Until recently the Mauritian government limited foreigners to purchasing property in golf and beach developments, namely the Integrated Resort Scheme (IRS) of property development. The IRS was introduced five years ago by the Mauritian government, but recently this was further extended with the launch of the Real Estate Scheme (RES) which now brings ownership of real estate on this idyllic tropical island closer to many more South Africans.

An RES development is situated on a maximum of 10 hectares of land, there is no minimum price set for units and no tourism component is required, says Jonathan Tagg, MD of Pam Golding Properties (PGP) Mauritius. "Foreign buyers are a prime target market for this new type of development as now they can own their own exotic getaway on an island paradise for prices ranging from the equivalent of R3-million to R6-million (at current exchange rates)."

PGP is marketing a newly launched sectional title residential development on the island — Cape Bay Beach Resort Mauritius. Conveniently located on the north coast of the island just five minutes from Grand Baie, Cape Bay Beach Resort is situated in the peaceful beach environment of Bain Boeuf. This luxury development comprises just 48 high end, furnished apartments — most with sea views and ranging in size from 125m² to 153m². Rental returns are forecast at five percent but promise to exceed 10 percent with increased occupancy.

Extremely competitive pricing

"When you take into account the premium price paid around the world for high-end coastal property — even compared with luxury homes in prestigious areas on Cape Town's Atlantic Seaboard — these prices are extremely competitive particularly when you consider the spectacular island setting which makes Mauritius so sought after," says Tagg.

"Through our permanent offices situated in Mauritius PGP is ideally placed to hand pick the best development projects," comments Dr Andrew Golding, CE of the PGP group. "Having successfully marketed both locally and internationally a number of IRS projects on the island such as Tamarina Golf Estate & Beach Club, The River Club and Banyan Tree Corniche Bay we have seen generous capital appreciation achieved in prime real estate.

"The Mauritian government has adopted a responsible approach to residential development being acutely aware of the need to conserve their country's natural environment and retain its sought after, tranquil island appeal. As a result, development is limited with permits for development granted after careful consideration. Well respected internationally for its economic and political stability, Mauritius also enjoys a constantly rising GDP and increasing tourism that further enhances investor confidence," says Dr Golding.

South African developers

The co-developers of Cape Bay are South African property development company 2Tribes (which has launched successful projects in South Africa and abroad) and My Villas (which has an established track record in hospitality, selling tourism destinations worldwide and which will manage Cape Bay's rental pool).

Tagg says 20 units have already sold mainly to South Africans and French buyers with PGP about to commence marketing the project globally particularly to the France and the UK markets. "Finance is readily available to qualified buyers at rates of between 5.5 and 6.5 percent. A five percent deposit is required on reservation of an apartment with 25 percent payable on deed of sale and the balance during the construction process," he says.

Inspired by the traditional Mauritian vernacular while favouring a more contemporary and eco-sensitive design, Cape Bay will blend harmoniously with its scenic surrounds. Situated opposite the beach, the apartments will surround professionally landscaped gardens and a generously proportioned private swimming pool. The resort will be fully served and maintained by My Villas with a 24-hour concierge service available to residents and includes an espresso café and water sport club. Leisure facilities in Mauritius range from water sports, golfing and relaxing on the beach to spa treatments, shopping and fine dining.

Buyers can select from the following:

• Fully furnished two bedroom en suite ground floor apartments with kitchen, living room, two deck areas and private plunge pool

• Fully furnished two bedroom en suite first floor apartments with kitchen, living room and two private balcony deck areas

• Fully furnished three bedrooms en suite, split level penthouse suites with kitchen, living room, two deck areas and private pool