February 18, 2004

CNL Hospitality Properties has signed a contract to acquire KSL Recreation Corp., an owner and operator of luxury destination resorts. As part of the $1.366 billion deal, CNL will acquire KSL's entire portfolio and 100 percent of outstanding company stock, assume its long-term debt. The agreement also will expand CNL's luxury portfolio. Included in the deal are six well-known properties: the Grand Wailea Resort & Spa in Maui; La Quinta Resort & Club and PGA West in La Quinta, Calif.; the Doral Golf Resort & Spa in Miami; the Arizona Biltmore Resort & Spa in Phoenix; the Claremont Resort & Spa in Berkeley, Calif.; and Lake Lanier Island Resort in Atlanta.

Menzies Welcombe Hotel and Golf Course in Stratford-upon-Avon, England, is currently undergoing a refurbishment. Five guest rooms have been added, for a total of 73; public areas, including the 10 meeting rooms, are being renovated; and a boardroom has been added. A spa will be added in the next year.

The opening of the 255-room Sanctuary at Kiawah Island, S.C., has been pushed back until June 2004, after the general contractor announced it could not meet the original April opening date.

Scandic Hotels, which has 142 hotels in Scandinavia, launched a new meetings initiative at the end of last month. Called MEETING, the website combines the floor plans and a booking engine for all the chain's 1,000 meeting rooms. Scandic is owned by London-based Hilton International.