Copyright
©2006 Florida Preconstruction Programs

       The following is a summary of some of the terms of a voluntary leaseback program for the purchasers of the Vista Club Hotel Condominium units. No purchaser has any obligation to enter into the leaseback program.

UNIT OWNER:  THE “UNIT OWNER” IS THE PURCHASER, AS THE OWNER OF THE UNIT.

COMPANY:  THE “COMPANY” IS BUENA VISTA HOSPITALIY GROUP, INC., THE MANAGER OF THE VISTA CLUB.

TERM:  THE TERM BEGINS ON THE CLOSING OF THE PURCHASE OF THE CONDO/HOTEL UNIT AND EXPIRES DECEMBER 31, 2009.  THERE ARE NO RENEWAL OPTIONS.

LEASE RATE:  THE LEASE PAYMENTS ARE BASED ON AN ANNUAL RATE OF 6.75% (SIMPLE INTEREST) OF THE AMOUNT OF THE “PURCHASE PRICE” OF THE UNIT AS DEFINED IN THE PURCHASE AGREEMENT.  THE LEASE PAYMENTS WILL BE PAID TO THE UNIT OWNER IN EQUAL MONTHLY INSTALLMENTS.  PAYMENT OF RENT MAY BE SUBJECT TO “FORCE MAJEURE” CONDITIONS AS DESCRIBED IN THE LEASE.

NET LEASE:  THE LEASE PAYMENTS ARE NET OF MANY OF THE UNIT OWNER PAYMENTS. IN OTHER WORDS, DURING THE TERM.  THE “COMPANY” UNDER THE LEASE IS RESPONSIBLE FOR PAYING EXPENSES SUCH AS:  HOTEL OPERATING EXPENSES, PROPERTY TAXES, CONDOMINIMUM ASSOCIATION OPERATING EXPENSES, INCLUDING INSURANCE COSTS HOWEVER INCURRED.  THE UNIT OWNER WILL BE RESPONSIBLE FOR THE PAYMENT OF FLORIDA STATE SALES TAX (WHICH WILL BE DEDUCTED FROM THE LEASE PAYMENTS BY THE COMPANY AND PAID TO THE STATE) AND ANY MORTGAGE PAYMENTS FOR WHICH THE UNIT OWNER IS OBLIGATED UNDER ANY UNIT PURCHASE FINANCING ARANGEMENTS MADE BY THE UNIT OWNER.  A DEFAULT BY COMPANY UNDER THE LEASE WILL NOT EXCUSE UNIT OWNER FROM ITS OBLIGATIONS TO THIRD PARTIES OR TO THE CONDOMINIUM ASSOCIATION

 RIGHT TO USE UNIT:  THE UNIT OWNER WILL HAVE THE RIGHT TO OCCUPY ITS UNIT FOR UP TO 14 NIGHTS (SUBJECT TO BLACKOUT PERIODS AND SUBJECT TO AVAILABILITY) FOR EACH 12 MONTH PERIOD OF THE LEASE. THE BLACKOUT PERIODS SHALL BE ESTABLISHED BY THE COMPANY AND INITIALLY WILL BE THE PERIOD BETWEEN CHRISTMAS EVE DAY AND JANUARY 2ND, AND THE PERIOD BETWEEN JANUARY 15TH AND MAY 1ST. THE UNIT OWNER WILL NOT BE CHARGED FOR THE USE OF ITS UNIT, BUT THE UNIT OWNER WILL BE OBLIGATED TO PAY FOR A DAILY MAID SERVICE CHARGE FOR THE PERIOD OF OWNER’S OCCUPANCY. THE DAILY MAID SERVICE CHARGE WILL COVER THE COST OF ROUTINE SERVICING OF THE UNIT.  ALTHOUGH SUBJECT TO CHANGE BY THE COMPANY, THE MAID SERVICE CHARGE IS EXPECTED TO RANGE BETWEEN $25 AND $45 PER DAY FOR THE FIRST YEAR.  THE UNIT OWNER WILL BE OBLIGATED TO PAY FOR THE PURCHASE OF GOODS AND SERVICES PURCHASED FROM THE VISTA CLUB’S OUTLETS, ROOM SERVICE, GIFT SHOPS, ETC.  SUBJECT TO AVAILABILITY, UNIT OWNERS WILL BE ALLOWED TO RESERVE THEIR UNIT UP TO SIX MONTHS IN ADVANCE.

 ENTIRE LEASE:  THIS SUMMARY IS FOR CONVENIENCE ONLY AND DOES NOT MODIFY THE LEASE NOR DOES IT EXPLAIN ALL OF THE TERMS AND CONDITIONS.  THE COMPLETE LEASE DOCUMENT IS ATTACHED.  THE UNIT OWNER SHOULD READ THE LEASE AS WELL AS THE PROSPECTUS, CONDOMINIUM DECLARATION AND CONDOMINIUM ASSOCIATION BY-LAWS IN THEIR ENTIRETY.