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Pebblebrook Hotel Trust Comments on LaSalle's Board Determination That Pebblebrook Proposal Could Lead to a "Superior Proposal"

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Pebblebrook Looks Forward to Engaging with the LaSalle Board to
Quickly Execute A Merger Agreement

Pebblebrook Hotel Trust (NYSE:PEB) ("Pebblebrook") today acknowledged
the announcement by the Board of Trustees of LaSalle Hotel Properties
(NYSE:LHO) ("LaSalle") that the Pebblebrook proposal of August 21, 2018
could reasonably be expected to lead to a "Superior Proposal" under the
merger agreement LaSalle entered into with affiliates of The Blackstone
Group L.P. (NYSE:BX) ("Blackstone").

"We are pleased with the decision by the LaSalle Board to take this
initial step by declaring that our proposal could reasonably be expected
to lead to a ‘Superior Proposal'," said Jon Bortz, Chairman, President
and Chief Executive Officer of Pebblebrook Hotel Trust. "We continue to
believe our offer is superior to the Blackstone proposal, and we look
forward to engaging with LaSalle's Board to quickly reach an agreement
to merge our two companies and allow shareholders to maximize immediate
and long term value."

Bortz continued, "As we have previously stated, if the vote on the
Blackstone proposal occurs as planned, notwithstanding the LaSalle
Board's encouraging move to engage with us now, we intend to vote our
10.8 million LaSalle common shares against the Blackstone merger, and we
encourage all LaSalle shareholders to vote against the Blackstone
take-under proposal using the GOLD proxy card. Pebblebrook's offer for a
strategic combination of our two companies will remain available on the
same terms, following a rejection of the Blackstone proposal by LaSalle
shareholders at the meeting scheduled for September 6, 2018."

In a letter dated August 21, 2018 to the LaSalle Board, Pebblebrook
submitted an enhanced merger proposal for a strategic combination with
LaSalle. Under the enhanced terms, Pebblebrook increased the number of
LaSalle common shares that may receive $37.80 in cash per share to up to
30% of LaSalle common shares or a fixed exchange ratio of 0.92
Pebblebrook common share.

For additional information on Pebblebrook's August 21, 2018 offer,
including investor presentations, press releases, SEC filings and
shareholder voting instructions to vote using the GOLD proxy card, visit
the Investor Relations section of Pebblebrook's website at investor.pebblebrookhotels.com,
or by clicking here.

Raymond James and BofA Merrill Lynch are acting as financial advisors,
Hunton Andrews Kurth LLP is acting as legal counsel and Okapi Partners
LLC is serving as information agent to Pebblebrook in connection with
the proposed transaction.

About Pebblebrook Hotel Trust

Pebblebrook Hotel Trust is a publicly traded real estate investment
trust ("REIT") organized to opportunistically acquire and invest
primarily in upper upscale, full-service hotels located in urban markets
in major gateway cities. The Company owns 28 hotels, with a total of
6,973 guest rooms. The Company owns hotels located in 9 states and the
District of Columbia, including: Los Angeles, California (Beverly Hills,
Santa Monica and West Hollywood); San Diego, California; San Francisco,
California; Washington, DC; Coral Gables, Florida; Naples, Florida;
Buckhead, Georgia; Boston, Massachusetts; Minneapolis, Minnesota;
Portland, Oregon; Philadelphia, Pennsylvania; Nashville, Tennessee;
Columbia River Gorge, Washington; and Seattle, Washington. For more
information, please visit us at www.pebblebrookhotels.com
and follow us on Twitter at @PebblebrookPEB.

ADDITIONAL INFORMATION

This communication does not constitute an offer to buy or solicitation
of an offer to sell any securities. This communication relates to a
proposal which Pebblebrook has made for a business combination
transaction with LaSalle. In furtherance of this proposal and subject to
future developments, Pebblebrook (and, if a negotiated transaction is
agreed, LaSalle) may file one or more registration statements, proxy
statements, tender or exchange offer statements, prospectuses or other
documents with the SEC. This communication is not a substitute for any
proxy statement, registration statement, tender or exchange offer
statement, prospectus or another document Pebblebrook or LaSalle may
file with the SEC in connection with the proposed transaction. INVESTORS
AND SECURITY HOLDERS OF PEBBLEBROOK AND LASALLE ARE URGED TO READ ANY
SUCH PROXY STATEMENT, REGISTRATION STATEMENT, TENDER OR EXCHANGE OFFER
STATEMENT, PROSPECTUS AND OTHER DOCUMENTS FILED WITH THE SEC CAREFULLY
AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE AS THEY WILL
CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. Any
definitive proxy statement or prospectus (if and when available) will be
delivered to shareholders of LaSalle or Pebblebrook, as applicable.
Investors and security holders will be able to obtain free copies of
these documents (if and when available) and other documents filed with
the SEC by Pebblebrook through the website maintained by the SEC at http://www.sec.gov.

Pebblebrook or LaSalle and their respective trustees and executive
officers and other members of management and employees may be deemed to
be participants in the solicitation of proxies in respect of the
proposed transaction. You can find information about Pebblebrook's
executive officers and trustees in Pebblebrook's definitive proxy
statement filed with the SEC on April 27, 2018. You can find information
about LaSalle's executive officers and trustees in LaSalle's definitive
proxy statement filed with the SEC on March 22, 2018. Additional
information regarding the interests of such potential participants will
be included in one or more registration statements, proxy statements,
tender or exchange offer statements or other documents filed with the
SEC if and when they become available. You may obtain free copies of
these documents using the sources indicated above.

