Cape Verde Property Back on Top as New Resort Opens
16 May 2011
The 85 million Euro Melia Tortuga Beach Resort was officially opened this week by the Resort Group on the island of Sal in Cape Verde. The resort opened 100% sold, with incredibly only 4 units purchased by non-UK buyers. Another headline figure was the fact that half of the 370 units were sold through UK approved SIPPS. Surprisingly most of the now sold-out resort was sold off-plan; surprising because of the negative press off plan sales have received in recent years.
Charlie King, managing director of the Resort Group feels that Cape Verde has some of the best development land in the world and that Tortuga Beach will give investors a good return. He said that capital growth rates in the islands were good, averaging around 10% over the past few years, and that investors should get returns of at least 6% per year.
Suring up return prospects, the Resort Group has a 25 year deal with Sol Melia, a management company capable of achieving good occupancy rates and getting a good return for investors.
The developer is already selling its next blockbuster. The Dunas Beach resort is twice the size of Tortuga Beach and is set to become one of the top resorts in Cape Verde. The 1206 unit development, which will have the islands only conference facility equipped with the latest audio visual technology, is already 50% sold out.
The strong sales of these two developments are a massive testament to the continued popularity of Cape Verde property. Construction contracts are currently being negotiated for the next development from this developer on the island.