Kramer Management Consulting“Specializing in the Construction Industry”

15849 N. 71st Street Suite 100Scottsdale, AZ 85254Phone: 480-824-8194

Fax: 480-281-1500Email: tkramer@k-advise.com

www.K-Advise.com

Representing:

Texas-Based Developer

Seeking Investors for 5-Star Resort Hotel, Casino & Spa

Development Within the Caribbean

Schematics of Caribbean Hotel

465-room 5-Star Service Hotel & Condo-Rental Property

30 acre property with 1000 feet of beachfront

Additional acreage will add 500 more feet of beachfront

Investment Opportunity

Seeking Investor Funds of $ 40 M

$ 35 M for construction costs $ 5 M to acquire adjacent property of 17

acres, which has already been permitted Loan or equity options for Investors

Project Description

5-Star Resort Hotel & Condo-Rental Development that contains 465 units

2-3 story structures with views of the Caribbean set on a hillside of 30 buildings, which includes the common facilities for Phase I

1500 feet of white sand beachfront Casino Fitness center, spa, and pool Meeting space & business center Retail Restaurants & bars

Strategic Positioning

The resort will be the only 5-star branded hotel of this size on the island Developer purchased 30 acres with 1000 feet of beachfront in 2005 and the land is

owned outright 465 units have been permitted with 265 units in the 1st Phase and 200 units in the

2nd Phase. The units will consist of both hotel and condo-rental rooms. Developer will own 51 % of the condo-rental units to retain control over the

condominium association Developer is seeking to acquire 17-acre property adjacent to current 30 acres for

expansion of 500 more feet of beachfront & 250 additional units Major, global hotel operator has been selected with an option to bring in 5-star

branded hotel operator Competing hotels are between 10-20 units & there are no branded hotels on the

island. There are only 1000 hotel rooms on the island. The resort is 20 miles east of an International Airport that has direct flights from

the U.S., Canada, and Europe, some of which are only 2 ½ hours away. There are also flights to the mainland and a ferry to the island.

There are 2 cruise ship ports that serve the island and 1 port is under-going a major expansion

Paved roads lead directly to the property. The property will house self-contained water, sewer, and electrical systems.

Third Party Analysis

Completed Feasibility Study/Market Analysis includes: Area overview Site analysis Competitive analysis Estimated Utilization Operating revenue, expenses, & profit projections

Completed Competitive Analysis against Hotel Properties in the Caribbean

Completed 10-Year Pro Formas

Financial/Quantitative Projections

$ 202 M in total property revenues projected for first 5 years, and $ 246 M for the second 5 years

Long-term 33-35 % operating income range 67-70 % occupancy projected, with 85 % occupancy in

the high season Average 7-night hotel stay projected 1.2 M in annual visitors to island Visitor discretionary spending exceeds $ 500 M 30-acre property is fully owned 52 % units have been sold $ 90-100 M in total potential unit sales for both

properties