Unlocking Opportunities in the Caribbean Hotel Market: Strategic Approaches for Developers and Investors 

Market Research AG&T

Market Research AG&T

 

Executive Summary

The Caribbean hotel market presents a unique mix of challenges and opportunities for developers and investors.  2024 has been marked by fluctuating economic conditions, limitations on construction financing, an increased cost of equity, and of course a continued threat caused by climate change. Fortunately, the post Covid19 demand travel has continued with record ADR and occupancy rates. In these uncertain times, having actionable market data is key to successful investment and development. At AG&T we  explore the value of comprehensive market studies, providing a roadmap for developers, investors, and asset managers to capitalize on emerging opportunities. 

In today’s complex and competitive hotel development landscape, particularly in the Caribbean, having real-time, data-driven insights is critical for success. Developers and investors who rely on outdated or incomplete information risk making costly decisions. A well-executed market study provides the essential intelligence needed to assess opportunities, identify risks, and develop strategic approaches to investment, whether in new developments or the acquisition of distressed assets.

 

Market Overview

1. Tourism Trends and Data-Driven Insights:

The Caribbean remains one of the most popular tourist destinations globally, but tourism patterns are shifting. Post-Covid19 recovery travel trends reveal a growing preference for boutique, eco-friendly, and experiential hotels over traditional large-scale resorts. A market study provides granular data on these trends, helping developers and investors align with consumer preferences and focus on markets with the highest demand potential.

2. Key Growth Markets Identified Through Market Studies:

– Emerging Markets: A comprehensive study identifies little known or explored market areas. At AG&T we specifically look for new trends in destinations as well as existing markets that are growing beyond their “tried and true.” For example,  locations like Sint Maarten is demonstrating great  growth opportunities due to rising demand for unique and luxury travel experiences.

– Distressed Assets: Market studies pinpoint distressed assets. These reports offer actionable insights on pricing, market saturation, and infrastructure development, enabling investors to make informed decisions on acquisition and repositioning strategies.

3. The Value of Local Market Intelligence:

While national or island-wide trends are useful, localized data is essential for accurately assessing a hotel project’s potential. A robust market study provides detailed insights at the regional, city, or even neighborhood level, ensuring that developers and investors have a clear picture of demand, competition, and pricing within specific micro-markets.

What a Market Study Provides for Developers and Investors

1. Feasibility and Opportunity Assessment:

– Demand Forecasting: A market study analyzes current and projected demand for hotel rooms in the target market. For example, in regions like St. Maarten or St. Kitts, understanding whether tourism demand is driven by cruise visitors, long-term vacationers, or business travelers can drastically change a project’s design and service offerings.

– Competitive Analysis: Detailed reports compare the competitive landscape, outlining the strengths and weaknesses of existing properties. For instance, a study in the Dominican Republic may reveal that while large resorts are abundant, there’s an unmet demand for boutique, wellness-focused hotels. This insight allows developers to fill a gap in the market.

2. Financial Modeling and Profitability:

– Revenue Projections: Market studies provide data on room rates, occupancy levels, and operating costs in the target market. Financial models help investors calculate expected revenue and ROI under different scenarios. Whether targeting distressed assets in Puerto Rico or new developments in St. Vincent, having accurate financial projections is key to securing financing and ensuring long-term profitability.

– Capital Expenditure Insights: For distressed properties, market studies identify necessary capital improvements and calculate the potential return on those investments. Investors can make informed decisions on whether rehabilitation costs will result in the desired market repositioning and profitability.

3. Site Selection and Location Analysis:

– Site-Specific Data: A market study dives deep into location-specific factors, such as tourism patterns, infrastructure development, and government incentives. For example, a report on

– Accessibility and Market Entry Barriers: Islands that require two stops have historically been slow to attract new hospitality inventory. Challenges in getting to the island is a crucial factor for a developer. However, what happens when travel length shifts due to “work-at-home” trends?  A market study will assess the impact of air travel, ferry services, or visa requirements on potential guest numbers as well as the absorption of for sale condo-hotels. 

4. Regulatory and Tax Environment:

– Navigating Local Laws: Each Caribbean nation has its own set of legal, tax, and regulatory challenges. Market studies include detailed breakdowns of local regulations, such as property taxes, hotel licensing, and foreign investment restrictions. Developers and investors benefit from understanding these complexities before committing resources to a project.

