Exclusive Resorts Announces Partnership with the Timbers Company

Date: January 26, 2004

Strategic Relationship Calls for Development of New Luxury Residences in U.S., Mexico and the Caribbean

Exclusive Resorts, LLC, a leader in the luxury residence club industry, today announced a strategic partnership with The Timbers Company, a leading developer of luxury private residence clubs and resorts, to develop a portfolio of luxury residences throughout high-end resort destinations in the US, Mexico and the Caribbean. Joining Exclusive Resorts and The Timbers Company is Denver-based S.V. Capital, an investment management firm focused on real estate opportunities with significant expertise in the emerging private residence club sector.

The Timbers Company is a well-respected name in real estate development behind a portfolio of prestigious and well-renowned resort club communities such as The Timbers Club in Snowmass, CO; Esperanza in Los Cabos, Mexico; and The Rocks in Scottsdale, AZ. As a first step in this new partnership, Exclusive Resorts has purchased several residences at The Rocks and will do so at The Timbers Club. Jointly, the two companies will develop residences in new destinations to be added to the Exclusive Resorts' residence portfolio, providing Exclusive Resorts' members with even more choices for anytime, anywhere access to Exclusive Resorts' collection of private homes.

"Our relationship with the Timbers Company enables us to quickly provide a significant number of new residences to meet the needs of our members, while giving us an inside-track to develop properties in new destinations," said Brad Handler, Chairman, CEO and Co-Founder of Exclusive Resorts. "Timbers Company's impeccable track record and like-mindedness in developing successful luxury resort communities accelerates our efforts to offer new and interesting destinations to our members. Working hand-in-hand with Timbers' to personally design and specify the exact size, layout, facilities and décor of our multi-million dollar luxury residences means our members are assured the quality experience they've come to expect from Exclusive Resorts."

"We have worked closely with Exclusive Resorts for some time now as the Company already owns multiple residences in our Scottsdale community," said David Burden, President and Founder of The Timbers Company. "We have been impressed with their rapid growth, and are pleased to be working with a clear leader in this new sector of the luxury resort market. By working intimately with the team at Exclusive Resorts we intrinsically understand what experience their members look for. Therefore, our strategic partnership proved to be the natural next step in our relationship. Together with our financial partner, S.V. Capital, we are already looking at fresh, new locations to develop additional unique and luxurious residences and expect to have more news on this front very soon."

About The Timbers Company
The Timbers Company is based in the Aspen/Snowmass area of Colorado and specializes in the complete development and marketing of private and very special resort clubs and communities. Its Timbers Club in Snowmass, Colorado is recognized as the finest and most successful private mountain residence club. Founded and led by President David Burden, Timbers consists of a group of real estate development professionals who possess the desire, the background and the skills necessary to effectively develop fine private clubs and luxury residential projects in locations that are the destination of the most selective vacationer and resort home purchaser. The Company's mission is to maximize the benefits of a premier location while respecting the surrounding environment with an absolute top quality proper density product and the highest level of service and amenities found in only a very few locales in the world, including The Timbers Club, Snowmass, CO (www.timbersclub.com); Esperanza, Los Cabos, Mexico (www.esperanzaresort.com); and The Rocks, Scottsdale, AZ (www.therocksclub.com).