Editorial

Now is the perfect time to buy in Andermatt

Where are we today?

Andermatt has always been home to a large and challenging ski area; at 2,961 metres, the Gemsstock has the highest levels of guaranteed snow in Switzerland. However, it is what is happening off the slopes that is really catching the eye.

Andermatt is currently undergoing a £1.4 billion (1.8 billion CHF) development, funded by Egyptian entrepreneur Samih Sawiris, in both a private capacity, and through his company, Orascom Development. The Andermatt Swiss Alps redevelopment project is well underway, with eight luxury apartment blocks, a full 18 hole golf course built to international tournament standards and a 5* hotel and spa: The Chedi Andermatt, already completed and in operation.

In addition to the eight residences already completed, next summer promises to be a very exciting time for Andermatt; owing to the completion of a new Radisson Blu, featuring hotel-serviced apartments and a state-of-the-art concert hall. A new piazza with retail outlets and shops is also due to be completed along with a host of new restaurants and cafes.

Once complete, the Holiday Village Andermatt Reuss will include six new 4- and 5-star hotels, 500 holiday apartments in 42 luxury apartment buildings, and approximately 28 exclusive chalets, built to the owners’ specification.  There is already key investor interest in the project; Louis van Gaal, the former Netherlands and Manchester United football manager, has just become the latest high profile individual to purchase one of the new apartments, choosing one of the premium penthouses in the Gotthard residence.

Lex Koller

Crucially, Andermatt is the only large-scale tourist destination in Switzerland which is exempt from the legislation commonly known as Lex Koller, the law which severely restricts the buying and selling of property in Switzerland by non-Swiss nationals. Non-Swiss nationals can even sell their apartment in Andermatt to other non-Swiss nationals, which is particularly rare.

The combination of low interest rate policy, low primary income tax rates and a stable Swiss Franc make now a particularly good time to buy in Switzerland and Andermatt’s exemption from the Lex Koller means it is one of the few places where you can take full advantage of this winning combination.

Karen O’Mahony, CEO of Private Equity Advisors Ltd is a British owner in the Andermatt Swiss Alps resort. She was asked why she had purchased in Andermatt as opposed to other Swiss resorts:

“I started looking for a ski chalet back in 2014 but was never quite happy with the fit – there were five things that I was looking for in a ski chalet: proximity to an international airport, panoramic mountain views, a large and challenging ski area, a sizeable high-quality apartment and a price that did not rival that of a Zone 1 apartment in London! I looked at various resorts such as Verbier, Val D’Isère and Portes du Soleil but nowhere met all of these criteria.

In January 2016, we were invited by a friend to spend the weekend skiing in Andermatt and fell in love with it.  At that time, it was a well-kept secret and very few people outside of Zurich knew about it. The village blends ‘old’ and ‘new’ to stunning effect. The town is traditional with local restaurants serving local specialities however, the new facilities in the Chedi hotel are state-of-the-art, yet fit perfectly into their surroundings. The skiing is also spectacular, which was, of course, the major draw.”

Andermatt’s charm

Karen is spot on in terms of how the development links the old with the new; the historic village alongside the chic modernity of the apartment blocks; the elegant simplicity of the hiking and cycling trails coupled with the state-of-the-art skiing infrastructure.

With sweeping vistas of the Urseren valley, Andermatt has always been a particularly picturesque location. Its proximity to Zurich airport (1.5 hours door to door) also means it is convenient to access. And while it is a beautiful year-round destination, it is, as Karen says, the skiing that is the biggest draw. Over the next couple of years Andermatt’s Gemsstock will be joined with the Sedrun’s slopes to provide a massive ski arena of 120 km, with runs for skiers of all abilities, where previously the Gemsstock had primarily catered to the connoisseurs of fine skiing.

The Andermatt Swiss Alps properties can be bought freehold and there is a managed rental scheme, which can guarantee the buyer a fixed annual return. Prices for individual apartments currently start from around CHF 559,000.

You can find the Andermatt winter preview video via this link.

For sales enquiries, please contact Sphere Estates:

T: +44 (0)20 3617 1360

W: www.sphereestates.com

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