– Incentive Programs: Many Caribbean nations offer tax breaks or incentives for hotel development, especially for projects that boost local employment or align with sustainability goals. Market studies identify these opportunities, allowing investors to capitalize on favorable policies.

Competitive Positioning: Why AG&T Market Studies Stand Out

1. Tailored Insights:

Unlike generalized reports, AG&T  market studies are customized to the client’s specific project goals and investment criteria. Whether you’re acquiring a distressed asset or launching a new hotel development, we offer data-driven insights designed to optimize your decision-making process.

2. Thirty-one years of Experience in the Caribbean:

With over 30 years of experience in Caribbean hotel development, AG&T leverages deep relationships and on-the-ground expertise to provide unparalleled market intelligence. Our studies incorporate both quantitative data and qualitative insights from local stakeholders, ensuring a comprehensive view of each market.

3. Proprietary Data Access:

Our clients benefit from access to proprietary datasets that are not available through public sources. This includes up-to-date information on hotel performance metrics, traveler demographics, and competitive pricing data—ensuring that you have the most current and relevant information at your fingertips.

4. Miami Based

Our main offices are based in Miami, Florida. Miami is the capital of the Caribbean and allows us to tap into a vast array of events, conferences, thought leadership programs, and associations. 

Service Offerings for Market Studies

1. Basic Market Study Package: To buy or not to buy 

– Focus on feasibility and high-level market analysis.

– Includes demand assessment, competitive analysis, and location data.

Ideal for preliminary project evaluations or investors seeking initial insights into a market.

2. Foundational Market Study Package: Creating the Highest and Best Use development 

– Comprehensive analysis, including financial modeling, revenue projections, and site selection guidance.

– Detailed breakdown of regulatory and tax environments.

– In-depth competitive landscape analysis and investor reports.

– Site planning and design recommendations

–  Sales and marketing guidance in terms of pricing inventory, rental program, ROI, and HOA, and hotel brand recommendations.  

Ideal for investors and developers looking for a detailed blueprint to guide decision-making for their internal team. 

3. Advanced Market Study Package: Building the Capital Stack

– Implement architectural designs into financial modeling

– Establish capital stack requirement

– identify key project metrics, returns, and waterfall structure. 

Ideal for investors and developers looking for a presentation focused document to attract capital and construction debt. 

 

Case Study:  “Pioneering Luxury: A Case Study on Developing Sint Maarten’s First Five-Star Hotel”

In 2019, AG&T initiated the first of three comprehensive market studies for a 125-acre beachfront parcel at Indigo Bay on the Dutch side of Sint Maarten. The phase one study focused on determining the highest and best use for the land, offering insights into project density, hotel characteristics, and land pricing. Based on this research, AG&T prepared an offering memorandum, which became a key resource for a developer conducting due diligence. As a result, the developer secured an option on the property, marking the initial step towards a major luxury development.

As part of the due diligence process, AG&T conducted a Foundational Comparative Market Study, essential for evaluating the region’s market potential. Since Sint Maarten had not seen a new luxury hotel in decades, AG&T explored 11 distinct luxury hotel projects across key markets, including Anguilla, St. Barths, Turks and Caicos, Cabo San Lucas, Panama, and Costa Rica. The study provided a detailed analysis of the competitive landscape, pricing models, unit size dimensions, and buyer preferences, leading to a full-scale project design. This design phase, supported by architecture, engineering, legal, and marketing teams, resulted in the creation of the Vie L’Ven hotel and residences, complete with carefully chosen hotel brand partners, food and beverage concepts, and spa affiliations.

As the global landscape shifted due to the COVID-19 pandemic, AG&T conducted a third and In-depth Market Study just prior to the project launch in February 2024. This study revealed key changes in pricing metrics, amenity preferences, and inventory release strategies, helping to align the development with the evolving needs of the post-pandemic travel and tourism market. 

“We are very excited about the Vie L’Ven Hotel and Residences development.  The research conducted by AG&T helped us better define the project scope and fine tune the condo-hotel unit offering.”  Jordan Debrincat, VP Altree development.  

By February 2024, Vie L’Ven broke ground. The first phase of condo-hotel residences have been successfully marketed and sold, positioning the development as a premier luxury destination in Sint Maarten.

Conclusion: The Strategic Value of a Market Study

In today’s competitive and fast-changing Caribbean hotel market, having access to reliable, actionable data is more critical than ever. A well-executed market study provides developers and investors with the insights needed to navigate challenges, capitalize on opportunities, and make confident, informed decisions. Whether you are looking to acquire distressed assets, enter new markets, or reposition existing properties, AG&T provides  tailored market studies offer the strategic guidance needed to ensure long-term success.

