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Contact: Georgi Bohrod
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The Villa Group Begins Construction on Villa del Palmar Loreto

Latest Project Encompasses Hotel, Timeshare, Fractional, Whole Ownership Real Estate

(September 14, 2008)—CABO SAN LUCAS, BCS, MEXICO -- Owen Perry, a partner in the highly successful The Villa Group, has announced that ground has been broken for Villa del Palmar Loreto; the new timeshare resort is to be built as part of a spectacular 1800 acre resort development in Loreto, Baja Sur, Mexico. Loreto is located on the east coast of the Baja California Peninsula facing the Sea of Cortez. With practically no rain and a source of pure water coming from underground springs, Loreto is rapidly becoming one of Mexico’s prime vacation and second home destinations. It is surrounded by the Sierra La Giganta, one of Baja’s highest and most breathtaking mountain ranges.

Villa del Palmar Loreto will feature 161 one-, two-, and three-bedroom villas, all with views of the Sea of Cortez. The first phase, which has 100 villas, is slated to open in 2009 and the second phase, with an additional 61 villas, will be completed in 2010. Each villa will be decorated with elegant furniture crafted from specially selected woods and will include a living room, dining room, full kitchen with granite countertops, modern appliances and electronic equipment, and a spacious terrace.

According to Owen Perry, the magnificent development eventually is projected to have 2200 rooms, divided into four properties, with a variety of real estate products covering the spectrum of affordability and lifestyles. Included in the overall make-up are timesharing, fractional ownership, whole ownership, restaurants, recreational opportunities and commercial retail operations. A high-end hotel to be named shortly is also on the books. At least one 18-hole golf course will be integrated into the mixed-used master plan.

Loreto, an hour flight from San Diego and an hour and a half from Los Angeles, is one of five beach resort areas that was slated for development as a tourism destination by Mexico’s national trust for the promotion of tourism (FONATUR) 30 years ago.

The property is situated on the beaches of a maritime park surrounded by mountains. The protected bay of the Sea of Cortez is known for its remarkable crystal blue clarity. The park was created by the Mexican government years ago to protect marine and wild life. The new resort destination will only be accessible by electric golf-style carts to ensure its pristine integrity is maintained.

Guests and owners will have access to a wide selection of amenities, services, and activities onsite or nearby, including various restaurants, bars, convenience stores, full-service health spa, fitness center, swimming pools, expansive beach areas, tennis courts, golf, water sports, and horseback riding.

About The Villa Group

Founded in 1984, The Villa Group is one of Mexico's leading privately owned real estate development companies. Its portfolio features beachfront timeshare resorts located in Puerto Vallarta, Nuevo Vallarta, and Los Cabos, as well as fractional, full-ownership luxury real estate developments, and hotels. Another new resort is planned to open in Cancun in 2010.