Comparing Smart City, PDS and G+2 in Mauritius

Updated August 2026

Smart City, PDS and G+2 are three different routes for buying property in Mauritius. They are often grouped together in market conversations, but they do not work in the same way. The right choice depends on the type of property you want, whether a residence permit matters to you, and how the transaction will actually be structured.

How Smart City PDS and G+2 differ

Smart City

Smart City is built around a broader mixed-use concept. The Economic Development Board describes Smart Cities as projects revolving around a work-live-play model, which means the value proposition is usually wider than the residence itself.

In practice, this route tends to appeal to buyers who are also looking at the surrounding environment, the planning logic of the development and the wider lifestyle ecosystem.

If Smart City feels closer to what you are looking for, our article on buying property in a Smart City in Mauritius will help you understand that framework more clearly.

PDS

PDS, or the Property Development Scheme, is more directly residential in structure. The EDB describes it as a framework that allows the development of residences for sale to non-citizens, citizens and members of the Mauritian diaspora.

That usually makes it easier to assess as a residential purchase first, rather than as a wider urban or mixed-use proposition.

If PDS feels closer to what you are looking for, our article on the PDS scheme in Mauritius for foreign buyers explains that route in more detail.

G+2

G+2 is different again. It is not a development scheme in the same sense as Smart City or PDS.

Under the Non-Citizens (Property Restriction) Act, it is a legal route that allows a non-citizen to acquire an apartment used, or available for use, as a residence in a building of at least two floors above ground floor, provided the purchase price is not less than MUR 6 million or its equivalent in hard convertible foreign currency, subject to the required authorisation and approval process.

If your focus is primarily on an apartment purchase, our article on G+2 apartments in Mauritius for non-citizens will help you better understand this route.

Start with the property type

For most buyers, the first real filter is simple: what exactly are you trying to buy?

If your focus is a qualifying apartment, G+2 is the most direct route to review. That is what the legislation is built for. If your focus is a residence inside a structured development, Smart City and PDS are usually the stronger comparison.

There is also a practical land question. The Non-Citizens (Property Restriction) Act distinguishes the apartment route in section 3(3)(c)(v) from the acquisition of a plot of serviced land under Smart City or PDS in section 3(3)(c)(vi).

That matters because G+2 is not designed for buyers who want land first and construction flexibility later.

Residence permit threshold

For qualifying residential purchases, Smart City, PDS and G+2 all follow the same residence-permit threshold of USD 375,000. The main difference lies in the acquisition route, not in the residence threshold.

The G+2 route also has a separate legal minimum purchase price of MUR 6 million.

Route	Residence permit possible through property?	Threshold for residence permit	Separate point the buyer must understand
Smart City	Yes, for a qualifying residential purchase	USD 375,000	The route is defined by the scheme and the type of development.
PDS	Yes, for a qualifying residential purchase	USD 375,000	The route remains a scheme-based residential purchase.
G+2	Yes, for a qualifying apartment	USD 375,000	The legal acquisition threshold is MUR 6 million, which does not automatically meet the residence threshold.

If residence is your only lens, the threshold is broadly aligned across all three. If your real question is how you enter the market, G+2 stands apart because its apartment route starts at a lower legal purchase threshold, while residence-permit eligibility still begins at USD 375,000.

Payment rules can change the comparison

Since 13 December 2024, specific payment rules have applied to relevant first sales under Smart City and PDS. G+2 is excluded from those amendments according to the EDB FAQ.

Route	Does the 85% MUR rule apply?	What the buyer needs to understand
Smart City	Yes, for relevant first sales	85% of the purchase price is paid to the promoter in Mauritian rupees after the relevant funds are transferred to Mauritius in hard convertible foreign currency.
PDS	Yes, for relevant first sales	The same 85% Mauritian-rupee structure applies to first sales covered by the amended regulations.
G+2	No	The EDB FAQ states that the December 2024 amendments do not apply to apartment sales under the Ground+2 route.

The EDB also confirms that the December 2024 amendments do not apply to resales.

This is not just a technical distinction. It can affect how the transaction is funded, how the buyer plans foreign-currency transfers and how easily one route fits a particular purchasing strategy.

