Rising above the cerulean waters of the Indian Ocean, Mauritius has long been recognised for its picturesque landscapes, vibrant culture, and economic resilience.
Beyond its natural allure, the island nation has become a hotspot for real estate investment, drawing local and foreign investors’ attention.
Overall growth of the Mauritius real estate sector
The real estate sector in Mauritius has experienced steady growth in recent years, underpinned by favourable macroeconomic conditions and government initiatives aimed at bolstering the industry.
According to Statista, Mauritius’s “real estate market is expected to reach a value of USD 24.72bn in 2024. Among the different segments, residential real estate dominates the market with a projected market volume of USD14.39bn in the same year. Looking ahead, the market is anticipated to experience an annual growth rate (CAGR 2024-2028) of 3.43%, leading to a market volume of USD28.29bn by 2028.”
Implementing investor-friendly policies, such as the Integrated Resort Scheme (IRS) and Real Estate Scheme (RES), has facilitated foreign investment and stimulated development across the island. Furthermore, ongoing infrastructure projects, including expanding road networks and modernising utilities, have enhanced connectivity and spurred demand for real estate in emerging regions.
Factors driving investment in Mauritius property
Several factors contribute to Mauritius’ attractiveness as a real estate investment destination. Foremost among these is the country’s political stability and transparent regulatory framework, which instil confidence in investors and foster a conducive business environment.
Mauritius’s status as a global financial hub, coupled with its favourable tax regime and double taxation treaties, incentivises foreign investment in the real estate sector. Moreover, the government’s commitment to sustainable development and initiatives promoting foreign ownership rights further enhance the appeal of investing in Mauritius’s property market.
Types of properties in demand
Mauritius offers various properties catering to different preferences and investment objectives. The market caters to buyers and investors, from luxurious beachfront villas and upscale apartments to gated communities and commercial spaces. In a recent interview with Investor’s Mag, 2Futures CEO Junaid Salehmohamed notes their clientele used to be older individuals who had accumulated wealth over the years. “However, a discernible shift is now evident, with a growing presence of younger buyers who place significant emphasis on secure investments.
Furthermore, the market dynamics have evolved from a predominant focus on international buyers to a noteworthy concentration of property investors within the local Mauritian landscape, which is understandable since Mauritius is the wealthiest country in Africa per capita.”
Sustainable developments
In recent years, there has been a noticeable uptick in demand for eco-friendly properties and sustainable developments, reflecting a growing global trend towards environmental consciousness.
Going some way to meet that demand, property developers 2Futures launched the ‘résidence premium Pierre & Vacances Ile Maurice‘ in Bain Boeuf in October 2023. Available accommodation ranges from studios to three-bedroom apartments. Pierre & Vacances-Center Parcs Group specialises in tourism services, offering holiday and entertainment villages, leisure activity residences and hotels within its portfolio.
“We recognise the rising importance of environmentally conscious features. ‘résidence premium Pierre et Vacances Ile Maurice’ will be built with this in mind. We are committed to achieving both EDGE certification and Green Key certification, affirming our dedication to delivering residences that meet the highest environmental standards,” says Junaid Salehmohamed.
Popular locations for investment
While Mauritius boasts several desirable locations for real estate investment, and certain areas have emerged as particularly sought-after among investors. The bustling capital city of Port Louis remains a prime destination for commercial real estate ventures, driven by its strategic location and robust business ecosystem. Additionally, coastal regions such as Grand Baie (north), Tamarin (west), and Belle Mare (east) continue attracting investors seeking premium residential properties with stunning sea views and world-class amenities.
Mr Salehmohamed states that the north and west regions remain focal points for their buyers, each locale offering a distinctive lifestyle. 2Futures has offices in both areas to cater to the needs of prospective property investors. “The north boasts a dynamic urban scene, including nightclubs and shopping centres, while the west appeals to nature enthusiasts with opportunities for activities such as hiking, diving, and kite surfing. Our commitment is to provide tailored solutions that cater to the diverse preferences of our esteemed clients,” he says.
Where to buy property in Mauritius
Meanwhile, construction has started at The Essence in Trou aux Biches in the north within Casuarina Resort & Spa with private access to the Cardinal Exclusive Resort.
Moreover, 2Futures hopes to begin construction on two off-plan projects in the west in 2024, namely Marina Bay Boutique Apartments, and Sunset Cove. Construction at La Pirogue Residences is already underway.
You can purchase a 200sqm one-bedroom apartment on the first floor of La Pirogue for USD499,000. Located in popular Flic-en-Flac, flanked by prestigious hotels, this investment has the added benefit of participating in a rental pool programme.
Homeowners enjoy a beachfront resort lifestyle with direct beach access from modern, sophisticated homes with state-of-the-art amenities. You can also access the neighbouring hotel facilities year-round.
Do you prefer the north? Then Ocean Grand Gaube has a rare resale opportunity. A two-bedroom beachfront apartment has come onto the market for USD 660,000, offering idyllic views of Mauritius’s top asset – the Indian Ocean. Direct access to the shores of Grand Gaube Bay is one of many perks to living here. You can explore the area further here.
Luxury residences to commercial ventures
As Mauritius continues to assert its position as a leading investment destination in the region, the real estate sector is expected to reflect continued growth and innovation. With an array of property options, from luxury residences to commercial ventures, and a conducive investment climate supported by economic stability and government policies, the island nation offers ample opportunities for discerning investors seeking to capitalise on its burgeoning real estate market. As the market evolves in response to shifting consumer preferences and global trends, savvy investors would do well to stay abreast of developments and seize the opportunities in Mauritius’ dynamic real estate landscape.
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