Risk disclosure

Investing through MALI puts your capital at risk. You may receive back less than you invested, and in an adverse scenario you may lose your entire investment. Only invest money you can afford to lose entirely without it affecting your standard of living or your other financial obligations.

Off-plan property does not exist at the time you invest. Construction may be delayed, may cost more than budgeted, or may be completed to a lower standard than specified. In the worst case a developer may become insolvent and a development may never be completed, which could result in a total loss for that property.

The risk that a unit is delivered late, or not delivered at all, exists for every property we buy and cannot be excluded by any contract. We pay the developer in the instalments set by the purchase agreement, and those instalments may run ahead of actual construction progress. Our due diligence reduces the risk. It does not remove it.

Participations cannot currently be readily sold. There is no established secondary market. The first vote on selling a unit takes place twelve months after handover, and if the majority votes to keep it, your capital stays committed for longer. Any secondary marketplace we may introduce in the future is not guaranteed to exist, to be liquid, or to price participations at or near their underlying value.

All yields, IRRs, appreciation figures and calculator outputs published on this website are projections based on assumptions about occupancy, nightly rates, operating costs, completion dates and exit pricing. These assumptions may prove incorrect. Actual returns may be materially lower than projected, may be zero, or may be negative. Past performance of any property or of the platform is not a reliable indicator of future results.

Every property on this platform is located in Zanzibar and depends on the same tourism economy. Events affecting that economy — public health events, security incidents, aviation disruption, extreme weather, political instability or a general downturn in international travel — would affect all properties simultaneously. Your MALI holdings are not diversified and should form only part of a diversified portfolio.

Rental income and distributions are denominated in US dollars. If your home currency is not the US dollar, the value of your distributions and of your capital in your own currency will fluctuate with exchange rates, independently of how the property performs.

Foreign ownership of property in Zanzibar operates within a legal and policy framework that may change. Changes to foreign investment rules, property law, taxation or residence requirements could adversely affect the value of your investment or your ability to realise it. Title verification in an emerging market carries greater risk than in a mature one despite the due diligence we conduct.

Rental performance depends on third-party operators managing bookings, guests and maintenance. Poor operator performance, operator insolvency or a change of operator could reduce income.

A participation is a contractual claim against us, not ownership of the property. We hold the title. You are not a shareholder, have no security over the unit, and if our company were to fail, you would rank as a creditor under your participation agreement.

Tax treatment depends on your individual circumstances and country of residence, and may change. There may be tax obligations in Tanzania and in your home jurisdiction. MALI does not provide tax advice. You should obtain independent tax advice before investing.

Nothing on this website constitutes investment, legal, tax or financial advice, a personal recommendation, an offer to sell securities or a solicitation of an offer to buy. Participations are offered only through a participation agreement, and not to US citizens or US residents. You are responsible for determining whether an investment is lawful and suitable for you.