Western Europe
A former Portuguese colony in the Atlantic Ocean off the coast of Africa Cape Verde is an archipelago of islands that has come quite late to the property scene. Until a couple of years ago they were almost unheard of and even now they are really only recognisable to the savvy overseas investor and a few intrepid travellers. But a new property haven is already under construction and it is demanding attention from early investors with longterm vision.
Cape Verde has been compared with the Canary Islands its neighbour in the Macaronesian island chains of the Atlantic Ocean; as well as the Caribbean islands with which it shares roughly the same latitude. Both accolades are substantial endorsements of the emerging destination and deserved because of the low rainfall and yearround temperate weather that allows beachfront enjoyment most of the year.
Prospects for the property market are looking particularly enticing with doubledigit capital appreciation forecast for the next year. Adrian Lillywhite of Cape Verde Property sees a 15 to 20 per cent rise in 2008 particularly in the better locations and as the infrastructure improves. Carley Todd GEM Estates Cape Verde expert thinks 30 per cent is not an unreasonable estimate of price rises in the next year having risen by around that much in 2007.
Steve Worboys director of Experience International believes that if the recent boom in tourism is anything to go by Cape Verde has an extremely positive future. In 2006 there was a rise in tourists by over 25 per cent and the National Statistics Institute (INE) has forecast around one million tourists annually by 2015. The rising number of tourists can only be an asset to property owners who can turn a rental penny although it is still too early to get a clear prediction of rental returns.
Carley Todd adds: Hotels in Sal have 92 per cent occupancy and holiday companies will need 400 rooms extra per week to deal with the demand. We cant guarantee any figures but it is looking very good and by the time developments come to completion rental yields are expected to be phenomenal.
If you are after a definite rental yield Cape Verde property specialist TOPA is offering a leaseback option through developer Tecnicil at the Vila Verde development on the island of Sal. The option includes a net annual rental return of five per cent over two years if the property unit is available to the management company 48 weeks per year. If you want to use your property more than that the return will be prorated according to the usage rate.
Although not the largest or most populated island Sal is streets ahead at attracting tourists and property development luring Brits with direct flights from the UK from both Manchester and Gatwick airports. The main tourist town on the island Santa Maria is the furthest along the development route with completion dates now in sight and more infrastructure than you can expect on the other islands (although even this is still some way from the standards of secondhome destinations in Western Europe). Adrian Lillywhite says of the island: The natural beaches are stunning and the area is quickly developing. There are now some excellent highquality developments and plans for four golf courses and three marinas on the island.
Dunas Beach resort is a short stroll from the centre of Santa Maria and will be built on the front and secondline to Ponta Preta beach with a golf course planned for further along the development schedule. Apartments start from (62000) and detached villas from 299950 (226000) through Experience International.
The Cotton Bay Marina & Golf Resort is being developed on the west coast of Sal island with a range of properties and hotels complemented by a 300berth marina and two 18hole golf courses. Billed as an ecocompatible resort there will be green zones and a park as well as a sports centre with football fields swimming pools and tennis courts. The first phase is due for completion in 2009 and the marina and golf course around 2010. Prices start from 126000 (95000) euros for a onebedroom apartment to 1.26 million (950000) for a frontline villa through GEM Estates.
TOPA is selling apartments and villas at the Pedra de Lume Golf and Marina resort on Sal from 85000 (64000) or frontline apartments at Paradise Beach with adjacent golf course from 160000 (121000).
Boa Vista is being touted as the next Cape Verde island hotspot although right now youll have to imagine the luxurious new villacomplexes being sold offplan along the sand beaches because this is very much the beginning of the property development road. With a brand new international airport just opened charter flights from London have recently started which will kickstart the anticipated tourist boom. The Sabi Sands resort in Rochinha is one of the many newbuild developments for sale on the island.. Situated 300 metres from the beach the resort will include apartments townhouses and villas two swimming pools and a restaurant. There is also a five per cent rental guarantee offer for two years and prices start from 91828 (69000) for a studio apartment through Cape Verde Property Ltd. Alternatively the company is also selling studios in Casa Boteto on Estoril Beach from 45800 (34500) or a twobedroom penthouse in Por do Sol on the frontline of Cabral Beach for 160000 (121000).
Sal and Boa Vista are part of the drier eastern islands of the archipelago while the other upandcoming development hotspots of Sao Vicente and Santiago tend to be greener and more mountainous but with fewer beaches. Santiago hosts the countrys capital at Praia and is home to around half the population of Cape Verde. The dearth of beaches hasnt limited the development of the island which benefits from an international airport at Praia and direct flights to the UK. Despite fewer miles of sand Adrian Lillywhite says the beach at Sao Francisco is good and points to a new development called Sunrise Beach that will launch shortly right on Sao Francisco beach with prices for a twobedroom apartment from 150000 (113000).
The island of Sao Vicente is the cultural heartland of the country and its main port town of Mindelo boasts the birthplace of Cape Verdes worldrenowned singer Cesaria Evora. Outside of Mindelo the island is still relatively undeveloped but with yet another new international airport opening up in the next year the property developers have already begun to stake their lots on the island. TOPA is selling apartments and villas at the Fortim Mindelo beachfront development from 335000 (253000). Alternatively the Boat House being built on the Baia das Gatas coastline offers properties most with sea views from 235000 (177000) also through TOPA. For something with a bit of history C