INVESTOR REPORT: New Nordic Phuket Water World Hotel and Resort Bang Tao, Phuket.

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1 INVESTOR REPORT: New Nordic Phuket Water World Hotel and Resort Bang Tao, Phuket Prepared by by REMAX Thailand : Copyright 2018 Prepared REMAX Thailand August 2018

2 Project Introduction In a prime position at only 150 meters from a perfect white sand beach, and neighbour to one of Asia s biggest luxury resorts (Outrigger and Laguna Resorts) makes this place one of the most attractive places in Phuket. The first stages of the resort will consist of 5 buildings -- 3 buildings built to a 4-star standard and 2 buildings built to a 3-star standard. A major-brand 4.5 star hotel will share the site expanding the number of restaurants and amenities available. This Project is sold and managed in a unique concept of a Hotel/ Condominium configuration that guarantee the Return of Investment. In 2009 New Nordic Group was formed with a fresh business model focusing on hotel and resort construction, restaurant development and retail. The original Nordic Group started developing condo projects in Thailand from With a global workforce of over 1000 staff (not including contractors), and investment offices in Thailand, Indonesia, Cambodia, Vietnam, The Philippines, Hong Kong, Singapore, Dubai, Los Angeles and Norway, New Nordic Group has grown into a large and very successful business. The New Nordic Phuket Water World is located in Bang Tao, which is one of the few remaining beaches in Phuket still not affected by big developments.

3 Project Overview Property PHUKET WATER WORLD HOTEL RESORT Address Cherng Talay 14, Thalang District, Phuket Location Prime position only 150 meters from a perfect white sand beach, and neighbour to one of Asia s biggest luxury resorts. Site Area The space of the area is equal at 36,800 m2, including Bar, Swimming pool (2,500 m2), 5 Buildings, Restaurants, pool bars, playgrounds, minimart, retail shops

4 Location At only 1 hour away from Bangkok by air, Phuket is the largest island of Thailand. Famous for its crystal clear waters, white sandy beach and its proximity with pristine islands such as Koh Phi Phi, Phuket is one of the top holidays destinations in Asia. Situated in the North of the island, in the West coast, Bang Tao is known for its vast goldensand beaches. 7km away from Patong's madness, Bang Tao is calm and restful, becoming the dreamy location for luxury holidays. Bang Tao has everything any guest would need, shops, local markets, restaurants and bars. From Bang Tao, you can easily explore all the charm of Phuket. The area of Laguna, is considered as the most high-end in Phuket. The resort is situated 150 meters from the beach of Bang Tao, one of the most beautiful beaches of Thailand.

5 Location

6 Room Types In each building there are three types of rooms: Studio 1 bedroom 2 bedrooms All rooms have: Kitchen with fridge and kettle Living room with sitting area, flat screen TV, working table and decorations Bathroom with shower, toilet and sink Units with Bedrooms will have a king size, queen size or twin-size bed according to the size of the bedroom. A night table and a wardrobe will be part of the bedroom.

7 Leasehold Investment GUARANTEED RETURNS: Paid in FULL: Immediate 10% ROI until completion Investment returns do NOT fluctuate by occupancy % % Cashback NET During Construction 9% Rental Return NET 105% Guaranteed Buy-Back at original price 10% Cashback NET During Construction 9% Rental Return NET 110% Guaranteed Buy-Back at original price REMARKS Electric- & Water meter: THB 15,000 Sinking fund: THB per square meter, paid once upon completion Management service fee: THB per square meter monthly Leasehold registration fee THB 15, % Cashback NET During Construction 9% Rental Return NET 120% Guaranteed Buy-Back at original price Security Name-registered leasehold No assignment-penalty Convenience 15 10% Cashback NET During Construction 9% Rental Return NET 130% Guaranteed Buy-Back at original price 3% Inflation adjustment after year 10 Hands-free investment includes: Rental- and operational management Service- and maintenance 20 10% Cashback NET During Construction 9% Rental Return NET 140% Guaranteed Buy-Back at original price 3% Inflation adjustment after year 10

