Invest In Brazil Land Plots And Save 40% On List Price

Mark Twain said – buy land, they’re not making any more.

I think we can all agree that this is one of the best pieces of investment advice that have ever been given.

 

Land Banking

Most successful investors and investment commentators always recommend that people hold land assets as part of an effective investment portfolio.

Land banking is a lucrative investment vehicle, which requires very little work from the investor. The strategy is simple: acquire land now and hold it for the medium- to long-term – and sell on at a profit.

Below, you will find answers to the most frequently asked questions for the 40% discounted Tambaba Brazil Land Plot opportunity.

 

FAQs

Why Tambaba?

Tambaba Country Club Resort is an idyllic 150-hectare tropical paradise, nestled in the picturesque coastline to the south of João Pessoa in northeast Brazil.

With exceptional popularity locally and highly acclaimed, this 5-star multi award-winning development is designed for universal appeal, boasting some of the most impressive resort leisure facilities and activities available in any development.

A mixed-use residential and tourist closed condominium resort, Tambaba is within five minutes of three of the best beaches in the northeast region and was designed to capture both your imagination and passion for Brazil.

Tambaba also includes 30 hectares of protected tropical forest, set in the gentle coastal hills with stunning views of both coast and countryside and is bordered by two fresh springwater rivers creating a spectacular natural oasis.

With an annual average temperature of 27°C and a year-round tropical climate, the northeast is rapidly expanding through huge economic development to the surrounding area, as well as local and international tourism.

Flight times of seven hours from Europe and five hours from North America make this destination easily accessible for international visitors – and a destination already considered for tourism by Brazilians throughout the country.

 

Why is land banking in the North East of Brazil a good idea?

Unlike in many other countries where you buy a constructed house from a developer, Brazilians tend to buy their land first and then design and build their own home.

As such, there is always a high demand for land plots that are located in good development communities that have all infrastructure in place (water, electricity, roads, etc).

In the case of Tambaba Country Club Resort, Brazilians will not only be buying in a community with infrastructure, but they will have many amenities which will enhance their living experience: these factors will make this development a sought-after place to live.

 

Could you give me some estimated capital growth numbers?

Estimated capital growth projection for a £10,000 plot at Tambaba.

 

Can you provide any evidence from third-party sources of land growth in Brazil over the last 5/10 years?

Tambaba commissioned an independent valuation in 2009. It states that from inception the land value was costed at R$110sqm. It goes on to say that upon completion the valuers estimate that land values would have grown to be R$385sqm. That represents over 200% land appreciation.

If you would like a copy of this independent report, please contact your Portfolio Manager.

 

Do you have any comparable land plots similar to Tambaba?

A similar resort to Tambaba, also situated in the state of João Pessoa, is called Villas De Carapibus – which is smaller than Tambaba and has fewer leisure facilities.

They are currently selling their plots between R$334sqm to R$439sqm.

If you would like to view the copy of Villas De Carapibus price list, please contact your Portfolio Manager.

The 22 discounted plots that we are offering to our investors are showing a 40% discount, which works out to be approximately R$170sqm. This is a one-off special, and once they have been sold there will not be any others available with the same discount.

Tambaba prices are now being increased in line with other resort such as Villas De Carapibus.

 

Can foreigners buy property in Brazil and what rights do they have?

Yes, foreigners can buy and own property in Brazil. The Brazilian Government encourages overseas investment, and a foreigner has the same rights as a Brazilian to own properties 100% freehold.

 

Please tell me how the purchase process works for buying land plots at Tambaba?

Investing at Tambaba is as easy as 1-2-3. This is all you have to do:

  1. First, select your plot(s)
  2. Complete reservation form
  3. Transfer reservation deposit of £1,000 to developer’s client account
  4. The developer will then send you your welcome pack detailing your investment
  5. We introduce you to Brazil Property Lawyers, which is a firm based in London and which specialises in Brazil property law. They will be able to assist you with the legalities required to purchase your plot successfully and to register your property Title Deed (http://www.brazilpropertylawyers.com/). Please note you can select another lawyer to complete your legal due diligence. You do not have to use any law firm that we introduce.
  6. Once all the purchase agreements have been reviewed, agreed and signed off, you will transfer the remaining balance to the developer
  7. Congratulations, you are the proud owner of your discounted land plot(s)

We would estimate that it will take approximately 28 days to complete the purchase.

 

How secure is the purchase for investors?

Because the lawyer is handling the purchase, all land plots will be registered correctly with the Notary in the Cartorio office in Brazil.

The Cartorio office is similar to the Land Registry office in the UK. Once registration has taken place, a Title Deed will be issued as proof of purchase, and the lawyer will forward this to the investor for safe keeping.

 

What are the legal costs for the purchasing of land plots at Tambaba?

Brazil Property Lawyers’ fee is currently £1,200 plus completion costs.

Completion costs can vary and will be confirmed to the investor by the lawyer. The average completion cost is approximately 5% to 5.5% of the purchase price.

 

How long from reservation before I receive the title deeds?

The investor will receive their Title Deed from the lawyer in approximately three months.

 

What is the exit strategy?

Tambaba benefits from two routes of exit. The first (and the one that is likely to be the most profitable) is to sell your plot(s) to a local, who will be buying your plot(s) to construct their home.

As the local buyer is looking to buy and build their home, they are more likely to pay a higher price, because of their desire to live in a community that has a plethora of amenities and is well sought after.

The second route is to sell your plot(s) to an international investor looking to grow their land banking portfolio.

 

What is the developer assisted resale from year 4 and how does it work?

From year 4 onwards, you can give notice to the developer and the developer will assist you in selling your plot, by marketing your plot to a network of international investors and local homebuyers.

The developer will use its best endeavours to obtain the highest price possible for your plot.

 

Is there any holding and/or ongoing running costs for Tambaba Land Plots?

There is a service charge which is used to fund the cost of maintaining the development, plots and amenities in good working condition.

Colordarcy investors will not have to pay any service charge for the first five years of ownership.

After year 5, the prevailing service charge will be administered to plot owners.

 

Who will be managing Tambaba?

A management committee has been selected to manage and run the development community.

 

Am I investing in a freehold or leasehold plot?

You will be investing in a Freehold asset and will receive the same ownership rights as a Brazilian.

 

What about currency risks?

The exchange rate between the Brazilian Real (R$) and the British Pound is about R$5 to £1.

Several years ago, it was R$3 to £1. This is, therefore, a very good time to invest in Brazil as the current exchange rate is in the international investor’s favour as opposed to three or four years ago.

Exchange rates fluctuate and vary depending on many different factors.

 

What is the amount of UK tax associated with investment in these land plots?

This is difficult to answer as people’s tax circumstances vary.

We understand that Capital Gains Tax of 15% will be levied in Brazil on the profit between the purchase and sales price.

Please speak with your advisor – or we can introduce you to an accountant who can review your tax circumstances.

 

Can I invest in more than one plot?

Yes. However, since there are only 22 discounted plots, we are limiting the allowance to a maximum of 10 plots per investor.

 

COLORDARCY SPECIAL 40% DISCOUNTED OFFER!
Strictly Limited To First 22 Reservations

Due to our excellent relationship with the developer, we have managed to negotiate a 40% discount off standard pricing, but just for the first 22 reservations.

Therefore, plots that are being sold for £18,000 to the local market can be acquired for £10,000.

 

Hurry! These discounts are limited to the first 22 reservations only.

Click here to read more about Brazil land plots investment

If you’d like to know more, get in touch with your Portfolio Manager or email: [email protected].

Wishing you a great day.

Fernando

 

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