Brazil is No.2 in the World for Capital Appreciation
Wednesday, July 22, 2009
Foreign investors in real estate expect to spend significantly more around the world, particularly in Brazil in 2009 than they did in 2008, according to reports.
The 17th Annual AFIRE (Association of Foreign Investors in Real Estate) Foreign Investment Survey conducted by the James A. Graaskamp center for Real estate at the Wisconsin School of Business placed Brazil 2nd in countries offering the best opportunity for capital appreciation. Brazil moved 10 places to replace China as the second best opportunity for capital appreciation behind the U.S.
According to figures from the United Nations Conference on Trade and Development, Foreign direct investment in Brazil amounted to $41.7 million last year compared to $34.6 million in 2007. Meanwhile, Michael Sutton of Write about Property said that Brazil property is to double in value over the next five years. He explained that Brazil growing into one of the fifth largest economies in the world over the next 5 years, this would see Brazil property grow from its current price to prices similar to those found in the world's bigger economies.
According to the Daily mail, Paul Irvine, co-founder of Dehouche said that Brazil continues to be considered the country with the most stable and secure real estate investment opportunities and the leading market for capital appreciation. "Most investors are motivated by capital appreciation - prices have been going up steadily - and the lifestyle. Brazil's all about living life to the full," he asserts.
Social BookmarkingThe 17th Annual AFIRE (Association of Foreign Investors in Real Estate) Foreign Investment Survey conducted by the James A. Graaskamp center for Real estate at the Wisconsin School of Business placed Brazil 2nd in countries offering the best opportunity for capital appreciation. Brazil moved 10 places to replace China as the second best opportunity for capital appreciation behind the U.S.
According to figures from the United Nations Conference on Trade and Development, Foreign direct investment in Brazil amounted to $41.7 million last year compared to $34.6 million in 2007. Meanwhile, Michael Sutton of Write about Property said that Brazil property is to double in value over the next five years. He explained that Brazil growing into one of the fifth largest economies in the world over the next 5 years, this would see Brazil property grow from its current price to prices similar to those found in the world's bigger economies.
According to the Daily mail, Paul Irvine, co-founder of Dehouche said that Brazil continues to be considered the country with the most stable and secure real estate investment opportunities and the leading market for capital appreciation. "Most investors are motivated by capital appreciation - prices have been going up steadily - and the lifestyle. Brazil's all about living life to the full," he asserts.
Labels: Investment-property, Lifestyle
Brazil most popular among investors in June
Brazilian property is the most popular among investors as increasing numbers of Brits look to put their cash in bricks and mortar, according to a media outlet.
Homesgofast.com tracked the level of interest in real estate and countries based on both the number of visitors as well as the actual buyer enquiries and have reported that it has seen demand for accommodation in the country beat all of the 70 other regions in which the website operates.
Nicholas Marr, chief executive of the portal confirmed that Brazilian property section has been the number one place for thousands of visitors each day. Poor returns on savings and insecurity about stocks and shares are perhaps leading people to consider Brazil real estate as an alternative investment vehicle.
He commented: "It seems low prices, good infrastructure and some good packaging by developers is making the region irresistible."
According to a report from local news agency Estado, cited by Dow Jones newswires that the there was a 75 per cent rise in the number of people looking to finance buying a property in Brazil during the first half of 2009 which signifies a huge rise in demand for mortgage credit as more people look to take their first step onto the Brazilian property ladder.
In related news, Brazilian property has come third in a list of the most searched-for real estate markets in the MoveChannel.com's June Investment Property Watch report, demonstrating the continuing popularity of the country. According to the website, the World Cup "kicked off new interest in its property sector".
Social BookmarkingHomesgofast.com tracked the level of interest in real estate and countries based on both the number of visitors as well as the actual buyer enquiries and have reported that it has seen demand for accommodation in the country beat all of the 70 other regions in which the website operates.
Nicholas Marr, chief executive of the portal confirmed that Brazilian property section has been the number one place for thousands of visitors each day. Poor returns on savings and insecurity about stocks and shares are perhaps leading people to consider Brazil real estate as an alternative investment vehicle.
He commented: "It seems low prices, good infrastructure and some good packaging by developers is making the region irresistible."