 

 

About AG&T

AG&T is a leading Caribbean development and advisory founded in  1993. We have offices in Miami, Palm Beach, and Puerto Rico. AG&T concentrates in creating resort developments, island projects, and master planned communities. We have a track record in over 18 Caribbean islands in 55 projects that is valued at 1.5 Billion USD.  Our key services include:

• Hotel Development and planning

• Commercial Real Estate Sales

• Capital Advisory (Equity | Debt)

To learn more contact us at amanda@agandt.com or visit our web site www.agandt.com. 

Building a More Resilient Caribbean: Why Climate Infrastructure Has Become the Region’s Highest Priority

CARIF 2024

Looking to secure financing solutions for Caribbean projects? Don’t miss CARIF 2025 Financing For Caribbean Infrastructure on September 24-25 at Coconut Grove’s luxurious Ritz Carlton. Discover the new players in investment funds and sovereign wealth funds, and explore their appetite for collaboration. Uncover the opportunities for regional commercial lenders and multilateral development banks to partner with you. Dive into the latest trends in financial models for infrastructure development and the driving forces behind them. Above all, uncover the elusive investment opportunities waiting for you in this dynamic industry. Join us to propel your investments to new heights!

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Why Puerto Rico? A Global Destination for Hospitality, Tourism, and Investment

Why Puerto Rico? A Global Destination for Hospitality, Tourism, and Investment

Discover Puerto Rico Tourism video (2:45 s)  highlights Puerto Rico’s unique selling proposition for tourism in 2022 and beyond. Interviews with Adam Greenfader of AG&T and Federico Stubbe of PRISA Group discuss the island’s rich culture, robust infrastructure, great airlift, and other benefits such as Federal tax incentives. Watch the video to learn how you can be part of Puerto Rico’s booming hospitality and tourism industry.

 

 Puerto Rico has entered one of the most dynamic periods in its modern history.

 

Long celebrated for its vibrant culture, stunning natural beauty, and strategic location in the heart of the Caribbean, the island has evolved into something even more compelling: a world-class destination for tourism, hospitality investment, and economic development.

To highlight this transformation, Discover Puerto Rico, the island’s official Destination Marketing Organization (DMO), produced a short video featuring industry leaders discussing the factors driving Puerto Rico’s remarkable growth. Joining the conversation were Adam Greenfader, Chairman of AG&T, and Federico Stubbe, President of PRISA Group, two long-time advocates for Puerto Rico’s hospitality and real estate industries.

The discussion explores why Puerto Rico is uniquely positioned to attract both visitors and investors.

Unlike any other Caribbean destination, Puerto Rico combines the lifestyle and natural beauty of the Caribbean with the legal protections, financial systems, and business certainty of a U.S. jurisdiction. This unique combination has helped the island attract international hotel brands, institutional investors, entrepreneurs, manufacturers, technology companies, and a growing community of business leaders seeking long-term opportunities.

A Competitive Advantage Unlike Anywhere Else

Puerto Rico’s investment story extends far beyond its beaches.

The island offers one of the most comprehensive business ecosystems in the Caribbean, supported by:

  • A robust U.S. legal and financial framework.

  • A highly educated and bilingual workforce.

  • Modern highways, ports, airports, and telecommunications infrastructure.

  • More than 20 direct destinations served by excellent airlift to the continental United States, Latin America, and Europe.

  • Competitive tax incentives supporting manufacturing, export services, hospitality, and new business investment.

  • A mature banking system and access to U.S. capital markets.

Combined with its strategic geographic location, these advantages position Puerto Rico as a natural gateway between North America, Latin America, and the Caribbean.

Hospitality Leading the Way

Tourism continues to be one of Puerto Rico’s most important economic engines.

Record visitor arrivals, expanding air service, increasing hotel occupancy, new luxury resorts, branded residences, and significant private investment have reinforced the island’s position as one of the Caribbean’s fastest-growing hospitality markets.

Yet Puerto Rico’s appeal extends well beyond leisure travel.

Visitors increasingly come to experience the island’s rich culinary scene, music, history, outdoor recreation, wellness experiences, cultural festivals, and entrepreneurial energy. This diversification has helped create a more resilient tourism economy capable of supporting long-term investment.

