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All Forum Posts by: Mike Lambert
Mike Lambert has started 4 posts and replied 1388 times.
Post: WTF is wrong with investors these days?
- Investor
- The Americas and Europe
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Quote from @Jay Hinrichs:
Quote from @Mike Lambert:
Quote from @Jay Hinrichs:
Quote from @Mike Lambert:
Quote from @Bruce Woodruff:
Quote from @Mike Lambert:
Don't take my word for anything but Mexico's real estate is on fire (and American buyers are a driving force) and so is stock market. More and more Americans visit, move to and buy property there. American corporations are investing billions into the country, its real estate, tourism and manufacturing. You have to wonder why.
Some people are scared and won't go to Mexico. I totally understand and I'm not trying to convince them that they should, especially since certain areas are getting too many tourists and the infrastructure doesn't always follow. Pretty much anyone and their mother fled to Mexico to escape strict measures during the pandemic and the overall majority of them came back unscathed, loving their experience and are returning regularly. They talk to their friends and it snowballs.
Since you seem to like the country, I hope one day you're gonna love to go there again. The issues aren't easy to solve but the rise of the middle class over the last decades, record unemployment (even lower than in the US) and massive foreign investment can't hurt so who knows! In the meantime, let me reassure you, I'm not about to plan a holiday in Juarez. Like you, I'll rather roam the streets of downtown Chicago if given the choice. :)
So I was gonna offer to buy ya a tequila in Juarez tomorrow..... :-)
Bruce, Mexico's constitution prohibits land ownership by foreigners within 31 miles from its coasts and within 62 miles from its international borders. That supposedly was to prevent a foreign invasion. Because most foreigners wanted to buy property in that so-called forbidden or registered zone (by the water) and because that prohibition made no sense whatsoever, they wanted to lift it. Amending a constitution is a complicated process so, instead of doing that, they created the fideicomiso or bank trust.
Under the fideicomiso system, when you buy a property, you choose a bank that is going to hold the title in its name. You'll have exactly the same rights and obligations as if you owned in your own name and the bank cannot do anything to or with the property whatsoever. In the unlikely event that the bank goes bust, the bank's creditors won't have access to your property. The fideicomiso is for 50 years and can be renewed indefinitely. You have to pay an initial set-up fee to the bank and an annual fee but we're talking small amounts.
Some people don't like this concept and I think that it's because it's misunderstood. When you understand how it works, you actually realize that it's better than owning in your own name for asset protection purposes. Aside for diversification and getting higher returns as the case may be, another advantage of owning property overseas is when you get sued at home, as it's going to be more difficult to your creditors to get their hands on your property. Yet, if you own in your own name in say Mexico City (outside of the zone), an overzealous lawyer could find your name in the public registry. If you own through a fideicomiso in one of the main beach towns, they'll find pages of property in the name of the bank and will never find yours even though they know you have one. There might be other advantages for the residents of states and countries that have an inheritance tax.
Mind you, for those who still don't like it, they can still by through a Mexican corporation. That'll mean some reasonable additional costs when it comes to set up and maintenance but it's generally the most economical way to own if you buy multiple properties.
If that's something you want to explore one day, I have replied to hundreds of posts in the forum regarding purchasing and investing in Mexico. Or feel free to contact me directly. It'd be an honor to help you given your own huge contributions to the BP forums.
I rarely say no to a tequila invitation. Although the location isn't the most enticing, I guess there's no need to spend the night there..... :-)
Mike did you ever run into that big land/timber scam in Baja ( central mountains of Baja) that jet up to 10k feet or so.. there is old Growth Pine.. and some guys in Mexico talked some investors from Oregon ( timber based economy here) into this deal.. it was presented to us.. It was Indian land Ahedo or how ever you pronounce it we went deep into it the timber existed but who owned it ? I hired Mason Bruce Gerard forester and they got with an attorney in Mexico city and determined there was no way we could buy and log that site.. So we passed.. Next thing I know another group in Oregon presented it and the fraudsters got them for 750k.. I maybe spent 15k to figure it out :) It would have been a pretty ambitious project build a road 30 miles down to a city on the pacific and build a log landing and a debarker etc. Some friends of mine are developing on that big beach North of Cabo on the pacific side on the way to Hotel California Also I like La Paz thats pretty chill.
