Contents
01. About Bodrum
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02. Tuzla Village Project
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03. Reasons to Invest
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04. General FAQ
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05. Legal FAQ
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06. Financial Returns
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BODRUM Welcoming over 3 million domestic and foreign tourists from every
Bodrum Peninsula is establishing itself as a pre-
country of the world, Bodrum region is the 2nd most important holiday
ferred destination for the sophisticated traveller
destination in Turkey, while it is the top destination in the
and one of the Mediterranean’s most exclusive
Aegean region.
leisure destinations. With its spectacular coastline on the Aegean Sea and temperate climate, the Turkish Riviera offers visitors a stunning combination of pine-clad mountains, private beaches and charming coastal villages adorned with bougainvillea.
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AIRPORT Bodrum Airport is an international airport serving 3 million passengers per year on average. It is 18 km to Milas and 35 km to Bodrum.
SHOPPING In addition to stores of numerous renowned brands, the local shops large and small where leather products, quality linen (peshtemal), jewelry, etc., specialities to Bodrum, are sold on the decorative streets. The local bazaars established on different days of the week are colorful places where the local products are sold.
HISTORICAL SIGHTS Bodrum peninsula has numerous historical sites like the Ancient Amphitheatre, Bodrum Castle and the Myndos Gate and close by are the protected sites of Ephesus Temple of Artemis, Temple of Apollo, and Iassus.
NIGHT LIFE The night life is as lively as the day life in Bodrum. Many bars, restaurants, and night clubs remain open into the small hours with live music nightly in the very busy Yacht Club and for the young at heart the largest night club in Europe The Halikarnas. Or spend the night at sea on the world famous floating Catamaran night club.
NATURAL RESORTS MARINE There are 3 large Marina’s hosting super yachts of the rich and famous from all over the world: Milta Marina (Bodrum), D Marine (Turgutreis), and Palmarina (Yalıkavak).
Having numerous natural bays cause of its geographical structure, the Bodrum Peninsula is ideal for water sports. It provides numerous activities like snorkel diving, windsurfing, water-skiing jet-ski, para-ski, etc. One of the other popular activities in the region is the daily or weekly boat trips on the famous wooden Gullet’s of Bodrum. Paragliding, trekking, riding, and safari’s are also popular activities as Bodrum is a mountainous region covered by green forests.
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Covering an area of 300,000 m² (3.2 million sqft.), the Tuzla Village project is a 5-star Holiday Resort concept comprising hotel and a total of 1100 residences of apartments and villas of different sizes and designs. The holiday resort is 6 km to Bodrum International Airport, 24 km to Bodrum
TUZLA VILLAGE
downtown, and located on the Milas-Bodrum highway. Enjoying a location immediately opposite to the PGA standard golf course and at the center of 4 ongoing golf course projects and shopping malls. Tuzla Village is now one of the largest projects in the region.
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İstanbul
TURKEY Bodrum
Location 8
View From The Site
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Site Overview
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Overview With 5 Star Hotel and Spa, 350 1 bed, 350 2&3 bed residences, 350 standard and 50 exclusive villas. Tuzla Village Resort is one of the largest and exclusive developments on the Bodrum peninsula. The resort is designed to cater both for summer and winter guests . In the Resort, apart from the 5 Star Hotel and Spa complex, there will also be shops, cafÊs, restaurants, bars, medical centre, business centre, outdoor cinema and for the sports activities, a full size soccer pitch, both indoor and outdoor swimming pools, fitness centre, 18 hole PGA standard golf course, children’s play grounds and many parks.
