1.Question:  Where is Big Creek Village located?
Answer:  Big Creek Village is located on Isla Colon, at Big Creek Beach (Las Laureles), about 5 minutes outside of Bocas town by road or boat.

2.Question:  What is Big Creek Village?
Answer:  Big Creek Village is a condo-hotel residential resort community consisting of 5 luxury condo buildings with 1 and 2 bedroom condos on the 1st, 2nd,, and 3rd floors, with 1 bedroom lofts and 4 bedroom penthouses on the 4th floor.  All condos have generous outside terraces with beach, ocean, marina and pool views.

3.Question:  What are the facilities & amenities?
Answer:  Big Creek Village includes a tennis court, large infinity swimming pool with wet bar, laundry center, spa/gym, professional rental management, back-up power generator, high tech water filtration system with reserve tanks for each building, high speed elevator in each building, rental management facilities and maid services.

4.Question:  What are the condo buildings constructed of?
Answer:  The buildings are all steel & concrete cement structures with very durable, quality finishing.

5.Question:  Who are the developers?
Answer:   The Phillips Group LLC (www.phillipsgroupusa.com ) is the developer, based out of Manhattan Beach, California, USA.  The Phillips Group is currently developing several projects in the US, Costa Rica, Panama City, and Bocas del Toro.  Roger Phillips is the President & CEO of the company, with over 30 years of residential, commercial and industrial real estate development experience.  Victor Grotlisch-Executive Vice President-Project Development-Managing Partner with over 25 years of experience in engineering large commercial, residential, and industrial real estate projects all over the world.  Andrew Ludwig is the V.P. of Marketing & Acquisitions, with over 15 years of experience in successful sales & marketing of multiple residential & commercial real estate projects throughout the USA, Panama and Costa Rica.  Panama Living Inc., a Panamanian development company headed by architect George Moreno III & attorney Jon Hanna, has partnered with Phillips Group to develop the Big Creek Village project.

6.Question:  When will construction begin?
Answer:   Currently, permitting is complete with ANAM (Environmental Authority), MIVI (Ministry of Housing), IPAT (Institute of Tourism), and provisional Municipal permits have been issued.  Copies of all legal documents & permits pertaining to the project can be provided upon request.  The Phillips Group plans to begin construction as soon as 60% of the units are pre-sold, which is expected to be near June or July of 2007.  It will take approximately 18 to 24 months to complete the construction of the buildings, so we expect that buyers will be able to occupy their units by the middle to end of 2009.

7.Question:  Will prices go up as the construction nears completion?
Answer:  The Big Creek Village condos will be sold in phases, beginning with the pre-construction phase, and prices will go up as each phase of construction is completed, so it is to buyers’ advantage to reserve their condos as early as possible.

8.Question:  Are the condos titled?
Answer:  Yes. All condo units are titled, with public deeds registered in the public registry of Panama.  Condos can be registered in your personal name, joint name (for example, your name and your wife’s name together), or in the name of a corporation, private interest foundation or trust.

9.Question:  What are the property tax exonerations?
Answer:   The new property tax laws establish that properties within the $100,000 to $250,000 price range qualify for 10 year property tax exoneration.

10.Question:  After the 10 year tax exoneration is expired, what will the annual property taxes be?
Answer:   The current property tax law establishes that annual property taxes are approx. 1% of the registered value (the registered value is the value that was registered at the public registry on the public deed at the time of the purchase) of the property.

11.Question:  How much do I need to put down to purchase a unit?
Answer:  We are currently taking "reservation" deposits of $5000 on condominium units, from interested buyers who must sign a "Reservation Agreement". The reservation deposit essentially "reserves" the particular unit you wish to buy.  The reservation deposit is paid to the escrow company (Panama Title & Escrow Inc.) and is fully refundable within 30 days.  Once the construction begins, then the Promise to Purchase contract will be signed, and a 10% deposit (less the reservation deposit) is required to be paid by the buyer.  The second 10% deposit is to be paid by the buyer within 120 days (4 months) after signing the Promise to Purchase Agreement.  The third 10% deposit is to (be paid by the buyer within 240 days (8 months) after signing the Promise to Purchase Agreement.  The final balance is paid by the buyer when the building is completed, inspected, and the occupation permits are presented to the buyer.  Bank financing will be available to qualified buyers, through local banks that will approve the project for financing end buyers.

