Ventura’s FAQ

1. What is the Project?
The project is to develop Residence Inn by Marriott at Ventura, California. The hotel is a 4 floor, 128 all-suit, extended stay hotel. The amenities include pool and spa, exercise room, meeting room, laundry room, market and breakfast rooms.
2. What is the hotel brand associated with this Project?
The hotel on completion will be branded Residence Inn by Marriott. Residence Inn by Marriott is a brand of extended stay hotels. The chain was launched in 1975 in Wichita, Kansas by Jack DeBoer, and acquired by Marriott International in 1987. As of April 2005, there were over 450 Residence Inn hotels in the United States, Canada and Mexico. The brand's slogan is Your home away from home. It was the first extended-stay brand in the United States, and was a key player in launching the concept of a "suite" in a hotel.
3. Where is the Project located?
The Residence Inn Ventura site will be located on 3.7 acres (161,172 square feet) fronting Ventura Freeway (US Route 101) and the Pacific Ocean. Uses surrounding the site primarily consist of residential, low-rise commercial, and hospitality uses. The property address is 770 South Seaward Avenue, Ventura, California 93001.
4. When will construction begin?
The developers estimate that approvals will be in place to allow construction to begin as early as March 2015. The actual start date may vary depending on the timing of investment including EB-5 capital from Pacifica Seaward Loan Fund, LP.
5. What is the estimated total development cost for the Project?
The total development cost for Residence Inn by Marriott is around $20 Million.
6. What are the funding sources for the Project?
The anticipated funding sources for the hotel project will be:
1. First Mortgage Financing   $13,000,000 (65%)
2. EB-5 Second Mortgage Financing   $ 5,000,000 (25%)
3. Owner / Developer Equity   $ 1,984,000 (10%)
  Total $19,984,000 (100%)
7. What guarantees are in the project?
The USCIS does not allow EB-5 investors to receive guarantees on their investment. The investment must be “at risk” to qualify for the job creation and resulting green card.
8. How do we know the project operations will go according to plan?
The developer and regional center will provide frequent updates on the stages of completion of the project.
9. How much government support is there for the Project?
There is no direct government financial support for the project although City of Ventura officials have expressed their support for the hotel.
10. What is the name of the Partnership EB-5 investors are investing?
PACIFICA SEAWARD LOAN FUND, LP
11. Who is the General Partner of the Limited Partnership?
Pacifica Seaward Loan Fund GP, LLC
12.Who is the owner of the Project?

Pacifica Seaward LP is the owner of the hotel. They currently own the land. Pacifica Seaward LP is a part of Pacifica Companies. Pacifica Companies (“Pacifica” or the“Company”) is a privately held, vertically integrated real estate developer, owner, investor and investment manager. The Company has grown exponentially over three decades due to opportunistic investing, maintaining high levels of liquidity, and finding the right real estate at the right price. Pacifica has used this skill set to successfully partner with pension funds, institutional banks, investors, and real estate funds for strategic real estate investing ventures.

Pacifica’s vast real estate portfolio includes hotels, mixed use projects, development projects, master planned communities, office, industrial buildings, retail shopping centres, senior housing assets, single tenant leases, multifamily for rent and sale projects and single‐family communities throughout the United States, Mexico and India.

Operator: When construction is complete, Pacifica Seaward LP will operate the hotel business. An affiliated company, Pacifica Host Hotels, will manage day‐to‐day operations based on a long‐term hotel management agreement. The hotel will be branded by Marriot, under the Residence Inn by Marriott mark, but Marriot will not directly be involved in its operations.

What other parties are involved in the Project?

Marriott as the franchisor and Pacifica Host as the hotel manager.

13. What other parties are involved in the Project?
Restaurant: Roy Choi Sydell has engaged Los Angeles native and Korean born celebrity chef Roy Choito operate POT(restaurant),Pojangmacha (lobby bar and lounge), caFé (coffee shop and patio), Commissary(green house restaurant and bar), Patio and Pool diningand cocktail experience on these condo floor pool deck.Choi will also be responsible for room service and 10,000F of meeting space. Food & Wine Magazine 2010 Best New Chef Award Winner, Korean Celebrity Chef, 10-yearAgreement. Featured on the Food Network, the Wall Street Journal, Top Chef, and Food & Wine Magazine among others. Bar and Nightlife : The Houston Brothers
14. Who owns the land?
Pacifica Seaward LP.
15. What is the required investment amount?
$500,000 per investor
16. What type of owner ship interest will EB-5 investors receive in the Partnership in exchange for the investments?
The EB-5 Funds are structured as a loan to give Pacifica Seaward Loan Fund, L.P., with a 0.5% annual interest rate.
17. What rate of return can the Limited Partners expect on the investment?
0.5% per year
18. What is the security for the investment?
There will be a pledge of the limited partnership interest of Pacifica Seaward LP.
19. What is the exit strategy for the investment?
A sale or refinance of the hotel after five years of operations.
20. What is the timeline for the return?
A sale or refinance of the hotel after five years of operations.
20. What is the timeline for the return?
The EB-5 investor’s loan will have a five year term. Investor funds will be returned with the proceeds from a sale or refinance at the end of the five year loan term.
21.Who is ultimately responsible for their turn of the EB-5 investors’ investment?
Pacifica Seaward Loan fund LP will ultimately be responsible for return of the EB-5 investor funds.
22. Is the investment or any returns guaranteed?
No. The USCIS strictly for-bids guarantees for the return of any investments or returns to EB-5 inventors.
23. What if there are not enough EB-5 investors?
While the maximum EB-5 funding raise is 12 investors, there is no minimum.
24. What happens in the event there are any construction cost overruns?
These will be the responsibility of the owner and borrower Pacifica Seaward LP.
25. How many new jobs must be created in order to meet the needs of all the EB-5 investors?
100 jobs must be created to meet USCIS requirements. The job creation report by Dr.Michael Evans calculates the project creating 127 jobs, or 13 jobs per EB-5 investor.
26. Which economic model is used to calculate job creation for this Project?
RIMS II
27. Are jobs calculated using the Tenant-Occupancy methodology?
No.
28. What are the additional fees associated with the investment?
$500,000USD EB-5 Investment
$50,000USD Administrative Fee
Approx.$15,000USD Lawyer Fee
A source of funds verification fee of around 3 lacs INR.
29. What documents do investors need to sign in order to subscribe?
(1)Subscription Agreement
(2)Escrow Agreement
(3)Investor Suitability Form
30. Where do the investment funds first go?
The escrow bank, Citibank, N.A. After the investor’s I-526 is approved, funds will be released from the escrow bank to the project.
31.Can EB-5 investors go visit the project?
All investors are welcome to visit the project site
32. When will EB-5 funds be released from escrow to the Project?
After the investor’s I-526 is approved, funds will be released from the escrow bank to the project.
33. What happens if anEB-5 investor’s I-526 isdenied?
All funds in the escrow account will be returned to the investor.
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