This is something which worries me too about Rental Guarantees in Venezuela.
There doesnt seem to be a legal way of guaranteeing anything other than by way of a Venezuelan contract to pay out in local currency - which fluctuates by as much as 40% during any 12 months.

I had a developer ask me to market a project with a 7% "guarantee" and I told him that I didnt want to use any type of guarantee as there was no way of legally enforcing it. HE AGREED!!! but said he felt obliged to offer one as all his competition were using them.

The problem is - if a company later reneges on the guarantee for whatever reason - who is the client going to complain to?

Venezuelan government will not recognise any contract alluding to hard currency unless it is subject to the "ley de cambios" which I believe comes under the authority - CADIVI.

The construction company for Caracola is Venezuelan but the promoter is Spanish and based in Spain. So unless the contract was written under Spanish law as opposed to Venezuelan there would be no chance of taking a company to court.

Even if a client did take legal action I dont know what the end result would be, given the guarantee is from a Spanish company in Spain on a Venezuelan property registered in Venezuela - and I wouldnt like to have to find out.

As mentioned previously - Caracolas main problem is exit strategy due to the scale of the project and the number of investors who will be looking to exit at the same time.

Unless someone could clarify the obvious problems with rental guarantees - I wouldnt consider the guarantee a selling point.