Abrim Residences, Hurghada Beach Front, Egypt

Abrim Residences, Samra Bay, Hurghada > FAQ's

Location

Where is Hurghada?
Hurghada is located on the Red Sea Riviera in Egypt.

How do I get there?
Many airlines, including budget ones, offer direct flights to Hurghada, which has it’s own international airport. Lots of tour operators also offer package holidays there. The flight time is around 5 hours from the UK.

Climate

What is the climate like?
Egypt enjoys year round sunshine and warm temperatures so it is not a seasonal resort. However, May- October is classed as peak season there.

Tourism

How many tourists visit Egypt per year?
Last year, tourism figures were up 12% on the year before and the government has plans to spend an estimated £1.8 million on a marketing campaign to increase this number. In fact, their ambitious but realistic plans aim to bring in an annual 16 million visitors by 2014.

Tourism is a vital pillar of Egypt's economy with nearly 15% of the country's GDP stemming from this market. The World Travel and Tourism Council recently predicted that the country will experience a healthy 5.7% growth per annum for the next decade which will no doubt delight investors in this emerging market.

Egypt has long been one of the world's premier destinations and is ranked fourth in the most popular worldwide tourist destinations. 31 tourism projects have been started since 2003 at an estimated cost of some £1.7 billion. These have mainly been on the Red Sea coast .

What tourist activities are on offer in Hurghada?
The miles of beautiful, clean beaches are a big attraction in Hurghada. The Red Sea is world famous for it’s amazing marine life and is mecca for divers. There are also numerous water sports on offer. There are many shops, bars and restaurants in Hurghada town centre. There are also lots of organised outings available, such as trips to the world famous Valley of the Kings in Luxor and the stunning Pyramids in Cairo. There are more local excursions too – boat trips, outings into the desert. There is a huge choice and variety. You will be spoilt for choice.

Abrim Residences, Samra Bay Marina and Spa Resort

Where in Hurghada is the development being built?
The development has a unique, beachfront location, alongside the Hilton and Intercontinental Hotels. It is located on the pedestrianised promenade, “Village Road.” This area is considered to be the “Golden Mile” in Hurghada and is the heart of the town.

What facilities will the resort have?
The Abrim Residences are the first phase of Samra Bay Marina and Spa Resort. This luxury beachfront development will be based around it’s own lagoon. It will have world class facilities’ including a spa and beauty centre, a fitness centre, a diving centre, swimming pools, a marina, supervised children’s activities, bars, a range of restaurants, a shopping area and on site medical care. There will also be satellite television and internet connections in every room, room service and on site serviced laundry.

What standard will the resort be?
The resort will be built to very high standards and will have a four or five star classification.

Does the resort have it’s own beach?
Yes. Samara bay occupies a unique, beachfront location. It had approximately 1km of beach.

What property types are there?
There are studios, 1 bedroom apartments and two bedroom apartments available in the Abrim Residences.

Will the properties be furnished?
No. The vendor intends to set up a show to provide a choice of several furniture packages. The cost is anticipated to be between £5,00 and £10,00, depending on the size of the property and the package chosen.

When will the development be completed?
The development will be completed late 2011 / early 2012.

What are the management costs for the properties?
The anticipated costs of facility management are between 1 and 1.5 euros per square metre of the property per month. For this, the management company will provide all work required to maintain outdoor areas, pools etc. The exact costs will be specified in a contract with the managing agent.

How will water and electricity costs be calculated for each unit?
Each unit will have meters which will record individual consumption and the readings from these will form the basis of the account.

Inspection Visits

Are client visits to the site available?
Yes they are. We can help to organsie a trip to Hurghada for any clients wishing to visit the site. The Resort Alliance have their own staff who will meet clients there, take them to visit the site and answer any questions they may have.

Are inspection trips free / subsidised?
Clients are required to pay for the full cost of their own trip. However, if a client decides to purchase following an inspection visit, we will refund £250 per property purchased.

Rental

Is there a rental guarantee?
No there is no rental guarantee. Buyers will have the option of putting their properties into a rental pool. There is a full 12 month rental season.

Is tax payable on rental income?
Yes, 50 % of the actual rental income serve as the assessment basis. No rental expenses can be deducted. The following tax rates apply, graded according to income level:
Rate 1. from 5,000 LE – 20,000 LE - 10 %
Rate 2 from 20,001 LE – 40,000 LE - 15 %
Rate 3 over 40,000 LE - 20 %
Legal entities pay tax at a standard rate of 20 %.

Taxes

Are taxes payable on the purchase of a property in Egypt?
No.

Are taxes payable on the sale of a property in Egypt?
Yes. People pay tax at a rate of 2.5 % of the selling price.

Is any annual land tax payable?
Yes, based on the assessed annual rental value, which is determined by a committee.
This normally involves only minimal sums.

Is any capital gains tax or value added tax payable?
There is no special tax on capital gains and no value added tax is payable on the sale of properties.

How do I purchase a property at Abrim Residences?

Is there a Reservation fee?
When you decide to purchase at Abrim Residences you will need to pay £2000 deposit. This will secure your chosen unit and it will be taken off the market for 28 days. During the 28 day period your £2000 deposit is full refundable.

When are contracts issued?
Once you have paid your reservation fee contracts and floorplans will be issued. You will then need to instruct a solicitor.

Can I see a draft contract?
Yes, draft contracts are available for clients.

How much is the first payment?
If you are purchasing a studio or one bedroom apartment, the first payment is 40%. If you are purchasing a 2 bed room apartment, your first payment will be 30%.

How are the funds held?
The funds are paid into and ESCROW account.

Due Diligence

What due diligence has been done about this development?
We undertake our own diligence checks before we market any development. The Resort Alliance Group have also commissioned a 40 page investor report that details the benefits of investing in Egypt. They have also had a full due diligence report completed by The Max Gold Partnership. This report is available to clients.

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