I have received great news this morning that the planning authorities will allow us to add a 35m2 roof terrace garden to our townhouses, one of which I will keep myself and occupy, as well as a roof terrace penthouse and other units.  I have never understood why some developers don’t invest in property in their own scheme.  My friends, family, staff and their families are also investing which is a clear indication of what we think!

The numbers are looking strong for property investors. The bank has valued the project at an average of 12% below market value and we have the Royal Institution of Chartered Surveyors (RICS) bank valuation report on the website.  There are only two comparable developments on the island, although in one case the facilities and services are significantly less than The Grove which is a minimum of 13% below the prices of that scheme.  As the developer, I clearly have the option of raising prices by 12% and coming in on the bank valuation which many others do.  I chose not to because with my investor head on, I know I will sell this fantastic scheme very quickly with these prices and that is what all developers want, but do not necessarily see.

We have now added additional services at The Grove Spa Resort which include:

• Online shopping – groceries delivered from our supermarket to your property prior to arrival of yourself or tenant.
• A home delivery service from our top-class restaurant if you wish to spend the night on your terrace and do not wish to cook.
• A crèche which allows families to enjoy the facilities and services, whilst not worrying about the children.  In terms of lettings, this will be a huge draw.
• We will establish The Grove Spa Resort re-sale, lettings and property management office in one of the commercial units we are building which will have a prime roadside position.

We go live with our £28million (€40million) scheme at 1200hrs Wednesday 10th October 2007.

The website which includes the online brochure (which is also available in glossy printed format), financial summary, RICS valuation report for the bank and other important information can be found at:

www.thegrovesparesort.com

The password will be released at 1200hrs Wednesday for those who may be interested in investing, lifestyle investing or permanent living.

The entry deposit is 10% which equates to £14,000 sterling for the cheapest unit or this can be financed at £67 per month – not even a good meal for two!

Please send an e-mail direct to dominic@investincyprus.com if you wish to have more information on what will become the signature development in this area.

Agents

If you are a property agent/estate agent and wish to promote The Grove Spa Resort to your clients, then please apply by e-mail direct to myself at dominic@investincyprus.com for details of our comprehensive agent programme which includes full support and training.

ITV

I had fun with ITV last week filming in London and I now understand how physically and mentally draining a full days filming can be, particularly when Farrell is on his seventh take!!  More on this in the future.

Berlin

I went with Henry Powell-Jones to Berlin last week and we had a very fruitful few days.  Henry will be sending a message to the considerable number of Germany investors we have in the next few weeks.

Best wishes

Tory conference pledge to scrap home packs

Controversial Home Information packs will be scrapped by a Tory government under plans to be announced to the conference today to make it easier and cheaper to buy homes.

Grant Schapps, the Tory housing spokesman, last night described the packs as an "unmitigated disaster" for the housing market.

The party will also confirm it will scrap stamp duty on purchases of houses up to £250,000 in an attempt to help first time buyers.

The controversial home selling packs, which cost the sellers between £300 and £600, were intended to speed up house sales. They were introduced at the start of August after being postponed and watered down more than once.

However, critics of the scheme claim the packs have already had a detrimental impact on the housing market.

For now just houses with three bedrooms or more need to buy a Hip, but the Government has assured the property industry that it intends to roll out the scheme for all homes by the end of the year.

David Cameron said yesterday that many people in his generation had been lucky enough to purchase their first flat or house and see it rise in value.
Now, for the sake of "generational fairness", help had to be given to young people who felt that buying a home was out of reach.

Mr Cameron told BBC1's Sunday AM that Britain had the lowest rate of first home purchases for 27 years because prices were so high and so many additional costs were involved.

By removing the stamp duty on all purchases up to £250,000 he believes some 285,000 people will save an average of £2,000. It will mean nine out of 10 people trying to buy their first home will not have to pay the tax.

At present only those buying houses worth up to £125,000 pay no stamp duty.

After that it is payable at a rate of one per cent of the purchase price on homes worth up to £250,000, rising to three per cent between £250,000 and £500,000 and four per cent above £500,000.

The Tory leader believes the changes tie in with his broader theme of giving people more control over their lives.

Source: The Telegraph

Tories to hike inheritance tax threshold to £1m

The Tories are to free nine million families from having to pay death duties by more than tripling the threshold for inheritance tax to £1 million, George Osborne, the shadow chancellor, has announced.

The move, which will cost £3.1 billion a year, would be paid for from the proceeds of a new £25,000 a year flat levy on people who live in this country but claim non-domicile status for their tax affairs.

Repositioning the Conservatives as the party of low taxes, Mr Osborne electrified the conference when he said that from now on only millionaires would pay death duties.

The normal "family home" would be freed from any inheritance tax.
"The next Conservative government will raise the inheritance tax threshold to £1 million," Mr Osborne told activists in Blackpool.

"That means we will take the family home out of inheritance tax. In a Conservative Britain only millionaires will pay death duties."

At present inheritance tax is payable at 40 per cent on the value of assets over £300,000. Gordon Brown has said the threshold will rise to £325,000 in 2009-10.

The Tories revealed figures showing that whereas at present 37 per cent of householders are liable to inheritance tax, the introduction of a £1 million threshold will mean all but two per cent of those families will be freed from it completely.

Mr Osborne also confirmed help for first time home buyers, saying a Tory government would free purchases of homes up to £250,000 from stamp duty.

The change would release some 200,000 purchasers a year from stamp duty altogether and help them get on the housing ladder.

Declaring that "we are the low tax party", Mr Osborne challenged Gordon Brown to call a snap election.

He predicted the Tories would win because voters would contrast his "cynicism and fear" with the Conservatives' "hope and optimism".

Inheritance tax was introduced 21 years ago, on July 25, 1986, when houses cost an average of £36,000. The threshold of £71,000 meant most households could safely ignore it.

Today the rising cost of homes means it currently brings in around £4 billion a year for the Exchequer, compared with £2.9 billion in 2004-5 and less than £1 billion in 1986.

As the threshold has not kept pace with the rise in the cost of housing, the tax has become a worry for an increasing number of people - not just the rich.

Some two million homes in Britain are now valued at more than £300,000, bringing them into the inheritance tax net.

The Government has said just 6 per cent of estates pay the tax each year.

But research by Scottish Widows in April found that almost one in four households in the UK have a total estate valued at more than the current £300,000 threshold.

The financial services firm said almost five million homeowners in Britain were above the threshold based solely on the value of their house and a further 4.5 million were liable for the tax when total household wealth is factored in.

Source: The Telegraph