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Emerald Beach Project - Executive Summary

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					EXECUTIVE SUMMARY
                                                                       Table of Contents


              EXECUTIVE SUMMARY.........................................................................................................................5

              2. LOCATION DESCRIPTION...........................................................................................8

              2.1 GENERAL CONSIDERATIONS
              The Dominican Republic .................................................................................................................................8
              The Location..................................................................................................................................................10
              The Property..................................................................................................................................................11
              Topography and Geological Characteristics of the Site................................................................................15
              Climate ..........................................................................................................................................................15

              3. PROJECT DESCRIPTION..........................................................................................16

              3.1 MASTER PLAN......................................................................................................................................17
              General Master Plan......................................................................................................................................16
              The Site.........................................................................................................................................................18
              Conceptual Composition of the Resort .........................................................................................................18

               3.2 BUSINESS PORTFOLIO........................................................................................................................20
               Harbor and Cruise Ship Terminal.................................................................................................................22
               Marina...........................................................................................................................................................23
               Yachting Services.........................................................................................................................................24

               3.3 RESIDENTIAL REAL ESTATE..............................................................................................................24
               The Club at Emerald Beach.........................................................................................................................26

                3.4 DETAILS OF EMERALD BEACH RESORT.........................................................................................27
                International Airport.....................................................................................................................................27
                Harbor..........................................................................................................................................................27
                Marina Slips.................................................................................................................................................28
                Ocean Canal................................................................................................................................................28
                Industrial Zone.............................................................................................................................................28
                Peninsulas and Islands...............................................................................................................................29
                Emerald Beach Harbor Village....................................................................................................................29
                Hotels...........................................................................................................................................................29
                Signature Golf Courses...............................................................................................................................30
                Ocean and Beach Clubs.............................................................................................................................30
                Health Center..............................................................................................................................................30
                Boutiques and Restaurants.........................................................................................................................31
                Overall Volume............................................................................................................................................31
                Emerald Beach Architecture.......................................................................................................................31
                The Environment.........................................................................................................................................33




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     3.5            EMERALD BEACH ACTIVITIES...........................................................................................................35

              3.6 PROJECT PLAN....................................................................................................................................38

              4. MARKET ANALYSIS ................................................................................................40

              4.1 MARKET DESCRIPTION......................................................................................................................40
              Real Estate Market......................................................................................................................................40
              Residential Buyers.......................................................................................................................................40
              Hospitality Buyers........................................................................................................................................43
              Supply of Rooms - Current Distribution Golf Market...................................................................................44
              Marina Market..............................................................................................................................................45
              Traditional Sailing Route from N. America to Caribbean.............................................................................46

              4.2 MARKET TRENDS................................................................................................................................47
              Resort Real Estate.......................................................................................................................................48
              Golf..............................................................................................................................................................48
              Marina..........................................................................................................................................................48

     4         .3 COMPETITION.....................................................................................................................................50
              Mixed Resort Competition...........................................................................................................................50
              Single Purpose Competition.......................................................................................................................50

              5. MARKETING & SALES STRATEGY........................................................................52

     5         .1 GENERAL MARKETING APPROACH..................................................................................................52

              5.2 TARGETS MARKETS...........................................................................................................................52

              5.3 PROMOTION AND ADVERTISING.....................................................................................................54

     6.            PRODUCTS...............................................................................................................56

     6.1           GENERAL COMMENTS.......................................................................................................................56

              6.2 PRODUCT DESCRIPTION & PRICING................................................................................................56
              Real Estate...................................................................................................................................................57
              Marina..........................................................................................................................................................58
              Golf...............................................................................................................................................................58
              Boutiques.....................................................................................................................................................58
              Hotels...........................................................................................................................................................58




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                 7. THE COMPANY........................................................................................................59

        7          .1 MANAGEMENT.....................................................................................................................................59

                 7.2 THE BOARD OF DIRECTORS.............................................................................................................63

                 7.3 THE EXECUTIVE AND MANAGEMENT TEAM...................................................................................61

        F          INANCIAL ANALYSIS................................................................................................73

    8         .1 GENERAL ASSUMPTIONS..................................................................................................................73

8             .2 VALUATION OF EMERALD BEACH ASSESTS..................................................................................74

            8.3 FUNDING AND LAUNCH DESCRIPTION............................................................................................75

            8.4 OVERALLSALES SPREADSHEET......................................................................................................77




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     A precious jewel has been discovered from amongst the natural beauty of the Dominican Republic. Emerald
     Beach is to be a resort community aimed at attracting a very select clientele seen in world-renowned locations.
     Emerald Beach is designed to become one of the ultimate Caribbean destination resorts. The Resort will
     feature stunning architecture with pedestrian villages created by the most talented designers, offering unique
     commercial and residential features. It will be a true multi use resort destination containing world class beaches,
     marinas and golf courses.


     The development encompasses an area of approximately 1,650 acres (6.5 million m ) that includes over 4 miles
                                                                                             2




     (6.5 km) of coast line, approximately 1.7 miles (2.7 km) of which is exquisite white sand natural beach. The
     second parcel, un der op tion, holds approximately 865 ac res ( 3.5 mil lion m 2). The third airport parcel,
     approximately 4 miles from Emerald Beach, holds 5,436 acres (22 million m 2). The Atlantic Ocean in front of the
     project features 28 miles (45 km) of coral reef, out of which 3.7 miles (6 km) are in front of Emerald Beach,
     giving the waters of Emerald Beach its wonderful views in additional to providing some of the most accessible
     and spectacular scuba diving in the world. There are several channels through the coral reef that are 98 feet (30
     m) deep. One allows cruise ships access to Emerald Beach Harbor.
     The natural beauty of the site is what first attracted the development team to Emerald Beach, so preserving it for
     all to see is a pr imary concern. Eme rald Be ach de velopment team is concerned with the welfare of the
     environment with re spect t o all e nvironmental issues (Blue Fl ag B eaches, ect). T he area is totally free of
     pollution and contamination, and the quality of the ocean water at the beaches along with the potable water is
     supreme.


     The uniqueness of Emerald Beach lies in its marvelous beaches, the possibility to develop over 3,000 Harbor
     Town Homes hosting two Saint Tropez harbors, and each able to dock 80 to 120 world class super yachts.
     The Ha rbor To wn Homes will be l ocated o n numerous pe ninsulas an d islands. Emerald Beach will h ave
     approximately 7,780 real estate units ranging from condominiums to estates. Magnificent ocean beaches will
     host att ractive b each clu bs, resta urants a nd eight hotels. T hree m ajor si gnature go lf courses will offer a n
     attractive diversity to p layers and the ni nth ho tel will be situated adjacent to th e Fred Couples si gnature
     designed 18 holes constructed in initial phase 1a.


     The International Airport will have facilities for both passengers and cargo, with the capacity for planes as large
     as an Airbus 380 to land. This airport will be approximately 10 minutes by car or shuttle.
     A cruise ship terminal will allow for cruise ships to access the Emerald Beach Harbor. Our state-of-the-art
     shipyards and dry docking facilities will be the largest integrated facilities from Fort Lauderdale to Caracas.




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     The project once developed will contain:

          A leading international yachting destination.
          A Caribbean Golf Capital
          The world’s most beautiful beaches and coral reefs
          A pedestrian oriented resort, featuring various villages
          An international community for semi-permanent and permanent residents




     When completed Emerald Beach will include:

          An overall capacity of approximately 35,000 tourist/beds
          A Cruise Ship Terminal able to dock 4 cruise ships
          Emerald Beach Harbor with 180 docking facilities
           1,000 Marina slips
           3 shipyards
          1 international airstrip & airport operation capable of supporting Airbus 380
          A modern Hospital, churches, fire department and other community needs
          1,500 Harbor Town Homes
          Beach Clubs, beach restaurants and health clubs
          100 restaurants, boutiques, supermarkets, duty-free, ect.
          750 Golf Estates
          3 Signature golf courses
          4,500 condotel rooms in 5 larger and 12 smaller boutique hotels



     The project’s pricing strategy is designed to maintain a steady demand throughout its lifetime with marketing
     efforts geared towards various target audiences. Similarly, the overall concept and individual products are
     conceived to represent a one-of-a-kind opportunity, provoking a sense of urgency to the investor-purchaser. The
     expected revenue generated from the sales will be approximately US$4.7 billion and the gross profit will be
     US$2.0 billion.

     An initial Private Equity Placement, launch of the Emerald Beach Founder’s Plan, and the eventual sale of the 5
     hotel lots should provide enough funds to start and auto-finance the rest of the project. Together they bring in
     no less than US $160 million.

     A key ingredient of the project’s success is the quality of its development team. Composed of an excellent mix
     of local and international professionals with proven success in their respective fields, they are led by Sandy
     Segal as Master Developer.

     The project currently has approvals from all concerning government agencies to acquire the necessary permits
     to begin construction. The Environmental License is needed. The tax exemption approved by Law 28-01 is a 20
     year/ 100% tax exemption.




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     In conclusion, Emerald Beach has been conceived to be the type of resort community that comes along once
     every century. Its innovative concept design combined with the location’s astonishing natural beauty and the
     vision and expertise of its promoters will make it a first choice for prospective residents and visitors.




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      2.1 GENERAL CONSIDERATIONS

      The Dominican Republic


      With its friendly and hospitable population of 9 mi llion, the Do minican Re public is t he Ca ribbean’s la rgest
      democratic country. With a land area of 18,700 square miles, it is larger than the Bahamas, Jamaica, and
      Puerto Rico, all the Virgin Islands and the entire French West Indies combined.

      “The Fairest Land under Heaven”, according to Christopher Columbus, is attracting millions of guests every
      year eager to discover its palm trees, its tropical climate, crystal waters and white sandy beaches along with its
      interesting cultural roots.




      The Dominican Republic is an im portant e conomic player in th e Cen tral American region a nd i s rap idly
      becoming one of the most respected and sought after destinations in the Caribbean.




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      Thanks to its political stability and the government’s focus on sustaining economic development, the Dominican
      Republic is o ne o f th e fastest gro wing Latin American eco nomies, wit h stro ng inv estments from t he USA,
      Canada and Europe and 20% per annum growth as a resort destination over the past years. The country
      enjoys an average annual temperature of 79 degrees Fahrenheit (26.5 degrees Celsius). Seven international
      airports are serviced by most of the world’s major airlines.

      With more than 60,000 hotel beds and several hundred weekly flights, the Dominican Republic is already a
      premier tourist destination, attracting more than 3,000,000 visitors per year. Tourism contributes US$2.5 billion
      to the country’s GDP. However, most of the country’s currently existing resort accommodations are all inclusive
      hotels, catering to the low and middle segment of the tourist market. The tendency of the market, however, is
      changing to four and five star non all inclusive hotels.

      The Dominican Republic’s government has made it a priority to support projects that target more distinguished,
      affluent visitors who are interested not only in luxury and convenience but also appreciate
      ecologically balanced environments. The Emerald Beach project has the potential to transform the image of the
      Dominican Republic as a global destination for the most upscale clientele, providing a showcase of stunning
      architecture.




