Egypt Billionaire Builds Swiss Resort to Compete With Verbier

Swingbeep, interesting article to me as I was caught up in the middle of the Moratorium for Valais under it's architect Jean Michel Cina. Having been on the waiting list for 26 months after paying 50% of the purchase price, we then faced a potential wait of 19+ years for a permit under his new regime. We emailed him directly, and our permit was surprisingly issued the following week. The 19 year wait is not an exaggeration, after making the calculation I ran it past a local Estate Agent and they agreed with the numbers. I wonder how many folks like us, also had a 36 month cancellation clause in their contract and have since walked away with a refund.

So, the Swiss are not buying them, and so they offer them to foreigners...hmmm.

Bandit, that must have been a very persuasive email as by my reckoning you were towards the back of a queue of ~1290 applicants! Your calculation was indeed correct, under the revised regulations (as of 23rd November 2007) the outstanding applications are being processed at the rate of 66 per year, down from 310 plus a maximum of 165 unallocated permits obtained from other Cantons in previous years. As it's going take >19 years to process the outstanding applications (if all the applicants decide to wait that long) and as in the mean time no new permits for the sale of pre-owned property (owned by the Swiss) are going to be issued, it would seem that our "Dear Leader" has decided to stop the Swiss from selling their unwanted holiday homes to foreigners.

We were most surprised to get the green light, and so was our Notary. Perhaps our Estate Agent pulled some strings, and we shall never know what occurred, but were most happy to be able to complete. As we understand it, most of the foreigners permits are now given to the builders to issue to their buyers. Those properties seem very expensive in comparison to older apartments.

The current annual quota (330 authorisations) beaks down as follows:
50%, 165 authorisations, are reserved for projects of cantonal interest, such as tourism residences, holiday residences in new hotel developments etc.; this aims to limit the number of "cold beds", i.e. holiday residences that remain unused for a large part of the year.
Of the remaining 50%, 99 authorisations are reserved for new properties and 66 are to be used to reduce the 1290 outstanding applications.
Property here usually decreases in value with age, hence the large discrepancy between old and new.

We could have purchased newbuild, but were not impressed with the prices or the T&C's. With the changes to the quota AIUI, an approved builder gets given a block of permits to sell newbuilds to foreigners, so can of course charge a premium to a foreigner who will not experience the delights of the permit backlog.
The folks left to wither in the backlog have been treated very badly by the Canton, which has acted solely in its own interests IMHO. Many of those in the backlog will be paying mortgages against the money handed over, with nothing but a "maybe one day" to show for it. Imagine waiting the 19 years...then having to own for another 10 years before you can sell, it's not realistic. We would have instigated a cancellation at 36 months in accordance with our contract and gone elsewhere. I wish the developer of Andermatt good luck with his sales.

:cry: Andermatt is great because it is off the grid. No one wheres a mink and only the serious come to play.

Another developer will try to change what makes the place great. Too Bad!

Get there soon to avoid the mess.