A JOINT-OWNERSHIP HOLIDAY PROPERTY OPPORTUNITY IN THE ALGARVE

A JOINT-OWNERSHIP HOLIDAY PROPERTY OPPORTUNITY IN THE ALGARVE Colina Verde Golf Resort www.golden-key-holiday-resorts.com Tel: +351 308 813 004

KEY FEATURES Joint freehold ownership of a holiday home in Colina Verde Sports Resort, Algarve, Portugal. Phase two (2) now being released for 42,125 (T1 bedroom) per share. Each owner buys in 1/8 freehold shares in a one bed (sleep four) Colina Verde stunning holiday apartment overlooking the 9 hole golf course and pool, with no limit to the number of shares a buyer (personal or corporate) can buy. Ten year property ownership opportunity taking advantage of current cyclical low property values and guarantees a fixed exit strategy. The option to exchange some or all through a Worldwide Exchange Company and to visit any of over 4,000 resorts in over 100 countries worldwide. No hidden or extra costs as this is an exclusive freehold product with a one-off purchase price, including all management, legal, and land registration fees covering a ten year period, with all moneys held and managed through a Trust Company. Prepaid holidays for 60 weeks over ten years that could have a net cost of zero after the property is sold. World-wide flexibility in holiday locations through the exchange option not just in the location of your freehold property. Rental opportunity. A mandated exit after 10 years where the property is sold by Golden Key Holiday Resorts Portugal and the asset realised, with all of the realised sales price being paid back to the owners, less a 10% administration fee for Golden Key Holiday Resorts Portugal. The possibility of getting back more than the cost by benefiting from the cycle of property values returning to pre-recession prices. Ideal for eight friends, golfers, or family members to get together and purchase one unit between them. 2

GOLDEN KEY HOLIDAY RESORTS PORTUGAL SALES BRIEFING DOCUMENT 3

1 THE FREEHOLD PRODUCT 1.0 The Golden Key product has been created and developed to cater for the holiday needs of people who want to purchase and own outright their own Portuguese holiday home without having the responsibility of having to manage and maintain the property on a 52 week basis and devoid of a long term commitment. 1.1 Each unit at Colina Verde will be owned unencumbered by any bank loans or mortgages and will entitle each owner to their allotted number of weeks use per year. 1.2 Owners can use their holiday home, or exchange all or some of their weeks with a Worldwide Holiday Exchange Company, as all of the properties within the Golden Key program will have exchange trading power allocated, subject to seasonality and size of unit. 1.3 As explained later in this document the holiday exchange trading power often permits two weeks to be taken for one week of Golden Key deposited. 1.4 Golden Key Holiday Resorts is also a unique holiday property opportunity, as the holiday owner is pre-purchasing their holidays for the next 10 years set at today s prices, with no extra costs incurred during the ownership period by the purchaser (as outlined in addendum 1). 1.5 At the end of the ten year period, the individual holiday homes will be sold and net proceeds from the sale of each home will be shared equally between the owners, less a 10% commission fee, payable to the management company, Golden Key Holiday Resorts Portugal. 1.6 To ensure this sale can be readily realised, each owner will also sign a future sale contract dated ten years from date of occupation, at the same time purchase contracts are signed. Contracts will be held by RCEH Trust Company Ltd. 13 Parnell Street Ennis, County Clare, Ireland. 1.7 During the purchase process, all of the funds will be placed in a client account with RCEH Trust Company Ltd, Ennis, Co Clare, Ireland until 4

such time as eight owners have been secured for each unit. Once this target of eight shares per unit is achieved, then the funds will be paid over to the seller and full title issued to the owners in a Notarised Deed of Sale. 1.8 Occupancy and ownership of the unit will commence on the 1 st day of January 2019. 1.9 If, for any unforeseen circumstances, the target of eight shares is not met by the 1 st of January 2019 then all funds will be returned by the Trust to each purchaser, along with any interest accrued. Q. What am I missing as I can probably buy this property for say 150,000. So if I multiply your asking price for a 1/8 share it comes out a lot higher that what I can buy the whole unit from a estate agent. A. Smart question and delighted you asked it. You need to examine table 2 which shows you exactly how your money is being spent as you must remember, you will have no further costs for the ten years of your ownership. 2 OPTIONS AVAILABLE 2.0 The first of the Golden Key products is now being launched in the Algarve, and within a short period of time, will be expanded throughout a select number of European holiday destinations. Allowing each individual participant to choose the type and location of unit that most closely suits their own family holiday needs. 2.1 As the owners have the complete property, and their full usage and rights, they by this agree to nominate Golden Key as the management company to, in their name, manage the usage and all remaining subjects related to the property and agree on the terms of this management s contract has per Table 1 terms. 5

