RHD Foundation

General conditions of the auction

Municipal formationIstrinsky District,

Luchinskoye settlement

Price of the leasehold (initial price)

55,768,000 (fifty five million seven hundred sixty eight thousand) rubles including VAT 18%

Auction increment2,000,000 (two million) rubles

Lease paymentsThe first eleven quarters (grace period):

58,572,372 (fifty eight million five hundred seventy two thousand three hundred seventy two)

rubles 96 kopeks a year including VAT 18%

From the 12th quarter (main period): 155,044,516 (one hundred fifty five million forty

four thousand five hundred sixteen) rubles 64 kopeks a year including VAT 18%

Repurchase of the land plot upon expiry of the lease agreement*

4,203,447 (four million two hundred three thousand four hundred forty seven) rubles 59

kopeks, not subject to VAT

Land plot area 448,607 sq.m.

Lease term for the land plot 7 (seven) years

Maximum period for preparation of the land planning and division projects

1 year

Maximum period for construction of the engineering infrastructure facilities

7 (seven) years

Maximum period for housing construction and other constructions

7 (seven) years* Repurchase may take place at any stage of the land plot development after approval of the land planning and survey project and formation of new land plots. Common areas and land plots built up with residential construction with apartments registered as the citizens property are not subject to repurchase.

RHD Foundation- 2 -

Convenient schedule of payment

Convenient schedule of payment means optimal ratio of three components of land charges:

1. Based on the appraisal performed in compliance with the legislation of the Russian Federation concerning the

appraisal activity, there is determined the initial value of the payment for the right to conclude a lease agreement for the

RHD Foundation land plot, in this case its final value shall be determined during the auction;

2. Lease payments are distributed for the whole construction period so that the first eleven quarters after signing

the Act of transfer and acceptance for the land plot, there were determined twice less amount of lease payments for the

land plot, the right to conclude a lease agreement for which was acquired in the auction (hereinafter – the land plot), or

the land plots in case of their formation after division of the land plots according to the land planning project (hereinafter

– the formed land plots). The part of lease payments by which the payment during the grace period was reduced, will be

uniformly distributed between all subsequent years of lease of the land plot or the formed land plots after expiry of the

grace period until the end of term for the land development;

3. The repurchase price for the formed land plots is determined on the basis of rates for land plots of federal or

municipal ownership as approved by the public authorities of the region of the Russian Federation. In the process of

implementation of measures for integrated development of the land plots for housing construction, lease agreements for

the formed land plots will expire upon commissioning of the constructed facilities into operation. Therefore, while

maintaining the annual rental rate, the amount of lease payments will change according to development of the land.