Uruguay Coastal Properties

Being an American citizen, I was hoping the US team would win the gold in the Olympic Hockey match….it was not to be.

I must admit, that I was happy for the Canadians winning the finally event at home. As a North American, it is hard not to love Canada.

Congratulations, Canada.

PS: If you’re wondering what this has to do with Uruguay, the answer is absolutely nothing. Many of our friends and customers are Canadians.

If you’ve read this sermon on Coastal Uruguay, forgive me, but we are getting vacation rental requests for later in the year and 2011 even. It appears our annual message has not been received.  If you’re visiting in December through February, or March for that matter, reserve your rental well in advance.

In 2009, high season rentals, December through February were a done deal by August. As mentioned many times, no owner wants to rent for a few nights during any of these months. One week is the minimum and from mid December through February, one week is consider a short-term rental. Many choose not to rent for one week.

Also, some people are pressuring for discounts………not in 2009 and not this year. First of all, demand was and is strong in Piriapolis as well as Punta del Este and prices were tending up, not down. Secondly, rents are paid in US dollars; the dollar is down almost 20% from last year at this time. This creates upward pressure on rates as many owners have to convert dollars into pesos.

For those planning on a visit, I hope this helps.

It’s been awhile since we’ve talked about the Pan Azucar development. As you may know, Sugar Loaf Ocean Club and Spa is the only luxury development inside the city limits of Piriapolis. In addition to second homes, the project will provide upscale vacation rental inventory as well as rental property for short and medium term needs.

Apparently, things have been going pretty well. In the last six months 41 lots have been sold, surpassing its projected lot sales for the year by 48%.

Due to the brisk sales, Sugar Loaf is buying 175 acres of land adjacent to Sugar Loaf, to develop as additional phases in the project. The additional property will more than triple the size of the project, increase the total acreage from 75 to 250 acres, and expand the number of lots from 114 to 380.

There are still only eight houses under construction or complete; it will be interesting to learn what’s up with all these lot purchases.

There’s also an opportunity for equity investors in this new phase. If interested, let us know and we’ll connect you with the developer.

May happiness, health and prosperity (of course!) be with you in the New Year.

Thank you to our customers, friends and business associates for making our three years in Uruguay a great experience.

To our friends, customers and business associates, a very Merry Christmas!

Chris and Steve

End of the year maintenance on our Savannah properties is keeping me buried. It’s been our best year ever, so there are no complaints.

Our year end report for Uruguay Coast Properties is coming up next month. We’ll give you a breakout of the niches we serve: Vacation Rentals in Piriapolis and beyond, the Luxury Real Estate and Property market, investment properties, and of course paid advertising for Uruguay Property as well as Real Estate.

See you next year!

Thanks,

In addition to a price reduction of over $500,000 on this luxury real estate, there’s also a currency play if you have just about anything but dollars.

The luxury property is off about 20% from last year at this time based on the dollar’s fall. This view estate was a excellent value one year ago, today it’s in the bargain bin on a currency adjusted basis.

Do yourself a favor and check this estate out.

When it comes to luxury real estate in Uruguay, we’ll spare you the gushing superlatives. Let’s just say this luxury property has it all. There are two homes on the 17.5 hectare site. The main house has over 500 square meters and a guest or attendant home of about 100 square meters.

The owner needs to move back to Europe and the price has been reduced to 1.9M from 2.4 million.

Do your self two favors. First, click this link: Luxury Estate. And then go visit the property…..without question you will see the best views in Uruguay and a residence second to none in this country.

Here’s a follow up for investment property and real estate in Piriapolis. With an 11% gross return, this is a good candidate for your consideration.

This flat exceeds the return on investment criteria requested by several people. More info will be coming about this and other properties in town. Please hit the link below.

Prime View Investment Property

International interest in investment property and real estate in Uruguay and Piriapolis is nothing new. However, this year is unusual in the specific requests for investments with certain yields.

In general, people are seeking net returns in the 7% range or around 9% of annual gross rents compared to total price/costs. Are these yields possible? Yes.

Based on a few years of our operating history, we feel these are very reasonable expectations and you might do better.

In the next few weeks we’ll show you properties that meet or exceed these returns.

Stay Tuned!