Jay I've never paid attention to these agricultural investments as it's never interested me. Mind you, we have our own version of these scams here in Canada but they're most often mining related and much bigger in scope.
As to your friends, I assume you're talking about Cerritos. I hope they know what they're doing. While buying existing property or pre-construction is a pretty safe bet (assuming the developer is honest and properly financed like everywhere else of course), developing is another story. You really need to know what you're doing. Pretty much all the condo buildings there have been built illegally. That area is part of the municipality of La Paz and they have been granting construction permits even though the PDU doesn't allow that kind of construction there. There's huge pressure from the locals to stop unbridled development and the municipality has been changing its tune of late. The largest high profile project on the beach was stopped and is in legal limbo. People paid for large beachfront lots and all that they can do is build a villa. Mind you, this is positive for Mexico as it shows that you cannot just pay and do anything as you please.
As to La Paz, it's great indeed. You know, until a few years ago it was crime ridden. They completely turned it around and now its crime rate is even lower than Cabo's, which is already very low. They've redone the Malecon (beach promenade). The thing about it its that its airport is domestic only but it is about to change as Volaris has announced upcoming direct flights to and from LA.
yes Cerritos beach of what I was thinking about a prominent builder who decamped from Portland owns the hotel on the north bluff and last time i was there .. the condo project was underway my buddy has lots there but I am not interested personally .. I guess you can call Timber AG but we call it forest products.. they should make that into a park its got a HUGE one of a kind forest .
That hotel is permanently closed after they tried to sell it (for a lot of money) but no buyer. It might be because of the amount of money needed to renovate and/or the style of the building.
Post: WTF is wrong with investors these days?
- Investor
- The Americas and Europe
- Posts 1,424
- Votes 1,215
Quote from @Jay Hinrichs:
Quote from @Mike Lambert:
Quote from @Bruce Woodruff:
Quote from @Mike Lambert:
Don't take my word for anything but Mexico's real estate is on fire (and American buyers are a driving force) and so is stock market. More and more Americans visit, move to and buy property there. American corporations are investing billions into the country, its real estate, tourism and manufacturing. You have to wonder why.
Some people are scared and won't go to Mexico. I totally understand and I'm not trying to convince them that they should, especially since certain areas are getting too many tourists and the infrastructure doesn't always follow. Pretty much anyone and their mother fled to Mexico to escape strict measures during the pandemic and the overall majority of them came back unscathed, loving their experience and are returning regularly. They talk to their friends and it snowballs.
Since you seem to like the country, I hope one day you're gonna love to go there again. The issues aren't easy to solve but the rise of the middle class over the last decades, record unemployment (even lower than in the US) and massive foreign investment can't hurt so who knows! In the meantime, let me reassure you, I'm not about to plan a holiday in Juarez. Like you, I'll rather roam the streets of downtown Chicago if given the choice. :)
So I was gonna offer to buy ya a tequila in Juarez tomorrow..... :-)
Bruce, Mexico's constitution prohibits land ownership by foreigners within 31 miles from its coasts and within 62 miles from its international borders. That supposedly was to prevent a foreign invasion. Because most foreigners wanted to buy property in that so-called forbidden or registered zone (by the water) and because that prohibition made no sense whatsoever, they wanted to lift it. Amending a constitution is a complicated process so, instead of doing that, they created the fideicomiso or bank trust.
