Starwood Hotels Completes Sale of Aloft and Element Lexington

  Starwood Hotels Completes Sale of Aloft and Element Lexington

Business Wire

STAMFORD, Conn. -- January 31, 2013

Starwood Hotels & Resorts Worldwide, Inc. (NYSE:HOT) today announced that it
has completed the sale of Aloft and Element Lexington to Rockwood Capital for
$36 million. As part of the agreement, the dual-hotel development in
Lexington, Massachusetts will be managed under long-term license agreements by
Paramount Hotel Group and continue to fly the Aloft and Element flags.

“This sale is consistent with Starwood’s asset-light strategy as we continue
to seek opportunities to sell owned real estate at the right time to the right
owners,” said Simon Turner, President of Global Development for Starwood.
“Starwood completed over $500 million of hotel asset sales in 2012, and
investor interest in the company’s other owned assets has increased markedly
as hotel industry fundamentals and capital markets have continued to improve.”

“We are thrilled to be expanding our relationship with Starwood. We view these
properties as an excellent fit with our strategy to acquire strong
income-producing properties in one of our key target markets on the east
coast,” said Tony Larino, Managing Director and Head of Lodging at Rockwood

Built by Starwood and opened in 2008, Aloft Lexington and Element Lexington
share the same parcel of land at 727 Marrett Road, close to the 128 Mass
Turnpike. Home to numerous technology businesses, Lexington offers a charming
combination of historical sites, farm stands and greenhouses, as well as
convenient access to Boston's thriving business community and leisure

Aloft Lexington offers 136 guest rooms, indoor pool, w xyz ^sm  bar, fitness
center and meeting space. Element Lexington features 123 guestrooms, fitness
facility and meeting space. The two hotels share 297 parking spaces.

About Rockwood Capital

Rockwood Capital, LLC is a real estate investment firm that provides equity
capital combined with real estate expertise for repositioning,
recapitalization, development and redevelopment of retail, hotel, residential,
office and research and development space in key markets throughout the United
States. Since 1990, Rockwood and its principals have invested on behalf of
their clients approximately $13.4 billion of real estate through eight
value-add vehicles and three separate accounts. Today, Rockwood is an 82
person real estate investment firm with offices in White Plains, NY, San
Francisco, CA, and Los Angeles, CA and manages a portfolio of
approximately$2.6 billion of net equity value in approximately $6.6 billion
of gross real estate value. Rockwood’s investors include public and private
pension funds, endowments, foundations, insurance companies, fund of funds,
high net worth individuals and family offices.

About Paramount Hotel Group

Paramount Hotel Group is a third-party, independent management and ownership
group that focuses on hotel operations, acquisition and development
opportunities, construction management and technical services support.
Paramount is solely focused on commercial hotels within the full service,
select service and extended stay sectors. Together with select capital
partners, Paramount and its principals have developed, acquired and operated
over 200 hotels throughout the United States. Additional information about the
company may be found at

About Starwood Hotels & Resorts Worldwide, Inc.

Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and
leisure companies in the world with 1,134 properties in nearly 100 countries
and 154,000 employees at its owned and managed properties. Starwood is a fully
integrated owner, operator and franchisor of hotels, resorts and residences
with the following internationally renowned brands: St. Regis®, The Luxury
Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton,
Aloft®, and ElementSM. The Company boasts one of the industry’s leading
loyalty programs, Starwood Preferred Guest (SPG), allowing members to earn and
redeem points for room stays, room upgrades and flights, with no blackout
dates. Starwood also owns Starwood Vacation Ownership, Inc., a premier
provider of world-class vacation experiences through villa-style resorts and
privileged access to Starwood brands. For more information, please visit

(Note: This press release contains forward-looking statements within the
meaning of federal securities regulations. Forward-looking statements are not
guarantees of future performance or events and involve risks and uncertainties
and other factors that may cause actual results or events to differ materially
from those anticipated at the time the forward-looking statements are made.
These risks and uncertainties are presented in detail in our filings with the
Securities and Exchange Commission. Although we believe the expectations
reflected in such forward-looking statements are based upon reasonable
assumptions, we can give no assurance that our expectations will be attained
or that results and events will not materially differ. We undertake no
obligation to publicly update or revise any forward-looking statement, whether
as a result of new information, future events or otherwise.)


Starwood Hotels & Resorts
Carrie Bloom, 203-964-5755
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