The positive outlook that was predicted for 2017 has proven to be accurate and the trend has continued with gusto as the Cayman Islands property market remains strong and active for the first quarter of 2018. New developments continue across the residential and commercial sectors of Grand Cayman in particular, adding to the diverse portfolio of properties. This includes, but is not limited to Finn and Tides in South Sound, Periwinkle in Grand Harbour (Cayman’s first LEED certified community), Grand Hyatt Beach Resorts at Pageant Beach, SeaCrest, Solara and Aqua on Seven Mile Beach. We have also seen the completion of the Kimpton Seafire Resort and Spa’s Residences. West Bay road improvements have seen a second overpass project managed by DART of which a further extension has just been approved; this could possibly pave the way for a five-star hotel project that would bridge West Bay Road. Work on the Esterley Tibbets bypass continues after DART opened their first underpass on this stretch of road. Once finalized the improvements would alleviate traffic congestion even more than it already has. Commuters from the Eastern Districts still face heavy congestion in the mornings while work continues on the Linford Pearson bypass. In 2017, the planning authority approved 1,013 projects, ranging from private homes to major hotels, worth a combined value of $688 million. The previous highest recorded net value for planning approvals in a year was $481 million, in 2008. Several major developers hailed the impact that the increase in investment will have on the economy and job creation in particular. In addition, in 2017, it was announced that the Cayman Islands Government awarded the implementation of an Integrated Solid Waste Management System (ISWM) to the Dart Group. The landfill will be capped, and a new management facility constructed. This is indeed a very welcome development. With a growing selection of residential and commercial properties, a solid infrastructure, stable politics and a strong GDP the Cayman Islands can confidently set its self apart as a top real estate investment destination within the Caribbean. Tourism numbers have broken all records and because of disastrous hurricanes in the Eastern Caribbean, Cayman saw an increase in cruise ship visitors and stay-over tourists. The continued and very welcome expansion of Owen’s Roberts International Airport will be critical in accommodating the tourism sector as it expands further. Now let’s take a look at some of 2017 statistics produced from CIREBA records:
The value of total active listings according to our 2016 report amounted to $1,393,570,565.49; looking at 2017 we see the value increased to $1,551,159,662.11.
2016 saw 724 sales for a total of $435,962,741.62 whereas 2017 recorded less sales by number; 698 but with a higher value of $461,917,840.33.
When we take a look at residential listings and compare 2016 to 2017, we see 760 listings in 2016 with a value of $1,098,718.94. In 2017 there were 891 active residential listings at an average sales price of $1,119,412.15.
Commercial listings in 2016 showed 45 listings at a total value of $2,107,052.89, whereas 2017 showed 41 listing at a lesser total of $1,395,525.56.
Looking at land listings in 2016 there were 746 listings totalling at $540,095.00 and 2017 showed fewer listings; 598 but at a higher value of $716,364.65.
Seven Mile Beach listings remain rare as there is such small inventory; therefore they never stay on the market for very long.
Historically, CIREBA has played a critical role in the Cayman Islands real estate industry. As the market remains strong and new regulations are implemented it seems certain that it will continue to be a driving force ensuring that Real estate agents work ethically and uphold the highest standards whether dealing with local buyers, sellers or forgiven investors.
Jeanette Totten, President of CIREBA says;
With regulations becoming more and more onerous regarding "know your customers" CIREBA has been recognized as being in the forefront of requiring its members to go above and beyond what is required, companies that are not members currently have no accountability in complying.
Having just celebrated their 30th anniversary CIREBA has been at the forefront of shaping the industry, aiming to provide an environment whereby brokers and agents must follow the Association’s strict code of business standards, rules and regulations. A high level of competence and ethics is expected from all members, at the same time CIREBA guides fair business practice to ensure honest and professional dealings in real estate transactions. With this in mind, CIREBA conducts on-going educational courses, professional development and shares annual and mandatory training on Anti Money Laundering, compliance and due diligence in order that agents understand the myriad of tasks involved with helping clients buy and sell homes.
CIREBA would like to welcome Christie’s International Real Estate to the Association.
All things considered, it looks like 2018 will be a year of more positive growth for the Cayman Islands Real Estate Industry.