15% VAT on Apartment sales will come in to affect from 1st of April 2019, according to the government Gazette issued 16th of August 2018, with the title 'VALUE ADDED TAX (AMENDMENT) ACT, No. 25 OF 2018'.
According to the Finance Ministry sources, as it stands, if the Sales & Purchase Agreement (SPA) is signed before the 1st of April 2019, the buyer is not liable to pay VAT, even for payments made after this date. They however also said that this is still under discussion and might change in future.
The VAT exemption only applies if all units in the apartment project is under LKR 15 million; which would eliminate most of the apartments for sale in and around Colombo.
VAT is also exempted if you're buying the property from a private seller (owner) in the secondary market (re-sale), unless the property is owned by a VAT registered company.
More details >>
(LankaPropertyWeb)
Friday, 22 March 2019
Thursday, 31 May 2018
Malabe- Sri Lanka’s Fastest Growing Residential & IT hub
Malabe is a suburb of the greater Colombo area, in the Colombo district. A predominantly residential area Malabe is now rapidly expanding into an information technology and higher education hub in the Greater Colombo area. Malabe lies in close proximity to both Colombo, the financial capital of Sri Lanka and Sri Jayawardanapura Kotte, the administrative capital hence the large residential population
History
Part of the ancient Sri Lankan Kingdom of Kotte during the 15th Century and is believed to encompass the greater part of the now unidentifiable Mulleriya Basin which was a lush wetland where the Battle of Mulleriyawa between the Portugese and the Sinhalese kingdom took place resulting in an annihilation of the Portuguese forces at the hands of King Rajasingha.
Location
Malabe has become part of the upscale residential boom of the Jayewardenepura Kotte area during the past decade. Placed in a central position Malabe offers easy access to Colombo via Rajagiriya, direct access to the Neighboring administrative capital, Sri Jayewardenepura Kotte, to other financial hubs such as Nugegoda and Maharagama, adjacent residential hubs of Pelawatta and Thalawathugoda, easy access to Kelaniya, and Orugodawatta via the Low-Level Road which contains most of the shipping container yards in Colombo. Also Malabe is just adjacent to the Balarama Free Trade Zone home to many industrial
manufacturing facilities but proximity is so that the factories have no effect on the residents of the area.With the Construction of the Southern Highway and the Outer Circular Highway which has two exits and entrances located in and around Malabe, it has become one of the main routes taken by motorists coming through Galle and Matara to get to Colombo. The Outer Circular Highway also offers easy access to Ragama and Gampaha financial hubs.
Shopping and Amenities
Branches of all major department stores (ODEL, Cool Planet), convenient stores (Cargills Food City, Keells Super), pharmacies, clothing chains (ASP), fast food restaurants (Pizza Hut, Domino’s Pizza, Burger King), Upscale Restaurants (Silk Route, Lemongrass) banks (BOC, Commercial Bank, Sampath Bank, Peoples’ Bank, NSB, NTB, Standard Chartered Bank) and filling stations (Ceypetco) are all found in the city center along with a weekly public market. All daily necessities can be obtained with a single visit to the city. Parking for vehicles are also ample in the city.
Schools and Higher education
Malabe has numerous Primary and secondary education institutions with many primary and secondary government schools such as the Malabe Boys School and the Rahula Balika Vidyalaya as well as the Horizon International College
Higher educational institutions include the Sri Lanka Institute of Information Technology (SLIIT), South Asian Institute of Technology and Medicine (SAITM) & Colombo International Nautical and Engineering College (CINEC)
Healthcare
Main Healthcare provider for the area is the Government Teaching Hospital located on the Chandrika Kumarathunga Mawatha, The Neville Fernando Teaching Hospital. Malabe also has numerous private dispensaries and laboratories
Residential Value
Over the past decade Malabe has become one of the most sought after residential suburbs in the Greater Colombo area. With the rapid development of the roadways in the area and the proximity to major financial and administrative hubs of Sri Lanka the land value is as competitive as ever now. According LankaPropertyWeb, the Malabe house for sale prices for an average 3-bedroom house range from 22million where as it was 20million last year. The land for sale in Malabe prices are also on the rise with 800,00 per perch comparing to the price tag of 600,000 previous year.
