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Harmony Hall - Page 27
Massy Realty - Page 29
Port St. Charles - Page 52
Endorsed by the Barbados Estate Agents and Valuers Association Inc.
BARBADOS PROPERTY
NEWS www.barbadospropertynews.com • April - May 2017 • Issue 110
The Crane Private Residences - Page 31
Editor’s Comments Who can believe Easter is upon us? What a winter season it’s been for Barbados! Nikki Beach at Port Ferdinand launched their luxury beach club brand at the polo recently and it promises to be quite something for the island, due to officially open later in the year. New development Harmony Hall Green on the south coast opposite Divi Hotel is going full steam ahead and as always, BPN is packed with great properties, property products and services. You only have to pick up the paper to know Barbados has it’s economic challenges at Pamela Hiles, Editor the moment and we all await the forthcoming budget to see what direction the Government will take. With terrorism problems worldwide we have a lot to be thankful for on our beautiful island. While it may not all be roses, we have a wonderful lifestyle here and a relatively calm and peaceful environment. Happy Easter everyone. Let’s count our blessings! Pamela
Publisher – Hiltop Publications Ltd, 11 Cottage Ridge, St George, Barbados, BB19071 Tel (246) 228-9122, Fax (246) 228-0243 Email: sportingb@caribsurf.com www.sportingbarbados.com www.barbadospropertynews.com www.caribbeanpropertymag.com www.caribbeanmortgageservices.com Editor/Advertising – Pamela L Hiles Design and Art Direction – 809 Distribution – Hiltop Publications Ltd, Brian’s Print Brokerage Printing – Coles Printery The Material and editorial contained in this publication have been deemed accurate at the time of going to print. The views expressed as editorial are those of the Editor unless stated otherwise. No part of this publication may be reproduced without the consent of the permission of Hiltop Publications Ltd.
On the Cover: The Crane Private Residences
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The Crane Private Residences: A Smart Investment Crane Resorts, developer of the historic Crane Resort, has announced that phase one of its new residential community – The Crane Private Residences – is sold out, with only a few residences remaining for sale in phase two. The contemporary-styled and generously scaled residences have proven to be popular among both Barbadians and nonnationals seeking a second home or investment property in one of the island’s most desirable resort communities. “We are thrilled with the response to our offering of a unique resort lifestyle on Barbados’ naturally beautiful South-East Coast,” said Annmarie Thompson, Chief Marketing Officer, Crane Resorts. “Perfect for long-term island living, The Crane Private Residences combine all the best features of typical condo units with the unique advantage of being surrounded by a full resort community. Being located within The Crane Resort offers
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our owners the option to spend time with other guests from around the world when desired, while enjoying access to all resort amenities and services, including service on the worldfamous Crane Beach.” Since its launch in winter 2015, phase one of The Crane Private Residences has attracted investors from over six countries, from as close as neighbouring Trinidad & Tobago to as far as New Zealand. Owners are lured by the advantages of Barbados’ Special Entry and Reside Permits (SERP) for High Net Worth Individuals (HNWIs); the above average opportunity for capital gains; and rental-income opportunities provided by a strong tourism sector. Spread over five acres, on completion the master-planned community will feature five residential buildings with spacious two-bedroom (1,916 sq. ft.) and three-bedroom (3,619 sq. ft.) homes. Ground floor residences each boast a large private pool and garden, while penthouse units include a private roof terrace with dining gazebo, rooftop swimming pool and broad, panoramic coastal views. Custom designed interiors by W Design Studio pair crisp white
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The Crane Private Residences
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furnishings with a soft, coastal palette, with all units featuring large, airy, kitchens, elegant natural stone bathrooms with large soaker tubs and private patios. The Crane Private Residences also include underground parking and an elevator leading directly into the foyer of each residence, a rarity for Caribbean properties. With phase one now complete and welcoming owners, ownership in phase two of The Crane Private Residences is still available for a limited number of astute investors. A developeroperated rental and property management service, backed by decades of experience in hospitality and short-term rentals, offers investors the opportunity to generate significant rental income with the assurance that their residence is maintained throughout the year. Pre-construction prices start at US$348 per square foot, approximately half of comparable luxury oceanfront real estate in Barbados. To book a tour or for more information, call 416 6560 or visit thecraneprivateresidences.com.
