Invest in your very own piece of paradise

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2 Invest in your very own piece of paradise Villa plots averaging 400m 2 each with planning for a luxury home with private pool and garden Club house and communal leisure facilities on site Adjacent to the luxury resort of Oasis do Mar, offering full use of its hotel, country club and sporting facilities Prices from 12,000* *Villa plots are purchased in Brazilian Reais from R$32,400. Quoted price of 12,000 is based on an exchange rate of R$2.7 to the Euro. Currency fluctuations at the time of purchase may increase or decrease the quoted prices.

3 Jacumã The exclusive residential resort of Palma do Mar is nestled amongst the gentle rolling hills of Jacumã, overlooking the famous Carapibus Beach, one of the most beautiful stretches of coastline in northeast Brazil. It is situated just 15 minutes from João Pessoa international airport. Jacumã, once a sleepy fishing village, has since been transformed into a lively resort with breathtaking beaches. With an array of restaurants, beach bars and pousadas (the Brazilian take on the boutique hotel), the area is becoming increasingly popular amongst Brazilians and international investors alike. Further government investment to the tune of R$49 million means that the area is set to become a world-class destination. There are also plans in the surrounding area to build two championship golf courses which will further add to the appeal of the region.

4 João Pessoa and the State of Paraíba João Pessoa is the capital city of Paraíba. Located on the eastern-most tip of South America, João Pessoa enjoys sunrise before anywhere else on the continent, to which it owes its alternative name of the City of the First Light. Founded in 1585, João Pessoa is the third oldest city in Brazil. It is steeped in a rich history and culture and boasts some spectacular architecture, including the Santo Antonio convent and the São Francisco church which date back to the XVIII Century. It is also home to the Santa Rosa theatre which is one of the oldest theatres in Brazil and is still in use today. The city has a cosmopolitan vibe, with shops, local markets and a huge selection of restaurants, bars and clubs, ensuring there is always something new to try. Its white sandy beaches, seven square kilometres of forested parkland and enviably low crime rate all combine to make João Pessoa a truly special city. The state of Paraíba is a beautiful region of Brazil, offering every amenity yet maintaining a tranquil pace of life that ensures you relax into the spirit of the North- East from the moment you arrive. Average year-round temperatures of approximately 27 degrees, virgin white-sand beaches and incredible scenery make it the perfect holiday destination. The region offers endless attractions including Dinosaur Valley, the world s longest trail of dinosaur footprints; Pedra de Boca, Brazil s answer to Stonehenge; and one of the widest offerings of extreme sports on the planet! João Pessoa international airport receives flights from TAP Air Portugal, Air France and American Airlines and also connects with all major cities in Brazil. The international airports of Natal and Recife are also just a short drive away. Paraíba is an exciting region which is projected to grow rapidly and offer the biggest returns in the coming years. Property prices are currently comparatively low in relation to the rest of the North-East and the area is becoming increasingly popular with the European and USA markets as well with the Brazilians themselves. Photo: M Terraza A white sandy beach in Paraíba

5 Development Masterplan Palma do Mar is an exclusive development of nearly 500 villa plots located amongst the palm groves in the gentle hills of Jacumã, just moments from the beautiful beach of Carapibus. The development sits in an elevated position providing stunning views down across the palm forests and out to sea. The plots have planning approval for the construction of detached villas with private pools and gardens and average at 400m 2. They will be provided with all infrastructure services including roads, water and electricity, all of which will be in place by January Facilities Palma do Mar will include an extensive communal area which will be home to a club house with swimming pool and gardens, playground and kids club, tennis courts, football pitch and parkland. The club house will also provide restaurant facilities.

6 Palma do Mar is located in the heart of an approved residential and tourism masterplan and is the sister development to Jardim do Mar and Oasis do Mar. This privileged residential enclave will enjoy the benefits of their facilities, which include a hotel with shops, restaurants and bars, a country club and sports facilities including tennis and squash courts, a multi-sport court and an adventure playground for the children.

