Placencia Peninsula is the latest location for Belize’s newest luxury resort!

The Placencia Peninsula - an 11 mile strip of land sandwiched between the Caribbean Sea and the Placencia Lagoon in Belize, has beautiful white sandy beaches and - because of its distance from the reef - it also has “real” surf. The water is clean and clear; the trade winds gentle and cooling.

Remember that Belize has a stirring and lively history beginning in 200 BC with the ancient Mayans. In the 17th century Spain settled the country. It then survived war, piracy and slavery until being declared a British colony - British Honduras - in 1871. It gained self-government in 1964, chose the name Belize in 1973 and became an independent member of the British Commonwealth in 1981.

 The beaches along the Placencia Peninsula are dotted with small resorts that can easily arrange dive and snorkel trips to the reef, which is about 17 miles away. They can also arrange day trips to many small, idyllic cayes, such as Laughing Bird Caye, a mini-atoll that offers protected snorkeling and swimming, a white sand beach and many cooling palm trees (it even has hammocks!) Laughing Bird Caye is also a favorite camping site for reek kayakers who base their expeditions in Placencia. A hotel can also arrange deep sea or reef fishing trips, or day sailing on a 57-foot catamaran.

 Placencia along with Ambergris Caye are now two of the country’s main tourist destinations, and they are also well visited by Belizeans from across the country on local holidays. You can get a delicious plate heaped with stewed chicken, rice and beans for about US$4. There are also several small gift shops, a post office and some night life. Nearby Mango Creek/Independence Village also has a disco and weekend activities.

 Another new resort is planned for Belize - The Palmetto Bay Resort at Maya Beach being developed by Dave Bowman and his exceptional team.  It is located on Placencia Peninsula it will offer beachfront real estate and four star amenities and will be the first development in the Caribbean designed ‘green’ from inception to completion.

The first phase of the gated resort, which is currently under construction, will be comprised of 36 whole-ownership, luxury beachfront condominiums ranging from approximately 1,100 to 4,500 square feet, each with open views of the Caribbean. ( In a perfect world, I will be talking with Dave about offering some of their units as fractionals.) Prices will start in the low $300,000s. The turnkey one- two- and three-bedroom residences are spread through two low-rise buildings. Designer Julieanne Dobson who also worked on Francis Ford Coppola’s Turtle Inn in Belize.  He is creating the interiors using warm woods and natural stone, vibrant contemporary textiles, and niche lit Mayan and African inspired art.

Ownership at Palmetto Bay Resort will include access to fitness facilities, conference rooms with wireless internet; 24-hour reception and security; fully equipped luxury kitchens with gourmet utensils and stainless steel appliances; balcony barbecues; and lush, mature landscaping with use of indigenous fruit trees and plants. The property will feature a 300-foot oceanfront infinity pool, a 400′ private beach, beach boardwalk, and private dock.

We have been telling you about Belize and the many awesome opportunities for second and third home ownership for months!  It is now time to act.  Let me know if you are ready!

“After a truly good meal, an outstanding cigar is still the most satisfying after-dinner activity that doesn’t involve two or more human beings.” Brad Shaw

“I have made it a rule never to smoke more than one cigar at a time.” Mark Twain

“I am at the age now where just putting my cigar in its holder is a thrill.” George Burns

I, Jim Walberg, love a good cigar from time to time! And, I realize that some of you are not fans of this hazardous habit. However, I have moderated my consumption over the past few years, even though I still have over 400 cigars in my humidor. But, when I am in the Caribbean, either sailing on a Lagoon 57 in the BVI, or drinking a fine glass of Bodegas Aguirre Petite Syrah, I am always tempted to clip one of them and enjoy the moment. I have even been known to have one at sunset at romantic Soggy Dollar Bar with Mick the bartender. Even though Cuba has the reputation as the producer of the world’s finest cigars, I am a BIG fan of what the Dominican Republic produces in ultra-premium cigars. For those of you who are unfamiliar with some of history of cigars here is a brief history.

