The property guide 2021 | Page 34

Real Estate Scheme
Invest Hotel Scheme
REAL ESTATE INVESTMENT 2021

RES

Real Estate Scheme

I ntroduced in 2007 and designed by the EDB , this scheme enables buyers , with a budget smaller than IRS owners , to invest in a property project .

The RES status refers to real estate projects built on freehold land , with a surface area ranging from 4,000 m ² to 10 hectares . They are accessible to both Mauritians and foreigners . In addition to residential units , these projects must provide their residents with commercial and leisure facilities , as well as services such as security , maintenance and gardening , restaurants , common areas , spa , etc .
While this scheme does not require a minimum investment for the buyer , it only provides , as it is the case for IRS projects , for the issuance of a permanent residence permit for investments above USD 500,000 – USD 375,000 today for any resale property – and tax residency for owners residing in Mauritius for more than 6 months .
Like the IRS , RES status is no longer issued to developers by the EDB . However , the projects already built retain their status and their owners , the advantages that go with it . Buyers of resale properties in such projects will also benefit from the same incentives .

IHS

Invest Hotel Scheme

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I nitiated in 2010 , the Invest Hotel Scheme aims at helping hotel developers finance their projects by enabling the sale of private units of the hotel ( such as villas , suites , rooms or any other residential component ) to individual buyers . These private units are intended to be rented out by the hotel group and thus generate a rental return for the owner , as set out in a specification presented to the buyer prior to acquisition . The common units ( garden , entrance hall , etc .) are collectively owned in condominiums .

The sale of the units is governed by a lease agreement stipulating that the property is leased to the seller , and that the owner , or anyone else on his behalf , may use it for 45 days in any 12-month period . The hotel also creates a syndicate of co-owners of which the proprietors are , ex officio , members .
Available to both Mauritians and foreigners , this investment programme does not require a minimum investment limit – except for villas , where the limit is USD 500,000 . However , it does not entail a residence permit .