The Alpine property love affair continues
The Alpine property love affair continues, especially if it combines a winter and summer holiday destination with the opportunity to earn a guaranteed rental income. The leaseback investment scheme is an excellent alternative for international investors wishing to own a hassle-free ski property in the French Alps.
Situated at an altitude of 2,100 metres in the French Alps, Tignes is considered by many to be one of the best ski resorts in the world. Due to its altitude there is always an abundance of snow, and with the Grande Motte glacier, it is even possible to ski in the summer.
Tignes links with the fashionable Val d’Isère to form the Espace Killy, one of the most renowned ski areas in the Alps with over 300 kilometres of slopes. Even France’s national ski team trains there, a tribute to the high quality of the conditions. The off-piste skiing is excellent and attracts some of the best extreme skiers and boarders in the world.
Although Tignes is a skiers’ paradise, the area is a summer playground, too. The mountain climate means visitors can enjoy the sunshine and make the most of activities that include fishing, horseback riding, mountain biking, white-water rafting, paragliding and hot air ballooning. The proximity to the Vanoise National Park makes Tignes a popular base for walking and hiking holidays, too.
Professional athletes use the resort as a base for summer altitude training. There is also an 18-hole golf course with stunning views, and the mighty Grande Motte (3,653 metres) is one of Europe’s highest skiable glaciers, offering summer runs.
Just 2.5 hours from Lyon and Geneva airports, the resort is close enough for long weekends. There are excellent rail links from Lyon to Bourg Saint Maurice. The famous Snow Train operates between London and Bourg Saint Maurice, which is ideal for those who live within easy reach of a Eurostar station.
This stunning new ski in ski out development, in the heart of one of the best ski areas in the world, will be Résidence de Tourisme, with luxury ski properties for sale on a leaseback basis. This enables purchasers to receive a guaranteed annual rental income, net of running costs, during the first 11 years of their ownership, while also enjoying several weeks of personal use of their property each year.
The big tax break offered by leaseback apartments is the rebate of the French VAT (19.6%) on a new-build property. This allows investors to buy property below market value. This, plus the longevity of the leaseback system, provides an equity buffer in the property, meaning mortgage lenders are favourably disposed toward them.
The other big plus for leaseback, which is very popular among French investors, is that it is considered a low-risk, hands-off investment, thanks to the guaranteed rental yield, net of all management and maintenance costs. This rental return is guaranteed regardless of rental occupancy and, since it is cost-of-living indexed, should rise over time.
The ski residences are being sold on a freehold ownership basis, allowing investors to gain from long-term capital growth. A renowned resort operator is in place, allowing peace of mind to investors that their property will be managed professionally. There will also be a variety of amenities and services available to property owners.
Investors continue to eye French leaseback holiday homes, which they see as a safe way to provide rental income as well as a desirable vacation lifestyle for themselves.
Prices: From €204,849 (excl. VAT).
