CHILE UPDATES #3
Just Released: Chile Property Investment Guide 2013 Edition
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A Day in the Central Chilean Andes
Just Released: Chile Property Investment Guide 2013 Edition
+
A Day in the Central Chilean Andes
Date: May 16, 2013
I wanted to let you all know that the Chile Property Investment Guide 2013 Edition has finally been released. After 3 years of working, investing, and doing business down here, the guide pretty much sums up my current investment strategy. I'm pretty sure anyone thinking of buying property in Chile will find it useful (and you can always return it within 60 days if you disagree). And now for today's letter.
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I'm up in the central Chilean Andes today, a little farther out of the central valley than I normally venture. Properties this high up into the mountains are usually used for forestry but this particular spot has lots of agriculture.
Apples, walnuts, corn, and wheat are the commercial crops but I've also seen hazelnuts, pears, figs, grapes, oranges, lemons, and pomegrantes being grown around people's homes.
I was at this same spot a few weeks ago with a friend and after walking the length of one of the properties he made a comment about how it must not be so bad for these local people to live in "God's garden".
I told him it's true, I couldn't have designed a better property if I tried. The area has the perfect combination of a deep soil base, access to glacier fed canal water, and is perched up on a plateau which provides nearly perfect drainage of the fields.
Something that is very important to take into account when evaluating properties is that some parts of central Chile have been in drought conditions for the last several years. Finding properties with adequate water rights is obviously important and given the chance of more years of drought, having more than "just enough" water is prudent.
At the same time, proper drainage is also a critial factor. If next years turns out the be the monsoon year that reverses this dry cycle, you don't want to be inundated.
This means slightly sloping properties with a solid water source along the higher boundary and easy drainage along the sides are what you really want, but they're also hard to find.
These are just a few of the things you should be aware of if you are considering investing in agricultural real estate here in Chile, or elsewhere.
Stay tuned for more "property thoughts" next week,
Until next time,
Darren
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I'm up in the central Chilean Andes today, a little farther out of the central valley than I normally venture. Properties this high up into the mountains are usually used for forestry but this particular spot has lots of agriculture.
Apples, walnuts, corn, and wheat are the commercial crops but I've also seen hazelnuts, pears, figs, grapes, oranges, lemons, and pomegrantes being grown around people's homes.
I was at this same spot a few weeks ago with a friend and after walking the length of one of the properties he made a comment about how it must not be so bad for these local people to live in "God's garden".
I told him it's true, I couldn't have designed a better property if I tried. The area has the perfect combination of a deep soil base, access to glacier fed canal water, and is perched up on a plateau which provides nearly perfect drainage of the fields.
Something that is very important to take into account when evaluating properties is that some parts of central Chile have been in drought conditions for the last several years. Finding properties with adequate water rights is obviously important and given the chance of more years of drought, having more than "just enough" water is prudent.
At the same time, proper drainage is also a critial factor. If next years turns out the be the monsoon year that reverses this dry cycle, you don't want to be inundated.
This means slightly sloping properties with a solid water source along the higher boundary and easy drainage along the sides are what you really want, but they're also hard to find.
These are just a few of the things you should be aware of if you are considering investing in agricultural real estate here in Chile, or elsewhere.
Stay tuned for more "property thoughts" next week,
Until next time,
Darren