The history of the cigar goes back about two thousand years. The origins of the world ‘cigar’ and the cigar itself are lost in time. Some scholars say the word cigar originated from sikar, the Mayan word for smoking. After Columbus’s discovery of the West Indies and other explorers visiting the American continent, numerous accounts were written of these New World people who smoked tobacco and also used it for chew and as snuff for medicinal properties in their ceremonies.

Although the first tobacco plantations were set up in Virginia in 1612, and Maryland in 1631, tobacco was smoked only in pipes in the American colonies. The cigar itself is thought not to have arrived until after 1762, when Israel Putnam, an American general in the Revolutionary War, returned from Cuba, where he had been an officer in the British army. He came back to his home in Connecticut with a selection of Havana cigars, and large amounts of Cuban tobacco. Before long, cigar factories were set up in the Hartford area. By the mid 1800’s the cigar had had become well accepted and in 1870 it was recorded that over half of the tobacco smoked in our towns was in the form of cigars.

Cuba has led the way in the cigar industry. Early in the 16th century, Cuban peasants became tobacco growers. Later, the cigar became the country’s national symbol and the Havana cigar became recognized as the world’s finest.

The take-over by Fidel Castro and the subsequent U.S. embargo were the start of events that began to challenge Havana’s supremacy in the world of cigars. Many Cuban cigar-makers took their skills and seeds to the Caribbean, Dominican Republic, Honduras and Mexico and began producing high-quality premium and super-premium cigars for the American public. The Dominican Republic alone produces almost half of the hand-made cigars sold in the U.S.

A few of my favorite cigars in all the world are made in the Dominican Republic; Arturo Fuente’s Hemingway series was the first limited edition extension the Fuentes ultra-premium cigars honoring the world reknown author - Ernest Hemingway; Drew Estate “Acid” are all hand-crafted with many different tobaccos and over 140 botanicals, herbs, and essential oils to impart a unique flavor; The Gurkha Legend has been the choice cigar among the most elite - from business executives to Royalty; Cohiba “Red Dot” is the Dominican version of it’s Cuban cousin. I smoke the Robusto and it is an incredibly smooth and rich cigar.

( Again, this is not a past time for most people, but for those that enjoy a cigar from time to time, my hope is that you have enjoyed my brief editorial on one of my enjoyable habits.)

A white Caribbean Realtor / Community activist, and a white graduating college senior continue to blur the color lines of our world.

History was made last week as Jim Walberg - a Caribbean Realtor was inducted into the Diablo Black Men’s Group, and Joshua Packwood - a U-Tube Link, was chosen as the Valedictorian of Morehouse College - the all-black men’s college outside of Atlanta, Georgia.  Both of these men are white and both realize that color lines are drawn by everyone, and they hoped that it would not prevent them from making a difference in worlds in which they live and serve.  Both of these men live by the value statement that Martin Luther King, Jr. gave us years ago,   “We are prone to judge success by the index of our salary or the size of our automobile,  rather than by the quality of our service to others and our relationship to humanity.”  

The Diablo Black Men’s Group

The Diablo Black Men’s Group began in the mid 1990’s as an outlet for Diablo Valley African American men. By 1999, the group had evolved into an organization of men who wanted to see their collective influence to enhance the lives of their members and families as well as make significant contributions to the community in which they live. They encourage each member to appreciate liberty and all that it encompasses, including embracing community involvement.

DBMG is committed to support activities with the goal of improving the health and welfare of their citizenry. In addition, DBMG is actively involved in promoting the education of the impact on heart disease, prostate cancer awareness, and health screening of African American men in collaboration with the Alta Bates Summit Ethnic Health Institute, Kaiser Permanente Hospitals, and the American Cancer Society with support from the ChevronTexaco Corporation. Additionally, DBMG helps socially and economically challenged Bay Area youth pursue cultural and educational opportunities through their college scholarship programs.

Moorehouse College 2008 Valedictorian

Founded over 144 years ago in Atlanta, Georgia, Morehouse College has focused on the mission to develop men with disciplined minds who will lead lives of leadership and service. A private historically black liberal arts college for men, Morehouse realizes this mission by emphasizing the intellectual and character development of its students. In addition, the College assumes special responsibility for teaching the history and culture of black people.  Founded in 1867 and located in Atlanta, Georgia, Morehouse is an academic community dedicated to teaching, scholarship, and service, and the continuing search for truth as a liberating force.

