Development wager pays off

During our current severe recession of three years – possibly a depression – one large resort development took the bold move to proceed despite the economy. They had the wherewithal and confidence in the future of the Cayman Islands to start construction, at the peak of the most bleak economic times. That development is WaterColours on Seven Mile Beach and their daring bet seems to be starting to pay off.

As fate would have it, WaterColours is now seeing a resurgence of buying interest for its ultra prestigious residences. After a slow year of sales in 2010 and the first half of 2011, activity is picking up. There have been three new separate reserved/sales in the last two months and more interest and serious enquiries are building, as the second floor level is being poured.

It helps that prices at WaterColours are still at the original pre-construction prices - less a US$1,000,000 discount. These prices will increase, during 2012 and will continue to ratchet up during construction. For any investor or new resident wanting to own the best condominium residence on Seven Mile Beach, at about a 25 per cent discount to its true value, this could very well represent a fleeting opportunity.

The development company owns the land (former Beach Club Colony site between LaCovia and Beach Suites), have ramped up construction to full capacity, and will complete on target by December of 2013. This property will be an overbuilt fortress of poured concrete and steel, but with an unprecedented portfolio of facilities, amenities, and services to a level that will rival the finest luxury hotels, yet feature absolute privacy and security for their prominent owners.

WaterColours will be the first beachfront resort development with nine storeys, built on the best part of Seven Mile Beach. It is only nine storeys instead of 10 storeys, in order to get 10 to 11 foot ceiling heights in each residence, while still being within the allowed height restriction for a 10-storey building. The panoramas from the front and back of this tall building will be unrivaled.

A total of 18 condominiums are sold, to date. They are comprised of 3 BR/3.5 BA plus Den and 4 BR/4.5 BA residences from the ground floor to the ninth (top) floor. The square footage ranges from 3,600 to 3,700 square feet. Specifications and finishes are impeccable, introducing some new products and design elements to the Cayman Islands that raise the bar to a whole new level.

The facilities, amenities, and services will include: Private owners beachfront pool Private/enclosed parking Beachfront owners conservatory Full chef’s kitchen off conservatory Onsite fitness studio Valet Parking Owner’s wine cave Full service concierge with airport service 24 hour security/7 days a week Private massage room 4 owner’s guest suites Enhanced ceiling heights Boardroom facility Private ensuite baths on all bedrooms No transient rentals Glass versus metal railings on balconies Pre-wired for state-of-the-art audio and visual components Top of the line designer appliances International Design Group designed and furnished common areas Hurricane safety concrete roof slab Two card access elevators Owner’s storage on main/parking level Pet friendly

With construction well under way, it will be several years before another new condominium development can be planned and built on Seven Mile Beach. Gone are the days of multiple developments all being built at the same time.

There will be precious few new developments along Seven Mile Beach in the years ahead, which will bode well for values at WaterColours, now and in the future. If someone wants the absolute best in beachfront residential living, it would appear that nothing will come close to the WaterColours on Seven Mile Beach.

Source: The Journal, September 2011, Kim Lund Owner/Broker RE/MAX Cayman Islands