Developer plans more one bedroom apartments for luxury Cape Verde resort
Strong investor demand for one bedroom apartments in a luxury resort in Cape Verde has prompted the developer to revise plans and build more.
At a time when many development resorts are not selling well and financing can be difficult to secure, the Resort Group Plc said it has been stunned by demand in the five star Dunas Beach Resort and Spa on Ponta Preta Beach on the west coast of Sal Island in Cape Verde.
The group planned to build a total of 470 fully furnished one bedroom apartments and studios, in addition to villas and hotel suites, but, in order to keep pace with demand for the popular small properties it has redesigned some of the apartment buildings to create an additional 224 new one bedroom homes.
It is the fact that the one bedroom apartments and studios are competitively priced that seem to be attracting interest at a time when real estate buyers and investors are conscious of price and seeking out bargains.
They are particularly popular with investors who are in the forefront of buyers at Dunas Beach where 70% of the 1,505 properties already have been sold off plan. In addition to cash investors, many have opted to buy through a SIPP (Self Invested Personal Pension), according to the Resort Group’s marketing director Adam Ellis.
Ellis predicts that investors will achieve an annual capital growth of up to 9% for the next five years. The properties at Dunas Beach, which will be managed and let by the world’s largest resort hotel group, Sol Meliã, under its MELIÃ five star European rated brand, are expected to produce rental yields of 13% and on some properties as much as 22%, according to projections based on research and analysis undertaken for The Resort Group by property consultants Savills.
The properties at the Dunas Beach Resort and Spa were designed by Malaga based architectural practice HCP, which drew up the master plan for the resort. The properties combine traditional Mediterranean style exteriors with contemporary interiors designed for indoor/outdoor living. All the air-conditioned properties can be supplied fully furnished to the high standards demanded by Sol Meliã.
Facilities at the Dunas Beach Resort and Spa will include five bars, four restaurants, tennis courts, a gymnasium, pools and a Meliã Yhi Spa offering a range of treatments. A wedding pavilion, the island’s biggest conference centre seating 400 delegates and a medical centre are included in the plans as well as food and gift shops and a children’s club and crèche.
Alongside the resort, other developments include the first of four new 18 hole golf courses. Also in hand are plans for a 360 berth marina close to Dunas Beach Resort.