Winston Hotels Announces Opening of Hilton Garden Inn in Wilmington, N.C.

  
    
  
  
    
      Winston Hotels, Inc. (NYSE: WXH), a real estate investment trust (REIT) 
      and owner of premium limited-service, upscale extended-stay and 
      full-service hotels, today announced the March opening of the 119-room 
      Hilton Garden Inn hotel in the Mayfaire Town Center development, a 
      400-acre, $200 million planned community development, in Wilmington, NC. 
      The complex includes office buildings, retail outlets, residential homes 
      and hotels. Situated approximately 1.5 miles from the Atlantic Ocean, it 
      is centrally located between Wilmington and Wrightsville Beach. Alliance 
      Hospitality Services operates the hotel.
    
    
      The company also announced the sale of one wholly owned hotel and one 
      joint venture hotel in the first quarter, bringing to three the number 
      of hotel dispositions for the year. The company’s 
      2007 hotel dispositions include the following wholly owned properties: 
      the 81-room Holiday Inn Express in Abingdon, VA (February) and the 
      174-room Holiday Inn in Tinton Falls, NJ (March). The aggregate net 
      proceeds for the two wholly owned dispositions during 2007 totaled 
      approximately $19.6 million, resulting in an aggregate net gain on sale 
      of approximately $10.5 million. Also in March, one of the company’s 
      unconsolidated joint ventures, in which the company holds a 13.05 
      percent ownership interest, sold the 158-room Courtyard by Marriott in 
      Shelton, CT.
    
    
      Currently, Winston Hotels, Inc. owns or is invested in 51 hotel 
      properties in 18 states, having an aggregate of 6,911 rooms. This 
      includes 43 wholly owned properties with an aggregate of 5,877 rooms, a 
      41.7 percent ownership interest in a joint venture that owns one hotel 
      with 121 rooms, a 60 percent ownership interest in a joint venture that 
      owns one hotel with 138 rooms, a 49 percent ownership interest in a 
      joint venture that owns one hotel with 118 rooms, a 48.78 percent 
      ownership interest in a joint venture that owns one hotel with 147 
      rooms, a 13.05 percent ownership interest in a joint venture that owns 
      three hotels with an aggregate of 387 rooms, and a 0.21 percent 
      ownership interest in a joint venture that owns one hotel with 123 rooms 
      for which substantially all of the profit or loss generated by the joint 
      venture is allocated to the company. For more information about Winston 
      Hotels, Inc, visit the company's web site at www.winstonhotels.com.