Lexpress Property Trends Lexpress Property Trends EN Light Version | Page 18

THE MAURITIAN ECONOMY AND ITS ASSETS
MAURITIAN
RESIDENTIAL REAL
ESTATE IS TRENDIN
AS NEVER BEFORE
Boosted by the growing interest shown by foreign investors in Mauritius
who were enabled to own property about fifteen years ago
and the
country’s prosperity, the number of immovable property transactions is
on the rise. Other factors also contribute to making this sector dynamic:
favourable public policies, interesting projects, the inclination of Mauritians
to build their real estate patrimony and the professionalisation of all stake
holders of the industry.
R
esidential real estate has never
been so booming in Mauritius
as it is at present. This sector
is indeed one of the first beneficiaries
of the global economic growth of
the country and its policy to open up
even more to foreign investment. This
situation has prevailed for the past
few years, and does not give off any
signs of change. hat supports such
dispositions The fact that, although
the current economic conditions are
not immutable, the reasons behind
them are more structural than they
are relevant to conjuncture. First
among the reasons motivating a
context which fosters a rise in the
prices and transactions is the constant
growth in average household income
for the past thirty years, and the fact
that this trend seems to be a steady
one. The budgetary measures taken
by Mauritian politicians of all parties
are a testament to their dedication to
make Mauritius reach the category
28
LEXPRESSPROPERTY TRENDS
of high-income countries like our
neighbours, the Seychelles. Although
it is still a steep slope, the resilient
economy of the country when facing
the orld financial crisis of 2008-200
stands as a beacon of hope that this
determination will prevail.
In the momentum of tourism
On a small island where buildable
areas are scarce, the offer mainly
depends on the strategy of major
landowners to promote their assets.
Nevertheless, it has been hard to keep
track of the numerous developments
mushrooming on the island over
the past few years. There would,
allegedly, even be a few more that
are kept under wraps, and all of these,
past and present, are the programmes
from which originated the current
dynamism of residential real estate.
One could, at first sight, be led to
think that this abundance of projects
would only lead to an excessive
offer which would, in turn, impact the
value of real estate. But it could only
happen if one obliterates the parallel
growth in demand, from a certain
number of Mauritians, but also mainly
from foreigners with a tremendous
purchasing power. Indeed, those who
seek to invest and settle in Mauritius
grow in numbers every day
thanks
to the 2005 legal changes enabled by
policy makers to purchase and hold
property in Mauritius, a right that was,
up to then, restricted solely to holders
of a national identity card.
In order to attract different profiles
of expatriates, there are dedicated
investment
schemes,
combined
to rights of residence and even of
citi enship in certain cases. In less than
fifteen years, since the derogatory
regime for non-citi ens and leading
up to January 201 , the Economic
Development Board (EDB), the public