a private investment bank with offices in New York, London and Hamburg, was founded in 1985. Blackstone’s Real Estate Group has raised four funds representing approximately $4 billion in total equity. The group has made over 100 separate investments in hotels, offices and other commercial properties with a total transaction value in excess of $13 billion. In addition to real estate, The Blackstone Group’s core businesses include Private Equity Investing, Corporate Debt Investing, Marketable Alternative Asset Management, Mergers & Acquisitions Advisory, and Restructuring & Reorganization Advisory. www.blackstone.com