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Forward-Looking Statements

Statements in this presentation that are not reported financial results or other historical information are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. They include, for example, statements about our business outlook, assessment of market conditions, strategies, future plans, future sales, capital spending tax rates, and occupancy levels or rates. These forward-looking statements are not guarantees of future performance. They are based on management’s expectations that involve a number of business risks and uncertainties, any of which could cause actual results to differ materially from thoseexpressed in or implied by the forward-looking statements. The risks and uncertainties relating to the forward-looking statements in this presentation include those described under the caption “Risk Factors” in Strategic Hotels and Resorts’ Form 10-K/A filed on May 8, 2006 and from time to time, in Strategic Hotels and Resorts’ other filings with the Securities and Exchange Commission.

Strategic Hotels & Resorts

Company Highlights

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Investment Highlights

High quality hotel portfolio with intrinsic real estate value

Seasoned management team

Intensive asset managers

Embedded internal growth opportunities

Proven acquisition capabilities

“Life cycle” driven capital recycling program

Building Long-Term Earnings GrowthBuilding Long-Term Earnings Growth

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Portfolio Overview

19 Hotels and Resorts 9,624 Rooms

19 Hotels and Resorts 9,624 Rooms

Paris, France

Hamburg, Germany

Prague, Czech Republic

Chicago

Mexico City

Punta Mita Resort

New Orleans

Phoenixat Civic Plaza

Lincolnshire Resort

Miami

Burbank Airport

Half Moon Bay

Mexico City

Punta Mita Resort

New Orleans

Miami

Burbank Airport

Half Moon Bay

Mexico City

Punta Mita Resort

New Orleans

Chicago

Miami

Santa Monica Beach Hotel

Burbank Airport

Half Moon Bay

La Jolla

Washington, D.C.

St. Francis

Note: Pro forma for the acquisition of the Ritz-Carlton Laguna Niguel and divestiture of the Marriott Rancho Las Palmas.

Laguna Niguel

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Seasoned Management Team

Title Experience

Laurence Geller President, CEO and founder 40

James Mead Chief Financial Officer 20

Richard Moreau EVP, Asset Management 30

Steve Miller SVP, Acquisitions and Development 25

Paul White VP, Asset Manager 25

Dave Hogin VP, Asset Manager 25

Ken Barrett VP, Asset Manager 13

Tim Taylor VP, Capital Projects 25

Strategic Hotels & Resorts

Lodging Trends

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Encouraging Lodging Fundamentals

Source: Smith Travel Research

8.8%

3.3%

(0.2%)(0.2%)

3.3%

(4%)

(2%)

0%

2%

4%

Perc

ent G

row

thSupply Demand

Luxury

(12%)

(8%)

(4%)

0%

4%

8%

12%

2001 2002 2003 2004 2005 2006

Perc

ent c

hang

e

Supply Demand ADR

Strategic Hotels & Resorts

Value Creation Strategy

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Asset Management Strategy

Create value-added initiatives

Consumer driven orientation

Establish operating systems that maximize margins

Execution through strong brand relationships

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Investment Strategy

Acquire properties that provide cyclical upside

Intrinsic real estate value underpinning

Opportunity to improve operations

Research oriented, consumer driven investment potential

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Four Seasons Punta Mita

Completed Projects

– 5 beachfront suites

– Zen pool and cabanas

– Champagne and sushi bar

2007 Activities

– 24 rooms and 5 beachfront suites

– Beachfront restaurant, fitness and retail

First Quarter Results

– 17.0% Total RevPAR growth

– 90 basis point increase in EBITDA margins

145 rooms

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Completed Projects

– Food and beverage expansion

– Fire and wine concept

– Implementation of operational systems

2007 Activities

– Colony Club room upgrade

– Recreational facility

First Quarter Results

– 18.1% Total RevPAR growth

– 730 basis point increase in EBITDA margins

261 rooms

Ritz-Carlton Half Moon Bay

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InterContinental Chicago Prime location on Michigan Avenue

Retail, wine room and restaurant

34.0% Total RevPAR growth in Q106

InterContinental Miami New ballroom, meeting space and retail

Spa, pool deck and restaurant

Condo conversion

12.3% Total RevPAR growth in Q106

792 rooms

641 rooms

2005 Acquisitions

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Fairmont Chicago

Millennium Park and Lakeshore East

New fitness center and spa

Gold lounge / rooms and retail expansion

Condo hotel / fractional ownership

13.2% Total RevPAR growth in Q106

691 rooms

2005 Acquisitions

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Four Seasons Washington, D.C. Purchase price of $168.9 million

Ramping up following $27 million renovation

Restaurant, retail and expansion

Hotel del Coronado

Joint Venture with 45% ownership

Implied purchase price of $745 million

78-room North Beach / 144-room South Beach developments

20,000 square foot spa and fitness center

679 rooms

211 rooms

2006 Acquisitions

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71 units

1,195 rooms

Westin St. Francis San FranciscoPurchase price of $440 million

39,000 square feet of Union Square retail

Ability to create operating efficiencies

LaSolanaPurchase price of $29.5 million

Adjacent to Four Seasons Punta Mita

71-room luxury development

50 for-sale residential sites

2006 Acquisitions

21393 rooms

2006 Acquisitions

Ritz-Carlton Laguna Niguel

Pending acquisition

Purchase price of $330 million

18 oceanfront acres

Ramping up following $40 million renovation

AAA Five-Diamond Award 19 years in a row

Retail and expansion opportunities

Strategic Hotels & Resorts

Financial Results

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Total RevPAR $243 9.8%

RevPAR $129 9.9%

EBITDA/room $21,298 14%

Strong 2005 Operating ResultsNorth America Same Store Portfolio

Maximizing Cash Flow per RoomMaximizing Cash Flow per Room

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Improving Portfolio MetricsFirst Quarter North America Same Store Portfolio

Q1 05 Q1 06

RevPAR $150.36 9.4% $164.56

Total RevPAR $278.48 8.9% $303.17

ADR $202.46 9.1% $220.95

EBITDA/room $6,697 16.6% $7,810

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Accretive Growth First Quarter 2006 Comparison

Same Store 2005 Acquisitions

RevPAR Growth 9.4% 22.2%

Total RevPAR Growth 8.9% 18.4%

$5.9 Million Over 2005 Underwritten Budget$5.9 Million Over 2005 Underwritten Budget

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Strong Balance Sheet

31% debt to total enterprise value

82% fixed rate debt

4.6 years average maturity

$136 million capital recycling over past 12 months

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Summary

Research driven, consumer oriented

Experienced hotel operators

High quality hotels with intrinsic value

Creative leadership; financial discipline

Multi-year internal investment plan

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