Vanuatu Land Leases Explained: What Every Property Buyer Must Know

Why All Land in Vanuatu is Leasehold

Vanuatu’s constitution enshrines that all land belongs to the indigenous custom owners of Vanuatu. This is a foundational principle of the nation and is not subject to change by legislation. What this means in practice is that property buyers — whether local or foreign — do not purchase the land itself. Instead, they purchase a registered lease over the land, granting them the right to occupy, use, and develop it for a defined period.

How Long Do Leases Run?

Most residential leases in Port Vila were originally granted for 75 years from the date of issue. When you buy a property, you are purchasing the remaining portion of that term. For example, a lease issued in 2000 for 75 years would have approximately 50 years remaining today. It is important to understand the remaining term before purchasing, as leases with fewer than 30 years remaining may be harder to finance and could affect resale value. Many leases are renewable before expiry, and this should be confirmed with your solicitor.

What to Check in a Lease Before Buying

Your solicitor should carefully review the lease for the following: the permitted use (residential, commercial, mixed); any development conditions or restrictions; the annual ground rent amount and payment history; whether the lease is mortgageable; any consent requirements for transfer or subletting; and the expiry date and renewal provisions. Outstanding ground rent obligations become the responsibility of the new owner at settlement, so confirming they are current is essential.

Registering Your Lease Transfer

All lease transfers must be registered at the Vanuatu Land Records Office to be legally effective. Your solicitor will prepare the transfer documents, pay the applicable stamp duty and registration fees, and lodge the paperwork with the LRO. Once registered, you receive a copy of the updated lease reflecting you as the new leaseholder. Pierre Brunet Real Estate works with a network of trusted Vanuatu solicitors to ensure every transaction is handled correctly.