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      The Location


      Emerald Beach is situated on the Northern tip of the Dominican Republic, just northeast of Monte Cristi. The
      Dominican Republic is the second largest island of the Caribbean Archipelago. Emerald Beach is located in the
      Monte Cristi region of the Puerto Plata province.




         There are a great variety of geographical characteristics such as: spectacular beaches, tropical climates, a stable
         political system, the strongest economy in Latin America and the Caribbean for the last five years, and an
         estimated gross domestic product growth rate of 8.0% in 2000. These factors have prompted Europeans and
         Americans to invest heavily in hospitality projects in the area, turning a practically non-existent tourism industry
         twenty years ago, into a thriving business growing at the rate of more than 15% in 2003.


         Emerald Beach is located 6.2 miles (10 km) from Monte Cristi near where Emerald Beach plans to build a new
         International airport. Santiago, the country’s 2 largest city, is 73 miles away (112 km), approximately 1 hour by
                                                          nd




         car and only 3 hours by plane from New York City. Emerald Beach also is 92 miles (148 km) from the Puerto Plata
         International Airport, approximately 2 hours by car.


         With many major airlines serving the destination, the resort will be easily accessible, even for a weekend visit.
         Emerald Beach International Airport will be able accommodate any size aircraft up to an Airbus 380. It is planned
         to be serviced by scheduled flights from Santo-Domingo, San Juan, Miami, New York, Frankfurt, Munich, Madrid,
         London, Paris, Milan and Rome. Countless potential customers are within a direct flight to Emerald Beach Airport,
         making it a prime gateway to the Caribbean.




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      The Property




      Emerald Beach is located in the Municipality of Monte Cristi, within the Cadastral District number five, in the
      Province of Puerto Plata. Total actual land area is approximately 2,471 acres (10 million m 2) with approximately
      4 miles (6.5 km) of seafront and 1.7 miles (2.7 km) of beachfront. There are 3.7 miles (6km) of coral reef
      running along its shoreline, which are a part of 28 miles (45 km) of coral reef, and make for an excellent location
      for scuba diving and snorkeling to view the natural color and beauty living around the reef. The mangroves
      along the coast, protected in part by the coral reefs, have created a beautiful estuary with natural channels that
      you can sail through to reach the Harbor Town Homes and Harbor Village.




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      Legal Description of the Master Parcels 125-A, 125-B, 125-C, 125-O, 127-A, 127-B-1, 193-A, 193-B-1-B,
      193-B-C


      1(A)    Parcel No. 125-A of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of
      Monte Cristi, which has a superficial extension of one hundred five Hectares, seventy four Ares and four
      Centiare (105 Has., 74 As., 04 Cas.), with the following boundaries: To the North: Parcel No. 127 –A and
      Parcel No. 127-B-1; to the East: Parcel 127-B-1; To the South: Parcel No. 125 B and Parcel 125 (remainder);
      and to the West: Parcel 127-A and Parcel 127 (remainder) of Cadastral District No. 6 of the municipality of Villa
      Vasquez of the Department of Monte Cristi.



      2(B)    Parcel No. 125-B of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of
      Monte Cristi, which has a superficial extension of forty five Hectares, thirty one Ares and seventy two Centiares
      (45 Has., 31 As., 72 Cas.), with the following boundaries: To the North: Parcel 125-A; to the East: Parcel 125
      (remainder); To the South: Parcel No. 127; and to the West: Parcel 127 of Cadastral District No. 6 of the
      municipality of Villa Vasquez of the Department of Monte Cristi.



      3(C)    Parcel No. 125-C of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of
      Monte Cristi, which has a superficial extension of thirty three Hectares, fifty six Ares and eighty four Centiare
      (33 Has., 56 As., 84 Cas.), with the following boundaries: To the North: Parcel No. 125 –A; to the East: Parcel
      125 (remainder); To the South: Parcel No. 127; and to the West: Parcel 125-B of Cadastral District No. 6 of the
      municipality of Villa Vasquez of the Department of Monte Cristi.




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      4(D)    Parcel No. 127-A of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of
      Monte Cristi, which has a superficial extension of one hundred nine Hectares, ninety five Ares and twenty nine
      Centiare (109 Has., 95 As., 29 Cas.), with the following boundaries: To the North: Atlantic Ocean; to the East:
      Path that separate Parcel 125; To the South: Parcel No. 127 (remainder); and to the West: Parcel 127
      (remainder) of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of Monte Cristi.



      5(E)    Parcel No. 127-B-1 of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of
      Monte Cristi, which has a superficial extension of sixty two Hectares, eighty two Ares and ninety one Centiare
      (62Has., 82 As., 91 Cas.), with the following boundaries: To the North: Atlantic Ocean; to the East: Parcel 193;
      To the South: Parcel No. 127 (remainder) and path; and to the West: Parcel 125 of Cadastral District No. 6 of
      the municipality of Villa Vasquez of the Department of Monte Cristi.



      6(F)    Parcel No. 193-A of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of
      Monte Cristi, which has a superficial extension of one hundred sixty six Hectares, sixty eight Ares and ten
      Centiare (166 Has., 68 As., 10 Cas.), with the following boundaries: To the North: Atlantic Ocean; to the East:
      Parcel 193 (remainder); To the South: 193 (remainder); and to the West: Parcel 127 (of the village of “El Duro”)
      of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of Monte Cristi.




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      7(G)    Parcel No. 193-B-1-B of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department
      of Monte Cristi, which has a superficial extension of one hundred sixty seven Hectares, sixty nine Ares and
      seventy Centiare (167 Has., 69 As., 70 Cas.), with the following boundaries: To the North: Atlantic Ocean and
      Parcel No. 193-B-1-A; to the East: Parcel 193 B-1-C; To the South: 193 –B and Parcel No. 193-B-1-C; and to
      the West: Parcel 193 –BA (of the village of “El Duro”) of Cadastral District No. 6 of the municipality of Villa
      Vasquez of the Department of Monte Cristi.



      8(H)    Parcel No. 193-B-C of Cadastral District No. 6 of the municipality of Villa Vasquez of the Department of
      Monte Cristi, which has a superficial extension of one hundred sixty seven Hectares, sixty nine Ares and ten
      seventy Centiare (167 Has., 69 As., 70 Cas.), with the following boundaries: To the North: Atlantic Ocean and
      Parcel No. 193-B-1-B; to the East: Parcel 193 B-4, Parcel 193 B-1-D and 193 B-4; To the South: 193–B and
      Parcel No. 193-B-4; and to the West: Parcel 193 B-1-B of Cadastral District No. 6 of the municipality of Villa
      Vasquez of the Department of Monte Cristi.




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      Topography and Geological Characteristics of the Site


      The p roject’s lan dscape consists o f several coas tal terrace s of diff erent a ltitudes th at run parallel to the
      coastline. Of the 4 miles (6.5 km) of seashore, approximately 1.7 miles (2.7 km) are natural beaches. The
      difference in terrace levels generates impressive bluffs with miles of observation points overlooking the sea.

      The terrain is composed of coral limestone with sedimentation areas in the lower portions that have converted
      into extensive wetlands, mangroves and lagoons. Throughout the property, pools of crystal clear water can be
      found.

      The beaches are formed by completely white calcareous sand extending all the way to the coral barrier reef
      approximately 109-219 yards (100-200 m) away from the coastline.

      This spectacular topography lends itself to all kinds of architectural creations, from fantastic golf courses to
      residences and hotels with breathtaking views.



      Climate


      The weather is ideal year round in Emerald Beach. The annual average temperature is 78 degrees Fahrenheit
      (26 degrees Celsius), with approximately 26.8 inches (68.2 cm) of rain per year. A gentle breeze from the
      Northeast generates clear blue skies.



                    Indicator An                                          nual Average
                    Normal Precipitation                                26.8 inches             68.2 cm
                    Normal Days of rain                                45                      45
                    Median normal Temperature                          78.0 ¼F                 26 ¼C
                    Minimum Normal Temperature                         75.2¼F                  24 ¼C
                    Maximum Normal Temperature                         89.6 ¼F                 32 ¼C
                    Relative Normal Humidity                           82.3%                   82.3%
                    Normal Wind Speed                                  9.6 mi/h                15.4 km/h
                    Predominant Winds Direction                        N/E                     N/E




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      General Master Plan

      The Emerald Beach site allows a very compact master plan concept that is unmatched worldwide. There is no
      other place where people may find so many unique features within walking, biking, or golf cart distance - without
      any visual pollution and in a pristine environmentally sensitive design.

      The rendering below illustrates the unique compactness of Emerald Beach.




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      Area Description

      A rectangular, 2000-yard long Vaporetto system links the Emerald Beach Harbor with the Marina Village and
      Harbor Town Homes. Golf carts will bring visiting guests to all attraction points of the resort, including the
      Emerald Beach clubs, the three Signature Golf courses and all privately gated residential areas.




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      The Site
      The site comprises 2,471 acres (10 million m 2) of land. The North East coast holds an abundance of natural
      mangroves, which the resort will enhance, making them accessible to the resort’s guests and yachtsmen, along
      with improving the natural channels that run through them. The pristine sand beaches along the North West
      shoreline are ideally suited to host several beach clubs. Additionally, the 3.7 miles (6km) of coral reef will offer
      plenty of opportunities for scuba diving and snorkeling.

      Because of its strategic location and the very special potential of its natural terrain, Emerald Beach will enable
      the development of an exceptional volume of beach front and as well as industrial and commercial real estate.

      The third property will host an international airport that will also house 160 private jet hangers. A unique
      feature of the airport is that an Airbus 380 will be able to use the airport, making it one of the few airports in the
      Caribbean able to handle an Airbus 380 and the only one in the Dominican Republic.



      Conceptual Composition of the Emerald Beach Resort


      While most traditional resort development projects feature a large hotel (usually operated by an American Hotel
      chain) and residential real estate within a golf course development, Emerald Beach is strikingly different.




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      The highly synergistic combination of luxury residential and commercial features will not only attract the most
      distinguished clientele, but will also yield numerous independent, mutually reinforcing revenue opportunities.



      Emerald Beach is destined to become:

              A unique yachting and seaside destination
              A truly pedestrian resort
              The Dominican North shore golf capital.




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     3.2 BUSINESS PORTFOLIO


     Emerald Beach will host unique commercial and industrial projects and over 7,700 residential units.




           Cruise ship terminal (2 Cruise Ships)
           Marina (1000 slips)
           International airstrip and airport operations
           Luxury hotels (5)
           Boutique hotels (12)
           Shops and restaurants (100)
           Conference center
           Art Convention Center
           Signature golf courses (3)
           Beach Clubs, Country Club, Golf Club, Equestrian Club
           3,000 Harbor Town Homes
           750 Golf Estate Residences
           4,000 Village Condominiums




     A closer look at the project’s elements reveals at least six separate industrial business propositions, each of
     them independently viable. Their combination creates a unique and powerful portfolio that should yield
     conservative revenues of approximately US$2.0 billion over the life of the project:

          1 Th e Beaches
          2 The    Coral Reefs
          3    The Emerald Beach Harbor With Its Cruise Ship Terminal
          4 Th e Marinas
          5    The Yachting Services, shipyards, and dry-dock parking
          1.       The International Airport operation
     The Beaches

     The 1.7 mile (2.7 km) long natural beaches will be host to many beach clubs, 4 hotels and 70 private beach
     estates and town homes. Perfect for relaxing on the beach to enjoying the various water sports from wind
     surfing to water skiing that will be available through the clubs. Emerald Beach will offer a wide range of
     beach and water activities through its clubs.