Editors Note: Some of the Morehouse College graduates who have made a significant difference in our lives and the world:  Martin Luther King Jr. led the country through one of its most transforming civic movements; David Satcher resuscitated the issues of health care disparity and access; Maynard Jackson taught the world the value of diversity and equal access as the first African American mayor of Atlanta; Donn Clenendon scored in the history annals and was part of a miracle when he was named a World Series MVP; and Shelton “Spike” Lee continues to challenge how the world views blacks in life with critically acclaimed films.  These are just some of the Morehouse Men.

In 2004 Joshua Packwood became one of the “Morehouse Men”.   The 22-year-old from Kansas City, Mo., graduated on May 18^th with a perfect 4.0 GPA and a degree in economics.  He could have gone elsewhere, to a school like Columbia, Stanford or Yale, but his four-year journey through Morehouse has taught him a few things that they could not have learned at any other university, and he makes it clear that he has no regrets.  The Morehouse College professors chose the Valedictorian, and he was their candidate of choice because of his academic accomplishments and his contribution to the college.  He graduated as a Rhodes Scholar finalist, and will be joining Goldman Sachs in New York City. “I’ve been forced to see the world in a different perspective, that I don’t think I could’ve gotten anywhere else,” he said. “None of the ‘Ivies’, no matter how large their enrollment is, no matter how many Nobel laureates they have on their faculty … none of them could’ve provided me with the perspective I have now.”  

It is important for all of us to make a positive difference in worlds we live in everyday.  Now it is your turn.  Let us know what you are doing with the legacy you are leaving behind…

In spite of the real estate challenges in the U.S. markets, the world is still flocking to the Caribbean for values and lifestyle!

It has been amazing to participate in such an exciting real estate market as is happening in the Caribbean Islands!  The stars are aligned regarding the world currency markets plus the experience that people who want a tropical life style are able to find from the Dominican Republic, to the British Virgin Islands, to Aruba, to Belize!  Because of the strength of the Euro, Pound, and the Canadian dollar, Caribbean real estate is looked upon as a real bargain.  And, it is one of the safest places for people to have a second, third or fourth home given the chaos that is in much of the world at this time.  In addition there are direct flights from Chicago eastward, Canada, England and Europe.  These factors are creating a “perfect storm” for real estate purchases.  And…the sellers are loving it, too!  Here is an article I pulled from Internatinal Living written by Don Ediger a month or so ago.  It will tell the “story” of what we are experiencing even better.  His focus is Belize.  Enjoy, and contact me if you want more inforamtion about the exciting Caribbean real estate markets.

By Don Ediger - International Living 

Real Estate prices in Belize are rising, thanks to a surge in demand from Canadians and Europeans, especially the Irish. The phenomenon is apparent all around the country. In Corozal you’re likely to see real estate agents showing property to European clients, and in San Pedro on Ambergris Caye, new Irish residents regularly meet at a local restaurant where they would have been a rare sight only a year ago.

It’s mostly a result of the soaring value of the euro and the Canadian dollar. The euro is currently worth about $1.54, and the Canadian dollar-for many years worth much less than the American dollar-is now trading at just about an even rate. The Belizean currency is tied to the U.S. dollar so that two Belizean dollars are worth one greenback.

A few Canadians and Europeans have always shopped for property here, but their interest and presence in Belize has increased dramatically this past year. It’s easy to see why: the tropical climate and lifestyle in a stable country where English is the official language is attractive. Moreover, Belizean real estate prices are lower than prices in many other English-speaking parts of the Caribbean, such as the Bahamas.

The bargains aren’t hard to find if you know where to look. Some of the best values are in the Corozal area of northern Belize, which is near Mexico and the beautiful Corozal Bay. A three-bedroom house with a view of the water was recently listed at $125,000.

The Cayo District, in the rainforest to the west, is another haunt of bargain-hunters. A new three-bedroom house there was recently for sale for $75,000.

