Full Description

Merricks Resort

An Excellent Investment Opportunity in Popular Barbados - A 5 Star Property with 10% Rental Guarantee, 30 Days FREE Use per Year and 100% Finance

Merricks Resort is situated within 70 acres of lush Caribbean paradise with the secluded Half Moon Beach and on a cliff top location in the stunning South East Parish of St Philip.

This luxury residential and resort development will boast a sea front location and will include a 5 star Hotel and Spa. All residents will have full use of the hotel facilities as well as a coral sanded beach.

The island, arguably the Caribbean's most well known and sought-after destination, is famed for its friendly locals, stable government, treasured coastline and balmy climate. Indeed, it is the most popular island in the Southern Caribbean for British, North American and European tourists. As a result, Barbados has an established and growing travel and tourist industry which is expected to grow by 4.6% per annum between 2007 and 2012. From an investor's point of view the anticipation of continued demand and limited supply means purchasing property on the island therefore offers promising potential for 15 % capital growth p.a (for the next four years) and rental yields of up to potentially 25%. Plans to augment tourist accommodation by 31% by 2010 signals the demand for high quality resorts such as Merricks and should therefore guarantee its success.

Merricks Resort offers studios, apartments, penthouses Cabanas and cliff-top villas, all of which have full use of the facilities of the 5 star Merricks Hotel and Spa including swimming pools, tennis courts, gym, a conference centre and bars & restaurants.

The privileged location of this development with its close proximity to the airport and its secluded beach makes Merricks Resort a fantastic opportunity to own a luxury apartment or villa in the Caribbean and capitalise on the equity growth expected within the next 4 to 5 years on the east coast of Barbados.

All owners are allowed 30 days personal use a year offering owners the chance to enjoy a luxury lifestyle whilst enjoying their lucrative investment.

Investment Info

There is a guaranteed rental income paid to investors of up to 10% per annum for 2 years followed by 5-year 50% share of the room rate, where expected rental returns are likely to be in the region of 15% to 20% per annum. 5 Star accommodation in Barbados runs at a constant 85% occupancy level, and are booked out months in advance. The average nightly rate at other 5 star hotels in Barbados in summer is US$504 and in winter US$707.The average room rate at Merricks Resort & Spa will be US$250. Even when allowing for discounting by other hotels, this room rate indicates the aggressive pricing policies of the management as well as the scope for increasing prices (thus boosting your yields).

The maintenance fees/service charges are estimated to be in the region of £125pcm, this will cover utility bills, maintenance fees, insurance etc

There is no restriction on selling your unit before completion.

Barbados is viewed by many people as the ´safest bet´in the Caribbean in terms of capital growth. To our knowledge, Barbados has never suffered from a property recession and property prices have increased steadily for the past 50 years, an impressive record, continued demand and limited supply will also ensure it continues for many years to come.

The closing costs are around 1.5%

How To Reserve a Unit

£1,000 non-refundable reservation fee

10% deposit within 15 days less above

20% payment within 45 days after reservations

70% balance on completion (stage payments are due throughout construction, but the developer can meet these with developer loan on behalf of the client, interest will accrue on each stage payment as it is released.)

Up on completion, there is a guaranteed mortgage facility up to 70% LTV available through the developer's bankers in the Caribbean (subject to status).

There is also a 100% finance scheme is available. Should you choose to borrow the 30% deposit, the developer will pay the loan interest, for the 30% deposit until completion of the specific unit you have reserved. These payments will then be added to the purchase price upon completion.

Due to the significantly discounted off-plan contract price and the capital appreciation during the construction phase, it is anticipated that the value will have grown and therefore you will be able to pay for the purchase price less £1000 as well as the accrued interest on the loan for the deposit.