8 Freehold Investment GUARANTEED RETURNS: Paid in FULL: Immediate 10% ROI until completion Investment returns do NOT fluctuate by occupancy % 3 10% Cashback NET During Construction 9% Rental Return NET REMARKS Electric- & Water meter: THB 15,000 Sinking fund: THB per square meter, paid once upon completion 5 10% Cashback NET During Construction 9% Rental Return NET Management service fee: THB per square meter monthly *Registration and transfer fee: Equally shared between buyer & seller 50% Finance is available 10 10% Cashback NET During Construction 9% Rental Return NET Security Name-registered foreign-name freehold title Flexibility 15 10% Cashback NET During Construction 9% Rental Return NET 3% Inflation adjustment after year 10 Contract can be dissolved with 6 months notice No assignment-penalty Convenience Hands-free investment includes: 20 10% Cashback NET During Construction 9% Rental Return NET 3% Inflation adjustment after year 10 Rental- and operational management Service- and maintenance

9 Project Summary Unit cost - Size of unit - From 3.5m Baht From 26m2 100m2 Price SQM - 90, ,000 per m2 average ( Maintenance fee - 75 Baht per sq/m shared between the hotel and the owner - making owners contribution 37.5 baht per m2 per month. Sinking fund - Water/electric meter - Withholding tax Buy back time baht per sq/m 15,000 baht Buy Back price % Yield % - Payment duration: Furniture - 5%-ThaiResident 15%-Foreigner (Paid by developer included in Rental Guarantee) After 3, 5, 10, 15 or 20 years Paid monthly Land office transfer fee 3.15% Shared 50/50 Other fees Tax's 3 years construction (if paid in full) plus 3-20 year rental contract. Fully furnished and full refurbishment after 10 years + contract end. None As above Net ROI NET 10% During Construction cash back period NET Approx. 8.5% during rental guarantee period (after maintenance costs) Number of employees New Nordic Occupancy rate Total number of units Number of units that they keep 1000 Corporate, 700 Construction + Contractors. Average 72% (77.1% Phuket Average by JLL) 4000 units sold and completed to date. Many more under construction. 30% on average. Investment amount Immediate monthly-return THB 3,500, THB 29, THB 5,000, THB 41, THB 7,500, THB 62, THB 10,000, THB 83, THB 12,500, THB 104, THB 15,000, THB 125, THB 20,000, THB 166, THB 25,000, THB 208, THB 30,000, THB 250,000.00

10 Number of condo units 609 Hotel Units Estimated Land size 36,800 m 2 Pool size 2,500 m 2 Total Floors/Stories 7 Styles Studio, 1 or 2-bedroom Expected Completion Q Prices million baht ($110k-500k USD)

11 Visitor Analysis Activities near to the resort (100m-3000m): 18 Hole Golf Course Laguna Resort Facilities Season: High Season: December May Low Season: June November Horse Riding Elephant Sanctuary Park Boat Avenue designer shopping and high-end eateries Canal Village Shopping Centre Mini golf Bar/Restaurant Muay Thai training Scuba Diving Beach Activities Number of Tourists (2017): Thailand: 35,381,210 tourists Phuket: 1,690,890 tourists Top nationalities who visit Thailand: China, 982,212 (Tourist per year) Malaysia, 277,606 (Tourist per year) Sth Korea, 164,001 (Tourist per year) Competitor Hotels in the Bang Tao 3 Star complexes: 30 4 Star complexes: 66

12 Expansion in Bang Tao 2900 Meters from Phuket Water World The upcoming Blue Tree Phuket waterpark and family entertainment complex is making news with an opening expected in early Located in Cherngtalay, near to the Laguna Phuket integrated resort area, the project is reportedly seeing an investment of approximately USD40 million. A key feature of the project is a Crystal Lagoons 17,000 square meter manmade lagoon. Other key components include extensive resort retail and themed family entertainment. Family attractions are on the rise with the next entry is Aquaria. which will be Thailand s largest aquarium at the upcoming Phuket Central luxury mall. Phuket s tourism scene is definitely shifting beyond the beach, as the geographic source of business is seeing a surge in Mainland Chinese and Russian travelers.

