Invest in Luxury Apartments in Dominican Republic

Discussion in 'Caribbean Real Estate' started by narvala, May 12, 2007.

  1. narvala

    narvala New Member

    Luxury goods have always their market. In Dominican Republic there are actually developing splendid and luxury apartments.

    I believe that is better to invest in a luxury apartment in a place that offers a high standard of life quality than in cheaper apartments that offer nothing to the buyer.

    Dominican Republic is perfect for this kind of investments, and its government is protecting foreigner investors. I have to say that a large number of world personalities have a residence there (Julio Iglesias, Oscar de la Renta, Shakira, Vin Diesel, Ingvar Kamprad, etc), and many of them are developing their own projects. There must be a good reason, don't you think so?

    Last edited by a moderator: Jan 25, 2012
  2. Investy

    Investy Senior Member

    Having been to your island I would say its the least attractive tropical island Ive been to. Large, messy, not very magical, ok beaches (a couple of good ones but still not top draw). The area I stayed in was called Sosua, a really dusty smelly place full of plots of land with wrecks and weeds. We travelled quite a bit and went to the tip of the island where they said the best beaches were but they were not at all magical compared to other parts of the world.

    The vegetation is also not very inspiring compared to say that I found on the BVIs.

    You can buy luxury appartments for £100,000 in Nevis and St Lucia as well as Grenada and these for me a much prettier places.
  3. DRang3d

    DRang3d New Member

    The Dominican Republic:
    Where would you recommend investing in the Dominican?

    The Dominican provides yields of around 8% and had the highest occupancy levels in the world last year of 86%. This sounds great, but if you dont understand the tax implication, financing options & currency exposure you may find that is not a great investment location at all. By means of which legal entity would you recommend investors to purchase and why?
  4. narvala

    narvala New Member

    To Investy,

    Obviously you don't know Dominican Republic. Is the second biggest caribbean Island and sure there are places you don't like. I think the same thing must happen to your country, and all the countries.

    Sosua is a beach for dominicans, there are few tourists. You should take a look at all the developments that are being build in Punta Cana, Samana, Juan Dolio, to see that the investment posibilities that offer the island are incredible.

    I would never recomend a real state investment into a small island like the ones you are proposing because of the difficulty you have to arrive there, so potential buyers are much less.
  5. Caribbean Star

    Caribbean Star New Member

    I understand that a lot of the Punta Cana development doesn't have planning permission? And the eastern tip gets hit by hurricanes?

    Add to that the sheer volume of development there, how will investors re-sell?
  6. narvala

    narvala New Member

    All new developments in Dominican Republic have planning permissions. A project needs also to be aproved by tourism development office. It can take some months. There are as well strict procedures to follow, since the number of bedrooms x hectare (density allowed), the height of the buildings or the percentage of the land destined to be a green zone.

    Re-selling is working well, there is to much demand. Think that a lot of people from Europe and North America want to spend there their retirement.
    Furthermore, if you don't want to re-sell the apartment quickly and you can afford to keep it for a period of time, I am selling apartments that the developers guarantee an 8% of net rental income for 5 years. (The developer is from UK). That can be an interesting option as well.

    Prices in Punta Cana have risen around 300% in 5 years. Even Donald Trump is investing there.

    About Hurricanes, yes, sometimes there are, but high level of construction standards minimize damages. I won't be worried about that.
  7. New Member

    can you provide more information..
  8. puntacanalife

    puntacanalife New Member

    White Sands is in very poor condition right now.
    The Golf Course has been poorly kept, there is no good security.
    I purchased property in Cocotal Golf & Country Club, as well as by the beach area in Cortecito. Both have titles and have good management on-site.

    Stewart Title International Company only guarantees on certain developments or residentials. Not all of Bavaro.
  9. Dave_Velasco

    Dave_Velasco New Member

    Don't you want to try over Puerto Rico? Not actually familiar with the place - but a friend of mine who is currently at the place says the place looks nice. What do you think? I thought of visiting the place too probably when the right time comes - and see if I can also take considerations in getting properties on there, or investments.

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