2.2 Table 1/Graphic 1, below lists out the availability allotted to each owner by season and these weeks can be rented, gifted to anyone, used by them or exchanged through World Exchange Company. Table 1 / Graphic 1 Usage weeks Weeks number owner 1 5 13 21 22 37 45 Weeks number owner 2 6 14 23 24 38 46 Weeks number owner 3 7 15 25 26 39 47 Weeks number owner 4 8 16 27 28 40 48 Weeks number owner 5 9 17 29 30 41 49 Weeks number owner 6 10 18 31 32 42 50 Weeks number owner 7 11 19 33 34 43 51 Weeks number owner 8 12 20 35 36 44 52 6

The usage weeks shown are the week number starting in any given calendar year. Therefore using owner 1 as an example. Their allocated weeks by Golden key are 5, 13, 21, 22, 37 and 45. However all owners can internally exchange with each other and swap their weeks around. Q. Why should anybody in this current financial climate consider purchasing a holiday home when they may only use it for a limited period each year. and pay the cost of keeping it maintained on an 52 week basis? A. Golden Key offers the opportunity to buy just what you need and to exit from the programme after a fixed period of 10 years. 3 TYPICAL EXAMPLE OF THE HOLIDAY PROPERTY OPPORTUNITY 3.0 For a one bedroom holiday home in the Algarve at a one off purchase cost of 42,125 (Phase 2 release), the participant will get a minimum of sixty holiday weeks for their family, over a 10 year period, costing only 702 per week. Remember however that you sell your home at the end of 10 years and realise part or all of your purchase amount. Your holiday is now both a holiday and a saving scheme. Furthermore this cost is set at today s prices throughout the entire term, with no further costs to be paid throughout this ten year period (please refer to addendum 1 for detailed information). 3.1 It is a unique and critical part of this proposition that there are no ongoing annual fees associated with a Golden Key purchase so participants are genuinely buying 10 years holidays in advance with the possibility of recovering some or all their funds and possibly even making a profit on the exercise. (We must of course say that the value of property can go down as well as up)! 7

3.2 The holiday home buyer has now purchased a one-eighth freehold title in a holiday home at one of Golden Key s Properties pre-selected locations, and has six weeks guaranteed holidays each year for the next 10 years. That s 60 weeks of family holidays in the bank. 3.3 The Worldwide Exchange Programme is what makes this one of the most remarkable property holiday opportunities as the power of exchange in the pre-selected locations, has the ability of multiplying the owners six weeks for holiday weeks worldwide, depending on where the participant visits, and how they maximise the trading power of the Golden Key resorts. 3.4. If for any reason the owner in any year does not want to use or exchange their weeks at Colina Verde, then Golden Key Holiday Resorts Portugal will, once instructed, look to rent out any of your unused weeks and pay you the full rental amount received for these weeks, less a 12.5% management fee. (Note: retention tax in Portugal may apply). 4 MANAGEMENT STRUCTURE 4.1 The Management Company will be appointed by RCEH Trust Company Ltd who will be responsible for overseeing the overall supervisory management of the Resort in Portugal. This management company will be an associated company to the existing East Clare Golf Management Company Ltd and Renaissance Resorts Management Company who have been successfully managing resorts in Ireland since 2004. Since 2008, they are the sole management company in Ireland for Diamond Resorts International, a global holiday ownership company, based in the USA. 4.2 In order for the management company to ensure the successful continuing operation of the units over the ten year period, the amount of 10,000 per annum (from the aggregate T1 unit purchase price) will be set aside and placed into Trust with RCEH Trust Company Limited. An Irish owned and operated trust company. 8

www.rcehtrust.com RCEH Trust is based in Ennis, Co. Clare, Ireland, and originally incorporated to facilitate the development of the holiday ownership concept across Ireland. 4.3 The role of RCEH Trust Company Limited will be to release, on the first of January, each year an amount of 10,000 per T1 property to the management company and to ensure on a yearly basis that the appointed management company is maintaining and managing the property in accordance with their contractual agreement, including the payments of the annual insurance premiums on each property, all IMI property taxes, legal fees, and the running costs of your home. (Table 2 fully sets out what is covered). 4.4 In the event of the management company not performing to its contractual obligations, the Trust Company will have the power to change the management company. 4.5 Please refer to section 6, clarification on all of the costs listed in table 2, item 4. Adding value to this programme 4.6 As stated, after ten years your property will be placed on the market by RCEH Trust Company Ltd to a leading Real Estate agent and the net proceeds from the sale, less 10% broker s fee, will be divided up equally between each owner of that particular property. 4.7 If the markets recover further from the worldwide recession of 2008 and return to pre-recession values within the ten year ownership period, not only will the holiday owner have had years of free holidays in some of the world s top destinations, but could possibly show a positive return on their holiday acquisition. 9

