The Kyo-ya portfolio represents an investment in a unique collection of upscale/luxury resort-oriented properties, achieved through a partnership that was formed in December 2004. This portfolio represented an extremely unique opportunity with an international hotel ownership company to invest in assets located in major markets on the cusp of explosive growth and offering significant re/development and repositioning opportunities. This portfolio represents a highly complex deal, given the scope and magnitude of the operations and redevelopment plans identified at nearly every asset, and offers tremendous upside potential. Individual properties comprising this portfolio are as follows and can be viewed by clicking on the links below: follows and can be viewed by clicking on the links below:

• Sheraton Waikiki
• Sheraton Princess Kaiulani
• Sheraton Moana Surfrider
• Hyatt Regency Grand Cypress Resort
• The Palace Hotel
• The Royal Hawaiian
• Sheraton Maui Resort
• Villas at Grand Cypress Golf Resort

CHM is working closely with Kyo-ya Company to collaboratively develop and execute the investment strategy for this portfolio, which includes: maximizing performance through implementation of high-impact operating initiatives, renegotiation of the management contract for the Starwood properties and renovation and re-branding several of the assets to elevate current market positioning and rate potential. Other significant components to enhancing value of the real estate at these properties will be achieved through redevelopment, including opportunities to add on and/or redevelop portions of several of the properties to include a variety of alternative uses, such as timeshare, fractional and whole ownership residences, as well as major retail and entertainment venues.