     The Coral Reefs


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     There will be scuba and snorkeling trips to the 28 miles (45km) of coral reef. They offer good beginning and
     advanced dive sites with abundant tropical fish and marine life. It is possible to see dolphins, whales (from
     January to March), barracudas, groupers up to 1-1/2 meters long and many colorful reef fish. There even are
     wrecks to explore off the shores of Monte Cristi. One particularly interesting dive trip is to Punta Rucia near
     Monte Cristi. There, a coral isle called Cayo Arena (Sand Island), which has incredible coral diving. Cayo
     Arena is sometimes covered completely by the ocean, and at other times is extremely visible for exploring.      1




     1
         Referenced from Diveguide.com




     The Emerald Beach Harbor and Cruise Ship Terminal


     Emerald Beach will feature a prestigious harbor, very reminiscent of St. Tropez, with 1000 docking slips for
     picturesque yachts and a large cruise ship terminal. Today, in most cases, cruise ships are forced to either
     dock at regular harbors between tankers and commercial freight vessels – which not only effects the visual
     environment but also creates an un safe e xperience - o r t hey must anchor of fshore an d sh uttle th eir
     passengers to the land – a time-consuming, expensive, and not very convenient practice.

     Emerald Beach will offer a terminal with capacity for 2 cruise ships, which will allow luxury cruise ships to
     dock immediately at a harbor that has been designed for beauty, style, and convenience. Passengers will be
     able to walk off the vessel and to immediately stroll along the pedestrian streets of the Emerald Beach
     villages, with their shops and restaurants. They also will have the opportunity to participate in one of the
     many exclusive excursion programs to nearby thematic parks and other amusement attractions that will be
     designed specifically for the cruise ship passengers.




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     Given the large number of cruise ships sailing the Caribbean and looking for attractive places to anchor for a
     day, Emerald Beach will quickly become a major destination, bringing thousands of affluent customers to the
     shops and restaurants of the resort’s villages every week – a fact that will attract many major luxury boutique
     chains to establish a presence at the resort. The cruise ship terminals may be sold to interested parties (e.g.
     major cruise ship operators).




     Marina




     Global demand for marina slips is exploding. Today we see yacht owners desperately seeking affordable and
     safe places to store their valuable investments. As there is virtually no space for new marina projects in
     Europe or the US, these areas have actually stopped issuing new permits, and orders for new yachts are at
     an all-time high, it is no wonder that slip prices have increased almost 10-fold over the last two years. The
     situation will become even more dramatic over the next few years.




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     This is one of the reasons why Emerald Beach is designed to become a major yachting destination. The
     project will offer one of the largest and most prestigious marinas in the Caribbean, featuring 1000 marina
     slips

     At a sales price of $6,000 per linear foot the 1000 marina slips (varying in length between 60-250 feet) will be
     an attractive investment that should significantly appreciate in value over time. The marinas are expected to
     generate approximately US$360,000,000 million in sales revenues.



     Yachting Services


     Although the Caribbean region is one of the world’s most important yachting routes, there is currently no
     major service facility for these vessels between Fort Lauderdale and Caracas.

     With its position half way between Turks & Caicos and Puerto Rico, Emerald Beach has all of the physical
     features required to become a central yachting hub or destination for North and South American yachts. A
     refueling station able to handle up to 100,000 gallons, dry docks, and a major service and repair facility will
     make Emerald Beach a sought-after destination for regional and trans-Atlantic sailing vessels alike. The
     yachting services are a very attractive investment opportunity for any third party who wishes to capitalize not
     only on the business provided by transient vessels, but also by the anticipated 3,000+ vessels which will
     belong to Emerald Beach residents.




     3.3 The Residential Real Estate

     Emerald Be ach will fe ature mo re t han 7,780 resid ential re al est ate u nits, ranging fro m 1-bedroom
     condominiums to 7 bedroom luxury estate villas:



           30 Beach Estates, featuring 3-7 bedrooms, each with a private beach.
           3,000 Harbor Town Homes: featuring 3-7 bedrooms, each with a swimming pool and a detached
             guest house. The Harbor Town Homes will be located along the seashore of the peninsulas and
          isl ands.
           750 Golf Estate residences, featuring villas from 3-7 bedrooms.
           4, 000 Village condominiums




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     Harbor Town Homes Admiral Floor Plans




     Commodore Floor Plan




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     Imperial Floor Plan




      All residential re al estate will be constructed using the highest quality architectural designs and internal


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      finishes. Total sales of the residential real estate are expected to be approximately US$8.7 billion over the
      life of the project. A detailed cost and sales analysis is provided in the financial section of this document.


      The Club at Emerald Beach


      The Club at Emerald Beach will be the prestigious lynchpin of the resort’s social life. It includes three golf
      clubs, the y acht cl ub, t he beach cl ubs, the c ountry cl ub, t he equ estrian club an d the health cl ub.
      Memberships in each club will be limited to homeowners, lessees and tenants to assure exclusivity.

      3.4 DETAILS OF EMERALD BEACH RESORT


      The interplay of the above components makes Emerald Beach not on ly an a ttractive destination fo r its
      clients, but also an extraordinary investment and business opportunity. This unique combination of elements
      makes Emerald Beach a peerless project. As briefly described above, its main components will be:



              Beaches

              The primary focus of Emerald Beach will be the beach clubs and four beach hotels along the
              beautiful natural beaches where there will be plenty of opportunities to pursue water sports or to
              relax.


              Emerald Beach International Airport


              The Emerald Beach International Airport will be capable of handling Airbus 380 and thus be one of
              the largest in the Dominican Republic.


              Emerald Beach Harbor


              The Emerald Beach Harbor is a deep-water Harbor able to host approximately 300 large vessels,
              with a four cruise ship capacity terminal and two major fueling stations – the only facility of this
              kind between Fort Lauderdale and Venezuela.

              The harbor will be home to the Emerald Beach Marina, which will be placed at the entry of the
              ocean canal. This will be the main artery connecting the ocean to the marina. Surrounding this
              route t here will be secondary fea tures of the can al c reating t he Emerald Beach Peninsulas &
              Islands hosting numerous Harbor Town Homes.

              The cargo facilities at the harbor will allow for a revolutionary industry development that will effect
              Monte Cristi and all other cities of the region due to the tax exemptions.




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              Marina Slips


              The Emerald Beach Marina will be state-of-the-art, boasting 250 slips capable of accommodating
              vessels rangi ng from 60 feet to 2 50 fee t l ength. Every slip will provide power, wate r, waste
              removal, telephone and cable services to its occupant.

              In addition, the environmental concerns of the marina will be a top priority as providing a clean and
              beautiful setting is important in maintaining Emerald Beach’s appeal.


              Ocean Canal


              The Ocean Canal will provide access to the cruise ship terminal, Marina and other major yachting
              services su ch as shi pyards that wi ll h ouse ship-chandlers, an d dry d ock parking areas. T he
              shipyard will be equipped with a crane able to dry dock a 300-foot vessel.


              Industrial Zone


              A small industrial zone and some limited employee housing facilities will be available. Handicraft
              operations in the industrial zone will augment the project’s economic viability while the employee
              housing facilities can be kept comparatively small because of the resort’s proximity of the town of
              Monte Cristi.




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              Peninsulas and Islands


              In the Master Plan, twenty-six peninsulas and islands will be created from the existing landforms
              as integral aspects of the project. They will offer over 6,000 meters of waterfront to 3,000 Harbor
              Town Homes. These geologically unique developments will also be the site for various private
              beach clubs and dining facilities.




              Emerald Beach Marina Village


              The Emerald Beach Marina Village’s side-walk cafes will remind the visitors of the Saint Tropez
              ambiance. Its o pulent restaurants a nd b outique ho tels will serve as a major attraction and
              destination for the resort’s strollers. The network of pedestrian paved roads will feature a small
              funicular railway, lifting the strolling pedestrians 300 feet to striking ocean, bay and mangrove
              views. The se villages wi ll host approximately 4,000 c ondominiums and est ates wi th 555
              boutiques, restaurants and town-homes. Add itionally, the Village will host several small beach
              clubs and the Emerald Beach Lodge; strollers will be able to discover the catch of the day and
              some unique fish restaurants. The Village will be just a short distance from the pristine beaches
              and the three signature golf courses.


              Hotels


              The project will include twelve boutique hotels (offering 80-150 rooms each) located in the village,
              along the golf courses and beaches. They will be on a level acceptable to exceed the standards of
              “Leading Hotels of the World.” Four of the five larger hotels will be located on the beach and the
              fifth will be next to a signature golf course.




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              Signature Golf Courses


              Emerald Beach will contain three Signature golf courses, in proximity to 750 Golf Estate Lots,
              which will be offered for sale.

              Emerald Beach has tentative plans to retain Arnold Palmer and Jim Fazio to design the golf
              courses.

              The three Signature golf courses will offer the most original settings in the Caribbean in that both
              will feature ocean front fairways. A very well balanced mix of golf villas will be constructed around
              the courses, providing residents exclusive views of the golf environment without being intrusive to
              the landscape.


              Ocean and Beach Clubs


              Emerald Beach w ill include severa l exclus ive beac h clubs . These clubs w ill offer co lorful
              restaurants, attractive swimming pools and nightlife. On the Western coast, the project’s master
              plan calls for four hotels and reserves a sizeable area for Beach Estates. A sequence of lots
              destined fo r furt her hotel development, resid ences, e states, and beach cl ubs will present a
              magnificent view to visiting yachts as they enter on their way to the marina.




              The Emerald Beach Health Center


              The Em erald Beach s pa, fitn ess, an d health center will attr act a co smopolitan clien tele from
              around th e wo rld. State of the art facilities will offer full-range of trea tments and therapi es
              including hydrotherapy, massage, body and facial treatments, and therapies of Eastern Origin, all
              administered b y ce rtified practitioners. The fitness ce nter w ill provide a full-range o f
              cardiovascular and physical training equipment, as well as a wide array of classes ranging from
              aerobics to yoga.



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              Boutiques and Restaurants


              An ensemble of 555 first class boutiques, restaurants, shops, and grocery stores will offer a great
              diversity of goods and services, and numerous small restaurants in romantic settings will offer a
              variety of cuisines. Emerald Beach merchants will have multiple sources of revenue: Residents,
              tourists, visitors from within the country and cruise ship passengers.


              Overall Volume


              When completed, Emerald Beach will have approximately 7,780 real estate units (ranging from
              village condominiums to Beach Estates), 250 marina slips and 180 docking facilities, beach, golf
              and yacht clubs and 17 luxury hotels.




