KOR HOTEL GROUP LAUNCHES COMPANY–WIDE RELIEF EFFORTS FOR VICTIMS OF TSUNAMI DISASTER

––"Relief Rates" and matching employee donations combine to provide much-needed and immediate survivor aid ––

January 10, 2005 (Los Angeles, CA) – Amidst devastating reports of continued suffering by victims of December's tsunami disaster, Kor Hotel Group has undertaken its own relief efforts. The Los Angeles–based operator of distinctive boutique hotels has created customer– and company–based fundraising programs to provide immediate aid to survivors of the tragedy and to families in need.

For guests wishing to share in Kor Hotel Group's efforts, the company is offering "Relief Rates." With this program, Kor Hotel Group will donate 10% of all reservations made in January 2005 to tsunami relief. Guests need to make reservations through www.reachout2005.com for donations to take effect. All of Kor Hotel Group's Southern California–based properties are participating, including Viceroy Santa Monica, Viceroy Palm Springs, and Avalon and Maison 140 in Beverly Hills.

In addition, Kor Hotel Group President John Arnett has announced that the company will match dollar–for–dollar all of the donations personally made by its employees. To ensure effective distribution of relief and supplies to tsunami–effected families in need, Kor Hotel Group has selected World Vision (www.worldvision.org), a Seattle–based charity organization, as the distributor of its financial aid. Kor Hotel Group employee and matching donations will go towards providing Family Survival Kits through World Vision. Each kit costs $100, and will sustain a family of four for several days; it takes approximately 72 hours from the time of donation to a family's receipt of the goods.

"Aiding those who have suffered through this tragedy in a timely and effective manner is a concern shared by all," stated Arnett. "Kor Hotel Group wants to do its part for international communities in need."

The Kor Group is a privately held real estate development and management firm with investments primarily in hotels and multi–family real estate. Kor Hotel Group, the hospitality division of Kor, holds a diverse property portfolio and manages both its own assets and non–owned hotels under third–party management agreements. Kor Hotel Group's properties include Avalon Hotel and Maison 140 in Beverly Hills, Viceroy Santa Monica and Viceroy Palm Springs, Breakwater and Tides in South Beach, as well as Chamberlain, due to open in West Hollywood early 2005, and Viceroy Anguilla Resort and Residences, debuting late 2006.