BELLINGHAM, Wash., Aug. 10, 2005 (PRIMEZONE) -- Asia Properties, Inc. or "ATI" (Pink Sheets:ASPZ) announced today that it issued the following Letter to Shareholders:
Dear API Shareholders, I am writing to you from Asia where API completed the acquisition of a majority interest of a resort sub-division in Phuket on June 29, 2005. We at API are thrilled to have acquired such an exceptional asset in Phuket and are gearing up to market this superb resort project during this upcoming tourist high season in Phuket from November to March 2006. The company purchased the property for 600,000 restricted shares with a sale value exceeding US$3.0.
Phuket Post Tsunami Opportunity
Resorts in Phuket have been suffering with low occupancies since the December 26, 2004 tsunami that hit the area. Villa and condo sales have not been affected to the same extent however. According to travel agents, Phuket resorts will be back to normal occupancy levels in the 2006 season, giving API a window of opportunity to acquire more undervalued assets. The company recently signed an agreement and paid a deposit to acquire a 50 percent share of 10.5 rai (approximately 4.7 acres) of land adjoining Baan Naiyang for US$140,000. The Company will pay cash for the land and expects to close by December of this year. The purchase will facilitate a further 30 lots for home sales of Baan Naiyang with a sale value exceeding US$6 million. This acquisition will increase the sales inventory value from the first purchase announced on July 7th from US$3 million to US$9 million.
API signed an agency agreement with CB Richard Ellis (NYSE:CBG), the leading international property firm, to market Baan Naiyang Resort which began on July 21st. API will participate in a European road show in late September and October in London and Stockholm marketing Baan Naiyang Resort homes. Traditionally, November through March are the best selling months for property in Phuket and we anticipate selling a significant portion of our homes during that time frame. The company also plans a marketing exhibition in Hong Kong in mid September.
GOING FORWARD AND STAYING FOCUSED
API is currently negotiating on several other resort properties in Phuket. We are considering acquiring partial or 100 percent ownership in several existing hotels that would be re-branded as a Hyatt or another International hotel brand. The company is currently being offered numerous deals but is staying focused on our business plan of developing and selling our Baan Naiyang Resort and developing and owning a major resort hotel in Phuket, Thailand. Our goal at API is to acquire $100 million of real estate assets within the next 12 months.
About Asia Properties, Inc.: Asia Properties, Inc. was established to invest in resorts and prime real estate in Thailand and Southeast Asia. Asia Properties currently operates as the only listed U.S. public company focusing on S.E. Asian real estate investments, where investors can invest in Asian real estate and hold the investment in the form of a security trading on a U.S. securities market.
For up to date corporate information about Asia Properties, Inc. contact Daniel McKinney (360) 392-2841 or www.asiaprop.com) or Ed Lewis, CEOcast, Inc. for Asia Properties at (212) 732-4300 For property sales: Charlotte Filleul, Phuket Sales Manager, CB Richard Ellis Thailand. www.cbre.co.th, Tel 66 76 239 967-9 / Fax 66 76 239 970 / Cell 661 597 7137
Statements, which are not historical facts, are forward-looking statements. The Company, through its management makes forward-looking public statements concerning its expected future operations, performance and other developments. Such forward-looking statements are necessary estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. It is impossible to identify all such factors, factors which could cause actual results to differ materially from those estimated by the Company. They include, but are not limited to, government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other factors which may be identified from time to time in the Company's public announcements.
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