              Emerald Beach Architecture


              The architecture of the various buildings at Emerald Beach will integrate the best attributes of
              traditional Caribbean design, wh ile in corporating the m ost modern conv eniences. In o rder to
              maintain the resort’s feeling of community, buildings are subject to a palm tree height limitation
              and must conform to the resort’s building codes. They are planed to be constructed from local
              materials, ie marble and coralina.




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              Emerald Beach planning has been innovative from the outset. Although it applies time-tested
              concepts, they are exceptionally concentrated in this development and have been adapted to
              exploit the singular opportunities it offers. Consequently, Emerald Beach is adopting a safe, yet
              exciting strategy in terms of its architecture adopting influences other successful projects while
              simultaneously projecting its individual personality and Caribbean flavor.

              Emerald Beac h will feature Mediterranean tiles and small windows and will avoid the use of
              aggressive colors that have been so devastating for some developers. Emerald Beach will use
              only light p astel colors f or its facades. Dry stone walls rem ain on e keystone of arch itectural
              success for tropical resorts such as Emerald Beach.

              The design and landscaping of the resort’s pedestrian streets and promenades will be given
              special attention. The shores of the Grand Canal require a harmonious concept in order to offer
              attractive perspectives for incoming vessels and strolling guests. The authorized public lighting
              and signage will also feature a tasteful, timeless aura.




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              The Environment


              The Emerald Beach master plan conforms to the highest ecological standards and is designed to
              ensure a minimum impact on the local environment. Additionally, the development team is being
              advised by top of the line environmental professionals (both local and international) with the
              guidance of the Secretary of Environment of the Dominican Republic.

              The natural habitat of native wildlife will be carefully maintained in order to provide Em erald
              Beach g uests with the uni que op portunity of viewing lo cal fis h in the ree fs t o b irds in the
              mangroves and other animals in their natural setting.

              The ove rall population den sity of th e r esort will be among th e lowe st in the Ca ribbean, an d
              motorized transport and noise levels within the resort will be strictly regulated. Further, constant
              monitoring and careful management will serve to improve the water quality along the beaches
              and in the canals. Hence, as Emera ld Beach will be a project or iented o n p rotecting the
              ecosystem of the area to assure a pollution free environment for all residents of Emerald Beach.




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3.5 EMERALD BEACH ACTIVITIES


Thanks to The Club there will be plenty of activities to pursue at Emerald Beach. These will revolve around the seven
major activity venues

1Beaches (sunbathing, fishing, swimming, wind surfing)
2Coral Reefs (scuba diving, snorkeling)
3Marina (sailing, yachting)
4Golf Courses
5Country Club (tennis, polo, ect)
6Trails (hiking, biking and horseback riding)
7Marina Village Promenade (shopping, restaurant, night clubs)




Beaches


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Coral Reefs




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Marina




Golf




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Country Club Trails




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Marina Village




3.6 PROJECT PLAN


The 5 hotel parcels will be sold to hotel development partners. These hotel lots are strategically located to enable them to
be self-contained and functional immediately upon completion. Emerald Beach expects our hotel development partners to
help the project achieve a finished look in the early phases of the project.

In addition, the Emerald Beach Founder’s Plan will result in approximately US$72 Million from sales.




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     4.1 MARKET DESCRIPTION


     Due to the nature of Emerald Beach as a multi-use resort, we have segmented the market for its products into
     three broad areas:

          1 Real Estate Market
          2 Golf Market
          3 Marina Market



     Real Estate Market


     Beachfront real estate remains the most valuable in the Caribbean resort markets. Projects that maximize the
     number of beachfront units have experienced strong demand and commanded significantly higher prices for
     resort facilities, constructed units and single-family home sites.

     Our real estate market is composed of two categories:

      Residential Buyers
      Hospitality Buyers



     Residential Buyers


     We expect that the residential buyers’ principal purpose in considering Emerald Beach real estate products will
     be an interest in acquiring a vacation home, while others will be interested in a permanent home or in an
     investment.

     The most successful US resorts, such as Vail, Sun Valley and Palm Springs are attractive to an increasing
     number of semi-permanent and permanent residents. In particular, Sun Valley, which, like Emerald Beach,
     offers all season activities, is now more than 40% populated by permanent residents.




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     Emerald Beach similarly expects to host a number of semi-permanent and permanent residents, attracted by the
     moderate tropical climate, the constant animation of the project’s facilities, the great variety of points of interest
     and the safe, controlled environment. We anticipate that residential sales will fall into approximately the following
     three categories:


                               Demand Component                    Target Percentage

                               Vacation Home                       70%

                               Permanent Home                      15%

                               Investor/Renting 15%

                               Total 100                              %



     North American demographics project a strong market for vacation real estate products during the next 15 to 20
     years – baby boomers are now entering their peak earning years (ages 45 to 65), and will generate a strong
     market for real estate products at Caribbean resorts. Over the next decade, more than 1,000,000 vacation
     houses, condos and town homes will be built just to satisfy that generation’s desire for second homes, the
     Nation Association of Realtors predicts. A key part of the growth trend is the ability of homebuyers to conduct
     business from virtually anywhere by telecommuting. Developers say the baby boomer buyers of second homes
     have completely different attitudes and ten dencies than the buyers of the past. “This generation is buyin g
     second homes at a faster rate than the generation before,” said David Norden, project manager of the Aspen
     Highlands Village in Aspen, Colorado. Consequently, Emerald Beach expects the origin of its residential buyers
     to be as follows:


                               Country of Origin              Target Percentage
                               North America /
                                                              65%
                               Caribbean
                               Europe / Asia                  30%

                               Latin America                  5%

                               Total 100%


     As reported by the Association of Resort Developers (ARDA), in 2000 approximately 8.6% or 8.9 million US
     households own or co-own some sort of vacation or recreational property, an increase of 1.7 million households
     since 1 990, an incre ase of 24% fo r the de cade. Su ch getaway communities include re sort con dominiums,
     vacation homes, time shares, and campground memberships.

     Among those who are most likely to own such a property are those who already own a primary residence:
     13.9% of homeowners have some sort of recreational property, while only 1% of renters hold such ownership.

     Older householders and those with higher incomes are also more likely to own a vacation property. 15% of
     householders over age 55 have a getaway as opposed to 4.2% of householder aged 40 and under. 18.4% of



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     households with annual incomes over $50,000 own a second property, while only 3.5% of households with
     incomes under $35,000 do. Married couples top the list with 11.9% claiming to have second properties, nearly
     5% more than other households. Only 8.5% of households with children under 18 have such properties, 2.5%
     fewer than households without minor children.

     Residents of Santo Domingo and Puerto Rico are particularly fond of secondary residences in the Emerald
     Beach region. Latin American countries, such as Venezuela, Brazil, Argentina, Chile and Mexico, are also
     discovering this d estination, whic h expl ains our expectation that residential buyers fro m these locales will
     compose approximately 10% of Emerald Beach residential purchasers.

     In addition, golf has become one of the fastest growing sports in recent decades. In response to this, real estate
     properties around golf activities have generated significant growth. As Emerald Beach is planning to construct
     two world-class signature golf courses, we expect a high demand for our Golf Estates.

Golf architects deliver significant extra value in that developers using such professional services achieve a value
premium greater than those who do not. At present, real estate prices around golf courses in the United States range
from $400,000 to several millions, according to research study done by The Golf Research Group


Because Emerald Beach will target a sophisticated international clientele - especially American and European - the
income level of our residential buyers is expected to break down as follows:


                        Yearly Income                       Target Percentage

                        Under $100,000                      0%

                        $100,000 to $299,000                15%

                        $300,000 to $499,000                35%

                        $500,000 and over                   50%

                        Total 100%




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     Hospitality Buyers


     Tourism in th e Caribbean Re gion a ccounted f or 13% of the world inte rnational to urist arrivals on 19 99,
     according to the World Tourism Organization. The Dominican Republic ranked second in the region, with 2.2%
     of world tourist arrivals, yielding a year on year growth rate of 15%, the highest in the region.

     The General Gregorio Luperon International Airport is situated approximately thirty miles from the project’s site
     and is already the second largest destination in the Dominican Republic, with approximately 900,000 passenger
     arrivals in the year 2000. This represented approximately 27% of all Dominican Republic arrivals in that year,
     and a 66% increase compared to 1996 arrivals. This confirms the dynamics of the area as a tourist destination,
     and makes it a prime location for new resorts.

     Currently, the main ch aracteristic of the Dominican Re public’s hotel ind ustry i s the p redominance o f “all
     inclusive” resorts. While this feature has facilitated the exponential growth in the nation’s hotel inventory, it has
     done little to satisfy visitors’ desire for a higher quality resort experience.

     Emerald Beach aims for the highest quality standards and, as a consequence, is targeting luxury, non-inclusive
     hotel chains as participants in the project. Emerald Beach master plan includes 17 hotels, ranging from grand
     luxury hotels to small boutique facilities, offering a total of approximately 2,000 beds. In addition, Emerald Beach
     is contemplating the creation of a limited number of fractional beach hotel condominiums.

     The number of hotel rooms in the Dominican Republic grew at a rate of 5% in 2000 to a total of 50,793 rooms. If
     this rate continues linearly, the number of rooms will be 105,595 by 2015. According to the World Tourism
     Organization’s predictions for the period 2000-2020, the highest growth rates in tourist arrivals in the Americas
     will be in the Caribbean, with the Dominican Republic expecting an annual growth rate of 5.3% - i.e. growing to
     almost 7 million tourist arrivals in 2020. These projections are consistent with the estimated growth in hotel
     rooms.

     When completed, Emerald Beach approximately 3,100 hotel rooms will represent approximately a 4% share of
     the country’s total room supply.




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     Supply of Rooms - Current Distribution Golf Market


                              Location %                                Share

                              Puerto Plata                            34%

                              Punta Cana                              30%

                              Santo Domingo                           9%

                              La Romana                               4%

                              Other Destinations                      23%

                              Monte Cristi                            0%

                              Total 100                                    %




     In th e last two decades, golf h as b ecome on e o f t he fastest gro wing s ports in ter ms of new pa rticipants,
     especially within the United States. Emerald Beach projects that the distribution by origin of players using its
     courses will be as follows:



                                   Country of Origin                               Percentage

                                   United States                                   73%

                                   Europe 2                                         0%

                                   Latin America                                   5%

                                   Asia 2%

                                   Total 100%


     In order to fulfill its goal of becoming one of the Caribbean’s most important golf destinations, Emerald Beach
     plans to develop three signature golf courses. To this end, Arnold Palmer has been contracted to design the first
     course a s a Palm er Signature Golf Cou rse (E merald B each Signature Course), and Jim Fa zio has be en
     contracted to build the se cond co urse. By com pletion of the p roject, we expect t o h ave sol d 1,350 g olf
     memberships. Palmer and Fazio belong to the absolute top tier of golf architects, which has proven to be a
     significant factor in a golf development’s attractiveness and profitability.

