NORFOLK, NE--(Marketwire - Apr 26, 2011) - Supertel Hospitality, Inc. (
"Like all real estate, hotels are a local business, and this strategic move from centralized management to a regional approach with operators who have a long-term track record in those markets, is expected to generate higher returns through better knowledge of our markets," said Kelly A. Walters, Supertel's president and CEO. "Each of these operators has similar experience and a proven record of success and has been recognized for award-winning performance. They also have the development and acquisition experience we seek to assist us when we return to our acquisition strategy. All of these operators have management portfolios similar to Supertel's targeted profile of premium select-service brands as the company continues to transition over time to a more upmarket portfolio."
The management companies are:
Hospitality Management Advisors, Inc. HMA has nearly three decades of hotel operating, management and development/acquisition expertise. The company has operated more than 125 properties since its formation under the leading brands of Marriott, Hilton, Starwood, InterContinental Hotel Group, Radisson, Wyndham and Choice. The company will operate 25 Supertel hotels in Arkansas, Louisiana, Tennessee, Kentucky, Indiana, Virginia and Florida. Based in Memphis, Tenn., the company has won more than 35 awards for operating excellence.
Strand Development Company, LLC Headquartered in Myrtle Beach, S.C., Strand currently operates 40 hotels under approximately 20 of the nation's leading brands, as well as independent hotels and smaller, regional brands. Founded in 1969, the company has established a strong reputation for excellence in managing in the economy extended-stay segment and will operate Supertel's seven Savannah Suites hotels, as well as 17 additional properties located in Georgia, Delaware, Maryland, North Carolina, Pennsylvania, Tennessee, Virginia and West Virginia.
Kinseth Hotel Corporation A leading third-party operator based in North Liberty, Iowa, Kinseth will manage 46 Supertel properties in eight states, primarily in the Midwest. The award-winning management company has a proven track record with the leading limited-service brands of Marriott, Hilton, InterContinental Hotel Group and Radisson. Founded in 1981, Kinseth currently operates 45 hotels in 10 states, and has developed and acquired a number of hotels.
HLC Hotels, Inc. HLC Hotels, Inc. is a Savannah, Ga.-based hotel management company, operating both select-service hotels and historic boutique inns since 1971. The company currently owns and operates six historic inns and one all-suite hotel in Savannah, Ga. HLC currently provides management services for Supertel's 10 Masters Inns hotels, with locations in the southeast U.S.
About Supertel Hospitality, Inc.
As of March 31, 2011, Supertel Hospitality, Inc. (