Grupo Posadas, Latin America�s leading hotel company, and Brazilian development company Inpar Construcoes e Empreendimientos Imobiliarios LTDA, have signed an $105 million (USD) agreement to construct additional hotels operated by Caesar Park hotels in Brazil.

Gaston Azcarraga, president of Grupo Posadas and Alcides Parizzotto, CEO and president of Inpar, met in Mexico City to sign the contract. The joint venture will build more than 1,200 additional hotel rooms in Brazil over the next two years.

�Beyond a quantified growth in the number of rooms, this contract represents the beginning of an aggressive expansion by Grupo Posadas in the Brazilian market,� stated Gaston Azacarraga. �Furthermore, developing projects with Inpar, a professional firm and equally aggressive in its own field, gives us an invaluable guarantor as a hotel partner.�

The Grupo Posadas-Inpar partnership will soon begin construction of a $40 million convention center near Sao Paulo�s Guaruhols International Airport. The convention center will be served by 383 new rooms operated by Grupo Posadas. The opening of the hotel and convention center is scheduled for August 2001.  The two companies will also collaborate in the development of a new 400-room hotel to be located on Sao Paulo�s Paulista Avenue, one of the most important financial districts in the city. The Paulista Avenue hotel will employ a �flats� concept, whereby each of the hotel rooms will be sold to individual investors, who will in turn receive a percentage of the income generated by room usage. Caesar Park will operate the hotel in accordance with its prevailing operational standards and procedures.

Grupo Posadas and Inpar are already developing Vila Olimpia, a modern, exclusive business and residential area southwest of Sao Paulo, which will be the site for 400 additional operated by Caesar Park, opening August 2001.  The $37 million hotel will be connected to a convention center, office buildings and a shopping mall. Grupo Posadas will have exclusive rights of Caesar Park under a 25-year operation contract.  Other plans of conversion between the two Grupo Posadas and Inpar include the possible development of additional hotels in Rio de Janeiro and Minas Gerais.

Grupo Posadas is also expanding and undertaking construction projects in Venezuela, Colombia, Chile, and Central American countries.

Caesar Park, a hotel brand of Brazilian origin, was created two decades ago and its high quality and outstanding service are recognized worldwide by business travelers in Asian, American, and European markets.  Caesar Park properties are situated in densely populated cities considered major business and entertainment centers. Presently, Caesar Park hotels belonging to Grupo Posadas in Sao Paulo, Rio de Janeiro, and Buenos Aires are members of The Leading Hotels of the World. The company also operates a fourth property in Fortaleza, Brazil.
Grupo Posadas operates more than 58 hotels with more than 11,800 rooms in beach and city destinations in Mexico, the United States and South America. With its Caesar Park, Fiesta Americana, Fiesta Inn, and The Explorean hotel chains, Grupo Posadas is the largest hotel company in Latin America, with active operations in five countries.