     A recent study performed by The Golf Research Group confirms the value of using an established golf course
     architect, suggesting that the architect’s fees shrink into insignificance when compared with the enhancements
     to pricing and rates of sale that their projects achieve.




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     The existence of three signature golf courses at Emerald Beach will be rare in the Caribbean.


                 How Signature Golf Course
                 Developments Compare
                                                                                 Recognized
                 Architect No                            Name                      But not             “Top 33”
                                                                                  “Top 33”
                 Initiation Fee Annual                 $1,0488                 $5,625                  $16,250
                 Membership Dues Green Fees          $640 / $22                $1,540 / $44            $2,288 / $64



                 % of Courses                           43%                    29%                     28%

         Source: The Golf Research Group




     Marina Market


     The Caribbean’s premier sailing and boating area at the present time starts at the Eastern tip of Puerto Rico and
     ends at the Southern most island of Trinidad. Approximately 70% of the activity concentrates in the U.S. and
     British Virgin Islands with the remainder focused on the Leeward Islands.


     Emerald Beach developers expect to draw the bulk of its marina usage business from Florida, The Bahamas,
     The Windward and Leeward Caribbean Islands, The Greater Antilles, the North Coast of South America, the
     Eastern Coast of Central America and the Yucatan Peninsula.


     In this “Area of Incidence” there are approximately 800 marinas, with a total of more than 19,000 boats. The
     largest marina of the area is Bay Point Marina in the Western coast of Florida, which can host approximately
     800 boats. In the region, 81% of marinas are in Florida, with 11% in the Caribbean. Only 14% of the marinas in
     the Caribbean offer golf as an additional activity. None of the marinas in the Caribbean have an airstrip and
     none offer the combination of attractions available at Emerald Beach.


     Located astride the major maritime routes that link the East Coast of the US and Canada with Puerto Rico and
     the British Virgin Islands, Emerald Beach is perfectly positioned in the geometrical center of the Caribbean
     Archipelago. Nowadays, a large percentage of the boats that navigate from the US and Canada and moor in the
     Northern coast of Hispaniola. In this context, Emerald Beach has the potential to become a key player in the
     Caribbean yachting world. At present, several marinas are under construction in the Dominican Republic. Being
     a larger country, with a larger industrial capability than most in the Caribbean, services to boats will be greatly
     developed. Furthermore, the Dominican government is modifying the existing marine law to stimulate marina
     operations in the country. The demand for yacht docking facilities capable of accommodating vessels of up to
     100 fee t in le ngth a lready dramatically exceed s sup ply. In so me cases the wa iting l ists are years lo ng.

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     According to the Tra vel Industry World Yearbook the number of mega-yachts (80 feet or more) has nearly
     doubled from 2,800 in 1996 to more than 5,500 in 2000 - a 96% increase.




     In addition, according to yachting market studies, double the number of existing vessels over 100 feet have
     been ordered and are being built with nowhere to go, once delivered.



     Traditional Sailing Route from North America to the Caribbean


     Coming from the US (North) Emerald Beach is the last marina destination for more that 250 miles sailing to the
     East and the first after 250 miles coming from the East. This uniqueness will make Emerald Beach one of the
     most popular yachting destinations in the Caribbean. The closest marina North from Emerald Beach is located
     in Turk & Caicos (Bahamas) at 80 nautical miles.


     We expect the distribution of boats using Emerald Beach marina facilities to be as follows:



                           Slips Percenta                                   ge

                           0-30 feet                               15%

                           30-40 feet                              20%

                           40-50 feet                              30%

                           50-80 feet                              20%

                           80 feet and over                        15%

                           Total 100%




     The Ocean Canal will also provide access to a fully equipped shipyard capable of handling yachts up to the 100
     to 150 feet range. The full range of maritime trades, including ship chandlers, sail makers, chartering offices,
     and maintenance facilities will be available for the convenience of visiting yachts.

     The Emerald Beach resort is also located within easy cruising range of some of the finest deep sea fishing
     areas. Sport fishing enthusiasts will be able to find abundant marlin, sailfish and tuna in the pristine waters
     around Emerald Beach. The unique combination of its location, capacity and support facilities will make Emerald
     Beach one of the most popular yachting and fishing destinations in the Caribbean.




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     4.2 MARKET TRENDS

     Resort Real Estate


     A number of new and refined product trends have developed in resort real estate during recent years. Several of
     these are profiled below:

     • Interval Hotels

     The American developers are actively planning, building and selling interval hotels at a number of resorts.
     These properties incorporate hotel services and meeting/conference facilities and are intended as year round
     operations. Sales are on a quarter-share basis with owners entitled to use up to 13 weeks annually. Most
     owners use their unit for approximately two weeks and place it in the hotel rental pool for the remainder of the
     year.

     • Resort Clubs

     The clubs offer a variety of unit types, typically in high-density. The clubs function as a vacation center with
     hotel-type services. Buyers purchase points, which can be used on a flexible basis at several locations.

     • Condominium Clubs

     Offered as an alternative to full ownership of extremely high priced condominiums, these relatively large units
     are sold on a quarter-share basis with pricing usually starting at approximately US$125,000. The products are in
     multi-unit buildings of high densities, and typically have excellent locations. Owners can take advantage of a
     range of hotel-type services.

     • Town home

     A number of resorts are moving forward with town home development, typically in village or golf locations. Town
     homes are bigger than many of the condominiums of the past.

     • Timeshare and Other Interval Products

     The timeshare industry has evolved significantly during the past 15 years, both by increasing their credibility and
     by offering a range of products that offer consumers choices suited to their needs. Today, timesharing/interval
     ownership is one of the fastest growing sectors of resort development and travel globally.




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     Golf


     The most important trend in the golf market has been the increasing number of signature golf courses and the
     real estate developments around it. Golf is fast becoming one of Dominic an Rep ublic top attrac tions. Wi th
     twenty three courses available and more under construction, golfers can include the Dominican Republic as one
     of the places to go when planning a golfer’s holiday.

     Obviously, any world class resort development of any size in the Caribbean would include a golf course for the
     following reasons:

          Complement recreational uses;
          Enhance real estate values;
          Provide additional marketing exposure; and
          Enhance view amenities.


     As most real estate projects include interior land areas without beach frontage (considered the most desirable
     and highest price location), golf courses provide residential frontage that enhance land values. All of these
     factors are important in the development of the subject and the addition of golf course development should be
     and is an integral part of the land use plan.



     Marina


     The Caribbean’s premier sailing and boating area at the present time starts at the Eastern tip of Puerto Rico and
     ends at the Southern most island of Trinidad. Approximately 70% of the activity concentrates in the U.S. and
     British Virgin Islands with the remainder focused on the Leeward Islands.

     Emerald Beach developers expect to draw the bulk of its marina usage business from Florida, the Bahamas, the
     Windward and Leeward Caribbean Islands, the Greater Antilles, the North Coast of South America, the Eastern
     Coast of Central America and the Yucatan Peninsula. In this “Area of Incidence” there are approximately 800
     marinas, with a total of more than 19,000 boat slips. The largest marina of the area is Bay Point Marina in the
     Western coast of Florida, which can host approximately 800 boats. A reported 81% of marinas in the area are in
     Florida and 11% in the Caribbean. Only 14% of the marinas in the Caribbean offer golf as an additional activity.
     None of the marinas in the Caribbean have an airstrip with hangers.




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     Located astride the major maritime routes that link the East Coast of the US and Canada with Puerto Rico and
     the British Virgin Islands, Emerald Beach is perfectly positioned in the geometrical center of the Caribbean
     Archipelago. Nowadays, a large percentage of the boats that navigate from the US and Canada touch the
     Northern coast of Hispaniola, continuing their voyage to the North of Puerto Rico. In this context, the potential to
     become a key player in the Caribbean yachting world is overwhelming.

     At present there are six major marinas in the Dominican Republic:

          Club Nautico de Boca Chica
          Club Nautico de Santo Domingo
          Club Nautico de Haina
          Club Nautico de Puerto Plata
          Punta Cana Marina in Punta Cana
          Marina de Chav—n and Club N‡utico in La Romana

     Several marinas are u nder co nstruction i n the Do minican Re public. Bei ng a l arger co untry, with a larger
     industrial capability than most in the Caribbean, services to boats will be greatly developed. Coming from the US
     (North) Emerald Beach would be the last marina destinations for more that 250 miles sailing to the East and the
     first after 250 miles coming from the East. This uniqueness will make Emerald Beach one of the most popular
     yachting destinations in the Caribbean. The closest marina going North (North West) from Emerald Beach is
     located in Turk & Caicos (Bahamas) at 80 nautical miles.

     Emerald Beach is also located within easy cruising range of some of the finest deep sea fishing areas. Sport
     fishing enthusiasts will be able to find abundant marlin, sailfish and tuna in the pristine waters around Emerald
     Beach. The unique combination of its location, capacity and support facilities should make Emerald Beach one
     of the more popular yachting and fishing destinations in the Caribbean.




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     4.3 COMPETITION


     Emerald Beach expects to encounter two kinds of competition: Resort competitors offering a wide range of
     services and facilities, and single purpose facilities addressing one particular interest, such as a harbor, dock,
     golf facility or hotel accommodations.



     Mixed Resort Competition


     The following scheme shows a comparison with other major resort developments in the Dominican Republic and
     suggests the uniqueness of Emerald Beach.



                           Emerald                                                      Casa de             Punta
                                               Atlantic A            CapCana
                           Beach                                                        Campo               Cana
      Quality of                 Very                Very
                                                                           Medium              High                 Low
      Design                     High                High
                                250 slips           450 slips              300 slips         210 slips            42 slips
      Marina / Dry
                                 3 dry               3 dry                  No dry            No dry              No dry
      Docks                      docks               docks                   dock              dock               docks
      Cruise Ship
                                  Yes                  Yes                     No              Yes                  No
      Terminal
                                                                                              Airport             Airport
      Airstrip with
                                Yes, both           Yes, both                  No               No                  No
      Jet Hangars                                                                            hangars              hangars
      Strategic
                                Excellent           Excellent              Medium             Good                Medium
      location
      Diversity of                Very                Very
                                                                               High            High               Medium
      Products                    high                high



     Single Purpose Competition


     Hotel Resorts
     Over 17,000 rooms in “all inclusive” hotels are located within minutes of the planned resort; none of them offer
     more than the most rudimentary activities and entertainment opportunities.

     Consequently, Emerald Beach retailers, restaurant owners and service providers will enjoy income arising from
     the resort’s own upscale visitors, while attracting tourists from neighboring facilities in search of entertainment
     otherwise unavailable in the area.




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     Golf
     Today, there are 23 golf courses in the Dominican Republic, with half of them located in the East side of the
     country at La Romana and Bavaro. The most famous ones are “Teeth of the Dog” in Casa de Campo, La
     Romana, designed by Pete Dye, one in Puerto Plata designed by Robert Trent Jones and one in Punta Cana,
     also designed by Pete Dye.



