Message from Management: Feb 2010
February 23, 2010
Dear Investor/Owner/Prospective Client:
As we begin the new year I wanted to make certain you were fully appraised of the status of the project and the latest news in Costa Rica. With this in mind we present you the following overview:
Costa Rica
Like virtually all countries Costa Rica has experienced a challenging national economy. Tourism was up just slightly last year which is not good for the country, but great compared to other regions of the world. Unemployment is increasingly a problem as many construction projects have stopped. I would term the economy as “sluggish.”
On the other hand there are good signs for the future. The country has made a definite commitment to upgrade its road system. For example, within 90 days there will be an excellent modern highway system in place from the northern border of Costa Rica to the southern boundary.
In January a new highway connecting San Jose to the Pacific coast was opened. This project took over 40 years to complete since it was first proposed. The drive from San Jose’s airport/Alajuela to Jaco is now just over an hour. It used to be approximately 2.5 hours. This means that the time to travel from San Jose to our development will now be 3.5 hours rather than the previous 5 hours.
The modern highway is one mile from our project. The fact that there is now easy access to the south is very favorable.
In early February there was a national election. The new President is a woman who is prodevelopment while still insisting that the environment is protected. Her name is Laura Chinchilla and she will be in office for the next four years. Previously she served as Vice President under current President Oscar Arias. We look upon the election as a good sign. Click here for more information and some of my observations about the election.
The newest hospital in Costa Rica is operating well. Please remember that it is but about five miles from our development.
Finally the town of Palmar Norte, which is 15 minutes from Paradise Developers, has added several new stores and the municipality has paved more roads, while retaining the Costa Rican culture.
The Village of San Buenas
Because of the slow economy worldwide many development projects are moving at a slower pace than in the past. We continue to move forward at a steady pace after working through the sluggish 2009. Specifically:
1. We now have sold 39 lots . This is excellent progress and we have approximately 80 more lots to sell.
2. We have water and electricity to a small portion of the project. We will add these as buyers decide to build their houses.
3. The first house has been completed and built on Lot # 9. It is now being rented out at the rate of $1,500 per week. Within the next 30 days a website for the house will be developed and linked to the main website of www.villagecostarica.com The house will also be available for serious prospects that can stay at the house for free if they purchase during their visit.
4. It appears that a buyer will be starting to build a house in the next 120 days. I have met with the architect on his behalf several times and we hope he can get all of his paperwork approved soon.
5. We continue to generate interest every week through our marketing efforts and our price points make it one of the most affordable Costa Rica real estate options available. The purchase process for most clients is twelve months (from first expressing interest to purchasing), however, those who move more quickly continue to receive great bang-for-buck (cash discounts) and first pick of the lots. I always encourage prospective clients to visit the property as soon as possible. This way, they get first hand experience of the views, the area and the other options available in the project. They also can meet with architects, myself, our property manager, our workers so they quickly feel a sense of community and what The Village of San Buenas is all about.
Every year we also have several “site unseen” buyers which is also an option. I don’t encourage it but everyone of our clients who has purchased and then visited has been thrilled with their purchase. I am continuing to add more photos and videos to provide clients from around the world the ability to see and hear what the project is about. The videos and photos don’t do justice as to how beautiful it really is. Even with several thousand photos and hours of video I can’t effectively show the friendliness of the people and the local community.
Here’s a link to some photos: http://villagecostarica.files.wordpress.com/2010/02/2010_janfeb_costarica.pdf
Here’s a link to some videos: http://www.youtube.com/user/SolPropertyGroupNick
6. We continue our Pay As We Go as a key strategy. Hence we have no long term debt.
7. Our biggest challenges for the balance of the year is to gradually build the infrastructure and to continue our sales momentum.
We continue to be optimistic about the future and are continuing to improve the project to exceed expectations.
Please check out the website at www.villagecostarica.com and review some photos from the last 60 days here 2010_JanFeb_CostaRica
You will notice we have a wide price range of lots available from the low $20,000’s to $294,000 based on location and views. If you have any questions, please do not hesitate to contact me directly.
Nick Halverson
President
[email protected]
612.819.8154