Property Management

Malta Property 1

Property Management 

Malta is a unique destination for any traveler. With its serene landscape, its fusion of Neolithic, baroque influences, infused together with contemporary architecture and the warm hospitality of the Maltese people all render Malta as one of the most ideal locations for investment. Its Mediterranean climate, mild winters and hot summers, coupled with a low crime rate, excellent healthcare, a quiet way of life and relatively low-cost property, captivates expatriates to purchase property on these small islands. Indeed, over the years, many foreigners have sought to make Malta their home. And, as a result, our Property & Development industry is thriving. 

If it’s simply the renovation and the re-sale of existing buildings, a small-scale land development project for personal use or the development of a large-scale commercial development, Chetcuti Cauchi’s multi-disciplinary team is well-equipped to coordinate all activities that transform ideas on paper into sheer reality. 

The Property & Development Industry in Malta: Malta’s Property Market

While property values across the world have plummeted in the last 5 years, the Maltese property market downturn has been nowhere near as grave. According to the Maltese Central Bank, property prices recorded an annual fall of just 2.7% in 2011. Malta’s previous property boom was owed to our ideal climate, the country’s tax-efficient status and special residency status schemes - all of which are factors in furthering the attraction of foreigners to our shores. The idea that one small island has somewhat retained its property values, has been very encouraging to past and current investors eyeing the island as their next destination for their future projects. 

The property and development industry has seen a surge in property prices since 2015. Malta continues to perform amongst the highest performing eurozone economies. Property prices have augmented at an impressive 67.2% between 2001 and 2015 , and so far, show no sign of slowing down - a trend which can be partially attributed to government measures aimed at enhancing property demand, such as the Malta Individual Investor Programme. 

Malta’s property can be bought through a company or via a trust. This, in itself, is a notion which investors see as highly advantageous; property purchases through companies are generally used to exercise retained earnings within the company directly. Therefore, there is no distribution from the company to the personal shareholders and, ultimately, no additional dividend tax. 

The island has in fact become known for its respectable and stable jurisdiction based on modern trust law. It has become a norm for property in Malta to be acquired in trust. Regulated by the Trust and Trustees Act of 2004, trusts give acquirers the possibility that the property bought is maintained and managed in the best interests of the beneficiaries, as well as in a manner which maximizes the property investment held in trust. 

Our Team

Our professional property and development team is composed of tax advisors, property lawyers, accountants and trust consultants and administrators. They competently manage a real estate portfolio for various clients, bringing together expertise not only in legal, trust and financial management ambits, but also in property investment, development, procurement and management sectors. 

Together with planning consultants, our property and development lawyers provide counselling on residential, commercial, mixed-use and industrial property acquisition, sale and lease, as well as consulting services on residential, tourism and industrial real-estate development; including government permits and procedures. 

Tax and Financial Planning Process 

In-house accountants and tax advisors at the firm, conscious of the level of impeccability required for triumphant project development, normally assist developers in the financial and tax planning process. This typically includes the identification of any essential purpose vehicles that might need to be set up for the successful completion of the task at hand. 

Planning Permits and Valuations 

While simultaneously acting as a one-stop shop and being a collaborator with many architects, Chetcuti Cauchi aids during the process of attaining any necessary planning permits and the valuation of property. 

Drafting and review of Agreements 

Equipped with a team of in-house legal professionals, we routinely assist with the drafting or review of all contracts required at every step of the way. This includes the purchasing of land and agreements alongside other contractors or service providers. 

At Chetcuti Cauchi, we aim to provide a full service in connection with the drafting, review and negotiation of primary agreements, as well as deeds of sale or purchase of property in Malta. We work together with banks, architects and other involved parties to ensure smooth property transactions. Our lawyers can coordinate in-house project management services for conversion or refurbishment projects of residential and commercial property where necessary. 

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