BUYING PROCESS

Taxes & Concessions
Grenada Alien Land Holding Licence A fee of ten per cent 10% of the Sale Contract Price is required to be paid by the villa purchaser to pay for the Alien Land Holding Licence. However, the developers have negotiated that all first time purchasers will be exempted from paying this fee if the purchase is effected prior to 1st January, 2020.

Grenada Stamp Duty
There is a Stamp Duty payable by a villa purchaser on the transfer of real estate in Grenada at one per cent (1%) of the consideration for the purchase. However, the developers have negotiated that purchasers will be exempt from paying this.

Grenada Property Tax
Villa purchasers are liable to pay an annual property tax. The Property Tax in respect of the Lot for the fiscal year in which the sale and purchase is completed shall be apportioned between the Vendor and the Purchaser as at the Completion Date (if applicable). A villa purchaser will be subject to the following concessions relating to annual property tax –

• Prior to 1st January 2013 exempt in full
• Between 1st January 2013 and 1st January 2018 the owner will pay a maximum of ECD 12,000 per year and per unit
• Between 1st January 2018 and 31st December 2022 the owner will pay a maximum of ECD 16,000 per year and per unit
• Between 1st January 2023 and 31st December 2027 the owner will pay a maximum of ECD 25,000 per year and per unit
• Between 1st January 2028 and 31st December 2032 the owner will pay a maximum of ECD 35,000 per year and per unit.

Thereafter the owner will be subject to full applicable tax.

Grenada Property Transfer Tax on resale
Property Transfer Tax at therate of fifteen per cent (15%) of the purchase price (with the first EC $20,000.00 exempt) is payable on the resale where the Vendor is an alien. Under the terms negotiated by the developer in relation to the Project, the following concessions will apply–

• The first 100 units to be resold will be exempt in full from this tax, if the resale occurs before 1st January 2020
• The remaining units resold will have to pay a reduced rate of 2.5% tax, if the resale occurs before 1st January 2020.

Insurance
During construction period the Private Residences will be insure under the blanket policy of the contractor constructing both the Private Residences Development and Hotel and Resort Area. On completion of the purchase it is the duty of the purchaser to insure their building and contents.

Buildings
The buildings for the Hog Island Private Residences Development and the Hotel and Resort Area have not as yet been constructed. Mount Hartman Grenada Ltd undertakes to build the buildings of the Hog Island Private Residences Development in accordance with the provisions of the Building Contract.