Hilton Hotels Corporation Announces Opening of Hilton Daytona Beach Ocean Walk Village; First Phase of $20 Million Transformation Opens for Business.

DAYTONA BEACH, Fla. -- Hilton Hotels Corporation (NYSE:HLT) today announced the opening of the first phase of the new Hilton Daytona Beach Ocean Walk Village. The property, which will have 742 rooms when the second phase opens in early summer, is undergoing a $20 million refurbishment process in order to become a Hilton, and will bring renewed vitality to the Ocean Walk Village vacation and entertainment district.

The Hilton Daytona Beach Ocean Walk Village is owned by MSPA Acquisition II, L.P., a joint venture between Pyramid Advisors LLC and the Morgan Stanley Real Estate Fund. Pyramid Hotel Group, a division of Pyramid Advisers, LLC, manages and is overseeing the renovation of the hotel, which is being operated under a franchise license agreement with Hilton Hotels Corporation.

"With the largest convention facilities in the area, an idyllic beachfront location, and a wealth of recreational activities nearby, the new Hilton Daytona Beach Ocean Walk Village will be an ideal destination for both business and leisure travelers," said Jeff Diskin, senior vice president, brand management, Hilton Hotels Corporation. "With its fresh new collection of services and amenities, this newly converted Hilton will quickly become a centerpiece for our brand on the Atlantic Coast."

The dramatic renovation of the property focuses on maintaining its traditional Floridian style while modernizing the guest experience and taking full advantage of the hotel's beachfront location. The lobby has been reconfigured to offer breathtaking views of the ocean. The South Tower restaurant, which will open with the second phase of the renovation, will be relocated to the beach side of the hotel to provide year-round indoor/outdoor dining. The guestrooms are being completely refurbished, with new bathrooms, furniture, beds, carpeting and wall coverings. The new interior design is classy yet modern; some rooms are being furnished with dark wood, plush furniture and a mix of mellow gold, greens and reds, while other rooms are endowed with the style of a summer home with distinct shades of blue, yellow and light green. Lush new landscaping will create a grand and inviting sense of arrival.

Standard amenities in all guestrooms are high-speed Internet access, in-room movies, two telephones, Sony Playstation(R) games, irons/ironing boards, hairdryers and coffeemakers. The hotel features a self-service business center, outdoor heated swimming pool and whirlpool, comprehensive fitness center, sauna and steam rooms, massage services, gift shop, concierge, valet parking, dry cleaning/valet laundry service, children's playground and beach volleyball.

The property boasts more than 60,000 square feet of flexible meeting space, including an 18,000 square foot ballroom, 32 individual meeting rooms, scenic outdoor space, dedicated audio/visual staff and a separate convention registration area.

Travelers staying at this hotel have the opportunity to participate in the Hilton HHonors(R) guest reward program, allowing guests to earn both hotel points and airline miles for the same stay at more than 2,700 hotels worldwide.

In addition to the pristine traffic-free beach just steps from the hotel, a myriad of activities are on-site, including shopping, dining and movies at the Ocean Walk Shoppes. Nearby are such attractions as the Daytona International Speedway, Daytona Lagoon Waterpark, Daytona USA Motorsports Attraction, restaurants and nightclubs, over 32 championship golf courses, museums, Daytona Beach Kennel Club, deep sea fishing and scuba diving. The WALT DISNEY WORLD(R) Resort and Universal Orlando(R) are within an hour's drive.

GETTING THERE

The Hilton Daytona Beach Ocean Walk Village is destined to become one of the Atlantic Coast's premier full-service hotels located on the sparkling beaches of Daytona Beach. The hotel is easily accessed from Interstate 95 and from Daytona Beach International Airport (5 miles) and Orlando International Airport (70 miles). The hotel is located at 100 North Atlantic Avenue, Daytona Beach, Fla. 32118. Phone: [phone]. Fax: [phone]. For more information or to make reservations, please contact Hilton Reservations Worldwide at 1-800-445-8667 or visit www.hilton.com.

Hilton Hotels Corporation is recognized internationally as a preeminent hospitality company. The company develops, owns, manages or franchises approximately 2,200 hotels, resorts and vacation ownership properties. Its portfolio includes many of the world's best known and most highly regarded hotel brands, including Hilton(R), Conrad(R), Doubletree(R), Embassy Suites Hotels(R), Hampton Inn(R), Hampton Inn & Suites(R), Hilton Garden Inn(R), Hilton Grand Vacations Club(R) and Homewood Suites by Hilton(R).