That’s a big contrast from the $150,000 to $350,000 that you could expect to pay for a condo in San Pedro on Ambergris Caye, the elegant island off Belize’s northern coast, or in Placencia, the seaside resort to the south. (South Beach Belize is the exception, where pre-construction Condos start at $139,900 and Private Villas - INCLUDING LOT, at $199,900!) 

Plus, foreign buyers now pay less “stamp tax.” Until recently, Belizeans paid 5% of the price of a property purchase in stamp tax…but most foreigners had to fork over 15% (on all but the first $10,000). Today, the stamp tax is 5% for foreigners and Belizeans alike.

This is the right time to look for real estate in Belize. If you wait, the demand from foreign buyers may continue to push prices up.  Your Caribbean lifestyle reporter remains on duty!  Until next time…Fair Winds!   Comments are always welcome!

This is one of the best articles I have read regarding why the doom and gloom of the U.S. housing market has come to an end - Wall Street Journal.  This will only assist with more real estate sales in the Caribbean in the upcoming months!

By CYRIL MOULLE-BERTEAUX - 
May 6, 2008; Page A23

The dire headlines coming fast and furious in the financial and popular press suggest that the housing crisis is intensifying. Yet it is very likely that April 2008 will mark the bottom of the U.S. housing market. Yes, the housing market is bottoming right now.

How can this be? For starters, a bottom does not mean that prices are about to return to the heady days of 2005. That probably won’t happen for another 15 years. It just means that the trend is no longer getting worse, which is the critical factor.

Most people forget that the current housing bust is nearly three years old. Home sales peaked in July 2005. New home sales are down a staggering 63% from peak levels of 1.4 million. Housing starts have fallen more than 50% and, adjusted for population growth, are back to the trough levels of 1982.

Furthermore, residential construction is close to 15-year lows at 3.8% of GDP; by the fourth quarter of this year, it will probably hit the lowest level ever. So what’s going to stop the housing decline? Very simply, the same thing that caused the bust: affordability.

The boom made housing unaffordable for many American families, especially first-time home buyers. During the 1990s and early 2000s, it took 19% of average monthly income to service a conforming mortgage on the average home purchased. By 2005 and 2006, it was absorbing 25% of monthly income. For first time buyers, it went from 29% of income to 37%. That just proved to be too much.

Prices got so high that people who intended to actually live in the houses they purchased (as opposed to speculators) stopped buying. This caused the bubble to burst.

Since then, house prices have fallen 10%-15%, while incomes have kept growing (albeit more slowly recently) and mortgage rates have come down 70 basis points from their highs. As a result, it now takes 19% of monthly income for the average home buyer, and 31% of monthly income for the first-time home buyer, to purchase a house. In other words, homes on average are back to being as affordable as during the best of times in the 1990s. Numerous households that had been priced out of the market can now afford to get in.

The next question is: Even if home sales pick up, how can home prices stop falling with so many houses vacant and unsold? The flip but true answer: because they always do.

In the past five major housing market corrections (and there were some big ones, such as in the early 1980s when home sales also fell by 50%-60% and prices fell 12%-15% in real terms), every time home sales bottomed, the pace of house-price declines halved within one or two months.

The explanation is that by the time home sales stop declining, inventories of unsold homes have usually already started falling in absolute terms and begin to peak out in “months of supply” terms. That’s the case right now: New home inventories peaked at 598,000 homes in July 2006, and stand at 482,000 homes as of the end of March. This inventory is equivalent to 11 months of supply, a 25-year high - but it is similar to 1974, 1982 and 1991 levels, which saw a subsequent slowing in home-price declines within the next six months.

Inventories are declining because construction activity has been falling for such a long time that home completions are now just about undershooting new home sales. In a few months, completions of new homes for sale could be undershooting new home sales by 50,000-100,000 annually.

Inventories will drop even faster to 400,000 - or seven months of supply - by the end of 2008. This shift in inventories will have a significant impact on prices, although house prices won’t stop falling entirely until inventories reach five months of supply sometime in 2009. A five-month supply has historically signaled tightness in the housing market.

