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THE MAURITIAN MARKET AND ITS SPECIFICITIES: PROPERTIES ACCESSIBLE TO FOREIGNERS
INVESTMENT
SCHEMES
MEETIN ALL
RE
IREMENTS
Until 2002, foreigners were not authorised to acquire property in Mauritius.
Thereafter, amendments have been made to the Investment Promotion
Act 2000 and to the Investment Promotion Regulations 2007, in view of
extending the real estate market to non-Mauritian citi ens.
W
ith the aim of boosting FDI,
the Mauritian authorities
have implemented a series
of functional schemes allowing
foreigners to purchase property assets
in the country. These earmarked real
estate schemes include: the Integrated
Resort Scheme (IRS) the Real Estate
Scheme (RES) the Invest Hotel Scheme
(IHS)
the Property Development
Scheme (PDS) the Smart City Scheme
(SCS) and acquisition of an apartment,
called 2.
I
R
A brief history of these tailor-made
real estate schemes brings us back
to 2002
when the IRS programme
was launched. In fact, this acquisition
plan was designed to boost foreign
investments on the island by
combining high-end hospitality and
leisure institutions at the heart of an
integrated development plan.
The IRS concept is governed by the
Investment Promotion Act 2000 and
52
LEXPRESSPROPERTY TRENDS
the Investment Promotion Regulations
of 2007 (Real Estate Development
Scheme), both amended accordingly
for this purpose. In Mauritius, thanks
to the IRS programme, foreigners have
been able to purchase luxury world-
class villas with upscale amenities
and facilities such as world-class golf
courses, fitness and wellness centres
(spas and sports facilities), concierge
services, gourmet restaurants, beach
clubs, boathouses, and maintenance
and rental management services.
IRS properties are marketed on the
grounds of a buying off-plan’ contract
(commonly known as the VEFA), and
target development areas exceeding
10 hectares.
According to the law governing the sale
of IRS units in Mauritius, the sale price
of these residences should go beyond
500,000 ( 370,000). The registration
fee of IRS units, on the other hand, is
either of
70,000 (approximately
52,000) or costs 5% of the purchase
price — whichever is higher. When
purchasing IRS properties in Mauritius,
buyers — as well as their spouses and
dependents — automatically obtain
the status of permanent residents
of Mauritius. The residence permits
issued under the IRS plan remain valid
as long as these buyers remain the
owners of the said properties.
R
E
Launched in 2007, the Real Estate
Scheme was inspired by the IRS
regulatory framework. However, it
pertains to smaller development areas
— counting at least one acre and not
exceeding 10 hectares.
Moreover,
RES
projects
should
include a minimum of 6 residen-
tial units. This scheme grants
expatriates
the
opportunity
to
purchase luxury villas and apartments
in a world-class real estate complex.
They can enjoy quality services as well,
such as caretaking, gardening and
maintenance. As they target a broader
customer base, RES units
unlike IRS
ones — do not enforce a minimum