Under the fideicomiso system, when you buy a property, you choose a bank that is going to hold the title in its name. You'll have exactly the same rights and obligations as if you owned in your own name and the bank cannot do anything to or with the property whatsoever. In the unlikely event that the bank goes bust, the bank's creditors won't have access to your property. The fideicomiso is for 50 years and can be renewed indefinitely. You have to pay an initial set-up fee to the bank and an annual fee but we're talking small amounts.
Some people don't like this concept and I think that it's because it's misunderstood. When you understand how it works, you actually realize that it's better than owning in your own name for asset protection purposes. Aside for diversification and getting higher returns as the case may be, another advantage of owning property overseas is when you get sued at home, as it's going to be more difficult to your creditors to get their hands on your property. Yet, if you own in your own name in say Mexico City (outside of the zone), an overzealous lawyer could find your name in the public registry. If you own through a fideicomiso in one of the main beach towns, they'll find pages of property in the name of the bank and will never find yours even though they know you have one. There might be other advantages for the residents of states and countries that have an inheritance tax.
Mind you, for those who still don't like it, they can still by through a Mexican corporation. That'll mean some reasonable additional costs when it comes to set up and maintenance but it's generally the most economical way to own if you buy multiple properties.
If that's something you want to explore one day, I have replied to hundreds of posts in the forum regarding purchasing and investing in Mexico. Or feel free to contact me directly. It'd be an honor to help you given your own huge contributions to the BP forums.
I rarely say no to a tequila invitation. Although the location isn't the most enticing, I guess there's no need to spend the night there..... :-)
Mike did you ever run into that big land/timber scam in Baja ( central mountains of Baja) that jet up to 10k feet or so.. there is old Growth Pine.. and some guys in Mexico talked some investors from Oregon ( timber based economy here) into this deal.. it was presented to us.. It was Indian land Ahedo or how ever you pronounce it we went deep into it the timber existed but who owned it ? I hired Mason Bruce Gerard forester and they got with an attorney in Mexico city and determined there was no way we could buy and log that site.. So we passed.. Next thing I know another group in Oregon presented it and the fraudsters got them for 750k.. I maybe spent 15k to figure it out :) It would have been a pretty ambitious project build a road 30 miles down to a city on the pacific and build a log landing and a debarker etc. Some friends of mine are developing on that big beach North of Cabo on the pacific side on the way to Hotel California Also I like La Paz thats pretty chill.
Jay I've never paid attention to these agricultural investments as it's never interested me. Mind you, we have our own version of these scams here in Canada but they're most often mining related and much bigger in scope.
As to your friends, I assume you're talking about Cerritos. I hope they know what they're doing. While buying existing property or pre-construction is a pretty safe bet (assuming the developer is honest and properly financed like everywhere else of course), developing is another story. You really need to know what you're doing. Pretty much all the condo buildings there have been built illegally. That area is part of the municipality of La Paz and they have been granting construction permits even though the PDU doesn't allow that kind of construction there. There's huge pressure from the locals to stop unbridled development and the municipality has been changing its tune of late. The largest high profile project on the beach was stopped and is in legal limbo. People paid for large beachfront lots and all that they can do is build a villa. Mind you, this is positive for Mexico as it shows that you cannot just pay and do anything as you please.
As to La Paz, it's great indeed. You know, until a few years ago it was crime ridden. They completely turned it around and now its crime rate is even lower than Cabo's, which is already very low. They've redone the Malecon (beach promenade). The thing about it its that its airport is domestic only but it is about to change as Volaris has announced upcoming direct flights to and from LA.
Post: International real estate equity sharing concept
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@George Carter You're welcome. Don't forget the investment world is littered with bad products that are pushed through clever marketing (I don't know if those you mention are part of that). There could be interested people though, with or without the marketing.
Ultimately, getting credibility, a positive track record, the opportunities and execute on them might be all that's needed. I imagine you've already invested internationally if you want to do something like this, in which case you know it's different than in the US in many respects. Mind you, if it was easy, everybody would be doing it so that doesn't need to be an obstacle.
