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There is much talk about over supply of property in Spain, particularly on the Costa del Sol. One area that is actually
under supplied with a very buoyant market is that of luxury villas in excess of €2,000,000
Property 72 are able to offer plots of land in Benahavis which overlook both the sea and the luxurious up market
Los Flamingos golf courses.
The financials.........
Each plot of land has a different price but in generic terms here's how it works;
- €500,000 plot of land
- €1,000,000 Architectural and build costs
- €3,500,000 Value of villa when complete
- €2,000,000 Profit
Even allowing for a variance with the above figures there is still scope for a huge profit.
About the area....
Located between San Pedro
and Estepona on the new golden mile, Los Flamingos has set out its stall to become one of the leading golf property urbanisations
on the coast.
Los Flamingos is one of the most prestigious locations within striking distance of Marbella
and Puerto Banus and just minutes from the beach. It houses two golf courses
and shortly this will become four. Within the "gated" community of Los Flamingos is the 5/6 star Ritz Carlton Padierna Hotel
and Spa, probably the best hotel of that class in an area that boasts more 5 star hotels per square mile than any other
coastal resort in Spain.
www.flamingos-golf.com
Los Flamingos comes
under "Benahavis" and not "Marbella", and as such has not suffered from any licensing issues that you may have read about
in the press.
Building in Los Flamingos,
from a financial return point of view, is the best in the area. The cost to build is the same in a "bad" area as it is
in a "good" area. At Los Flamingos finished properties of the size permitted, are on the market at up to €4million.
This means that the cost of land plus the cost to build can be well below half the current asking prices. See example below.
http://www.johnlewisrealestate.com/luxury-properties.php/145
Financing may be possible,subject to status. The best way is to pay cash
for the land and then take out a construction mortgage. Construction payments are released by the bank in stages, and at the
end, when the villa is completed, it may be possible to get the equivalent of about 60% of the end value of the property,
thus equating to 100+% finance of land and construction (provided that the land was paid for separately in the first place,
and subject to status....happy to explain this further).
Funding the construction also means a higher return on investment, if
the strategy is to build and sell.
Access to construction companies, English speaking lawyers and also architects for alternative designs
will be supplied to interested parties.
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