SoTHERLY Hotels Inc. Announces 14.3% Increase to Dividend

  SoTHERLY Hotels Inc. Announces 14.3% Increase to Dividend

Business Wire

WILLIAMSBURG, Va. -- July 24, 2013

S^oTHERLY Hotels Inc. (NASDAQ: SOHO) (the “Company”) today announced that its
Board of Directors has declared a quarterly cash dividend of$0.04per common
share of beneficial interest. The quarterly dividend will be paid on October
11, 2013 to shareholders of record as of September 13, 2013.

About S^oTHERLY Hotels Inc.

S^oTHERLY Hotels Inc., formerly MHI Hospitality Corporation, is a self-managed
and self-administered lodging REIT focused on the acquisition, renovation,
upbranding and repositioning of upscale and upper upscale full-service hotels
in the Southern United States. Currently, the Company’s portfolio consists of
investments in ten hotel properties, nine of which are wholly-owned and
comprise 2,113 rooms. The Company also has a 25.0 percent interest in the
Crowne Plaza Hollywood Beach Resort. All of the Company’s properties operate
under the Hilton Worldwide, InterContinental Hotels Group and Starwood Hotels
and Resorts brands. S^oTHERLY Hotels Inc.  was organized in 2004 and is
headquartered in Williamsburg, Virginia. For more information, please visit
www.sotherlyhotels.com.

Contact:

S^oTHERLY Hotels Inc.
Scott Kucinski
Director - Investor Relations
757-229-5648