Major Seychelles Developer Eyes UAE Property Investors
Just under 10% of Eden Island investors are from the GCC
The island nation of Seychelles remains an attractive destination for property investors from the Gulf Cooperation Council (GCC), especially those from the United Arab Emirates (UAE), according to one of its biggest developers.
Located 200 metres from capital Mahe, Eden Island is a mixed-use development built on a reclaimed coral reef offering 570 luxury apartments, mansions and private villas.
Construction on the project, which also includes a hotel, a commercial precinct with a shopping center, restaurants and bars and an international deep-water marina began in Y 2006.
It is anticipated to be completed next year.
So far 500 units have been sold with 70 still available, confirmed director at Eden Island, Peter Smith, who was in Dubai to promote the property.
“Just under 10% of our buyers have come from the GCC region. Investors from the region have mainly bought our villas, our higher value properties,” he said.
While units purchased within the development can also be given out for rent, most regional buyers use them as 2nd homes.
Within the GCC market, he said there was strong interest from the UAE. “A lot of high-profile people from the UAE come to Seychelles for holidays and have properties there,” he explained.
Visitor arrivals from the Emirates to Seychelles increased 53% last year; from 13,845 in 2014 to 21,178 in Y 2015.
There are also 14 direct flights a day between the countries with Emirates, Etihad Airways and its equity partner Air Seychelles offering direct connectivity.
According to Mr. Smith, the advantage of investing in the project is that the first purchase is completely tax-free, buyers are not charged transfer duties or fees, stamp duty or VAT.
“You can also apply for the residency of Seychelles when you buy property at Eden Island, which allows you to stay for 5 years at a time,” Mr. Smith added.
Despite the dull economic conditions in the Gulf region because of low Crude Oil prices, he is optimistic about demand.
“Crude Oil prices are a concern but people are also looking to diversify their assets outside the region,” he explained.