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FOUR POINTS SHERATON SANTA MONICA TO REBRAND AS FOUR-STAR SHERATON DELFINA

Second Phase of $11 Million Renovation Underway

Santa Monica, Calif. - The Four Points by Sheraton, Santa Monica, has launched the second phase of its major $11 million renovation. Under the management of the Kor Hotel Group, the hotel is repositioning from the three-star Four Points brand to a full-service, luxury four-star Sheraton hotel, officially joining Kor's distinctive portfolio of luxury boutique and flagged hotels.

"We have received great response from both business and leisure travelers who have already experienced our guestroom redesign and upgrades," said General Manager Michael D'Amodio. "Once renovations are complete throughout the hotel, we will certainly be one of Santa Monica's leading properties with stylish, custom designed accommodations and four-star service, conveniently located only steps from the ocean."

Renovations of the hotel lobby, lounge, fitness center and pool are currently underway and the new design will reflect the sophisticated urban chic style and relaxed beach attitude of the new guestrooms and suites that debuted this spring. Redesigned in a palette of Espresso brown and Tibetan blue, the guest room appointments include contemporary Lucite lamps, textured leather headboards, Sweet Sleeper beds, flat-screen televisions, high-speed internet access and digital safes.

The Penthouse Ballroom - the only one of its kind in town - will also undergo significant upgrades and reconfiguration to increase meeting and event space and further enhance its sweeping ocean and coastline views. The pool will gain a resort feel with the addition of cabanas and tropical landscaping, which guests will be able to view from the new poolside state-of-the-art fitness center.

The Four Points by Sheraton Santa Monica will convert to the Sheraton Delfina upon completion of the lobby renovation scheduled for October 2004.

ABOUT KOR HOTEL GROUP
The Kor Group is a privately held real estate development and management firm with investments primarily in hotels and multi-family real estate. Kor Hotel Group, the hospitality division of Kor, holds a diverse property portfolio and manages both its own assets and non-owned hotels under third-party management agreements. Kor Hotel Group's properties include Viceroy Santa Monica and Viceroy Palm Springs, Avalon Hotel and Maison 140 in Beverly Hills, Sheraton Delfina in Santa Monica and Sheraton Gateway Los Angeles Airport, as well as the forthcoming Chamberlain, opening in West Hollywood spring 2005, Viceroy Anguilla Resort and Residences and Viceroy Mayakoba debuting in 2007.