Buying Smart City property in Mauritius after the 2025–26 Budget changes

Smart City property in Mauritius remains a regulated route for buyers seeking a home or investment within a planned, mixed-use environment. Following the 2025–26 Budget and Finance Act 2025, non-citizen buyers need to pay closer attention to registration duty, deed timing, project status and the full acquisition cost before committing.

What has changed for Smart City buyers

Since 1 July 2026, registration duty is 10% for relevant transfers to non-citizens under approved EDB property schemes, including the Smart City Scheme, where the deed is registered on or after that date.

This means buyers should not rely on older cost estimates or assume that a reservation made before 1 July 2026 preserves the previous treatment. The applicable duty must be confirmed against the deed registration date and the final transaction documents.

The Finance Act 2025 also distinguishes Smart City projects according to when the Smart City company received its letter of comfort. For projects receiving it on or after 5 June 2025, the former incentive framework under regulation 22 no longer applies and the narrower framework under regulation 22A applies. These provisions mainly concern Smart City companies, but buyers should still verify the project’s letter of comfort, SCS certificate and approval pathway.

For a wider overview of the measures affecting international buyers, see our article on Mauritius Budget 2025 for foreign buyers.

Why the deed registration date matters

A Smart City purchase may take several months from reservation to completion. During that period, the buyer may complete due diligence, obtain approval, transfer funds and sign preliminary documents. The decisive date for registration duty is therefore not necessarily the reservation or preliminary agreement date, but the date on which the deed is registered.

Before proceeding, buyers should ask the notary or adviser to confirm:

the expected deed registration date
the registration duty included in the cost estimate
whether the property falls within an approved EDB route
whether the buyer is treated as a non-citizen
whether earlier estimates need to be revised

This is particularly important for buyers working within a fixed budget. A higher registration duty can reduce the funds available for notarial fees, financing costs, furniture, moving expenses and future ownership charges.

What buyers should verify before signing

The Smart City label does not remove the need for project-specific due diligence. Developments may differ in their approval status, construction stage, contractual terms, management rules and suitability for the buyer’s intended use.

The buyer should verify four main areas.

Eligibility and project status

Confirm that the unit is eligible for acquisition by the intended buyer and request the documents supporting the project’s Smart City status, approval pathway and the buyer’s right to acquire.

Total acquisition cost

Review registration duty alongside notarial fees, banking charges, currency movements, payment requirements and ongoing ownership costs. The advertised purchase price alone does not show the full financial commitment.

Intended use

Check that the property rules support the buyer’s objective, whether it is a primary residence, second home, rental property, relocation base or long-term investment.

Timing and contractual safeguards

For off-plan purchases, review the construction schedule, payment milestones, safeguards, approval timeline and expected deed registration date. Our article on VEFA in Mauritius explains these checks in more detail.

For a fuller explanation of the Smart City framework itself, read our article on buying property in a Smart City in Mauritius.

Comparing Smart City with other approved routes

Smart City property should be selected because the specific development and ownership framework match the buyer’s plans, not simply because it is a recognised route for foreign ownership.

Compared with PDS, Smart City developments may offer a more connected, mixed-use and master-planned environment. G+2 apartments generally provide a simpler apartment route outside a wider Smart City setting, while IHS properties are typically linked to a hotel or managed hospitality model.

The right choice depends on the buyer’s priorities. A relocating family may value schools, services and daily convenience. An investor may focus on rental flexibility and resale conditions, while a second-home buyer may prioritise security and management from abroad.

For a broader comparison, see our article on property investment schemes in Mauritius for foreign buyers.

What buyers should decide before signing

Before committing, buyers should clarify why they are purchasing and whether a Smart City property supports that objective. It may suit those seeking convenience, services and a planned environment, but may be less appropriate for buyers looking for a coastal villa lifestyle, a hotel-managed investment or a simpler standalone apartment purchase.

The updated budget should also be confirmed before signing. With the 10% registration duty applying to relevant deeds registered from 1 July 2026, older estimates may no longer reflect the true acquisition cost.

Bringing the notary, banking adviser and property consultant into the process early helps align the legal route, payment schedule, approvals and total budget.

Frequently asked questions

Can foreigners still buy Smart City property in Mauritius after the Budget changes?

Yes. Foreign buyers can still acquire qualifying Smart City property, subject to eligibility, approval and transaction requirements.

Is registration duty now 10% for Smart City buyers?

Yes, for relevant transfers to non-citizens under approved EDB property schemes where the deed is registered on or after 1 July 2026. The notary should confirm the treatment for the specific transaction.

Why does the deed registration date matter?

Registration duty is determined by the deed registration date, not only by when the property was reserved.

Does Smart City property support residence permit planning?

Yes. A non-citizen purchasing qualifying Smart City property for at least USD 375,000 may qualify for a residence permit, subject to approval and continued ownership.

Buying Smart City property with clearer expectations

Smart City property in Mauritius remains a relevant option for buyers seeking a regulated acquisition route within a planned environment. The 2025–26 changes do not remove its appeal, but they make accurate budgeting, project verification and deed timing more important.

Before signing, buyers should confirm the property’s eligibility, project status, total acquisition cost, intended use and expected deed registration date.

Looking at Smart City property in Mauritius? Our team can help you compare approved routes, clarify buyer-side checks and identify opportunities aligned with your plans.

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Sources

The information contained in this article is provided for general guidance only and reflects the situation at the time of publication. Property acquisition rules, registration duties, transaction taxes, residence conditions, Smart City requirements, project approvals and payment procedures may change without notice. Buyers should verify all important points with their notary, legal adviser, tax adviser and the relevant authorities before making any purchase or investment decision.