The Commonwealth as a location for Asian retirees

By WILLIAM H. STEWART
Special to the Saipan Tribune

In spite of the relative high cost of living, the Commonwealth makes an appealing location for a limited number of non-U. S. citizen retirees from Asia and elsewhere. The area offers many amenities for those whose days of working are over: a tropical climate, abundant recreational opportunities, the availability of domestic help, no inheritance tax and no real estate tax, together with reasonably adequate medical facilities for all but the most complicated health problems. All combine to make retirement in these beautiful islands and away from crowded cities of Asia an appealing prospect. The Commonwealth offers reliable banking and communication facilities as well as convenient air transportation schedules with connections throughout Asia and the world. As an added incentive several airlines offer reduced prices to people over 62 years of age, thereby making it cheaper to return to their homeland at reduced air fares.

Retired people don’t compete for jobs. In fact they create jobs in stores, restaurants, travel agencies, automobile service stations and many other businesses. They are ideal consumers as those with relatively high, fixed incomes spend money on a wide variety of life’s necessities.

Ideally, an interested developer could lease a large tract of land and construct a planned community complete with roof water catchments to relieve the pressure on ground water resources. A person of, say, 65 years of age could arrange for a lease of 55 years or less within the retirement community. Assuming they live another 20 years, after which the remaining period on the leasehold would pass to their heirs, chances are these surviving relatives would still be employed, with the possibility that the estate would be of little use to them, thus the developer might offer them some sort of “buy back” providing the retiree the option of selling their remaining years on the lease to someone else. Certainly, as the period remaining on the lease continues to decline with the passing of years, the value of the asset to the lease holder declines accordingly. There are many details to work out, not the least of which is establishing a type of retirement entry permit which would allow a retired person to remain in the Commonwealth for an extended period. Currently, to my knowledge, there is no immigration mechanism to permit such an extended stay. Legislation would be necessary to establish a new, special retirement entry permit procedure.

If such a program is of interest to the local community, perhaps an added incentive would be to permit retired people to import personal effects, household goods and an automobile duty free.

Any interested developer should locate several Asian trained physicians who specialize in treatment for the aged. Contact these individuals and tell them—“Have we got a deal for you—a special price on a custom-designed home in a retirement complex with its own medical examination room. However, there are certain American medical regulations and laws that have to be adhered to prior to being allowed to practice medicine.”

This should be checked out with the authorities at CHC.

An Asian acquaintance once advised me of the following.

He said, “If you are going to market retirement homes, please keep in mind that Asian people value fresh food. Therefore, the marketing prospectus must be prepared to enlist investor interest and should include the following in the promotional material. The fact that the potential retired home buyer can grow his or her own vegetables on property he has leased and will also be able to walk or drive a short distance to the beach and catch fresh fish. The ability to enjoy and develop one’s very own garden has universal appeal and contributes to reducing living costs, at least as far as fresh fruit and vegetables are concerned.” He went on to say, “This should be mentioned in any promotional package.”

I might add: For many, it may be the first time they could own a pet—or even a cow if they keep it out of their neighbor’s yard. But no bull—we have had enough of that in previous years.

(William Stewart is an economist, historian, and military cartographer.)