The portfolio has an aggregate of 1,005 keys. Neil Shah,Hersha's president and COO, tells GlobeSt.com the average age ofthe properties is five to six years, and all are currently beingconverted to the Hyatt Summerfield Suites brand. "They operatedwithout a major brand and did well," he says, "and we think theHyatt brand will add substantial upside to rate and occupancy.

"This was just too good to pass up," Shah says. The buy will beaccredited to 2007 earnings and was acquired at favorable cap ratesand at prices below replacement cost in these key markets,according to Shah. Hersha plans to invest $2.5 million in capitalimprovements to the portfolio while LodgeWorks will bear anyadditional costs of brand compliance.

The portfolio includes a 159-unit asset in White Plains;128-unit property in Bridgewater, NJ; 140 units in Gaithersburg,MD; 144 units in Charlotte, NC; 164 units in Scottsdale, AZ; 142units in Pleasant Hill/Walnut Creek, CA; and 128 units inPleasanton, CA.