The Cayman Islands is one of the World’s most attractive destinations for those seeking a seccond residency. It boasts some of the World’s most desirable real estate, including miles of ocean front properties, and one of the World’s highest quality of life, safety, and an eviable range of choices for living and working. It is under one hour from Miami, and offers easy access to a number of locations across the Americas and Europe.
We set out below some options available for non-Caymanians to acquire the right to reside in the Cayman Islands.
This is not legal advice and does not provide a complete or exhaustive explanation of the law or current government practice. In particular, it should be noted that Government response times can vary significantly depending on a number of issues that may impact their ability to process applications at any point in time.
Figures below are in Cayman Islands Dollars. To convert to US Dollars the standard exchange rate is .80 US to each 1 CI.
Residency Certificate for Persons of Independent Means
This Certificate, which is valid for 25 years and renewable, entitles the holder (and any qualifying dependants) to reside in the Cayman Islands without the right to work.
An applicant must invest a minimum of CI$1,000,000 (US$1,200,000) of which at least CI$500,000 (US$625,000) must be in developed residential real estate in Grand Cayman AND
- must either demonstrate a continuous source of annual income of CI$120,000 ( US$150,000) without the need to engage in gainful employment in the Cayman Islands; OR
- open an account with a Cayman Islands Monetary Authority-regulated and locally licensed institution and maintain a minimum deposit in the account of at least CI$400,000 (US$500,000) in assets.
The income and investment figures are lower if the applicant intends to reside in Cayman Brac or Little Cayman, where an applicant must be able to demonstrate a continuous source of annual income of CI$75,000 without the need to engage in gainful employment and invest a minimum of CI$500,000, of which at least CI$250,000 must be in developed real estate in Cayman Brac or Little Cayman.
To qualify:
The Applicant (and any qualifying dependants) must show that:
- They have not had any criminal convictions.
- They are in good health.
- They have purchased locally compliant health insurance coverage.
- They have met the required financial requirements.
- They have made the required investment in the Cayman Islands.
Certificate of Permanent Residence for Persons of Independent Means
This Certificate provides the holder (and any qualifying dependants) with a lifetime grant to reside in the Cayman Islands without the right to work. The holder or spouse can apply for a variation to the Certificate in order to obtain the right to work.
An Applicant must invest a minimum of CI$2,000,000 in developed real estate in the Cayman Islands (regardless of which Island on which they intend to reside) and although there is no specified minimum annual income, all applicants must be able to demonstrate that their financial resources are sufficient to maintain themselves and their dependants adequately.
It allows the holder to become eligible to apply for naturalisation as a British Overseas Territories Citizen once they have been legally and ordinarily resident in the Cayman Islands for five years. This subsequently enables the holder to apply to register as a full British Citizen (with all the privileges that entails, including obtaining a British passport). Once the holder has been a British Overseas Territories Citizen by virtue of their connection with the Cayman Islands for five years, they are eligible to become Caymanian.
To qualify:
The Applicant (and any qualifying dependants) must show that:
- They have not had any criminal convictions.
- They are in good health.
- They have purchased locally compliant health insurance coverage.
- They have met the required financial requirements.
- They have made the required investment in the Cayman Islands.
Residency Certificate by Virtue of a Substantial Business Presence
This is a long-term residence category for persons who invest in, or who are employed in a senior management capacity, within an approved category of business. This Certificate, valid for 25 years and renewable thereafter, entitles the holder (and any qualifying dependants) to reside in the Cayman Islands and work in the business or businesses in which they have invested or are employed in a senior management capacity.
Requirements:
- An applicant must be, or intend to be, legally and ordinarily resident in the Islands for a minimum of 90 days in each calendar year, and:
- Own, or propose to own, directly or indirectly, a minimum of 10% of the shares in an approved category of business through which he has established, or will establish, a substantial business presence in the Islands; or
- Be able to prove to the satisfaction of the Chief Immigration Officer that he is or will be employed in a senior management capacity (i.e. an occupation that attracts an annual work permit fee of CI$20,925 or above) and that such employment falls within an approved category of business.
To qualify for a Residency Certificate (Substantial Business Presence), the holder (and any qualifying dependants) needs to satisfy the following:
- They have not had any criminal convictions.
- They are in good health.
- They have purchased locally compliant health insurance coverage.
- They meet the requirements regarding share ownership in an approved category of business or employment in a senior management capacity.
Certificate of Direct Investment
This is valid for 25 years and renewable thereafter, entitles the holder to reside in the Islands as a high-net-worth investor, to work in the business(es) in which they invested and to have their spouse and dependent children reside with them, but without the right to work.
This Certificate is an option worth considering for high-net-worth business investors who have made (or proposes to make) an investment of at least CI$1,000,000 in any licensed employment generating business or businesses in the Islands, whether already existing or a new venture, and in which he does or will exercise substantial management control.
The holder must have a substantial business track record or an entrepreneurial background, including specific professional, technical and other knowledge relevant and necessary to carry on the business. The holder must be able to prove that they have available to them and under their control funds to the value of the proposed investment amount or that he has already invested a minimum of CI$1,000,000 in a licensed employment generating business in the Islands.
Requirements:
The holder must be able to demonstrate that their financial resources are sufficient to maintain themselves and their dependants adequately. The holder (and any qualifying dependants) need to satisfy that:
- They have not had any criminal convictions.
- They are in good health.
- They have purchased locally compliant health insurance coverage.
- They meet the investment and background requirements.
Work Permit and Naturalisation
A valid Work Permit holder can apply for Permanent Residence after being employed by an employer based in the Cayman Islands for a period of eight consecutive years. After being granted Permanent Residency a Residency and Employments Rights Certificate (RERC) will be granted. The RERC holder will then pay an annual fee (equivalent to the fee payable for the Work Permit of the holder)
The Permanent Resident applicant is assessed under a regulated points system, requiring a score of no less than 110 points out of a possible 215 points. Points are awarded in different categories based on the applicant’s connections with and contributions to the Cayman Islands as well as investments in local real estate or businesses, contributions to the Caymanian community, the applicant’s occupation, education, experience and financial stability, results of a mandatory history and culture test and the applicant’s country of origin).
Once being granted Permanent Residence a Permanent Residence may:
- Invest in local businesses.
- Own property.
- Place dependent children in school.
- Reside year-round in the Cayman Islands.
- Enter the Cayman Islands without a return ticket.
- Have dependent children apply for Permanent Residency at the age of 18.
- Renew their Certificate (available for 1, 3 and 4).
- Vary their Certificate to add more dependants.
- Vary their Certificate to obtain the right to work ( 2 only).
- Become Naturalised and obtain the Right to be Caymanian ( 2 only).
A permanent resident cannot:
- Work in the Cayman Islands without additional authorisation.
- Own and control a local business without additional authorisation.
- Spend more than 335 days off-island per annum (1 only).
- Spend more than 275 days off-island per annum (3 and 4).
Naturalisation
One year after the Grant of Permanent Residence an application can be made for naturalisation as a “British Overseas Territories Citizen” under the British Nationality Act, 1981 of the United Kingdom. The Applicant must have been a resident of the Islands for a minimum of 5 years prior to this application.
Naturalisation is the first step to being granted the right to be Caymanian. After having been legally and ordinarily resident in the Islands for 15 years (or 5 years after the grant of Naturalisation) an individual may apply for the grant of the right to be a Caymanian.
Our Immigration Team, led by industry veteran Susan Parsons, can assist in the process of acquiring residency, as well as all aspects of immigration and labour laws. If you would like more information or a consultation please reach out to susanparsons@martinsadvisory.com