The proposal is in line with the plans for the area communicated by the Company in its financial reports and in line with the municipality's vision for the city. Boho Club is proposed to be expanded with more hotel rooms, restaurants, and facilities. The neighbouring property Centro Forestal Sueco is proposed to be developed into a completely new luxury hotel under a new brand but with synergies with Boho Club. The proposal, developed in consultation with Marbella municipality, involves developing the property in terms of both infrastructure and building rights. In total, it involves an increase in the number of building rights by about 20,000 square metres intended for hotels, from the current 9,000 to 29,000 square metres. Should the new building rights enter into force, the Board's assessment is that the value of the new building rights would amount to approximately SEK 860 million, corresponding to SEK 15 per ordinary share. As stated in the company's financial reports, this potential value has not been included in Quartiers' most recently reported net asset value of SEK 5.26 per ordinary share, and would therefore be added to the current net asset value if the building rights were to be realised.

The Company is working on two separate processes to obtain the described building rights. One process relates to the municipality's current process for a new urban plan, where Quartiers has proposed an extensive hotel development based on discussions with the municipality and in accordance with the Company's increased focus on hotel properties. The same conceptual proposal has also been made in a parallel process aimed at modifying the current detailed planning without a new city plan and achieving the same result, should the new city plan be delayed. The Company owns the property, which means that there is no competition for the proposed building rights with third parties.

The timetable for obtaining the new building rights is estimated to be 1-2 years. The probability that the new building rights will be obtained is considered good based on a positive dialogue with the municipality in recent years.

Quartiers Properties is a Swedish property development company with a focus on excellent design and quality, and is active on the Spanish Costa del Sol. The company was founded in 2014, since when it has built up a portfolio of investment properties and project properties. The company develops, sells and rents out properties.