1 Introduction. 1.1 Background to the Project. 1.2 Project Justification Foreign Currency Earnings Sales and Marketing Strategy
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1 1 Introduction 1.1 Background to the Project One & Only Villas at St. Géran Ltd are the owners of a portion of land, presently used as part (i.e. holes 2 to 8) of a nine holes golf courses designed by Gary Player, located at Belle Mare, Flacq and extending over fourteen hectares five thousand six hundred and seventy two square metres and seventy eight hundredths of a square metre, 14Ha m 2 on which One&Only Villas at St. Géran Ltd wishes to develop its Property Development Scheme (PDS). With the construction of numerous 18 holes golf courses in the region, namely The Links, Legends, Anhahita and Ile Aux Cerfs, offering at the One&Only St Géran Hotel was no longer an attractive destination for golfers. The One&Only Le Saint Géran Villas development shall comprise of: 59 Nos. luxury villas A reception facility Services building Wastewater treatment plant room Associated infrastructure works including potable water and electricity distribution networks, roads, parking and stormwater drainage A potable water network supplied from the CWA regional distribution network Underground electricity network supplied from the CEB regional distribution network Back of house service yard for HV/LV switchgear, transformers, generators, potable water tank, etc. 1.2 Project Justification Foreign Currency Earnings The One&Only Le Saint Géran Villas development comes in a time when the local economy is facing serious hardships under international constraints. The Property Development Scheme (PDS) aims at offering luxury residential units, not only to Mauritian citizens but also to foreign citizens with a desire to invest in the acquisition of a residence in Mauritius under the PDS. The implementation of the One&Only Le Saint Géran Villas development will bring direct foreign currency inflows throughout different quarters of the economy and thus contribute to enhance the resilience of the economy Sales and Marketing Strategy The One&Only Le Saint Géran Villas development is set to offer the finest quality products and lifestyle targeting high-end segment of international property market Page 4
2 comprising of high net-worth individuals with high purchasing power wishing to acquire luxury villas in the western part of Mauritius, next to the legendary One&Only Le Saint Géran Hotel. Figure 1, identifies the potential target markets. These will be essentially South African, French and with a possible spill over to other European communities. Others, 10 UK, 10 Middle East, 20 South Africa, 20 France, 40 UK South Africa France Middle East Others Figure 1 Buyer profile by geographic location As regards to marketing and sales aspect, the purchase of the villas will be professionally arranged through real estate agencies such as Pam Golding Properties, Barnes International Realty and Sotheby s International Realty. 1.3 Legal, Institutional and Regulatory Framework The following regulatory frameworks are applicable to the planning of the proposed development The Environment Protection Act 2002 (EPA 2002) The One&Only Le Saint Géran Villas development, with its luxury residential components falls under the undertakings listed in the Fifth Schedule Part B 1 of the Environment Protection Act 2002, its 2008 Amendment and Regulations, and which require an Environment Impact Assessment, inter alia: Item 20 Housing Project and apartments above 50 units within 1 kilometre of high water mark The Proponent has therefore appointed Arup SIGMA Ltd, Consulting Engineers, to undertake the Environment Impact Assessment in conformity with the provisions of the Law. 1 EPA 2002: Amended First Schedule in accordance with the Business Facilitation Act September 2006 Page 5
3 Environmental Regulations The Environmental Regulations and Guidelines set out under the Environmental Protection Act and directly relevant to the project are: Environment Protection (Standards for Air) Regulations 1998 Environment Protection (Standards for effluent discharge) Regulations Environment Protection (Inland Surface Water Standards) Guidelines 1998 Environment Protection (Coastal Water Quality) Guidelines 1999 Environment Protection (Environmental Standards for Noise) Regulation 1997 Environment Protection (Environmental Standards for Noise)(Amendment) Regulations Property Development Scheme In June 2015, in pursuance of the restructuring of the Integrated Resort Scheme (IRS) and Real Estate Scheme (RES) announced in the 2015/2016 budget, these two property acquisition schemes implemented by the Mauritian Authorities in 2002 and 2008 respectively, have been replaced by the Property Development Scheme (PDS). The Investment Promotion Act now makes provision for the introduction of the PDS set to: Promote inclusive development and provide for a wide range of living, employment and leisure opportunities to Mauritian citizens, members of the Mauritian Diaspora registered under the Mauritian Diaspora Scheme as well as non-citizens; Construction site surface area must be of 1 to 50 acres maximum, with a minimum of 6 standing residences and; Ensure that the benefits of the development of the Scheme accrue to neighbouring communities and to small entrepreneurs generally. Under the PDS Scheme, a non-citizen is eligible for residence permit upon the purchase of a villa under the PDS scheme when he has invested more than USD 500,000 or its equivalent in any freely convertible foreign currency. The PDS is also a demarcation from the IRS and RES in as much as it does not differentiate between small and big landowners and harmonizes the registration duty to a single rate of 5% instead of USD 70,000 on registration of a deed under IRS and USD 25,000 under RES. Furthermore, under the PDS Scheme, the Mauritian Government intends to further promote the social dimension of the development. As such, the Promoters are 2 Regulations made by the Minister under Section 34 and 74 of the Environment Protection Act 1991 Page 6