According to a report from local news agency Estado, cited by Dow Jones newswires that the there was a 75 per cent rise in the number of people looking to finance buying a property in Brazil during the first half of 2009 which signifies a huge rise in demand for mortgage credit as more people look to take their first step onto the Brazilian property ladder.
In related news, Brazilian property has come third in a list of the most searched-for real estate markets in the MoveChannel.com's June Investment Property Watch report, demonstrating the continuing popularity of the country. According to the website, the World Cup "kicked off new interest in its property sector".
Labels: British, Investment-property
Brazilian property sector stronger than Spain
Sunday, July 19, 2009
The construction sector in Brazil is more resilient when compared to other markets, such as the US, UK or Spain, suggesting there could soon be more properties available for people considering investment in Brazil, according to an expert.
According to Dow Jones newswires, Joan Magee reports that the efforts by the government to counter falling Brazil real estate construction levels have helped the market to remain resilient than traditionally large property sectors. She adds that the Brazilian government is "pouring money" into World Cup infrastructure in preparation for waves of tourists, which should boost the property market. She also highlighted the predictions of cement output in South America rising by 6.9 per cent from 2010 to 2011 as another indication that the Brazil property market will turn around.
Eduardo Levy-Yeyati, a director and head of emerging markets strategy at Barclays Capital, tells the news provider, "Construction will weaken as in a typical recession, but will not tank as in the US, the UK or Spain."
Property experts believe that the activity in the housebuilding component is "noteworthy" and the improved buoyancy in housing market doings is boosting overseas investor’s confidence although the market for luxury and off-plan property in Brazil is not as strong as it was six months to a year ago, it could emerge from the downturn by next year.
Adam Samuel, director of Nubricks, comments "Because of the way the Brazilian economy stands up compared to many other overseas property markets, it stands a good chance of some sort of recovery over the next 12 months."
Mr. Samuel says that the combination of good deals, predictions of an economic upswing next year and the forecasted increase in demand for rental accommodation ahead of the World Cup in 2014, now could be the time for investors to get into the market.
Social BookmarkingAccording to Dow Jones newswires, Joan Magee reports that the efforts by the government to counter falling Brazil real estate construction levels have helped the market to remain resilient than traditionally large property sectors. She adds that the Brazilian government is "pouring money" into World Cup infrastructure in preparation for waves of tourists, which should boost the property market. She also highlighted the predictions of cement output in South America rising by 6.9 per cent from 2010 to 2011 as another indication that the Brazil property market will turn around.
Eduardo Levy-Yeyati, a director and head of emerging markets strategy at Barclays Capital, tells the news provider, "Construction will weaken as in a typical recession, but will not tank as in the US, the UK or Spain."
Property experts believe that the activity in the housebuilding component is "noteworthy" and the improved buoyancy in housing market doings is boosting overseas investor’s confidence although the market for luxury and off-plan property in Brazil is not as strong as it was six months to a year ago, it could emerge from the downturn by next year.
Adam Samuel, director of Nubricks, comments "Because of the way the Brazilian economy stands up compared to many other overseas property markets, it stands a good chance of some sort of recovery over the next 12 months."
Mr. Samuel says that the combination of good deals, predictions of an economic upswing next year and the forecasted increase in demand for rental accommodation ahead of the World Cup in 2014, now could be the time for investors to get into the market.
Labels: Market-Trends
US retail giant Walmart to invest in Brazil
Friday, July 17, 2009
Wal-Mart Stores Inc. (WMT) will invest 1.6 billion Brazilian reals ($800 million) in Brazil during 2009 in the expectation that the local economy will recover in the second half, said the company's chief executive at a press conference in Sao Paulo.
According to the local Estado newswire, Wal-Mart Brasil CEO Hector Nunez said the company plans to open around 90 shops this year, which will generate about 10,000 new jobs, concentrating on the Todo Dia and Maxxi chains that cater to lower income brackets. He said that Wal-Mart expects the Brazilian economy to grow in the region of 1.5% to 1.8% in the second quarter of this year.
Mr. Nunez commented: "The Company will have a good year and growth so far is quite positive. For the second quarter we have a good performance, if not as good as the first."
