I am a proud member of FIABCI, (Federation Internationale des Administrateurs de Biens Conseils et Agents Immobiliers), the International Real Estate Federation. Established over 56 years ago, the International Real Estate Federation (FIABCI) is the only truly international organization of its kind in the world. Comprised of professionals in all areas of the industry, FIABCI's long-standing and highly respected presence in the international community as well as the United Nations gives our members instant accessibility, credibility, and dependability. This association allows me to have global real estate contacts and specialized information regarding all aspects of domestic and international real estate. For more information regarding this association, please click on the logo or contact me directly.

Real Estate Perspectives in The Netherlands/ Inbound and Outbound I had the privilege of attending my monthly FIABCI-Houston luncheon this past Wednesday, March 19th with special guest speakers: The Honorable Geert C. Visser, Houston Consul General of The Netherlands, as well as Mr. Frans Gilebaard, Developer. The Hon. Geert C. Visser began the presentation with the many accomplishments of his country in the fields of transportation, engineering, banking and more. The discussion then focused on the tremendous amount of Dutch foreign investment in the US as well as the remainder of the Americas. What was surprising is that in the past, the Dutch were the # 1 foreign investor in the States. This number is now believed to the #3, which astounded the FIABCI members and guests in attendance. His Honor stated, "Holland is the doorway to Europe" and went on to explain how any US investor would be wise to consider a partnership with The Netherlands when seeking entry into the EU, as well as Asia, Russia and Africa. As The Netherlands has been a trading country for over 900 years, he explained that businessmen and women in his country are well educated, multi-lingual and very savvy as to the customs and nuances of doing business throughout the world and would be a great asset to educate a US investor so as to avoid costly and perhaps deadly mistakes when trying to go it alone. An example of such a mistake was the Tandy Corporation, who brought in Radio Shack stores into England and Europe. In doing business as they had in the States, they started advertising pre-Christmas sales way in advance of the accepted norm to do so in the area. This caused such a furor that it basically denied this company any chance at establishing a good business base over what was simply a timing error. Naivete can be very costly when dealing with foreign customs and cultures and is even more reason that an investor should consider partnering with an entity able to bridge the gap between the two. Our second speaker was Mr. Frans Gilebaard, a local developer who was born and raised in The Netherlands and brought to us his first hand knowledge of both inbound and outbound investments. He highlighted the various contributions to the world, including the engineering feat of keeping afloat The Palm Island development in Dubai, United Arab Emirates. Dutch engineers were also consulted with regard to design and correction of the levies in New Orleans, La. Mr. Gilebaard also stated, "Whatever country you go to, you have to have an understanding of the nuances of business that affect you". He highlighted the incredible history of KLM, the national airlines of The Netherlands based out of Amsterdam’s Schiphol International airport, located 20 minutes (17.5 km) southwest of the city. KLM first came to Houston in 1957 when they recognized the potential for investment for their countrymen in the oil industry. In fact, one would be wise to watch where KLM establishes routes as an indicator of potential investment opportunities around the world. Speaking of Dutch investors, it was highlighted that most foreign residential investment (holiday homes) are purchased in warm, sunny climates but commercial investments span the globe. In closing, it was reiterated that a smart US investor would be very wise, indeed, to make a business plan that includes proceeding through "The Gateway to Europe". Mr. Frans Gilebaard, Ms. Judith Snively, Esq., President of FIABCI-Houston Chapter, and The Hon. Geert C. Visser, Consul General of The Netherlands

International Living: Interesting Market Opportunities: "...Cambodia. The real estate market in this country has evolved dramatically over the last seven to 10 years. Today, the local housing market is booming. Friends and contacts who have been building houses and flipping land in Cambodia report profits in recent years of 100% and more…per year. Impressive returns, no question, but realizing them can be complicated. Foreigners can't own real estate in this country directly, so you need to work with a local partner. And, of course, it's not easy to find a local partner you can trust, not only here but anywhere, so this market isn't for everyone. However, if you've got a portion of your portfolio ear-marked for high-risk investments, this country deserves consideration. Bottom line, this market offers the potential for extraordinarily high returns…but this  comes with an equally high risk. The Philippines. This market is opening up, and it's now possible for foreigners to own condos directly. Manila has seen good appreciation over the last few years, but I wouldn't say that's the play right now. I think the up-and-coming resort destinations of Cebu and Boracay are the places to look this year. There are many new construction opportunities. Buying pre-construction to flip may make sense, but buying to rent could have more potential. Proposed rental returns for condo-hotel units range from 10% to 12%, which is well above the 5% to 8% return you can typically expect worldwide. These yields won't hold up long-term, but you can expect these higher than average returns until the market becomes more discovered and purchase prices are pushed up (which will lower rental yields). Meantime, you should see good capital appreciation as well. The Philippines are less risky than Cambodia and still offer the potential for well above-average returns, both from capital appreciation and rental. Romania. Now is the time to invest in Romania, as there is a steady increase of tourism, resulting in plenty of opportunities in the short-term rental market. There is also a growing demand for apartments in the capital, Bucharest. I’ve never been able to say this before about a market...but in this city right now, it’s almost impossible to not make money on the right type of real estate deal (Publisher’s Roundtable members have been briefed in full on this opportunity, more of which below). Poland. Poland has already seen serious appreciation of values and should continue to do so for the coming years as its economy continues to expand. It's the biggest market in Eastern Europe and still hides many pockets of opportunity, both for local residential housing and commercial rentals. Krakov has been an area of rapid growth, which will continue..."  International Living News Release, 1/5/08. If you would like more information about these and other international real estate opportunities, contact Christi, a Certified International Property Specialist and a member of FIABCI.

Interested in local International Events? Click on the Ad Gallery below to view the May 2008 Calendar of International Events from the Houston Mayor's Office. If you have any questions about these events or would like more information, please contact me.

 

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