M&C REIT Management Limited, as manager of H-REIT (the “H-REIT Manager”), and M&C Business Trust Management Limited, as trustee-manager of HBT (the “HBT Trustee-Manager”), wish to announce that further to their earlier announcement on 19 July 2007 on the issue of New Stapled Securities pursuant to the Equity Fund Raising completed on 19 July 2007 and the use of part of the proceeds from the Equity Fund Raising, a further S$32.5 million from the proceeds of the Equity Fund Raising has been used to repay part of the Deutsche Bank Term Facility (as defined in the CDL Hospitality Trusts Circular dated 6 July 2007) with Deutsche Bank Aktiengesellschaft which was used to partially fund the acquisition of Rendezvous Hotel Auckland.

The balance of the net proceeds from the Equity Fund Raising of S$6.9 million will be used for other general corporate and working capital purposes.