Beach condo sales set to show healthy growth

Cayman Islands Real Estate Brokers Association statistics show a healthy volume in beachfront condo sales this year. To date this year, there have been 37 beachfront condos sold along Seven Mile Beach (January to August) versus 39 for the same period last year. Of the 37 units sold this year, 17 sold for more than US$1 million and six for more than US$2 million. In 2012, 15 sold for more than US$1 million and five for more than US$2 million, resulting in dollar volume growth of more than 33 percent this year in this luxury segment of the Seven Mile Beach condo market. Sales of developments under construction are not reflected as sales by CIREBA until the construction is completed; therefore, the statistics indicate that sales of higher value condos are on the increase, even without new development sales figures. Once the sale of new developments, such as the WaterColours, are included, we will see a substantial increase in beachfront sales this year.

New demographics of buyers

Just recently, I have been receiving an increasingly frequent influx of calls from U.S.-based people looking to invest in Cayman real estate as a way of diversifying their portfolios and protecting their assets. Dissatisfied with the political direction in their home country and low interest rates yielding very little on cash deposits, they are looking at other safe and stable environments within which to place their investments and protect their wealth for themselves and generations to come.

With its easy accessibility to the U.S., low crime rate, warm weather and sophisticated infrastructure, I am happy to advise them that Cayman fits the bill perfectly.

Let’s be clear here: this is not about tax evasion; it’s about asset protection to ensure that they have their hard earned funds invested in something that will eventually yield financial rewards, while at the same time offer a wonderful opportunity for themselves and their loved ones to enjoy a firstclass vacation in the Caribbean sunshine.

Cayman is quickly becoming the No. 1 choice for North American investors and I am delighted to be able to assist them with their investment decision. The islands offer a firstclass destination for vacationers eager to escape the North American winter and with our excellent airlinks that fly directly to many major North American cities, such as New York, Houston, Dallas, Chicago, Atlanta and Toronto, we are able to reach out to a large segment of the market.

This can only bring benefit to the Cayman Islands as a whole, injecting cash into the economy through real estate duties and fees and subsequently into the hospitality and retail markets as these visitors enjoy the islands during their stay.