Wal-Mart competes with Brazil's Companhia Brasileira de Distribuicao (CBD) and France's Carrefour SA (12017.FR) on the local market. Despite the economic crisis, Wal-Mart registered revenues of 17 billion reais (7.4 billion U.S. dollars) in 2008, up 17.1 percent from 2007, according to xinhua news agency reports.
In related news, The North East Process Industry Cluster (NEPIC), a British organization has signed a memorandum of understanding with the Pernambuco region of Brazil, with the deal working on a number of synergies with the area, which may boost the number of people looking for property in Brazil.
Social BookmarkingAccording to the local Estado newswire, Wal-Mart Brasil CEO Hector Nunez said the company plans to open around 90 shops this year, which will generate about 10,000 new jobs, concentrating on the Todo Dia and Maxxi chains that cater to lower income brackets. He said that Wal-Mart expects the Brazilian economy to grow in the region of 1.5% to 1.8% in the second quarter of this year.
Mr. Nunez commented: "The Company will have a good year and growth so far is quite positive. For the second quarter we have a good performance, if not as good as the first."
Wal-Mart competes with Brazil's Companhia Brasileira de Distribuicao (CBD) and France's Carrefour SA (12017.FR) on the local market. Despite the economic crisis, Wal-Mart registered revenues of 17 billion reais (7.4 billion U.S. dollars) in 2008, up 17.1 percent from 2007, according to xinhua news agency reports.
In related news, The North East Process Industry Cluster (NEPIC), a British organization has signed a memorandum of understanding with the Pernambuco region of Brazil, with the deal working on a number of synergies with the area, which may boost the number of people looking for property in Brazil.
Labels: Economy, Latest-News
Brazil in top five for property investment
Tuesday, July 14, 2009
Now may be the best time to buy Brazilian property as the effects of the global economic recession have created bargains in the market and the country has been named as one of the top five areas for investment, according to an expert.
According to Real estate portal Propertyabroad.com, Rio de Janeiro and Natal in the north-east are the two of the best cities in the world for buying a home. The website refers to the predictions that the South American nation is set to become the fifth largest economy in the world in the next ten years, with Brazil real estate values set to follow suit.
Properties in Rio are still available at a fraction of the cost of comparable properties in the world's major cities like Paris, Rome and London. The portal added that the cheapest apartment in London is over £150,000 whereas investors can buy a 3 bedroom house in Natal for £120,000.
Meanwhile, Les Calvert, director of Property Abroad said that the economic crisis has led to bargain Brazil real estate coming onto the market for savvy investors, who are also likely to see values double over the next five years.
Thomas Shapiro, president of GoldenTree InSite Partners, said in Global Real Estate Summit that a recent 104-unit development in Sao Paulo sold out in four hours, showing demand for Brazilian property is picking up. The economy looks better than expected for the coming year, Mr. Shapiro stated, according to Reuters reports.
His views back up comments from Steve Worboys, director of Experience International, added that an increasing number of investors are realizing the potential of property in Brazil.
Social BookmarkingAccording to Real estate portal Propertyabroad.com, Rio de Janeiro and Natal in the north-east are the two of the best cities in the world for buying a home. The website refers to the predictions that the South American nation is set to become the fifth largest economy in the world in the next ten years, with Brazil real estate values set to follow suit.
Properties in Rio are still available at a fraction of the cost of comparable properties in the world's major cities like Paris, Rome and London. The portal added that the cheapest apartment in London is over £150,000 whereas investors can buy a 3 bedroom house in Natal for £120,000.
Meanwhile, Les Calvert, director of Property Abroad said that the economic crisis has led to bargain Brazil real estate coming onto the market for savvy investors, who are also likely to see values double over the next five years.
Thomas Shapiro, president of GoldenTree InSite Partners, said in Global Real Estate Summit that a recent 104-unit development in Sao Paulo sold out in four hours, showing demand for Brazilian property is picking up. The economy looks better than expected for the coming year, Mr. Shapiro stated, according to Reuters reports.
His views back up comments from Steve Worboys, director of Experience International, added that an increasing number of investors are realizing the potential of property in Brazil.
