Isabel de Caires at FirstCaribbean Investment Bank discusses how the bank is working through these unprecedented times of the COVID19 pandemic. For more information about how to finance your project in the in the Caribbean contact AG&T.
Join an all-star panel to discuss “Are Hotels Coming Back to the Caribbean?” : a ULI discussion on The State of the Caribbean Hotel Market.
Hear from leading Caribbean hospitality professionals about what’s happening from operations, investing, transactions, and lending perspectives.
Managing Partner AG&T
Executive Chairman, Apple Leisure Group
Senior Vice President, CBRE Hotels
COO, REVPAR International, Inc.
Executive Managing Director/Chief Investment Officer,
Sculptor Real Estate
Three questions answered:
1. What hotel transactions are happening today?
2. Is the hotel market going to undergo a series of defaults, acquisitions, and repurposing?
3. What operational changes is the hospitality industry doing to successfully come back on line?
“The role of multilateral development banks (MDBs) in supporting the tourism sector in Latin America and the Caribbean”.
Conversation with with Rogerio Basso, Head of Tourism at IDB Invest and Adam Greenfader, Chair ULI Caribbean Council / Managing Partner AG&T.
Rogerio Basso leads all initiatives related to tourism in Latin America and the Caribbean for IDB Invest, the private sector arm of the Inter-American Development Bank Group. In his capacity as Head of Tourism, he is responsible for origination, investments and for executing IDB Invest’s tourism strategy in the region, offering a variety of financial instruments including debt, mezzanine and equity. Rogerio has executed numerous tourism transactions in the region spanning from hotels to conference centers.With over two decades of experience in banking, private equity, development, and strategy consulting within the hospitality and real estate sectors, Rogerio has held a variety of positions across top global firms, working across a variety of domestic and foreign markets, with a strong focus in Latin America. Prior to joining IDB Invest, he was CIO at Key International, a Miami-based real estate investment platform active across many industry sectors. He also served as EVP Acquisitions & Development for Terranum Hotels, an owner and operator of hotels across Latin America, sponsored by Colombia-based Santo Domingo Group and Sam Zell’s Equity International.
Rogerio holds a business degree from the College of William and Mary and a master’s degree from the School of Hotel Administration at Cornell University.
Francisco Luis, Partner at Kevane Grant Thornton and Adam Greenfader, Caribbean Chair / AG&T discuss “ Bringing back manufacturing to USA – Puerto Rico. “
In this in-depth conversation about Tax Policy and Incentives, Mr. Luis discusses the GILTI and BEAT provisions of the 2017 Tax Code and some of the implications of the House Resolution 6448; otherwise known as ” The Territorial Economic Recovery Act.
Other topics include, ‘Opportunity Zone incentives’ and the ‘Tourism Tax Credit’ as part of the recently passed Act 60.
Francisco Luis has over twenty-nine years’ experience in public accounting, including the “Big Four” and private consulting practice.
He engages in the design and development of tax planning and consulting strategies. This includes tax services in the area of mergers and acquisitions, business reorganizations, partnership transactions, tax incentives and exemptions, individual and corporate tax issues, personal financial matters, and others. Moreover, since the designation of Puerto Rico as an Opportunity Zone, Francisco has been actively participating as guest speaker on several conferences and activities lecturing about this new incentives regime.
His experience includes participation in multiple international and global business transformation engagements, including post-acquisition implementation and executing strategies focused on reducing global effective tax rates, mostly interplaying with the Puerto Rico tax incentives. Francisco has significant experience assisting clients before the Internal Revenue Service and the Puerto Rico Treasury Department, among others. He also possesses extensive tax compliance experience.
The Covid 19 pandemic has brought worldwide tourism to a standstill. In this ULI Caribbean Conversation, we speak with Brad Dean, CEO of Puerto Rico’s Destination Marketing Organization (DMO). Brad shares some insights about what some of the top private and public minds in the industry are thinking, planning, and prepping for travel 2.0.
