Ecuador Real Estate

Opportunity Update

Ecuador real estate has really paid off for us because we spot contrasts and trends in real estate around the world. This creates opportunity that is fun to pursue. We love searching and inspecting ecuador real estate.

Ecuador Real Estate Alternatives

Yet we realize that there are many othjer places that offer opportunity and fun so our messages in in 2005 have looked at Ecuador real estate, plus opportunity in Argentina, Mexico, Costa Rica and even Germany.

Ecuador Real Estate & Alternatives Update

Here are updates on some of the projects we have reviewed.

Ecuador Real Estate Homes

First, we have heard from our tour operator in Ecuador, Santiago Guamani, who is developing the San Miguel Project in Cotacachee which offers very nice 1,600 square foot homes with mountain views for under $70,000. He writes:“We are happy to send you pictures of the progress in San
Miguel Homes and Gardens.

1. We are now building a lake with a wonderful small waterfall that
will add scenic beauty and provide fishing there.

2. We have decided to add a community swimming pool when the 65% of the project is sold.

3. Our webpage of the project will be updated every week.”

Ecuador Real Estate For Teak

We have previously written numerous times about Ecuadorian real estate and teak. See SpottingTrends.com

Principal Paul Palacios has informed us that his firm, Montgomery and Palacios, now have started their fourth plantation called La Reserva.

This is a Teak plantation located in Guayas Province, Balzar Canton, 11 km north of the canton’s capital and 3 kms. East of Balzar-Empalme highway. There are 350 acres of land in the project with  about 280 acres that will be planted in teak.

There will be a public stock placement of 90,000 shares at $12 per share. The annual estimated profitability is 15% per annum at the timbering in 20 years.

The financial and administrative management is done by Montgomery & Palacios, the forestry by Forestall Management: Agromaster S.A. and accounting, auditing & taxes by Deloitte & Touche.  See More Details.

Argentina Forestry and Property

A March 2005 message reviewed Argentina forestry and real estate opportunities in the Ushay Project.

The following update comes from Steve Rosberg on the Ushay development.

“On May 31st we signed the purchase agreement for La Negra, with the participation of 17 early-bird investors. Now we are concluding the purchase and the terms were better than budgeted.

“The Trust purchased the corporation (named EFSA) owning La Negra without other assets or liabilities, reducing transfer of title expenses. Also, in the budgeted price we will receive most of the waterfront strip of standing old eucalyptus so that the owners of the lots can decide whether they wish to keep it for landscaping purposes or not.

“We take possession of La Negra on August 30th and are now getting the survey for subdivision started. We are also discussing lease grazing opportunities with cattle ranchers and evaluating whether to sell waste wood on the ground as firewood or charcoal.

“We are also preparing to prune and thin the pine plantation.

“We are subdividing the waterfront lots in 1 hectare (2.471 acres) units. This allows the owners much more flexibility for managing their property in the future.

“This allows the trust to sell as many as 60 additional units – for the benefit of all the investors in the project and increase profits.

“Prices will increase September 1st by 8%.

More details are available from Steve Rosberg

Mexican Coastal Property

Earlier this year I mentioned a property opportunity in Baja, Mexico. (See this page on the internet)

Manager Steve Simkovich reports that the Tucson Citizen newspaper in Tucson, Arizona wrote:

“Tucson and Phoenix could become financial centers for extensive construction projects in Sonora and Baja, California. Some $300 million to $400 million has already been earmarked to potentially fund the building of tourism properties in Puerto Peñasco (Rocky Point) and low- and middle-income housing in Baja California, said Boris Kozolchyk, president of the Tucson-based National Law Center for Inter- American Free Trade.”

The article is at: TucsonCitizen.com

There is also an article about Mexican Laguna del Mar project , an $85 million project that includes 1,750 single-family homes, a 32-unit condominium, 300-room hotel and an 18-hole golf course designed by Jack Nicklaus. Read the full article.

The San Diego Business Journal reported:

“In the next 12 months, stretches of affordable luxury residential property south of the border could be just a bank loan away. U.S. citizens who have long dreamed of owning beachfront property in Mexico, but could not secure financing, may be able to make that dream a reality sooner than they once thought.

“Several U.S. banking institutions are ramping up their lending programs to serve the growing demand among U.S. citizens to invest in residential real estate in Mexico. According to one expert, in 2005 there is likely to be six banks offering mortgages on Mexican homes, which is significant considering that just three banks were originating such loans at the end of last year.” Read the full article.

More details on Liberty cove are available.

Until next update, good global investing.

Gary