In my last update, I covered the delay in the Setena approval process and the reasons. This government authority has made great strides in the last 3 months to rectify the backlog that had occurred. They have now began to execute the new plan by first, removing (or urging to leave) 4 of the 7 divisional directors removing over 50% of the bureaucracy in the process. I have included the following newspaper article outlining the plan and its execution.
http://www.thebeachtimes.com/article.php?id=2&at=2131
WE ARE NOW FULLY SUBMITTED TO SETENA AND WILL BE MEETING WITH THEM NEXT WEEK!!!
This is good news for a couple reasons. First of all, ours being one of the projects I that backlog, it appears that Setena wants first to push all current projects through the system, so as to start with a clean slate. Second, the new system will look to prioritize the level of scrutiny to each project. For instance, if a project borders a nature preserve, national park, or coastal waters, they receive the highest level of scrutiny. Our project is bordered by the Panamerican Highway and two public roads. We have no immediate borders to any of these sensitive areas. This should have us passed the process sooner than expected.
Another piece of good news is the continued and increased attention on the area surrounding our project. Development focus is now on this area, and following the Panamerican Highway north to and past our project site. There is now a commercial project that is in the hard planning stage next to the GCC that will provide an Office Park, Hospital, Retail Center, Hotel and Convention Center with Amphitheater. Another commercial and hotel project is planned beyond ours, as the path of growth has now surged passed our location. This takes us closer to a status of “infill” and ever increasing property value. Time, is on your side when you select land that is in the path of imminent growth.
Now on to progress.
The changes made to the Country Club Complex have now been included in the master plan drawings and I have included a LINK to these so you may see these beautiful structures for the first time. We have received our final stamps and approvals for electrical usage and water. Further, the entire first phase has now been moved to the correct zoning. This rezoning has only occurred on two projects in Guanacaste of any size this year, ours and the Solarium project. Updates to the site www.guanacastecc.com continue. The home styles and finished Country Club Complex designs are being added this week.
Our golf course plan, and the residential areas around it remain the same and we are now routing our bike and jogging trails through the balance of over 2000 acres that include phases 2, 3, 4 and 5. Our 3 test well sites have been identified and drilling begins in the next couple weeks. These wells will bring water from a very large, pure, mountain fed underground spring that is located under 1/3 of the site. We also have a very strong, very clean river and city water line to the site.
As was stated in the last letter, Vista Montana (phase 2) has been significantly enhanced. Along with the golf course holes being moved into this phase, it now has over 365 home sites and has more than doubled in size, providing a very large increase in sales inventory. With the planning process now well underway for this second phase, our HOA documents and covenants and restrictions are being written to form our Home Owner Association directors that will come from each phase, making up one master board.
Environmentally and Socially, we are in the process of planning the gathering of the Liberia Municipality officials so that we can showcase the formal plans and ask for suggestions and recommendations of how we may further support the surrounding community. This is more of a formality and an effort of endearment. However, many times, there can be initiatives of real community value uncovered at these gatherings. We will be listening carefully.
Our Marketing and Sales process continues to build as we get closer to formal segregation. Here is where most developers miss the mark. Many, that have entered into this industry, have a “build it and they will come” attitude. This can cause enormous delays in the sales process. The Pre Sales and Marketing initiatives should follow the same timeline, and take just as long to build as the pre development. If one executes only the pre development, and leaves the sales and marketing to last, they will find themselves with a ready product, and no ready buyers. It is my experience, over the last 20 years that it is critical to build a large interest list through opportunity reservation agreements…enough even to sell out the project prior to sales commencement. This removes one very large variable and risk from the overall project.
We are well on our way with the materials, our 12 ERA Real Estate Offices and the network of 4000 offices worldwide, our call center in Miami and our upcoming television commercials that will air in late 2008. These channels also have sub channels. For instance, the call center is reaching out to Self Directed IRA managers as well as Retirement and other Associations in the US to provide potential customer channels to the phone sales crew, then on to the ERA agents in Liberia.
Other initiatives are our Custom home site and builder, Sunstruck Homes SA, our accessorize-your-home site, and our process of an international professional brand for the golf course. We have contacted, and are in discussions with the newly formed TWD (Tiger Woods Design Group), Palmer Group, and the Jack Nicholas design firm. This may not be necessary, but it is something worth looking into.
I hope you enjoy this update and the accompanying information. If you have any questions, or are planning a trip, please feel free to contact me. We do enjoy receiving you and showing off our work!
Warmest regards from paradise,
Craig S. Williamson
President/CEO
ERA Real Estate Latin America
Mexico/Belize/Nicaragua/Costa Rica/Panama
Paradise Equity, Inc
Meridiano Building
Escazu, San Jose, Costa Rica
Office: +506 2667-0901
Fax: +506 2667-0902
Cell: +506 8373-1378
Email: craig@paradiseequity.com / craig@eralatinamerica.com
www.eralatinamerica.com
www.guanacastecc.com
www.paradiseequity.com
www.ERA.com