<br />
<font face="Arial, sans-serif"><font size="2"><strong>The Dominican Republic</strong></font></font>
<p><font face="Arial, sans-serif"><font size="2">The Land Registry Law of 1947 and its amendments govern real estate transactions in the Dominican Republic. Property ownership is proved by a &lsquo;Title Certificate&rsquo;, which is issued by the corresponding Title Registry. The required steps to convey or transfer ownership of real estate from a Seller to a Buyer are the following:</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">1. Purchase and Sale Agreement</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">Buyer and Seller must sign a &lsquo;Purchase and Sale Agreement&rsquo; before a Public Notary who will authenticate the signature of the parties involved in the transaction. (Notaries in the Dominican Republic are required to have a law degree). The Purchase and Sale Agreement has to contain the legal description of the property, the agreed sale price, payment and other conditions and stipulations of sale.</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">2. Payment of Tax</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">In practice and by custom, the Buyer has the duty to pay at the corresponding Internal Revenue Office the appropriate taxes to convey or transfer ownership of real estate. The Seller must provide, if applicable, payment of the Impuesto sobre las Viviendas Suntuarias y los Solares Urbanos no Edificados (IVSS).</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">3. Deposit of Documents</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">After payment of tax, the Seller has to deposit at the corresponding Title Registry, the following documents:</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">A. Original of the Purchase and Sale Agreement</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">B. Title Certificate of the property (Duplicado del Dueno)</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">C. Original document evidencing tax payment</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">D. Copy of Buyer&rsquo;s and Seller&rsquo;s Identification card (Cedula de Identidad y Electoral or passport)</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">E. If applicable, any document authorizing the Title Registry to cancel any mortgage affecting the property.</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">4. Issuance of the Title Certificate</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">The Title Registry will review that all requirements and documents are fulfilled and completed to proceed with the recording of the new sale. The Title Registry will cancel the submitted Title Certificate and issues a new Title Certificate in favour of the Buyer. The time from the filing of the documents to issue the new Title Certificate may vary from time to time, depending on the amount work that the Title Registry has at that moment, usually it takes one month. Once issued the Title Certificate, Buyer may with its personal ID retire the Title Certificate in its favour or may grant to an attorney a power authorising its attorney to retire the Title Certificate.</font></font></p>
<p><font face="Arial, sans-serif"><font size="2"><u><strong>Due Diligence</strong></u></font></font></p>
<p><font face="Arial, sans-serif"><font size="2">The process below is carried out by Exotic Property Sales prior to accepting any development for sale. </font></font> </p>
<p><font face="Arial, sans-serif"><font size="2">Before purchasing a property, it is recommended that the Buyer be assisted by a title company to do the corresponding due diligence and title research. To initiate the due diligence the title company must be provided with the following documents:</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">1. Copy of the Title Certificate of the property</font></font></p>
<ol start="2">
    <li>
    <p style="margin-bottom: 0cm;"><font face="Arial, sans-serif"><font size="2">Copy 	of the survey plan of property, issued by Direccion General de 	Mensuras Catastrales. </font></font> 	</p>
    </li>
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Copy of Seller&rsquo;s 	identification card (Cedula de Identidad y Electoral or </font></font> 	</p>
    </li>
</ol>
<p><font face="Arial, sans-serif"><font size="2">Passport. </font></font> </p>
<ol start="4">
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Copy of the tax 	receipt evidencing the last payment of IVSS or original 	certification from the Internal Revenue Office, declaring that the 	property in exempted from the payment of IVSS. </font></font> 	</p>
    </li>
</ol>
<p><font face="Arial, sans-serif"><font size="2">If the Seller is a legal entity:</font></font></p>
<ol>
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Copy of the 	corporate documents, including Bylaws, Shareholders and/or </font></font> 	</p>
    </li>
</ol>
<p><font face="Arial, sans-serif"><font size="2">Board of Directors Resolution authorising the sale of the property and granting power to sign the documents on behalf of the company.</font></font></p>
<ol start="2">
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Satisfactory 	evidence that the company is in good standing with applicable </font></font> 	</p>
    </li>
</ol>
<p><font face="Arial, sans-serif"><font size="2">Governmental authorities and complies with existing laws, is duly recorded with applicable governmental authorities and/or registries.</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">If the subject property is a condo:</font></font></p>
<ol>
    <li>
    <p style="margin-bottom: 0cm;"><font face="Arial, sans-serif"><font size="2">Copy 	of the condominium declaration </font></font> 	</p>
    </li>
    <li>
    <p style="margin-bottom: 0cm;"><font face="Arial, sans-serif"><font size="2">Copy 	of the condominium regulations </font></font> 	</p>
    </li>
    <li>
    <p style="margin-bottom: 0cm;"><font face="Arial, sans-serif"><font size="2">Copy 	of the survey plan of the property, issued by Direccion General de 	Mensuras Catastrales </font></font> 	</p>
    </li>
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Evidence that all 	maintenance fees or assessments of any kind are paid. </font></font> 	</p>
    </li>
</ol>
<p><font face="Arial, sans-serif"><font size="2"><u><strong>Tax Payment</strong></u></font></font></p>
<p><font face="Arial, sans-serif"><font size="2">The total tax payment for the conveyance of the property is 3% of the property value established by the Internal Revenue Office. Also, all contribution in kind of a property to a company is subject to pay a 3% based on the contribution value.</font></font></p>
<p><br />
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</p>
<p><font face="Arial, sans-serif"><font size="2"><u><strong>Purchase of Real Estate by Foreigners</strong></u></font></font></p>
<p><font face="Arial, sans-serif"><font size="2">There are no restrictions on foreigners purchasing a property in the Dominican Republic. Formerly, Decree 2543 of March 22 1945 and its amendments required that foreigners obtain Presidential approval before buying a property. Decree 21-98 of January 8 1998 abolished this regulation and established as the only requirement that the Title Registry keeps records, of all purchases made by foreigners.</font></font></p>
<p><font face="Arial, sans-serif"><font size="2">Currently, there is no legislation in a language that sets forth the procedures for which a foreign company may purchase a property in the Dominican Republic. In practice, however, foreign companies must satisfy, in addition to the requirements established, the requirements set for a national company to be able to acquire real estate. In addition the following documents are also required:</font></font></p>
<ol>
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Incorporation 	documents duly legalised by the Consulate of the Dominican Republic 	at the country where the company was originally incorporated and 	translated into Spanish (by a legal interpreter). </font></font> 	</p>
    </li>
</ol>
<ol start="2">
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Minutes of the 	Shareholders Resolution appointing the current Board of Directors. </font></font> 	</p>
    </li>
</ol>
<ol start="3">
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Minutes of the 	Shareholders or Board of Directors Resolution of the Company, 	granting power to the company&rsquo;s representative to acquire the 	property. </font></font> 	</p>
    </li>
</ol>
<ol start="4">
    <li>
    <p><font face="Arial, sans-serif"><font size="2">Tax 	identification number of the company granted by the Internal Revenue 	Office. </font></font> 	</p>
    </li>
</ol>