Investment Areas
RM Group currently operates in the U.S., Greece and Zanzibar, constantly seeking unique real estate opportunities in other countries while upholding the group’s business model and principles. We place a strong emphasis on the group’s continued development and on creating new investment channels for our investors, as well as investing in real estate development activities comprising an integral element of our natural development.
Investments in the U.S
The U.S. real estate market continues to be an attractive target, generating business opportunities for various investors, for different reasons. One – Today, a decade after the 2008 crisis and despite the U.S. market’s impressive recovery and economic improvement, the U.S. real estate market has not yet reached the record levels pre-crisis days. Two – The low entrance threshold. Investors can enter an investment at under $100K while the Israeli market requires equity of nearly 0.5M NIS. The past year was characterized with economic recovery and resumption of the routine in many U.S. states, while attempting to live alongside the virus. The U.S. residential real estate market continues to demonstrate impressive stability despite the crisis and demands even increased during COVID, inter alia due to savings on household expenses, which brought the U.S. real estate market to a boil with significant price increases.
Investments in Greece
As Greece was recently reopened to foreigners, along with the need for a post-COVID vacation, incoming tourism greatly increased and is expected to further grow in the upcoming years.
Therefore, this sector presents multiple investment opportunities including low purchasing prices (both due to the crisis in Greece over the past decade and the COVID crisis, which substantially impaired the tourism industry) and high growth potential in light of the relatively rapid recovery in tourism.
The 2008 economic crisis had a significant impact on Greece, unemployment rates reached a record of 28% and real estate prices declined, bottoming out in 2018 after a decline of over 4%.
In light of the severe situation, the Prime Minister of Greece, Kyriakos Mitsotakis of the new right-wing party began implementing economic reforms, improving Greek systems and fostering economic growth. These reforms include reduced taxation, investor incentives, investments in infrastructures (Piraeus Port and the old Ellinikon Airport).
Investments in Zanzibar
Zanzibar has long ago become a preferred destination for tourist around the world, especially Israelis. Zanzibar relies mostly on foreign tourism but the island is not yet fully developed in terms of its tourism infrastructures. That is where we see an exceptional real estate development opportunity for our investors and for us. The island reports and AAGR of 16.7% in incoming tourism (as of 2013, pre-COVID) alongside a shortage of available hotel rooms and the government encourages foreign investments and has established ZIPA, an organization accompanying foreign investors.