” I think this down time gives the travel and tourism industry our George Bailey moment. “We have all seen that without travel it’s pretty ugly….there is a lot greater value to travel than most of us ever realized..travel lifts spirits, it connects people, it leads to progress, exclaimed Brad Dean.”[/vc_column_text][/vc_column][/vc_row]
Join Manuel Laboy, Secretary of Economic Development of Puerto Rico and Adam Greenfader, ULI Caribbean Chair as they discuss “ Bringing Back Manufacturing to USA – Puerto Rico. “
In this in-depth conversation, Mr. Laboy discusses the current opportunities in pharmaceutical manufacturing, Puerto Rico’s history in Life Science, inventory, infrastructure, and potential pitfalls. Other topics include, Puerto Rico Tax incentives, HR # 6443, Opportunity Zones, Public Private Partnerships, and the recently enacted regulations allowing foreign cargo to Puerto Rico; “ a game changer”, according to Manuel Laboy.
Manuel A. Laboy Rivera is the Secretary of the Department of Economic Development and Commerce (DEDC) in Puerto Rico and Executive Director of the Puerto Rico Industrial Development Company (PRIDCO) with the mission to attract new investment, promote the creation of new jobs and strengthening of small and medium enterprises. He is also responsible for the formulation and strategic implementation of the Puerto Rico economic development plan, including competitiveness-related reform, infrastructure projects and the innovation of technology agenda. Mr. Laboy is a licensed professional engineer with 19 years of experience in various industries and sectors, including manufacturing, chemical production, life sciences (pharmaceutical, biotechnology and medical devices), construction, public utilities, export services, renewable energy, infrastructure, technology and project management.
Manuel Laboy has a Bachelor’s Degree in Chemical Engineering from the University of Puerto Rico-Mayagüez Campus, a Master’s in Business Administration from the University of Turabo in Puerto Rico. He is also a member of the College of Engineers and Surveyors of Puerto Rico, and holds a Certified Safety Professional certification from the Board of Certified Safety Professionals.
To learn more contact Adam Greenfader Managing Partner of AG&T, a real estate development and advisory services company.
In this insightful conversation during the COVID19 pandemic, Adam Greenfader and Rich Holman, Chairman of Lifeafar, explore USA longstanding relationship with Puerto Rico manufacturing, the consequences of the elimination of Section 936, and how 1.2 million Puerto Ricans living in Florida may decide the the 2020 US Presidential election.
Other topics discussed:
Act 20/20 Tax Incentives
Puerto Rico Opportunity Zones (98% of the island)
The positive consequences of Hurricanes Irma and Maria
The repeal of Section 936 resulted in lost manufacturing jobs for the USA and a 15 year economic crisis for Puerto Rico.
As we sit today in the middle of a world pandemic, a few things seem certain. COVID 19 is a health crisis that has forever changed our relationship with globalism. It is time for a new understanding of how manufacturing keeps us all safe. This is especially true of the pharmaceutical industry. With shortages of basic supplies, medicines and protective gear, is it time to bring critical manufacturing back to the United States?
In this AG&T Thought Leadership conversation, we speak with economics professor Zadia Feliciano (see bio)of Queens College and explore the consequences for the USA and Puerto Rico of eliminating the manufacturing tax incentives – Section 936.
In her groundbreaking work on Section 936, entitled, “US Multinationals in Puerto Rico and the Repeal of Section 936 Tax Exemption for U.S. Corporations“, professor Feliciano and Andrew Green, “analyze the effects of the phase out and elimination of Section 936 on the number of establishments, value added, employment, and wages in Puerto Rico’s manufacturing.
Unfortunately, the elimination of Section 936 helped push critical manufacturing AWAY from the USA. Critical manufacturing left Puerto Rico (USA) and sought cheaper markets in Mexico, Ireland, Latin America and China.
