NEWSLETTER

Nicaragua Real Estate and Foreign Investment with the Sandinista Government

Dear All,

This newsletter is an overview of what is happening in Nicaragua since Daniel Ortega was elected president earlier this week. Most importantly, we want to report that Mr. Ortega and his staff have been extremely proactive in addressing the business and investment community to ensure that Nicaragua’s economy continues growing during the change of administrations.  

As business and property owners in Nicaragua, we have the same questions and share the same concerns as other foreign investors.  Our team consists of members from Nicaragua, Canada, Belgium, Germany, and the United States. We all feel that Mr. Ortega is taking the right steps to maintain the confidence of both foreign and national investors.

Wednesday, November 8

Mr. Ortega hosted a meeting at the Crowne Plaza Hotel in Managua to address foreign investors. The attendance was close to 300 representatives from multi-national companies and industries including real estate development and tourism.  Mr. Ortega’s key points were:

• Free enterprise is the only means for Nicaragua to progress.
• His government’s goal is to reduce poverty by embracing free enterprise.
• He understands the fear surrounding land ownership in Nicaragua, and he is going to solve, for once and for all, any outstanding conflicts in this matter.
• He is aware that the impoverished people of Nicaragua need a place to live, but he will not tolerate the invasion of land, whether small, medium, or large.
• His government will take responsibility for solving the problem of housing for impoverished people.
• He supports CAFTA, which was ratified by the national assembly earlier this year, and fully supported by the Sandinista party.

Mr. Ortega ended the meeting by stating “Nicaragua is, and will remain to be, an open door for foreign investment”.

Our client and friend Tim Kelly attended the meeting with us and was interviewed afterwards by La Prensa and a local television station. Tim stated that “without a doubt, what we heard Mr. Ortega say today gives us some security and confidence”. Tim plans to move forward with the launch of his town home project “Las Brisas de Palermo” in San Juan del Sur before the end of this year.

Thursday, November 9

The Sandinista mayor of San Juan del Sur, Eduardo Holmann, hosted a meeting at the Pelican Eyes resort with some of the town’s key real estate agencies, developers, and tourism business owners. The meeting was called to help ensure that real estate development and tourism in San Juan del Sur do not slow down during the change of administrations. Mr. Holmann is a long time member of the Sandinista party, has close ties to President elect Ortega, and is dedicated to the growth and development of San Juan del Sur.  Mayor Holmann’s key points were:

• San Juan del Sur relies almost completely on real estate development and tourism.
• The Sandinista government understands that tourism and related real estate development are two key factors in the economic and social growth of Nicaragua.
• The people of Nicaragua and San Juan del Sur welcome all foreigners and foreign investment with open arms.
• He looks forward to continued success and a bright future for his beautiful country.

You can read the letter to investors from Mayor Holmann here

Throughout the week

• The ALN (runner up party led by Eduardo Montealegre) has given Mr. Ortega the benefit of the doubt and has agreed to support his party to help Nicaragua continue progressing.
• The PLC (the second runner up party led by Jose Rizo) has given Mr. Ortega the benefit of the doubt and has agreed to support his party to help Nicaragua continue progressing.
• The MRS (third runner up party led by Edmundo Jarquin) has given Mr. Ortega the benefit of the doubt and has agreed to support his party to help Nicaragua continue progressing.
• As of Friday, the National Assembly votes have been well distributed, creating a well balanced congress.

We will be sending you key updates as more details become available.  Take care and be on the look out for our next newsletter to follow soon.

Saludos,

H. Henkel Smith III

President

Water’s Edge International Realty

www.realtornicaragua.com

info@realtornicaragua.com