4.8 The following graphic shows the changes in the average cost of Portuguese properties, and shows economist predicted projections in future property values over the next ten years restricted to growth of 5%. Updated 23/05/2018 Source: www.tradingeconomics.com Central Statistics Office 2016. Therefore, potentially, each owner could have enjoyed ten years of holidays for a fraction of what the holiday would have cost over the ten year period. 5 PURCHASING THE PROPERTY 5.0 After you have decided to proceed with your freehold purchase of a one bed unit at Colina Verde, being well aware that purchasing an overseas property can be extremely difficult, Golden Key in conjunction with RCEH Trust Company Ltd, have looked to make this process as easy and safe as possible by creating the following four steps, (A) Step one. Signing of the purchase agreement by the person or persons whose name will be listed on the Deed title documents, in the presence of the Estate Agent. (B) Step two. Electronic Bank Transfer of your booking deposit of 5,000.00 (Phase 2 release) to RCEH Trust Company, 13 Parnell Street, Ennis, County Clare, Ireland. 10

Bank Transfer details: AIB Bank, 106 O Connell Street, Limerick, Ireland IBAN IE71AIBK93524765721060 As per item 1.7 and 1.9 this deposit is fully refundable (along with any interest accrued) if and only the full ownership quota is not achieved. However if the purchaser does not proceed with the deal, then this deposit is non-refundable. (C) Step three. The Estate Agent will then make an appointment for you to visit the official appointed Notary who will get you to sign all of the relevant purchase documents, including a specific Power of Attorney to our Portuguese lawyer who will then complete the freehold purchase of your unit on your behalf, and represent you in all the legal matters regarding your Golden Key property. For this meeting the documents you will require are: (i) (ii) (iii) Signed purchase agreement. Your Passport. Proof of deposit transfer paid to RCEH Trust Company Ltd. (D) Step four. Immediately upon notification by Golden Key Holiday Resorts Portugal that the remaining joint - purchasers of your unit have been identified with their deposits paid, you will be required, within fourteen (14) days of the notification, to pay over the balance of the full purchase price of 37,125.00 (Phase 2 release) for your one bed unit, again by a bank transfer to RCEH Trust Company Ltd. 13 Parnell Street, Ennis, County Clare, Ireland. Bank Transfer details. AIB Bank, 106 O Connell Street, Limerick, Ireland IBAN IE71AIBK93524765721060 (E) When the full purchase is completed you will receive by courier (to the postal address you nominated in the purchase contract) the final and official copy of the Deed, as well as copies of other official documents in relation to the freehold ownership of your unit. 11

5.1 At this point, if you are not in any way satisfied with the Golden Key legal representative, we strongly recommend that you seek the services of an independent lawyer and your Real Estate Agent will be happy to make recommendations. The services of choosing your own legal advisor will be to your cost. 5.2 At all times, RCEH Trust Company Ltd will hold all funds and will only release them once they have been completely satisfied that the purchase of the unit has been completed to their satisfaction and all legal requirements have been carried out in full legal compliance under Portuguese law. 5.3 At the time of signing the purchase contract, you will also have to sign an irrevocable future sales contract dated ten years in advance. This contract will be held by RCEH Trust Company Ltd and on the appointed year, they will engage and instruct a competent real estate agent in Portugal to sell the property. On completion of the sale of the unit, all funds will be transferred to the Trust Company who will divide equally to each of the 1/8 owners the sale proceeds, less a 10% management fee. 5.4 When the unit is offered up for sale after the ten year period has expired, one or more of the owners can, if they so wish look to purchase the unit themselves. To facilitate this arrangement, RCEH Trust Company Ltd will obtain an independent valuation from a wellrecognised estate agent who will establish the sales price. 5.5 Ownership of your unit will commence on the 1 st of January 2019 until the 31 st of December 2028. 6 BREAKDOWN OF THE 1/8 SHARE OF THE PURCHASE PRICE 6.0 For a One Bed unit (T1) at Colina Verde Resort. The cost of purchasing has been set at 42,125 (Phase 2 release) per 1/8 freehold share and table 2 below lists out all of the expenditure associated with this one off purchase price covering the full purchase cost, all legal fees, and the operational costs for the ten year period. 12

