Real Estate Investor Magazine South Africa December/ January 2018/2019 | Page 56

MAURITIUS
Why Mauritius is a
magnet for South African
property buyers
BY GAYE DE VILLIERS
C
onveniently accessible via short, direct flights from
Johannesburg, Cape Town and Durban, the idyllic
tropical island of Mauritius is proving irresistible as
a destination of choice for South African property investors
seeking to diversify their investment portfolios as well as buy-
ers looking to acquire residency for themselves or their imme-
diate family. 
Coupled with this, more and more South Africans are
doing business with Mauritius, making it an ideal location
to springboard activity elsewhere on the continent, while tax
rates for business and individuals are very attractive, at only
15% - with the advantage of no capital gains or inheritance
tax. As a result, there’s already a large South African expat
community on the island, adding to its appeal and making for
an easy transition for those permanently relocating. Mauritius
is currently also ranked first in Africa and 20 out of 190
economies for ease of doing business, according to the latest
World Bank annual ratings (Doing Business 2019).
“This trend continues to gather momentum with a surge in
acquisitions by South Africans over the past few years, and the
past 12 months in particular,” says Richard Haller, director for
Pam Golding Properties Mauritius.
“Mauritius has certainly come to the fore, offering strong
offshore investment opportunities in hard currency, as well as
a secure lifestyle, within a burgeoning economy with a stable
government, world-class international schools and a growing
tourism market. All this with appealing property investments
priced from only USD290  000 – plus, with purchases over
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DECEMBER 2018/JANUARY 2019 SA Real Estate Investor Magazine
USD500  000 you acquire permanent residency for you and
your family.
“While the bulk of our enquiries are from South Africans
and also French buyers, including French expatriates living
in Africa, who have a natural synergy with Mauritius, where
both English and French is widely spoken, purchasers also
emanate from Switzerland, Germany, Belgium and elsewhere
in Europe.”
For South Africans, interest continues to be centred around
the areas of Grand Baie on the north coast (dubbed the St
Tropez of Mauritius) and Black River in Tamarin on the west
coast – areas where Pam Golding Properties offices are located
- and in the price band from USD300 000 to USD2 million.
Both these areas have a developing infrastructure, numerous
recreational activities and a sense of community which augurs
well for those intending to live permanently on the island –
including retirees - or enjoying regular leisure breaks here.
There’s also a growing demand for property to rent from young
families relocating for career opportunities.
In this vein capital growth on investment is a key drawcard
for property buyers, together with sound rental returns. In
Grand Baie in the luxurious Mont Choisy Le Parc Golf &
Beach Estate, where properties are currently priced from
USD880  000, home owners have seen significant capital
growth, says Haller. 
“For example, we have recently resold a number of villas
at prices in the region of USD2 million to USD6 million,
which reflects capital growth of 50-60% in just four years.