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Hotel Meeting the 5-star hotel standards, having the necessary licenses and authorizations, located strategically at the highest point overlooking the region, the first target of the hotel is to control and organize the commerce in Tuzla Village life and holiday center. For operation of the hotel, negotiations with the chain hotel operators of the renowned global brands are continuing. In addition to the amenities of Tuzla Village, the Hotel offers numerous activity and event facilities such as fitness center, spa center, Turkish bath, sauna, indoor and outdoor swimming pools, outdoor movie theater, restaurants, and meeting hall. 18
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Residence The residences are composed of totally 350 units with 1, 2 and 3-room options. The residences connected to the “Hotel Booking� system will be rented out in the periods when they are not used by their owners, unless they are removed from the system upon a private request, and the acquired operating return will be distributed to the property owners on pro rata basis. 22
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One Bedroom 50 sqm / 538 sqft
Two Bedroom 101 sqm / 1087 sqft
Three Bedroom 101 sqm / 1087 sqft
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Villa The project also includes 350 standard and 50 exclusive villas. Each villa has its own private swimming pool, unless they are removed from the system upon a private request, these villas also will be rented out in the periods when they are not used by their owners depending on the “Hotel Booking� system, and the acquired operating return will be distributed to the property owners on pro rata basis.
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Standart Villa 115 sqm / 1237 sqft
Exclusive Villa 180 sqm / 1937 sqft
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Work In Progress Construction work has already begun on The Hotel and the first phase of 40 Villas and Apartments is near completion. 30
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Most Popular Investment Region in the Last Period
High-Quality Construction
1. The Tuzla region of Bodrum is now the No. 1 choice
8. Tuzla Village is overseen by experienced professionals
with Investors both big and small.
in Architecture, Design and Construction. All materials
2. Large companies have been making considerable investments in golf courses, hotels,malls and housing projects in the region. 3. The current golf course which is PGA standard has been bought by the group of companies which also owns the biggest private bank in Turkey.
Reasons to Invest
4. One of Turkeys largest private companies has begun work on a 5 Star golf course and housing project. 5. There are now a further four golf course projects underway in the vacinity. Nearness to Airport 6. The Tuzla Village Project is just 6 km to Bodrum airport
used meet the highest quality standards. An Opportunity for Return-yielding Investment 9. The annual revenues of the facility will be distributed to the property owners pro rata to their shares of investment through the revenue sharing system to be established based on the hotel management within the scope of Tuzla Village resort. High Income Rates 10. A continuous income is guaranteed as tourism grows rapidly in this region. Bodrum is Turkeys most popular holiday destination for both locals and foreigners alike.
and located on the main road. A Large-Scaled Project 7. Tuzla Village is presently the largest Hotel and Residental Holiday development on the Bodrum Peninsula.
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What is the size of the development?
units within the resort there will be sufficient available units
The Land is over 300,000 m2 (over 3 million sq ft). The
to welcome hotel guests.
constructed area will be approximately 90,000 m2 (970,000 sq ft).
How will I connect my unit to the rental system?
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Each unit is automatically attached to the hotel and income When will the construction be completed?
system unless owners choose otherwise.
Estimated completion date of the whole development is March 2018. However, there are a number of phases which
How will the revenue system will work?
will be complete within 24 months.
Returns are calculated according to the size and number of properties. Basically larger units have more shares and
Who is the developer?
you can purchase as many units as you prefer. The whole
Bodrum Ege Gayrimekul Ltd. Est: 2004.
system is explained in the financial returns section.
Developer and Landowner. Who is going to look after my property?
General FAQ
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What are the experiences of the developer team?
An Independent Management Company will look after your
Directors have completed projects all over UK & Ireland and
property. This company will also be responsible for the
at present developing in both Belfast & London.
maintenance of the whole site to include swimming pools, gardens, public areas, roads, footpaths etc.
Who is the operator? Directors have completed projects all over UK & Ireland and
Will the price increase during the construction period?
at present developing in both Belfast & London.
The prices will increase more than double during the construction period.
What facilities will be available? To mention few; Spa centre, Fitness centre, Business
If I am not in the rental system can I still use the Hotel
centre, Turkish bath, Indoor & Outdoor swimming pools,
services & facilities?
Restaurants, Cafes, Shops, Bars & etc.
Yes, once you purchase a property you automatically gain full membership to hotel and all facilities.
What Hotel services and facilities can I have as an investor? As an investor you have full access to all facilities and
Does the units come fully furnished?
services.
All the movable furniture will be extra. There will be different packages available to fit the outline of the resort concept.
Am I restricted to the amound of time I may use the unit?
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There will be no restrictions to the amount of time you
Will there be security on the site?
choose to stay in your property. With a total number of 1100
Yes, 24 hours security will be in operation. 35
What is the ownership structure?
