Just off the East African coast in the Indian Ocean, the spice island of Zanzibar is known for beautiful white sand beaches, spectacular sunsets, stunning landscapes, and tranquil forests. And Zanzibar is fast becoming one of the world’s hottest post-pandemic investment locations.
Tourists flock to Zanzibar. In fact, tourism has increased dramatically in the past few years. More than 620,000 foreign tourists were recorded visiting in the 2020/2021 financial year – almost 200,000 more than anticipated. This makes a property investment within the tourism sector – one that also offers a return based on holiday rentals – a highly attractive option for astute investors.
A new, first-of-its-kind luxury resort development in Zanzibar, Blue Amber, is now offering a limited number of two-, three- four and five-bedroom, luxury ocean front villas available for purchase.
This new property investment opportunity allows any global investor to purchase affordable luxury property on the tropical island paradise – and here are the top five reasons why you should consider it.
Zanzibar is stable – politically, socially, and economically. Although a small island economy, it is part of the larger Republic of Tanzania which has enjoyed relatively high economic growth over the last decade, averaging 6-7% per annum (according to the World Bank). In July 2020, Tanzania formally graduated from a low-income country to lower-middle-income country status – with trickle-down benefits on the Zanzibarian economy. The economy is diverse with agriculture, quarrying, mining, industry, electricity generation and services all playing a part – together with tourism. Tourism is where the opportunity for investment is particularly exciting.
2. First to Market
Until recently, foreigners couldn’t purchase property in Tanzania. Zanzibar only opened its doors to non-Tanzanian resident investors recently, and Blue Amber is the first development open to foreign investment. The chance to invest early in this incredible development is sure to reap dividends.
3. Tax benefits
Blue Amber is a Strategic Investment Project, which allows property owners to gain significant tax benefits – such as a 15% tax rate on local income earned, no tax on worldwide income, and no capital gains tax, stamp duty or inheritance tax on properties purchased.
Property investors, along with their spouses and any children under the age of 20, are eligible for residence permits lasting the duration of property ownership. And there is no minimum amount of time that must be spent in-country to qualify.
Blue Amber is currently the only strategic investment real estate development in Zanzibar, with an untouched natural beach, offering views of pristine Muyuni beach and Mnemba Island.
Blue Amber is a luxury mixed-use, waterfront resort development which nestles along four kilometres of magnificent, unspoilt Indian Ocean coastline – occupying 410 hectares of tropical landscape on the north-eastern side of Zanzibar.
Set to become Zanzibar’s premier island resort hotel, it incorporates residential, hotel, tourism and community and public amenities.
The largest resort development of its kind in East Africa, Blue Amber includes the Shirazi Resort and Villas which comprise 54 luxury pool villas, a leisure centre and premium four-star resort hotel – all set within a secure, private estate, designed to maximise the spectacular views of either ocean, lakes, or the golf course.
Once fully completed, the resort will also boast two ‘barefoot’ luxury eateries, a spa, yoga pavilion and gym, as well as a beach club and pool, replete with pool bar.
6. Return on Investment
Villa owners can opt to place their luxurious villa property back into a managed rental pool – earning an attractive return on investment. Should an investor wish to rent, the rental villas will be managed by NEWMARK Hotels, Reserves, Lodges & Residences, which offers a fully integrated property management service.
Another added benefit is the staggered purchase payment scheme. Investors can opt to pay US$5000 upfront as an exclusivity reservation payment. Upon agreement, there are then four easy instalments payable in a period of one year before hand over.
Blue Amber enables non-Tanzanian residents to buy residential property in Zanzibar on 99-year leases with the option to extend ownership by 49 years.
The villas are available to purchase, with prices starting from US$197,125 for a two-bedroom, two-bathroom unit with a private pool and roof-top terrace, or from US$319,000 for a double-storey three-bedroom, three-bathroom villa.
Construction of the villa residences and visitor’s centre has commenced, and the first villas are due for completion within the next 12 to 14 months.
NEWMARK Hotels, Reserves, Lodges & Residences is managing global sales, marketing and operations for Shirazi Resort & Villas. Newmark is also handling villa rentals on owner/investors behalf. On the ground in Zanzibar, local real estate expert REMAX OMELA is handling sales.
This prestigious new resort development will put Zanzibar on the map as a high-end lifestyle destination offering sound investment opportunities as a year-round permanent residential or rental location.