Site of the 2014 World Cup, Brazil’s northeastern city of Fortaleza offers residents the benefits of a coastal lifestyle, with the advantages of an expanding urban center. While real estate prices continue to remain low, experts believe that it is only a matter of time before real estate prices start to increase in line with the city’s growing economy and expanding infrastructure. See the following article from International Living for more on this.
Brazil’s biggest real estate opportunities are in the Northeast, centered on Fortaleza.
Historically this part of Brazil has been poorer than the more developed south…and real estate prices much lower.
With an economy based on tourism (Brazil’s #1 domestic tourism destination), energy (off shore oil and major wind energy operations) and export focused manufacture (strong base which is being energized by the new Free Trade Zone) it’s fast playing catch-up.
Two years ago I recommended pre-release condos along Fortaleza’s boardwalk. Today, prices have increased by 40% and the boardwalk is all but built out…and expensive.
Today’s hot opportunity is created by a government plan to bring an underground rail link and a mega convention center to a previously overlooked area of Fortaleza.
The convention center is just blocks away from the central park. This is a nice area to live and work. The central park is spread over 2,854 acres. This huge urban green space is perfect for jogging, rollerblading or just relaxing in the green shade of one of the large mango trees. Straddling both sides of a river and dividing the city in two, it is one of the largest urban parks in South America.
There are two Fortalezas when it comes to prime residential and office space. One is in the north of the city, in Aldeota. Then you have another Fortaleza in the south of the city—in the area around the massive new convention center.
Residents of each side of the city prefer to stay on “their” side of the park. The park is a major bottleneck for traffic jams. Just crossing it can take up to 20 minutes at peak times on weekdays.
So, for residential and office space you want to be on either the north or south side of the park. This bottleneck effect means that the area around the convention center will stay prime.
Directly opposite the convention center is the latest Brazilian real estate opportunity I’ve discovered. Members of Real Estate Trend Alert can buy a condo with only $6,874 down and monthly payments of $1,306. Every two-bedroom unit is 70 square meters (753 square feet). Amenities include a pool, party lounge, gourmet room to cook and entertain, gym, recreation area and even a kid’s play room.
I expect prices will rise rapidly when the project is launched to the local market next month.
Pricing here starts at half of what you might pay across the park in Aldeota and one-third of what you might pay on the boardwalk. This area (around the convention center) is seriously on the up. As prices rise across the rest of Fortaleza I expect they will rise faster here.
Demand is set to set to soar between now and when these units are delivered in late 2013. The new metro line will have arrived by then and new office towers will be well advanced. Soccer’s World Cup will be coming to town the following summer.
This article has been republished from International Living.