Atlantic Beach Commercial Dossier by PLANIFICACIONES MUNDIALES SL

ATLANTIC BEACH Residential Island of Maio – Cape Verde Registered Offices: Urb. El Rosario, Parcela G A-7, Km. 188 29604 Marbella – Málaga Spain Tel: +34.952.831.559/+34.952.837.663 Fax: +34.951.310.744

Cape Verde Office: Zona Ponta Preta Santa María Isla de Sal – Cabo Verde Tel: +238.242.21.50 Fax: +238.242.21.50

www.planificacionesmundiales.com

Administration Office: C/ León y Castillo , 152 35600 Puerto del Rosario Fuerteventura Spain Tel: +34.901.13.14.15/+34.928.85.60.17 Fax: +34.928.85.16.69

ATLANTIC BEACH Residential – Island of Maio

Content 1. 2.

3. 4.

Introduction Cape Verde a) Geographical situation b) Factsheet c) Tourism d) Fotos of Cape Verde Why invest in Cape Verde? Incentives and exemptions Island of Maio a) Description b) Transport Atlantic Beach Residential a) Situation b) Description c) Plans d) Types e) Photo-report

4 5 5 7 8 11 20 21 23 23 24 25 26 27 28 29 34

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

1. Introduction: Cape Verde is becoming more and more consolidated on the world market as a holiday destination with great potential. Its wild, exotic landscapes, the excellent sandy beaches with crystal clear water, the deep ocean full of fish, coral and marine archaeology, along with the unique conditions for practicing water sports, the warm nights filled with irresistible musical rhythms and last but not less important, the delightful, outgoing personality of the people make this archipelago a paradise set in the heart of the Atlantic Ocean. At the beginning of 2008, Cape Verde abandoned the Group of Low Income Countries and entered the group of Middle Income Countries (according to OECD criteria). In addition, from July 2008, the archipelago is a member of the WTO, which strengthens the multilateral trading system and will enable it to continue integrating into the world economy. From 1991 the country has been applying market-orientated economic policies, making foreign investment easier, encouraging the private sector through privatisation and by developing tourism, light manufacturing industries and the fishing industry. It has also improved transportation, communications and electricity installations. Furthermore, the integration of Cape Verde into the world economy and the development of the private sector, backed up by the arrival of large groups of foreign investors, a key element in the development of the country, have made it necessary to set up a legal framework that no only offers attractive incentives for investment, but also provides security that will facilitate and guarantee foreign investment in the country.

C/ LeĂłn y Castillo, 152 â&#x20AC;&#x201C; 35600 Puerto del Rosario â&#x20AC;&#x201C; Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

2. Cape Verde: a. Geographical Situation:

Archipelago of Cape Verde

The Republic of Cape Verde occupies an area of 4,033 square kilometers. The islands of Cape Verde are situated in the Atlantic Ocean, to the south of the Canary Islands and some 500 kilometres from the coast of Senegal. Cape Verde has a privileged location, between the continents of Europe, Africa and America, right on the Atlantic shipping route. The archipelago is of volcanic origin and is made of ten islands and eight small islets. The islands form two groups, depending on their relation with the north-east wind: the Windward Islands (Barlovento) consisting of São Antao, São Vicente, Santa Lucia, São Nicolau, Sal and Boa Vista; and the Leeward Islands (Sotavento) formed by Maio, São Tiago, Fogo and Brava. The terrain is generally craggy and of volcanic origin; the highest point is in Fogo with an altitude of 2,829m. However, Sal and Boa Vista are flat, with extensive meadows and dunes of fine, white sand. The climate is dry subtropical with an average temperature of 25 degrees centigrade (the coolest in Africa). Temperatures drop somewhat from December to February due to the wind blowing from the Sahara, the Hamattan. The sea temperature varies between 21 and 25 degrees. C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

Archipelago de Cabo Verde

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

b. Factsheet:

Flag Capital

Praia

Surface Area

4,033 Km2 965 Km. of coast

Population

519,000

Independence

5th July 1975

Form of government

Parliamentary democracy

President Prime Minister

Pedro Pires José María Nieves

Currency

Capeverdean escudo (CVE)

Total GDP GDP per head

3,905 million US$ 7,904 US$

Languages

Portuguese - Creole

Density Hab./Km2

101 Hab./Km2

Annual growth

5.8%

Life expectancy

71.7 years

Urban population

57.3%

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

c. Tourism:  Tourism is one of the pillars of the economic development of Cape Verde. In the last few years the tourism sector has undergone a spectacular evolution. The islands of Cape Verde received over 320,000 tourists during 2007.  On the island of Sal, there were 210,000 tourists that visited in 2007. The island of Sal receives 65% of the holidaymakers travelling to Cape Verde. Holidaymakers come mainly from Italy, Germany, Portugal and the Scandinavian countries. The average stay is 4-7 days. As an emerging market, Cape Verde has a growth rate of incoming international holidaymakers that is above the world average (22% growth per year). There are currently some 5,800 beds and 29 holiday establishments in the archipelago of Cape Verde. Hilton Hotels Corporation plans to open a hotel in Santa María (Island of Sal) during the second quarter of 2010. Riu and Iberostar plan to open 2 hotels that will open at the end of 2010.  Most popular hotels:  Island of Sal: Hotel Riu Funana-Garopa, Hotel Morabeza, Hotel Odjo d’Agua.  Island of Boa Vista: Hotel Riu Karamboa, Hotel Ventaclub, Hotel Estoril Beach.  Island of Maio: Hotel Belavista, Hotel Marilu, Residencial Bom Sossego.

Hotel Riu Funana – Island of Sal

Hotel Riu Karamboa – Island of Boavista

Hotel Morabeza – Island of Sal

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

Holiday demand in Cape Verde: Markets of origin (2008)

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

d. Photos of Cape Verde:

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

3. Why invest in Cape Verde?  Its privileged location: Situated between the continents of Europe, Africa and America. Situated right on the Atlantic shipping route. Communicated by regular sea and air connections.  Virgin market in full economic growth: 6.9% economic growth in 2007. January 2008: integrated in the group of Middle Income Countries. Member of the WTO since July 2008.  Its political and economic stability: Parliamentary political system with free elections. Free from political, ethnic and religious conflict. Stable economic and social indicators.  Manpower: Freely available and low cost. Highly qualified. High production level.  The Caribbean of Europe: Spectacular beaches of white sand and crystal clear water Perfect conditions for water sports (windsurf, kitesurf and surfing) Attractive sea fauna for fishing and scuba diving C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

The integration of Cape Verde into the world economy and the development of the private sector, backed up by the arrival of large groups of foreign investors, have brought about the need to establish legal and taxation conditions to create the right framework of security to facilitate and guarantee the new foreign investments. The Cape Verde Foreign Investors’ Statute (Act nº 89/IV/93) provides for the following incentives and guarantees:

 Tax Incentives: • Tax exemption for dividends and profits during the first five years of activity. •Tax exemption for dividends and profits re-invested in the same or another business in the country. • Tax exemption on interest payments. A privileged taxation system for any investments that, after the exemption period has expired and they are not re-invested, will only be taxed at a rate of 10% on the profits and dividends (this represents a 50% tax reduction on Income Tax applied to non-residents, currently set at 20%)

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

By law, a foreign investment is considered to be any participation in financial business that is made with money brought from abroad and that can be financially revalued. For foreign investments thus qualified, the State of Cape Verde, under its own law, guarantees the non-discrimination of foreigners, who are given fair treatment both regarding the security and protection of their assets and rights, and also the guarantee that they cannot become subject to nationalization or expropriation, except in the case of for public use.

Guarantees: Protection of assets and rights inherent to foreign investment. Free transfer of dividends and profits abroad. No nationalisation or expropriation. Possibility of opening bank accounts in foreign currency.

