Has anyone else invested in Fiji?
The tourism market in Fiji has grown strongly over the last few years on the back of higher frequency of flights at cheaper prices.
Fiji is seen as a safe haven for the global tourist.
Over the same period investors in Denarau (eg Villas) have made substantial capital gains and are currently enjoying very high returns (I believe over 12%).
The new wave of developments are starting to get out of the blocks on the offshore islands. One of the best properties is Vomo Island Resort, Fiji (www.vomofiji.com) a stunning property, 15 minutes heli from Nadi (the international airport). Absolute beachfront villas are going for as low as NZ$500k .
Not all Fiji islands are made equal. The beaches at Denarau are terrible (muddy!). The old adage location, location, location applies in Fiji as much as anywhere else. Vomo meets all the criteria.
The hotel is professionally managed by Sofitel (part of Accor Group) as a 5 star. The food is awesome.
Ive invested!
cheers Andrew
Just be careful as the Fijian government is gearing up with capital gains tax and foreshore native/freehold titles is an issue. Selling a freehold property is sometimes difficult with the seller usually having to clear/pay back dated tax laws.
Denerau was a smash hit with land initially offered around 100K and houses only a little while later selling for $1.5M.
Keep an eye on the potential coup and possible native title claims
Investing in Fiji is definately for the long term and for those who perhaps are seeking a higher return for part of their portfolio. With higher returns there is of course a higher risk profile. Many investors into Fiji are also doing it for lifestyle as well as investment return.
Then again there are plenty of examples of investments in say apartments in Auckland or property on the Gold Coast that have not turned out well for investors.
Bottom line is location and know who you are dealing with.
Investing in Fiji takes time and you have to be patient.
However Im confident it will pay off as it did for the Denarau investors.
International news is again carrying stories of tension between the Government and the Army. These reports are often greatly exagerated to make headlines and sell papers. The sentiment on the ground remains that this is simply part of their process (a venting of frustrations if you will) and that it will smooth out over time.
Check out http://www.vomovillas.com for more information on investing at Vomo if you have interest.
good luck…
BatchHi DLPP
this is precisely the kind of uninformed commentary that is so damaging to Fiji (and by way of full disclosure, investors in Fiji like myself). Sweeping generalisations and no substantive facts. References to ‘reputable sources’ yet they arent named and linked.
The one thing we do agree on. Yes please check the facts from multiple sources.
The Fiji PM dropped the ‘amnesty’ provisions of the “Unity Bill” about a week ago, but this is only now being reported in the International Media. This is the major bone of contention for the army (a possible pardon for previous coup perpetrators). Can you see the irony here. The Commodore of the Army is calling for the punishment of the 2000 coup participants. Why the heck would he then make a coup himself.
The NZ Herald 4.50pm 4 Nov reports… all is calm. PM has had assurances from the Army. http://www.nzherald.co.nz/section/story.cfm?c_id=2&objectid=10409175
Please also go to http://www.fijitimes.com.fj the Fiji major newspaper. It reports no such military action, no one is taking over the ports. This is rudiculous and very damaging for Fiji.
or try http://www.fijilive.com
It is so easy for the public to be misled by the media.
For example I was in Fiji on 13 January 2006 when ‘tensions’ surfaced between the Fiji Prime Minister and the Commodore (Head) of the Army. The following day the Fiji Times front page carried a picture of the Commodore speaking on a mobile phone, taken the evening before at the side of the pitch of a rugby training. He was smiling and the headline read something like… “Stay calm say PM & Army”. The story gave the impression that there was hardly about to be a coup if the Commodore was out at training.
In contrast on the same morning the NZ Herald ran a story titled something like “Coup Fears In Fiji” and showed a picture of the Commodore in full military uniform looking over his shoulder as he dashed out a door with a very concerned look on his face. The photo was a stock image (ie not taken in context). Indeed the headline and the photo together read like a coup was imminent. It wasnt. It isnt.
That day the NZ TV was running video of the 2000 Coup with soldiers in fatigues carrying machine guns. Yet the voiceover DID NOT make the point that the images were 6 years old as the presenter read “coup imminent” type headlines.
When the rumours are found to be untrue and the imfammatory headlines found empty then the ‘good new’ update is on about page 26, has no photo and is a small paragraph. Good news is no news. Most people miss it.
Can you see where Im coming from.
I am self interested, yes Im an investor in Fiji. However I also feel deeply for the welfare of the Fijian people and this kind of distortion is very damaging to them and the local economy.
Let me give you another context. When there is hot debate in say NZ or Australia. When an opposition MP demands the resignation of the Government, no one thinks that there is going to be a coup.
So please dont just read or see one story and form an opinion. Please keep an open mind and take a balanced view.
Im confident that these internal politics will work themselves out peacefully.
DLPP, thanks for your comments. Im not trying to mislead anyone here and Im sure you arent either. My point is that its easy to be misled by the media (even the so called reputable media).
thanks Batch
Originally posted by DLPP:International news is again carrying stories of tension between the Government and the Army. These reports are often greatly exagerated to make headlines and sell papers. The sentiment on the ground remains that this is simply part of their process (a venting of frustrations if you will) and that it will smooth out over time.Hi batch – the investment you are promoting may be a good one but I can’t let that comment go without some clarification for those who perhaps are not aware.
actually everyone here obviously has the net so they can just have a look at any reputable news web site an do there own investigation.
