Dear All
Following on from another successful visit to the developers’ office last week I am pleased to report the following:-
Because of sensitive nature of some of what I have seen and witnessed there are some details which the developers office does not wish to get into the wrong hands. There are still enemies of the project out there who are still trying to damage our project but we continue to move forward silently, making progress day by day. Please believe me when I say that I have seen what I consider to be substantial enough documented evidence to support that the developer is working very hard to achieve our dream in respect of Punta Perla. I remain convinced that we may all enjoy delivery of our properties next year and the developer insists that we will get them by June of 2011.
The developer acknowledges and accepts that there have been a number of delays and we (the clients) have been let down on construction deadlines as a result. The developer apologises for these delays but assures us all of being very happy with the final product next June.
Investors/Partners
I can confirm that the developer has signed an agreement with a huge international organisation that will secure funding for the building out of the whole project. The partner in question is now finalising the last few snippets of due diligence which are a formality and are expected to be completed by the end of May this year.
A second partner is also looking to invest heavily in the project which is expected to be signed and sealed by the end of April.
Construction - Phases 0, I & II
Full scales construction is expected to be underway by the end of May. The developer still maintains that by deploying either two or three 8-hour shifts and the necessary heavy duty plant that he will hit his deadline of June next year.
Land Valuation & Security
I can confirm having seen legal documentation from the national bank of the Dominican Republic that the parcels of land which make up Punta Perla amount to a valuation of about $1.639 Billion. As the national bank, they have provided what they believe to be a very conservative valuation whereas I was witness to two other valuations made by commercial banks which were $2.4 billion and $2.6 billion.
I would remind you that the land has no borrowings, liens, charges or mortgages of any type at all upon it and is owned outright by the developer. All deposits made by UK, Irish and American buyers amount to less than $70 million which represents just over 4% of the land value; meaning that we (clients) are in an extremely strong situation with regard to the security of our invested cash. The developer owns the land we are contracted with the developer. Some people have suggested that he could sell the land and walk off with our money. That idea is both preposterous and illegal and something which the developer would not and could not get away with. If the land were sold then so would the buyers obligation to build out our properties and project as documented in our contracts.
Mortgages
There are currently at least three commercial banks who are prepared to offer mortgages for properties on Punta Perla., they are:-
1. Banco Popular- 60% LTV (loan to value)- 20 year term - 7.5% interest rate
2. Scotia Bank - 80% LTV - 30 year term - 7% interest rate
3. BHD - 80% LTV - 20 year term - 6% interest rate
Please note that the above mortgages may well be discounted to even lower interest rates because of the high volume of business which this project will bring to them. There are also a number of other financial institutions who are also keen to offer financing.
Law Suits
A number of clients on various internet blog sites have suggested forming an action group to look into pursuing the developer through the courts. I would urge these people to consider their actions for these reasons:-
1. I am not convinced that the developer has broken any laws or is in breach of contract
2. You would be fighting against the force which is trying to make the project which you have invested in progress and succeed.
3. There are individuals and factions who are intent on trying to unsettle investors by posting complete nonsense upon various blog sites. These people will be dealt with in the right and legal way and their lies will be brought to justice.
As I have previously stated I am not a lawyer and the information contained within this communication is just my opinion. I do believe that my experience in having worked so closely with Punta Perla since its conception does make my opinion informed and therefore as good as anyone else’s. People who choose to hide behind a false names on blog sites who do not have the balls to stand behind their own names when proffering their opinion should step aside and stop there mindless peddling of rubbish. On a number of occasions there have been various postings on the Singing Pig among others where people posting have indicated they are investors when they are clearly not. They know who they are and are typically the ones hiding behind false names.
Anyway folks, all that aside, it appears that we are now very close to construction getting underway which will settle the minds of many. As soon as I am able to share anything else with you of any substance I will happily be in touch. Once again, thank you for your patience and I look forward to communicating with you all very soon.
Kindest regards
Mark Andrew
Emerging Earth Ltd
12 Eaton Court Road,
Colmworth Business Park,
Eaton Socon,
Cambs
PE19 8ER
