Zanzibar resort property attracts investors for one reason above all: projected net yields far above those in European coastal markets, where 3–5% is typical. In the Anantara scheme we list, the developer projects annual net returns between roughly 14% and 24% depending on unit type — the Royal Suite and penthouse at the top of the range (about 18–24%), lagoon suites around 17–23%, hotel suites and sea-view one-bedroom villas around 15–21%, and frontline villas around 14–19%.
Worked example: a hotel suite at about €307,000 with a projected 15.6–20.9% net return implies roughly €48,000–€64,000 a year to the owner before personal taxes. A Royal Suite at €658,000 at 18.3–24.3% implies about €120,000–€160,000. These are projections built on assumed occupancy, average daily rates and the owner's revenue share; they are not guaranteed, and a weaker tourism season, higher operating costs or USD/EUR movements will change the outcome.
Why the numbers can be high: land and construction costs are low compared with room rates achievable by an international five-star brand, occupancy is supported by long-haul European demand year-round, and owners share in hotel revenue rather than relying on private short lets. The risks are equally real — emerging-market legal systems, currency exposure, leasehold rather than freehold title and a thinner resale market. We show each unit's projection with its assumptions so you can stress-test it yourself.