At the outset of a very distinguished career, Diana felt she was at a turning-point in her life. She had already been successful on the working and family levels and the quality of life she had by now reached was enough to make plans for what seemed unrealizable before. So here she comes, in her fancy clothes, for today she has made up her mind to spend more than a holiday out of Paris in her beloved native land, in Mauritius, but in a select way : she is going to buy high standard property there.

?Oh you know, it was like a trigger. I was lunching at a famous Mauritian restaurant of the 16th arrondissement and my attention was caught by a poster mentioning dream and well-managed bungalows in Flic-en-Flac.? At first, she was not completely convinced. ?Many Mauritians who have settled abroad hesitate to invest in property in Mauritius because they don?t trust the property management there?, explains Denis Boussac, property consultant at Overseas Properties, a real estate agency specialized in international investment, which carries out this kind of advertisement for expatriate Mauritians in places frequented by them (www.overseasproperties.com). Frequently the latter have already had bad experiences with properties that they left in the care of relatives.

Capital gains and inheritance taxes

This is not the case here. ?This real estate consists mainly of non-IRS but top-grade properties. Property management includes rental pool, in a way close to Pierre et Vacances in France. So the owner can live six months in Mauritius and six months in France. Not only is the property well kept, but it is also rented to tourists during the owner?s absence?, adds Denis Boussac, who works in a London-based branch office of this company residing in France. One example of these properties is Richland villas in Flic-en-Flac, combining this facility with, as says the publicity, ?relaxed beachside lifestyle and all the advantages of a city grocery store, banks, pharmacy, shops and restaurants, all within a short walk?.

Trema Properties is the linking estate agency in Mauritius. ?We organize guided tours in coordination with Overseas properties roadshows where the customer can have the optimum information?, adds Malty Soniassy. Whatever the situation, the demand is greater than the offer.

?There are other ways to make people aware of possibilities to invest in Mauritius. This depends also on the targeted customers?, says Denis Boussac. ?For corporate people and managers, that are more likely to invest in Integrated Resort Schemes (IRS), we will produce editorials in the specialized press (Financial Times, Irish Times and Mauritius News)?. The aim is to arouse interest on possibilities to escape capital gains tax on properties (that does not exist in Mauritius) and inheritance tax (that can represent huge sums of money for their heirs when a property is transmitted to them).

Though quite new to Mauritius, the IRS concept has already been well settled in the Caribbean and in the Dominican Republic, where investors benefit from advantages that are not given in Mauritius, like the guaranteed rental scheme, with 8% of return on the property?s value on 5 years. Why not in Mauritius? The offer is not so seasonal and the scaring shadow of the chikungunya is slowly vanishing?

?But the brand factor that situates Mauritius as a top-notch destination and a fiscal hub, the standing of the IRS, with well sought-after golf facilities, the level of hospitality, the political stability, the safety and, very important, the accessibility, through at least two flights per night to major European cities are decisive factors?, follows Denis Boussac. ?The quality of the destination is also supported by the persona non grata system, which allows authorities to make an enquiry before accepting investment from abroad.?

As IRS villas are worth around US$ 800 000, the means that such an agency like Overseas Properties (or Playground in Mauritius) deploys can be enormous. This ranks from seminars in London, Paris, Cannes or Indian cities to renting an helipad (at Rs 27 000 per flight!) in Mauritius to bring international journalists and clients to the resort. ?This last means is what we call the Wow! factor. But there is plenty to improve on that front in Mauritius. Adjustments begin with the manner tourists can be sometimes harassed by taxis and other traders at the airport.?

In Europe, Overseas Properties, through a communication agency (H Communications in UK) tries to target the best customers profiles: ?It is the agency that will prepare the editorials to be published in the financial newspapers. It also does the publicity for the roadshows we organize in the country?, explains Denis Boussac. These roadshows will obviously take place in hotels of the stand of the Hilton or Sheraton.

Retired managers encouraged to invest

A world-famed exhibition, like the MIPIM this week in Cannes, is also a good way to build networks and useful contacts. ?Mauritius is an emerging market. We expect a lot of returns from such events.? Many potential clients are regular visitors of the island. ?One of my last customers is of Belgian nationality?. According to the Board of Investment (BOI) and the IRS scheme for the purchase of a villa, a non-citizen should first register with the BOI as an investor. He has to pay a tax of 50,000 USD or its equivalent in euros or GBP on resale of residential property.

In the facts, a huge part of the market is composed of retired managers, who are thus encouraged to invest in a new business. ?Retired corporate, especially in France, find Mauritius particularly appealing as, in addition to the beauty and safety of the island, there is no language barrier here?, remarks Denis Boussac.

?Actually some have already taken an option on properties in an IRS in the South.? But interest does not always mean the signature of a sale contract.