Investment Proposal for Muttukadu Layout, (Next to MGM Resorts, Chennai)

ECR Investment Proposal Uniqueness of deal….. - Location! Location! Location! ECR, Chennai, IT corridor, with sea view - Proprietary Deal! 10 years+ relationship & experience able to negotiate best prices with - Land owners - Rs.5.3 vs. Rs.7 Cr./acre; lower advance & timelines ext. - Marketing team: Profit share – 30% vs. 50% industry for layouts - Best Marketing Tie-up! Nova proven team with excellent track-record - Business Model! CEO’s Conclave, Profit sharing, Cash-back from 9 month onwards - Experienced real estate team! Krishna’s partner (Mahesh) with 20+ years in layouts, 15+ layouts in Chennai, investor in the ECR deal & deal monitoring - Legal Clear! Nova legal team checked, known land owners, one family property - Quick flip & high returns! Inv.- Rs. 5 Cr.; Returns – Rs.12.73 Cr. (2.4x), 12 months - Very High IRR! 75% to 100%+IRR @ Rs.2500 vs. Rs.3000 sq. ft (going rate) Risk: - Sales Delay over 12 months; Mitigation – Extension by another 6 to 12 months - Transparency in accounting; Mitigation – Finance control by Krishna & finance team Timeline for Investment: Very Short, another buyer is ready to pay advance - Advance by March 04’15: Rs.50 lakhs to land owners - Total Rs. 5 Cr.: By April’15 end

About NOVA, marketing tie-up Started by a young team of professionals with over 70 years of man experience. Team has handled projects of 6 million sq.ft in residential sector. Team has been known for several innovations and has achieved results in key areas. Nova is lead by Mr. E Senthil Kumar who has over 14 years of experience. Started has Sales Representative and has rose to VP Marketing for Rs.5000 Cr. Real estate Co. a well reputed one in Chennai in short span of time. Has handled projects to the tune of 9 million sq.ft. in both layouts and residential. NOVA is the marketing company recently started by Senthil has competency from Land Acquisition to Liaison to Legal to Sales to Construction to CRM and has the complete setup to handle the functions smoothly. Nova track-record in span of 9 months completed one layout project; another one is currently running and two more projects under finalization, including proposed ECR deal. Proprietary Deal for us because of Senthil known to us for last 10 years. In land deals relationship matters more than capital. The issue is timeline to fund the deal by March 04’15

Proposal Details We are pleased to inform you of an investment proposal with group of highly experienced real estate and finance professionals, project led by Krishna. Along with high caliber & proven track-record marketing team tie-up Nova Life Space Pvt. Ltd. Contents of the Document Offer Summary Subject Site Details Micro Market Analysis Project Details Investment & Returns Details

Offer Summary

Offer Summary Site Summary Location Next to MGM Resorts, ECR, Chennai Land Area 5.36 acres Project Type Layout Achievable FSI 14 Grounds Per Acre Saleable Area (Grounds) 74 Investment Required Rs.5 Crores Investment Timeline 12 Months + 3 months = 15 months

Subject Site Details

Investment Opportunity for Layout Development Site Details Investment Opportunity for Layout Development Site Extent 5.36 Acres Access Road Width 33 Feet Road Approval Authority Panchayat Village Muttukadu Village Ideal Use of Site Residential Layout, targeting high-end buyers Positioning: CEO Conclave (IT, Expats, Celebrities) Expected Sale Price Rs.2,500 Per Sq. Ft. vs. Rs.3000 Per Sq. Ft. (Based on recent transactions)

Location Map Proposed Site

Google Image N E To Ambattur Lake

Micro Market Analysis Muttukadu, ECR

Micro Market Map Residential Landmarks Map Showing Key Real Estate Developments in the Micro Market Residential Landmarks Industrial Office

Micro Market Map Map Showing Key Real Estate Developments along ECR Road Upcoming Residential Zones

International Airport Site Connectivity Transport – Roadways Distance (km) Travel Time (mins) MGM to Adyar 15 MGM to OMR 6 5 to 10 MGM to Mahabalipuram 25 International Airport Meenambakkam 33 kms 45-60

Social Infrastructure Facility Location Distance (KM) MGM Next Compound Taj Fisherman cove Kovalam 2 Sheraton Hotel Nemili 5 Mayazaal Kanathur

Demand Three Distinct reasons for the preference of this micro-market residential location are: Sr. Executives who are employed in the OMR IT corridor and GST Industrial corridor located in and around the micro-market will be the ideal target. Proximity to OMR and GST/Oragadam: Both the corridors can be accessed with in 30 mins. ECR Road widening is currently under progress and will establish a fast link between chennai and pondy. Since site is located between Dakshinchitra and MGM, this will be a ideal location for residential and recreation. Since the site is very near to OMR IT corridor there will be a good demand for well developed plots for residential purposes. IT Professionals Population in OMR IT Corridor is around 2 lakhs. There will be another 25,000 Professionals in GST/Oragadam corridor. Strong presence of manufacturing companies and IT/ITeS companies provide a huge potential for residential development. This untapped potential for quality housing in the Micro-market would serve a key demand driver.

Project Details

Site Plan

Financial Assumptions Residentail Layout Development size in Grounds 74 Average Sale Price Rs. Per Sft  2500/- All Inclusive Cost of Development Per Sft. Approval Cost Site Development Cost Marketing Cost Total 25/- 100/- 75/- 200/- Total Sales (184800 Sq. Ft X Rs.2500) 46,20,00,000 Land Cost & Other Expenses(184800 Sq. Ft X Rs.200+ 30cr) 33,00,00,000 PBT 12,80,00,000

Land Acquisition Total Land Area – 5.36 Acres Total Land Cost – 30 Crore Total Investment – 5 Crore Advance for Land – 2.5 Crore Development , Appvl & Marketing Cost – 2.5 Crore Balance Land Payment – To be paid in 12 months from sales proceeds

Market Value Analysis Olive Beach Properties – Rs. 3000 sq.ft Present Guideline value – 7 Crore per acre Our purchase price – 5.3 Cr. per acre Recent Transaction: Muttukadu – 10 Cr. per acre in 2012 Industry predictions – Market is expected to start on upward swing again from June’15 onwards due to economy growth. Transactions have slowly started. Risk: Maximum sales may get delayed by another 6 months, 18 mon. vs. 12 mon. Risk is mitigated by getting extension from land owners for another 12 month Proposed Land: 50%+ (~35) plots targeted to sell on launch date in June/July’15. Recovery of principal investment in 6 months. Nova has extensive marketing connections for buyers in TN, Bangalore, Singapore, Malaysia and Middle East Risk is mitigated by selecting hot location – ECR, value likely to increase with time delay

Investment Details Muttukadu, ECR

Deal metrics…Optimized, higher returns to Investors Through 3 months negotiations. Given below is final.

Property Details & Assumptions Proposed layout will be sold as plot of one ground each (2400 Sq. Ft.)

Property Details & Assumptions Layout will have swimming pool, club house, sea view ideal for Villa constructions

Project Cost and Payment Schedule Deal time available till March 04th’15, another buyer waiting

ECR Investment & Returns Structure Investors return attractive ECR Investment & Returns Structure Investors return attractive! To be about 2.4 times in 12 months

Investors & Expected Returns - About Rs. 2. 5 Cr Investors & Expected Returns - About Rs.2.5 Cr. tied-up, cash back will start in 6-9 month onwards - Small investors do not have access to large land deals, Opportunity! - Since I am leading I wanted everyone to grow with me