                            City N                                 umber of Courses

                            Santo Domingo                      4

                            Puerto Plata                       2

                            La Romana                          4

                            Bavaro 4

                            Others 9

                            Total 23


     Marina

     As noted in the “Marina Market” section above, there are approximately 800 marinas in Emerald Beach Area of
     Incidence. Most of them are small, with an average number of 24 slips ranging in size from 30 to 260 feet. None
     of them offers the combination of services and amenities that the Emerald Beach Marina will provide.

     At present there are six marinas in the Dominican Republic: Club Naœtico de Santo Domingo, Club Naœtico de
     Haina, Club Naœtico de Puerto Plata, Punta Cana Marina in Punta Cana, Marina de Chav—n and Club N‡utico
     in La Romana.




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     5.1 GENERAL MARKETING APPROACH

     Emerald Beach marketing strategy will seek to both: Inform the audience (attention) and inspire that individual to
     seek further information (action).

     Emerald Bea ch buyers wil l come fr om different locations. As a conse quence of va rying cu ltures and
     expectations, t hese gro ups present uni que sa les a nd m arketing challenges a nd opp ortunities. As Emerald
     Beach implements the sales and marketing strategy, it will create momentum, sequencing events to extract
     maximum mileage from each previous effort.



     5.2 TARGET MARKETS


     Real Estate Buyers

     Domestic (Dominican) Market:
     Primary target of the Domestic market are high net worth individuals from the Dominican Republic who are
     interested in high quality real estate and wish to live in a cosmopolitan environment. Some potential buyers may
     also come from Dominican expatriates who are interested in owning a high quality property in their homeland for
     use as a vacation home or as a source of income.

     Foreign Market:

     The international jet set and yachting community, are looking for a safe harbor for their boats and an attractive
     place to spend leisure time. Our research and analysis of residential buyers of existing upscale resorts with
     associated facilities such as Emerald Beach suggest that our project’s most likely customers and investors will
     be based in the following countries:

     United States
      Canada
     Europe (United Kingdom, Spain, Germany, France)
     East Europe (Russia)
      Asia


     Given the depth of the market in North America, we believe that it should be considered the primary target
     market for our sales efforts, with Europeans representing the secondary target. As mentioned, the project’s
     components will also have market appeal to Dominican Republic residents and expatriates.




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     Expected Buyers
                   Region Percentage

                   North America / Caribbean             65 %

                   Europe / Asia                         30 %

                   Latin America                         5%




     Emerald Beach plan is designed to attract qualified real estate buyers as much as visitors to Emerald Beach. As
     such, we will strive to accommodate visitors with an eye towards creating a quality environment that is
     conducive to return visits - a key to converting resort guests into buyers.

     Successful conversion of visitors into buyers requires the participation of a wide range of participants, all of
     whom must be committed to creating an image of quality, service, and welcome -true pride in the development.
     For Emerald Beach, we will focus on the following stakeholders/participants:

          Resort employees
          The master and sub-developers of the project
          Local restaurant, retail, hotel and tourism-related vendors
          Transportation, tourism and trade agents (travel agents, airlines, ground transportation, guides, trade
              show representatives, etc.)
          Press and Media


     Marketing materials will highlight the special provisions of Emerald Beach land plan as well as the duties and
     responsibilities of visitors at the site.



     Commercial Market:

     We believe there will be a global demand by commercial enterprises interested to participate in this community.
     The mix of high net worth residents and visitors, enhanced by the cruise ship terminal and the strategic location
     at the tourist-rich North coast should be very attractive to luxury boutiques, small hotels, bars, and restaurants
     alike. The numerous amenities ca tering to the yachting community sh ould a ttract service and management
     companies wi th an in terest to ow n an d/or ma nage dry d ocks, the cr uise s hip ter minal, or th e me ga-yacht
     hangar.




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     5.3 PROMOTION AND ADVERTISING



     Product Marketing


     The process of marketing a resort community requires an important shift in emphasis from traditional housing
     products. This shift places maximum importance on lifestyle marketing, which attributes the highest premium to
     the project’s products and ultimately to the land itself. Below is a comparison of traditional and resort home
     marketing priorities.


                        Marketing Priority           Traditional Home                 Resort Home

                             1                       Product                          Lifestyle/Community

                             2                       Builder                          Builder

                             3                       Community                        Product




     To market Emerald Beach products, the company will create the following two-tiered marketing program:


     Resort-wide “Umbrella” Campaign

          Emphasizes Emerald Beach image as a premium resort.
          Focus on amenities, integration, experiences, quality

          Set the tone for life at Emerald Beach and in the region.
          All project components (homes, retail, and golf) contribute proportionately to the campaign.




     Product Marketing Campaign

          Emphasizes product lifestyle (e.g. low maintenance condo, flexibility of interval products, privacy of
          custom lots, etc.)
          Promotes the resort’s elements unique attributes (e.g. golf frontage, ocean views, location within
          architecturally-themed hamlets).

     Development/ Marketing Alliances

     To achieve maximum credibility in the marketplace, Emerald Beach will forge strategic alliances that ultimately
     attract qu alified cus tomers or that e nhance the d evelopment process. Examples include pu blic-private
     partnerships, environmental planning alliances, and outreach to the recreation industry.




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     Media Strategy

     Emerald Beach will evolve as it matures. Through the phases of its marketing cycle, its overall orientation and
     appeal will change – new buyers with new motivations will emerge, previous buyers will adapt and change. The
     media strategy will reflect these changes and adopt the following roll-out formula:

     Pioneering Stage

     In this stage, we will focus on buyers who…

         are early buyers, outdoors oriented, active and/or extreme sports.
         consider themselves leaders, trendsetters, with a venture capitalist mentality.
         expect significant upside (product price), but also expect premium service.
         prefer more custom lots, condominiums at lower value ratios or condominium hotels at higher value ratios.


     Yachting and golf magazines, advertising, direct marketing to existing resort residents in other markets are most
     effective marketing tools for this segment.



     Establishment Stage

     In this stage, we will focus on buyers, who…

     …are looking for a lifestyle-value balance, seek some security that they are making a good decision.
     …seek a broader array of services and products to offer them diversity and variety.

     For this segment, we intend to apply a more mainstream media approach, using a combination of testimonials
     and advertisements in re al estate-oriented p ublications and magazines (Forbes, Ya chting World, Execu tive
     Golfer, etc.) as well as quality video and brochures to offer “proof of lifestyle” (using testimonial from pioneer
     buyers). Pioneers should recognize increasing values as well as expanded array of amenities/services.



     Maturity Stage

     In this last stage, we will focus on buyers who are primarily interested in a fully defined lifestyle that comes as a
     proven concept. Products play a secondary role only.

     Image is everything at maturity; buyers will pay top market prices to get into the development while there is still
     new product available in good locations.

     Advertising becomes less prevalent and will be more ‘image’ oriented again. In this phase, we will rely heavily
     on testimonials and advertising in financial and upscale lifestyle publications.

     Original pioneers and some established buyers may begin trading up to higher value product.




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      6.1 GENERAL COMMENTS


      Emerald B each i s a resort d esigned fo r u pper m iddle and upper tier buyers. Th e proj ect contains an
      exceptionally larg e varie ty of produ cts a nd prices ranging from large lan d lots for h oteliers, to private
      residences, condominiums, and clubs, but also including investment, commercial development and operation
      opportunities.

      This focus also allows Emerald Beach the unique opportunity to build and offer various designs of products to fit
      the discriminating tastes of each demanding consumer category, ranging from the old world water front to the
      modern architecture of golf front villas.



      6.2 PRODUCT DESCRIPTION & PRICING


      In setting prices for Emerald Beach products, our objective has been to offer reasonable arrangements for the
      type a nd q uality o f th e facility in question based on co mparable projects i n the region that have be en
      successfully placed in the recent past.

      Therefore, prices for the products offered in Emerald Beach are competitive and set at a level that will allow the
      purchaser to make a positive decision.

      We have planned the introduction of the various products in a manner that will allow us to keep the demand -
      and therefore the prices - at a level that will allow purchasers to realize a gain on their investment.

      Emerald Beach offers six main categories of products at the following prices:

      1 Beach and Bay Real Estate Products
      2 Village Real Estate Products
      3 Golf Real Estate
      4 Industrial & Commercial Real Estate
      5 Club Memberships
      6 Hotels, Clubs and Related Amenities


      A more detailed description of the land and real estate pricing is offered in Section 10 Overall Performance.




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      Real Estate


      • Land Lots

      In terms of scope of property sales, “Casa de Campo” is the most comparable to our residential development. In
      Casa de Campo there 1400 residential lots were made available for sale in 2000. The lots ranged in size from
      600 square meters to 20,000 square meters.



      • Condominiums

      Additionally, Casa de Campo developed 140 condominiums surrounding that project’s marina. Those
      condominiums were pre-sold prior to the opening of the marina. They averaged 1,200 square feet, and sold for
      between US$385,000 and US$500,000. The absorption of all the condominiums prior to marina’s opening
      indicates the pent up demand in the market for this product.



      • Residential

      In the Caribbean Region and Mexico, the scope of residential development at upscale resorts is less than
      planned for the project. However, the price points offered for residential product at these regional resorts are
      consistent with our planned approach, which suggests sales prices in the range of US$600,000 to
      US$4,000,000. As an example of the pricing structure recently offered at a comparable facility, villas and
      homes available at the “Hyatt Regency Cayman Resort and Villas” ranged in price from $830,000 to
      $2,300,000. Of these, 80% were sold within one year.



      • Golf Residential

      According to the Golf Research Group the average sales price for golf residential land lots at courses designed
      by one of the top 5 Golf architects (such as Couples and Bates) ranges between US$400,000 and
      US$1,200,000.




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      Marina


      Based on our research and analysis, we are of the opinion that there will be a strong level of demand for both
      slip rental and ownership at Emerald Beach marinas. It is significant to note that there is an approximate 250-
      mile gap between Turks & Caicos and Puerto Rico that lacks a professional marina with the facilities and
      amenities offered in our plans. In addition, there is a particular shortfall in the existing number of slips that can
      accommodate vessels longer than 100 feet. Overall, the opportunity to purchase a permanent slip is virtually
      nonexistent in the region.

      The 170 slips that were made available for purchase at the marina of Casa de Campo were all sold prior to the
      opening of the facility. 85% of the slips were sold without any marketing. This rapid absorption indicates that the
      price points of those slips in Casa de Campo, ranging between US$100,000 and US$150,000, may in fact have
      lower than optimal. These are now selling for US$250,000.

      Additionally, Emerald Beach’s ability to package slips with residential sales will help accelerate absorption. For
      potential slip owners, the option to either use the slip for their own vessels or to generate income through a
      rental program provides an attractive opportunity.



      Golf


      Coupling the scope of Emerald Beach residential development with the ability to package golf course
      memberships and property sales, the demand for golf memberships (at either a Palmer or Fazio Signature
      course) should be strong. Our pricing is in the range of comparable memberships offered at the top courses in
      the Dominican Republic.