Many pundits claim that house prices need to fall another 30% to bring them back in line with where they’ve been historically. This is usually based on an analysis of house prices adjusted for inflation: Real house prices are 30% above their 40-year, inflation-adjusted average, so they must fall 30%. This simplistic analysis is appealing on the surface, but is flawed for a variety of reasons.

Most importantly, it neglects the fact that a great majority of Americans buy their houses with mortgages. And if one buys a house with a mortgage, the most important factor in deciding what to pay for the house is how much of one’s income is required to be able to make the mortgage payments on the house. Today the rate on a 30-year, fixed-rate mortgage is 5.7%. Back in 1981, the rate hit 18.5%. Comparing today’s house prices to the 1970s or 1980s, when mortgage rates were stratospheric, is misguided and misleading.

This is all good news for the broader economy. The housing bust has been subtracting a full percentage point from GDP for almost two years now, which is very large for a sector that represents less than 5% of economic activity.

When the rate of house-price declines halves, there will be a wholesale shift in markets’ perceptions. All of a sudden, the expected value of the collateral (i.e. houses) for much of the lending that went on for the past decade will change. Right now, when valuing the collateral, market participants including banks are extrapolating the current pace of house price declines for another two to three years; this has a significant impact on the amount of delinquencies, foreclosures and credit losses that lenders are expected to face.

More home sales and smaller price declines means fewer homeowners will be underwater on their mortgages. They will thus have less incentive to walk away and opt for foreclosure.

A milder house-price decline scenario could lead to increases in the market value of a lot of the securitized mortgages that have been responsible for $300 billion of write-downs in the past year. Even if write-backs do not occur, stabilizing collateral values will have a huge impact on the markets’ perception of risk related to housing, the financial system, and the economy.

We are of course experiencing a serious housing bust, with serious economic consequences that are still unfolding. The odds are that the reverberations will lead to sub-trend growth for a couple of years. Nonetheless, housing led us into this credit crisis and this recession. It is likely to lead us out. And that process is underway, right now.  I welcome your comments about the article and how you believe it will impact Caribbean real estate sales!  Until next time…Fair Winds!

Viva Resorts has just launched three locations in the DR and more to come!

Last month Viva Resorts announced the launch of Viva Residences, a fractional deeded ownership aimed at the worldwide “baby boomer” tourism market starting in the Dominican Republic - Play Dorada, Puerto Plata, and Las Terrenas at the Samana peninsula.  You recall some of my past postings regarding viewing the Dominican Republic as one of the best values in the Caribbean for fractional and full ownership vacation resort living.

The launch of this venture was highlighted in DominicanToday, and Viva Resorts will also include Mexico, Bahamas and Brazil, besides the Caribbean.  Their architect, Antonio Imbert has designed Viva Residences in Las Terrenas, with about 70 villas and apartments in front of the sea, clubhouse, gym area. The construction is scheduled to begin this month - May.At Santo Domingo’s Hotel Embajador, Viva Wyndham Resorts president Ettore Colussi said the offer will also include several restaurants, a modern spa, and a swimming pool which wraps internally around the project. 

He said all the units have balcony or terrace, water heating system and a modern kitchen totally equipped with household appliances. Some of the properties have Jacuzzi or swimming pool and a private gazebo.Mr. Colussi said these properties have swimming pools and Jacuzzis, discothèque, spa and gym, boutique, stores, casino, the complex’s golf course and the hotel’s services.  In all developments buyers will get deed of property, ordinary and extra maintenance for gardens and other areas, security services, private beach club, receptionist and manager, 24 hour water and electric, the possibility of renting and/or interchanging the units through a specialized rental network.  

The Viva Resort management at Las Terrenas said, “We don’t know if it’s the perfect white sand beaches, the crystal clear waters, the palm trees or the fun atmosphere, but guests keep telling us that the Viva Residences embodies their lifelong vision of a Caribbean vacation spot.” Prices will be announced in the next month.  As soon as I get the info I will pass it on.  And, if you find out more info let me know.  I look forward to having all of us learn more about these Caribbean residence opportunities.  Until next time…I remain your Caribbean lifestyle detective.