Winston Hotels Buys Land Parcel in Downtown Raleigh, Plans to Build Two Hotels in Mixed-use Development

  
    
  
  
    
      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 that it has purchased a 0.73-acre 
      vacant site in downtown Raleigh, N.C. located at the corner of 
      Hillsborough and West Street on which it plans to build a high-rise, 
      mixed-use development that will include a 120-room Hampton Inn and 
      Suites, an 80-room aloft hotel and approximately 5,000 square feet of 
      retail and restaurant space. The high-rise may also include up to 250 
      residential condominiums. Plans are expected to be finalized this 
      summer. Pending city planning, permitting and other required government 
      approvals, construction is expected to begin in the 2008 first quarter.
    
    
      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.