Nice...........I think in 4-5 years once everything is built and completed, standard villas on these 900m2 plots will be worth at least $650K+ as Corvera's golf course villas on 600m2 plots are currently at $550K. This development will be one of the biggest in Spain and truly very unique.

I take it you mean Euro ... ?

Yes, of course.

What are your thoughts?

I believe this resort will surprise a lot of people: it will be trend-setting, pioneering a new kind of eco-friendly development, but also one that is much more integrated with the existing local community / landscape. I also see Madrilenos looking to live / rent here, thanks to the excellent links with Madrid. I could go on (and on!), but suffice it to say I think this will actually be a cut above even the likes of Polaris World, and we all know the inflated prices there. In summary, then, your price estimate may be accurate in the shorter term but overly cautious in the medium term, and perhaps wildly low in the longer term ...

Well Said. You sound like a very experienced investor and have made me feel even more confident that I have banked on the right investment. I think I will keep it on a very long term basis as well. Now its just the waiting game.

I bought 2 plots and I m looking for a future to be best......

For what it is worth. And I hope I am wrong. I think this is not a good purchase. As I live probably an hour from here and know the market here, and the inland market. I can not see prices rising to 180k, this is a false market. Plots on the coast sell for less than that and you are inland. Inland it gets cold and no one wants to live there.
How many investors have been there. I have been around area. I like Andy and Property Showrooms I work with them, they are good people. This I am sorry to say I dont agree with your optimism, there is limited resale market and not that many people want to live that fair from coast, maybe 1 in 10 or 20 expats. Not bullish on this at all. I wish you luck and hope I am wrong for all your sakes, but investing in Spain is close to suicide at the moment, all the developers are looking to get out, Spain is 30% over valued , there are fiscal taxes you have to pay, people dont want inland property unless is cheap. 180k, 70k or 80k is maximum for a 900m plot, you can buy 10.000m2 plot and build one house for 40k so why pay double for a 10th size.

Good luck investors, I hope you are right. Time will tell. I notice the bank, it is not a big bank, actually I know of about 10 to 20 banks in Spain, why is not the guarantee by a big bank rather than an obscure one. Anyway sales are going good, someone is making money. My advice get out before it bursts.

The developer can keep raising price makes people feel good who has invested. I could be wrong. Good luck.

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Ps. I have friends who moved from the coast to Almansa, (after living here permanently for 5 years working with the spanish) to get away from expats etc, it is a remote place inhabited by mostly spanish not expat at all. Why build a development there? Of course because it makes the developer and his friends lots of money. The land is cheap. There is none left on the coast, and sells it to people who dont know the area. Good business strategy and they have gone one step further, they are selling it without a licence.

Actually I might start doing the same. Anyone interested? I get my architect, draw up a plan, start selling it, I have access to agricultural land in this area, maybe 1 to 2 million meters, stick the money in the bank from the sales, wait for planning permission, may take a couple of years, if I get permission I buy land etc..

Any independent lawyers used on this one? for the buyers? investors?

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Hi Goldberg,

Just want to point out a few things:-

1. You said you work with Andy @ property showrooms and say that they are good people. If that is so, they would not sell an investment they do not think will make money.
2. Yes, ex pats would prefer to live on the coast, but i think this investment would also attract locals, especially Madrilenos looking to live / rent here. In Spain, inland locations are very populated and prices are very high. So why wouldn't Spaniards want to live in such a unique inland development like Jardin De Los Reyes?
3. You say that you can buy a remote undeveloped plot for 10,000m2 plot for $40K, yes this is true as i also completed my own research. But put this plot in the middle of a 11,000,000m2 development, how much do you think it will be worth?
4. I think the press and talk regarding the Spain property market crash is overally exaggerated. Spain is such a large country and the property market is different across all various locations. So how can people put a generalized opinion on the property market on the whole of Spain?

Its like in OZ, when a few states have decreasing property prices. Normally the general public and media would think that the whole property market is crap. But the astute investors still know that there are still good locations to invest in property.

