In addition, commercial property generally offers strong income yields and historically, returns from commercial property have been far less volatile than those from investments in stocks and shares with commercial property having delivered positive returns in each one of the last 10 years in the UK for example.
Now, thanks to the fact that new residential property markets have emerged around the world, new commercial property markets are also emerging and offering the likes of you and me a chance to cash in on attractive commercial rental yields and capital appreciation by buying in at attractive and achievable prices.
As Gene Sperling, former economic adviser to Bill Clinton and now Bloomberg columnist recently pointed out: "commercial real estate tends to lag behind housing trends. The residents of new developments need stores to shop in and offices to work in, so commercial projects are planned after a town starts booming and are completed in the following quarters. So when times are good for housing, commercial property makes the real-estate investment news even better."
And nowhere are times better for housing than in Cape Verde, which is now also a perfect example of an emerging market offering commercial property investment opportunity; what's more, Cape Verde is also a location in which a number of Britons have already made a success of the commercial property scene.
Bev Chadwick saw an opportunity to buy into the residential and commercial property market successes of Cape Verde and build herself a new life and a new business at the same time.
Disillusioned with the UK and keen to start a new life abroad, Bev was also very astute and realised that to do so she needed a strong income source in her new overseas location to ensure that her standard of living remained comfortable.
As a friend of the directors of Cape Verde Property Ltd, Bev took the advice of Managing Director Adrian Lillywhite very seriously when he explained to her about the rate at which the real estate market in Cape Verde is developing, how the tourism growth, direct flights and additions of high-end resort style developments are all having a highly positive effect on the location's real estate market. However, not content with someone else's opinions alone, Bev took it upon herself to take a closer look at the archipelago.
"What I found in Cape Verde was everything I was looking for. It's a place where I knew I would be able to build a new life for myself, where I could establish a home, build a business, make friends and ultimately, settle down into a comfortable way of life, with fabulous weather.
"I carefully researched the residential property market and found an apartment for sale at a comfortable price that has already risen in value since I bought it. I have been able to add value to it by adding an extra mezzanine bedroom, and now I can sit back and enjoy watching the rest of the island develop around me, and with each piece of completed infrastructure improvement such as a new road I know that this is having a positive impact on the value of my property!"
As Bev is well below retirement age and perfectly typifies the type of Briton recent surveys suggest is currently considering relocating abroad – i.e., she is well educated and keen to find well paying employment or a profitable business venture abroad – Bev next set her sights on finding a commercial property for Cape Verde Property Ltd.
"As the premier UK based agents for Cape Verde we also wanted to establish an office in an excellent central location in Santa Maria not only to offer local resale properties to walk-in clients but also offer service to our clients coming from the UK to view the various off plan developments, and also help them visit the other islands if necessary.
It took Bev quite some time to find what the company was looking for, because as Gene Sperling pointed out, the development of commercial premises lags behind that of residential real estate. But today Bev Chadwick has her perfect office and is well placed to assist others who are looking for commercial or residential real estate in Cape Verde.
Kieran Molloy and Amy Keenan are two other buyers who have fallen on their feet when it comes to commercial property in Cape Verde.
"We wanted to open an Irish bar in Cape Verde, we were not even thinking about investing in property per se." Advises Kieran.
"But once we found our premises and established our business it suddenly became clear to us that we had actually achieved the Holy Grail! We had built a profitable business that was increasing in value month by month, and we had done so within a premises that was actually increasing in value month by month as well!"
The demand for commercial premises and also profitable and established business concerns in Cape Verde is increasing in line with demand from tourists and expatriates for services and facilities, and it is growing in line with local and expatriate demand for premises from which to run businesses which are in demand! Therefore it is something of a win-win situation in Cape Verde's commercial sector currently in terms of demand, and this is impacting on the price of commercial property and businesses for sale very positively.
As Adrian Lillywhite from Cape Verde Property Ltd points out: "The sudden interest in commercial property in Cape Verde represents just the tip of the iceberg when it comes to the overall, long-term requirement for premises and businesses for sale."
"Cape Verde is a location developing rapidly. It is witnessing population growth, it is witnessing a flourishing tourism market that is continuing to expand, and it is a location where new services are required and where people can see increasing business opportunity. This is why we have seen the rental rates that commercial property owners enjoy rise from an average of EUR 500 per month last year to reach between EUR 800 and 1,500 this year…"
If you're looking for commercial property investment opportunities or going business concerns in Cape Verde, here are just a handful of examples to choose from: –
78 commercial units at the Vila do Atlantico apartment development in the heart of Santa Maria are for sale with prices starting from just EUR 90,000. Buyers are purchasing commercial property within a residential development where there is waiting and targeted demand for services and facilities and where there is also waiting demand from would-be business owners seeking premises to rent.
A range of commercial units at La Christine and La Colette Apartments in Santa Maria are also available with prices starting from EUR 35,000.
For someone seeking a business for sale how about a quad bike ice cream business? Ice creams, drinks etc., are sold from refrigerated storage on the quad and the business sale includes the quad bike and the goodwill. The asking price is EUR 25,000 with estimated turnover of EUR 1,000 per week during peak season.
Or for those who want purely commercial premises as investment assets or who are looking for a location to start their own business there are commercial units for sale at the Salina Sea Aparthotel. The hotel is well located in a frontline position and is scheduled to be completed in two years time; each of the commercial units overlooks a communal square and pools with prices starting from EUR 135,156.
