The properties are the 225-room Sheraton Crossroads Hotel and the 139-room Ramada Hotel, both in Mahwah, NJ; the 124-room Four Points Hotel by Sheraton, Mt. Arlington, NJ; and the 150-room Ramada Plaza Hotel, Meriden, CT. "Under MeriStar Hotels & Resorts' management, we expect these four hotels to gain economy-of-scale benefits in purchasing, marketing and management," says John Emery, MeriStar Hospitality chief operating officer.

Paul Whetsell, MeriStar Hospital's chairman and CEO, says the REIT continues to seek ways to make the best use of the REIT Modernization Act. "Earlier this year, we converted 106 hotel leases with MeriStar Hotels & Resorts to management contracts," he says. "The conversion of all of these leases to management contracts results in a better alignment of our interests with those of our hotel operator. Economically, this structure enhances our ability to capture the full benefits of operations at our hotels."

MeriStar Hospitality Corporation owns 113 upscale, full-service hotels in major markets and resort locations with 28,897 rooms in 27 states, the District of Columbia and Canada. Its brands include Hilton, Sheraton, Marriott, Westin, Radisson and Doubletree.