A NEW APPROACH TO SAVE THE RAINFOREST

BECOME AN OWNER OF 1000 square meters

and  co-owner of  a 250 acres  of tropical  Rain-Forest

The major burden to preserve and protect the Tropical Rain Forest rests on the shoulders of the individual landowners, often small farmers and individuals for whom the piece of Rain Forest represents a major part of  their capital and preserving it means great personal and economic sacrifice.

The Governments often promise compensations to these individual owners of Rain Forests, but the compensation is usually very small (about US$28.00 per hectare or 2.5 acres) per year in the case of Costa Rica for a maximum of 300 hectares (750 acres). Even if granted by Government Law, the Governments quite often do not have sufficient funds to subsidize all the owners of a Rain Forest.

Laguna del Lagarto Lodge, a small Hotel in the northern zone of Costa Rica has developed the following Pilot Project to make the ownership of Tropical Rain Forests available to anyone who is seriously concerned to preserve and protect this precious resource for mankind.

Laguna del Lagarto Lodge has transferred 100 hectares (2.5 acres = 1 hectare = 10,000 square meters) of its primary Tropical Rain Forest to a new Company duly registered under the  laws of Costa Rica, called :

BOSQUE LLUVIOSO DE SAN CARLOS DCA, S.A.

This new company has issued 1000 common shares, giving the owner all the rights the law confers to a normal shareholder and 1000 preferred shares giving the shareholder  the right to undivided ownership of the equivalent of 1000 square meters (1196 square yards) of primary Rain Forest with no right to any individualized use of the undivided 100 hectares of the Rain Forest, owned by the company. The common and the preferred shares will be sold to the public jointly as a package which cannot be divided giving thus the owner the full rights of a common shareholder and  ownership right 1000 square meters (1196 square yards) of primary tropical Rain Forest.

The Hotel Laguna del Lagarto Lodge  assumes the administration of the new company with out any costs and will guarantee the protection of the Rain Forest.. In addition it offers each shareholder and his direct family (spouse and children) a permanent 20% discount on the prevailing room rates and in addition one free night (in a double room) every 5 years. Since the Hotel is on the edge of the Rain Forest the shareholder will have an easy access to the property.

In order to strengthen the assurance for the shareholders that  the Rain Forest will be preserved permanently  once at least 50% of the shares are sold, an ecological easement will be registered with the public register of the Government of Costa Rica  in favor of a renowned ecological organization, which will then guarantee the permanent preservation of the Rain Forest.

An ecological easement is already registered in favor of the Hotel giving  the Hotel the right to use the Rain Forest for eco-tourism  and giving the Hotel also the right to interfere should the majority of the new shareholders act against sound ecological principals.

As mentioned above, the 100 hectares enjoy the benefits of the Government Forest Protection Law, which obliges the maintenance  of the Rain Forest, makes the company beneficiary of the $28.00 per hectare annual subsidy, grants property tax exemption and protects the property from illegal invasion (squatters).

The prime purpose of the company is the preservation, protection and maintenance of the Rain Forest. Nevertheless, the profit motive is not excluded and will be pursued within the framework of sound ecological principles.

Potential earning sources are:

1. Eco - Tourism, charging an entrance fee (not higher than the fees charged for entering the National Parks) for using the forest  trails.

2. Renting the Rain Forest to Research Institutions

3. Limited Harvesting medicinal plants

4. Sale of CO2 absorption, (1 hectare of Rain Forest absorbs between 5 to 10 tons of CO2 per year)

5. Government subsidy of presently approximate $28.00 - per hectare per  year

6. Any  other earning source which may arise.

This pilot project is probably the first of its kind in the world and offers an effective way to make the ownership of Rain Forest available to everybody interested in its preservation. As a matter of fact once the first 1000 shares are sold, the neighboring 400 hectares of Rain Forest will be incorporated  in the company by increasing the capital  and issuing an additional 4000 common and preferred shares. Other owners of Rain Forest in the area have expressed interest to join the company. We hope thus to contribute to the  preservation of  a large portion of the Rain Forests in this Northern Zone of Costa Rica.

The amount of the investment is rather small . The share-package (one common  and one preferred share)  will be offered for US$ 250.00 - of which 5% remain in the company as seed fund for any expenses.

The shareholder can sell his shares at any time with a potential increase in value.

The company is formed under Costa Rican Laws and the Board of Directors are five dedicated and renowned professionals (see attached list).