French Leaseback in Le Grau du Roi - 1011402
|
|
|
Investment
|
|

Capital growth potential:

Languedoc-Roussillon welcomes every year more than 36 million tourists. Demand is strong across the coast and constantly increasing. Near the residence: 18 kilometers of sandy beaches among the wildest in Europe allows traditional and modern seaside’s activities (swimming, boating, windsurfing, sea kayaking, diving, jet ski , water skiing, fishing , kite surf )..

ü  There is almost no competition within the 25 km radius; even if there are, they do not offer the same services and facilities.

ü  More than 41,000 seminars and business meeting held in Languedoc Roussillon in 2008

ü  Strong demand from the business clientele

ü  More than 5.5 Million overnight stays in 2008

ü  Occupancy rate of 53% per year

ü  In 2008, the property price index increased to 5.5%

The lease agreement:

The freehold apartments will be leased for 9 years by one of the largest French tour operators. This is an investment leaseback offering a net rental yield of 4.5% without occupancy.

Rents will be payable on a quarterly basis, and will be linked to inflation. Rent-Index maximum increases of 1.5% on average per annum.

The Management Company:

The residence is fully managed by SAS Soleil et Vacances it is a company specialised in the management of business and tourist residences. Its owner and director has a modern and innovative vision of property development for nearly 30 years.

They have bank guarantee from Banque Populaire du Midi for the rents payments.

The VAT refund:

By signing a management agreement for 9 years, the 19.6%VAT that is included in the purchase price of all leaseback properties in France is fully refundable to the owner by the government following completion of the development. VAT paid within the purchase price of the parking and furniture package will also be refunded.

In this development, the developer will pay the VAT upfront! Thus, you can finance the property excl.VAT!

The Stage payments:                         

Reservation Contract – 5% - Total 5%             

Signing of final deeds - 95% - Total 100%           

Reservation Process:

In order to take a property off the market, a 5% deposit will be requested, based on the total price including VAT. This deposit is fully refundable if you cannot get a mortgage. The funds will be transferred to the notary office in charge of the development and will only become available to the developer upon signing of the final contracts.

 

Full details of the buying process and the relevant parties involved will be sent to you upon request.