1. What exactly am I participating in?
You are participating in a shared ownership membership program. By acquiring a membership, you hold a 5% share in a Singapore-based Special Purpose Vehicle (SPV), which grants you the economic rights to a specific villa or building through a notarized loan agreement with our Indonesian operating entity, Hot Stone Ubud PT-PMA.
2. How much does a membership cost?
The entry price for a membership is USD 50,000.
3. Can I own multiple shares?
You can own multiple shares; one share equals 5% of the ownership and entitles the member to a one-week stay in the villa each year. If you plan to stay longer, you can purchase additional shares. For instance, four shares purchased entitle the member to four weeks stay each year.
4. Do I own the physical land or villa in Bali?
No, this is a financial participation model. You do not hold direct legal title to the land or the physical villa structure in Indonesia.
5. What are the key differences between the two villa types?
- 1-BR Luxury Villa (Retreat Center): An adult-only, 1-bedroom space designed for up to 2 guests.
- 2-BR Luxury Villa (Residential): A family-friendly 2-bedroom villa that allows children and accommodates up to 6 guests.
6. What is the annual yield expectation?
Both membership pathways target 40% of the gross pooled villa revenue, which would yield an estimated annual return of USD 3,888.
Calculation: USD 450 x 18 days x 12 months x 0.4 x 0.05 = USD 3,888
7. How do the stay benefits work?
1-BR Luxury Villa Membership: Includes one week per year.
2-BR Luxury Villa Membership: Includes one week every two years.
Perks: All members receive a health check-up on arrival, plus a 25% discount on longevity therapies, thermal circuits, all food and beverage, and additional accommodation.
8. What is the term of the membership?
The membership term ends July 31, 2053, which is the final date of the leasehold.
9. Is there a registration or activation fee?
Yes. There is a one-time activation fee of USD 2,500.
10. Can I exit my membership early?
You can exit the membership early by bringing in a new member yourself or by appointing HOTSTONE to resell the membership. If HOTSTONE handles the resale, a 5% service fee from the sale amount will apply.
11. Who manages the property?
The HOTSTONE hotel management team.
12. Can I rent out my allocated stay period if I do not plan to use it?
Members will be allowed to reallocate their unused stay period to HOTSTONE rental pool during the same year, with three months’ notice to HOTSTONE management.
13. Can I accumulate my stay period over the following year?
Members may carry forward their one-week stay to the next year, with a maximum extension of one year.
14. How is the annual return distributed?
Members receive 40% of the gross pooled villa revenue in the first quarter of each year.
15. What documents will I receive upon joining?
Members will receive:
- Documentation evidencing their interest in the SPV;
- Shareholding document issued by the SPV;
- A Membership Agreement;
- A notarized Loan Agreement structure;
- Access to financial and operational reporting.
16. What is the transaction process?
The process typically includes:
- Submission of an application;
- Completion of KYC and verification procedures;
- Execution of the legal documentation;
- Payment settlement;
- Issuance of SPV and membership documentation.
17. Are there any annual fees?
There are no annual fees.
18. What is the financial reporting year?
A standard financial reporting year covers a 12-month calendar year.
19. Can Membership be transferred?
Membership may be transferred to any family member.
20. In which currency is payment accepted?
Payments are made in USD.
21. Are taxes Included in the return calculations?
Tax obligations depend on each participant’s country of tax residency. Participants are encouraged to seek independent tax advice regarding their individual circumstances.
22. How far in advance are members required to book their stay entitlement?
Members are required to book at least 3 months in advance; villas are subject to availability.
23. Who oversees the security of funds and the legal structure?
The structure is administered through a Singapore-based SPV framework.
24. Do I need to travel to Indonesia to complete the transaction?
You are not required to travel to Indonesia. All transaction processes can be completed remotely through the online platform.
25. Can my family and friends enjoy the benefits with me?
Family and friends may enjoy the benefits when accompanied by Member.
26. What makes this different from a traditional real estate investment?
Members pay no management or service fees, and there are no maintenance fees, which can be high in a tropical climate.
27. Why is the structure established through a Singapore SPV?
The Singapore SPV structure is utilized to support international administration, financial reporting transparency, and investor governance.
28. Is this primarily an investment or a lifestyle product?
This is about elevating quality of life through healthspan at its core, a refined lifestyle connected to a thriving well-being ecosystem that supports longevity and renewal, with potential for future value as part of a shared journey.
29. What happens if HOTSTONE is sold?
If HOTSTONE is sold, each investor’s rights will be governed by the Shareholders’ Agreement and the applicable laws. Investors hold an ownership interest in the Singapore holding company, and any proceeds from a sale will be distributed in accordance with their contractual rights, ownership percentage, and the agreed transaction terms.