Gibraltar property development reaches new heights
Following on from Fridays post on newly launched Quay 27 in Gibraltar, I feel a profile is in order. Not the first place to come to mind when plotting the property hotspot map, but a marina redevelopment program similar to London docklands is paying dividends as The Rock as it is locally known, enjoys a property boom. Add into the mix, limited land upon which to build, 7 square km to be exact and a thriving tourism and financial services economy thanks in part to its status as an offshore jurisdiction but more recently to the online gaming industry who’ve set up shop attracted by a favourable tax regime, and its clear why property may also prove a good bet.
Luxury apartment living is the order of the day with mammoth projects such as Royal Ocean Village (sold out) already onto its second phase, Grand Ocean Village and Taylor Woodrow’s three-tower Tradewinds project on schedule for a 2007 completion. As land continues to be reclaimed from the Ministry of Defence there are calls for the Government to approve more ‘affordable housing’ projects for first-time buyers whose only real alternative is to buy in Spain bordering town La Linea where prices are significantly lower and commute across. With starting prices of apartments slightly lower than that of the UK, initial investment required is quite high when compared to say Spain but the market is inherently residential so rental yields remain strong supported by a continued growth in the local economy.
FACT FILE:
Status: British Colony – in 2004 27,800 Gibraltarians voted overwhelmingly to remain a British dependency
Location: Southwest Europe, The Rock of Gibraltar lies on the Southern Tip of the Spanish Peninsular, at the entrance to the Mediterranean sea.
Flights: Daily flights from London Heathrow, Gatwick, Luton and Manchester by British Airways and Monarch Airlines. Flying time: 2.5 hrs
Talk: English and Spanish which often intermingles to create Gibberish!
Money: Currency is Gibraltar Pound (GIP) which equates to Pounds Sterling (GBP) but Euros widely accepted at a pitiful rate naturally.
Tax: Capital Gains Exempt
Buying Costs: Stamp Duty 1.26% & 0.13% on Mortgage, land registry approx £300 and legal fees approx 0.5% of purchase price.
Weather: Hot Summers, Mild Winter – prone to fogginess which can cause landing problems in winter and a diversion to Tangiers airport in Morocco.
Having lived in Spain for over 4 years and visited for the odd necessity, Gibraltar doesn’t strike you as a particularly attractive or interesting place to live especially for somewhere you have to queuing to drive into and out of. Dolphin watching, vista points, Barbary apes and old military sites are the main tourist attractions. The newly restored Casemates Square has an air of Olde Worlde England and is a pleasant enough place to enjoy a coffee but the Main Street shopping area is smaller than some shopping malls I’ve visited and cheap designer perfume, electronics or rock bottom cigarettes and alcohol seem to take precedence over a limited selection of your standard British high street names.
