The Salt Lake City Sheraton was built in 1975 and renovated in2001, but Sunstone says that the property would have requiredapproximately $15 million in renovation expenditures in 2008 tocomply with Sheraton brand standards. Sunstone has been investingin renovations in a number of the company's properties, including$27.2 million during the third quarter, according to the REIT'slatest public filings.

The company also has other renovations in the works, including aproject at the Marriott Boston Long Wharf, for which it completedthe design during the third quarter. The $14-million Long Wharfrenovation is expected to be completed during the first quarter of2008.

With the sale of the Salt Lake City property, Sunstone now hasinterests in 46 hotels with an aggregate of 16,085 rooms, primarilyin the upper-upscale segment operated under brands such asMarriott, Hyatt, Hilton, Starwood and Fairmont. As part of astrategic plan to dispose of non-core hotel assets, the companysold six hotel properties in the first nine months of 2007 for netproceeds of $147.4 million and a net gain of $56 million.