Public and Private Sector Collaboration

One of Puerto Rico’s greatest strengths has been the collaboration between the public and private sectors.

Created in 2017, Discover Puerto Rico has played an instrumental role in repositioning the island within the global tourism marketplace through innovative marketing, strategic partnerships, and destination branding. By working closely with government agencies, airlines, hotel operators, tourism stakeholders, and the private sector, the organization has helped elevate Puerto Rico’s international visibility while supporting record tourism performance.

Developers such as PRISA Group have also contributed significantly to this transformation. For more than three decades, PRISA has developed sustainable residential communities and luxury hospitality projects throughout Puerto Rico, demonstrating how thoughtful planning and long-term investment can strengthen both communities and the visitor experience.

AG&T’s Perspective

For more than three decades, AG&T has had the privilege of participating in Puerto Rico’s evolution.

Our work has extended beyond real estate advisory services to include market research, investment strategy, hospitality consulting, educational programming, and thought leadership designed to strengthen Puerto Rico’s connections with investors, developers, lenders, and institutional capital throughout the United States and internationally.

We believe Puerto Rico’s greatest opportunity lies not simply in recovering from past challenges, but in building a more resilient, diversified, and globally competitive economy.

Hospitality plays a central role in that vision.

It creates jobs, attracts international investment, supports local businesses, enhances infrastructure, and showcases Puerto Rico’s extraordinary culture to millions of visitors each year.

The future of Puerto Rico will be built through collaboration among government, private enterprise, developers, investors, entrepreneurs, and communities working toward a common goal.

This conversation with Discover Puerto Rico and PRISA Group reflects that shared commitment—and our collective belief that Puerto Rico’s best chapter is still ahead.

We invite you to watch the video and discover why so many investors, developers, and hospitality leaders believe that Puerto Rico’s time is now.

From the Netherlands to the Caribbean: Rethinking Climate Resilience for Island Communities

ULI Roundtable on Climate Resilience in The Netherlands

From the Netherlands to the Caribbean: Rethinking Climate Resilience for Island Communities

 

Climate resilience is no longer simply an environmental discussion.

It has become one of the defining economic and development challenges of the 21st century. For island nations throughout the Caribbean, climate adaptation influences everything from infrastructure investment and insurance costs to tourism, housing, transportation, energy, and long-term economic competitiveness.

Recognizing these challenges, Adam Greenfader with the Urban Land Institute (ULI) convened an international Climate Resilience Roundtable in the Netherlands, bringing together planners, architects, engineers, financial institutions, developers, investors, and public-sector leaders to explore how some of the world’s most climate-resilient communities can help shape the future of Caribbean development.

The discussion was particularly timely following the devastating impacts of Hurricanes Irma and Maria in 2017 and Hurricane Dorian in the Bahamas in 2019. These events highlighted the urgent need to move beyond disaster recovery and begin designing communities capable of withstanding the increasing impacts of climate change.

Learning from the Dutch

Few countries understand the relationship between water and urban development better than the Netherlands.

For more than a thousand years, the Dutch have designed cities, infrastructure, and landscapes that coexist with water rather than simply attempting to control it. Their expertise in flood management, adaptive urban planning, coastal engineering, and integrated water systems has become a global model for climate resilience.

Rather than viewing resilience as an additional cost, the Dutch approach recognizes it as a long-term investment—one that protects communities, reduces future losses, and creates stronger, more valuable places to live and invest.

As Caribbean nations confront rising sea levels, stronger storms, coastal erosion, and aging infrastructure, these lessons have become increasingly relevant.

Sharing Caribbean Experience

Representing the Caribbean perspective, Adam Greenfader, then Chair of the ULI Southeast Florida/Caribbean Council and Chairman of AG&T, shared lessons learned from the ULI Advisory Services Panel for the Municipality of Toa Baja, Puerto Rico.

The multidisciplinary panel examined how one of Puerto Rico’s most vulnerable municipalities could rebuild after Hurricane Maria while improving long-term resilience, strengthening economic opportunity, and reducing future climate risks.

Rather than focusing solely on reconstruction, the discussion emphasized creating communities that are stronger than those that existed before the storm.

This philosophy—often described as “building back better”—has since become a guiding principle for resilient development worldwide.

A Global Perspective

Joining the discussion was Henk Ovink, the Netherlands’ Special Envoy for International Water Affairs and one of the world’s foremost experts on climate adaptation and water management. Mr. Ovink discussed how climate resilience requires integrated thinking across government, infrastructure, finance, urban planning, and community engagement.