I hope the military decides not the overthrown the current democratically elected government but if it does happens the best we can hope for is the minimal loss of life. As recently as this morning nz news agencies were reporting armed military forces taking control of civilian ports.
Let hope it is all resolved.
Just to add back into this discussion. Knowing Fiji quite well as I grew up there and family still live there. The media has definately hyped this one up early yet it is not to say that something will not happen.
You forgot to mention Batch that it isn’t just the amnesty that the army is peeved about but the fact (and most important to this discussion) that there is talk of the current government tinkering with native/freehold foreshore titles. That to me is a worry!Hey DLPP So when someone disagrees with you, the thread becomes spam. Please take a more mature approach.
In my very first post, I disclosed I am an investor in Vomo Island, Fiji. I have mentioned that several times in this thread.
DLPP I note you promote your own website every post.
Moderators this is a genuine thread on Fiji property investment. My first post was seeking to link up with other investors.
Also see the post from Speight who confirms my point that the media hypes the issue. Speight also flags the foreshore legislation currently under debate. This may be an issue for some however in some cases the users/lessees are already paying for access (eg to surf breaks) so some say the legislation is formalising current practises. It something I should look at in more detail I suppose.
hi all
as some one that know also alot about fiji
as I setup what was the reef resort and is now outriggers on the coral coast
and helped setup the laundry in suva hospital
I have had alot to do with fiji.
fiji is the same as most of the island countries in that they have there own way of doing things and you must learn that way before you invest
I have not nor would I invest in island resorts with out checking out the stability of the market.
as for beat up I am sorry for me thats wrong
to say that this issues are beat ups for the papers are simply not true.
why
the australian government thru austrade has very good people in most of the island centers and they relay there own information back independantly of any paper
and for Australia to send ships to international waters, they don’t do that on the sydney morning heralds front page news articles.
I don’t see this post as spam but I would say that anyone reading any article or information on any board to get your own due diligences.
I hope you do well with the resort investment but you do need to modify the style of your writing to reflect your information.
fiji, vanuatu, american samoa, are all areas that for the price for water front land is very cheap
but along with that also come the issue of native titles and as these countries develop and there systems develop
and they realise that what they have sold for one price should have been sold for a very different price
I think that a few investors will have a very rude awakening.
and to say that fiji is a safe place to invest again for me is wrong, what it should say is fiji is a relatively safe place to invest currently.
while ever you have a majority class controlled by a minority class and that minority class has a very different style of living
you will have tension and that tension will not go away on any horizon that I can see.
this is not just fiji this a couple of other islands also.
this does not say you should not invest there
for me you should
but you must understand what you are investing in and understand the culture before investing.
conflicts,adjustments or changes are all part of island life and not unusual you need to adjust to them.
I see great things of both fiji and vanuatu but both need the assistance from investors that are looking not at the quick buck but at long term investments,
my .002here to help
contact me [email protected]Hi Gross Realisation
Thanks for your comments. I agree:
– you need to do due diligence to understand the business and culture of Fiji before investing. There are international firms of accountants and lawyers in Fiji who have helped us with that.
– there is no substitute for spending time understanding the market
– there is both opportunity and uncertainty in Fiji right now
– over the medium and longer term investment in Fiji should pan out well (thats my opinion and why I invested)Personally I think the Australian government is a little paranoid after the Bali bombings so they are going a bit over the top in my opinion. For them it is better to be ultra cautious and make serious warnings (a rather “safe than sorry approach”). I think they have had a travel advisory for Fiji at a similar level as places like Iraq!! Hardly the same.
So thanks again..you summed it up well
“Fiji is a relatively safe place to invest currently.”Come on in the water’s fine….
Batch
Grossrelisations I agree with most of what you said in regards to Fiji being reasonably volatile politically due to minority rule over a slight majority. If as I beleive will happen the great council of cheifs will recommend to the president to ask the head of the army to step down. Things could get ugly etc etc tourism could drop. Resorts and investments relying on tourisms will suffer. You must remember that this is only my opinion. The difference is that unlike the last 3 times in Fiji the question of Indian ownership hasn’t been raised and it is business as usual in Suva, Nadi, Labasa etc…the population don’t want a coup nor are they getting whipped into a frenzy.
I have lived in Labasa for 7 years and been many times back to Sigatoka etc to visit dad, brothers, sisters. I am considering investing in Nadi yet my father who has been there for 18 years still rents and is always concerned about native title claims, red tape, corruption etc which has stopped me jumping in. He has slowly come around and will be buying eventually. I will invest for different reasons ie. family based. Which brings me to mention that my father worked on the road diversion around the reef resort (Downer construction) when you were most likely there in Sigatoka, Grossrelisations so he probably knows you.
In regards to your investment Batch if you are happy with it then good on you. Resorts and resort style ownership has lasted through 3 coups, numerous native title claims etc. The population isnt stupid, they know the importance of tourism and foreign investment so I beleive it can survive. Tourism however will probably continue to be set back again and again by politics. It has recovered each time though.