The 2026 tax position

The tax position changed significantly during 2026.

The Finance Act 2025 had introduced a broader 10% registration duty for specified residential property transfers to non-citizens from 1 July 2026. It also introduced broader seller-side 10% land transfer tax treatment for certain transactions involving Smart City, PDS and G+2 property.

The Finance Act 2026 subsequently repealed those broader provisions.

Under the current general framework:

registration duty is generally 5% on the buyer side;
land transfer tax is generally 5% on the seller side;

subject to exemptions and specific statutory provisions.

The 1 July 2026 date therefore remains relevant when explaining the historical Finance Act 2025 measures, but it should no longer be used as the trigger for a continuing general 10% regime.

There is one important distinction for G+2. Finance Act 2026 introduced a separate additional 10% seller-side duty for certain residential property situated on State land or Pas Géométriques and transferred to a non-citizen under the relevant G+2 route.

That narrower additional duty does not apply generally to Smart City or PDS transactions.

For more detail on the buyer-side changes, see our article on registration duty in Mauritius for foreign buyers.

Which route fits which buyer

Smart City is usually the better fit for a mixed-use environment

Smart City may suit buyers who are not only buying a residence but also buying into a broader project concept.

If the wider environment, master planning and integrated setting matter to you, this route is often the more relevant one to explore first.

PDS often suits buyers focused on the residential asset

PDS may be the more natural fit if your priority is the residential property itself within a structured scheme.

It usually provides a clearer residential comparison without the broader mixed-use layer that sits at the heart of Smart City.

G+2 is often the cleaner fit for apartment buyers

G+2 may suit buyers who want a straightforward apartment route and are not specifically looking for a scheme-based development framework.

It can also be relevant where the buyer's goal is ownership first, with residence assessed separately rather than assumed to follow automatically.

What to check before you reserve

Before signing anything, verify five points clearly:

the exact property type;
whether residence is part of the objective;
whether the 85% MUR rule applies to the specific transaction;
the current registration duty and seller-side tax treatment;
whether the project documents match the legal route being marketed.

For G+2 property, also establish whether the apartment is situated on State land or Pas Géométriques, as this can affect the seller-side duty applicable to the transaction.

These are often the points where brochure language and legal reality begin to diverge.

Frequently asked questions

Can a non-citizen buy under all three routes?

Yes. Smart City and PDS are scheme-based routes, while G+2 applies to qualifying apartments under the Non-Citizens (Property Restriction) Act.

Does G+2 automatically give a residence permit?

No. A G+2 apartment may be bought from the legal minimum of MUR 6 million, but residence-permit eligibility still depends on the USD 375,000 threshold and the applicable conditions.

Does the 85% Mauritian rupee rule apply to G+2?

No. The EDB FAQ states that the December 2024 amendments do not apply to Ground+2 apartment sales.

Does the 85% rule apply to every Smart City or PDS transaction?

No. The amendments apply to relevant first sales under the covered schemes. The EDB confirms that they do not apply to resales.

What taxes apply to these routes in 2026?

Under the current general framework, registration duty is generally 5% on the buyer side and land transfer tax 5% on the seller side, subject to exemptions and specific provisions.

The broader 10% regime introduced by the Finance Act 2025 was repealed by the Finance Act 2026.

A separate 10% additional seller-side duty can apply to certain G+2 property situated on State land or Pas Géométriques.

Can I buy serviced land instead of a completed property?

Potentially, yes, under Smart City or PDS. That is a separate route from G+2, which is specifically for apartments.

Which route is usually simpler for an apartment buyer?

G+2 is usually the most direct route when the aim is a qualifying apartment rather than a scheme-based development.

Considering a property purchase in Mauritius?

Explore our available properties and see which route best matches your budget, plans and lifestyle.

Sources

This article is intended as general information only and reflects the legal and regulatory position reviewed in August 2026. Property acquisition rules, residence thresholds, payment requirements, registration duty, land transfer tax, additional duties and administrative practice may change or apply differently depending on the property and transaction. Buyers and sellers should obtain transaction-specific advice from their notary, legal adviser, tax adviser, bank, the Economic Development Board and other relevant authorities before proceeding.