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How Much Is My Home Worth
Finance
by Terry Hanton “Beauty is in the eye of the beholder” – Greece 3rd century BC. We live in turbulent times and the recent recession in Barbados has hit pockets hard, across all sectors of society. Many find themselves living beyond their means and have to find ways to tighten their belts. Terry Hanton Those who do not have their own family home, aspire to own one and many of those who do own one have found it challenging to meet the payments and to maintain their homes to the standard they would like. Mortgages remain plentiful and are cheaper than at any time in my memory, so lot sales continue at a significant pace and house building is still very active. The social revolution which took place over the last 30 years enabled many to leave the family home and build their own starter home. There are approximately 80,000 homes in Barbados and there are about 2,500 sales per annum, so roughly 3 – 4% of the housing stock changes hands each year. But there are two dynamics that I see taking place which could jeopardize that trend. The first is that the banks are more active in foreclosing on mortgages which are not being serviced. The second is that there has been a decline in values, notably of lots but also of houses since the recession took hold. The impacts are two fold, firstly there is housing stock coming to market which may not easily be absorbed, and secondly buying a home is now considerably cheaper than buying a lot and building new. Of course this contradicts the aspiration to build a property specific to ones needs, but the strongest advice I can give at this time, as a valuer, is that if you are thinking of building a home, strongly consider buying and fixing up an existing home. In valuation we take account of the principal of substitution which holds that a rational buyer would not pay more for a property than he/she would pay to construct a substitute of equal amenity and utility. Because of the challenging times many homeowners are forced to think about selling up in order to balance the budget so how can you determine what your house is worth. Well consider these tips: 1. Neighborhood characteristics – these can create a premium or a discount to your property. How close to amenities are you, ie schools, shopping, business districts, and is the commute
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easy or challenging. Is there public transport nearby. Is the area improving or declining? 2. Does your property have any adverse or positive influence factors. Are there any encroachments? Are there any nearby environmental impacts such as contamination or pollution. Are there any nuisances such as noise. 3. Is your property better or worse maintained than the general housing in the area. If worse, are there simple things which can be done to increase its market appeal. 4. What is the demand and supply for housing in your area?. Are there many properties for sale and if so how does your property compare. 5. Benchmark your idea of value – What price are lots in the area and how much would it cost to build your house new. Then depreciate that cost based on age and condition. 6. Key attributes – what are the key attributes to your property and do they add value. Examples might be views from your property, tranquility, positioning within the street. So if you are at that the end of the street with interesting views and have neighbors on say two of your four boundaries, you may find these attributes add to value. 7. Is your property well landscaped? Well maintained gardens give an immediate impact to a viewer. 8. Bathrooms and kitchens sell. It is an old adage but a true one so make sure they are well decorated and maintained. 9. What other nearby properties have sold and what were the values like. How long did they take to sell? 10. What is my competition - There are about 10,000 homes for sale in Barbados at any one moment in time, many of them priced for negotiation, not for a quick sale. Many overpriced properties have been on the market for many years. When you have finished this evaluation of your property you may have a better understanding what is realistically achievable. Be a pessimist not an optimist if you want a quick sale. Remember “beauty is in the eye of the beholder” so others may not see what you see
The Sharing Economy and Barbados Hospitality and Real Estate
Finance
by Kim Goddard The sharing economy began in urban areas where consumers found the balance between getting what they want; when they want it for an acceptable price was achieved through ‘sharing’ the resources. The leaders in the sharing economy have been Airbnb for sharing space in a home; timeshare for sharing Kim Goddard ownership of a home; Uber/Lyft for car ride sharing; Task Rabbit for sharing labor resources and Fon for sharing WiFi. Airbnb has affected Barbados and the hospitality market more than anyone predicted. Airbnb began in 2008, when two designers who had space to share hosted three travelers looking for a place to stay on air mattresses in their San Francisco apartment. Now, millions of Airbnb hosts and travelers choose to list their space and book accommodations anywhere in the world –including Barbados, through this peer to peer sharing marketplace. The impact of Airbnb on the hotel and villa rental market has been significant. Many view this as a zero-sum game; however, this does not need to be the case. The hospitality sector as well as the peer to peer sector each have their own niche for a targeted consumer. Those that are drawn to the experience of belonging that comes from staying with a host through Airbnb, typically in a less central location for less money; is not the same person who wants the consistency, control of their experience, in a prime location with the consumer anonymity of a hotel or villa rental experience. Clarifying the differences between these two choices for the consumer is the next step for the hospitality industry. The benefit for both markets is when more consumers over a broader range are spending in the travel market it is good for everyone. For Barbados, the impact of the sharing economy is just beginning to come home with the hotel and villa rental market
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feeling the effect of Airbnb as it grows and with the hospitality market yet to crystalize the differences in experience to the consumer. We have seen the success of the shared vacation ownership product over time throughout the island. This market has included Rockley, Bougainvillea, Sand Acres, Divi, South Beach, The Crane, Royal Westmoreland, and Ocean Two. As the global economy continues to present challenges in the marketplace for real estate sales in Barbados, sharing becomes a very viable step in the process of choosing Barbados as a second home destination for many repeat visitors. Real estate clients can choose to own a piece of a second home today. As their leisure time justifies and the Barbados experience warrants many of the same clients decide to own their own home when the time is right for them. For many would-be second home owners the offering of a well thought through - from the consumers view point, and legally sound way of sharing a second home ownership is a welcomed alternative. This choice enables and motivates them to make a smaller purchase decision today. Providing the Barbados real estate market with a pipeline of well qualified potential full ownership purchasers. Some numbers from the American Resort Development Association (ARDA) show the sharing economy is alive and well in vacation ownership. ARDA shows the vacation ownership industry has grown an average of 5.5% year on year since 2009 with a current size for the North American market of US$8.6 Billion dollars and worldwide in 115 countries of US$19.5 Billion. The average sale price of a week ownership being US$22,000 makes the market much broader than traditional full ownership. The property developers of a shared ownership community enjoy an average year-round occupancy of 80%, significantly higher than most hotels. This year-round occupancy offers significant benefits to the Barbados tourism industry from year-round higher levels of employment to softening of the seasonality of our tourism business. The emergence of the sharing economy creates wonderful opportunities for Barbados businesses and the evolution of our tourism product.
