50-50 Split on Dunas Beach Resort

Location: Sal Island, Sal Island, Cape-Verde

Price: £82,849

Property Reference: 50-50DBR

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Property Information

Fractional Ownership now available in 5* Sol Melia Resort in Cape Verde
Scenario 1

Sell in 5 years (after completion)
(Total 7.5 year investment term)
Gross Price at reservation €199,900 (i.e. €99,950 x 2)
Price on completion €236,876
(conservative 7% growth during 2.5 year build cycle)
Assumed growth after completion
(Very conservative)
7% per annum for 5 years
Sale price after 5 years €332,231
Less Net Purchase Price €174,312
Total Growth €157,919
50% share of growth €78,960
+11 month of mortgage free rental € 7,975 (€725 x 11 months)
GROSS 50% REVENUE €86,935
Less completion taxes at 6.5% €6,497
NET 50% REVENUE = €80,438
Sterling Equivalent £73,125 (assuming €1.10-£1.00 conversion rate)
INITIAL INVESTMENT REQUIRED £51,974
7.5 year ROI % 140%
Annual average ROI % 18.6%

Scenario 2

Sell in 7 years (after completion)
(Total 9.5 year investment term)
Gross Price at reservation €199,900 (i.e. €99,950 x 2)
Price on completion €236,876
(conservative 7% growth during 2.5 year build cycle)
Assumed growth after completion
(Very conservative)
7% per annum for 7 years
Sale price after 7 years €380,371
Less Net Purchase Price €174,312
Total Growth €206,059
50% share of growth €103,030
+35 month of mortgage free rental €25,375 (€725 x 35 months)
GROSS 50% REVENUE €128,405
Less completion taxes at 6.5% €6,497
NET REVENUE €121,908
Sterling Equivalent £110,825 (assuming €1.10-£1.00 conversion rate)
INITIAL INVESTMENT REQUIRED £51,974
7.5 year ROI % = 213.2%
Annual average ROI % = 22.4%

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