Lam Signs Marshall to Facilitate Development in New York

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. October 14, 2008

NEW YORK, NY /SALISBURY, MD, August 27, 2007. The Lam Group, a leading hotel and real estate development firm owned by John Lam; Lam Generation, a recently formed hotel development and ownership company operated by Jeffrey Lam; and Marshall Management, a leading, mid-sized hotel management company, today announced that they have signed agreements designed to help the two development companies accelerate their planned development in New York City.

Under terms of the agreement Marshall Management will provide strategic and operating consulting services for "back of the house" operations, including accounting, property-level strategic marketing planning, analysis of operating results and making periodic property visitation/reviews. Marshall Management will also provide consulting services for pre-opening activities, including planning and marketing, as well as assist in training and hiring. The company currently is underway in a search to find the key property-level executives for three hotels.

The agreement initially covers two hotels currently under construction by The Lam Group:

---|A mid-rise, 150-room Four Points by Sheraton in Soho, which is expected to open in the 2007 fourth quarter.

---|A mid-rise, 150-room Fairfield by Marriott in Long Island City, which is expected to open by year-end 2007.

For Lam Generation, Marshall will operate a mid-rise, 160-room Hampton Inn in Soho. The hotel is expected to open in October.

"We are accelerating our hotel development in New York City," said John Lam, chairman and chief executive officer of The Lam Group. "As a result, we realized that we needed additional hotel management expertise to back us up in the administrative area. We reviewed a number of management companies and chose Marshall Management because of their depth of experience in mid-market hotels in urban markets, expertise in pre-opening support and proprietary management systems. We will continue to manage the 'front-of-the-house' activities, but believe we will now be a much stronger operator with this additional support. We look forward to the opportunity to expand our relationship with Marshall Management as we move ahead on a number of projects. Should we sell any of these hotels, it is our intent to continue to operate them under long-term management agreements."

"Our SoHo Hampton is a special property, which led to Lam Generation being honored as the Hampton Developer of the Year," said Jeffrey Lam. "Marshall has developed, constructed and operated a substantial number of Hamptons and that expertise will help us achieve our goal of having our first property one of the best in the Hampton system."

"Both development companies have well established reputations, having built approximately 20 hotels, primarily in New York, in the past eight years," said Mike Marshall, president and CEO of Marshall Management. "Our firm brings an experienced team and the infrastructure to comfortably provide these specialized services, as well as take on other consulting assignments for these two companies. Although we are a national, mid-sized company, we have substantial experience with hotels on the Eastern seaboard. We look forward to building a long-term relationship."