Transport
Malabe as a center point in the suburban areas has a complete public transportation system with major bus routes (177, 993, 336) going across or beginning from the center of the and some buses connecting Malabe to the Central Bus Terminal in Fort, Colombo. The road that leads to Colombo which is only 14km away via Rajagiriya to Borella junction is also one of the few roads in Colombo to have the Bus Priority Lane. The government plans to implement a light passenger railway connecting Malabe to Colombo soon as well. Under the MegaPolis Development Project undertaken by the government a light commuter train which will run above ground parallel to the Rajagiriya main road is planned to be built from Malabe to Borella thus reducing the traffic and making access to Colombo more commuter friendly. Already the feasibility studies are underway, and the designs have been put forward for consideration.
The government is planning to implement a light passenger railway connecting Malabe to Colombo in the near future as well. Under the MegaPolis Development Project undertaken by the government will commence construction in early 2018 is scheduled to be completed by the end of 2021. The total distance covered will be 21 kilometers from Malabe to Fort. Average travel time will be cut down to roughly 40minutes from Malabe to Fort with trains being operated every 4 minutes during the peak hours in the morning and afternoon. The light commuter train which will run above ground parallel to the Rajagiriya main road thus reducing the traffic and making access to Colombo more commuter friendly. Stations will be put in place at Fort Station, Western Province Transport Centre, St. Joseph’s College, National Hospital, Borella, Cotta Road, Welikada, Rajagiriya, Sethsiripaya, Battaramulla, Palan Thuna, Robert Gunawardana Mawatha, Lumbini Temple, Talahena, Malabe, and the IT Park. This will be the 1st phase of a larger network which will extend to Homagama, Kelaniya and Moratuwa. Already the feasibility studies are underway and the designs have been put forward for consideration.
Places of Worship
Malabe is home to a multi ethnic multi religious populous with the majority being Buddhist. Many places of worship can be found around the city including the Mahamewna Temple which is located in Pittugala and the Historic Korathota Temple. Malabe is also home to many churches kovil’s and mosques.
Employment Opportunities
Malabe has been proposed as the Information Technology Hub as per the Mega Polis Development Project of the government. Already many reputed IT companies, including the Millennium IT owned by the London Stock Exchange have established their head office in Malabe, with many more companies planning use Malabe as their home base. This brings about a golden opportunity for present and potential employees of these companies choose Malabe as their place of residence due to the immense convenience of having a very small commute to the workplace daily.
History
Part of the ancient Sri Lankan Kingdom of Kotte during the 15th Century and is believed to encompass the greater part of the now unidentifiable Mulleriya Basin which was a lush wetland where the Battle of Mulleriyawa between the Portugese and the Sinhalese kingdom took place resulting in an annihilation of the Portuguese forces at the hands of King Rajasingha.Location
Malabe has become part of the upscale residential boom of the Jayewardenepura Kotte area during the past decade. Placed in a central position Malabe offers easy access to Colombo via Rajagiriya, direct access to the Neighboring administrative capital, Sri Jayewardenepura Kotte, to other financial hubs such as Nugegoda and Maharagama, adjacent residential hubs of Pelawatta and Thalawathugoda, easy access to Kelaniya, and Orugodawatta via the Low-Level Road which contains most of the shipping container yards in Colombo. Also Malabe is just adjacent to the Balarama Free Trade Zone home to many industrial
manufacturing facilities but proximity is so that the factories have no effect on the residents of the area.With the Construction of the Southern Highway and the Outer Circular Highway which has two exits and entrances located in and around Malabe, it has become one of the main routes taken by motorists coming through Galle and Matara to get to Colombo. The Outer Circular Highway also offers easy access to Ragama and Gampaha financial hubs.
Shopping and Amenities
Branches of all major department stores (ODEL, Cool Planet), convenient stores (Cargills Food City, Keells Super), pharmacies, clothing chains (ASP), fast food restaurants (Pizza Hut, Domino’s Pizza, Burger King), Upscale Restaurants (Silk Route, Lemongrass) banks (BOC, Commercial Bank, Sampath Bank, Peoples’ Bank, NSB, NTB, Standard Chartered Bank) and filling stations (Ceypetco) are all found in the city center along with a weekly public market. All daily necessities can be obtained with a single visit to the city. Parking for vehicles are also ample in the city.
