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Tourists Head New Invasion Of Grenada
March 4, 2009Article by Ray Withers
If you’re looking to spice up your investment portfolio with property in an unspoilt, secluded sunshine island, then Grenada may be the place for you. After celebrating 35 years of independence after the infamous US invasion, the former Spice Isle is now a top destination for a new invasion of Caribbean property investment and tourism. Grenada is one of the forgotten Caribbean islands with miles of unspoilt coast, picturesque mountains and lush tropical forests seemingly undisturbed by the worst excesses of the 21st century. Investment dollars are arriving almost as regularly as the 200 cruise ships that dock in St Georges, the capital, every year. A huge development of infrastructure is underway to support the government’s ambitious plan of only allowing top quality, luxury building of resorts and hotels on the island.
The planners on Grenada have the advantage of looking at the successes and mistakes made by their peers in allowing Caribbean real estate development and are determined to avoid the pitfalls encountered by other islands in building tourist economies. With a population of just 120,000 – about the same as a town the size of Ipswich – and a lack of natural resources, Grenada has problems producing the money internally to fund expansion based on what is mainly an agricultural economy. That’s why international investment to boost tourism has been sought and is beginning to pay off as the island has quickly climbed to one of the top cruise ship destinations, with the floating hotels disgorging more than 250,000 tourists a year to open their purses and wallets to support the local economy.
Scarcity comes at a price, and the paradise playground at Bacelot Bay, Grenada, is a high-end quality five-start resort that reflects the government’s planning policies. Clinging to the cliffside over the beautiful bay with its soft, white sand beach and ubiquitous palm trees, Bacelot Bay is a small resort built with a village atmosphere with properties of different sizes. The facilities include world class diving and water sports, dining and a sumptuous spa. Available from international property consultants Property Frontiers, Bacelot Bay is set in 41 acres of tropical gardens
Properties range from studio apartments to magnificent four bedroom villas.
Offering high net yields of between 11.3% and 14.3%, owners receive four free weeks at the resort a year and can buy in for as little as £71,550 with a 70% loan-to-value mortgage. Grenada’s tourist market is supported by direct flights from the UK, USA and Europe. Restricted resort building on the island is a policy the government is expected to maintain, and due to the simple economics of supply and demand, with 89% hotel occupancy already reached and a lid on future development, property at Bacelot Bay is likely to appreciate year-on-year.