His work through initiatives such as Rebuild by Design, the Global Center on Adaptation, and Water as Leverage has demonstrated that resilience is most successful when architects, engineers, investors, policymakers, scientists, and local communities collaborate from the earliest stages of planning.

The message was clear:  Resilience cannot be added at the end of a project.

It must become part of the project’s DNA.

 

From Recovery to Regeneration

One of the most important themes of the roundtable was the distinction between recovery and regeneration.

Recovery seeks to restore what existed before.

Regeneration asks a more ambitious question:

How can we rebuild communities that are stronger, safer, more sustainable, and better prepared for future generations?

That philosophy extends far beyond engineering.

It includes resilient housing, renewable energy, modern infrastructure, nature-based solutions, flood management, resilient tourism, environmental restoration, and economic diversification.

Increasingly, these principles are also influencing investment decisions.

Why This Matters Today

Since this discussion took place, climate resilience has become one of the most important considerations in global real estate and infrastructure investment.

Institutional investors now routinely evaluate climate risk alongside traditional financial metrics.

Insurance markets increasingly reward resilient design.

Hotels, resorts, airports, ports, hospitals, and mixed-use developments are incorporating resilience into their planning from the earliest stages.

For the Caribbean, resilience is no longer simply about protecting communities.

It has become a competitive advantage.

Destinations that invest in resilient infrastructure, sustainable development, renewable energy, and climate adaptation will be better positioned to attract tourism, institutional capital, and long-term economic growth.

AG&T’s Perspective

For more than three decades, AG&T has viewed resilience as an essential component of responsible development throughout the Caribbean.

Whether advising hospitality projects, master-planned communities, infrastructure initiatives, or economic development strategies, we believe resilience should not be treated as a regulatory requirement or a marketing slogan.

It is an investment strategy. Projects that are thoughtfully designed to withstand climate risk, reduce operating costs, protect natural systems, and enhance community well-being create stronger long-term value for investors, residents, and governments alike.

The conversations held in the Netherlands reinforced an important principle that continues to guide our work today: The Caribbean has the opportunity not simply to recover from climate change—but to become a global leader in resilient, regenerative development.

By combining local knowledge with international best practices, we can create island communities that are stronger, more sustainable, and more prosperous for generations to come.

 

      Some of the works discussed:

The Future of Caribbean Tourism: A Conversation That Helped Shape the Next Decade

The Future of Caribbean Tourism: A Conversation That Helped Shape the Next Decade

As part of the Puerto Rico Builders Association’s Annual Convention, AG&T Chairman Adam Greenfader moderated a distinguished panel of leaders from government, global hospitality, development, alternative accommodations, and investment to discuss the future of tourism in Puerto Rico and the Caribbean.

The conversation brought together Carla Campos (Puerto Rico Tourism Company), Pablo Maturana (Hilton), Rachel DeLevis (Airbnb), Federico Stubbe (PRISA Group), Federico Sánchez (Grupo Interlink), and Eric Berman (Lifeafar) to explore how Puerto Rico could strengthen its position as one of the Caribbean’s leading tourism and investment destinations. Topics included evolving traveler preferences, hotel development, branded hospitality, airlift, alternative accommodations, public-private collaboration, and the critical role tourism plays in driving long-term economic growth.

 

 

Looking Beyond Traditional Tourism

One of the central themes of the discussion was the recognition that tourism was becoming far more than a leisure industry.

Hospitality had evolved into one of Puerto Rico’s most important economic development strategies—supporting construction, infrastructure, transportation, retail, food and beverage, entertainment, healthcare, and entrepreneurship throughout the island.

The conversation emphasized that future competitiveness would depend upon creating differentiated experiences rather than simply increasing hotel inventory.

New Trends Reshaping Hospitality

The panel examined several emerging trends that have since transformed the industry.

Global hotel brands were expanding their presence throughout the Caribbean.

Alternative accommodation platforms such as Airbnb were changing how visitors experienced destinations.

Developers were increasingly focusing on mixed-use communities, branded residences, wellness, experiential travel, and lifestyle-driven hospitality.

The discussion also highlighted the growing importance of airlift, destination marketing, public-private collaboration, and investment in supporting infrastructure—all factors that continue to shape Puerto Rico’s tourism economy today.

Looking Back

In many respects, the themes discussed during this panel proved remarkably prescient.

