New Extended Stay America, Inc. Hotel Opens in Newport Beach

Company Is One Hotel Away From 400th Opening

Press Release
April 3, 2001
FORT LAUDERDALE, FL -- Extended Stay America, Inc. (NYSE:ESA) has opened a four-story Extended StayAmerica Efficiency Studios brand hotel at 4881 Birch Street in Newport Beach, Calif., just minutes from the Orange County Airport. The new 164-room hotel is the Company's 15th property in the Los Angeles area, its 43rd hotel in the state and its 399th 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 $489 for a Queen room and $519 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 machine. 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 41 other California-based extended-stay hotels under its StudioPLUS Deluxe Studios, Extended StayAmerica Efficiency Studios and Crossland Economy Studios brand names in the Bakersfield, Fresno, Los Angeles, Oakland, Sacramento, San Diego, San Francisco, San Jose, Santa Barbara, and Santa Rosa areas.

The Company also has six Extended StayAmerica brand hotels currently under construction in Fremont, Kearny Mesa, Oakland, Orange, San Jose and Stockton, Calif. that are scheduled for 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, is also Chairman of the Board for 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 399 extended-stay lodging hotels in 38 states, which includes 94 StudioPLUS Deluxe Studios, 266 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.

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Contact: 

     Extended Stay America, Inc., Fort Lauderdale
     Monique Damiano, 954/713-1624
     mdamiano@extstay.com