Hilton Hotels Corporation Signs First Hilton(R) and Doubletree(R) Management Agreements in Costa Rica

Hilton Family of Brands Expands in Central America with First-Ever Hilton and Doubletree in the Country

BEVERLY HILLS, Calif. -- Hilton Hotels Corporation (NYSE:HLT) has announced that it has signed multi-year management agreements with the Caribbean Real Estate Opportunity Fund 2005 (the "Fund") for two resorts in Costa Rica. Beginning in December 2007, the Company will manage a 202-room property in Guanacaste and a 410-room property Puntarenas as the first Hilton and Doubletree branded resorts in the country, respectively. In an effort to implement all brand standards, both resorts will undergo extensive renovations to all areas including guestrooms, leisure facilities, lobby, meeting rooms, and restaurants.

"These additions solidify our expansion efforts in Central America and support our growth strategy to bring the Hilton Family of Hotels into the region," said Danny Hughes, area vice president, Caribbean and Central America, for Hilton Hotels Corporation. "Costa Rica is one of the top eco-tourism destinations in the world, with visitor arrivals growing more each year. We want to support the country's tourism growth and welcome guests to experience the biodiversity that makes Costa Rica such an amazing place to be."

The Premier Fiesta Resort and Spa in Papagayo will be renamed Hilton Papagayo Resort. With 202 rooms, including 71 private bungalows, guests enjoy plush accommodation with panoramic views surrounded by nature. The hotel, located on a private beach on the Bay of Papagayo in Guanacaste, just 20 minutes from Liberia International Airport, features two outdoor swimming pools, non-motorized water sports, spa, fitness center, tennis courts, kid's club, three restaurants, two bars, casino, and nightly entertainment.

With an area of 6,933 square miles, Guanacaste, Costa Rica, is home to a world of natural surroundings, including white, black, and pink shell beaches, national parks and wildlife refuges, coral reefs, deciduous and tropical forests, and volcanoes. The province is perfect for fishing, diving, biking, hiking, and more.

"This management agreement in Guanacaste is a terrific example of Hilton Hotels' commitment to expanding its guest offerings by partnering with diverse hoteliers who believe in the strength of our global brand," said Jeff Diskin, senior vice president - brand management & marketing for Hilton Hotels. "Through this agreement the property will now offer unique, local experiences alongside the standard upscale amenities our guests have come to expect and love."

The Fiesta Resort in Puntarenas will be renamed the Doubletree by Hilton[TM] Puntarenas Resort. The 410-room all-inclusive resort, located one and a half hours from San Jose's Juan Santamaria International Airport and two hours from Liberia International Airport, offers four dining outlets, seven bars, pool, beach, fitness center, tennis courts, kid's club, non-motorized water sports, casino, nightly entertainment, and easy access to nearby national parks and biological reserves, rainforests, volcanoes and beaches.

Puntarenas, the largest province of Costa Rica, and formerly known as the country's main fishing port, is the perfect place to enjoy a day of fishing. The coast, decorated by islands and beaches, offers visitors a chance to experience pristine nature. Tourists can also enjoy a range of attractions, as Puntarenas is the starting point for many excursions.

"Doubletree Hotels continues to expand its upscale, full-service hotel portfolio at a solid pace. This newest management agreement in Puntarenas, Costa Rica reinforces our pride in Doubletree being recognized by hotel owners and developers as a dynamic, credible and lucrative hotel brand for hoteliers across the Western Hemisphere and around the world," said Dave Horton, senior vice president - brand management for Doubletree Hotels.

"We are delighted to announce that our two first resorts in Costa Rica will become part of the Hilton Family of Hotels," said Kenneth Blatt, principal of Caribbean Property Group. Ruben Pacheco, president of Enjoy Group added, "With such a strong marketing, sales and technology infrastructure, as well as the value added benefit of the highly acclaimed Hilton HHonors guest reward program, we believe our new Hilton and Doubletree by Hilton affiliations will lead to great recognition and success for our resorts, both domestically and internationally."

Caribbean Property Group is the managing partner of the Fund and Enjoy Group is a minority partner in the venture.

About Caribbean Real Estate Opportunity Fund 2005

The Caribbean Real Estate Opportunity Fund 2005, L.P., is a $500 million equity fund managed by Caribbean Property Group ("CPG") and co-sponsored by Goldman Sachs. The Fund is focused on acquiring income producing fixed real estate assets in the Caribbean and Central America across four platforms: hotel, retail, office and industrial. In addition to the Fund, CPG owns and/or manages approximately $1b in real estate assets in Puerto Rico.

About Enjoy Group

Enjoy Group, a hotel development and management company, currently owns three properties in Costa Rica, two in partnership with the Fund. Mr. Ruben Pacheco, Costa Rica's former Minister of Tourism, founded Enjoy Group Hotels & Resorts and runs it together with his two sons, Ruben Alberto and Javier. The Group is one of the oldest and most experienced hospitality companies in Central America

About The Hilton Family of Hotels In Central America

Hilton Hotels Corporation currently owns, manages, or franchises four hotels in Central America, including Hilton full-service hotels in San Pedro Sula, Honduras; Managua, Nicaragua; San Salvador, El Salvador; and a Hampton Inn & Suites hotel in San Jose, Costa Rica.

About Hilton Hotels Corporation

Hilton Hotels Corporation (NYSE:HLT) is the leading global hospitality company, with nearly 2,800 hotels and 485,000 rooms in more than 80 countries, including 150,000 team members worldwide. The company owns, manages or franchises a hotel portfolio of some of the best known and highly regarded 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[TM], Homewood Suites by Hilton([R]), Scandic and The Waldorf=Astoria Collection[TM]. For more information, please visit www.hiltonworldwide.com.

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