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Choice Atlantica Hotels Announces
Three New Hotel Projects in Brazil

FORT LAUDERDALE, June 2, 1998 – South America’s fastest growing hotel franchise and management company, Choice Atlantica Hotels has announced development plans for three new hotels in Brazil: a 108-room Sleep Inn in Campinas, a 240-unit Comfort Hotel in Sao Paulo and a 117-room Comfort Hotel & Suites, also in Sao Paulo.

Development of the Comfort Hotel - ANHEMBI is already underway and the project is scheduled for completion during the first quarter of the year 2000. The property is a condominium flat hotel and units will be owned by private investors.  It is located near the ANHEMBI Conference Center.  Drawing more than 1 million people to the area each year – most of whom require overnight accommodations – the ANHEMBI Conference Center is Sao Paulo’s largest convention and exhibition center and home to more than 30 events annually.  The hotel will be the only full-service hotel in the area and will include 240 guest rooms with large desks, ergonomic chairs and dataports, a coffee shop, fully equipped business center, fitness center, swimming pool and abundant parking.

Developer of the hotel is Consorcio GEF/Apta.  Choice Atlantica Hotels will manage the privately owned condominium units.

In August, construction will begin on the 108-room Sleep Inn-Galleria located near the Galleria Shopping Center and a newly constructed commercial office complex in Campinas, a major city in the state of Sao Paulo.  This limited service hotel – the first Sleep Inn in Brazil -- is expected to be completed in August 1999 and will offer features such as in-room desks, efficient telephone access and dataports.

Choice Atlantica Hotels will manage the property upon completion and  will own the property along with  PROMON, one of Brazil’s largest engineering firms, Cariba, a commercial real estate development company and LMS, a consulting and investment company that specializes in commercial real estate.

Choice Atlantica Hotels also has entered into a long-term leasing agreement for the Trianon Hotel, located in Paulista, an area recognized as the commercial and financial center of Sao Paulo.  Choice Atlantica Hotels will assume control of the property in July 1 and will immediately invest US$1.5 million to upgrade the property to the standards of a Comfort Hotel & Suites.  The hotel will be renamed Comfort Hotel & Suites - Trianon Park.
Located near Trianon Park, the 117-room hotel will include 28 suites, restaurant, lounge, swimming pool and two meeting rooms.

“Like all Choice products, these three hotels will be specifically designed and managed to cater to the needs of international and regional business travelers,” said Paul J. Sistare, president and CEO of Choice Atlantica Hotels.  “These projects are strongly reflective of the kinds of facilities that are in demand not only in Brazil but throughout the Southern Cone of South America.  No matter where they are from or where they are going, today’s business traveler expects to stay in an affordable, efficient, contemporary hotel that provides a wide range of business-traveler-friendly features.”

Choice Atlantica Hotels has plans to develop 140 hotels throughout South America over the next five years.  Presently, 37 hotel projects are open, under construction or in other stages of development.

The company recently announced a partnership agreement with the Latin American private equity fund of Darby Overseas Investments, Ltd., headed by former U.S. Secretary Nicholas Brady, who now serves as vice chairman of Choice Atlantica Hotels. In other recent news, the company  acquired the master franchise agreement to develop Choice hotels in Chile, Peru, Ecuador and Bolivia and will provide franchising and management services to some 25 hotels in those countries in the next five years.  The company already is experiencing solid growth in Brazil and Argentina. Choice Atlantica Hotels also is developing three comprehensive reservations offices to provide sales support in the eight countries.

Among the projects presently underway is a 400-room Quality Hotel and Conference Center at the Guarulhos International Airport in Sao Paulo and 12 Quality Hotels over a 10-year period in Argentina and Uruguay.

Choice Atlantica Hotels is based in Sao Paulo and also has offices in Fort Lauderdale, Buenos Aires and Santiago.

For more information, contact:
Mona Mesereau
Mesereau Public Relations
(1) 303-841-1511

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