EXHIBIT 99.1 - ------------ LaSalle Hotel Properties 3 Bethesda Metro Center, Suite 1200 Bethesda, MD 20814 Ph. (301) 941-1500 Fax (301) 941-1553 www.lasallehotels.com - ------------------------------------------------------------------------ LASALLE HOTEL PROPERTIES COMPLETES $59.6 MILLION SECURED DEBT FINANCING 5.35 Percent Loan Secured by Hilton San Diego Gaslamp Quarter BETHESDA, MD, JUNE 8, 2005 -- LaSalle Hotel Properties (NYSE: LHO) today announced that it has successfully executed a $59.6 million secured loan with KeyBank at a fixed rate of 5.35 percent. The term of the loan is seven years and is collateralized by the Company's 282-room Hilton San Diego Gaslamp Quarter. Proceeds from the financing will be used to reduce LaSalle's outstanding balance on its credit facility. LaSalle Hotel Properties is a leading multi-tenant, multi-operator real estate investment trust, which owns interests in 22 upscale and luxury full-service hotels, totaling approximately 6,800 guest rooms in 14 markets in 10 states and the District of Columbia. The Company focuses on investing in upscale and luxury full-service hotels located in urban, resort and convention markets. LaSalle Hotel Properties seeks to grow through strategic relationships with premier internationally recognized hotel operating companies including, Westin Hotels and Resorts, Sheraton Hotels & Resorts Worldwide, Inc., Crestline Hotels and Resorts, Inc., Outrigger Lodging Services, Noble House Hotels & Resorts, Hyatt Hotels Corporation, Benchmark Hospitality, White Lodging Services Corporation, Sandcastle Resorts & Hotels, Davidson Hotel Company, and the Kimpton Hotel & Restaurant Group, LLC. Certain matters discussed in this press release may be deemed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although LaSalle Hotel Properties believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Certain factors that could cause actual results to differ materially from the Company's expectations are listed in the Company's Annual Report on Form 10-K for the year ended December 31, 2004, and subsequent SEC reports and filings. LaSalle assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events. # # # ADDITIONAL CONTACTS: - ------------------- Hans Weger, Chief Financial Officer, LaSalle Hotel Properties - 301/941-1500 For additional information or to receive press releases via e-mail, please visit our web site at www.lasallehotels.com