In addition to being a paradise that at- tracts technology, sports and flnancial millionaires from the United States, this destination estate has become one of the most powerful tourist-Real Estate attractions in Mexico.
Los Cabos is the most important high-end Real Estate hub in Mexico, with recent sales that exceeded two billion dollars in the post pandemic era, said Rubén Reachi, general director for luxurious St.Regis hotel, currently under construction.
Nowadays, Los Cabos belongs to the main luxury investment territory in Mexico, that includes destinations like La Paz, Todos Santos, Los Cabos and Cabo del Este, and including other intermediate towns that are also attracting homeowners such as Cerritos and El Pescadero.
The Covid-19 pandemic caused property sales to stop between March and May 2020, but immediately after came a response, especially from the Californian public, which began to acquire properties in this area.
Reachi said that only regarding residences at the St. Regis in Los Cabos, sales have gone over 140 million dollars, which exceeded all forecasts established at the beginning of the project.
This buyer response does not limit to the super-luxury market, but it actually spans to different niches. Therefore, the main investors in Los Cabos are working with local and state governments on a land reserve acquisition plan, to develop and offer social housing to workers who are arriving in this area.
Los Cabos International Airport not only received more than seven million operations in 2022, but it did so by keeping a balance of around 3.5 million, and by that it makes it one of the most profltable in the entire country.
During the same period, the Mexico City International Airport exceeded 46.2 mi- llion; the Cancun airport is around 30 million; Monterrey’s is around 10.9 and Guadalajara’s 15 million. Only Cancun and San José del Cabo operate primarily as touristic airports, and the rest have a mainly business component.
Cost-effectiveness in your investment
According to the Multipling Listing Service MLS, a Real Estate information exchange company through which more than 80% of the sales in Los Cabos are made, property prices have increased between 30% and 80 % in the last few years.
There also exist some outstanding cases such as Alvar, within Quivira, where the price of the flrst properties in Breña have increased up to 100% from mid-2020 to today.
With an inflation in Mexico of 7.36 in 2021 and 7.82 in 2022, the premium in real prices has been from almost 15% to 85%, which continues to be one of the most attractive flgures in the country and the main reason why investors keep looking into this area.
Moreover, according to information coming from the Mexican banks that finance the hotel industry in this region, there are at least 6 new pre-approved hotel projects, which means that Real Estate growth is solid and not a bubble as was back in 2008.