In short, I am more confident if I invest there as family will look after it and I will possibly buy it with a Fijian relative as 51% owner of the investment business. The reasons are many for this and since I have crapped on for awhile I will sign off.
Originally posted by Batch:Come on in the water’s fine….
Batch
So where the bl00dy hell are you ???
Sorry, couldn’t resist.
I also have a keen interest in Fiji as I am doing some due dill on some land in Nausori, near the airport, for a gated expat community.
Rents are supposedly pretty good at around $3000 to $5000 $F per month.Either way, it makes a great excuse to go over for a look.
kp
DLPP
For a veteran forum contributor you actually achieve nothing constructive. My name is Luke I have never met Batch nor do I know tha person. Read my posts I do not paint a rosy pic of Fiji. The reason I said I will invest there is because it is where my family is living. I really would not buy any foreshore/resort investment personally yet I would buy in an established town like Nadi. Politics is not really working in an investors favour over there, nor is native title.
I see why you have over 1000 posts because you spend your time accusing people and self promoting your website. Next time try and be a bit more constructive.Hey Luke,
As a local, what can you tell me about Nausori, and the prospect for rentals for expats such as embassey staff, etc. ?I understad there is a new bridge and roadworks in the area to improve access to the airport.
Interested to get an insiders perspective
Thanks
kpkp
I am now living in Australia but travel back to see family living in Nadi and have only been as far around as Sigatoka in the last few years. I used to go to Suva a lot as my mum was living there for awhile so probably not the best to ask as a bit might have changed.
In regards to Nausori it is interesting you say they have built an expat community there. I used to view it as a small ‘suburb’ to go through to get to the airport. Suva is quite close and most expats would stay either in Samabula or Tamavua. I spoke to someone last week and they are saying people are fetching up $6k Fijian a month in the two suburbs I mentioned for rentals. I would be interested in knowing what Nausori is like nowadays when you go to visit.Hey speight ( george!!)
My understanding is that this proposed subdivision is just behind the town as was part of the Ross Estate.
I know one of the developers in Brisbane.
Try this link:
http://www.fijigatedhavens.com
a bit clunky as a site but has a bit of info on it.
kp
hi speight
I know alot of people in fiji still and have dealings with baywest electrical in suva so there is a good chance that yes I have met your father last time I was there I was having a drink with what I call the grand father of fiji and was the best priminister fiji has had until mr rambuka took him out of office and I had a drink with him 2 days after he was removed and that was the last time I was on fiji soil.
I was one of the only white people that went to the indian festival/fair in Sigatoka invited by the indian community and have done alot of work with austrade for the islands.
I am consentrating on the other island north of fiji current vanuatu and find that it will be similar to fiji its a just a bit behind in development and I think it has alot going for it.
I wouldn’t invest in gated communities and especially in islands communities as I don’t see them as joining the island community and to invest in an island you do need to join that community.
I think that alot of people try to bring there countries traditions or views to another community and mask this over what is there.
it reminds me of a very good example of a rose
a person bought a rose and took it to afriend how said the rose is beautiful but it has to many leaves so the cut of the leaves.
then he took it to another peson who said the same bt it has to many thorns so they removed the thorns.
then the next how said the stem was to long so they cut off the stem.
then the next person said you only have a rose head lets throw it away and heres is a new rose not as good as the one you had but it has leaves, thorns and a stem that your doesn’t.
people invest in the islands for what they are and it is very important to not change that so for me gated communities and lokked off areas to locals is the same as the leaves and the thorns.
the trouble for me is when the locals see that they don’t have the complete rose which is there island but just the head they will want that rose life style back.
If you want gated communityies and logged off areas
thats great invest in la usa , brixton uk, or mafia down town moscow.
but for me not the islands.
intergration is the best policy or division is all you will get and from an investment point of view you want high steady returns not quick bucks hedge funds are for quick bucks.
Thats my rant on the islands and speight bula and hope you wellhere to help
contact me [email protected]Coup? What Coup?
Well the coup happened and thank goodness for everyone it was a bloodless event. It seems a great shame to undermine the rule of law and revert back to the law of the gun.
On the other hand… many Fijians I have spoken to are quite relaxed about the coup..indeed quietly support it.
Fortunately for Fiji and Fijians things seem to be stabilising much faster than after previous coup. There is a way to go yet.
There was a temporary suspension of land dealings which has or is about to be completely removed. As someone who has gone through the bureaucracy of the prior regime (without paying any gratuities) to get the land subdivided and title issued Im hoping that the end result will be a more efficient and investor friendly framework. We shall see if Mr Bainimarama lives up to those promises.
The tourism business is definately hurting, but it was not a co-incidence that the timing of the coup was immediately before the lowest season IMHO. Lets see if the numbers come back within 6 months as some are predicting. The tourism taskforce is certainly out there promoting Fiji as a destination.
Personally I remain optimistic and confident about Fiji. As Ive said before..you need to take a long term view.
Anyone else with on the ground reports to share?
regards
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