From Concept to Completion and Beyond..

Own the Best Address on Earth at a Fraction of the Price

SEEFF FRACTIONAL OWNERSHIP

Who we are

Concept

Feasibility

Marketing Strategies

Completion

Our in-house structure

Beyond

General

WHO WE ARE

Started a “Syndications” company called Joint

Ownership in 2003 .

Converted to a Seeff license in September 2005 –

Seeff Fractional

Ownership.

The power of our brand.

Over 500 shares have been sold during this time &

R265m in

property.

100% growth rate year on year & 40% decline in FY

‘09.

Leaders in the industry.

Largest advertisers in South Africa.

Largest basket of product on offer.

Founder member of SAAFI, the Fractional regulatory

body.

Have now joined VOASA.

CONCEPT

SA regions where fractional sales are predominant:

Exclusive Golf Estates – Why… they offer freedom for children, the spa’s for the ladies, the golf for the family & the tranquillity for everyone

Other leisure developments including bush lodges are going the same route

KZN is currently in highest demand and also now apartments

Cape Town and surrounds and Apartment blocks

Project has to conform to our model

All factors have to be accounted for

True value needs to be considered to maximize R.O.I.

Development/product has to be VOASA registered

COSTING CONSIDERATION - FEASIBILITY

Feasibility - Zimbali VillaAPPROPRIATION SCHEDULE

1.                  FINANCES

1.1             Project Costs

            Rand

Erf           R 2,000,000.00

Golf Debenture         R 50,000.00

ZEMA Fractional Application Fee     R 50,000.00

Transfer Duty         R 0.00 sqm cost per sqm

Building costs         R 3,000,000.00 400 R 7,500.00

Interior (furnishings, appliances, etc.)     R 500,000.00

Architect         R 90,000.00

NHBRC, Engineers & Services Connections   R 50,000.00

Auditors           R 70,000.00

Golf Cart           R 60,000.00

Incentives           0.00

Referrals           0.00

Seeff Licensee's Commissions     R 0.00

Levies - Paid by Seeff Before Occupation   R 26,000.00 R2600x10

Total Costs: R 5,896,000.00

Cost per Square Meter R 14,738.50

1.1             Contribution

Price per 1/13th contributor R 536,000.00

(Total costs divided by 11 shareholders. Seeff earns 2 paid-up

shares and contributes 2/13th’s in all levies and additions)

Once we have established the demand in a particular resort/destination we generally purchase a Villa/Lodge/apartment or land and develop. We also now focus on JV’s in order to save on risk, due to banks not lending.

Design….and there are various factors taken into account.

Manage Architects. Function with investors in order to finalise plans and

interiors. Develop. Handle project management. Interior designing. Engineers & Landscaping. Financing.

CONCEPT - continue

MARKETING STRATEGIES

Investor evenings Electronic mailers Exhibitions Magazines

Newsletters Business Day inserts TV, Radio Google

Completion

Register a Pty then on - sell to 13 investors.

Develop the property and fully furnish interior.

Sell largely off plan

Arrange finance ourselves. To date we have financed over R50m and

sold property to the value of R265,000.

Once property is habitable, we convert the Pty to a Share – Block

company.

We collect all payments & once all done & suppliers paid, we hand the

Villa over to its investors.

OUR IN-HOUSE STRUCTURE

Prospective investors call into our “hub” in Randburg and Cape Town.

Our sales managers send all the relevant info to client and cc’s a sales exec.

We currently have 13 sales execs in JHB, 10 in C/Town & 1 in Durban. We also employ a back-office team who controls the total hospitality aspect as well as the maintenance & management of the Villa’s.

Sales execs follow up with potential purchaser, arrange for presentation and then makes the sale.

Investor is then included into database for continuous updates and info.

Once sold, contract is sent to auditors and the process starts.

Investor then has the full enjoyment by owning the most beautiful holiday home of their dreams.

Shares are transferred, SARS exemption certificates, etc.

BEYOND

Vital to protect the investment for its investors, hence we manage and

maintain the property.

Why? Should we do this well and diligently, we have the chance of

being the obvious choice upon re-sales.

We do the handover once villa completed

Manage the levies into the future

We facilitate all letting, exchanges, re-sales and swaps

Facilitate the AGM’s and submit the audited financials

GENERAL

The market needs to be assured of capital growth

Feasibility to be executed with utmost care, otherwise the business

case will fail

Re-sales is what it’s all about

Roster system does not suit many investors - Inter exchange

programs

End-user finance

LET’S ASSIST EACH OTHER IN CREATING A PHENOMENAL INDUSTRY

Thank You!

THE END