Costa Rica is the smart home investment opportunity : By Gabriela Meza Fonseca, Communities and Environment Manager, Reserva Conchal
Throughout the commercial and residential development industry, ESG policies and sustainable practices have become commonplace as green-measures and regulations go into effect around the world. In order to attract new investors to properties and developments, owners and operators will have had to go beyond the simple implementation of eco-friendly measures or new technology. With these factors in mind, Costa Rica is fast becoming a popular destination for new investment and potential home-buyers.
More than 80 percent of the country is fully vaccinated against the Covid-19 virus, over 25 percent of the country is designated as a national park or a protected area and 99 percent of energy produced is renewable. In addition, Costa Rica aims to achieve net zero emissions by 2050, and was the first country to commit to the United Nations Sustainable Development goals.
By integrating these kinds of green and sustainable strategies into development and plans from the beginning as a vital feature of the overall property, new investments and buyers will be much easier to attract.
Sustainable and Covid-Safe Location
Data shows that commercial properties have been moving towards sustainable practices for over a decade, but full implementation of these green-measures across all facets of a property is still few and far between. Locations in Costa Rica have capitalized on this trend of investment, and this can be seen in places like Reserva Conchal, a sustainable community resort in the Guanacaste region of the country. The resort includes residences available for ownership and development plots, and since it began operations in 1996, has promoted sustainable measures as a corporate and financial policy throughout. These measures, in practice, include sewage water treatment plants, desalination plants, and solar energy projects, including more than 1300 solar panels which compensate for around 8 percent of the property’s total energy output. The community resort has also been awarded the Blue Flag award, which recognizes resorts and similar establishments for sustainability and high-quality maintenance of beaches, marinas and boating tourism.
Additionally, resorts and residences like this have also made strides to attract investors and promote sustainability measures by educating residents and tourists, as well as involving the local community and culture. At Reserva Conchal, 64 percent of workers are from the region in which the resort is located, there are consistent volunteer programs around the area, and donations from the resort have led to the construction of a fire station, police station and medical clinic in Guanacaste.
As more investors look towards covid-safe locales that also can offer tropical amenities such as nearshore access, wildlife reserves and clean air, properties in Costa Rica have the potential to continue to see increased activity from professionals looking to change locations and to expand their business plans and portfolios.
Portfolio and Long-Term Business Plan Growth
This potential for growth through investment and property ownership can be seen broadly throughout the vacation homes and resort-property sectors of the industry. Per a survey, 20 percent of respondents globally have moved since the beginning of the pandemic, and 22 percent said more outdoor space was the key factor in their decision. Additionally, 42 percent of home-buyers and investors are interested in waterfront access in their new homes and 55 percent said views and access to nature were vital for their new property.
Brands and community resorts in vacation countries that are able to supply this combination of safe and sustainable living, proximity to nature, water and outdoor spaces, and a tropical destination with resort-style amenities will be able to stand out from other resorts and developments.
Digital Nomad Trend
Finally, one key in the trend of investors and home-buyers focusing on sustainable and Covid-safe locales is the rise of digital nomads and WFH. With this comes added freedom for employees to work from where they prefer. This freedom has also allowed employees to be more strategic in finding their next home or investment as they expand their property portfolios, as they are no longer tied down to working from an office each day.
Per data, 33 percent of vacation home buyers prefer a location with a beach as well as a property in a resort area, and 45 percent see these homes as rental-opportunities. Properties in vacation countries are able to offer this kind of flexibility; easy access to water and nature, opportunities for high ROI as well as the chance to rent out the home, better living conditions and quality of life due to freedom afforded by WFH, and sustainable practices are all going to be expected by investors building out their portfolios in the near future.
Resorts and developments that have already instituted these practices into their financial and corporate design can in turn expect to have a leg up on competition going forward and better take advantage of the rising trend of second and third-home purchases in Costa Rica and other countries.
Costa Rica is the smart home investment opportunity : By Gabriela Meza Fonseca, Communities and Environment Manager, Reserva Conchal
Construct America Magazine | The Home of Construction Industry News