Quick Guide to Window Coverings Don’t be blindsided by the variety of curtains, shades and window coverings available in Barbados. If you are feeling overwhelmed by the array of choices, visit Oran Limited and meet with our sales representatives who can walk you through your options. In the meantime, here is a quick guide to choosing the right window covering for your project. Some of the main aspects to choose from are design, material, and application. The design will be chosen based on the type of room and your overall budget. Are you outfitting just one window or the entire house? Is your project a commercial or residential space? You may consider spending more on certain windows and cutting back on others depending on visibility. The main question to ask yourself when evaluating blinds is how much light and privacy are you looking for in your designated space? Design Blinds are best if you want the ability to adjust the amount of light entering the room. They offer a clean-looking custom fit with plenty of privacy. Prices increase based on the material of choice. For example, faux wood is more expensive than vinyl and aluminium. Blinds offer versatility in terms of light blocking by opening, closing or angling to let light filter through. Whether you choose horizontal or vertical blinds depends on the space. Wider horizontal slats create the illusion of bigger windows and more space. A vertical blind works better for windows that are wider than they are tall. Slats can be easily cleaned with a duster that makes this a convenient choice for offices. The biggest difference between a blind and shade is that shades don’t have slats. They are made of continuous pieces of fabric that roll-up via a pulley mechanism. Shades are a versatile way to easily refresh a room and lend a warmer, softer look than a blind. Fabric
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shades must be vacuumed or sent out for professional cleaning and are generally used for more residential projects. Cellular shades are quickly becoming a favourite in the window treatment market. They have honeycomb-shaped pockets between the front and back panels making them cost and energy efficient. Remember that blinds, shades, and cellular shades are only a few of the designs available for you. Material To determine the best fabric, ask yourself whether you want to prioritize privacy or light. This will determine the thickness of the fabric used. A thick fabric will let less light through than an ultra sheer fabric. The choice of material whether it be for a shade or a blind is one aspect and the there’s colour. “If you want a longterm, classic blind that will neither become dated nor offend a potential buyer, choose a neutral colour closest to the colour of the window trim. You blind should rarely be the determining factor in your room’s palette”, says a Houzz contributor Becky Dietrich. Application If a window treatment is in a difficult to reach location, consider using an automatic roller shade so that you can conveniently manipulate it from a control panel or remote. The types of operation can vary from chain, crank, motor, or battery-run motor. For regular blinds the standard options can include operation by chain, operated by cord, operated by cord and wand or motor operation. Our sales representatives can help you decide which application is best for your project. Oran Limited wants to provide our customers with the highest quality of blind selection. The Bandalux brand offers an outstanding array of customized solutions for the management of sunlight and privacy with optimal well-being and functionalism. Need to learn more? Visit the new Oran Limited showroom at Sheraton Mall to see samples of all of our blind styles and fabrics. With a complimentary measure and quote service, we’ll provide the highest quality customized solution for your window coverings. Call 436-6863 or email info@oranltd.com for your window solution.
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The Barbados Estate Agents & Valuers Association News Why BEAVA? One of BEAVA’s primary directives is to further the professional practice of Real Estate in Barbados and to ensure that all members provide the highest level of real estate services to the general public. So why BEAVA? Why become a member of BEAVA and why choose a BEAVA agent to represent you? As an agent, it’s your guarantee of professional standards and certification and a promise to your clients to provide professional service. As a member of BEAVA, in additional to paying the government real estate licensing fee, agents are compelled to obtain specific educational training and are encouraged to maintain their education through regular seminars and modules provided by the association. This applies to agents, valuers and property managers. There is a Code of Ethics that must be adhered to at all times and members face sanctions and disciplinary action should they not comply with the ethics and bylaws. As a client seeking real estate services, you are assured that your agent is accredited and has obtained a high level of real estate knowledge and experience.
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Real Estate News
Networking This benefits both agents and clients. BEAVA members have the opportunity to interact with the other professional agents on a regular basis. Further, there is peace of mind knowing that you are working with other agents who are operating under the same playbook. Should a dispute ever arise, there is an agreed set of rules by which to settle it. Networking also benefits buyers and sellers alike, exposing their property to other BEAVA members, their clients and spheres of influence. Experience and knowledge are key BEAVA agents represent a cross section of the market and work with clients at every level. They have experience and working knowledge of the sales process and contacts with various service providers such as designers, architects, banks and attorneys. This kind of knowledge base is critical in providing accurate, relevant and up to date market information. We urge you to choose BEAVA. You will be choosing Professional Standards, a promise of high quality service, a solid network and experienced and knowledgeable industry practitioners. Should you have any questions, please call BEAVA’s full time Administrator Jeanine Jones or visit our website at www.beavainc.com.
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