The best performing real estate investment instruments in the United States over the last few years have been Real Estate Investment Trusts or REITs.

These are a good investment for those who want regular income. REITs allow investors to buy into non-residential investments (malls, office buildings, etc.) for the purpose of generating monthly income through rentals and interest on mortgages.

The Hot Tropics Real Estate Investment Fund invests for the purpose of substantially higher yield with a targeted turn-around, or “flip” period of one year, and does not intend to invest for the purpose of generating income stream. This Real Estate Investment Fund has as its investment strategy the simple and very old concept of “buy low, then sell high, in a brief period of time.”

There are many other advantages with investing in the lucrative real estate market in today’s Costa Rica. This is still a developing country and in such an environment, the upside on “buy low, sell high” can be very, very profitable to the smart investor.

Many people naturally hesitate when they consider buying into such a developing country as Costa Rica. Those who do not live here have legitimate concerns about moving to and investing in this small, extraordinary country, with its foreign language and with so much unknown about local laws, customs and procedures.

To alleviate that nervousness, to create a wider “comfort zone”, and to make it easier for larger numbers to take advantage of the very remunerative investment conditions in today’s Costa Rica, we have created the Hot Tropics Real Estate Investment Fund.

A Review of
Hot Tropics Real Estate Investment Fund
Basic Terms and Conditions

1. Shares are available to our clients, at either $50,000 USD per share, for Class A, and $10,000 for Class B shares. There are no limits to the number of shares that one can buy. This is an open ended Real Estate Investment Fund. One can buy shares at any time and these will be held in trust in your name by a reputable, recognized legal firm. There are certain advantages to Class A shares, and these will be stated in company bylaws.

2. Hot Tropics will focus its property searching strategy to locate very exceptional deals. These are to be, by definition, properties with short term resale, or “flip” potential with exceptionally high profit.

3. We will review and evaluate and then advise you of any spectacularly good buy in the pre-construction market for condos, single-family residences, and emerging pre- construction land development deals. This Investment Fund invests for the purpose of very high, short term yields, with a targeted “flip” period of less than two years, and does not invest for the purpose of generating long term income stream.

4. We will send out a detailed information sheet to all shareholders, complete with photos and relevant comparative data as to why we consider that particular property to be an exceptionally great deal.

5. As a shareholder you will have a given period of time to decide whether or not to use your investment shares towards the purchase of that specific property. You can come to Costa Rica to view the property yourself, or you can trust our expertise to act on your behalf to invest your shares, or not, as you wish, towards the purchase of that specific property.

6. Hot Tropics will set realistic expectations about the short-term profits to be made on the resale of these properties and will advise you as to these expected performances and any possible associated risks relevant to these choices. All properties will have a targeted turn-around time of one year.

7. As a shareholder you will always have an option as to how you choose to receive your profits. These can be reinvested in additional shares of the Hot Tropics Investment Fund or we can send your profits to any designated point, whether a bank account here, or anywhere you specify. Remember that there are no capital gain taxes in Costa Rica and that your earnings can also be entered in a bank account in the name of your own personally held and controlled corporation, here in Costa Rica.

Goal and Final Product

The primary goal of the Hot Tropics Real Estate Investment Fund is to reduce the risk of real estate investment in Costa Rica while delivering exceptionally high returns under all market conditions.

Final Product of the Hot Tropics Real Estate Investment Fund: Annual return on investment of 50%, with such returns disbursed regularly and expeditiously to shareholders of the Fund, unless such returns are to be reinvested as requested by the individual shareholder.