12.Question:  What will the closing costs be and what do they include?
Answer:   The closing costs will be approximately US$1500 which includes the legal fees (promise to purchase contract, purchase contract, title transfer, etc.).  The legal firm handling the closing will be Panama Offshore Legal Services (www.panama-offshore-services.com ), who have offices in both Panama City and Bocas del Toro.  The escrow company will be Panama Title & Escrow Inc. in Panama City. (www.panamatitle.com ). For asset protection reasons, many investors to put their condo in the name of a Panama Corporation or Foundation, however, the cost of the setup of the corporation or foundation is additional and not included in the estimated closing fees.

13.Question:  What will the rental management company charge to rent my unit in the rental management pool?
Answer:  Big Creek Village will be an up-scale "Condo-Hotel" whereby each condominium unit is individually owned through a registered property title and a professional, reputable international hotel management company will oversee the management and administration of the rentals.  Condominium owners can rent their condos when they are not using them, earning them a residual income.  The developers, Phillips Group LLC (California, USA) are currently in negotiations with several hotel management groups.  The final outcome of the Management Company selected, rental terms and conditions, will be disclosed prior to finalizing the construction of the buildings.

14.Question:  What will the condos rent for and under what terms?
Answer:   The condos at Big Creek Village will be primarily short term rentals ranging from 1 week up to 1 year.  Rental rates will vary depending on the term and season.

15.Question:  What are the monthly maintenance fees, what do they include, and when do I have to pay them?
Answer:  Monthly maintenance fees will be established by the condominium association, however, initially, the developer will establish the monthly maintenance fee rate at US$100 for 1 bedroom condos, $150 for 2 bedroom condos & 1 bedroom condo lofts, and $300 for 4 bedroom penthouse condos.  Maintenance services will include 24 hour security with entrance guard gate, high end landscaping throughout the project,  maintenance of all communal areas (swimming pool, tennis court, road, elevators, power plant, water filtration system, sewage treatment plant, etc.), and hard waste disposal.  Maintenance fees should be paid 12 months in advance at the beginning of each year.

16.Question:  Are furnishing or appliances included with the purchase of a condo?
Answer:   Furnishings are Not included but Appliances are included.  Please note that all buyers who wish to include their units in the rental management pool must purchase a furnishing package so that their unit is uniformly furnished and decorated for rental and hotel management purposes.

17.Question:  Will financing be available?  If so, what will the rates & requirements be?
Answer:  Yes.  We are working with several banks to offer attractive financing options. Financing rates and terms will vary depending on international lending rates as well as the buyers particular circumstances in terms of residency status (Panamanian citizens qualify for lower rates).  Banks in Panama will loan up to 70% of the purchase value. Documentation requirements will vary with each bank, however, the general requirements are the following;  Photocopy of entire passport (all pages), one additional valid photo ID (such as drivers license), 2 original bank reference letters, 2 original commercial or professional reference letters, utility bill (showing your personal name and physical address), photocopies of last 2 years tax returns or financial statements, letter explaining your income source(s), and personal resume (curriculum vitae). 

18.Question:  Can I include the furnishing package in the financing (mortgage) with the bank?
Answer:  Possibly.  That depends on what bank you select for financing and whether or not they will finance the furnishing package.