      Boutiques


      The demand for retail space at locations within upscale Dominican Republic resorts is very high, as evidenced
      by the extremely limited availability of these properties. The retail space surrounding the marina at Casa de
      Campo received more than 200 applications for 60 available locations prior to the opening of the marina.



      Hotels


      The Dominican Republic’s lodging industry is relatively strong. Occupied room nights increased at an annual
      rate of 8.2% between 1996 and 2000. Emerald Beach research indicates that five-star properties achieving
      occupancies from 74% to 80% are able to charge average daily rates in the US$250.00 to US$335.00 range.




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     7.1 MANAGEMENT


     Management Experience

     Decades of international experience with projects that shaped the global resort and tourism industry have led to
     a un ique network of re lationships be tween Atlantic Coast Development and International D evelopment
     Corp. In turn, Atlantic Coast has assembled a stellar international group of entrepreneurs and experts from the
     USA, Europe, and Latin America. Sandy Segal, Atlantic Coast President has one of the most successful track
     records in the resort development industry.

     Sandy S. Segall joined his father over 30 years ago working for Atlantic Coast Development Corporation while
     earning his General Contractors license as well as a Law Degree from the University of Miami. Sandy S. Segall
     founded Coastline Building Corporation as a low-rise alternative to Atlantic Coast Development Corporation and
     then Atlantic Coast Building and Development Corp. to “take over” the high-rise business as well.

     Atlantic Coast Building and Development Corp. and Coastline Building Corporation have also earned sterling
     reputations while cons tructing quality town homes, v illas, singl e-family hom es, wareho uses, hotels/motels,
     marinas, office buildings, and condominiums throughout South Florida for over 40 years.

     Atlantic Coast Building a is also well versed in all aspects of the development of raw land: site design and
     layout; processing plans with Local, State and Federal governmental regulatory agencies (PUD's, DRI's etc.);
     clearing, digging, blasting and filling land to proper grades; underground utilities such as site drainage (storm
     drainage) as well as water, sewer, electric, telephone, CATV, etc; roads and curbing; sidewalks; street lighting;
     entrance and street landscaping; security concerns and much more.

     Over time Coastline Building Corp. outgrew its low-rise and residential beginnings thus Sandy S. Segall formed
     Atlantic Coast Building and Development Corp. While Coastline Building Corp. continues to build fine homes
     and other low-rise projects, it is Atlantic Coast Building and Development Corp. that builds or manages the
     larger projects such as multi family and high-rise buildings.

     The Atlantic Coast Development Corporation and The Coastline Building Corporation utilize extensive quality
     control checks and balances whether they are building the tallest hi-rise or a single-family home. They are
     proud of their attention to detail and strive to construct nothing but the highest quality in all work performed.
     Sandy S. Segall has formed Tally Engineering as a quality control contractor for road projects as well as high-
     rise inspections on jobs throughout the State of Florida (offices in Tampa, Pembroke Pines and Tallahassee).


     The Atlantic Coast Development Corporation
     E.M. Segall, founder of Atlantic Coast Development Corporation has enjoyed a successful career that has
     spanned over thirty years in the development and construction of commercial and residential projects. From
     single sto ry ho mes to some of South F lorida's tall est hi -rises, Atlantic Coast Development Co rporation as
     General Contractor and South Florida's leading Structural Forming Contractor has consistently shown its quality,
     pride and dedication to the community.

         ·One Turnberry Place Bank Building at Turnberry - 12 stories
         ·Turnberry Island - Four hi-rise towers over 25 stories each
         ·Turnberry Hotel and Convention Center
         ·One Island Place at the Waterways - 28 stories
         ·Oceania - several towers at 28 stories each
         ·Williams Island - over 25 stories
         ·Anchor Bay Club, 18 story condo in Hallandale Beach
         ·Executive 1840, 9 story office building in Hialeah

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         ·Royale Towers, 12 story condo in Hialeah
         ·Andor Plaza, 12 story condo in No Miami Beach
         ·American Savings 2500 Building in Hallandale - 9 stories
         ·Towers of Key Biscayne - unique hi-rise on the ocean
         ·C & S Bank building in Ft. Lauderdale - 28 stories
         ·Atlantis on Brickell in Miami - unique 20+ hi-rise
         ·Marriott at the Omni in Miami - hotel hi-rise
         ·Miami Beach City Hall
         ·Baptist Hospital in Kendall
         ·Saks 5th Avenue in Bal Harbor
         ·Yacht Harbour in Coconut Grove - stunning hi-rise
         ·Key Colony in Key Biscayne - unique hi-rise on the ocean
         ·Cricket Club in North Miami - exclusive hi-rise condo/club
         ·Quayside in North Miami - several hi-rise luxury condos
         ·Tower House in Miami Beach - luxury hi-rise
         ·Regency in Boca Raton - hi-rise
         ·Club Atlantic in Miami Beach - over 25 stories
         ·Le Trianon in Miami Beach - over 20 stories
         ·Miami Airport Hilton - over 10 stories
         ·Olympus in Hallandale - hi-rise
         ·Palm Aire in Pompano - many hi-rise buildings
         ·Terraces of Turnberry - over 20 stories
         ·Humana Hospital Biscayne (now Aventura) in North Miami Beach
         and many, many more throughout South Florida.




         Turnberry Resort, Aventura, FL




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Biscayne Cove, North Miami Beach, FL




Key Colony, Key Biscayne, FL




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                           Biscayne Cove, North Miami Beach, FL

     The Segall Properties
     Segall owns and m anages a diverse co llection of p roperties throughout Sout h F lorida. A few of these
     properties are:


         ·Grand Palms Golf and Country Club Resort
             520+ acre Hotel and Golf Resort with 1,200 home developments

         ·Skylake Executive Industrial Park
             250,000 +/- sf of Executive Offices and Flex Warehouse space fully leased out

         ·Hallandale Beach 2500 Building
              Nine story office building with 125,000 +/- sf of Office and Retail space

         ·Plantation Office Building
              50,000 +/- sf of Office and Retail fully leased out

         ·Hialeah Warehouses
              A collection of over 500,000 +/- sf of warehouse buildings fully leased out

         ·Flamingo Falls Professional Center
             20-acre commercial development in Pembroke Pines




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     7.2 THE BOARD OF DIRECTORS

     Norman Wortman, Executive Vice President of Atlantic Coast Development

     Date/Place of Birth:
       April 26, 1955, Philadelphia, PA
       Single

     Education:
     BA 1975, Florida International University, North Miami, FL
     Masters of Science in Management 1976, School of Public Administration
     Florida International University

     Professional Associations / Licenses:
          Miami-Dade County Expressway Authority (MDX) member 7 years, Vice Chairman 5 years
          Citizens Transportation Advisory Committee, Dade County member 20 years, Chairman 12 years
          Miami-Dade MPO Long Range Plan Committee
          MPO Transportation Improvement Plan Committee
          Airport Planning Committee
          Airport Survival Plan Sub-Committee
          Seaport Planning Committee
          MPO Urban Planning Work Program (UPWP) Committee
          Transportation Enhancements Evaluation Committee
          Municipal Grant Program Evaluation Committee
          National Motorist Federation




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                                 ATLANTIC COAST STRATEGIC PARTNER


                International Development Corp / Nash Inc.
     3494 North Highway 301                                                  Ph: 352-748-1454
     PO Box 98                                                               Fx: 352-748-9555
     Coleman, FL 33521




                                         COMPANY RESUME


     COMPANY HISTORY

     Nash, Inc. is a privately held, family owned construction company, with sales of $300 million annually
     and has been a utility and HVAC contractor for over 30 continuous years throughout the southeastern
     United States and the Caribbean Islands. The company has created a reputation for being a “high-
     quality” and “on-time” contractor while maintaining its competitiveness in a low-bid environment. In
     addition, we have developed in-house expertise in negotiating and design-building certain types of
     projects. The company has in-house engineering, design and drafting of utilities and mechanical
     systems.


     Nash, Inc. was created in 1974 its founder George J. Nash. Over the decades Nash, Inc. has grown to
     a company of over 300 employees and sales in 2006 that exceed $300,000,000. The company
     currently has $40 million backlog including several resorts, hospitals, hotels, and correctional facilities.


     Nash Inc. has been responsible for constructing all facets of the infrastructure for new resort
     communities. Nash Inc. has worked on projects from Aruba to Saudi Arabia, although the most
     notable project would be the “Atlantis “, located in Paradise Island (Bahamas). Nash Inc. has
     successfully completed thousands of construction projects on schedule and with in budgetary
     guidelines.




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     KEY PERSONNEL:

     James C. Nash, President

     James C. Nash (Cliff) has been in the infrastructure and mechanical business since 1974 and holds
     active State of Florida Plumbing, LP Gas and Pollutant Storage Tank Contracting Licenses. Cliff
     currently oversees all day-to-day operations of Nash, Inc., including Public Relations, Design and
     Design/Build Services, bid day proposals, job cost review, and all financial and investment matters.
     Before becoming president, Cliff served as vice president, jobs superintendent and foreman on all
     types of projects, such as hotels, correctional facilities, hospitals, and industrial plants.


     David J. Mears, Vice President Operations

     Dave has been in the contracting business since 1974 and holds a Bachelor of Business degree from
     FAU and an active General Contractor’s License from the State of Florida. He is currently in charge of
     managing all field operations. His duties include handling the submittal process, material requisitions,
     change order requests, pay applications and direct contact with the general contractor’s project
     management staff. He has been with our company since 1994 in this capacity in which he has
     managed projects with contract costs from $200,000 to $30M. His projects have been in the health
     care, education, hotel and corrections fields. Specific projects include: Munroe Regional Medical
     Center, Ocala, Fl., Coleman Federal Prisons, and U of F Physics Building, Federal Courthouse,
     Jacksonville, and Fort Jackson Trainee Barracks, SC, and Ft. Bliss Trainee Barracks, El Paso, TX.


                                          Executive Management Approach

     The construction team’s senior executives personally provide direct on-site management and
     supervision of key programs.


     The executive management if Nash Inc. has established a policy, which is called “Executive
     Involvement” between the owners on all major assignments. A great deal of our success is attributed
     to this policy of having corporate officers maintain a high level of communication with our clients.
     Therefore, the total construction effort for the project will have the overview of a corporate officer
     representing Nash Inc executive management.




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                                                 Project Staffing

     The Project Organization Chart graphically depicts Nash Inc.’s approach to the project team. We fully
     intend to assign the most qualified individuals available from our organization to form this unique
     construction team.



                                               Position Descriptions

     The following represents a description of the responsibilities of those key managers assigned to the
     project.



                                                Corporate Officers

     The corporate officers assigned to the project will actively assist in management and policy decisions
     on all phases of the project. They will provide an executive overview and will maintain a high level of
     communication with the owner. Site visits will be made on a frequent basis to maintain overall
     familiarity with budget, quality, and schedule.



                                         Project Managers and Assistants

     The entire management of the construction effort is under the direction of the project manager. The
     project superintendent, purchasing and support personnel all report directly to him. The corporate
     officers and corporate staff support the project manager. He reports to the owner and is the focal
     point for communication flow.




