Homburg Mortgage Bond 5

• Total issue volume of 20,010,000 Euros
• Fixed interest rate of 7.50% per year
• Nominal value of 15,000 Euros per bond
• Interest is paid out twice a year
• Term is 5 to 7 years
• Scheduled end date of December 31st, 2011
• The bonds are freely transferable and tradable
• Issue of Homburg Mortgage Bond 5 has been closed
• Interest and deposit are guaranteed by Homburg Invest Inc. (Exchange-listed real estate fund)
• Bondholders have right of mortgage on a real estate portfolio in the Netherlands and Germany: Quelle Logistic Centre, at Phillippestrasse 3, Bochum, Germany, and Industriestrasse 19, Hassmerscheim, Germany.

Objective

Part of the revenue from this real estate bond is used to purchase a plot of land in Calgary’s development zone. The rest is used to prepare the site for construction.

Euro investment

Your investment, as well as the interest disbursements and return deposit, will be effected in Euros. This way you will not run any foreign exchange risks.

Term

The real estate bond has a maximum term of seven years. Starting from the fifth year, this bond can be redeemed prematurely. It is possible to sell a bond prior to the end of its term should you wish to do so. This is because the bonds are freely transferable.

Taxes

In Canada, earnings from these real estate bonds are completely tax-exempt.

Sound assurances

You have the following assurances for your deposit and interest:

The exchange-listed real estate fund Homburg Invest guarantees your interest and deposit with its equity capital.
The right of first mortgage on the parcel to be purchased and developed.

Fixed interest rate

With purchase of this real estate bond, you will receive a fixed interest rate of 7.5%, with guaranteed return of your initial investment at the end of the term. Interest is disbursed semi-annually.
Participation with 1 Homburg Mortgage Bond 5 year 1 year 2 year 3 year 4 year 5 year 6 year 7

Participation with 1 Homburg Mortgage Bond	Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7
Deposit	€ 15,000
Disbursement (7.5% of the investment)	€ 1,125	€ 1,125	€ 1,125	€ 1,125	€ 1,125	€ 1,125	€ 1,125
Disbursement of nominal loan sum							€ 15,000
Total yield	7.50%	7.50%	7.50%	7.50%	7.50%	7.50%	7.50%

Limited issue

For this issue, the number of real estate bonds to be issued has been set at 1334. As each bond represents a value of 15,000 Euros (excluding 3% issuing fee), the sum total of the issue comes to 20,010,000 Euros.