The Company – developer and project operator – is currently seeking for an investor for financing the development of an elite property project – the residential complex «Symphony» - of closed type designed to enable high comfort of living, with subsequent sale of apartments in the complex to physical persons and legal entities. The total built-up area of the entire complex will be 66864 sq.m., the scope of financing required for the project execution including down payments for financing the investment cost is estimated to Eur 26 mln. under the most probable sale programme.

The project is located in Bulgaria, the resort city Varna, in the “green” area of Galata. Such location conjoins all amenities of urban life, comfort of a resort and greenness of wildlife. The territory of the complex "Symphony" is basically situated in the forested area, which assures the owners of apartments fresh air and a rare fine view.

The residential complex has a potential to draw a fair number of customers due to the fact that the real estate market in Bulgaria is one of the fastest emerging property markets in Europe, and Varna – the most rapidly developing Black Sea resort with absolutely unoccupied niche in elite housing.

The potential of premium property market in Varna is quite high due to deficiency of offering in this sector, again the demand is continuously increasing because of expanding popularity of this region among investors and due to growing prosperity of local population. The project administration is carried out by a team of managers, who are experienced enough in development projects.

The main target group of the project are private persons, who will acquire property for personal use. Interest in buying residential property is also possible on the part of institutional investors, who are attracted by high rate of returns of the property market in this region. Advertising the apartments will mainly be carried out in Russia, England and Bulgaria, and sales will be effected in the course of construction through the Company sales office, located in Varna, Bulgaria.

Practically all the necessary approvals for the construction project have been obtained, all documentation has been developed, and the land plot has been bought into acquisition. The project launch is planned for the beginning of the year 2011. The expected construction period – 2,5 years.

The complex will be comprised of 8 buildings with a varying number of storeys and total number of apartments 278 (all apartments have a sea view) and numerous infrastructural assets (including a restaurant, fitness studio, convenience store, underground parking).

On the territory of the complex there also will be an outdoor swimming pool, children’s playground and other amenities corresponding to the claimed De Luxe class.

After the project commissioning a management company will be set up. The basic function of the management company is technical and sanitary maintenance of the complex and organizing security activity in the area. Yet the management company will also offer the complex inhabitants a wide range of additional services.

Currently the total developer’s funds invested in the project is in the amount of about 5,8 mln. euro or 10,3% of the total investment volume. These investments were appropriated for acquisition of the building land, design and engineering, consulting and permission documentation preparation. On the whole, the investments already effected and expected under the project are allocated as follows:

Suggested deal structure

On entering the project the Investor shall acquire from the Company owner 70% of the shares in this company for 14,0 mln. Euro.
The basic concept of the project financing involves extension of a construction loan for the amount of 26 mln. Euro by the Investor, providing the possibility of financing of future project expenses in order to ensure smooth project execution using also down payments from the sale of apartments to finance the investment cost and repayment of the loan.