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                                        Services
     Management                                    Construction

     Project Management                            Construction Administration
     Pre-Investment Studies                        Construction Management
     Financial Programming                         Construction Strategy/Planning
                                                   Procurement and Logistics
                                                   Materials Management
     Pre-Design                                    Project Accounting
                                                   Contract Management
                                                   Contractor Pre-qualification
     Master Planning
                                                   Construction Consulting
     Platting
     Wastewater Planning
     Urban and Land Use Planning
     Environmental Impact Analysis                 Post Construction
     Energy Audits
     Budgeting/ Scheduling                         Energy Management
                                                   Operations and Maintenance
                                                   Claims Assessment/Evaluation
                                                   Contact Operations and Maintenance
     Design                                        Plant Start Up and Operator Training
     Civil Engineering
     Sanitary Engineering
     Structural Engineering
     Mechanical Engineering
     Electrical Engineering
     Transportation Engineering
     Utilities Engineering
     Energy Analysis
     Cost Management
     Value Engineering
     Estimating Scheduling
     Surveying




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                                               Experience

     Island Gem Resorts and Golf Course
     St. Martin, Netherlands Antilles

     Sapphire Bay Resort
     St. Thomas, U. S. Virgin Islands

     St. Croix Hospital
     St. Croix US Virgin Islands

     Golden Rock Shopping Center
     St. Croix, US Virgin Islands

      Industrial Facilities
     Jeddah, Saudi Arabia

     Taif Rehabilitation Hospital
     Taif, Saudi Arabia

     Banking Center
     Tegucigalpa, Honduras

     Pall Industrial Plants (3)
     Fajardo, Puerto Rico

     American Resort Hotel
     Aruba, Netherlands Antilles

     Divi Village Hotel and Time Share
     Aruba, Netherlands Antilles

     Bellomonte Housing
     Puerto Rico

     Bayamon Garden Apartments
     Bayamon, Puerto Rico

     Hato Rey Centro Apartments
     Hato Rey, Puerto Rico

     Westside Terminal International Airport
     Puerto Rico




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                                        Experience (Cont'd)

     Marshalling Area US Navy
     Puerto Rico

     Los Almos Apartments
     Puerto Rico

     Wang Laboratories
     Fajardo, Puerto Rico

     Hotel Akumal Resort
     Akumal, Mexico

     John F. Kennedy Housing
     St. Croix, US Virgin Islands

     Plaza Carolina Shopping Center
     Carolina, Puerto Rico

     Mullet Bay Resort
     St. Martin, Netherlands Antilles

     Sugar Bay Plantation Resort
     St. Thomas, US Virgin Islands

     College of Boca Raton
     Boca Raton, FL

     Lee County Hospital
     Sanford, NC

     Embry Riddle Aeronautical University
     Daytona Beach, FL

     US Federal Prison
     Coleman, FL

     Citrus County Jail
     Lecanto, FL

     Waste Water Plant
     Newberry, FL




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                                        Experience (Cont'd)

     Waste Water, Desalination and Power Plant
     St. Martin, Netherlands Antilles

     Courtyard Marriott
     Ft. Myers, FL

     Marriott World Center
     Orlando, FL

     Orange County Convention Center
     Orlando, FL

     Waste Water Plant and Desalination Plant
     Sapphire Bay, St. Thomas, US Virgin Islands

     New River
     Master Planned Community 1,000+ Acre Mixed Use
     Pasco County, Fl

     Serenova
     Master Planned Community 7,000 Residential Units
     Pasco County, FL

     Cresent Oakes
     Master Planned Community with Golf Course

     Beverly Hills
     Redesign of 2,000 Acre Residential Community
     Citrus County, FL




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                                             BUSINESS ASSOCIATES
     Bank

         Community Bank & Trust of Florida                                          P. O. Box 1570
         Attn: Hugh Daily/Paul Hoffman                                              Ocala, Fl
                                                                                    34478-1570
                                                                                    352-369-1000




     Insurance Agent

         The Nation Group                                                           420 S.E. 8th Street
         Attn: Mike McDonald                                                        Ocala, Fl 34471
         Representing:                                                              352-732-3881
         St. Paul Travelers and Bridgefield Employers                               352-732-9820-fax



     Bonding Agent

         Founders Insurance Group                                                   309 Creekstone
                                                                                    Ridge
         Attn: Bob Potts                                                            Woodstock, GA
                                                                                    30188
         Representing:                                                              770-592-3132
         Western Surety Company                                                     866-745-2547 toll
                                                                                    free
                                                                                    770-592-9190-fax

     Bond Rate: Less than 1%
     (Per job limit: $300 Million
     Total bond limit $800 Million)



     Credit Rating

     Dunn & Bradstreet 3A2
     #096587332




     Stewart Title Dominican Republic

     Stewart is a 111-year-old company, headquartered in Houston, Texas and one of the largest real estate
     information service companies, represented by more than 7,200 offices throughout the United States and
     several international markets. Stewart core services minimize risk and enhance the real estate transaction
     process while protecting both buyers and sellers interests. Services include: Title guarantees, escrow,
     document custody, closing, administrative services for projects and more.




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     8.1 GENERAL ASSUMPTIONS

     Sales Strategy
     Our strategy is to pre-sell real estate products, constructing only what is needed for delivery. Delivery will be
     with 12 months of sale. Additionally, Emerald Beach will sell the hotel lots to hotel partners with agreements
     committing to 12 to 18-month build outs.

     Sales Revenue
     Sales revenue is anticipated to total approximately US$8.9 billion
     Sales assumptions are as follows:

          Sales prices remain constant (non-inflated).
          All sales are considered to be cash, with payment delivered within 30 days of purchase contract.


     Inventory
     Consists of land to be sold and the infrastructure expense to adequate the land. Land inventory reaches zero by
     the last year of the project.

     Building Construction Cost
     Construction costs for distributed over 36 months for any structure or project. A Contingency (5%) was also
     included in total costs and distributed over 36 months.

     Construction and Infrastructure Soft Cost
     This cost includes architectural, engineering and insurance costs, as well as construction change orders. They
     are distributed according to the construction payment s chedule and are estimated at 12% of both building
     construction cost and infrastructure cost.

     Marketing, Sales and Administration Soft Cost
     These costs include sales commissions, promotion, developer fees, marketing and similar expenses and are
     estimated at 17% of sales.

     Taxes
     The Emerald Beach project preliminary was approved March 2002 with a 20-year tax exemption. The project
     currently has the tax exemption (Law 28-01), which is a 20 year, 100% tax exemption.


     Financial performance for Emerald Beach was estimated following the above assumptions. The following covers
     the entire con struction period, outline s the sa les expected from d ifferent prod uct o fferings a nd the o verall
     financial performance of the project.




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     8.2 VALUATION OF EMERALD BEACH ASSESTS

     An independent land appraisal done by BHD bank for the main parcels of Emerald Beach totaled
     approximately US$182 million. This appraisal did not include the airport parcel or the other land
     options.

     An internal valuation of Emerald Beach assets resulted in an estimated US$428 million. This valuation
     includes the land appraisal, the airport parcel, land options, the permits, vision concept, master plan
     and business plan.




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     8.3 FUNDING AND LAUNCH DESCRIPTION

     Emerald Beach plans on having a three step funding strategy that will support the launch of the project to
     success. The launch of Emerald Beach is tentatively planed for June 23 , which will include the Partners’ Plan,
                                                                               rd




     Founders’ Plan along with the golf course.

     Emerald Beach three-step Funding Strategy is described below:




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     STEP 1 – SEED CAPITAL

     Atlantic Coast Development has provide the seed capital required to lock up the property in question as well as
     fund the operations of Emerald Beach during the initial funding process (i.e., Step 2).



     STEP 2 – PRIVATE EQUITY/DEBT PLACEMENT

     Emerald Beach Developers is looking to develop a relationship with an investment bank or merchant bank that
     has experience i n private placements a nd b ond issues fo r project development i n Latin Ameri ca an d th e
     Caribbean. Emerald Beach Developers wishes to create an investment vehicle that can accommodate both
     institutional and individual high net-worth investors (i.e., preferred customers and associates of the developer).
     This can take the form of 35 separate real-estate convertible preferred share packages for $2,000,000. Each
     package would carry 1% of Emerald Beach shares which will be convertible, in one year, into $4,000,000 in real
     estate which will be set-aside for this purpose. If the shareholder prefers not the convert shares into real estate,
     the shareholder will receive dividends throughout the life of the project and the earmarked real-estate will be
     returned to Emerald Beach real estate inventory. Priority can be given to institutional investors wishing to take
     multiple packages and ensure that their property options are contiguous.

     The real-estate option is described below:

              Product P                                                                        rice
              Beach Estate Lot (4,800 sq.m. / 50,000 sq. ft) on the                        $2,280,000
              beach Navigator Harbor Town home Club                                        $1,360,000
              Membership for life Docking                                                    $ 50,000
                                                                                            $ 100,000

              Total $3                                                                         ,790,000

     If the Partner prefers to remain an Emerald Beach shareholder, estimated dividends would be in the range of
     $15,000,000-$30,000,000 over 7-10 years (1% of profits on fully developed project).

     This security will be marketed privately to institutions as well as select Emerald Beach Developers preferred
     customers and associates.




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     STEP 3 – FOUNDERS’ PLAN PRE-SALE PROGRAM
     Shortly after initiating Step 2, Emerald Beach will launch a Founder’s Plan pre-sale program. Unique to the
     Dominican Republic, escrowed funds can be used by the Developer according to the terms negotiated with
     buyers. There are no federal regulations dictating uses of proceeds on pre-sold real estate product.

     The Founder’s Plan will be marketed publicly to a targeted high-end market that have bought or shown interest
     in Domi nican Re public real estate.    In a ddition to E merald B each Deve lopers market knowledge a nd
     relationships, a database is kept of high net-worth individuals that have made real estate investments in the
     Dominican Republic.



                                            EMERALD BEACH FOUNDERS
                                            PLAN 2007

     Q
     t        Name/Descriptio                                                             Retail
                                            Founder’s Plan Price
     y        n                                                                           Price*

     1        Beach Package                 $1,750,000 $1,350,000 $ 975,000               $3,790,000
     5        Beach Estate Lot                                                            $2,280,000
              Navigator HTH                                                               $1,360,000
     2        Club Membership                                                             $ 50,000
     0        Docking Ocean                                                               $ 100,000
              Package Ocean                                                               $2,330,000
     2        View Lot Pirate                                                             $ 960,000
     0        HTH Club                                                                    $1,240,000
              Membership                                                                  $ 50,000
              Docking Cove                                                                $ 80,000
              Package Golf                                                                $1,736,000
              Estate Lot                                                                  $ 550,000
              Admiral HTH                                                                 $1,076,000
              Club Membership                                                             $ 50,000
              Docking                                                                     $ 60,000



              Total $                        72,750,000



                             Financial performance information available upon request.
                          Please contact Charles@IntlBussDeals.com for more information.




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              Thank you for your consideration




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