How can I check if the property developer I am dealing with is a real professional in Mauritius?

There are some key factors which have to be taken into consideration by the potential buyer when dealing with property developers in Mauritius:

1. The professional’s experience is crucial. Construction in Mauritius is most of the time adventurous. Foreign real estate developers who decided to settle in the island have often hurt themselves to this state of fact. Only trust real estate developers who have already successfully developed more than one project on the island. Always visit the different projects of the developer and make sure that these projects were indeed developed by this company. Carefully examine the quality and features of the construction and do not hesitate to compare the quality with other developments.

2. The office: The offices of a real estate developer always reflect his reliability and the quality of his products. Always ask to visit the office of the developer and to meet the team. Beware of meetings in restaurants or other public places. This could be the indication that the real estate developer does not have an proper office or that his team only regroups two peoples. Never sign any contract with a real estate agent without meeting the developer himself in his own office. An agent will never take any responsibility in case of default from the developer.

3. The Board of Investment (BOI): The BOI is a government organization which provides the RES certificates to the real estate developers. They are independent and reliable. They can advise on the experience and track record of registered real estate developers of Mauritius.

4. Experienced real estate developers are most of the time members of professional real estate associations. These associations of real estate developers set a code of conduct and ethics which has to be followed by their members. Evaco is a member of the AIPP (Association of International Property Professionals) based in London.

Every year worldwide organizations reward the professionalism of a few real estate developer or real estate projects internationally. These awards are the results of votes among panels of international and independent professionals after deep investigations on the companies and their projects.

What is the experience of the Evaco group in real estate development?

With ten years of experience, Evaco group is internationally recognized for its performance, and was awarded “Best property developer International” by OPP (Overseas Property Professionals) in October 2010.

Which are our previous projects?

Evaco group has gained his recognition as an experienced real estate developer in Mauritius due to the successful development of a number of projects such as: - OASIS VILLAS PHASE I AND II - GRAND BAIE BUSINESS PARK PHASE I AND II - ATHENA VILLAS - DOMAINE DES ALIZEES CLUB & SPA

EVACO has already built 88 villas, 73 offices and a restaurant. A residence of 90 apartments including a spa and a restaurant is currently under construction.

What does the law says about the ability of a foreigner to purchase property in Mauritius?

A foreigner has the right to purchase property in Mauritius only through the IRS “Integrated Resort Scheme” or RES “Real Estate scheme”.

What is the difference between RES and IRS schemes?

IRS properties can only be sold at a minimum price of USD 500,000. A residence permit goes along with the purchase of the property. The registration duty is fixed at USD 75,000.

RES properties can be sold with no minimum price. However, the foreign buyer does not automatically beneficiate of a residence permit but can apply for other residence schemes as an investor, an employee or as a retiree. The registration duty is fixed at USD 25,000.

Can a foreigner buy a property on the beach?

All lands on the beach are leasehold properties that are rented from the Mauritian state. The leases are generally valid for a period of 60 years. Only citizens of Mauritius are authorized to acquire these leases and therefore to acquire property on the beach. RES or IRS residences can only be built on freehold lands.

What are the major advantages to buy property under RES and IRS schemes?

Property purchased under RES and IRS schemes entitles to a particular status which enables the buyer to sell back to any foreigner or Mauritian client. This status goes along with the property title deed. As the property can be sold back to a foreigner, it confers the exclusive advantage of a higher capital gain on resale.

Can a citizen of Mauritius buy under RES scheme? What is his interest?

Yes, the major advantage of a Mauritian to buy under the RES scheme is the possibility to resell its property to a foreigner at any point of time. In Evaco RES developments, around 35% of the buyers are Mauritian.

Are RES projects overpriced comparing to local properties in Mauritius?

It happens that some RES or IRS projects are sold at very high prices due their target being foreigners. Fortunately those projects rarely reach completion, either because they could not obtain required authorization from the government or necessary guarantee from the bank. For those which reach completion, they are sold with much difficulty due to their prices. The best way for a foreign investor to ensure that a project is sold at the real market rate is to check whether Mauritian citizens purchased properties in the development. As a Mauritian citizen is also allowed to purchase local properties, its interest in a RES or IRS project would demonstrate the good value for money of the development.

