If guests are visiting, have them stay at El Nicaro, a wonderful 12 room hotel developed on one of the islands by a Nicaraguan businessman recently returned from Miami.  This same family has developed a restaurant on the adjacent El Morro island offering fresh fish and excellent local food daily.

The obvious ace in the hole for any buyer of an island is the limited supply available.  Of the 360 islands within the lake, perhaps only 50 are truly suitable for development.  The appreciation potential of unique property with close to universal appeal always appeals to me. 

This was a Global Real Estate Destination: Nicaragua

Dear Friend,
The clouds are rolling in.  The sky is a combination of purple, black and gray that foretell the coming of rain.  Lots of rain.  Actually, a beautiful thing to watch in Nicaragua, and if I had been alone, I probably would have sat in my 4 x 4 and watched the storm roll in and back out again.  If it had kept up, maybe I would have headed back to the ranch house and enjoyed a juicy steak and a cold cerveza.  Then I would have broken into one of the handmade cigars the rancher had given me earlier in the day.  After winding-down to the guitar playing of Luis the ranch foreman, I would have grabbed an extra hammock and slept the night through it.

But there was a little more to it this time. 

A group of twelve of us had left our hotel at Montelimar along Nicaragua's Pacific coast after lunch to take a look at this property. The picturesque 5,000 acre working ranch featured cattle operations, planted sorghum fields, eucalyptus and mina tree reforestation projects ...and 3.7 miles of Pacific coast beach frontage.  The whole property was available for less than $500 per acre.

This was an exciting end to a successful week.  Earlier that day,  four in my group purchased ocean front lots.  But these weren't just any lots.  They were 1/4 acre in size and perfectly placed on a 40' bluff jutting towards the Pacific ocean, offering 270 degree water views.  There was an easy common access to the beach and a small village nearby with groceries abundant.  This buy would be incredible if the property was completely raw.  But in fact, these lots were having electricity and roads run to each one while we were there.  And so after asking the hard questions for fifteen minutes and getting reasonable answers, they were all sold.  For $25,000 each. The sellers, as you can imagine, were a bit shell shocked with this flurry of activity.  But the buyers new something the seller's didn't: that the demand for these lots could have their values doubling over the next ninety days.  But there are still deals available.  I know of two approximately ½ acre lots located on the oceanfront between the fishing village of Casares and La Boquita.  These lots are serviced by  a paved road, public water, sewer and telephone and are available for $28,000 and $35,000, respectively.  If you like, these properties can be subdivided and developed with two houses on each of them. 

After you have purchased and moved to one of these properties, take a leisurely bike ride to Casares, and see what the local fishermen have caught that day.  Pedal your fresh catch back to your newly constructed hacienda, taking the time to decide how you would like your dinner to be prepared that evening.  Filleted?  Baked, perhaps?  Either way, your cook, who you are paying $60 per month, can prepare it expertly, just as she has for you many times before.

Two days earlier, we had spent an afternoon boating around Lake Nicaragua looking at islands for sale in this beautiful fresh water lake adjacent to the picturesque colonial city of Granada.  A ten minute boat ride from the mainland and we were there.   An offer was made for one of the 3/4 acre islands while we were visiting.  The island is adjacent to a newly developed fifteen room hotel on another island and a new restaurant, as well.  Perfect for entertaining.  Just bring your jet ski or ski boat and make an offer.  I had a call from one of my fellow travelers last week who breathlessly told me that a nearby 2 ½ acre island sold when he was down there on a follow-up visit of his own.  This island is perfect for four home sites with only a moderate amount of grading required.  And with the hotel on the next island and its adjacent restaurant, dining and guest accommodations for visitors to your island retreat will be no problem. 

In the face of some blinding rain and rising rivers, we high-tailed it out of the ranch and got back to paved road in about 30 minutes.  All that, and we were only one hour late for dinner. 

Nicaragua: The last sandy frontier?

Costa Rica is old news, and as I confirmed on my follow-up visit  last week, current prices are high enough to make investors like me flinch.  Even with a moderate decline in prices over the last two years, its hard to rationalize an investment here.  Similarly, Belize has a "been there, done that" feel.  Also, Costa Rica and Belize are beginning to  Don't get me wrong:  these markets have appeal to buyers looking for beautiful environments to enjoy today, but for land speculation, land development, or longer term investment, the ship has sailed.

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