Table 2 Item 1 Purchase of unit from developer Remarks Direct cost of purchasing the unit and control of the existing management company that controls all of the onsite infrastructure and land. 2 Real Estate Agency fee 1/8 per share payable by each purchaser. Paid directly by the Trust Company 3 Lawyer fees Includes Golden Key and purchaser s legal fees. IMT Tax and land registry fees. 4 Management fees for 10 years The amount of 100,000 placed into RCEH Trust and 1/10 released to the Management Company every year 5 RCEH Trust Company fees 1,000 payable per year to manage the Trust 6 Golden Key fees One off payment to Golden Key 7 Local property Tax IMI property Tax for ten years. Held in Trust and paid out annually 8 Worldwide Exchange Company membership fees 9 License fee to Golden Key Worldwide Covering three (3) years full membership per owner and will be paid directly to Worldwide Exchange Company by RCEH Trust Company Ltd IP Creator of the overall program and licensed under agreement to them. Payable by the Trust Company. 10 EDP utility charges All electrical costs associated with the unit 11 AmbiOlhao utility charges All water charges associated with the unit 12 Housekeeping Covering a weekly turnover of the unit 13 Insurance Full insurance cover on the unit 14 Normal wear and tear Covering replacement of any item within the unit under 'normal wear and tear. 15 Resort grounds maintenance All costs associated with the upkeep of the grounds and the golf course. 16 Exterior maintenance Maintenance on the exterior of the building 17 Driveways Upkeep and maintenance of all access roads and pathways within the Resort 18 Signage Exterior signage replacement and up-keep 6.1 Clarification on all of the costs listed in Table 2 Item 1.The purchase price shown has been set at today s value and is in keeping with similar one bedroom properties within this locality. However it must also be taken into consideration, that by purchasing a 13

unit at this particular Resort, the owner is also getting a golf title in the Resort s 9 Hole Golf Course and use of all of the Resort s facilities. Item 2. Refers to the fee charged by the Real Estate agency, being an agreed fee. Item 3. Lawyers fees. These relate to all of the legal & notary fees required for the overall Deed of sale to take place. However if the purchaser decides to engage their own legal advisor, the purchaser will carry these costs. Also included in the fees are all legal costs covering the ten year period and a brief overview of these are as follows: o Initial purchase legal fees o IMT Tax on the transaction payable to the Government of Portugal o IMI Municipal tax o Notary fees o Land registration fees o Ongoing legal fees for the remaining 10 years (cost per year) Item 4. Maintenance fees. To ensure the next ten years management/maintenance fees have been catered for, and also to make certain that there will be funds available to cover any/all eventualities, the fee of 10,000 per T1 unit per year has been set after careful evaluation of the Resorts operating costs for the past five (5) years. However the yearly maintenance fee will be carefully monitored by the RCEH Trust Company Ltd every year and if after the ten year ownership period there is a surplus, 50% of this will be divided up and shared out equally to all of the owners. Item 5. RCEH Trust Company Ltd fees. The Trust company will be overseeing this transaction for a ten year period and this fee relates to a fee of 1,000 per unit per year. 14

Item 6. This is a one off fee to Golden Key Holiday Resorts Portugal and it equates out to a 1,000 per year per unit which will go towards maintaining and operating their Portuguese office representation. Item 7. IMI Municipal property tax. Paid by RCEH Trust Company to the Portuguese Government (Usually billed three times a year). Item 8. Worldwide Exchange Company membership fee. This will be paid directly to the Worldwide Exchange Company by the Trust company on behalf of all of the owners and will cover the owner s first three years membership. After that time it will be at the discretion of each owner to renew. Item 9. IP Licence fee. The Intellectual Property rights (IP) of the Golden Key program are owned by Golden Key Worldwide and this licence fee has been agreed by Golden Key Holiday Resorts Portugal for the full operational rights to run & market this program. Item 10. EDP Utility charges. Covering all of the electrical usage associated with your unit for the ten year period. Item 11. AmbiOlhao Utility charges. As above covering all water charges Item 12. Housekeeping. Tabulated into the ten year costs are all of the housekeeping charges required to maintain your unit. Included in these costs is a weekly turnover of your unit including replacement of towel and sheets. If for any reason further housekeeping is required, this can be arranged through the local management company. Item 13 Insurance. Insurance cover for the entire property, including fire, complementary risks, public liability and civil responsibility. Item 14. Under normal Wear and Tear the management company is responsible for the replacement of all items within the unit (Listed on the day of purchase) and have failed as a result of normal usage. However if items have to be replaced as a result of vandalism or acts of misfortune, then the replacement cost will be carried by the persons occupying the units at that time. Item 15. Grounds maintenance. Maintaining all of the grounds including the golf course. 15