Evaco is proud to count around 35% of Mauritian citizens buyers in each of its RES developments. We invite our customers to verify.

What are the conditions under the RES scheme?

A foreign buyer has the right to live in Mauritius for a full period of 6 months per year without any particular visa. On the other hand if the price of the property purchased exceeds the value of 500.000 USD (approximately 360.000 Euros) the purchaser will benefit of a permanent residence permit for him and his family.

Is there any other way to get a residence permit without spending more than USD 500.000 on a property?

A residence permit entitles a foreigner to live in Mauritius for a period of 3 years. At the end of the period, the foreigner can apply for a permanent residential permit valid for 10 years.

Investors permit: For those who want to settle a business activity in Mauritius.

Workers permit: To be employed by a local company with a minimum salary of MUR 45.000 per month.

Retirement Permit: For everyone who would like to live in Mauritius without working.

What type of contract is used for property acquisition in Mauritius? What are the advantages?

For anything involving property, the Mauritian Civil Code is based on the French Civil Caw. The VEFA “Vente en Etat Futur d’Achevement” is the type of contract formally used under RES acquisition. A GFA is also needed with this type of contract which means that there is a bank guarantee provided to ensure the good completion of the project. This guarantee is provided to the buyer by a reputable bank or insurance.

What is a registration duty?

The Registration Duty is a tax paid to the Mauritian government in order to register the deed of sale.

Does a Mauritian pay the same registration duty?

Yes, he does. According to the law, this registration duty has been fixed at USD 25.000 for any RES project.

Do we need to wait a minimum period of time before selling back the property?

No. Upon the signature of his deed of sale, the purchaser becomes the sole owner of the land and the property and can therefore sell back his property at any point of time.

Is there a tax on the capital gain?

Not for the people who are not paying their income tax in Mauritius.

What are the laws in term of inheritance?

In case of death, the heirs will inherit of the property. Furthermore there is no inheritance tax in Mauritius.

What is the tax regime in Mauritius?

No taxes on inheritance. No wealth tax.

Income and corporate tax are limited to 15 %.

1. Why is this project special?

Domaine des Alizées Club and Spa won an international award as Best Real Estate Development 2010 last November in London. Its innovative concept allies a prestigious residence of 90 apartments with all the services of a 5 stars hotel, a good return on investment for investors and a service charge of about only 95 Euros per month.

2. Why does Evaco chose to develop a apartment residence?

Following specific requests from our customers, we have developed this residence of a hotel type offering a total of 90 apartments for sale. The apartments of 2 and 3 bedrooms are built to the highest standards. The hotel residence is well located and offers a number of services ranging from its lounge club to the magnificent tropical spa passing by the presence of a restaurant lying on the water flanked by small kiosks.

The residence will be run as a prestigious hotel, offering a high level of services to its permanent residents as well as to the visitors.

3. Where is the site? How far from the sea?

Grand Bay is one of the main and most prestigious seaside village in the island. Domaine Des Alizées is located about 1500m away from the sea.

4. What kind of services will be available at Domaine Des Alizées?

A Reception - A Restaurant - A Spa - A Lounge bar - A Gym - Several pools

5. How much does the levy fee cost for each apartment?

Owners of the apartments will not have to take in charge the cost related to the restaurant, the spa and the reception. The restaurant, the spa and the restaurant will be managed independently. The levy fees have therefore been reduced to its minimum and will cost around 95 Euros per apartment and per month.

6. Will there be special rates for the residents?

All the services and amenities will be free of charge except for the restaurant and the spa which will operate special rates for the residents and the visitors renting the apartments.

7. Who will ensure the rental management of the residence?

The short term rental management of the properties will be taken in charge by Evaco Holiday resort, subsidiary of the Evaco group. (www.evaco-holiday-resorts.com)

8. What is the rental income?

Please refer to our rental income sheet. According to our estimation the net rental income will lead to a yield of 6% per annum.

9. When will the owner be paid his rental income?

The owner will be paid in Euros every 3 months.

10. How much tax do we have to pay on the rental income?

The income tax is 15% on your net income (after deduction of all charges related to your property).