Apple Hospitality REIT Acquires Hilton Garden Inn and Home2 Suites by Hilton in Birmingham

RICHMOND, Va.–(BUSINESS WIRE)–Apple Hospitality REIT, Inc. (NYSE: APLE) (“Apple Hospitality” or the
“Company”) today announced that it has closed on the previously
announced acquisition of the newly-constructed, dual-branded Hilton
Garden Inn® and Home2 Suites by Hilton® property
in Birmingham, Alabama, with a combined total of 210 rooms, for a
purchase price of approximately $38.4 million, or $183,000 per key.

“We are pleased to add this new, unique, dual-branded property to our
portfolio of hotels and enter the resurgent downtown Birmingham market,”
said Nelson Knight, Executive Vice President and Chief Investment
Officer of Apple Hospitality REIT. “Our per-key purchase price for these
new hotels in a growing market is very attractive, highlighting the
benefits of entering into fixed-price contracts with developers prior to
construction. The property is ideally located with great exposure to a
wide variety of corporate, medical, academic, government and leisure
demand generators.”

The new Hilton Garden Inn® and Home2 Suites by Hilton®,
located at 250 18th Street South in Birmingham, Alabama, are
situated in the heart of Birmingham’s downtown business district with
easy access to the University of Alabama at Birmingham, Children’s of
Alabama pediatric hospital, the Birmingham VA Medical Center, Regions
Financial Corporation’s headquarters, numerous corporate offices, and a
variety of museums, restaurants and entertainment venues. According to
data provided by Smith Travel Research (STR) for the seven-month period
ending July 31, 2017, RevPAR for the Birmingham, Alabama market improved
by more than seven percent, as compared to the same period of 2016.

Following this acquisition, the Apple Hospitality portfolio includes 237
hotels, with more than 30,000 guestrooms, geographically diversified
throughout 33 states.

About Apple Hospitality REIT, Inc.

Apple Hospitality REIT, Inc. (NYSE: APLE) is a publicly traded real
estate investment trust (REIT) that owns one of the largest portfolios
of upscale, select-service hotels in the United States. The Company’s
portfolio consists of 237 hotels, with more than 30,000 guestrooms,
diversified across the Hilton® and Marriott®
families of brands with locations in urban, high-end suburban and
developing markets throughout 33 states. For more information, please
visit www.applehospitalityreit.com.

Forward-Looking Statements Disclaimer

Certain statements contained in this press release other than historical
facts may be considered forward-looking statements. These
forward-looking statements are predictions and generally can be
identified by use of statements that include phrases such as “may,”
“believe,” “expect,” “anticipate,” “intend,” “estimate,” “project,”
“target,” “goal,” “plan,” “should,” “will,” “predict,” “potential,”
“outlook,” “strategy,” and similar expressions that convey the
uncertainty of future events or outcomes. Such statements involve known
and unknown risks, uncertainties, and other factors which may cause the
actual results, performance, or achievements of Apple Hospitality to be
materially different from future results, performance or achievements
expressed or implied by such forward-looking statements. Such factors
include, but are not limited to, the ability of Apple Hospitality to
effectively acquire and dispose of properties; the ability of Apple
Hospitality to implement its operating strategy; changes in general
political, economic and competitive conditions and specific market
conditions; adverse changes in the real estate and real estate capital
markets; financing risks; the outcome of current and future litigation;
regulatory proceedings or inquiries; and changes in laws or regulations
or interpretations of current laws and regulations that impact Apple
Hospitality’s business, assets or classification as a real estate
investment trust. Although Apple Hospitality believes that the
assumptions underlying the forward-looking statements contained herein
are reasonable, any of the assumptions could be inaccurate, and
therefore there can be no assurance that such statements included in
this press release will prove to be accurate. In light of the
significant uncertainties inherent in the forward-looking statements
included herein, the inclusion of such information should not be
regarded as a representation by Apple Hospitality or any other person
that the results or conditions described in such statements or the
objectives and plans of Apple Hospitality will be achieved. In addition,
Apple Hospitality’s qualification as a real estate investment trust
involves the application of highly technical and complex provisions of
the Internal Revenue Code. Readers should carefully review Apple
Hospitality’s financial statements and the notes thereto, as well as the
risk factors described in Apple Hospitality’s filings with the
Securities and Exchange Commission, including, but not limited to, in
the section entitled “Risk Factors” in the Company’s Annual Report on
Form 10-K for the year ended December 31, 2016. Any forward-looking
statement that Apple Hospitality makes speaks only as of the date of
such statements. Apple Hospitality undertakes no obligation to publicly
update or revise any forward-looking statements or cautionary factors,
as a result of new information, future events, or otherwise, except as
required by law.

For additional information or to receive press releases by email,
visit
www.applehospitalityreit.com.

Contacts

Apple Hospitality REIT, Inc.
Kelly Clarke, 804-727-6321
Vice
President, Investor Relations
kclarke@applereit.com