Sale Agreement

Q. How do I reserve a villa in The Ocean Estate?
A. A villa can be reserved by signature of a Reservation Agreement. In terms of such agreement a reservation fee of         $30,000 is to be paid into an escrow account, whereafter the villa will be reserved and taken off the market. A full         set of sales documentation will then be forwarded to a purchaser who has to sign these agreements within a         period of 14 days after receipt thereof. If purchaser fails to do so, the reservation will lapse and the villa will be put         back on the market

Q. How do I pay for my villa?
A. The purchaser must pay 30% of the agreed purchase price into the escrow account. This can be done by payment         of the full 30% in one payment, or three equal instalments of 10%, the first of which must be paid within 30 days of         the signature of the Sale Agreement. As soon as the purchaser has so paid 30% of the purchase price, a charge         will be registered over the land that the villa is to be constructed on in favour of the purchaser, thereby securing his         investment. The balance has to be secured or payments have to be made to equal the draw down procedures set         out in the Sale Agreement. The purchase price is disbursed out of the escrow account on a draw down procedure         set out in the Sale Agreement and duly vouched for by progress certificates from the architects.

Q. What is an escrow account and where will it be held?
A. The escrow account is set up to protect purchasers in that the developer will not be entitled to any monies out of         this escrow account, unless the procedure as set out in the Sale Agreements for the draw downs is followed.

Q. When do I become owner of my villa?
A. Transfer of the villa is effected after the final completion date as the developer wishes to finish the construction         process and then provide purchasers with a duly completed villa.

Q. What security do I have prior to the transfer date?
A. As soon as 30% of the purchase price has been paid into the escrow account, a fixed charge over the land parcel         on which the villa is to be constructed, will be registered in the purchaserís name, which charge will only be         cancelled on transfer of the villa into the name of the purchaser

Q. What restriction (if any) is placed on purchasers selling their villas before the development is complete?
A. Prior to the transfer date of the villa, no purchaser may dispose of his villa without the prior written consent of the         developer. After transfer, the developer has a right of first refusal to buy back the villa during the development         period.

Q. Which legal system will govern the agreement of sale and ancillary documentation to this development?
A. The agreements are governed by the laws of Seychelles.

Q. When is occupation of the first villa likely to take place?
A. At present, the developer is aiming to have the first villa occupied by the end of 2011.