Post: WTF is wrong with investors these days?
- Investor
- The Americas and Europe
- Posts 1,424
- Votes 1,215
Quote from @Bruce Woodruff:
Quote from @Mike Lambert:
Don't take my word for anything but Mexico's real estate is on fire (and American buyers are a driving force) and so is stock market. More and more Americans visit, move to and buy property there. American corporations are investing billions into the country, its real estate, tourism and manufacturing. You have to wonder why.
Some people are scared and won't go to Mexico. I totally understand and I'm not trying to convince them that they should, especially since certain areas are getting too many tourists and the infrastructure doesn't always follow. Pretty much anyone and their mother fled to Mexico to escape strict measures during the pandemic and the overall majority of them came back unscathed, loving their experience and are returning regularly. They talk to their friends and it snowballs.
Since you seem to like the country, I hope one day you're gonna love to go there again. The issues aren't easy to solve but the rise of the middle class over the last decades, record unemployment (even lower than in the US) and massive foreign investment can't hurt so who knows! In the meantime, let me reassure you, I'm not about to plan a holiday in Juarez. Like you, I'll rather roam the streets of downtown Chicago if given the choice. :)
So I was gonna offer to buy ya a tequila in Juarez tomorrow..... :-)
Bruce, Mexico's constitution prohibits land ownership by foreigners within 31 miles from its coasts and within 62 miles from its international borders. That supposedly was to prevent a foreign invasion. Because most foreigners wanted to buy property in that so-called forbidden or registered zone (by the water) and because that prohibition made no sense whatsoever, they wanted to lift it. Amending a constitution is a complicated process so, instead of doing that, they created the fideicomiso or bank trust.
Under the fideicomiso system, when you buy a property, you choose a bank that is going to hold the title in its name. You'll have exactly the same rights and obligations as if you owned in your own name and the bank cannot do anything to or with the property whatsoever. In the unlikely event that the bank goes bust, the bank's creditors won't have access to your property. The fideicomiso is for 50 years and can be renewed indefinitely. You have to pay an initial set-up fee to the bank and an annual fee but we're talking small amounts.
Some people don't like this concept and I think that it's because it's misunderstood. When you understand how it works, you actually realize that it's better than owning in your own name for asset protection purposes. Aside for diversification and getting higher returns as the case may be, another advantage of owning property overseas is when you get sued at home, as it's going to be more difficult to your creditors to get their hands on your property. Yet, if you own in your own name in say Mexico City (outside of the zone), an overzealous lawyer could find your name in the public registry. If you own through a fideicomiso in one of the main beach towns, they'll find pages of property in the name of the bank and will never find yours even though they know you have one. There might be other advantages for the residents of states and countries that have an inheritance tax.
Mind you, for those who still don't like it, they can still by through a Mexican corporation. That'll mean some reasonable additional costs when it comes to set up and maintenance but it's generally the most economical way to own if you buy multiple properties.
If that's something you want to explore one day, I have replied to hundreds of posts in the forum regarding purchasing and investing in Mexico. Or feel free to contact me directly. It'd be an honor to help you given your own huge contributions to the BP forums.
I rarely say no to a tequila invitation. Although the location isn't the most enticing, I guess there's no need to spend the night there..... :-)
Post: WTF is wrong with investors these days?
- Investor
- The Americas and Europe
- Posts 1,424
- Votes 1,215
Quote from @Bruce Woodruff:
Quote from @Mike Lambert:
There is zero way you can compare US and Mexico man, c'mon.....the cartels run the country. Not even inner city Chicago compares to Juarez......don't try and sugar coat it. It is still a beautiful country, I used to love going there.....
Jay was right.....
Man I don't think we're all disagreeing about much here and this isn't about anybody being right or wrong. Also, I'm not trying to sugarcoat anything. Without going into the "the cartels run the country" kind of discussion, I'm the first to acknowledge that, sadly, Mexico does have a serious problem with violence. However, as I mentioned it's regional and most people are unaffected. As I mentioned, these are the same disparities as in the US but, as you mentioned and as everybody knows, the level of violence in the US is much less indeed.
