W
hether you’ve been to the Islands during the past few years or perhaps know of someone who has, you’ve probably heard of the Real Estate Boom going on right now in the Caribbean. Roatan, with its easy access to the US, is no exception.
Similar geographically to the Caymans, the Bay Islands of Honduras share more in common with those other Islands than just a white sandy beach or two. In fact, many locations on both Isles share the same name—West Bay, Half Moon Bay and Sandy Bay are just a few of the shared pseudonyms. The big difference in the two tropical getaways, is the price of earth, or, in other words, Real Estate.
During the 70’s, the economy of the Cayman Islands enjoyed huge growth resulting from speculative investors “goldrushing” to the Tropics. In the mid 70’s Beach front land went for as little as $5,000 per Acre on famous Seven Mile Beach and by the early 80’s rose by as much as 20-30 times that.
Today, the same terra firma is priced so high that only the few remaining “dot COMers” can afford the luxury of a vacation home in the Caymans. Although Roatan too has experienced tremendous growth from the investment sector, most people can still easily afford ‘their own piece of Paradise’ at prices the other Caribbean locales haven’t seen since 1979!! Retirement homes, vacation villas and building lots are all in big demand for foreigners coming to Roatan in hopes of finding their reverie. Astute local and foreign developers are seeing this need and filling the demand with products that are both built to US standards, and yet stylish in keeping with the traditions of the Islands.
Undertakings like Pelican Bay, a development on the North Shore of Roatan, just minutes from downtown Coxen Hole, have instituted Covenants restricting the type and quality of building they allow within their guard-gated community.
Developer Scott MacDonald maintains that “today’s Investor is more sophisticated and demands more than just a piece of ground away from home…..they want local Island quality with all the conveniences of what they’re used to back home”. “We’ve been very successful filling these needs with our custom designed subdivision allowing plenty of views and space for those wishing to build a nice home or holiday retreat just steps from the sandy shores of the Caribbean and yet have available satellite TV, computer stations and most of the other necessities that were considered “luxuries” just a few years ago”, adds MacDonald.
Many of the planned developments on Roatan have swimming pools, restaurants on site, diving facilities available and offer other investment options like Property Management while you’re away and Maid service while you’re there. Rental income from resort properties is a big consideration for many people who’d like to minimize their investment exposure.
In some cases, like that of the Beach front Condos at Parrot Tree Beachfront Villas, Developers offer their prospective clients the option of participation in a rental pool—daily rentals of units when not owner-occupied. Run like a 4-star Hotel, Parrot Tree Villas advertises in local and international publications, charges a small fee for their services, pays all relevant expenses, and furnishes the unit owner with a quarterly check to help with the mortgage payment. Similar to other areas where Baby Boomers are flocking in search of their retirement Mecca, Roatan is fast becoming a sifting grounds for both the cunning speculator and the prosperous Developer. The projects that are well funded, have their amenities completed, and offer the prospective buyer more than just promises of completion in the near future, are the ones on the top of the heap.
These are the flourishing ventures that are “outselling” the competition. Local Realtors tend to draw their clients towards the “complete package” type development as opposed to those funded merely on sales volume.
Add to the equation the ever-expanding Cruise Ship business that has been calling Roatan a Port of Call for over 4 years now, and you have a whole new market of paradise seekers eager to one day call the Bay Islands home.
More than 250,000 visitors per year set foot on Roatan for a little less than 5 hours, just enough time to fall in love with it. Many having traveled to other Caribbean destinations along the way and see Roatan for what it truly is—an untouched diamond waiting for the cutter’s stone. Although prices continue to rise in the Islas de Bahia, property values are still very undervalued compared to the Caymans, Costa Rica and Belize. Without yet boasting a major Hotel, golf course, or 5 star resort, Roatan is still very attractive to those seeking moderate investments for secondary living, and continues to attract people from around the globe.
If you missed out on the Caymans, consider Roatan for your next adventure.
