On behalf of Club Mediteranée S.A., Jones Lang LaSalle Hotels has arranged the sale of the Club Med Playa Blanca, a 296-room resort located along the coastline of Jalisco, Mexico, to Mexican concern Grupo Vigon. This sale marks the third Mexican hotel transaction that Jones Lang LaSalle Hotels has orchestrated on behalf of Club Mediteranée S.A. within the past 15 months. The Club Med Huatulco and Club Med Sonora Bay also traded in April 2002 and October 2002, respectively.

According to Christian Charre, Vice President of Jones Lang LaSalle Hotels, the cost of new construction and, more importantly the cost of construction finance in Mexico, make development in emerging tourism markets challenging. "Grupo Vigon purchased this resort-style property situated on a prime location with extensive infrastructure already in place at just a fraction of the replacement cost. Club Med Playa Blanca was also purchased with vacant possession, enabling Grupo Vigon to hire the owner/operator of its choice and implement its own business model."

Club Med Playa Blanca was built in 1973 and received a $5 million renovation in 1999. It sits 120 miles south of Puerto Vallarta and 60 miles north of Manzanillo in Cihuatlan, Costa Careyes, State of Jalisco. Costa Careyes comprises 100 miles of virtually underdeveloped coastland guarded by stringent development rules, which guarantee the future of the area's natural environment.

"Tourism destinations within Mexico have seen dramatic increases in development in recent years," said Gregory Rumpel, Senior Vice President of Jones Lang LaSalle Hotels. "Costalegre has a number of boutique hotel developments and is gaining popularity as a high-end second home market for residents of Guadalajara, Colima and Mexico City."