Schools and Higher education
Malabe has numerous Primary and secondary education institutions with many primary and secondary government schools such as the Malabe Boys School and the Rahula Balika Vidyalaya as well as the Horizon International CollegeHigher educational institutions include the Sri Lanka Institute of Information Technology (SLIIT), South Asian Institute of Technology and Medicine (SAITM) & Colombo International Nautical and Engineering College (CINEC)
Healthcare
Main Healthcare provider for the area is the Government Teaching Hospital located on the Chandrika Kumarathunga Mawatha, The Neville Fernando Teaching Hospital. Malabe also has numerous private dispensaries and laboratories
Residential Value
Over the past decade Malabe has become one of the most sought after residential suburbs in the Greater Colombo area. With the rapid development of the roadways in the area and the proximity to major financial and administrative hubs of Sri Lanka the land value is as competitive as ever now. According LankaPropertyWeb, the Malabe house for sale prices for an average 3-bedroom house range from 22million where as it was 20million last year. The land for sale in Malabe prices are also on the rise with 800,00 per perch comparing to the price tag of 600,000 previous year.Transport
Malabe as a center point in the suburban areas has a complete public transportation system with major bus routes (177, 993, 336) going across or beginning from the center of the and some buses connecting Malabe to the Central Bus Terminal in Fort, Colombo. The road that leads to Colombo which is only 14km away via Rajagiriya to Borella junction is also one of the few roads in Colombo to have the Bus Priority Lane. The government plans to implement a light passenger railway connecting Malabe to Colombo soon as well. Under the MegaPolis Development Project undertaken by the government a light commuter train which will run above ground parallel to the Rajagiriya main road is planned to be built from Malabe to Borella thus reducing the traffic and making access to Colombo more commuter friendly. Already the feasibility studies are underway, and the designs have been put forward for consideration.The government is planning to implement a light passenger railway connecting Malabe to Colombo in the near future as well. Under the MegaPolis Development Project undertaken by the government will commence construction in early 2018 is scheduled to be completed by the end of 2021. The total distance covered will be 21 kilometers from Malabe to Fort. Average travel time will be cut down to roughly 40minutes from Malabe to Fort with trains being operated every 4 minutes during the peak hours in the morning and afternoon. The light commuter train which will run above ground parallel to the Rajagiriya main road thus reducing the traffic and making access to Colombo more commuter friendly. Stations will be put in place at Fort Station, Western Province Transport Centre, St. Joseph’s College, National Hospital, Borella, Cotta Road, Welikada, Rajagiriya, Sethsiripaya, Battaramulla, Palan Thuna, Robert Gunawardana Mawatha, Lumbini Temple, Talahena, Malabe, and the IT Park. This will be the 1st phase of a larger network which will extend to Homagama, Kelaniya and Moratuwa. Already the feasibility studies are underway and the designs have been put forward for consideration.Places of Worship
Malabe is home to a multi ethnic multi religious populous with the majority being Buddhist. Many places of worship can be found around the city including the Mahamewna Temple which is located in Pittugala and the Historic Korathota Temple. Malabe is also home to many churches kovil’s and mosques.Employment Opportunities
Malabe has been proposed as the Information Technology Hub as per the Mega Polis Development Project of the government. Already many reputed IT companies, including the Millennium IT owned by the London Stock Exchange have established their head office in Malabe, with many more companies planning use Malabe as their home base. This brings about a golden opportunity for present and potential employees of these companies choose Malabe as their place of residence due to the immense convenience of having a very small commute to the workplace daily.
Thursday, 28 September 2017
Thursday, 24 August 2017
Sri Lanka – Asia’s Next Property Hotspot?
With land and house prices seeing unprecedented
appreciation in 2017 alone, Sri Lanka has emerged as Asia’s new destination for
attractive real estate returns with its prime beachfront land, seaside condos, high-end
luxury serviced apartments and more.
From Holiday Destination to Property Hotspot Location
Given the uncertainty of Brexit and other global developments coupled
with a slowdown in traditional property markets i.e. Malaysia, Singapore and
China, the Indian Ocean island paradise of Sri Lanka has become the new “sexy”
destination for property investors. Over the years, Sri Lanka has established a
track record for handsome returns and high rental yields while providing
investors the best of price, location and property choices.