19.Question:  Can I qualify for a Panamanian resident visa by purchasing a condo at Big Creek Village?
Answer:  Possibly.  The self-economic solvency visa law (visa de solvencia economica propia) establishes that investors can qualify for a permanent resident visa if they; (a) invest US$200,000 in a titled property in Panama, (b) invest US$200,000 in a 2 year time deposit or CD with a Panamanian bank, or (c) invest a combination of US$120,000 in a time deposit and US$80,000 in a titled property.  Please note that to qualify for this type of resident visa, the property and/or CD account must be in your personal name.  Also, the property must not be financed by a local Panamanian bank.  Therefore, if you purchase a unit that is priced at US$200,000 or more, and you buy without local Panamanian bank financing, then you can qualify for a resident visa.  There are also other types of visas that you may qualify for such as the Pensionado Visa, which requires that you prove that you have a pension income of at least US$500 per month (add US$100 per additional dependant).

20.Question:   Where are the parking spaces located, and are they included in the price?
Answer:   The parking garages are located on the ground floor of each building and they are enclosed, so they are not noticeable from outside.  Each condo unit includes 1 parking space. There will also be some additional storage rooms available for rent or purchase.

21.Question:  Are the marina slips included with a condo purchase?
Answer:  No.  The boat marina is currently designed to include a restaurant, small marine supply & tackle shop, and 60 covered boat slips for smaller sized boats up to 30 feet in length.  Big Creek Village condo owners will receive special preferential discounts for marina boat slips.  Please note that the developer, Phillips Group USA LLC, is currently in the process of re-designing the marina to enlarge it to accommodate larger boats.  Final pricing & details will be provided in the near future and is planned as Phase II Development.

22.Question:  Are the tennis courts free to use for residents?
Answer:  Yes.  However, you will need to schedule use of the tennis courts as we plan to have a tennis pro on staff managing the tennis court, and offering tennis rentals and lessons during certain hours.

23.Question:  Will there be a taxi service to Bocas town?
Answer:  Yes.  We plan on having an hourly shuttle to town via either road or water taxi for a small fee.  Residents and guests will also be offered golf cart and moped rentals (or sales) for personal transportation during their visits.

24.Question:  Will the marina restaurant offer room service to the condos and pool area?
Answer:  Yes, but this facility is being considered as part of Phase II Development.

25.Question:  What will the finishing of my condo include?
Answer:  All condos will include high-end finishing; double-paned windows, granite countertops, stainless steel US quality faucets, imported Italian tile flooring, high tech energy efficient central air conditioning, high quality ceiling fans and light fixtures, crown molding, large bath tubs, spa-type shower fixtures, sliding glass terrace doors, imported US toilets and sinks.

26.Question:  What appliances will be included with my condo?
Answer:  All condos will include high quality US washer/dryer, refrigerator, dishwasher, gas stove with overhead vent fan, microwave and garbage disposal installed in the kitchen sink.

27.Question:  What type of back-up power generator is being used and what is its’ capacity?
Answer:  Each building will have its own back-up generator powered by propane only to be used as emergency assistance lighting for walkways, communications, wastewater and water systems.

28.Question:  What type of water filtration system is being used and what is the capacity of the reserve water tanks in each building?
Answer:  Project will have an on-site well, as a back-up supply for the city provided water supply and both sources will be treated with a purification system.  Manufacturer is not known at this time.

29.Question:  What type of sewage treatment system is being used and how friendly is it to the environment?
Answer:  Project will have an on-site STEP waste water treatment system.  Aerobic Treatment process will be utilized with all effluent being processed to code levels so as to be utilized for landscaping uses.

30.Question:  Is title insurance provided or available?
Answer:  The Big Creek Village project land site has a title insurance policy issued by Land America Lawyers Title Insurance Company, which is one of the largest title insurance companies in the world.  Title insurance for your individual condo unit is also available for an additional cost of approximately 1% of the value of your purchase.
 

31.Question:  Will the cleaning staff working for the condo management offer cleaning & laundry service to the residents?
Answer:  Yes, residents will be offered special rates for cleaning & laundry services.