HEI Hotels & Resorts (HEI), one of the nation's fastest growing private owner/operator of hotel real estate, today announced that the company recently acquired the 170-room Stoneleigh Hotel inDallas, Texas and the 115-suite Residence Inn Clearwater Downtown inClearwater, Florida.

Originally opened in 1923, The Stoneleigh is a historic landmark hotel in the Uptown section ofDallas. The hotel's former owner undertook a comprehensive$36 millionrenovation of the beaux-art landmark building in 2008. However, due to the impact of the Great Recession, the hotel was unable to reach its full potential. With HEI's recent acquisition, the hotel is now under new management and has been rebranded as a Le Meridien hotel. The Starwood brand affiliation has provided the hotel access to Starwood's global distribution system and fills the void in the Dallas Uptown/CBD markets left when the Westin was converted to Marriott inSeptember 2010. HEI plans to update furniture in the lobby bar area and develop a luxurious courtyard garden as part of the hotel's repositioning as the Dallas Uptown place to meet and mingle.

"The Stoneleigh transaction exemplifies HEI's ability to identify and acquire exceptional hotels in top US markets," saidAnthony R. Rutledge, CEO of HEI. "We continue to create value for our investors, guests and associates by acquiring fundamentally good assets in need of better business strategy to truly succeed."

The 115-suite Residence Inn in Clearwater Downtown was developed in 2008. HEI acquired the hotel as part of its growing portfolio of premium select-service hotels and shows HEI's ability to flex its operating platform to maximize the value of hotel assets in all segments. The hotel will continue its affiliation with Marriott's Residence Inn brand.

"With plenty of available capital and a best-in-class operating platform, HEI continues to pursue acquisition opportunities such as these two deals," Rutledge said. "We are confident that the next few years will continue to offer great opportunities for us to deploy equity and create value for all of our stakeholders."

About HEI Hotels & Resorts

HEI Hotels & Resorts, headquartered in Norwalk, Conn., is a leading hospitality investment and management company that owns or operates more than 100 luxury, upper-upscale and upscale independent and branded hotels and resorts throughout the United States. HEI's branding partners include Marriott, Hilton, Hyatt, IHG, Choice and Wyndham. The company is renowned for its commitment to its associates under the culture of HEI Loves, its revenue management, profit contribution and empirically based real estate value creation, driven by a full complement of proprietary software tools to set and exceed targets on a fully integrated basis. HEI works hand-in-hand with institutional capital partners on existing assets under management as well as sponsored acquisition opportunities. The company has ample equity capital and strategically co-invests with its partners on many transactions. To learn more about HEI, please visit www.heihotels.com.