Don't take my word for anything but Mexico's real estate is on fire (and American buyers are a driving force) and so is stock market. More and more Americans visit, move to and buy property there. American corporations are investing billions into the country, its real estate, tourism and manufacturing. You have to wonder why.
Some people are scared and won't go to Mexico. I totally understand and I'm not trying to convince them that they should, especially since certain areas are getting too many tourists and the infrastructure doesn't always follow. Pretty much anyone and their mother fled to Mexico to escape strict measures during the pandemic and the overall majority of them came back unscathed, loving their experience and are returning regularly. They talk to their friends and it snowballs.
Since you seem to like the country, I hope one day you're gonna love to go there again. The issues aren't easy to solve but the rise of the middle class over the last decades, record unemployment (even lower than in the US) and massive foreign investment can't hurt so who knows! In the meantime, let me reassure you, I'm not about to plan a holiday in Juarez. Like you, I'll rather roam the streets of downtown Chicago if given the choice. :)
Post: WTF is wrong with investors these days?
- Investor
- The Americas and Europe
- Posts 1,424
- Votes 1,215
Quote from @Jay Hinrichs:
Quote from @Mike Lambert:
Quote from @Jay Hinrichs:
Quote from @Nate Marshall:
Quote from @Engelo Rumora:
Quote from @Nate Marshall:
Quote from @Engelo Rumora:
Quote from @Melanie P.:
This post illustrates why if you buy a turnkey property you probably should find your own tenant and do the property management yourself or hire a manager you trust.
Turnkey providers are about the flipping. The PM services are a bolt on but the flipping culture is not a good fit to the culture of a successful property manager.
To answer the question - I would tell them that getting people started is what we specialize in. We only market properties are a thoroughly familiar with as a result of carrying them from acquisition to rent ready. And if you're operating a property management company you should at least check the address and see if it fits in your model.
There are many different twists on "Turnkey".
IMO, the "truest" turnkey providers are the one's that have property management in-house.
Not because they necessarily want to be in the PM business.
But because they have to be in the PM business.
That's how we started.
Thanks and happy weekend
I have yet to see a Turnkey company that wasn't scambaggery. Clayton Morris, Greg Hughes for example.
"Fire engine wrecks are the new train wrecks"
They weren't true turnkey mate but rather "sales channels" pushing other turnkey companies products.
They are still scum!
But very smart Scum decamp to Portugal while the golden visa was still in play ( I am guessing) know they cant get sued there and just continue to do their thing on U tube and still market properties in the US making fee's illegally just like they did before.. I was just in Portugal and its not like they had to run to Mexico or Belize. Thats a very nice beautiful country that many Americans are now living in.. Criminal intent Criminal mind.
Jay, absolutely. Portugal is a great country and its real estate market has been on steroids over the last few years. So much so that there's a bit of froth now and I therefore prefer neighboring Spain, which is a beautiful country as well.
As to Mexico, I don't know if you've been it's a very nice beautiful country too. As we all know, certain areas have issues with violence but so does the US too.
You're one of the greatest contributors to the BP community and many of us, including myself, love you and the content you share and this isn't going to change to that as far as I'm concerned. But you have a lot of followers and, like it or not, your choice of words matter. Hope you take that as a compliment because that's what it's meant to be but I can imagine that Mexican readers could be a bit offended.
As to your comments regarding that fleeing to Portugal situation, they're spot on, as usual.
Ok did not mean to diss Mexico I have been many many times . Being from SF Bay Area Cabo was a frequent trip etc.. However there is a stark different in Portugal and Mexico and I will leave it at that.. I was just in Belize and while it was OK its a 3 rd world very poor country and when you get my age medical care is important .. I just feel safer in a country that does not require armed guards at the resorts.. ( talking Acapulco) and Dominican. Belize I was with locals so felt safe there .
