Leisure Canada Inc. launches five-star Havana waterfront hotel development program

Shares issued & Outstanding: 33,973,988 Trading Symbol: TSX Venture Exchange: LCN

Press Release: Leisure Canada Inc
July 9, 2002
VANCOUVER, BC -- Leisure Canada announces initial details of its development plan for Monte Barreto, a five-star waterfront hotel project located in Havana, Cuba. The announcement of these details follows Leisure Canada's June 21 announcement that proceeds from a C$7,500,000 private placement will be allocated primarily to the development program of its North American style, five-star Monte Barreto hotel project.

Leisure Canada's Monte Barreto Resort has been designed with a central courtyard that is a prominent feature of many historical buildings in Cuba. The resort will include an elegant five star oceanfront hotel with a comprehensive conference centre and world-class spa, and timeshare buildings surrounding a sheltered tropical garden courtyard. The courtyard village will feature lush landscaping with cascading pools, colourful entertainment, exclusive boutiques and a variety of specialty cafes and restaurants.

The Monte Barreto project is located on the last available prime piece of waterfront property in Havana's upscale Miramar district. The property is situated in the heart of Havana's leading business and trade district, adjacent to the Miramar Trade Center, directly beside Havana's new aquarium. The Miramar district is at the forefront of Havana's city expansion plan.

Leisure Canada is co-developing the site with its Cuban joint venture partner, Gran Caribe Grupo Hotelero S.A. Gran Caribe is responsible for operating Cuba's premiere tourism ventures, such as the Hotel Nacional and the world-renowned Tropicana Show. Gran Caribe's portfolio includes upwards of 32 additional hotel properties. The Leisure Canada/Gran Caribe joint venture is well positioned to take advantage of the significant modern infrastructure currently in place in the Miramar district.

The Monte Barreto project is being designed and built to attract the existing and future North American market. The hotel complex will be a one of a kind facility in Havana, offering first class amenities characteristic of a modern North American style business hotel.

The hotel development is being built to meet South Florida Building Code standards, thereby ensuring that the project will be attractive to major North American hotel brands in the future. All of the waterfront land for the Monte Barreto project has been transferred from state ownership to the Leisure Canada/Gran Caribe joint venture company, Bellavista Resorts, S.A.

Once all phases of construction have been completed, Monte Barreto will provide a total of 850 units together with a first class convention facility, retail space and recreational and banquet facilities geared to both the business and vacation traveler.

------------------------------------------------------------------------------------------------

    For more information, please contact:

    Peter MacLeod                            JJ Jennex
    President and Chief Operating Officer    Investor Relations Director

                                             Ward Jensen
                                             Investor Relations Officer

    Telephone:    (604) 990-9599 or 1-888-600-8687
    E-mail:       info@leisurecanada.com
                  jjjennex@leisurecanada.com
                  ward@leisurecanada.com
    Website:      www.leisurecanada.com

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

SOURCE: Leisure Canada Inc