The Australian Government has introduced a new stream of Visa called The Premium Investor Visa (PIV). It is targeted at talented entrepreneurs and innovators with a minimum investment of $15 Million.
The PIV will be implemented from 1 July 2015.
Applicants can only be nominated by Austrade and can make an application if invited to do so by the Department of Immigration and Border Protection. Austrade has recently released preliminary guidelines as to what can constitute a complying investment for the PIV stream.
What is a PIV complying investment for investing $15 Million?
The Government has announced that the scope of eligible investments must be an Australian managed fund(s) or direct investment in:
The investment may be made into one or more of these categories at any time in the qualifying period of 12 months.
Direct Investment in Commercial Property
Because non-residential property is a qualifying investment category-the purchase of commercial property such as a shopping centre or industrial or retail developments over $15M will allow an application for the PIV as a direct investment.
Foreign Investment Review Board (FIRB) approval is usually able to be obtained for any commercial property up to $54M in any event.
Any contract to buy such commercial property should be made subject to securing a PIV if that is required as well as the usual due diligence conditions.
Such investment acquisitions can be made in the name of a company or trust or individual applicant names.
What is not allowed under the PIV?
The PIV applicants will be eligible for Permanent Residency after only 12 months of maintaining their investment. At this stage, there are no minimum residency requirements to be complied with under the PIV: the applicant does not have to live in Australia at all for the 12 month period.
This is a new visa, and the process for this is still being developed. We are in touch with Austrade to ensure that we have the most current information and knowledge.
However, the PIV represents an outstanding opportunity for successful entrepreneurs to invest and secure permanent residency in 12 months, without having to live here, regardless of age and English language ability.
Legitimate source of investment funds is still required to be proved.
More news on the PIV will be rolled out in the next twelve months and readers are invited to contact me for further information.