Buenos Aires Real Estate

The construction boom is over and credit never came; however, developers are still moving forward though at a slower pace.  The new developments are offering less square meters and their target market is investors.  Most projects are less spectacular and don’t surpass USD 10 million.  Demand remains active with 25 percent of inquiries being for one bedroom units, 15 percent for studio apartments, and the third most requested property type being two bedroom units.

Here is an overview by zone of projects planned in Buenos Aires for 2010:

South

Hudson Park is one of the few projects with a cost exceeding USD 20 million.  It is an urban development located on 68 hectares south of the greater Buenos Aires area.  It will consist of a commercial center, offices, condominiums, a condo-hotel and a convention center.  The developer Real Estate Investment Fiduciaria is selling the square meter between USD 100 to USD 140.  This same developer is also launching a gated community in front of an industrial park in Pilar (north area).

North

Nordelta will continue to expand its current development in Tigre in 2010 with at least a half dozen new projects.  Its last three projects were sold in record time; in one week they sold 95 percent of Infinity Residences and Lago Escondido.

Vitrium Capital will be a professional services center spanning 11,000 m2 costing USD 10 million.

Vizora Desarrollos Inmobiliarios will be announcing the launch of a mixed residential project with condominiums to be built on nine hectares in Tigre, adjacent to the Puerto de Frutos where they already inaugurated the Mercados del Delta.

Capital Federal

Parque Patricios: This neighborhood generated a lot of talk but few developers have actually taken on projects in the area despite the city government designating it as the technological district.  The area is close to the downtown center, has good transportation and is the second greenest area in the city.

Vizora is one of the few developers investing in the area.  They are planning a USD 6 million project to turn 15,000 m2 of a former paper mill into office and storage space.  They are negotiating with possible renters in order to customize their construction.

La Imprenta is a 6,000 m2 project being constructed by Debaires.  One third will be office space and the rest will be residential units.  The 40 to 60 m2 units are selling for USD 1,300 m2.  One room units start at USD 42,000 and it is estimated that once finished their value will have increased by 20 to 30 percent. Debaires is also planning a second development in the area with similar characteristics.

Palermo and Belgrano:  These neighborhoods are sought after not only for residential property but also for office space since people want to work close to where they live.
Small and flexible units authorized for both residential and professional uses are easy to sell to investors who utilize them as rental property instead of reselling them.

The developer, Brody Friedman, will invest U$S 8 million in two projects in Palermo.  One will be a 10 story apartment building with one room and one bedroom units selling between USD 2,000 to USD 2,500 m2.

Tecnourbana is a developer that also designs projects with small units.  This year they will invest USD 7 million in construction projects in Palermo.  Their apartments are small and do not exceed 45 m2.

The architectural firm ATV invested more than USD 8 million in Palermo.   They are constructing a nine story office building and also plan a residential project.  Office space in the area rents for around USD 48 per m2.  Ciudad de la Paz Office Center is a 16 story office building in Belgrano where the square meter is selling for U$S 2,200.  Looking for more info? check the latest news in this Buenos Aires real estate guide.

Puerto Madero:

Fernández Prieto and Creaurban are investing U$S 100 million in Torres del Yacht and U$S 30 million in Palacio Raggio a complex which will include a hotel, commercial property, offices and lofts.

Raghsa will inaugurate Madero Office, a corporate project that has already sold 50 percent of its space.  The average rental will be USD 32 a m2.

Forum Puerto Madero, with invests of U$S 145 million, will be sold by First South American Investments (FSA).

Milagros Brito will be constructing Madero Walk, an event hall over a mirror of water, at a cost of USD 3 million.