Many would like to vacation on a tropical island—true aficionados like to buy them. From celebrities to CEOs, people often purchase private islands for their tranquility and privacy. But they also score bragging rights few people can flaunt.
Tim Rodland is a private island broker for Rodland Real Estate in the Bahamas. Based in Nassau, he has helped many people find an ocean outpost to call their own.
“There are currently 15 islands listed on the MLS in the Bahamas,” he said. “That’s about average. There are just a handful of islands that change over every year.”
While buying your own island can seem like an exciting prospect, it’s a serious investment that requires careful planning. Rodland has worked in real estate for 15-plus years and understands common misconceptions people have and the many nuances involved in buying an island.
“Sometimes people have this concept, and then when it’s time to actually action it, they realize some of the challenges that they didn’t know about before,” he said. “That’s where we come in. We help them with advisory and say, ‘Have you thought this through? And if you’re okay with it, we’ll take you on that path.’”
Mansion Global spoke to Rodland to learn more about the ins and outs of private island ownership, both the challenges and benefits.
Mansion Global: How do you find the right island for a person?
Tim Rodland: We try to understand what a client’s needs are, what they’re trying to achieve. We have some people who want private islands for a family enclave. In a lot of cases, they could be celebrities or CEOs, and maybe want to do family or company retreats. Some people want to be in very remote places to be away from paparazzi. You also get people who just want to be away from the hustle and bustle of big cities and want to go somewhere where they don’t have to see people for a week. And then some people just want the prestige of being able to say, ‘I own an island,’ which only a small percentage of people around the world can say.
What is something people need to look out for when they’re considering buying their own private island?
You can go in with this great concept, but then when it’s time to execute it, you realize all the bureaucracies you have to go through—getting permits, etc. It’s important that you work with somebody who will try to help you streamline or, more importantly, make you aware of some of these things beforehand. There are a lot of people who come into the market saying, “I wish I would have known.”
What do you think is the greatest misconception when people come to you?
That buying a private island will be easy. Of course, when you’re navigating the process in another country, there are some challenges. For example, labor costs can be higher because you have to bring in people from the main island to build on the island. You also may have to consider, depending on how far it is, if you need to provide housing for them or if they can commute on a daily basis. There are some things logistically that you need to think through when you’re looking at developing.
What does it take to set up a sufficient island?
Depending on what you’re trying to develop, you may need permits or approvals from the government.
A lot of people don’t understand that you often need a barge to be able to get materials back and forth—that could be anything from construction materials to fuel to food supplies. If the island doesn’t have a runway or a landing strip, then it’s important to have some boat access to be able to move materials, whether it be from Florida or some of the other major islands in the Bahamas. It just depends on the remoteness of the island and what it is you’re trying to service.
Most people bulk up when it comes to food, then travel to a nearby island on a weekly basis, just like you would if you were going to the supermarket on a weekly basis. The only difference is the commute: You don’t jump in your car, you jump in a boat. There are delivery services now that may bring food to you, too. Maintaining a garden or greenhouse on the island is popular as well.
What is one of the greatest challenges in developing a private island?
Power generation is one of the most expensive parts of developing a private island. Find out if there is an island or place nearby that you can pull a power line from, so you’re just tying into an existing grid. Or you can invest in taking the island solar. When it comes to bringing down your costs, reducing power generation can help. Water is pretty inexpensive because you can dig wells, but you still need power to run your water. So power is one of the biggest challenges, and it’s important to have a plan for that.
How do you design or lay out an island?
If you’re developing from scratch, there are professionals who can help you decide the best place to put the roads or the best place to put the power. A lot of the values have to do with the beaches, so you don’t want industrial next to your beaches. You have to think all that through. Consulting with an engineer or someone who is good at master planning can help.
Is owning a private island a good investment?
Overall, I think it is. The values definitely increase as you develop the island further and further. One of the benefits of buying something that may be a little bit more manageable is that you can buy an island and then start to develop it, and the value goes up. It’s just like buying a vacant plot of land and then building a house on it. The land value is obviously going to increase the minute you have something habitable.