7 Location São Luis MARANHÃO Teresina CEARÁ Taiba Cumbuco Fortaleza Urua Canoa Natal RÍO GRANDE DO NORTE PIAUI PERNAMBUCO PARAIBA João Pessoa Recife BAHIA ALAGOAS Aracuja SERGIPE Salavador Maceió

8 Villas The land plots at Palma do Mar already have planning consent for the development of detached villas, so if you wish to build a home on your plot the developer can do this for you. The developer offers a selection of preapproved, bespoke villa designs from which to select, and will then project-manage the construction of your villa for you. Building your own home is a simple, stress-free method of further capitalising on the investment potential of your villa plot. At present three specific villa options are available in varying sizes. The developer undertakes to construct high specification villas from just 600/m 2 for constructed covered areas and 300/m 2 for non-closed areas such porches and terraces.* In order to take advantage of this design and build service at the specified rates, investors must instruct the developer on the construction of their villa to one of the pre-approved designs no later December * Please note that if, during the period of time between reservation and the commencement of work, the annual index of construction rises above 5%, the developer reserves the right to increase its construction pricing proportionally.

9 Investment Strategies Medium-term exit Palma do Mar forms part of an extensive residential and touristic masterplanned development and is adjacent to Jardim do Mar and the exclusive resort of Oasis do Mar. Increasing demand from local and international developers, allied with local, regional and federal improvements to transport infrastructure, is leading to rising levels of demand from later-stage investors and holiday home buyers. These factors are all placing upward pressure on the value of land in this area of Paraíba. Prices for villa plot development sites in some areas of north-east Brazil have already increased by 50% in the last 12 months and show no sign of slowing down. Annual increases of 10% to 20%, based on comparative markets and current economic conditions, are certainly very achievable. The developer will provide all necessary infrastructure services for Palma do Mar including roads, water and electricity supply. This infrastructure will be completed by January 2010, giving the investor at least two years of growth, with further accelerated appreciation in land price when the infrastructure is in place. Post-infrastructure exit The completion of the infrastructure in January 2010 will further accelerate price increases as land plots have further appeal to end users who wish to construct their own villas. At this point the plots will also be of enhanced interest to buyers within the local Brazilian market, who will be able to obtain finance to buy the plot and construct their own home. Resident Brazilians are currently only able to do this once infrastructure is in place. By this time the adjacent resort of Oasis do Mar, with all its commercial and leisure facilities available to owners at Palma do Mar, will also be under construction. This will be the ideal time to sell your plot, unless you wish to construct a villa for your own use or to sell with a significant profit. Post-construction exit The developer has finalised villa construction costs on plots at Palma do Mar at just 600 per metre of constructed space. For example: To construct a 100m 2 villa with 30m 2 terrace would cost at today s prices 69,000. With an initial land cost of around 12,000 the total cost of land and construction would be 81,000. This represents excellent value for money for a luxury detached villa in this location. If you are able to fund the construction of a villa, this is a great means of enhancing the margin on your investment.

10 87% profit after 3 years With 25% capital growth on land expected for the next three years in Paraíba, all purchases at Palma do Mar will provide a healthy return. Example 1 Plot Price 18,000 Legal 500 Land Tax 324 Total Investment 18,824 Plot Value after 3 years 35,155 (25% capital growth) Profit 16,331 ROI 87% 50% Mortgage available* Example 2 Plot Price 18,000 Equity In 9,000 Legal 500 Land Tax 324 Monthly Payments Year Year Year Total Investment 20,984 Plot Value after 3 years 35,155 (25% capital growth) Profit 14,171 ROI 68% *Over three years, 12% interest per annum Villa plots are purchased in Brazilian Reais. Quoted prices are based on an exchange rate of R$2.7 to the Euro. Currency fluctuations at the time of purchase may increase or decrease the quoted prices.

11 How to Buy? Buying at Palma do Mar is very easy. As the full and titled owner of the land, the developer offers a straightforward purchase process which provides full security for the buyer. The simple 5-stage purchase procedure is as follows: 1. A reservation contract must be completed and a reservation payment of made 2. The reservation contract will then be forwarded to the client s chosen international lawyer 3. The client and their lawyer will be presented with a Private Purchase Contract and details of the due diligence report 4. The Private Purchase Contract should be signed and returned within 14 days of receipt. The initial 50% of purchase price (minus the reservation fee) must also be transferred to the developer within 14 days 5. If the client chooses to take advantage of the developer s finance option, their monthly payments will commence 30 days after signature of the Private Purchase Contract. Clients paying the remaining 50% in full should do so within 90 days, at which time they will receive full title to the land Every effort has been made to ensure that the contents of this document are correct at the time of printing. However, the property developer reserves the right to modify them without prior notice at the request of its professional advisors.