Moving Forward.
The Food and Drug Administration has for some time been expressing concern that the United States is too dependent on China within the medical supply chain. Puerto Rico has 49 FDA-approved pharmaceutical plants in place, and produces not just one quarter of all U.S. pharmaceutical exports, but also significant amount of medical devices.
Puerto Rico’s manufacturing industry is in need of support, but is also in a position to blossom, similar to other areas of the country that used to have a strong manufacturing base. In the area of pharmaceuticals, Puerto Rico has the advantage of an educated workforce and many people experienced in the industry. Puerto Rico produces 25% of the pharmaceuticals exported by the United States. This is more than any State. The Island has the cold chain logistics for pharmaceuticals in place. The learning curve would be lower for Puerto Rico than for many other U.S. regions. The time to act is now.
To learn more about how Puerto Rico can help USA manufacturing.
As we sit today in the middle of a world pandemic, a few things seem certain. The Corona Virus health crisis has forever changed our relationship with globalism and our new understanding how manufacturing keeps us all safe. This is especially true of the pharmaceutical industry. With shortages of basic supplies, medicines and protective gear, is it time to bring critical manufacturing back to the United States?
The answer seems to be a resounding, “how fast.” But how do we do this, now that most of our manufacturing has been shipped to foreign locations? The answer might be right here at home.
Puerto Rico has played a historic role in America’s manufacturing since the 1940’s. In this conversation with Luis Fortuño, partner at Steptoe and Johnson (Governor of Puerto Rico 2009-2013), it is clear that since Operation Bootstrap, Puerto Rico has been a major contributor to The United State’s pharmaceutical manufacturing.
The island has three key elements that make it very attractive for manufacturing.
So what happened?
“Well, it was really a confluence of many events, some global and others local”, according to Mr. Fortuño. The North American Free Trade Agreement (NAFTA) created incentives for companies to move to Mexico and Canada. Countries like Ireland and China created elaborate tax and other incentives to attract business. Section 936 of the Tax code expired – which was a critical component of incentivizing manufacturing on the island. To learn more, read Why Puerto Rico Now.
Notwithstanding, Puerto Rico’s economic crisis, the island’s antiquated energy grid, and a wasteland of destruction caused by hurricanes in 2017, Puerto Rico is still in an ideal position to help USA quickly ramp up critical manufacturing production. In fact, the island today currently out preforms States like California, Indiana, North Carolina, and Pennsylvania.
Are there any Potential Roadblocks?
As part of the 2017 Tax Act, the new tax on Global Intangible Low-Taxed Income (GILTI) was proposed as a way to target profitable firms that are based abroad – known as controlled foreign corporations. For tax purposes, Puerto Rico is treated as a foreign jurisdiction and the 2017 Tax Act is bad news for companies doing business on the island. Patent-dependent sectors like pharmaceuticals and medical equipment and supplies account for nearly 35 percent of the total employment in manufacturing. Pharmaceutical companies alone employ approximately 90,000 Puerto Rico residents.
Where do we go from here?
Today there are several initiatives to help bring manufacturing back to the United States, Puerto Rico and other economically depressed areas. One such initiative is HR 6443, authored by Puerto Rico’s Resident Commissioner, Jenniffer González-Colón and sponsored by Donna Shalala (D-FL), Representatives Rob Bishop (R-UT), Darren Soto (D-FL), Ruben Gallego (D-AZ), and Peter King (R-NY).
See article below.
Together we will get through these very challenging times. This too shall pass.
Interested in telling your story about Puerto Rico or the Caribbean? Join us at AG&T Network.
The “Climate RibbonTM” at Brickell City Centre is one of the most unique Green architectural feature that I have seen in years. It provides a continuous surface of glass (11,000 m2) and architectural fabric sun-screening blades. Can it create a comfortable microclimate in hot and humid Miami solely through the use of passive energy strategies?
Check out this video (2:20)