4 carrying out a social impact assessment to develop projects which shall be integrated with the neighbouring local population The Board of Investment Property Development Scheme falls under the aegis of the Board of Investment (BOI). One & Only Villas at St. Géran Ltd has been issued with a Letter of Approval by the Board of Investment on the 31 December 2016, a copy of the Letter from BOI is given in Appendix A The Planning and Development Act 2004 The Planning and Development Act is in the process of overhauling the Town and Country Planning Act The Planning and Development Act 2004 once fully proclaimed will provide for the transfer of development permitting powers to the Ministry responsible for Housing and Lands for state-significant developments, as well as some other forms of development as prescribed under Section 25 of the Act. The District Council will retain responsibility for processing non-state-significant permit applications. The Local Government Act 2003 also makes District Councils and Municipalities responsible for processing all building permit applications. The Planning and Development Act 2004 also makes provision for the introduction of Planning Policy Guidance (PPG) which shall prevail to the extent of any inconsistency, over a development plan. PPG therefore has the status of state (national) planning policy and is a material consideration in assessing applications for development permits Strategic Development Policies Coastal Development and Tourism CDT1 The coastal area within the District is an important national asset both with regard to the national economy through the tourism sector and as an attractive and fragile environment. The Eastern Tourism Zone including coastal land stretching from Roches Noires to Poste Lafayette, from Poste de Flacq to Belle Mare and Trou d Eau Douce including Grande Riviere Sud Est, Ile Aux Cerfs and Ile de L Est. With reference to Coastal Development and Tourism, CDT1 on the coast within Tourism Zones identified in The Tourism Development Plan and illustrated on the Development Strategy Map and Development Management Map, clustering of tourism and other employment-generating activities within or adjacent to existing settlements, resorts and campement sites and utility and transport networks should be encouraged. CDT1 Coastal Development and Tourism makes mention that major new development should be focused within the Eastern Tourism Zone where Tourism Action Area Plans and other Government-approved schemes have already been identified and committed. Developments within the Coastal Lands should conform to detailed coastal development design principles defined in the Design Guidance. Page 7
5 1.3.6 Growth Zones and Action Area Plans (AAPs) SD 6 Growth zones have been identified within the NDS as development opportunity areas on the basis of good or potential strategic road networks links, thresholds of population and jobs and proximity to social networks, retail and community services and facilities. Where suitable sites for major developments can be found in strategic growth zones as Urban Renaissance Zones, Rural Regeneration Zones, Tourism Zones and Special Use Zones within the NDS, government/private sector and other stakeholders and developers should be encouraged to draw up Action Area Plans for mixed use, special use and tourism-related developments involving public sector involvement as appropriate. In preparing such Action Area Plans consideration should also be given to the requirements for future support activities including public transport, traffic management and new highways and housing, education and health facilities Ministry of Housing and Lands Building and Land Use Permit (BLUP) clearances shall be obtained from the Moka/Flacq District Council, prior to the commencement of construction of the residential units and the reception area. 1.4 Implementation Schedule Subject to market interest, and the provision of all statutory approvals, OOLSGV envisages the following implementation timeline: One&Only Le Saint Géran Villas Property Development Scheme Implementation Phase to 2018 PDS Components Total Number of s Residential Lots No.1 to 4 No.9 to 47 No.54 to 59 Number of s 2-bedroom 3-bedroom 4-bedroom 5-bedroom 6-bedroom One&Only Le Saint Géran Villas Property Development Scheme Implementation Phase 2 PDS Components Total Number of s Residential Lots No. 5 to 8 No.48 to 53 Number of s 2-bedroom 3-bedroom 4-bedroom bedroom 6-bedroom The phasing plan is also shown in Architect s drawings attached in Appendix G. Page 8
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