EXHIBIT 99.1
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LaSalle Hotel Properties
3 Bethesda Metro Center, Suite 1200
Bethesda, MD 20814
Ph. (301) 941-1500
Fax (301) 941-1553
www.lasallehotels.com
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LASALLE HOTEL PROPERTIES ANNOUNCES PUBLIC OFFERING OF $75.0 MILLION
IN SERIES D CUMULATIVE REDEEMABLE PREFERRED SHARES AT 7.50%
BETHESDA, MD, AUGUST 19, 2005 -- LaSalle Hotel Properties (NYSE: LHO)
today announced the public offering of $75.0 million Series D Cumulative
Redeemable Preferred Shares with a fixed distribution rate of 7.50 percent
per year. All of the shares are being sold by the Company. The offering
is expected to close on August 24, 2005. The Company expects to list the
shares on the New York Stock Exchange. The net proceeds of the offering
will be used to partially fund the pending acquisition of the Westin Copley
Place and repay existing indebtedness under the Company's senior unsecured
credit facility.
Raymond James & Associates, Inc. acted as the lead underwriter for
this transaction. Also underwriting the deal were A.G. Edwards & Sons,
Inc., KeyBanc Capital Markets, a division of McDonald Investments, Inc. and
Harris Nesbitt. In addition to the 3,000,000 shares offered, the Company
has granted an option to purchase up to an additional 300,000 shares to
cover over-allotments, if any. A copy of the prospectus supplement
relating to the shares may be obtained from Raymond James & Associates,
Inc., 880 Carillon Parkway, St. Petersburg, FL 33716.
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, Hilton Hotels Corporation, Benchmark Hospitality, White
Lodging Services Corporation, Sandcastle Resorts & Hotels, Davidson Hotel
Company, and the Kimpton Hotel & Restaurant Group, LLC.
This press release, together with other statements and information publicly
disseminated by the Company, contains certain forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. The Company intends such forward-looking statements to be covered
by the safe harbor provisions for forward-looking statements contained in
the Private Securities Litigation Reform Act of 1995 and includes this
statement for purposes of complying with these safe harbor provisions.
Forward-looking statements, which are based on certain assumptions and
describe the Company's future plans, strategies and expectations, are
generally identifiable by use of the words "believe," "expect," "intend,"
"anticipate," "estimate," "project" or similar expressions. Forward-looking
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statements in this press release include, among others, statements about
the Company's plans and ability to assume debt, issue securities, obtain
financing and close certain property acquisitions. You should not rely on
forward-looking statements since they involve known and unknown risks,
uncertainties and other factors that are, in some cases, beyond the
Company's control and which could materially affect actual results,
performances or achievements. Factors that may cause actual results to
differ materially from current expectations include, but are not limited
to, (i) the Company's dependence on third-party managers of its hotels,
including its inability to implement strategic business decisions directly,
(ii) risks associated with the hotel industry, including competition,
increases in wages, energy costs and other operating costs, actual or
threatened terrorist attacks and downturns in general and local economic
conditions, (iii) the availability and terms of financing and capital and
the general volatility of securities markets, (iv) risks associated with
the real estate industry, including environmental contamination and costs
of complying with the Americans with Disabilities Act and similar laws, (v)
interest rate increases, (vi) the possible failure of the Company to
qualify as a REIT and the risk of changes in laws affecting REITs, (vii)
the possibility of uninsured losses, and (viii) the risk factors discussed
in the Company's Annual Report on Form 10-K. Accordingly, there is no
assurance that the Company's expectations will be realized. Except as
otherwise required by the federal securities laws, the Company disclaims
any obligations or undertaking to publicly release any updates or revisions
to any forward-looking statement contained herein (or elsewhere) to reflect
any change in the Company's expectations with regard thereto or any change
in events, conditions or circumstances on which any such statement is
based.
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ADDITIONAL CONTACTS:
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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 website at www.lasallehotels.com
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