Labels: Investment-property, Latest-News
More investors realize rental potential of Brazilian property
Monday, July 13, 2009
Brazilian property companies have been reporting strong financial results in recent months and investors are realizing the potential of rental property in Brazil which is attracting a new set of buyers to the market.
Steve Worboys, director of Experience International explains that the coming years are set to yield benefits from the government's continued commitment to investing in the country's tourism industry and the new housing plan. The country is well placed, following the announcement that 12 Brazilian cities will host the finals of the football competition and analysts are predicting a boom in property investment around the areas which will stage matches.
He commented: "Rental opportunities will abound and those buying land and real estate in the country should reap the rewards."
Vibecke Lykke Olsen, co-founder of Brazilian property developer ViaMar Groupo asserts that while the north-east of Brazil has always been popular with tourists due to its fantastic year-round climate and the fact that it is the closest point to Europe, the news that the World Cup is coming to Natal will add to its appeal. Paul Irvine, co-founder of Dehouche,says that European investors are attracted to £50,000 beach properties in Natal as it is relatively accessible, according to Daily mail erports.
"I haven't even thought about the prices yet for the World Cup but I'm sure every room will be booked up and people should book early to secure accommodation because it will be expensive, I'm sure of it," she concluded.
Social BookmarkingSteve Worboys, director of Experience International explains that the coming years are set to yield benefits from the government's continued commitment to investing in the country's tourism industry and the new housing plan. The country is well placed, following the announcement that 12 Brazilian cities will host the finals of the football competition and analysts are predicting a boom in property investment around the areas which will stage matches.
He commented: "Rental opportunities will abound and those buying land and real estate in the country should reap the rewards."
Vibecke Lykke Olsen, co-founder of Brazilian property developer ViaMar Groupo asserts that while the north-east of Brazil has always been popular with tourists due to its fantastic year-round climate and the fact that it is the closest point to Europe, the news that the World Cup is coming to Natal will add to its appeal. Paul Irvine, co-founder of Dehouche,says that European investors are attracted to £50,000 beach properties in Natal as it is relatively accessible, according to Daily mail erports.
"I haven't even thought about the prices yet for the World Cup but I'm sure every room will be booked up and people should book early to secure accommodation because it will be expensive, I'm sure of it," she concluded.
Labels: Investment-property, Rentals
Brazilian real estate looks extremely attractive for Global retailers
Saturday, July 11, 2009
The global investing community has recognized Brazil as a promising destination for capital investment, as the country's market has become more affordable, according to a new report.
Management consulting firm A T Kearney's Global Retail Development Index shows that Brazil is one of the top ten most appealing locations for investment. Hana Ben-Shabat, a partner at A.T. Kearney and co-leader of the study said, "With economic conditions in developed markets improving so slowly, emerging markets are becoming much more important sources of growth for global retailers."
Brazilian real estate suddenly looks extremely attractive-especially in relation to pricey North American and European markets. Foreign investors are steadily placing about $200 million a year in Brazilian properties, but that figure skyrocketed last year to a record $2.5 billion. Brazil's government is currently supportive of development and property rights and trying to upgrade opportunities without nationalizing industries. President Lula realizes that foreign investment can improve the lot of poor people.
Andrea Stephen, Cadillac Fairview Corp. Ltd executive vice-president says that CF looked at the other BRIC markets and concluded the conditions are better in Brazil to generate good returns without taking on extraordinary risk.
Meanwhile, Scott Wolstein, Developers Diversified's chairman and CEO, said in a statement, "we find the opportunity to double the size of our investment in Brazil over the next few years highly compelling, considering current unleveraged development IRRs in Brazil are around 20% and cap rate compression on existing assets is expected to accelerate."
In related news, The InterContinental Hotels Group said it has signed agreements for building of four new hotels in the country and 12 cities will now have a Holiday Inn Express. Alvaro Diago, area president at IHG Latin America, said the booming tourism industry in the country makes it ideal for investment, which is good news for people who already have property in Brazil.
Social BookmarkingManagement consulting firm A T Kearney's Global Retail Development Index shows that Brazil is one of the top ten most appealing locations for investment. Hana Ben-Shabat, a partner at A.T. Kearney and co-leader of the study said, "With economic conditions in developed markets improving so slowly, emerging markets are becoming much more important sources of growth for global retailers."
