Looking for a great holiday getaway that doubles as a tax-wise investment?
An investment, according to the Oxford Dictionary, is the ‘devoting of one’s time, effort or energy into a particular undertaking with the expectation of a worthwhile result’. The first thought that comes to mind is obviously financial – shares, commercial ventures and property investments, to name just a few, and then there’s investing in education, health, lifestyle and even holidays … Imagine if we could tick all these boxes in a single investment.
Now we can with The Boulevard, a new high-density mixed-use urban development on the KwaZulu-Natal North Coast developed by IFA Hotels & Resorts. The Boulevard is one of five nodes within the Zimbali Lakes Resort development that cater for residential, commercial and hospitality needs – from freehold residences and apartment living to retirement villages, sports and leisure activities, office space, commercial activities, and even an internationally branded hotel.
What sets The Boulevard apart is that, while being part of the greater Zimbali Lakes Estate, it is open to the general public. Boulevard Square will consist of a piazza offering boutique retail outlets and convenience stores as well as artisanal restaurants and coffee shops, beauty and hair salons, laundromats and banking services as well as a full-service filling station. The Boulevard Office offers serviced office space and co-working suites, Boulevard Practice is home to a range of medical facilities, and Boulevard Hotel forms the hospitality component of the development.
The Boulevard Suites, modelled to suit investment requirements, offers executive-style, lock-up-and-go studio apartment living. Its state-of-the-art 24-hour security, the serviced short- and long-term letting service and fibre access make The Boulevard a sound choice for investors. ‘Priced from R960,000, Boulevard Suites stacks up competitively against its peers and by comparison is priced about 32% lower than similar sectional title opportunities in Ballito; and its location on KZN’s North Coast only serves to enhance the product further,’ says Adriaan van Schoor, Assistant Vice President of Sales, IFA Hotels& Resorts.
The Boulevard PAD is part of an investment schedule called Zimbali Capital, a Section 12J venture capital company that offers investors an attractive property-backed return with the added benefit of receiving a tax credit of up to 45% on the investment amount. Zimbali Capital is a managed via a joint venture between Zimbali Resorts Developments and Jaltech, a financial consulting firm, which invests in and operates property assets in key tourist destinations sought after by both international and domestic travellers, thereby affording attractive income returns and capital growth.
The Section 12J legislation allows for South African tax-paying investors to claim an income tax credit in respect of their investment into an approved Venture Capital Company (“VCC”) in exchange for qualifying venture capital company shares. ‘If someone invests R1million in Zimbali Capital, they will receive a tax credit of up to R450,000 at the end of the tax year. What this means is that an investor will receive a return on 100% of their investment but only have exposure of 55% of their original investment amount,’ explains Zimbali Marketing Manager Erik Steele.
From a business and investment perspective, the prestigious Zimbali address and access to world-class amenities make The Boulevard a good contender for investors looking to earn an attractive return. The two bedroom units at Boulevard Suites, available from R 1,5 million, have proved very
In additional to the success the Boulevard is experiencing, freehold properties have also been embraced by the market, with 10 plots already sold. Since the official launch of Zimbali Lakes Resorts, on the 29th of November 2018, the development has achieved over R 50 million in sales.
So, if you’re looking for an investment that gives you peace of mind and the financial return to invest in your family’s education, health, lifestyle and holidays, be that early bird, as The Boulevard is likely to be snapped up in a hurry.
Zimbali Capital (Pty) Ltd is an authorised Financial Service Provider (FSP#49374)and a SARS approved VCC. It is recommended to consult with a professional/preferred advisor when making an investment decision.