In the aftermath of World Cup Cricket, and with the USD$ pegged Eastern Caribbean dollar at an all time low against sterling (EC $5.35 to £1) the St Lucia land and property market continues to attract external investment interest.
With Government residential and tourism development incentives attracting long tax and duty breaks, the island has benefited from major new overseas owner targeted
developments, such as Lincolnshire based developer DCG’s Le Paradis on the East coast. This promises to be the flagship golf and beach resort in St Lucia.
With a US$500m total spend, Le Paradis also boasts a Greg Norman signature golf course and brand names such as Troon Golf and a 6 star Westin hotel. Phase one is due to open late 2008 and Brown & Co is marketing in the UK.
Such developments are fuelling the market, particularly at the upper end; although there are local purchasing and development opportunities for those who look carefully and prefer an alternative to resort based property.
Purchasing property in St Lucia, and elsewhere in the Caribbean, requires focus as to purchasing objectives; whether as a second home for family and friends, strictly as an investment for income and growth, or land development opportunities.
The market is anything but transparent, and a grip on market values and the huge range of quality and locations is essential. Local mortgage rates are typically at least 2.5 % higher than those in the UK and so funding the purchase from the UK may be an option for some.
Planning legislation is relatively relaxed compared with the UK and individual residential sites are relatively easy to obtain.
To buy, non-nationals require an Alien Land Holding licence, which is a formality. Purchasers should be prepared to drive a hard bargain with local lawyers to prevent 3-5% of property value being charged as well as plenty of time and patience as the pace in the Caribbean is relaxed!