Real Estate – Really Good Returns
Real estate has
proven over time to be a sound asset class for capital preservation and wealth
creation. Its tangible, physical nature gives investors a solid assurance over
paper assets while rental allow for passive income. Financing can be secured to
facilitate ownership. Land can be developed while refurbishments to completed
homes will yield better capital returns ranging 20%-200%.
In Sri Lanka, real estate has far outperformed any other asset
class since 2014. .
Source: Candor Group
According to research by Candor Group, properties
in Sri Lanka, (specifically in the Colombo city area) have yielded better
returns than any other investment class.
Right Place, Right Time – At the Epicentre
of Dynamic Growth
The end of the civil war in 2009 marked a “renaissance” for the island. Supported
by massive rebuilding, surging tourism and increased foreign investor
confidence, according to the World Bank, Sri Lanka’s growth is set to accelerate
to 5.1% by 2019. GDP per capita rose from US$2,819 to US$3,835 – by 36% from
2010-2016. Based on this trend, the World Bank could soon classify Sri Lanka as
an “upper middle-income country” on par with Malaysia, Thailand, Maldives and
Brazil.
Mega infrastructure projects are
also having a multiplier effect on local real estate values. These include the
Hambantota Port, the Colombo Southport construction as well as works for an
additional terminal at Bandaranaike International Airport. The latter will see passenger
capacity expand 150% to 15 million from its current six million.
The
US$3 billion Northern Expressway and other road projects will open up new
opportunities while enhancing connectivity and accessibility nationwide.
Source: Colombo Port City
‘Investment
Opportunities Abound In 20-30 Year Growth Market”
An indication of the sterling growth is evident in the rise of property
values in recent years. Leading property website LankaPropertyWeb.com’s House
Price Index shows that average apartment prices in Colombo (for a 3-bed) have appreciated
6.2% in 2017 and land prices even higher based on asking price values. An
apartment will see rental yields of 6-8% typically.
In comparison to real estate, other investment options have been slow or
unexciting.
Leverage on Local Knowledge & Insight
to Start Investing Successfully
Rather than go
it alone, get the best of local knowledge and insight to reap profitable
rewards from Sri Lanka’s property boom (and other investment options) at the ‘Investor Forum Sri
Lanka’ on 30th August held at Kingsbury Hotel.
Listen to Candor’s Ravi Abeysuriya, JLL’s Sunil
Subramanian and Liang Thow Ming, CSMO of CHEC Port City and other experts share
on the best investment options available at the moment. Organised by
LankaPropertyWeb.com and RB Realtors & Consultants. For more information,
please visit www.LankaPropertyWeb.com/events.
Tuesday, 22 August 2017
Is Nugegoda the Ideal Suburbia?
Does good transport links, good
schools, abundance of shopping, restaurants and recreational activities make
Nugegoda the ideal suburbia?
Introduction and History
Nugegoda has become almost a synonym with the
urbanization that is sweeping Sri Lanka amidst the recent real estate boom. The
town which amounted to a very small town in the recent past, has grown tenfold
in the last few years to become an area that hosts prime real estate.
Known as Dimbulgas Handiya in the past, the
name “Nugegoda” is assumed to come from the term “Nugen Egoda”. It was known to
be largely a very flat landscape with marshlands. Today, Nugegoda is a bustling
urban center with a large basis of affluent middle-class residents and a high
influx of people on a daily basis.
The High-level road which connects the
Sabaragamuwa and surrounding areas has played a key role in Nugegoda becoming
an urban center of the Western province. As a gateway to Colombo, Nugegoda
attracts a large number of visitors, both as travelers that are passing through
as well as those intending to access the many amenities the urban center has to
offer.
Nugegoda is also famous for its iconic Bo tree
after which the Bo gaha junction has been named.
Population in Nugegoda
The population around Nugegoda region is approximately 36,326 according
to the figures in 2012 when Nugegoda, Pagoda and Gangodawila is calculated
together.
This figure is bound to have grown in the last 5 years and the current
figure must be viewed in comparison with numbers from 2017 listing the
approximate figures of Colombo (648,034), Mount Lavinia (219,827), Pita Kotte
(118,179) and Maharagama (66,576).
