CHICAGO, IL (July 24, 2008) – Hotel visionary Laurence Geller, Chairman & CEO of Strategic Hotels & Resorts, is crafting a fabulous future for his stable of upscale properties. And the foundation is being laid at the Fairmont Scottsdale Princess, a landmark in Arizona’s Valley of the Sun. The venerable resort is a priority in Geller’s lineup to undergo an energized multi-million dollar transformation that blends contemporary uptown sophistication and glamour with a new metric on the primary resource for generating hospitality revenue.

Illustrating the level of quality and contemporary thinking, Geller is adding to the Scottsdale resort the involvement of internationally acclaimed chef and restaurateurs Michael Mina and Richard Sandoval, as well as nightspot innovator Rande Gerber. Mina and Gerber successfully opened their new venues in the resort, just in time for the PGA’s FBR Open, January 28-Febraury 3, and the NFL’s Super Bowl XLII, February 3. Sandoval plans an opening in 2009.

“Michael Mina and Rande Gerber have established new standards for dining and entertainment experiences,” notes Geller. “Their venues, BOURBON STEAK restaurant and Stone Rose lounge, characterize the kind of vibrant experience our guests can anticipate, adding a level of excitement that will serve as a draw for residents and visitors to the Valley of the Sun.” Stone Rose debuted with private events Super Bowl weekend, with Maxim magazine’s annual celebrity-filled Super Bowl party on Friday, followed by an invitation-only “A list” party hosted by brothers Rande and Scott Gerber on Saturday. Affiliations with both groups are currently being planned for several other properties in Strategic’s lineup of world class properties.

These additions are only the beginning of this resort’s transformation. Other top retailers and guest amenity providers will also be involved as part of an overall resort development “dream team” that Geller describes as the “Invigor-A-Team.” The changes at the resort even include the name. The new resort is now sporting the moniker Fairmont Scottsdale, dropping the “Princess” designation.

Adds Geller, “Many of the changes this resort is undergoing are designed to insulate the property from fluctuations in the economy. It’s a given that business travel is one of the first expenses cut by corporate America during economic crunch periods. Dialing up the glamour quotient with the addition of celebrity chef restaurants and a celebrity-magnet nightlife venue will keep out-of-towners and locals patronizing the resort. Our renovations have been timed to grow local business at a time when travel and the meetings/convention business are expected to slow.

“At Strategic, we know how vitally important it is for meeting venues to market their property to a local clientele. A great many meetings are conducted locally and attended by area executives. When a resort operates food & beverage outlets to meet the needs of locals as well as hotel guests, they’re hitting the mark. Especially during times when the economy is fragile, it’s fiscally prudent to have operations that appeal to the local market.”


DINE LIKE THE STARS

The star of contemporary cuisine, Michael Mina, internationally renowned culinary master and two-time James Beard award-winning chef, has created a new culinary experience, BOURBON STEAK, that has already become a draw for patronage by locals, visitors and resort guests.

The $6.9 million, 281-seat restaurant provides the ideal setting for Mina’s original interpretations of traditional steakhouse favorites. The 11,000 square foot masterpiece has been designed by high-style environment and restaurant designer, AvroKO, of New York City, whose distinguished reputation has been well earned as the only design firm in the history of the James Beard Foundation to win two coveted design awards in one year.

“We are thrilled to continue our innovative culinary tradition with the addition of Michael Mina’s BOURBON STEAK,” notes Geller. “BOURBON STEAK promises to deliver a contemporary American steakhouse experience, featuring modern interpretations with a focus on the finest cuts of beef, poultry and fish, grilled and finished over seasoned mesquite-fueled flames or prepared with Mina’s signature slow-poaching style of cooking. Additionally, the restaurant offers an eclectic selection of wines plus a menu of handcrafted cocktails that pay homage to the classics while highlighting a roster of fresh ingredients.”

NIGHTLIFE EXTRAORDINAIRE

The Stone Rose lounge, with its cutting-edge interior and exterior design, complements the destination’s surroundings with an open-air lounge area in a sleek decor that stands as a rich contrast to the deep colors and textures of the Fairmont Scottsdale’s southwest-inspired backdrop. Nightlife entrepreneurs Rande and Scott Gerber (Gerber Group) have also assumed management of the Resort’s main pool area bringing in a dynamic setting of unparalleled style and sophistication.

Rande Gerber collaborated with AvroKO, the design firm behind many of New York's hottest restaurants, to create an ambiance for Stone Rose that evokes a classic 1950s beach club, infused with modern design elements. Stone Rose is comprised of two bars -- an outdoor bar located in the courtyard just off the hotel lobby and an indoor bar that is directly adjacent. As the stunning focal point of Stone Rose, the white onyx outdoor bar is set above the courtyard on a raised platform that is surrounded on all sides by water and covered by an open sided modernist pavilion. Surrounding the bar are comfortable lounge seating areas that are set among an oasis of lush trees and fire pits flanked by cream-colored couches.


