For the past 20 years in Curacao (Dutch Caribbean), there has been a great neglect in the housing market for the mid- to upper-mid class families. Since the Euro has been rising, the housing market has shifted to the wealthy Europeans in “need” of a second/vacation house. This has caused a price increase of houses just because the Europeans will and can afford to pay anything for a piece of the Caribbean. This has caused a growth in the need for housing that can be afforded by locals.
The government, even though slow to react, is trying to cope with the 5,000-plus low income families in need of a house.
To this group pertains the single parent family, the minimum wage earning family, the unemployed and the unemployable inhabitants. On the other side of the spectrum, the local real estate concentrates mainly on the upper-class market and the second/vacation home needs.
So, the middle-class is left to fend for themselves whichever way they can afford to. Noticing this, I have decided to start a management company to purchase large lots and develop these lots into middle-class housing projects. The idea is to provide housing for the registered 3,000-plus families with middle class income at affordable yet profitable cost.
I would like to make a dent in this group of middle class families in need of a home. I have option on a lot yielding 80 homes for the middle class. In order to do this I am seeking a US$3.0 Million in financing to purchase a 41,000m2 lot (yielding 80 houses and 3 public areas). This will yield me a profit of about US$700,000, after loan and interest payment.
My plan is to keep doing this type of project until we have accomplished the goal of making a dent into the current need.