Why Nicaragua

Why Nicaragua !

The First Cruise ship arriving in San Juan del Sur, Nicaragua

Nicaragua has undergone tremendous change. A forty year military dictatorship was upset by a peoples’ revolution. Thirteen years ago the government held elections and the country embarked on a new course.

The administration of Violeta Barrios Chamorro led the country through the difficult transition from a one party state to majority rule in a new Democratic Republic. New laws were passed and the painful process of building a free nation began. Relations with international financial institutions were forged, old loans were renegotiated, and major investments in the nation’s infrastructure were obtained. Multi-Nationals such as Holiday Inn, Intercontinental Hotels, Princess Hotels, Coca-Cola, General Motors, Toyota, Ford, Mercedes Benz, Mitsibushi , Chrysler, TGIF Fridays, Benetton, Radio Shack, Pepsi, MacDonalds, and many others have moved in.

Elections were again held in 1996 , during the administration of Ms. Chamorro. Arnoldo Aleman was elected in what independent international observers noted was a clean and fair election. Incentive programs such as the Law 306 Tourism Investment program were implemented to further encourage investors. More than 100 schools were built and re-built, and further International Finance agreements were negotiated.

In 2001, the third Democratic Free election was held and Enrique Bolaños, a personally successful free enterpriser , was elected under the Liberal banner. Mr. Bolaños immediately has gone to work to enhance the incentive progams and has in a short few months attracted millions of dollars in investments and projects that are now underway .

Today we experiencing unprecedented major growth in the economy without the unwanted concurrent expansion of the public sector. Continued proper management of the national debt will free tax revenue for the improvements to the infrastructure.

Foreign investment has increased and shows signs of more rapid growth. Unemployment is falling steadily. The standard of living is improving. Construction is rampant, particularly in the Managua area where business is being centered. Resort projects in the 100’s of Millions of dollars have been announced, many of them in the San Juan del Sur area, the prime resort destination in Nicaragua. Spec houses are being built again and are selling prior to completion. Prices are rising at a fast rate. Builders are enjoying good profit margins. Jobs are being created.

Highlights of the past ten years of new government include:

Three elections followed by orderly transfers of power to opposition parties;

The army was returned to civilian control, and its’ size reduced from 70,000 to 12,500;
Inflation fell from 30,000% to single digits during this period; high GDP growth, and now the second lowest inflation rate in Central America at under 10%.
Nicaragua landescape.

GNP and economic growth projections ( as a percentage ) are the highest in Central America;
International Banking accords and free trade agreement with Mexico have been reached; NAFTA and MERCOSUR market access.
Geographically , Nicaragua is only 3 hours by air from Miami and Houston , is in the heart of Central America, and is exposed to both major Oceans, the Pacific and the Atlantic.
Most land reform issues have been resolved through the legal process and without conflict;
Foreigners may own land without Nicaraguan partners.
Investors may repatriate 100% of their profits and may repatriate their initial investment after three years.
Tax collection is up; but is so low, it is almost a non-issue in financial considerations.
Average labor cost approx. U.S. $ .70 per hour., including social benefit programs
An extremely young population , over 50% of the population is under 18.
A greatly improved Education system, made up of local and international universities, literacy rate of over 85%.
A great interest in the learning of English as a second language, and many professionals are proficient in Portuguese, Russian , French and Italian.
The Police Force is being trained and modernized by international aid programs; Crime statistics are down in all major felony categories;
After electing the first female President in all of the Americas, Nicaragua revels in the increasing roles and responsibilities of women;
The government recognizes the benefits of tourist dollars and is heavily promoting tourism , especially in the south west coast areas. The Cruise Ship industry has discovered San Juan del Sur, since January 2000, and in 2003 , over 50,000 passengers are expected to come through the port.
The spin-off in subsequent years from return visits by these short term visitors will be significant and

Property prices will escalate beyond comprehension as they always do in cruise ports,

Recent political announcements including a new Dry Land Canal from the Atlantic to the Pacific and a new Pacific Highway are huge developments in the economic future. The opening and widening of the Rio San Juan into Lake Nicaragua, has also recently been announced.
Roads ( Nicaragua has some of the best roads in Central America ), communications, potable water, electricity, and related infrastructure have undergone substantial improvements; new blacktop is evident in
many areas of the country.
Many previous citizens who left the country during harder times are now returning with new educations and methods and are seeking out the investment opportunities and the trend continues.

For less than one/tenth the cost of land in California, you can buy a beautiful ocean view lot, just a spectacular view, and build a top quality Tropical style home of handmade tile , Nicaraguan mahogany, for 25% of the cost of a North American home.

Now , as the tide of visitors is increasing, the threats posed by dictatorships are gone, costs remain reasonable, and ideas for building and operating new businesses abound.

Nicaragua has been known as the Land of Lakes and Volcanoes. This remains true, but now it is also the Land of Opportunities

Property Ownership

Any INDIVIDUAL Foreigner may own property in Nicaragua. You may own property under a Nicaragua Registered Corporation or under a U.S. Trust held by a Nicaraguan Corporation Property ownership is Fee Simple / Freehold

Building

Almost every property that we sell comes with a new Plot Plan Most construction is of concrete block, brick, cement and tile Road construction, electricity not difficult to install depending on terrain

Cost of building ( 2001) app rox. $ 30 - $ 40 per square foot