Do I need a Solicitor?
All the properties are free hold.
No but we recommend you seek Legal Advice for your own comfort.
Will I own a specific unit or a share of the development?
Legal FAQ
You will own the property you invest in. The hotel system will
What costs, local taxes, fees etc applicable during the trans-
generate additional income for all property owners.
fer of the properties? Total costs are approximately 4 % of your purchase.
Am I free to sell at anytime? Yes you are free to sell your property at any time.
Will there be a monthly management fee? Yes, the monthly management fee will be approximately ÂŁ50
How will the transfer of the title deed proceed?
per apartment and ÂŁ100 per villa.
The Title Deed process is simple and can be completed once Military Permission has been obtained.
Are the units fully insured? The hotel and all of the units and facilities will be fully insured.
How does the millitary permission work? Military Permission takes between 6-8 weeks to obtain.
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The hotel system will generate additional income for all property owners. Each unit is attached to the hotel and income system unless owners choose otherwise. Returns are calculated according to the size or number of properties
Financial Returns
they choose. Basically larger units have more shares and you can purchase as many units as you prefer as today’s sales prices are specifically for investors which pays back high returns per year. The prices will more than double during the construction period with your investment also providing a capital gain. In order to carry out the system in the most profitable and premium manner, the hotel will be operated by one of the world-renowned chain hotels. The top-priority target of Tuzla Village Resort is to distribute the service quality to each point of the concept by gathering its hotel, residences and villas under a single roof, on the basis of its operation system. Therefore, the design stage of Tuzla Village resort has been considered scrupulously, the top-quality materials have been selected for the construction, all details and services of the facility have been planned to meet the quality standards of a 5-star hotel.
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Number of Tourist Arrived to Bodrum International Airport during 2011 Data supplied by Bodrum Chamber of Commerce
Occupancy Rate
Room Rate
The occupancy rate of the facility has been calculated
When calculating the revenues, two scenarios have
on the basis of the annual general occupancy rates in
been created; lowest one is based on a price level below
Bodrum region. The calculations are based on the num-
ÂŁ100 that is lower than the minimum prices applied in
ber of foreign tourists who enter the Bodrum Interna-
similar grade facilities in Bodrum region. Based on this
tional Airport by having their passports recorded, as de-
scenario, the minimum accommodation revenues of the
clared by Bodrum Chamber of Commerce. The detailed
facility is starting from 15-26 million pounds (ÂŁ).
April
May
June
July
August
September
October
Total
39.892
132.758
172.962
213.505
203.020
168.199
78.893
1.010.657
As can be seen in the table, the period from April to October, especially July and August, is the peak period for tourism.
Estimated Occupancy According to the Data
figures are given in the following table.
Operational Revenues
Other Revenues
The revenues to be acquired from the food & beverage
These projections are based on 7 months occupan-
and other services in the facility will be calculated in the
cy only and will increase with the opening of planned
same way and distributed to the property owners ac-
Golf Courses in this area. Plans are now underway for
cording to their shares of investment. And this part of
a soccer pitch to accommodate the Premiere League
the system will also be operated by the operator brand
footballers who have purchased villas on Tuzla Village
to be selected. The main purpose here is to increase
and would target teams from all over Europe and UK for
the net income of each investor by obtaining maximum
pre-season training.
revenues through high-quailty services.
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April
May
June
July
August
September
October
Total
30%
60%
70%
85%
85%
70%
50%
64%
Total Number of Nights 7 months
214
The estimated occupancy rates of the hotel by months have been calculated in proportion to these data.
Average of Occupancy
64%
No. of Nights Occupied
137
Considering the average of 7 months from April to September (214 days), the occupancy rate is 64%, corresponding to 137 days.