Brazilian real estate suddenly looks extremely attractive-especially in relation to pricey North American and European markets. Foreign investors are steadily placing about $200 million a year in Brazilian properties, but that figure skyrocketed last year to a record $2.5 billion. Brazil's government is currently supportive of development and property rights and trying to upgrade opportunities without nationalizing industries. President Lula realizes that foreign investment can improve the lot of poor people.
Andrea Stephen, Cadillac Fairview Corp. Ltd executive vice-president says that CF looked at the other BRIC markets and concluded the conditions are better in Brazil to generate good returns without taking on extraordinary risk.
Meanwhile, Scott Wolstein, Developers Diversified's chairman and CEO, said in a statement, "we find the opportunity to double the size of our investment in Brazil over the next few years highly compelling, considering current unleveraged development IRRs in Brazil are around 20% and cap rate compression on existing assets is expected to accelerate."
In related news, The InterContinental Hotels Group said it has signed agreements for building of four new hotels in the country and 12 cities will now have a Holiday Inn Express. Alvaro Diago, area president at IHG Latin America, said the booming tourism industry in the country makes it ideal for investment, which is good news for people who already have property in Brazil.
Labels: Investment-property, Overseas-property
Natal new airport will see property investments soar
Saturday, July 4, 2009
Natal is a major tourist destination in Brazil and demand for property is predicted to rise as it will be home to the world's fourth largest airport set to be completed in 2010 in San Gonzalvo.
There are major updates in transport, the environment, infrastructures, and tourism management bodies taking place including the redevelopment of airports. Keen to stake its claim in the Brazilian skies cheap and cheerful carrier, international airlines are busy setting up new flight routes, there is already a direct route to Natal's Augusto Severo Airport from Portugal, and many charter flights from European cities.
The Brazilian government in the north east initiated a large public investment programme for the North east to capitalize on the regions superb natural resources. Some of this investment has been allocated to build a massive new Airport which with certainly have a positive impact of both industry and tourism. San Gonzalvo airport is due to open in 2010 and will be the fourth largest airport in the world, significantly increasing the number of direct flights to and from Natal in the north-eastern region of the country.
"Natal is moving fast," says Graeme Grant, of Resort Group International. "Aside from its beautiful surroundings, it's low cost of living - less than 20 per cent of the UK - and the investment in new hotels, golf courses and resorts is expected to exceed US$1.8 billion [£900 million] over the next five years. This activities has attracted further private investment and specifically from international tourist and residential property developers.
Meanwhile, FIFA has announced that Natal is one of the Brazilian cities which will host the World Cup in 2014. It is estimated that about U$ 27 billion is going to be invested to improve infrastructure and modernize facilities. This is expected to project Natal to the world, bringing more tourists and placing Natal definitively on top of tourism destinations.
Social BookmarkingThere are major updates in transport, the environment, infrastructures, and tourism management bodies taking place including the redevelopment of airports. Keen to stake its claim in the Brazilian skies cheap and cheerful carrier, international airlines are busy setting up new flight routes, there is already a direct route to Natal's Augusto Severo Airport from Portugal, and many charter flights from European cities.
The Brazilian government in the north east initiated a large public investment programme for the North east to capitalize on the regions superb natural resources. Some of this investment has been allocated to build a massive new Airport which with certainly have a positive impact of both industry and tourism. San Gonzalvo airport is due to open in 2010 and will be the fourth largest airport in the world, significantly increasing the number of direct flights to and from Natal in the north-eastern region of the country.
"Natal is moving fast," says Graeme Grant, of Resort Group International. "Aside from its beautiful surroundings, it's low cost of living - less than 20 per cent of the UK - and the investment in new hotels, golf courses and resorts is expected to exceed US$1.8 billion [£900 million] over the next five years. This activities has attracted further private investment and specifically from international tourist and residential property developers.
Meanwhile, FIFA has announced that Natal is one of the Brazilian cities which will host the World Cup in 2014. It is estimated that about U$ 27 billion is going to be invested to improve infrastructure and modernize facilities. This is expected to project Natal to the world, bringing more tourists and placing Natal definitively on top of tourism destinations.
Labels: Infrastructure, Natal
