The Channel Islands have long been seen as leaders for the development of real estate investment options. The islands fund industry and associated support service practitioners have evolved over the last 30 years developing a major centre for global investors looking to establish tax efficient real estate funds. The Islands' legal and regulatory systems effectively enable the flow of capital into and out of global property markets whilst managing the significant potential tax liabilities inherent in this sector, particularly in the UK and Europe.
In the past few years, demand for private capital for real estate investment and supporting infrastructure has increased enormously. In the emerging economies, the great migration to the cities, growing population and swelling middle class are creating a desperate need for more urban real estate. In the advanced economies, the cities are also growing, although not so rapidly, while technology, demographics and environmental issues are becoming new value drivers. The real estate industry has found itself at the centre of rapid economic and social change that is both intriguing and rewarding for investors. The Channel Islands are perfectly placed to capture this momentum.
Continuing growth in assets under management has also been reflected in an increased demand for market traded securities in the property sector. Recent market conditions have resulted in a flurry of listings of Channel Island domiciled funds on the various London and other European stock exchanges.
Expertise in the market is critical to success. Practitioners in the Channel Islands have a proven track record in managing complex and specialised structures through regulatory change; they have prospered where other jurisdictions have struggled to come to terms with changes and updates. Proactive reaction to issues such as Basel III and AIFMD, plus disclosure agreements such as FATCA show that the Islands' financial industries retain an agility that serves them well.
The PwC Channel Islands firm have a dedicated and responsive group of professional advisors and senior accountants who provide advice in personal and corporate tax structuring, merger and acquisition services and detailed advice and assistance on CISE, London and European stock exchange listings – all of this done locally with the support and knowledge of experts across the global PwC network of firms.