On front cover: Have your own property in the world’s most exclusive holiday spot and vacation in your own chalet with comprehensive 4* services, or acquire incredible income by renting out your property
Goal of the project:
The goal of the Eden project is to purchase the Eden Beach Hotel at present in operation on Motu Piti Aau atoll on Bora Bora and to develop it into an exclusive private holiday park.
Owner of the project (building contractor, operator):
The company has available the personnel needed for both building and operation, all the members of which are highly qualified experts with outstanding experience in their own fields.
The company was basically set up for the transaction of oil trading activities, and at present the greatest percentage of its revenues consist of the profits from this activity. Besides this, it deals with the development of software for economic analysis and process testing, as well as troubleshooting algorithms, and also property investments – including the construction of thematic residential parks.
The head office of the company is in the United Arab Emirates, in the Fujairah Tower office block in the Ajman free trade zone set up in the emirate of Fujairah.
Presenting Eden Beach Hotel:
The grounds of Eden Beach Hotel Bora Bora are surrounded by the turquoise waters of Motu Piti Aau. The hotel has two beaches (each more than 120m long), one of which provides a 180 degree panorama over the lagoon and Mount Otemanu, the other being a coral strand, from where the sun can be seen rising above the boundless Pacific Ocean.
A bar and open-air, fresh-water pool also help make your stay more pleasant.
The existing 16 bungalows at Eden Beach are each equipped with comfortable furniture, ceiling fans, a bathroom, a terrace and a sun-porch.
The bar and restaurant offer international and local dishes under the starry sky. Individual dietary requirements are also catered for. Cocktails and other cold drinks may be consumed in the bar. Wireless internet access is free of charge. In addition, a library and a multilingual staff are provided.
Eden Beach is a non-smoking establishment.
Whale watching, hiking, kayaking and waterskiing offer pleasant recreation on the spot, or visitors can relax under coconut palms on the private white-sand beach.
Part of the additional existing infrastructure is constituted by the restaurant, kitchen, fresh-water pool, bar, main building with offices, staff premises, laundry and technical background, source of fresh water, 100m pier, sewage treatment station; solar energy system.
The main target for the development of Eden Beach is to expand the number of existing chalets (bungalows) from 16 to 123. As well as increasing the number of services available on the spot, on Eden Beach grounds, with the construction of a central “services” building, in which the SPA as well as community services would be located. A further goal of the development is to transform the hotel function into a private holiday park, in which the owners may rent out the properties they have purchased (Ltd.), or even keep them for their own use. The area of a basic property is 25m2. If required, there is also an opportunity for earmarking more than two personal properties and/or those of a larger ground area. The precise parameters of these will be specified when contracts are signed.
Proposed deadline for completion of the development and conveyance of the properties:
15 December 2016
Sectioning of the Eden Beach development area by zone:
Number of holiday bungalows per zone; price/item (basic 25m2 chalet); m2 price
When the development is completed and the properties have been conveyed, the property rights are distributed in the following way:
Holiday chalet owner: the property rights of the property owner extend exclusively to the bungalow s/he has purchased (apart from the parcel), its fixtures, as well as the infrastructure comprising an integral part of the bungalow.
Ltd.: plot and all other realty, goods and chattels to which the holiday chalet owners’ rights do not extend.
Purchase for main use (use by owner):
If the purchase is made for the purpose of main use, then in that case the holiday chalet owner must pay an annual upkeep fee, which includes the following:
common charges (proportional financing of costs related to operation of the holiday park)
The upkeep fee must be paid in advance, all at once, or in quarterly instalments.
The amount is determined in proportion to area.
Purchase for the purpose of investment:
The peculiarity of purchase for the purpose of investment is that the holiday chalet owner rents out the property belonging to him/her through the operator, thus acquiring profit.
Letting is carried out exclusively through the operator. If the holiday chalet owner looks for a tenant by his/her own arrangement, in this case too, the tenancy on the lease of the property will subsist between the tenant and the operator. All the conditions of the rental are decided by the operator. At the time of letting, all relevant terms will be stipulated in the contract concluded between the holiday chalet owner and the operator. When letting, the owner of the property is only entitled to a share in profits originating from the income from the lease. In this type of exploitation, the property owner is not obliged to pay a separate upkeep fee, because the upkeep fee with discount will be deducted from the owner’s share in profits.
Taking into account market conditions, the operator will exploit the properties involved in the letting for a daily fee determined in his own authority, within the scope of carrying out hotel service activities.
The proposed basic daily fee in the case of a basic property (25m2) on average (high season and off-peak):
500-1500€ (depending on location)
For a term of one year counting 240 days of occupation, the total income per property is 120k – 360k euro. The letting and running costs will be deducted from this (as detailed in contract). The remaining sum constitutes the profit, of which 50% comprises the owner’s share. The running fee is deducted from this.
Proposed figures for annual letting of basic property type (zone 3):
Property purchase price: 75 000€
Annual upkeep fee: 25m2 x 25€ x 12months = 7500€
Income: 500€ daily fee x 240 days of occupation = 120 000€
Letting and running costs: Approx. 50% of income = 60 000€
Total profit arising: 60 000€
Property owner’s share in profits: 30 000€
The property owner’s net share in profits (with deduction of upkeep fee): 22 500€
It follows from the above, that in the case of a property purchased for 75 000 euros, the expected annual share in profits is 22 500 euros, which is 30% of the sum invested in the purchase. It turns out from this that the investment will pay for itself in 3 years.
In this case, settlement between the operator and the holiday chalet owner is made time-proportionally, in accordance with the options for means of exploitation. When making settlement, a proportional upkeep fee is deducted from the share of profits resulting from letting which is due the owner. For the owner, therefore, main use does not involve any extra cost, so long as the profit due to him/her is sufficient to cover the upkeep fee originating from main use. The operator must be notified of any requirement for main use 1 month in advance, so that the property can be withdrawn from letting use in good time.
inspection of offer
signature of contract
payment of first instalment of basic purchase price
March 2015: inspection of plans and payment of second instalment of basic purchase price
December 2016: sale and purchase, taking possession, signature of operator’s contract, payment of third instalment of purchase price
The basic price applies to the unified basic property type, irrespective of which zone the purchase involves. The basic price thus determined provides a uniform basis for payments when the contract is signed. The basic property type: 25 m2 2-person holiday chalet with luxury facilities. Taking this into account, 50% of this basic price must be paid, as a first instalment, when the contract is concluded.
The second instalment (25%) is due when the plans are presented, the buyer is then informed where the property s/he has chosen is located within the given zone, and precisely what it looks like on the plans. If there is a discrepancy between the actual basic property area and the area of the property requested, then the difference must be paid for proportionally.
The third instalment (25%) must be paid on completion of the development and on sale-purchase of the properties (combined with transference of ownership).
Contact: If our offer has aroused your interest, please get in touch with our company using the contact details below.