Buenos Aires: a Mecca for overseas property investment
Argentina’s booming economy is fuelling investment interest across the real estate spectrum from residential to commercial assets and hotels. With fantastic returns on investments, property investors from around the world are snapping up real estate opportunities, in anticipation of future capital growth.
In addition, the tourism sector is also rapidly expanding; tourism in Argentina is expected to grow at a rate of 10% annually until 2020, compared with the world average of 4.1%. In 2010 one of every five tourists travelling to South America and one of every four dollars spent in the region will be in Argentina.
The great cultural offering and the extensive geography that boasts a diversity of landscapes, helps to prevent this tourism destination from the economical cycle downturns. Argentina is the fifth receiving country of tourism in America, behind United States, Mexico, Canada and Brazil.
This increase in tourism numbers is in turn having a positive effect on the Argentina property market. Identified as a “future high growth luxury residential market” by the Knight Frank Global Property Wealth Survey 2010 and one of the “most favorable destinations” for hotel investment in 2011 by Jones Lang LaSalle Hotels, the South American hotspot of Argentina provides a wealth of opportunity both for foreign and domestic property buyers.
The city of Buenos Aires has been performing at a particularly high level. Over the last few years, the City of Buenos Aires has experienced significant growth as a tourist destination. This has been accompanied by a strong development in the tourist attractions offer throughout the city, which displays a larger amount, variety and quality of hotels and restaurants.
The city offers the visitors a unique mixture of European elegance, and the enterprise atmosphere of the great cities. The texture of the city combines parks and wide boulevards framed by Parisian, Italian and Classical architecture, alternating with the skyscrapers of modernity and the districts of historical character and present life. With several new museums and a continuous agenda of cultural attractions and events, there is much to see and do. One of its most peculiar features is its varied and entertaining night life. Bars, cafés, restaurants, pubs and discos stay open all night until morning.
Real Estate investment opportunities range by type and, of course, region. One of the highest yielding and safest investment is to buy apartments in Buenos Aires, and with some rehab and smart design, list these apartments for temporary rent. Apartments continue to generate remarkable returns by renting these to the exploding foreigner market that pay usd for periods of four days to four months –growing into a solid alternative to hotels.
Caspar Chittenden from the Gateway To South America team has created a funnel that attracts investors and introduces them to this kind of real estate opportunities. He is currently promoting a fantastic opportunity to own a multi use investment property in the heart of the capitals’ most trendy neighbourhood – Palermo Soho. This property is being sold calling for the best offer for a limited time, using a dead line sale date and with a flexible range of purchasing options.
Already finished and fully furnished units, under a lease management operation, with no thorough construction or improvements required. Built upon a 90-year old townhouse, which period details were retained while redesigning the space to incorporate innovative design features and modern finishes, it has been developed into an outstanding multi use 3 units property in the heart of Palermo Soho. The property consists in a street shop and two one bedroom rear apartments.
This is a perfect opportunity for an investor interested in continuing the property short-term renting business. In total the entire property has a rental return of USD 4,000 per month, and the commercial unit contract increases a 7% every 6 months. In conclusion, the buyer will receive an annual return of 7.5-8.0%.
Contact the Gateway to South America team to learn about the best investment opportunities in the region. The company is a benchmark for foreign investors wishing to invest in Argentina, Brazil, Uruguay and Chile, providing expert advice on property acquisition and investment tours.
The Gateway Team – When You are Serious About Property