Investor Information

Overview

General Number of Islands: 14 Number of Inhabited Islands: 6 CNMI Land Area: 176.5 sq. miles CNMI Water Area: 264,000 sq. miles Average Temperature: 85 F Average Monthly Rainfall: 5.4 inches Population (2000): 69, 221 Population Growth Rate (1995–2000): 3.24% Religion: Roman Catholic (Major), Christian, Baptist, Protestant, ADD OTHERS Languages: English, Chamorro, Carolinian

Economy Currency: U.S. Dollar Gross Island Product (GIP) Millions $(2001 est.): $696.3 Per Capita GIP (2001 est.): $,582 Prime Lending Rate (May 2003): 4.25% Primary Industries: Tourism, Garment Manufacturing

Labor Force Total Labor Force (2002 est.): 44,471 U.S. Citizens in Labor Force (2002 est.): 8,621 Non U.S. Citizens in Labor Force (2002 est.): 34,132 Employed Labor Force (2002 est.): 42,753

Sources: CNMI Department of Commerce. Census 2000 Summary Data, Bank of Hawaii. 2001 CNMI Economic Report; Federal Reserve Bank of New York; CNMI Department of Commerce; 1999 CNMI Statistical Yearbook.

Public and Private Lands

Public and Private lands are available for lease for commercial purposes. Public lands collectively belong to the people of the Commonwealth who are of Northern Marianas descent. The Department of Public Lands is responsible for the management and disposition of all public lands in the Commonwealth.

Public lands are available for lease for a term of twenty-five (25) years with an extension of not more than fifteen years (15) upon approval by three-fourths of the members of the Legislature. Public lands over five (5) hectares must be approved by the Commonwealth legislature, any size less than five (5) hectares is at the Department's disposal.

Private lands are also available for commercial use, and can be negotiated for long-term lease from landowners for a term of fifty-five (55) years. Available lands are obtainable and can be arranged from private landowners.

For more information on Public Lands, contact the Department of Public Lands at telephone numbers 1-670-234-3751/2/3/4/6. For more information on private lands, please contact local real estate brokers.

Who's Leasing Public Lands

Public lands in the Northern Mariana Islands are situated on a vast diversity of terrain that lends to a multiplicity of land uses, including championship golf courses, five-star hotels, manufacturing plants, service stations, housing facilities, agricultural sites, and much more.

The DPL partners with its lessees, which include worldwide brands such as the Hyatt, Shimizu Corporation, Mobil Oil, Shell Oil, and Pacific Telecom Inc., and others to maximize the mutual benefits that are derived from public land leasing. Such partnerships fuel a significant part of the local economy, so the NMI Government continuously endeavors to make its local regulations more business-friendly.

When it comes to public lands, size does not matter. No matter how big or small of an investment, the DPL works to customize its leases to fit the needs of its clients, which comprise of small businesses like batting cage facilities to multi-million dollar companies that cater to thousands of customers year round.

Our lessees are also spread across three different islands in the Marianas chain. The three main inhabited islands of Saipan, Rota, and Tinian are the main islands where the DPL's lessees are currently located. However, the Northern Islands, numbering ten tiny island paradises north of Saipan, also possess a lot of potential - especially for eco-tourism ventures. Anyone interested in leasing public land in the NMI may contact any of our lessees to find impartial information about doing business with the DPL.

Lease Application Requirements

Companies and Individuals interested in leasing CNMI public land will be asked to provide the following information:

General background data of the applicant, including 1) Personal data of the officials or owners of the company. 2) Company's overall description, such as types of business, corporate organization, and location of its primary corporate headquarters.
Development and operating plans, including the purpose of the lease, the size and type of property needed for the development, and schematic and operating plans.
Financial statement including funding sources and financial projections.
If available, environmental/market feasibility (preliminary or final) studies conducted for the proposed undertaking.
Authorized representative or agent to act on behalf of applicant to lease public land.

These documents should be accompanied with a general letter of interest and an application fee.

Our well-trained staff is also prepared to assist you in every possible way with any part of the application process. For more information or assistance in the application process, please contact DPL at 670-234-3751/2/3 /4 /6 or via email at

General Taxes

The Northern Mariana Islands are a self-governing Commonwealth of the United States of America, An agreement, or Covenant, was entered into between the United States of America and the Northern Marianas Islands. Most imposed taxes are administered and enforced by the CNMI Division of Revenue and Taxation and are payable to the CNMI Treasury.

U.S. Public Law 94-241, the income tax laws of the United States are enforced in the CNMI as a local territorial income tax (NMTIT).

The following are generally treated as authoritative of the NMTIT:

U.S. federal cases include tax court cases
IRS revenue ruling
Revenue procedures
Treasury regulations

In addition to the mirrored-income tax, the covenant authorizes the CNMI to impose other taxes: -wage and salary tax -earnings tax -business gross revenue tax -general excise tax.

Pursuant to the Covenant and CNMI law, every person subject to the NMTIT is entitled to a rebate with respect to their NMTIT tax liability in amounts ranging from 50-90% of the tax paid.

Taxes

All domestic corporations are required to file a Commonwealth corporate tax return annually. Please pick up the Commonwealth corporate tax return 1120 CM from the Division of Revenue and Taxation. The 1120 CM return must be filed by March 15 every year.