Last week’s story regarding Montevideo’s million-dollar listings came as no surprise to locals and InvestBA readers who have been following market trends in Uruguay. On the heels of the article, we decided to offer a residential overview of active listings priced from US$140,000 to 1,200,000 in some of Montevideo’s most popular neighborhoods for foreign buyers. Montevideo offers something unique for most investors including new construction waterfront condominiums from the low-to-mid $100,000′s all the way to 15,000-square foot historic mansions for less than US$100 per square foot. For more information about these properties or general information about investing in Montevideo, send your inquires to home@investba.com.
For Sale: This 1930's Montevideo mansion boasts 15,000SF and 6 acres of gardens for US$1.2 million.
Wealthy Uruguayans and foreign investors seeking the security of hard assets in suddenly resurgent Montevideo are creating a market for million-dollar properties that previously did not exist. Marcela Dobal of El Pais says million-dollar-plus listings are increasingly common in Montevideo’s broker windows and classified ads.
In terms of the buyer profile she writes, “All of the buyers, whether local or international, are tied to the forest, agriculture, dairy, tourism or beef industries. They are all people who are active in the country, who are doing well and have good prospects in the short and medium term.” In general, the foreign buyers are primarily from Argentina, Europe and Brazil, although North Americans are beginning to discover Uruguay’s charms thanks to favorable coverage in The Wall Street Journal and The New York Times.
Carrasco, Punta Carretas, Pocitos, Pocitos Nuevo and Buceo are a few of the Montevideo neighborhoods with the most million-dollar listings. Larger, luxury condominiums in these barrios typically range from 2,500 to 4,500 square feet, while some historic homes boast 10,000-15,000 square feet with pools and sprawling private gardens.
And just as in tourism, Dobal says Brazilians will play a prominent role in the Uruguay real estate market in the years to come, although existing properties in Montevideo don’t exactly cater to their needs. “We have known the profile of the Argentine buyer for some time, but we are just beginning to learn the preferences of Brazilians,” says Terramar’s Juan Carlos Sorhobigarat. “Over the next decade, the Brazilian buyer will be an increasingly important participant in the Uruguay real estate market.” (Full Story in Spanish)
The Wall Street Journal says more Americans and Europeans are discovering the charms of Montevideo.
Last week the Wall Street Journal said the time is now in Montevideo, and the good news has officially made its way from Wall Street to the Rambla Sur. Montevideo’s El Pais was the first to translate the story this week which traces the country’s progression from a stagnant economy in the 1980′s to today’s dynamic, commodity-rich exporting, tourism magnet for neighboring Argentina and Brazil.
The Journal article, Montevideo Is Having Its Moment, speaks of the Uruguayan capital’s “fresh energy”, “a construction explosion” and a general sense of optimism that really began to blossom with Uruguay’s fourth-place finish in last year’s World Cup, a topic we covered last July: On and Off Field, Uruguay Converts Skeptics. While Argentina’s early exit was a national embarrassment, Uruguay’s players used South Africa as a platform for telling the world about their country with Diego Forlan tweeting his way to the Balon de Oro.
The abundance of creative talent in Montevideo is also cited as boosting the city’s current transformation which is playing out in the boutiques, cafes and gourmet kitchens of Ciudad Vieja and neighborhoods like Aguada, Rambla Sur, Carrasco and Punta Carretas. The Journal says retiring Americans, Europeans and South Americans are all drawn to the Beaux-Arts architecture in Montevideo and snatching up luxury properties at bargain prices. Those looking for the affordable charm of wine country are opting for Canelones, while those seeking unspoiled beaches are venturing to coastal towns like Jose Ignacio, La Paloma and Punta del Diablo. (Full Story in Spanish)
For more information about investment opportunities in Uruguay, download the new issue of InvestBA Privada.
On March 3, 2011, In real estate, uruguay, by InvestBA
The World Trade Center Montevideo boasts the most expensive office space in Uruguay.
The hotel and residential real markets may be the sexiest and most publicized sectors of Uruguay’s real estate industry, but commercial office space has been booming lately as well. According to Observa, hundreds of thousands of new square feet are rising in the capital city of Montevideo with Pocitos Nuevo emerging as one of the preferred locations for new office space.
A new report released by Uruguay XXI estimates the construction of an additional 260,000 square feet of commercial space this year which, added to existing inventory levels, would give the country an estimated 2.28 million square feet of office space by year end 2011 and 3.50 million by 2014. The current wave of commercial construction kicked off in 2007 with the World Trade Center III project followed by several high-profile Montevideo office renovations which started in 2009.
Looking at commercial construction in terms of neighborhoods, sector analysts believe Pocitos will soon overtake Ciudad Vieja as the MVD barrio with the most prime commercial square footage to offer. Between now and 2014, 580,000 square feet will rise in Pocitos bringing available office space up to 1.04 million square feet, about 40,000 more square feet than Ciudad Vieja. Other barrios with strong commercial prospects include Aguada, Rambla Sur, Carrasco and Punta Carretas.
Finally, in terms of existing office space, the World Trade Center complex boasts the highest rent at US$2.23/square foot followed by Torre Marigot (US$1.86/SF), Torre Juncal (US$1.86/SF), Plaza Mayor (US$1.67) and Aguada Park (US$1.67). (Full Story in Spanish)
For more information about investment opportunities in Uruguay, download the new issue of InvestBA Privada.
Piriapolis offers a compelling alternative for foreign buyers seeking coastal Uruguay without Punta prices.
Punta del Este attracts all of the celebrities, headlines and big name investors to the Uruguayan coastal state of Maldonado, and that’s probably just fine with the natives and expats living in Piriapolis. This quiet town’s appeal lies in its lack of high-rises, laid-back feel and abundance of affordable parcels with water frontage or water views. And Piriapolistas have plenty to celebrate, according to El Pais.
The city’s 120th Anniversary celebration was just held, and there’s a bright outlook regarding tourism and bookings for the 2010-2011 summer season. Juan Martinez, the President of the Piriapolis Tourism Association (APROTUR) told El Pais, “We are forecasting a very good season, with good reservation numbers both in hotels and real estate rentals, and all at very reasonable prices considering the price:quality ratio that we offer.”
Bookings are up 70% in Piriapolis thanks in part to a well coordinated marketing campaign in Buenos Aires, Cordoba and Rosario in Argentina, Asuncion del Paraguay and Rio Grande del Sur, Brasil. In recent years, wealthy investors seeking more space and privacy have gradually moved away from Punta del Este going north up Playa Brava and west towards Laguna del Sauce.
InvestBA believes it’s only a matter of time before the western movement begins to overlap with the undiscovered gem of Piriapolis and projects like the Chacras del Cerro development begin to get the attention of more foreign investors. 12-acre lots with ocean views for US$125,000 are a rare commodity in this corner of the Tango Coast. (Full Story in Spanish)
For more information about Uruguay real estate opportunities, download the latest issue of InvestBA Privada.