 Benefits and Incentives under the Tourism Utility Law for tourist investments: (Act nº42/IV/92) Exemption from customs duties on the importation of materials to be used in the construction and running of hotels and holiday complexes. Exemption from local property rates on buildings. 100% tax exemption during the first five years. Tax deductions on profits reinvested in similar businesses.

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

4. Island of Maio: a. Description: Maio Island covers an area of 269 km², is 24 km from north to south and 16 km from east to west and lies to the south of Boa Vista Island, in the Sotavento group of islands. It appears arid and flat with a predominantly dry, sub-tropical climate featuring soft and stable temperatures with an annual average of 19 to 28º C.

•Capital: Vila do Maio. •Tourist areas: Vila do Maio and Morro. •4000 inhabitants. •Impressive beaches of white sand and crystal clear water. •Salt flats: 5000 m long and 1500 m wide. •Abundant exotic plant life (3500 hectares) •Home to turtles.

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

b. Transport:  There are currently four international airports in Cape Verde. One, the Amílcar Cabral international airport, is located on Sal Island and receives the main international flights.  The other three are on the islands of Santiago (Praia international airport), Boa Vista (Boa Vista international airport) and São Vicente (São Vicente international airport).

 Maio Island has an airport in its capital that receives flights from Santiago, the capital of Santiago Island (10 minutes) There are plans to enlarge it and make it international.  There are twice-weekly departures from the island's port in Vila do Maio to Praia.  The government has already approved the first phase of improvements to the port and its expansion and modernisation in a second phase.

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

5. Atlantic Beach Residential:

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

a). ATLANTIC BEACH Tourist Complex Location:

 The Atlantic Beach tourist complex is located in the south west of Maio Island, a few minutes from the tourist area of Morro and from the capital, Vila do Maio.  The project is on the beachfront and covers an area of 62,500 m².

ATLANTIC BEACH Tourist Complex

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

b). ATLANTIC BEACH Tourist Complex Description:  Located on the beachfront, the Atlantic Beach tourist complex is an agreeable, family complex consisting of 322 rooms distributed over more than 65,000 m².  This complex has 60 three-bedroom villas (one or two storeys) and 262 two-bedroom apartments in blocks of six, eight and 12 homes. The single family homes have individual swimming pools.  Each can also enjoy the installations in the complex:  Communal swimming pools.  Reception.  Cafeteria  Bar/restaurant.  Beach club,  Diving club.  Surf club.

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

c). Layout:

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

d). Types:

Type A Independent Villa  28 units  3 bedrooms  2 bathrooms  Private swimming pool  Approximate areas. - 122,93m2 interior - 37,05m2 terrace - 368m2 private garden

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

Type B Duplex  32 units  3 bedrooms  3 bathrooms  Private swimming pool

- 115,92m2 interior - 66,64m2 terrace - 246m2 private garden

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

Block C (6 properties) Apartment Type 2 bedrooms – 1 bathroom

Indoor Area

Terrace Area

Type A Apartment

70,97m2

15,22m2

Type B Apartment

70,08m2

15,22m2

Type C Apartment

70,97m2

15,65m2

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

Block D (8 properties) Apartment Type 2 bedrooms – 1 bathroom

Indoor Area

Terrace Area

Type A Apartment

73,34m2

15,65m2

Type B Apartment

72,46m2

15,22m2

Type C Apartment

72,46m2

15,65m2

Type D Apartment

73,34m2

15,22m2

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

Block E (12 viviendas) Apartment Type 2 bedrooms – 1 bathroom

Indoor Area

Terrace Area

Interior Type apartment (10 units)

64,70m2

31,61m2

Corner Type apartment (2 units)

66,18m2

32,49m2

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69

e). Photo-report:

C/ León y Castillo, 152 – 35600 Puerto del Rosario – Fuerteventura Tel: +34.901.13.14.15/+34.928.85.60.17 - Fax: +34.928.85.16.69