Article: Joint venture out to acquire hotels. (Blackstone Group and Interstate Hotels Corp. form Interstone property investment company)

The Blackstone Group and Interstate Hotels Corporation have announced the formation of a joint venture to pursue acquisitions in the lodging sector. The Blackstone/Interstate joint venture, known as Interstone, plans to invest $200 million in hotel and hotel related assets. Blackstone will serve as the managing partner of the Interstone joint venture and Interstate will manage all hotels purchased by Interstone.

Interstone simultaneously announced its first acquisition: the purchase of the 391-room Greenspoint Marriott in Houston, Texas from Cigna Corporation. Interstone has also executed a Letter of Intent to purchase the Colorado Springs Marriott hotel.

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