What are the prospects for real estate in Mauritius?

What is the current state of the real estate market in Mauritius?

Mauritius is endowed with many advantages in terms of living environment, which makes it one of the top places for real estate investment on an international scale. Moreover, Mauritius has a good management of the Covid-19 crisis, which was stopped thanks to the measures applied quickly, which suggests good prospects for its real estate market. With the government's desire to facilitate real estate investment, several projects are underway in order to pursue the goal of integrating Mauritius into the 'smart countries' on the global scale.

What can be expected for real estate in Mauritius?

Mauritius is very attractive in terms of quality of life but also in terms of financial security and political stability. Investing in real estate in Mauritius provides a certain security that the government is reinforcing by creating new investment programmes. For instance, the Project Development Scheme (PDS) allows foreigners to benefit from high quality residences and to obtain a permanent residence permit once the purchase price of a property reaches the minimum of $375,000. The environment and ecology are two key aspects in the development of properties under this title.

In addition, alongside the PDS, the R+2 is the scheme that allows foreign investors to enjoy a flat or penthouse in a building with more than two floors. Again, this scheme allows for a Permanent Resident Permit for a minimum investment of $375,000. If the purchase price is less than $375,000, the purchaser can still live in the property for up to six months of the year, and can also rent it out. They can also live there all year round if they have a different residence permit (self-employed, investor, work permit, etc.).

Finally, acquisition under the Smart City Scheme (SCS) allows the acquisition of a property integrated into an environment geared towards a lifestyle that meets the expectations of sustainable development and improving mobility and economic development. Businesses, residences, leisure, health and education facilities all come together in a space focusing on innovation and improving lifestyles facilitated by new technologies. Foreign investors and Mauritian citizens under this scheme enjoy a number of advantages including exemption from income tax, VAT, registration fees etc. Find here all the details of the different investment schemes in Mauritius. To this day, Mauritius has several Smart Cities projects on its soil such as those developed in Moka, Medine, Montchoisy or Azuri. In the same way, up-market property programmes are multiplying on the island: Legend Hill, Eko Savannah, Anahita or La Balise Marina to name but a few.

Real estate investment in Mauritius offers a long-term guarantee and still benefits from a lower tax rate than elsewhere. Finally, the real estate market has a diversified range of properties and investment is made easier by the government and the new measures in force since the reopening of the borders at the end of 2021.

What is the future of the real estate market in Mauritius?

The Covid-19 pandemic has caused a hold in the country's economy following the containment and the closure of borders. Nevertheless, this sudden drop in activity can be seen as an opportunity to rethink the real estate market in Mauritius in the long term. It would be a question of finding a balance to meet the needs of the various clienteles, both local and international. Also, the pandemic has increased environmental awareness, particularly in the real estate sector in Mauritius.

More environmentally friendly ideas following environmental and energy standards are being developed such as eco-responsible construction in many PDS programmes and in Smart Cities, with the use of local and natural materials or renewable energies, or the liberation of coastal areas by developing, inland, developments that meet the new urban expectations in which proximity, integration with nature and social interaction are key elements.

Our team BARNES Mauritius, present on the whole island is at your disposal for any information or to accompany you in an investment project in Mauritius. Do not hesitate to contact us here.