Return on Investment (ROI) Insights

‍

The CES program’s investment component is largely non-refundable (donation-based). However, the real estate element offers potential capital preservation or appreciation.

‍

Real estate in prime Maltese locales has appreciated steadily, averaging 3–6% annual growth. Rental yields range from 3–5%, with strong demand in Valletta, Sliema, and St. Julian’s. However, properties must meet government eligibility standards and hold periods (5 years) before resale.

‍

Investors seeking more liquid alternatives may explore licensed fund options under the MPRP (though limited). These must be approved by the Malta Financial Services Authority (MFSA), with documented track records, audited financials, and exit strategy disclosures.

‍

Key risks include:

‍

• Illiquidity during mandatory holding periods
• FX exposure for non-euro investors
• Market volatility and overdevelopment in select zones

Strategic structuring, such as ownership via trusts or companies, may mitigate tax leakage and succession complications.

‍