In connection with the proposed merger transaction between LaSalle and
affiliates of Blackstone, which Pebblebrook opposes (the "Proposed BRE
Merger"), LaSalle filed a definitive proxy statement with the SEC on
July 30, 2018 (the "LaSalle Proxy Statement"). On July 30, 2018,
Pebblebrook filed a definitive proxy statement with the SEC in
opposition to that proposed merger transaction (the "Pebblebrook Proxy
Statement"). This communication is not a substitute for the LaSalle
Proxy Statement or the Pebblebrook Proxy Statement or for any other
document that LaSalle or Pebblebrook have filed or may file with the SEC
or send to LaSalle shareholders in connection with the Proposed BRE
Merger. BEFORE MAKING ANY VOTING DECISION, INVESTORS AND SECURITY
HOLDERS OF LASALLE ARE URGED TO READ THE LASALLE PROXY STATEMENT, THE
PEBBLEBROOK PROXY STATEMENT AND OTHER DOCUMENTS FILED WITH THE SEC
CAREFULLY AND IN THEIR ENTIRETY BECAUSE THEY CONTAIN IMPORTANT
INFORMATION ABOUT PEBBLEBROOK, LASALLE, THE PROPOSED BRE MERGER AND
RELATED MATTERS. Investors and security holders can obtain free copies
of the LaSalle Proxy Statement, the Pebblebrook Proxy Statement and
other documents filed by LaSalle or Pebblebrook with the SEC through the
website maintained by the SEC at http://www.sec.gov.
Copies of the documents filed by LaSalle with the SEC are also available
free of charge on LaSalle's website at www.lasallehotels.com,
or by contacting LaSalle's Investor Relations Department at (301)
941-1500. Copies of the documents filed by Pebblebrook with the SEC are
also available free of charge on Pebblebrook's website at www.pebblebrookhotels.com,
or by contacting Pebblebrook's Investor Relations at (240) 507-1330.
LaSalle and its trustees and certain of its executive officers may be
considered participants in the solicitation of proxies from LaSalle's
shareholders concerning the Proposed BRE Merger under the rules of the
SEC. Information about the trustees and executive officers of LaSalle is
set forth in LaSalle's Annual Report on Form 10-K for the year ended
December 31, 2017, which was filed with the SEC on February 20, 2018,
LaSalle's proxy statement for its 2018 annual meeting of shareholders,
which was filed with the SEC on March 22, 2018, and in subsequent
documents filed by LaSalle with the SEC. Additional information
regarding persons who may be deemed participants in the proxy
solicitations and a description of their direct and indirect interests,
by security holdings or otherwise, is included in the LaSalle Proxy
Statement and may be included in other relevant materials to be filed
with the SEC. Pebblebrook and its trustees and executive officers and
other members of management and employees may be deemed to be
participants in the solicitation of proxies in respect of the Proposed
BRE Merger. You can find information about Pebblebrook's executive
officers and trustees in Pebblebrook's definitive proxy statement filed
with the SEC on April 27, 2018. You may obtain free copies of this
document as described above.

This document shall not constitute an offer to sell or the solicitation
of an offer to buy any securities, nor shall there be any sale of
securities in any jurisdiction in which such offer, solicitation or sale
would be unlawful prior to registration or qualification under the
securities laws of any such jurisdiction. No offering of securities
shall be made except by means of a prospectus meeting the requirements
of Section 10 of the Securities Act of 1933, as amended.

Forward-Looking Statements

This communication may include "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements include, but are not limited to, statements
regarding Pebblebrook's offer to acquire LaSalle, its financing of the
proposed transaction, its expected future performance (including
expected results of operations and financial guidance), and the combined
company's future financial condition, operating results, strategy and
plans. Forward-looking statements may be identified by the use of the
words "anticipates," "expects," "intends," "plans," "should," "could,"
"would," "may," "will," "believes," "estimates," "potential," "target,"
"opportunity," "tentative," "positioning," "designed," "create,"
"predict," "project," "seek," "ongoing," "upside," "increases" or
"continue" and variations or similar expressions. These statements are
based upon the current expectations and beliefs of management and are
subject to numerous assumptions, risks and uncertainties that change
over time and could cause actual results to differ materially from those
described in the forward-looking statements. These assumptions, risks
and uncertainties include, but are not limited to, assumptions, risks
and uncertainties discussed in Pebblebrook's most recent annual or
quarterly report filed with the SEC and assumptions, risks and
uncertainties relating to the proposed transaction, as detailed from
time to time in Pebblebrook's and LaSalle's filings with the SEC, which
factors are incorporated herein by reference. Important factors that
could cause actual results to differ materially from the forward-looking
statements made in this communication are set forth in other reports or
documents that Pebblebrook may file from time to time with the SEC, and
include, but are not limited to: (i) the ultimate outcome of any
possible transaction between Pebblebrook and LaSalle, including the
possibilities that LaSalle will reject a transaction with Pebblebrook,
(ii) the ultimate outcome and results of integrating the operations of
Pebblebrook and LaSalle if a transaction is consummated, (iii) the
ability to obtain regulatory approvals and meet other closing conditions
to any possible transaction, including the necessary shareholder
approvals, and (iv) the risks and uncertainties detailed by LaSalle with
respect to its business as described in its reports and documents filed
with the SEC. All forward-looking statements attributable to Pebblebrook
or any person acting on Pebblebrook's behalf are expressly qualified in
their entirety by this cautionary statement. Readers are cautioned not
to place undue reliance on any of these forward-looking statements.
These forward-looking statements speak only as of the date hereof.
Pebblebrook undertakes no obligation to update any of these
forward-looking statements to reflect events or circumstances after the
date of this communication or to reflect actual outcomes.

For additional information or to receive press releases via email,
please visit our website at
www.pebblebrookhotels.com

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