13 Expansion in Phuket: Second Airport Announced May 2018 : Airports of Thailand (AoT) approved the plan for a new second Greater Phuket airport with over 15 Airlines operating. This has created quite a stir in the tourism sector in Southeast Asia s leading resort Phuket. Located just over the Sarasin Bridge in Phang Nga s Khok Kloi area, work is reportedly set to start next year and complete by The move is a highly logical one, given last year Phuket International Airport hosted 8.4 million passenger arrivals and

14 Expansion in Phuket: Central Festival Central Pattana PCL (CPN) investing 20 billion baht investment to build a second mega complex opposite Central Festival Phuket shopping mall opening The new additions to Phuket s shopping and lifestyle scene include a Mystic Forest, a walk-through aquarium and a floating market. The Mystic Forest is a futuristic wonderland green zone combining advanced technology with Thai culture and a range of adventurous activities for visitors. Aquaria, a joint venture with Malaysia, is an underwater world and gardens that the developers say will be the largest aquascape in the world. The world-class entertainment zone is to feature an exhibition of aquatic plants, it was revealed at a press conference. The third section, Tales of Thailand, is to be a modern floating market selling products from the different regions of Thailand, and is expected to be a draw card for tourists to experience the Thai way of life.

15 Hotel Competitor Analysis Competitors in the Bang Tao area 3 * complexes: 30 4 * complexes: 66 Average price in low season for 2 people (1 night): 3 * = 1500 THB to 3900 THB (40$ to 120$) 4 * = 1800 THB to 6000 THB (60$ to 180$) (breakfast included) Prices vary depending on hotel facilities and location. In our opinion rates for Phuket Water World will be in the upper half of estimates as it is unique regarding the huge size swimming area and relatively close proximately to the beach which will make it stand-out from the competition.

16 Thailand Tourism Industry International Visitor Arrivals million million million million million million million

17 Phuket Property Market The market is going from less than 400 units sold to more than 1,200 units sold in a year period over the space of 5 years. This graphic shows us that the expansions of the evolution of real estate in Phuket is real and fast. It is an emergent and positive market which allows our project to increase this credibility. Phuket Airport has seen large increases in passenger arrivals for 2017 of 12%, 2018 is currently exceeding this figure.

18 Nearby Project Comparison (550m) Apart 9-10% Guaranteed Return for upto 20 years with up to 140% Guaranteed buy-back. 150m to the beach Swimming pool total area 2500m2 Onsite Shops, restaurants, bars, spa/ massage, tours, guest shuttle service. 4.5 Star branded hotel on-site Price range 90, ,000 THB per m2 7% Guaranteed Return for 5 Years, no buy back 700m to the beach Swimming pool total area 400m2 (Estimated) N/A N/A Price range 104, ,000 THB per m2

19 Social Media Reviews

20 Expat Forum Websites

21 New Nordic CEO Kurt Svendheim Team New Nordic Kurt Svendheim New Nordic CEO and founder (born 1967 in Tønsberg, Norway) is a Norwegian entrepreneur, business man and visionary. Svendheim showed his interest in entrepreneurship at early age, when he started to prepare monthly budgets and financial records for the weekly allowance he received from his parents. At the age of 20, he put his university degree on hold when he got the chance to buy Gullingen Turistsenter - a mountain resort in Suldal, Norway. Svendheim ran the lodge together with his family for a total of eight years, before he continued on into the world of real estate and commerce for some of Norway s biggest real estate firms. In 2008, Kurt Svendheim moved to Thailand and started New Nordic Group. Together with a team of Thai investors and owners, he built up several management and service companies with expertise in all areas of the tourism and holiday sector, from project development companies to travel agencies. Svendheim has today a total of five brands