Item 16. External upkeep. Covering all upkeep required externally in keeping the units to a respectable standard. Item 17. Driveways. Covering the upkeep of all of the internal roads and pathways throughout the property. Item 18. Signage. Upkeep, repair and if required replacement of all roadway signage associated with the Resort. 6.2. While the creators of this program have endeavoured to calculate all of the anticipated fees over the ten year ownership period, Golden Key Holiday Resorts Portugal cannot be held accountable for any unforeseen levies that the Portuguese Government may place on property throughout this time period, which could result in this cost being carried by the owners of the unit equally. 7.0 FOR A THREE BED UNIT (T3) AT COLINA VERDE RESORT The cost of purchasing has been set at 65,125 (Phase 2 release) per 1/8 freehold share, and Table 3 below lists out all of the expenditure associated with this one off purchase price. Table 3 Item 1 Purchase of unit from developer Remarks Direct cost of purchasing the unit and control of the existing management company that controls all of the onsite infrastructure and land. 2 Real Estate Agency fee 1/8 per share payable by each purchaser. Paid directly by the Trust Company 3 Lawyer fees Includes Golden Key and purchaser s legal fees. IMT Tax and land registry fees. 4 Management fees for 10 years The amount of 150,000 placed into RCEH Trust and 1/10 released to the Management Company every year 5 RCEH Trust Company fees 1,000 payable per year to manage the Trust 6 Golden Key fees One off payment to Golden Key 7 Local property Tax IMI property Tax for ten years. Held in Trust and paid out annually 8 Worldwide Exchange Company membership fees Covering three (3) years full membership per owner and will be paid directly to Worldwide Exchange Company by RCEH Trust Company Ltd 16

9 License fee to Golden Key Worldwide IP Creator of the overall program and licensed under agreement to them. Payable by the Trust Company. 10 EDP utility charges All electrical costs associated with the unit 11 AmbiOlhao utility charges All water charges associated with the unit 12 Housekeeping Covering a weekly turnover of the unit 13 Insurance Full insurance cover on the unit 14 Normal wear and tear Covering replacement of any item within the unit under 'normal wear and tear. 15 Resort grounds maintenance All costs associated with the upkeep of the grounds and the golf course. 16 Exterior maintenance Maintenance on the exterior of the building 17 Driveways Upkeep and maintenance of all access roads and pathways within the compound 18 Signage Exterior signage replacement and up-keep Covering all items as listed in item 6.1. The purchasers final question: What s the catch, this is too good to be true? This programme has taken over five years from conception to birth and has been created in the current global financial climate. Therefore..the straightforward answer to that question is There is no catch. That s what makes this arrangement quite distinctive. We didn t create the global property collapse in 2007/8 but we are taking advantage of it now buying as property prices regain their 2007/8 values over a decade later. 17

F.A.Q. Is the property registered in my name? Yes - The freehold property that you purchase in any of the Golden Key Resorts will be registered in the joint names of the eight purchasers. Why is it being sold after the 10 year period? Part of the contractual agreement is that the property will be sold. This guarantees you, the owner, a return on your holiday home asset. You will receive an equal share of the full sale price, less 10% commission charged by Golden Key Holiday Resorts and any legal fees incurred. Can I raise a loan against my share of the property? No. This is what makes this programme financially safe as it would not be reasonable on the other co-owners if any part of the property was encumbered in any form, or mortgaged to a bank. If you seek to raise funding to buy a Golden Key we suggest that you consider a loan against other property. Can I sell my share of the property before the ten years maturity? Of course, you can sell your share. However, why would you consider doing this when you would lose out on the possible return from the sale of your asset at the end of the ten year ownership period, as well as your free holiday weeks? 18

Addendum 1 DETAIL OF COSTS INCLUDED Your holiday purchase includes the following costs: Freehold Title to your property share IMT transfer tax on Deed of sale Notary fees on Deed of sale 10 years holidays at Colina Verde adding up to 60 holiday weeks Worldwide exchange 3 year membership (Year four onwards will be at the cost of the owner) Golden Key legal fees The Purchasers legal fees (if they use Golden Key appointed lawyers) IMI Local property tax for the ten year duration. Your holiday purchase excludes the following which you will pay for at location: All travel to and from location All food and beverage at location Local statutory charges relating to tourism Fees applied by Worldwide Exchange Company for exchange activity (optional) Lawyers Fees should you contract your own lawyer 19