Cool Croatia

Dramatic is the only superlative that can be used toof ownership.
describe Croatia's coast. Almost 2,000 kilometres ofWinkworth has also recently opened an office in
shoreline, over 1,000 islands and a picture-perfectCroatia, in Dubrovnik, which Winkworth's managing
setting in the Adriatic are all reasons in themselves todirector, Dominic Agace, calls: "A key addition to our
visit the country, and, if you needed another, itsgrowing international network providing new
property market isn't bad either.investment and second home opportunities for our
Formerly part of Yugoslavia, an established destinationclient base. With a strong infrastructure and great
for British tourists, the war in the early 1990s broughtsettings, Croatia, and in particular Dubrovnik, will
tourism to a sad halt. The collapse of communism andcontinue to grow as a boutique destination for
war of national survival eventually resulted in Croatia'sinternational travellers and with this trend the strength
independence and the country once again hasof the property market will grow." Winkworth is
secured a place among Brits looking for a holidaycurrently selling a three-storey resale house in Orebic,
destination and more. With full entry to EuropePeljesac, Dubrovnik. Currently divided into apartments,
scheduled for 2010/11, this country is firmly back on itsthe property has sea views and is for sale at
feet and travelling around today thankfully you see littleEUR880,000 (£630,000).
signs of the war that destroyed much of Croatia'sOften dubbed 'the jewel of the Adriatic', Dubrovnik is a
heritage.stunning and easily explored city. With a relatively small
Cushman & Wakefield, an established agencypopulation of over 30,000, it sprawls along the coastline
that has been operating in the UK since 1907, also hasfor several kilometres, but its old town is surprisingly
an international division and Croatia is the latest additionsmall and easy to explore on foot. Walking its city
to its portfolio. Marketing manager Victoria Doyle says:walls is one delight you can't miss, and a steady
"We're based in the UK but have all been out tostream of tourists pour down the city's main street, the
Croatia and we love it. It's very unspoilt and a realPile Gate, also known as the Stradun, in summer
delight." Like many selling agents throughout themonths. A good base for house-hunting, Winkworth
country, Doyle believes that the war, despite its heavyhopes to offer opportunities to buyers, investors and
toll on lives and the environment, partially protecteddevelopers throughout Croatia from Istria in the north,
Croatia: "Because of the war, Croatia didn't develop asdown to Split and Trogir deep in the heart of Dalmatia.
some countries did so you don't see the massMany buyers looking to buy property in Croatia know
development which mars other countries' coastlines."exactly where they want to be, says Savills' Jelena
So keen has the government been to protectCvjetkovic, who calls them a 'sophisticated and well
Croatia's innate beauty, at one point it issued aresearched' bunch. Many come from a sailing
moratorium on all new-build, bringing development to abackground and are seeking a base from where they
screeching halt while a re-zoning programme wascan enjoy their passion, but increasingly investors are
established. Some developers are still sitting on largesearching out hotspots such as Split and, more
parcels of land but the moratorium has been liftedrecently, Zagreb, where she estimates prices are rising
ensuring that only developments that strictly adhere toby around 15 per cent annually. "It's a not a tourist
the government's stringent building regulations candestination but it is underpinned by a solid domestic
continue. Cushman & Wakefield specialise in sellingmarket with prices far lower than most European
new developments with strong investment potential.capital cities," adds Cvjetkovic, who also says that
Project manager Charlie Winand feels that itsgreat value can be found on Lopud and Sipan in the
development Kavanjin, on the island of Brac inElaphite Islands between Dubrovnik and the Peljesac
southern Dalmatia, contains all the elements to make itPeninsula. Current properties for sale in Zagreb include
great investment: "It's being built by an establishedthe Gramaca apartments - 'urban villas' with one
developer, we've done all our due diligence and, evenapartment per floor, a popular concept in Croatia in
with a conservative estimate, we think that prices willrecent years. Designed by award-winning architect
rise by around ten per cent over the next 12 months."Marko Piljak, the apartments are in an upmarket area
Linked by ferry to better-known Split (a cosmopolitanof Zagreb and have wonderful views over Mount
city often compared with Barcelona or Lisbon),Sljeme, which hosts a section of the world skiing
Kavanjin is being marketed as 'a luxury boutiquechampionships annually. Prices range between
development and an island hideaway' thanks to itsEUR248,000 and EUR760,000 (£195,000 and
great location: A 45-minute ferry ride takes you to Split£600,000).
but in under half an hour you can also be on the alluringUp in the north of the country, Istria is fast becoming a
islands of Korcula and Vis and reach Hvar, which isrising star among property investors and this is where
fast gaining a reputation as a 'party island'. The firstyou find the country's only decent sized golf course,
phase has already sold out but the second phasealthough several more are in the planning stages. Full of
consists of one-, two- and three-bedroom apartments,spectacular hilltop towns and rolling valleys, this part of
many with sea views; the small, upscale developmentCroatia is often likened to its more expensive Tuscan
also comes with its own café and communalcounterpart across the Italian border, and part of its
pool. With prices starting from £85,000, grossattraction is the ease with which you can slip across.
rental yields are predicted to be around 6.5 per centFoodies flock here, as cuisine is also Italian-based:
and, with tourism set to grow, the odds lookpasta and pizza is abundant, and you can enjoy the
favourable. "Currently there are not enough beds to gotruffles for which this region is famous. Istria is Croatia's
round and this development already has amost developed region in terms of tourism, sadly there
management company in place," adds Winand. Ofare pockets of ugly development on its coastline
particular interest to investors, buyers who form acatering to the hordes of Germans, Austrians, Italians
company as a vehicle through which they then buyand Slovenians who flock here, but you'll also find
property in Croatia, can claim a VAT rebate of 22 persmart spots such as the Italianate Rovinj on the west
cent of the selling price. Other incentives for buying incoast, which caters to a chic and upmarket crowd.
Croatia include no capital gains tax after three years