Extended Stay America, Inc. Opens Another New Hotel in San Jose

Press Release
December 7, 2000
FORT LAUDERDALE, FL -- Extended Stay America, Inc. (NYSE:ESA) has opened a three-story Extended StayAmerica Efficiency Studios brand hotel at 6199 San Ignacio Avenue in San Jose, Calif. The 121-room hotel is the Company's fifth property in the San Jose area, its 39th hotel in the state and its 388th property overall.

According to Chief Executive Officer George D. Johnson, Jr., "The extended-stay lodging market is the fastest growing segment of the hotel industry and is quickly catching the interest of business professionals, people relocating and those on extended work assignments."

Weekly room rates for the new Extended StayAmerica hotel are available from $499 for a Queen room and $529 for a King room--a fraction of the cost you'd pay elsewhere for similar features. Nightly rates are available from $99.

Guest rooms at Extended StayAmerica properties include a queen-size bed, recliner, cable TV with remote, free voice mail, free local calls, and a computer data port. Each room also has a kitchen with a refrigerator, two-burner range, microwave, coffee maker, utensils and tableware.

The property features a 24-hour, coin-operated, on-site laundry facility for guests and convenient vending machines. Guests are provided with weekly housekeeping service and twice-weekly towel service. Properties are generally staffed by five to six full-time and eight to ten part-time employees.

Extended Stay America, Inc. owns and operates 38 other California-based extended-stay hotels under its StudioPLUS Deluxe Studios, Extended StayAmerica Efficiency Studios and Crossland Economy Studios brand names located in the Bakersfield, Fresno, Los Angeles, Oakland, Sacramento, San Diego, San Francisco, San Jose, Santa Barbara and Santa Rosa areas.

The Company also has four Extended StayAmerica brand hotels and one StudioPLUS hotel currently under construction in Anaheim, Newport Beach, Oakland and San Jose that are scheduled for late 2000 and early 2001 openings.

"The appeal of our hotels reaches beyond the business and corporate community. Besides being ideal for professionals on extended or temporary assignments such as consulting or training, our properties are perfect for people building homes, relocating or attending family functions," said Mike Wilson, Vice President - Marketing.

Extended Stay America, Inc. was founded in January, 1995 by Mr. Johnson and H. Wayne Huizenga. Mr. Johnson was formerly President of the Consumer Products Division of Blockbuster Entertainment Corp., a division of Viacom, Inc. Mr. Huizenga, who is Chairman of the Board, also is Chairman and Co-Chief Executive Officer of AutoNation, Inc. and formerly was Vice Chairman of Viacom, Inc., and Chairman and Chief Executive Officer of Blockbuster Entertainment Corp.

The Company, which is the fastest-growing company owned and operated hotel chain in U.S. history, has recently been named one of America's 100 Fastest-Growing Companies by Fortune magazine for the second year in a row. Currently, Extended Stay America, Inc. operates 388 extended-stay lodging hotels in 38 states, which includes 92 StudioPLUS Deluxe Studios, 257 Extended StayAmerica Efficiency Studios and 39 Crossland Economy Studios facilities.

For reservations, locations or additional information on Extended Stay America, Inc., please call 1-800-EXT-STAY or visit the Company's Web site at www.extstay.com.

NOTE TO EDITORS: For copies of recent press releases from Extended Stay America via fax, at no charge, call 888/395-STAY (7829). For company information, logo and photos via the Internet, visit http://www.extstay.com

In the World Wide Web address noted in this release, there is a double slash between http: and www.extstay.com. These symbols may not appear properly in some systems.

Contact: Extended Stay America, Inc., Fort Lauderdale Monique Damiano, 954/713-1624 mdamiano@extstay.com News-On-Demand: 888/395-STAY (7829) URL: http://www.extstay.com