MODERN MEXICAN

The internationally renowned “father of Modern Mexican Cuisine,” recipient of Bon Appetit Restaurateur of the Year, and Mexico’s National Toque d’Oro, Chef Richard Sandoval, will bring his highly acclaimed Mexx restaurant to the Fairmont Scottsdale. With the opening of his restaurant, Chef Sandoval will introduce to Scottsdale his artful balance of authentic Mexican flavors and innovative culinary techniques, which have elevated the cuisine of Mexico to new levels.

Sandoval has partnered with Rande and Scott Gerber in the opening of Mexx Scottsdale, where Sandoval’s innovative cuisine will be paired with the energetic and festive atmosphere that the Gerber’s are renowned for. New York-based Zeff Design has worked with Sandoval and Gerber to create Maya’s vibrant, hacienda-inspired setting. A grand staircase sweeps into a 173-seat dining room that will be illuminated by wrought iron wall sconces and chandeliers with rustic, pressed tin accents. Artisanal furniture and accessories, all custom made in Mexico, enhance Sandoval’s cuisine with a blend of traditional and contemporary influences. The outdoor terrace, which overlooks the resort’s year-round pool, will offer an additional 120 seats.

“I am excited to be a part of Geller’s vision, which incorporates elements of modern lifestyle into the Fairmont Scottsdale experience,” says Sandoval. “Similarly, my culinary philosophy is ‘old ways, new hands’ and I strive to perfect the balance between traditional Mexican techniques and flavors, and contemporary influences. We offer an impressive selection of fine tequilas, as well as signature hand muddled margaritas with tamarind, mango and other authentic flavorings. Combined with Zeff’s rustic yet sophisticated design, we expect to redefine our guests’ perception of Mexican dining.”


THE GOLD STANDARD

Launched in March, the resort completed a $6.7 million conversion of Villas into 69 Fairmont Gold guestrooms (each measuring approximately 600 sq. ft.), plus three parlor suites and a 2,100 square foot private Gold Lounge. The Fairmont Gold rooms are located in a secluded enclave on the grounds of the resort and will charm guests with views to the adjacent Stadium Course of the Tournament Players Club of Scottsdale. Fairmont Gold is a hotel within a hotel concept dedicated to a consistent high quality of personalized service and exclusivity designed to meet all the needs and expectations of the discerning business executive and leisure traveler. Fairmont Gold guests enjoy a private check-in and checkout area where guestroom details are taken care of and arrangements for a quick and easy departure are anticipated, concierge service, complimentary deluxe continental breakfast, cocktail hour canapés and an honor bar round out the amenities. Within the residential surroundings of the Fairmont Gold Lounge, the specially trained and dedicated Fairmont Gold Managers provide warm, anticipative service through attention to detail and recognition.

Fairmont Gold rooms - elegant and residential in design - offer large feather pillows, lush terry cloth bathrobes, twice-daily housekeeping with evening turndown service and a special selection of personal care items. Guests also will enjoy a 42-inch, high definition LCD TV monitor in the living area and a 37-inch, high definition monitor in the bedroom area. Furthermore, a spacious work area features a desk lamp, two telephones and complimentary high speed Internet connection.

RESORT WITH MORE OF EVERTHING & MORE TO COME

Geller has several long-range plans in store for the resort, that when completed will further resonate with meeting planners. A room renovation will be forthcoming along with repositioning of the resort’s Casitas. An expansion of meeting and convention space along with the addition of more guest accommodations is also planned.

“We’re fortunate that with this property’s expansive layout, planned construction projects can take place in areas of the resort that aren’t currently trafficked by guests,” notes Geller. “Likewise with our room renovations, we can close off guest buildings as they undergo their makeovers, and guests will be totally unaware that there’s any interruption in business-as-usual.”

Set against the backdrop of Arizona’s McDowell Mountains, the AAA Five-Diamond Fairmont Scottsdale reflects its Southwestern setting with Spanish colonial-style architecture, expansive plazas and lush, flower-filled gardens.

The resort features 649 oversized guestrooms with a private terrace or balcony, five heated swimming pools, the luxurious 44,000 square-foot Willow Stream – The Spa at Fairmont and championship golf at the adjacent Tournament Players Club of Scottsdale Stadium and Champions courses. Additional dining options also include The Grill, overlooking the 18th green at the TPC of Scottsdale Stadium Course. For information or reservations, please call 1-800-344-4758 or visit www.fairmont.com/scottsdale.



ABOUT STRATEGIC HOTELS & RESORTS
Strategic Hotels & Resorts, Inc. (NYSE: BEE) is a real estate investment trust (REIT) which owns and provides value-enhancing asset management of high-end hotels and resorts in North America, Mexico and Europe. The company currently has ownership interests in 20 properties with an aggregate of 9,034 rooms. For a list of current properties and for further information, please visit the company’s website at www.strategichotels.com.

MEDIA CONTACTS:

Mary Jane Kolassa
Ypartnership
407-838-1803
MaryJane.Kolassa@ypartnership.com

Jennifer Franklin
Fairmont Scottsdale
480-585-2706
Jennifer.Franklin@fairmont.com

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