12 Why Brazil? Brazil s economy is currently the world s 9th largest and accounts for over 40% of South America s total GDP. Manufacturing industries in Brazil are thriving and the latest oil and gas discoveries, combined with the fact that Brazil is already the leading producer of ethanol on the planet, has firmly catapulted the country to energy self-sufficiency. With the promise of achieving Investment Grade in 2008, Brazil is widely predicted to be amongst the economic leaders of the future, along with Russia, India and China. The government is dedicated to foreign tourism and annual tourist numbers have risen by almost 100% since Direct flights from Europe and the US are expanding the air network and further increasing Brazil s popularity, especially in the North-East. Foreign investment is actively encouraged and the low currency exchange rate is making it cheaper than ever for foreigners to invest. Annual property price increases are running at 20% in many areas of the North-East, while property maintenance costs remain low and the cost of living is a mere 20% of the equivalent in the UK and Europe. Brazil has been selected to host the 2014 Football World Cup which will have a direct, positive impact on the country s and host cities infrastructure, tax base, tourism stream and hospitality revenues. Brazil s GDP will not only experience substantial gains in 2014, but will also show gains in the following years, due to the pay off of public and private investment in facilities and infrastructure. So what are the benefits of investing in Brazilian land? Returns on land are generally equal to or higher than returns on property but the entry level is much lower. By the time bricks and mortar are in place, the land-owner, the developer and the constructor have all enjoyed their share of the profit. Investment in land at the pre-building stage enables you to retain a larger slice of the cake, whether you choose to construct a home on your plot or simply enjoy the financial returns from selling your land on at a later date.

13 FAQs Does the land have planning permission? Yes. The land is classified as a lotamiento, which means that the municipality has already zoned the land exclusively for the construction of villas. What size property can I build? The planning consent grants that you can build on one third of your plot, to a value of one and a half storeys high. This means that the maximum footprint you can have on your plot is one third of your total plot size, however your total amount of permissible floor area is one and a half times this figure. So for example on a 400m 2 plot you could build a maximum 133.3m 2 ground floor allowing a 66.7m 2 first floor. Or you could build a smaller 100m 2 ground floor and an equal 100m 2 first floor, or any combination in-between. Both examples equal 200m 2 and neither exceed the footprint size. This is the equivalent size of an average five-bedroom detached home in the UK. Are there any time restrictions on construction? There are no legal restrictions to build times. However, the developer strongly recommends that all villa construction is commenced within three years to take advantage of the strong national demand in Brazil. What are the advantages of investing in land, and is it a safe investment? Land has always been regarded as one of the safest and most reliable forms of investment. In countries such as Brazil the wealthy have long seen investment in land as protection against inflation. All BRIC nations are seeing their burgeoning economies help bolster their real estate market and Brazil is no exception. Economic factors such as strong growth, low inflation, falling interest rates, a rise in basic wages and declining unemployment are all contributing to rising real estate prices, including the price of land. There has never been a better time to invest in Brazil.

14 Masterplan Phase 1 Every effort has been made to ensure that the contents of this document are correct at the time of printing. However, the property developer reserves the right to modify them without prior notice at the request of its professional advisors.

15 Availability Phase 1 Plot M 2 Price BL ,000 BL ,060 BI ,970 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,750 BI ,500 BI ,750 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,000 BI ,060 Villa plots are purchased in Brazilian Reais. Quoted prices are based on an exchange rate of R$2.7 to the Euro. Currency fluctuations at the time of purchase may increase or decrease the quoted prices. Availability at Palma do Mar is subject to change without prior notice. Contact your advisor for up-to-date information.

16 Disclaimer: The details contained in this brochure are for guidance only. Any photographs, illustrations, plans and sizes only give a general indication of the proposed development. The developer operates a policy of continuous development and features, specifications and external treatments may vary. The developer reserves the right to alter any part of the development. Particulars described in this brochure should not be relied upon as accurately describing any specific matters. Tables, projections and profit forecasts are provided for illustrative purposes only. Property values and assumed rentals can decrease as well as increase. No express or implied income claims are made herein. Neither the developer nor any of its partners, directors, employees or representatives will be liable for damages arising out of or in connection with the use of information provided in this document.