Jay, you are right and we don't want to compare apples and pears as in Portugal is a developed country and Mexico is a developing country.
Portugal is one of the safest countries in the world. You can pretty much go anywhere and nothing will happen to you. In Mexico, it depends where you go. Cabo has a lower murder rate than even Canada, which is already, much lower than that of the US. Even Cancun has a lower murder rate than New York and LA. Acapulco is another story. I wouldn't go there myself.
There are approximately 2 million Us and Canadian expats who live in Mexico, including many retirees. If you add the snowbirds and other remote workers, the number gets much bigger. That in and of itself gives you some indication but, if you ask these people if they feel safe living in Mexico, their typical answer will be something like this:
"In Mexico, we don't get involved with drugs and I don't go to areas I shouldn't be going to, rules that would apply to the US/Canada as well if you want to stay safe. However, the difference with living in the US is that, in Mexico, if we go to the grocery shop or our kids go to school, we don't run the risk of getting randomly shot at." As strange as it might sound to you, many Americans feel safer in Mexico than in the US. This sometimes makes you wonder where security guards and other body guards are most needed.
Post: WTF is wrong with investors these days?
- Investor
- The Americas and Europe
- Posts 1,424
- Votes 1,215
Quote from @Jay Hinrichs:
Quote from @Nate Marshall:
Quote from @Engelo Rumora:
Quote from @Nate Marshall:
Quote from @Engelo Rumora:
Quote from @Melanie P.:
This post illustrates why if you buy a turnkey property you probably should find your own tenant and do the property management yourself or hire a manager you trust.
Turnkey providers are about the flipping. The PM services are a bolt on but the flipping culture is not a good fit to the culture of a successful property manager.
To answer the question - I would tell them that getting people started is what we specialize in. We only market properties are a thoroughly familiar with as a result of carrying them from acquisition to rent ready. And if you're operating a property management company you should at least check the address and see if it fits in your model.
There are many different twists on "Turnkey".
IMO, the "truest" turnkey providers are the one's that have property management in-house.
Not because they necessarily want to be in the PM business.
But because they have to be in the PM business.
That's how we started.
Thanks and happy weekend
I have yet to see a Turnkey company that wasn't scambaggery. Clayton Morris, Greg Hughes for example.
"Fire engine wrecks are the new train wrecks"
They weren't true turnkey mate but rather "sales channels" pushing other turnkey companies products.
They are still scum!
But very smart Scum decamp to Portugal while the golden visa was still in play ( I am guessing) know they cant get sued there and just continue to do their thing on U tube and still market properties in the US making fee's illegally just like they did before.. I was just in Portugal and its not like they had to run to Mexico or Belize. Thats a very nice beautiful country that many Americans are now living in.. Criminal intent Criminal mind.
Jay, absolutely. Portugal is a great country and its real estate market has been on steroids over the last few years. So much so that there's a bit of froth now and I therefore prefer neighboring Spain, which is a beautiful country as well.
As to Mexico, I don't know if you've been it's a very nice beautiful country too. As we all know, certain areas have issues with violence but so does the US too.
You're one of the greatest contributors to the BP community and many of us, including myself, love you and the content you share and this isn't going to change to that as far as I'm concerned. But you have a lot of followers and, like it or not, your choice of words matter. Hope you take that as a compliment because that's what it's meant to be but I can imagine that Mexican readers could be a bit offended.
As to your comments regarding that fleeing to Portugal situation, they're spot on, as usual.
Post: International real estate equity sharing concept
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The world always needs more people with an innovating mind as yours and the great thing about people like you is that they know that most of the concepts they think about won't work but they keep searching until they find the right one. I think that this is one to pass for the following reasons on top of those already mentioned:
1. You're trying to mix lifestyle and investments, which are two different animals that don't necessarily go along with each other. It makes much more financial sense for investors to invest where they make the highest return and then pay for a stay in the short-term rentals of their choice when they want to travel. That's even better from a lifestyle point of view because you can go to different properties every time, have a much bigger choice of properties and stay in properties that are much more luxurious than those you would be a co-owner in rather than be limited to the ones you own.
