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UK-based hotel property developer firm The Resort Group is now eying Indian high net individuals (HNIs) to attract investments at lesser known destinations like Cape Verde in Africa through fractional and complete ownership route. In India, it has appointed Herringer International Corporation as its business development advisor and India representative.
"Resort properties are marketed via an extensive global network of tour operators and airlines. This delivers the best possible levels of occupancy and performance, producing strong investor returns. In India, we are targeting HNIs to invest in Cape Verde. We have already approached 200 plus HINs in the country," said Harshwardhan Sukhatme, CEO, Herringer International Corporation.
Globally, The Resort Group is partnering with Melia Hotels International to develop three properties in Cape Verde and is expecting 3,25,000 guests by 2019- end.
Explaining the fractional ownership model, he said: "We offer a variety of fractional investments. You can invest into anything from a quarter to a twentieth, depending on the size of your budget. In fact, there are more than 40 different investment levels to choose from. Prices start from £10,000 for cash investors."
In 2015, Cape Verde had more than 5,69,000 hotel guests – an annual growth of 5.5%.
"The group is offering complete and fractional ownership with assured rental income. This business/investment model is proved already and The Resort Group partners with operators like Melia and Hilton. Tourism revenues from Cape Verde hotel properties is growing at 8.6% every year compared to 6.6% world growth average,” he adds.
The Resort Group claims that cash purchasers will benefit from a revenue generating asset within a hotel managed resort, and with prices starting at only £10,000, it is an accessible investment for all budgets.
Also, in the wake of various terrorist attacks in Europe, travellers are now rethinking their traditional getaway destinations. Seven countries across Europe are classified as being at 'high risk' of a terrorist attack including Belgium, Germany, France, Spain, Turkey and Russia.
As a result, across the world there are numerous, lesser known locations that tourists are searching to go to. There are nine countries at 'general risk' including Italy, the Netherlands, Greece and Austria.
According to Sukhatme, an increasing number of tour operators are planning flights to the Islands as they look to capitalise on its growing popularity. Tourism analysts predict islands are set to rival beach resorts in the Caribbean and the Canaries. Due to the size of the Islands and legislation restricting the amount of touristic development, investors enjoy protection against over-supply, underpinning the return and maximising potential for capital growth.
The Resort Group PLC specialises in the design, development and operation of luxury Hotels and Resorts. It’s headquartered in Gibraltar and it has representation throughout Europe.