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Revenue Calculations
Operational Revenues
C a l c u l a t i o n s A c c o r d i n g L o w Av a r a g e R a t e s
The calculations have been made targeting the estimated daily net return per person and the average number
Calculations According the Diversity of Units
Number of Units
One Bedroom Residence
of people that the facility will entertain through the season. The operating revenues covers intially the food
Minimum Rates per Night
Average Occupancy Rate of 64% Out of 214 days
Revenue Generated from the Rental of Rooms
350
£75
137
£3.596.250
2 & 3 Bedroom Residence
350
£100
137
£4.795.000
Total guest / per season
Standart Villas
350
£120
137
£5.754.000
Net daily profit / per person
Exclusive Villas
50
£180
137
£1.233.000
Operational revenue / per day
£87.500
Avarage occupancy / per season
137 days
Total Figure
1100
& beverage revenues and then all the other paid services to be given in the resort; e.g. commissions to be acquired from the tours and excursions, the onsite rental incomes, and the other similar activities such as spa, health care, etc...
£15.378.250
Excluding Food, Beverage & Other Services
Total Operational revenue / per season
3500 £25
£11.987.500
This is based on statistics - Luxury Hotels in Bodrum Peninsula have an occupancy rate of over 70% and
ADR between £100 to £4.000, and it is continually attracting visitors who are looking for an exceptional experience.
Total Income per Season Low Avarage
C a l c u l a t i o n s A c c o r d i n g N o r m a l Av a r a g e R a t e s Calculations According the Diversity of Units
Number of Units
Minimum Rates per Night
Average Occupancy Rate of 64% Out of 214 days
Revenue Generated from the Rental of Rooms
One Bedroom Residence
350
£100
137
£4.795.000
2 & 3 Bedroom Residence
350
£140
137
£6.713.000
Standart Villas
350
£200
137
£9.590.000
Exclusive Villas
50
£350
137
£2.397.500
Total Figure
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Room Rate
1100
Excluding Food, Beverage & Other Services
£23.495.500
Normal Avarage Room Rate
Total Rental revenue / per season
£15.378.250
£23.495.500
Total Operational revenue / per season
£11.987.500
£11.987.500
Total Revenue / per season
£27.365.750
£35.483.000
These calculations were made considering the low and normal average room rates, and both results have been specified separately. These calculations may change according to the various business criterias that involves per season. The numbers are just to give an idea and not binding.
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Net Income Ca l c u la t io n s Revenue from Room Rentals Exc. VAT
Calculations According to Normal Avarage Room Rates
£15.378.250
£23.495.500
Operator’s Fee
2%
£307.565
£469.910
Operating Expenses
16%
£2.460.520
£3.759.280
£11.987.500
£11.987.500
£24.597.665
£31.253.810
£1.475.860
£1.875.229
£23.121.805
£29.378.581
Net Additional Income
from Operational Activities
Total Income
Operator’s Fee
6%
Profit Before Taxation
Management Expenses
10%
£2.459.767
£3.125.381
Corporation Tax
20%
£4.132.408
£5.250.640
Net Profit Earnings per Share
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Calculations According to Low Avarage Room Rates
82250
£16.529.631
£21.002.560
£201
£255
Share o f t he Revenue
Net Income According to Low Avg. Room Rates
Net Income According to Normal Avg. Room Rates
Number of Units
Share per Unit
Number of Shares
£201 / per share
£255 / per share
One Bedroom Residences
350
40
14000
£8.040
£10.200
Two & Three Bedroom Residences
350
60
21000
£12.060
£15.300
Standart Villas
350
110
38500
£22.110
£28.050
Exclusive Villas
50
175
8750
£35.175
£44.625
Total Amount
1100
Total No. of Units
82250
Total No. of Shares
Another issue we have considered to reach the net
services have been included in the calculations
According to the table above, the multiplication number of each unit with its own share amount gives the total number
results when making the calculations is the costs,
considering the estimated net profitability from their
of shares in the resort. Net income is divided to the total number of resort shares which gives the earnings per share.
operating costs and taxes.
total net income.
When earnings per share is multiplied with each unit’s own share, the final figure indicates net income per unit.
These expenses include the payment to be made to
During the calculations of the net profit, all operating
In order to distribute the general income to each investor in an equal proportion, the share calculations were made
the operator hotel company, the operating expenses,
withholdings, the income tax that is 20% in Turkey
considering of each unit’s m² (sqft.) investment cost.
the management costs and taxes. The revenues to
and the maintenance expenses of the entire resort
be acquired from the food & beverage and the other
have been deducted from the income figures. 45
Other Resorts
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