How did Cape Verde become the hot spot of the moment? -
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Published on: 10/12/2006
Last Visited: 1/16/2007
Trevor Byrne, the sales director of GEM Estates, believes the promise of good rental yields is a key factor in assuring investors of the solidity of what Cape Verde has to offer. Given the year-round holiday season appeal, investors can be sure that their property will seldom be left empty, he says. Tourism in Cape Verde has been increasing by at least 25 per cent over the past four years and given that direct flights from the UK are due to start in November, we cant see this slowing down for a long while.Unlike Eastern European destinations that have proved popular with Irish investors recently because of the low entry price, Cape Verde offers the opportunity to maximise on rental yields.
Byrne also points to the Cape Verdean government's desire to limit construction as evidence of that other key to investment security: capital appreciation.
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GEM Estates is also selling on Boa Vista, including at the sought-after Sabi Sands development with an optional five per cent two-year rental guarantee, and Trevor Byrne highlights the island's natural assets as a major draw for lifestyle buyers and, thanks to its appeal to tourists, for investors too."Boa Vista is dubbed the 'Sand Dune Island' and offers unspoiled nature.
Loggerhead turtles flock to Boa Vista's quiet white beaches to nest; Boa Vista's coral reefs are some of the world's most important and the island is also a feeding-ground for dolphins and humpback whales," he says.However, Byrne adds, "despite the visions of paradise that this surely conjures up, there are obviously practical considerations.
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"Prices have risen sharply in the past year but the quality of the developments on offer has also increased dramatically," says Byrne, adding that some of the apartments being built a year or so ago "were to a fairly shoddy to average standard"."Large five-star developments with world-class facilities are now coming on to the market.The involvement of experienced Irish and more recently a Scottish-based developer ensures that the quality of these new developments will ensure that Cape Verde will also prove popular with the luxury end of the travel market, which in turn will see rental yields increase," Byrne concludes.