Coast Hotels & Resorts

Coast Hotels & Resorts

October 23, 2006 15:01 ET

Coast Hotels & Resorts Assumes Management of Five Maclab Enterprises Hotels in Alberta and Northwest Territories

New Properties Dramatically Increase Hotel Chain's Room Count in Alberta Market

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 23, 2006) - Coast Hotels & Resorts today announced that it has signed an agreement with Maclab Enterprises of Edmonton, Alberta to manage its five hotels in Alberta and the Northwest Territories effective January 1, 2007. These additional properties will increase Coast Hotels & Resorts room count in the growing Alberta market by approximately 38 per cent giving the hotel chain 1,331 rooms among its eight hotels in Calgary, Edmonton, Medicine Hat and Jasper.

Three of the Maclab hotels (the 303-room Edmonton House Suite Hotel in Edmonton, Alberta, the 62-room Pyramid Lake Resort in Jasper, Alberta and the 54-room Fraser Tower Suite Hotel in Yellowknife, NWT) will be rebranded as Coast hotels. The remaining two properties (the 52-room Tekarra Lodge in Jasper and the 90-room Campus Tower Suite Hotel in Edmonton) will be managed by Coast Hotels & Resorts as independent hotels.

Terms of the deal between Coast Hotels & Resorts and Maclab Enterprises were not disclosed, but Coast Hotels & Resorts estimates the new hotels will generate approximately $20 million in additional revenue annually for the chain.

"This transaction dramatically increases Coast Hotels & Resorts' presence in key western Canadian markets, which was one of our primary business objectives for this year," said Graeme Barrit, President of Coast Hotels & Resorts. "Our relationship with Maclab has enabled Coast Hotels & Resorts to enter the Jasper and Yellowknife markets, which were previously out of the company's reach."

"It became evident early in our discussions that Maclab Enterprises and Coast Hotels & Resorts shared the same values and management philosophy," said Bruce Bentley, President and CEO of Maclab Enterprises. "We saw numerous benefits to becoming part of a well known hotel brand with a targeted marketing program and established referral network. This deal also presents significant career opportunities for our people as part of a much larger, growing hotel chain."

"We've gained much more than just five quality hotel properties," added Barrit. "We've gained upwards of 300 dedicated staff members, and Coast Hotels & Resorts is going to be a much stronger hotel company because of these people."

Earlier this month, Coast Hotels & Resorts announced it will be adding to its portfolio a 42-room Medicine Hat, Alberta hotel as a franchise effective January 15, 2007. Once this hotel comes on board, CH&R will have 24 properties in Canada with 3,266 rooms in addition to its 15 US hotels with 2,363 rooms.

About Maclab Enterprises

Maclab Enterprises is an Edmonton based privately held real estate development firm with operations in Alberta, British Columbia, the Northwest Territories and the United States. The company is the largest, privately held residential rental property owner in Alberta and the Northwest Territories. Maclab Enterprises is active in residential land development, residential rental, commercial and retail properties and provides professional property management through Midwest Property Management. Visit www.maclab.com for additional information.

About Coast Hotels & Resorts

Coast Hotels & Resorts is a leading hotel chain in western North America. The company's philosophy of serving its guests through a superior standard of value, hospitality and service enables its continuing expansion. Coast Hotels & Resorts now owns, manages and franchises 39 hotel and resort properties located throughout British Columbia, Alberta, the Northwest Territories, the western United States, Alaska and Hawaii. Visit www.coasthotels.com or call 1-800-663-1144 for more information.

To view the photo accompanying this press release, please click on the following link: http://www.ccnmatthews.com/docs/coast.jpg


Contact Information

  • Coast Hotels & Resorts
    Martin Livingston
    Living Communications Inc.
    (604) 657-8234
    Website: www.coasthotels.com
    or
    Maclab Enterprises
    D. Bruce Bentley
    President and CEO
    (780) 420-4048
    Website: www.maclab.com