Equity Inns Finalizes Entrance into Metro-Boston Hotel Market with Purchase of Two Hilton Hotels

Business Wire, Oct 3, 2005

GERMANTOWN, Tenn. -- Equity Inns, Inc. (NYSE:ENN), the third largest hotel real estate investment trust (REIT), today announced that it has finalized the purchase of two metro-Boston area Hilton branded hotels. As previously disclosed, the two properties were bought for $15.2 million, or $74,000 per room. The purchase price includes an additional investment of $1.1 million for the refurbishment of the hotels. The Company expects that the acquisition of these hotels will be slightly accretive to its 2005 funds from operations (FFO).

The acquired hotels include a Homewood Suites and a Hampton Inn, both in Peabody, Massachusetts, a suburb 12 miles north of downtown Boston. Collectively, the two hotels have an average age of six years and will add 206 rooms to the Company's hotel portfolio.

About Equity Inns

Equity Inns, Inc. is a self-advised REIT that focuses on the upscale extended stay, all-suite and midscale limited-service segments of the hotel industry. The Company, which ranks as the third largest hotel REIT based on number of hotels, owns 122 hotels with 14,643 rooms in 35 states. For more information about Equity Inns, visit the Company's Web site at www.equityinns.com.