Extended Stay America, Inc. Opens New Hotel in Franklin, NJ

Press Release
July 3, 2001
FORT LAUDERDALE, FL -- Extended Stay America, Inc. (NYSE:ESA) has opened a three-story Extended StayAmerica Efficiency Studios hotel located at 30 World's Fair Drive, Franklin, New Jersey. The 104-room hotel is the Company's 1st property in the Franklin area, its 10th hotel in the state and its 404th 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 $439 for a Queen room and $469 for a King room -- a fraction of the cost you'd pay elsewhere for similar features. Nightly rates are available from $89.

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 nine other New Jersey-based extended-stay hotels under its StudioPLUS Deluxe Studios, Extended StayAmerica Efficiency Studios and Crossland Economy Studios brand names in Cherry Hill, Edison, Maple Shade, Mount Laurel, Princeton, Red Bank, Rutherford and South Brunswick.

``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 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 404 extended-stay lodging hotels in 38 states, which includes 94 StudioPLUS Deluxe Studios, 271 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.

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Contact: 

     Extended Stay America Inc., Fort Lauderdale
     Dana Nehren, 954/713-1624
     dnehren@extstay.com