The rental guarantee will be provided by Tecnicil Hotels and Resorts. This is the company that has been set up by Tecnicil Group to manage the resort and is the company that will take this contract from Tecnicil Imobiliaria.

We aim to have the whole resort started for the second half of 2009.

Basically there is a 10% deduction at source. Any additional tax to be paid that you may have, will be dealt with by your fiscal representative.

It is based on the price that you paid for it

Six months after all requirements for the property to enter the rental scheme have been met.

The unit must be completed, the title deed signed, the utility contracts also signed, the furniture package installed and checked, fire insurance contracted and the unit is handed over to the management company through the signing of the Tourist Management Assignment Contract.

This is a little like the chicken and the egg. These fees are based on costs that are still to be determined and can only be finalised once the resort is up and running. It is important to understand how we will structure this. You will pay only your property's share in the exact costs of certain supplies. To these costs we will add 20% to cover management of the said items. There will be an external body who will audit the financial statements and management to safeguard your interest.

These fees relate to general shared costs, such as resort lighting, gardening and upkeep around the site. It will be the total exact costs of this divided by the total number of owners (Some 1200 owners) in proportion to the property you own. For example, a smaller apartment will have a smaller contribution to pay. This cost will be audited independently so there will be no hidden extras. On top of this there will be a 20% fee to cover managing and organising the people who work on site.

These are expenses relating only to the units within the horizontal property regime. This a legal term that describes THE UNITS OF APARTMENTS AND TOWNHOUSES and the block and common areas they are in. So these costs are costs that relate to the common areas within apartment and townhouse buildings or that belong directly to them. These costs include lift maintenance, hallway lighting and stairwells. Clearly these costs are shared amongst all of the apartment owners.

Not really. They could all be classed as "Community fees". These two clauses are differentiated because this contract is the same model sent to owners of villas, whose cost structure is different. The horizontal property regime refers to apartment blocks and townhouses, not to the villas. So, the condominium expenses refers to common costs (namely, maintenance, security and others services provided costs) that are unique to common areas or common interest of blocks of apartments and townhouses like, for example, lift maintenance. This should not be a big fee and remember that all of these costs are perfectly transparent. All of these fees will be independently audited and presented to you and will be ONLY those costs that have been truly incurred plus the 20% which is the fixed fee that makes up the MANAGEMENT component of these fee. This is SEPARATE to the letting management fees. These fees are the common expenses, general or extraordinary expenses, incurred for the general interest of the Development, by the Management Company (namely with maintenance, repair, cleaning, management, surveillance, and improvement of each of the infrastructures and installations and equipment of common use.

Yes you will.

Once the property is signed up to the rental scheme its use is determined by the resort management team, your use will be dependent upon the terms and conditions of the contract and the availability of the unit.

Basically speaking, for long term resort management and maximum efficiency for bookings, we need to know with 6 months notice if you need a fixed week that is that a particular week is VITAL for you. If not then you can take your 4 weeks, consecutively or not, according to availability. This means if the unit is not available one week you can get it the next, or you can book for certain weeks, but according to availability.

If you give the resort 6 months notice you can have a one week stay in your property with guaranteed dates. For periods of more than one week, your stay will be subject to availability.

Your use will be welcome but the requested dates will be subject to availability.

If you stay for more than 4 weeks without a prior agreement of both parties then you will be in breach of contract.

No. The 5% is the guaranteed income for the year whether you use the property or not, or whether Tecnicil Hotels and Resorts rent it out or not

No you can not. This would be considered breach of the agreement.

Yes, you can designate anyone you want to use the property for free of charge, in the 4 weeks of personal use.

In the same way as in a hotel. Any damage caused deliberately by someone will have to be paid by them. The resort staff will safeguard your property by taking credit card guarantees from all guests for just this possibility. Any accidental damage or problems arising from faulty installation will be covered by insurance and the Vila Verde Premium Package Guarantee.

Yes, your property will be freshly painted and any repairs that might be needed will be carried out by Tecnicil Hotels and Resorts at their expense.

Yes.

We need to finalise the size of the resort to know what it is we can offer to the market. As we approach completion of Phase I we need facts and figures quickly. We do apologise for the sense of pressure but it is inevitable at this stage of the process.