The Kingston Development is a residential development in the Moscow Region. The project is located in northwest Moscow close to the MKAD highway, approximately 22km from the Kremlin and 2.5 kilometers from the future Mitino metro station. The project covers a land plot of approximately 77 hectares.

The development will also incorporate the construction of certain social infrastructure and properties including schools and kindergartens will be completed in five separate phases.

Status
The current proposed development plan for Kingston is based on RGI’s possession of an Investment Contract, a long-term land lease and a general plan for the plot approved by Architectural Technical Council of the Moscow Region. The project is currently in the urban planning phase. The Company’s next step for the project is to obtain a final general plan and project planning approval (“Project Planarivky”) which is expected to be obtained during the second half of 2009. Construction is expected to commence in the middle of 2010 assuming the necessary financing for construction is organized and the remaining design and construction permissions are obtained on a timely basis. The project would be completed in stages over a period of seven years.

Strategy
RGI’s ultimate strategy for Kingston is to sell all of the residential and commercial space in the development. However, given the complexity and early stage of the project, the Company may decide to proceed with developing the project in partnership with a third party developer or to sell the project outright either prior to commencing construction or at some point after completion of certain regulatory or construction milestones. RGI is intending to finance the majority of construction costs for Kingston with proceeds generated from residential pre-sales.