11 Mar Invest in glorious Grenada – an update on the Citizenship by Investment Program.
There are many fantastic options for Grenadian citizenship by investment . But Grenada – particularly the Grenadian real estate option – is one of the most popular, even amongst stiff competition.
There are ten very good reasons for that. Let’s explore them, and then I’ll tell you how to get started.
1. No nationality restrictions
Some second citizenship-by-investment programmes restrict the nationalities who can apply. This somewhat defeats the point of second citizenship, given how many investors seek second citizenship precisely because their nationality isn’t always fairly perceived.
The Grenadian programme has no such restrictions. You can freely purchase property in Grenada wherever you’re from.
2. Lifetime citizenship guarantee
You want to safeguard the future of any important investment; second citizenship is no different. Thankfully, the Grenada second citizenship programme is protected for life once you’ve got it.
That means you’re fully protected against changes in government policy or officials. Even if the entire Grenadian government changed the day after you received your passport, and the new officials disbanded the entire citizenship programme, you and your property are protected as any other Grenadian citizen would be.
3. 60-day processing
The Grenada second citizenship programme especially sets itself apart for speed. Investing in Grenadian real estate earns you fast-track processing in only 60-days. Then you’ll receive your passport shortly after that.
This makes the Grenadian real estate option very appealing if you need to move quickly. For context, you could be looking at many months – even years – to gain full second citizenship through other programmes. Even amongst other Caribbean countries – which are generally much faster than other global second citizenship destinations – Grenada is the fastest.
4. Confidential programme
Many investors worry that gaining second citizenship will force their hand at home. Or at the least, draw unwanted negative attention.
That’s not an issue with the Grenadian real estate path to second citizenship. Grenada allows dual nationality, which means you need not revoke your home citizenship to become a citizen of Grenada.
5. You don’t have to live in – or visit – Grenada
Some second citizenship programmes require you to spend time – sometimes months or years – in-country to earn citizenship. Grenada is different.
When you invest in real estate in Grenada, you can manage the entire process remotely. From choosing property to exchanging contracts to arranging letting to navigating the accompanying second citizenship paperwork – everything can be handled from wherever is convenient.
Your required input is minimal and hands-off: you don’t even need to set foot in Grenada.
6. Four (or more) passports for the price of one
One of the best things about the Grenadian real estate route to second citizenship is that your investment includes your family members. The only additional cost are nominal fees, so your spouse, dependent children and dependent parents could enjoy the benefits of a new passport with you – for a fraction of the cost.
For many investors, the cost of four (or more) second passports just isn’t feasible, but taking a second passport themselves without allowing for their family doesn’t feel right. Grenada avoids this moral dilemma – everything you have, your family can enjoy too – without it breaking the bank.
7. A strong new passport for increased global freedom and privacy
The Grenada passport has a power ranking of 26th in the world in 2018, which makes it a very strong choice for investment. This ranking means you can travel to 128 countries worldwide on visa-free or visa-on-arrival terms – which compares very favourably to the 30-somethings at the bottom of the passport league.
Countries you can travel easily to include the UK and the rest of the EU member nations, plus hubs like Singapore, Hong Kong and China.
This doesn’t only make it easier to travel to these places; it also makes it significantly faster – with minimal bureaucracy and hassle. If you want to be in and out quickly – a business meeting or weekend away, for example – a Grenadian passport allows you to do that.
8. A possible route into the US for you and your family
When you invest in real estate in Grenada, that’s the start of a journey. Towards greater privacy; more freedom; a brighter future. But a Grenadian passport doesn’t have to be the end of that journey.
Grenada is a US Treaty Nation, which means Grenadian citizens are some of the few allowed to apply for an E-2 Investor Visa from the US. Which, if granted, means you can live and work in the US.
That’s further down the line than you’re probably thinking but it is worth keeping in mind. If not for you, maybe for your children one day. Investing in real estate in Grenada is just the start.
9. Attractive tax landscape
One of the big benefits to second citizenship is the opportunity to take advantage of some favourable tax laws – and few places are better than Grenada. In particular, Grenada offers a very attractive landscape for property owners. For instance, there is no capital gains tax – which hits 50% and up in much of the world – and real property tax sits at only 0% to 0.5% depending on market value.
Equally favourable, as a non-resident you’re only personally taxed on income from Grenada – so your global affairs aren’t taken into account when calculating tax. Plus dividends paid to non-residents are only subject to 15% withholding tax, which means more of your real estate profits land in your pocket. What’s more, because Grenada has no inheritance tax, more of those profits eventually end up with your children.
10. Booming property market
Buying real estate in Grenada isn’t just a means to an end; it’s a smart investment decision in its own right.
The 2017 Grenadian Real Estate Report noted a 71% increase in real estate transactions on the island from 2013 to 2015. Then, despite continued global repercussions from Brexit, the market continued with solid year-on-year growth – showing another 25% increase from 2015 to 2016, and setting a new record.
In 2016, 20% of these sales were from foreign investors, who invested more than USD 10M overall.
The fact is, attracting foreign direct investment is a major priority for Grenada, so the Grenada second citizenship-by-investment programme is designed to make investing in real estate as simple, attractive and profitable as possible. With the added bonus of a new passport on top, of course.
Securing your future by investing in Grenadian real estate: How it works
First, it’s worth briefly mentioning that Grenada does have two options for investment. If you prefer not to invest in real estate, you can instead give a non-refundable donation (from USD 200,000 for a family of four) to the government. This route takes up to a year.
But let’s move on, because the real estate option is the more interesting choice.
To secure second citizenship in Grenada through real estate, you must buy property worth USD 350,000 from a government-approved list of developments. These include luxury hotels, resorts and villas – so your rental opportunity is high.
This USD 350,000 investment includes your family, as we said above, although there are also various government fees:
o Single applicant – USD 50,000
o Main applicant plus spouse – USD 50,000
o Family of four – USD 50,000
o Family of four or more – USD 50,000 plus 25,000 per additional dependent
Then there are additional nominal fees for processing and due diligence, amongst other things.
Once you’ve chosen a property, you gain a sale and purchase agreement proving you’re ready and able to invest. Then there are various forms and supporting documents, which your chosen agent will guide you through. Your application is sent for processing and you undergo a due diligence and background check.
Then when your application is approved, you complete the purchase of the property and show the appropriate documentation to seal the deal. Once the government gets that documentation, you get your certificate of registration which you use to apply for your passport. You’re now a property-owning Grenadian resident.
You have to hold this property for at least three years to maintain your citizenship, but after that you can resell if you choose.
Start your second citizenship journey with real estate in Grenada
Solid investment decisions don’t normally come hand-in-hand with emotional, personal decisions. But Grenada is both those things, offering an astute investment in a booming property market with considerable tax advantages alongside the prospect of greater global freedom, increased privacy and a brighter future for your family. If that ticks your boxes, now is a fantastic time to invest in Grenada.
Update – In a statement released yesterday (10 March 2019), the Prime Minister’s Office in Grenada has informed the public of a series of substantial changes to the country’s Citizenship by Investment Program:
Program authorities have expanded the ‘dependent’ definition to include:
- Parents and grandparents younger than 55 years
- Unmarried siblings of the main applicant and spouse
- Children born within 12 months of the granting of citizenship
Furthermore, the amendments also do away with the requirement for dependent children between 18 and 30 years of age to be enrolled at an institution of higher learning, as well as with that for parents and grandparents to be financially maintained by the main applicant.
The amendments, moreover, have now made it possible for investors to acquire citizenship through the purchase of CBI-approved real estate in the secondary market, i.e., CBI-qualified units held for the requisite period and then resold.