Assetz® News - Property investors may bank on Cape Verde heritage

Property investors may bank on Cape Verde heritage

22nd June 2009 |

Cape Verde has been among the more exciting emerging property markets for many people in recent years. Being the closest tropical islands to Britain has offered one reason for its appeal once direct flights became a reality, something that has been the case since 2006. To that may be added plenty of sun, sand and scenery.

Nor do the attractions stop there. The archipelago has seen substantial economic development, with the country joining the World Trade Organisation last year. It also enjoys a stable democracy, with two main parties and peaceful changes of government taking place since free elections began in 1990.

Of course, the downturn in the world economy has meant that questions have been raised over the futures of markets all over the world, so naturally Cape Verde is also coming under scrutiny.

But Cape Verde is still a good place to invest, according to sales executive at Cape Verde Property David Endersey. He stated: "It is a great time to buy at the moment because developers and some people who have bought earlier are trying to encourage sales as soon as possible."

Moreover, Mr Endersey noted, some things don't change whatever the world economic situation, stating: "Cape Verde has got all the advantages it has always had, the good weather, the beaches, the fantastic blue waters, so we are still confident about it being a great place to invest."

Of course, the world downturn will end - many believe on the basis of recent data that the worst is now past - and conditions will improve in due course, all of which may combine with the perennial attributes of scenery and climate to ensure long term investments in Cape Verde do well, but Mr Endersey noted that one issue being debated right now could have a significant effect on the shape of the market in the archipelago.

Presently, the concentration of tourism and properties is primarily focused on Sal, rather than Santiago, even though the latter is the largest island and includes the capital, Praia. But this may change as the ruins of the former capital - Cidade Velha - is on the candidate list to be added to those sites with Unesco world heritage status, Afrol.com reported earlier this month. Founded in 1462, the city was the first European settlement on the islands and was inhabited until 1770, when it was abandoned in favour of Praia because it had proved too hard to defend against piracy.

Commenting on the effects such status would have, Mr Endersley remarked: "Anything like that will help. Anything like that if they get a Unesco thing, or a World Heritage centre, anything like that is bound to encourage tourism to a certain extent."

Such a development may indeed bolster tourism on the island and with it the buy-to-let tourist property rental sector. A look at the list of places listed by Unesco shows that to elevate Cidade Velha to world heritage status will place it on a par with the Taj Mahal, Stonehenge, Sydney Opera House and the Great Wall of China. For investors in Cape Verde property, the decisions made at the Unesco meeting in progress now could be highly significant.