The best place in the Dominican Republic to buy real estate

I asked Bruce Pierson of Dominican Paradise why he felt that Las Terrenas was beginning to hear whispers of interest from investors around the world and how long it felt before the world woke up to the opportunities that are present there.

Bruce writes: Unlike many of the coastal cities of the Dominican Republic, Las Terrenas has been largely undiscovered by major tourism and economic development. The Samaná Peninsula was primarily an ecotourism destination and the perfect hideaway for many European expats.

Most of the desired real estate is not yet owned by foreign investors or all-inclusive hotel chains; instead, much of it is still owned by Dominican families and is still affordable.

This is about to change. The new international airport, El Catey (25 minutes by car from Las Terrenas), is already operational. Long distance operators from Europe and America are now bringing tourists directly to the Samaná Peninsula.

Construction began on the new Santo Domingo – Samaná highway in May 2005, which will reduce driving time from 5 hours to less than 90 minutes.

In the last year alone, 4 5-star all-inclusive resorts have opened on the peninsula in Bahía Príncipe, with a total of 1,600 rooms. The large Las Terrenas Country Club project is already under construction and sells its villas and condos on the golf course, designed by the world renowned Dye family.

A marina project, called Puerto Bonito, with 150 docks, is also under construction near Las Terrenas.

Chains like Wyndham and Melia have acquired properties and options on several of the available lots, narrowing the window of available real estate in the area.

We believe that there is a window of opportunity of 3 to 6 years to buy land to develop in the Las Terrenas area, and the sooner the better. It is likely that 2-3 years after the completion of the new international airport and highway, real estate prices have risen dramatically, catching up with and matching the other islands in the Caribbean.

In addition to the developments and chains mentioned above, more than 20 more projects are currently underway in Samaná. Currently, investing in Las Terrenas is not only about investing in one of the most beautiful areas of the Caribbean, but also about the possibility of obtaining an excellent ROI. We anticipate that land prices will continue to rise, at least at an annual rate of around 35%. Compared to the low ROI rates in Europe and the US, this means great profit potential with minimal risk.

I spoke a lot with Bruce, who moved to Las Terrenas twenty years ago. His interest and love for the area goes far beyond economic and financial interest. The Dominican Republic is possibly the most beautiful place in the Caribbean, known to many as The Land of Dreams. Las Terrenas boasts a magical 15 kilometer stretch of unspoiled beach and a city with more than 40 international restaurants that include everything from Italian, French and Swiss cuisine to Japanese sushi bars. It also offers a wide selection of activities available, such as horseback riding, golf, diving, windsurfing, tennis and many more just minutes from the city.

Bruce, who has made Las Terrenas his own, sees the area as an unspoiled paradise where the locals ride motorcycles instead of cars, and they all share a sense of community that makes it a magical place to raise a family. Bruce, who spent time with the Peace Corps and has traveled most of the world, does not hesitate to rate Las Terrenas as one of the most magical places I have ever been.

And as others come to see the same unique qualities that Bruce has, you can’t help but realize that there is a premium to pay for paradises like this. You need to stay up-to-date on Dominican real estate trends and be ready to buy.