Joie de Vivre Hospitality Breaks Ground on San Francisco's Most Anticipated Hotel Project Across from Landmark Ferry Building

After Six Years, Boutique Hotel to Open at Coveted Waterfront Embarcadero Locale

San Francisco, CA (OCTOBER 9, 2003) - JOIE DE VIVRE HOSPITALITY (www.jdvhospitality.com), known for its creative collection of lifestyle businesses in the Bay Area, today broke ground on the highly anticipated Hotel Vitale located at the corner of Mission & Steuart Streets, across the Embarcadero from the Ferry Building. Surrounded by light and water at the City's bayside Embarcadero, the hotel's newly announced name (Hotel Vitale, meaning "vitality" in Italian) was inspired by the natural beauty of this sparkling location and its recent renaissance as a major San Francisco destination. Hotel Vitale is slated to open in Spring 2005.

Voted #1 City in the US in Condé Nast Traveler's November 2003 Readers' Choice Awards, San Francisco is now not only the best city to visit, but also North America's best travel value. After years of high hotel occupancies and rates, the City is now offering deep discounts. Full of unique seasonal things to see and experience, San Francisco is brimming with holiday cheer and incredible hotel deals.

The Hotel Vitale is the result of an historic joint venture between the San Francisco Municipal Transportation Agency, Emerald Fund and Joie de Vivre Hospitality, and has been over six years in the making. The stunning eight-floor, 200-room property was designed by San Francisco-based Heller-Manus Architects, with an interior design by Colum McCartan of San Francisco-based MCCARTAN. Webcor will build the structure. Joie de Vivre Hospitality is an owner/partner in the project and will operate the hotel. The Hotel Vitale site, a former Muni bus layover yard, was selected in the Municipal Railway Assets Development Study as a site for commercial development to increase Muni's revenues.

Taking a cue from its waterfront location, Hotel Vitale is inspired by the elements of water and light and will feature an interior design that emphasizes rich natural materials, subtle coloration and a "post-hip" ambiance that sidesteps trendy boutique hotel design. The result will be a destination hotel that embodies the Northern California "good life" and promotes relaxation, serenity and inspiration. Many guestrooms will showcase stunning Bay views and all will highlight an aesthetic that blends luxury with simplicity.

Additional special features of the hotel include:

• A gourmet restaurant, outdoor café, and bar created to feature the fresh offerings from the nearby Ferry Building Farmer's Market
• Circular suites in the hotel's grand turret feature both curved windows that look directly out to the Bay Bridge and limestone-covered tubs which open into the suites
• A penthouse-level indoor/outdoor spa
• Extensive special event space
• A combination transit museum and retail shop to be operated by the Market Street Railway, a non-profit group that is dedicated to the acquisition, restoration, and operation of historic transit vehicles in San Francisco
• Stops and passenger shelters for Muni's F Market & Wharves historic streetcar line

About Joie de Vivre Hospitality

Based in San Francisco, Joie de Vivre Hospitality (www.jdvhotels.com) is a creative collection of lifestyle businesses. As California's most prolific hotel operator(2005 projected sales are $120 million), the Joie de Vivre portfolio encompasses 33 hospitality businesses in the San Francisco Bay Area, including 28 boutique hotels. These properties represent a total of over 2,800 rooms and include five distinctive restaurants and bars. The company also owns and operates San Francisco�s largest day spa, the Kabuki Springs & Spa. Each property celebrates California through a unique visual style, uncompromising design principles, one-of-a-kind amenities and personalized service. Chip Conley, founder and CEO of Joie de Vivre Hospitality, says it best, "Our goal is to create landmark destinations full of soul and personality!"