House Prices
Despite crime rates increasing, the real estate
property market for housing and land properties in A house for sale in Nugegoda averages around 45.5M for a 4-bedroom house
and the average price for a 3-bedroom house is set at 26 Million, which is a
19.6% decrease from last year.
Land for sale in Nugegoda is also on high demand, rising up to 2.5 million
per perch which is a 13.6% increase. This is indicative of the direction in
which land for sale in Nugegoda is heading, supplemented by many new apartments
and luxury living complexes being built in the region. Nugegoda is currently a
popular choice for property searching with it being the 3rdmost
searched location for rentals and 7th for sales.
According to the recent survey conducted by LankaPropertyWeb.com, when
deciding a place to stay people made their choices based on the neighborhood
and distance to work. Nugegoda is a location and a setting where both these
factors are fulfilled thus making it an ideal region to establish residency.
Schools and Institutions
Nugegoda houses some of the top tier schools in
the country, both in terms of National and
The likes of Lyceum International, St. Johns College, Anula College, Samudradevi
Balika Vidyalaya, Sujatha Vidyalaya lay claim to the schools and Sakya and
Rotary plays a large role as institutions. Nugegoda has a perfect mixture of
national and international schools giving parents the perfect set of options to
choose from.
Nugegoda is also close to University of Sri Jayawardenapura and the Open
University of Sri Lanka, providing a higher education outlet as well.
Amenities and Shopping
It also houses some of the island’s premier
fashion and clothing ranges which gains millions of people especially in the seasonal
times. Nolimit, Glitz, Manjari, Kelly Felder, Cool Planet, House of Gifts are
amidst large collection of stores dedicated to apparel and fashion.
The Nugegoda supermarket also houses a large collection of vendors and
the town is equipped with many Keells and FoodCity outlets, providing easy and
quick access to shopping needs.
Restaurants
A very significant number of fine dining restaurants are based in the
region as well as fast food ventures such as McDonalds, KFC, Burger King, Steam
Boat, Jade, Fab, Green Cabin with more being added in the future.
Recreation
The recent addition of a wetland park
(previously known as the Weli park) has proven to be an
Healthcare and Hospital
In terms of the healthcare of the region, there are many diverse yet
quality options. The presence of a number of private healthcare providers such
Ceymed & Winlanka and the proximity of Sri Jayawardenapura Hospital and the
Kalubowila hospital, makes Nugegoda one of the few places in Sri Lanka with access
to high quality health care 24x7.
Distance and Transport
Nugegoda is only about 9.5 Kilometers away from reaching the heart of
Colombo. By bus, this
Although the traffic can cause delays it is still a very short drive
thus enabling in most times, a quick access to the Colombo region.
Why Nugegoda is still a better
Option?
With prices going up, any property that you choose to invest your money
in will increase in massively value in the coming years. Therefore, despite the
crime rates rising, Nugegoda is still a very attractive proposition just on a monetary
note.
The resident community around Nugegoda is also rapidly on the change.
This is due to more and more young professionals moving in which is undoubtedly
transforming the community. The surrounding parks and leisure options provide
ample room for relaxation. Furthermore, Nugegoda as a transportation hub
provides access to a quick getaway to any corner of Sri Lanka.
Tuesday, 24 January 2017
Access Engineering invests Rs.2.295 bn in Harbour Village
Access Engineering has invested Rs.2.295 bn in Hotel 10 (Private) Limited, a joint venture between Mustafa’s, China Harbour Engineering Company (Lanka) Limited and Access Engineering toset up a mixed development project
The development will take place on a five acre land situated at No.250,Srimath Ramanathan Mawatha, Colombo 15.This land which overlooks the Colombo Port, is located 2 km from the City Centre and the Port CityDevelopment.
(Source: Daily News)
Tuesday, 17 January 2017
Foreign investors for over USD300,000 to get resident visas in Sri Lanka
Sri Lanka’s Finance Minister said that foreigners who make a minimum investment of 300,000 US dollars will see a range of benefits including the granting of two to five-year resident visa permits.
New regulations would be introduced to increase the concessions and facilities granted to Foreign Direct Investment, Ravi Karunanayake, Finance Minister said, according to the media reports.
(Source LBO)
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