Mind you, many people buy lifestyle properties overseas but that is because they want to stay regularly in their own house the decoration of which fits their taste and they feel at home, can leave their stuff there,... You won't have that benefit of ownership if you share ownership with others.
2. If I want to invest my money overseas with people in countries A, B, C and D, I'll want to invest in A, I'll give my money the best qualified person who knows the ins and outs of that market. Same with B, C and D. I won't give my money to somebody to invest in A, B, C and D who's a jack of all trades and master of none (this is obviously no personal judgement of you). Investing internationally is a huge opportunity, especially now that the US model based on cheap debt is kinda broken, but investors need to know what they're doing or they need to work with people who know what they're doing. And investing in country A can be very different than investing in country B.
To conclude, even though international investing is my passion and I've been doing it for years, I think such a concept is very unappealing. It sounds a bit nice and glamorous at first but, when you start to dig a bit deeper, it makes no sense to me. The only thing you'd get out of it is earn some bragging rights so that you can say you own property in A, B, C and D. I don't know about you but I rather make money than brag. This, notwithstanding all the other issues that have been mentioned.
Being innovative and a trailblazer is great but it has to make sense, because trying to reinvent the wheel is often the thing not to do. This isn't rocket science and could have been done many years ago. If it was a workable concept, wouldn't it have been done already?
Post: New to Investing. Looking for guidance
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I've been involuntarily following this thread as I replied to James Carlson's comments about Mexico so I'm adding my two cents to the conversation when it comes to other areas.
Rental real estate investing in the US normally seems to be a long-term proposition, especially if you take the risk of a 30-year mortgage. Basic your business model on short-term rental income is risky in that, over the 30 years, regulations can and do change (not to mention oversaturation resulting from the high interest rates pushing investors to rent short-term to try to get any sort of cash flow).
We have the same situation in Canada (less the 30-year mortgages) and that's one of the main reasons, aside from profitability, why I invest overseas like in places like Mexico where there is unlikely to be regulations anytime soon, neither at the governmental nor at the HOA level.
Post: What is the best area to invest in Mexico?
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Getting ahead of the Mexican government infrastructure investments in the past has been a passport to the riches. It starts with with infrastructure and then they bring hotels and flights. They've become the masters at doing that. However, this isn't what it's going on there.
The Mexican government has earmarked the area for low-density luxury eco-tourism so it won't be the next Riviera Maya. The airport is actually privately built by the people building the resort, hence the speed of construction. This is because they know that the Mexican government won't built an airport there given the lack of demand for economic flights and, most importantly, the lack of significant economical impact of the area. So, I'm not sure what you can do there aside from trying to compete with the likes of the Four Season's.
The success of a real estate investment Mexican model hugely rests on mass tourism and that's the basic ingredient that's going to lack there. The Oaxaca coast is different because it's had had economical flights for years, including international flights from Canada (only) so it looks like a better candidate for one of the next places to invest. Yet, it's been developed for years but there's still no direct flights from the US to get to the popular town of Puerto Escondido. You'd thought that it would be a better investment than the most established beach areas of Mexico as it is behind on the path of progress trajectory but, in reality, it has been no match to the three powerhouses of Mexican beach tourism: the Riviera Maya, Baja California Sur and the Puerto Vallarta - Riviera Nayarit areas, which likely will remain the best places to invest for most, although some areas of the Riviera Maya are facing overbuilding and other issues. After those many years, the Oaxaca Coast has been no match while being in a better position than Costalegre to become one. Therefore wouldn't bet the farm on Costalegre. It simply doesn't have and won't have the same ingredients for success.