Goldberg, if investors are looking to hold this investment on a long term basis (5 to 10 years) after development is approved, i do not see how we can loose money. Worse case senerio, this project does not get approved in 2 years, we get our money back. My solicitor is Legalex and they have assured me that getting my money back if approval does not proceed will be very straight forward and would not be a problem.

Answers in your text.

Hi Goldberg,

Just want to point out a few things:-

1. You said you work with Andy @ property showrooms and say that they are good people. (Yes I agree wit that.)

If that is so, they would not sell an investment they do not think will make money. (Maybe they dont know this area as well as I do, I dont think intentially they sell to lose there clients money, but be sure, they, like me or any agent wins, when a client buys, that is how we live on selling properties.)

2. Yes, ex pats would prefer to live on the coast, but i think this investment would also attract locals, especially Madrilenos looking to live / rent here. (Get real, people from Madrid 95% want to live, holiday, visit on Coast, Madrid is in the middle of Spain, we have people come here every week to go to the coast, they have enough land around them in Spain, to drive 3 hours to be in the middle of no where. This is not correct IMHO. In Spain, inland locations are very populated and prices are very high. (who tells you this , it is non sense) So why wouldn't Spaniards want to live in such a unique inland development like Jardin De Los Reyes? ( I dont think they will, it is overpriced touristy place with no tourists)
3. You say that you can buy a remote undeveloped plot for 10,000m2 plot for $40K, (this is a building plot, I would need to check with lawyers prior to sell, it depends on the laws in the area.) yes this is true as i also completed my own research. But put this plot in the middle of a 11,000,000m2 development, how much do you think it will be worth? 11 million meters of land. My point is if you are smart investor and if, a big if, this gets any legs and passed, then the clever people will buy outside the development, at half to quarter the price, and benefit from all the services. What you find, is that people that are so called investors get sucked in, and then they cant get out as there is no resale market. Then you have to fulfill your contractual duties, you would of paid 70k euros for a plot worth, well not much. What level of bank finance are you getting on these plots?)
4. I think the press and talk regarding the Spain property market crash is overally exaggerated. (well if you live here and see it everyday, then maybe you will see it) Spain is such a large country and the property market is different across all various locations (true, but is socialist government and fairly high taxes, so your gains on rent, capital gains are there, limited resale market). So how can people put a generalized opinion on the property market on the whole of Spain? (you can look at fiscal levels and buying patterns, there is an oversupply of properties in spain, only the best things get sold. It is economics, supply demand.)

Its like in OZ, when a few states have decreasing property prices. Normally the general public and media would think that the whole property market is crap. But the astute investors still know that there are still good locations to invest in property. (True, but I dont think inland 1.5 hours in the middle of nowhere at big prices is the way to go, mega resort or not, I dont think people want to live or rent there. Spain has some of the best beaches in the world, 95% of the tourism is 10km or less from the coast. (other than big established nice cities like Madrid, Cordaba, Seville etc)

Be sure, the only reason why they want to do something there, is because land is cheap. Time will show, I will wish you luck 180k for an inland plot. Wow, lets ssee 12 months from now. Are you ready with your 16% VAT as well. So 70k is now 80k. We shall see.


Goldberg, if investors are looking to hold this investment on a long term basis (5 to 10 years) (you have to hold 5 years in an up market, otherwise you get hit to hard on taxes, buying and selling. Maybe it is 10 years now. In any market you buy low, sell high. I think you are buying high, and I dont see the possibility to sell even higher. ) after development is approved, i do not see how we can loose money. (if development is approved) Worse case senerio, this project does not get approved in 2 years, we get our money back. (lost 2 years interest on money, what happens if company has spent your money, what you going to do, with lawyer or not) My solicitor is Legalex and they have assured me that getting my money back if approval does not proceed will be very straight forward and would not be a problem.[/quote]

Ok we wait and see. Good luck. I hope you are right. But in my heart i think this is not a good deal. Good luck I wish you luck. regards Darren

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