Since then, Puerto Rico has experienced record tourism performance, expanded international air service, significant new hotel investment, the growth of luxury hospitality, and increased private-sector participation across the tourism ecosystem.

Hospitality has become one of the island’s principal economic drivers, supporting thousands of jobs while attracting billions of dollars in private investment.

AG&T’s Perspective

For more than three decades, AG&T has been committed to advancing conversations that shape the future of Caribbean hospitality.

Whether through the Puerto Rico Builders Association, the Urban Land Institute, CHICOS, Discover Puerto Rico, Bisnow, or numerous investment forums throughout the Caribbean, our objective has remained consistent: bringing together government leaders, developers, investors, hotel brands, financial institutions, and entrepreneurs to explore the ideas that will define the region’s next generation of growth.

Tourism is no longer simply about attracting visitors.

It is about creating resilient destinations, vibrant communities, sustainable economic development, and long-term investment opportunities.

Puerto Rico has demonstrated that when the public and private sectors work together, hospitality can become far more than an industry—it can become a catalyst for economic transformation.

As Puerto Rico continues to strengthen its position within the global tourism marketplace, the conversations that began years ago remain just as relevant today. The difference is that many of the ideas discussed have now become reality.

Puerto Rico Takes a Big Bite of the Big Apple

October 1, 2019, New York City– The Puerto Rico Builders Association takes a  big bite of the Big Apple at the 2019 Bisnow National Real Estate Finance Summit. The National Real Estate Finance Summit is one of the most esteemed, high-level, and best attended event in the nation. This year was no exception with over 300 attendees from finance, capital markets, financial advisory, private equity, and real estate.

The Puerto Rico panel included Ing. Emilio Colón Zavala,  President of the Puerto Rico Builders Association/ ECZ Group,  Eric Berman,  Chief Investment Officer at Lifeafar, Jorge Ruiz-Montilla, Capital Member and Chairman of the Real Estate & Finance Practice Group at MCconnell Valdes, Philip Carroll,  Director of Finance at Royal Palm Companies and Adam Greenfader, Managing Partner of AG&T.

Ethan Penner, best known  for creating the CMBS  market, key noted the event with insight on “high conviction investment themes.”  The Puerto Rico panel drew much interest at the Finance Summit. “We were impressed to hear from the leaders of the financial markets in New York that they see Puerto Rico as a great opportunity,  explained Emilio Colón Zavala. With less than 7% tourism GDP, there is room for 15,000 more hotel keys.’

Philip Carroll of Royal Palm Companies , concurred with the assessment of hospitality demand and explained some of the island’s competitive advantages in Puerto Rico including the ability to leverage Tourism Tax credits with Opportunity Zone incentives. Royal Palm is currently developing a 1,000 key hotel and marina resort on the island.  

 

Pictured Left to Right: Adam Greenfader, Emilio Colon Zavala, Philip Caroll, Marcial Diaz

 

The panel received multiple questions throughout the presentation.  Of particular interest, was the level of detail and financial sophistication about Act 20/22. Jorge Ruiz-Montilla explained some of the benefits of the laws and highlighted the island’s economic and political stability.

When asked, “Why now, why invest in Puerto Rico today”, the consensus of the group was clear…the numbers speak for themselves. “Puerto Rico  posted positive economic growth in 2019 and is forecasting a 2.5% GDP for 2020. We clearly hit bottom and with Billions of CDBG-DR money coming to the island in the next few years,  the time is now”, quoted Adam Greenfader, who moderated the Panel.

Lifeafar, a real estate investment and hospitality firm, recently expanded their operations from Medellin, Colombia to Puerto Rico.  “Puerto Rico is a place you can make a real change. Our investors want to make a good return on investment but also know they are helping to make a difference”, quoted Eric Berman.  

For more information about Puerto Rico,. You can join the Puerto Rico Builders Association on October 29-30 at their annual conference. See link attached. https://www.constructorespr.com/convencion/#eventbrite

 

About The Puerto Rico Builders Association

The Puerto Rico Builders Association is a non-profit organization established in 1951. The PRBA is the local chapter for the National Association of Home Builders (NAHB) and the Urban Land Institute (ULI). We proudly represent the leaders in housing, commercial and industrial and tourism sectors. We also represent investors and professionals related to the Puerto Rico’s real estate development and the construction industries. Our main objective is to promote and lead planned development, that is safe and sustainable, as to serve as an a principal productive economic driver motor for our island, in collaboration with the private and public sectors in Puerto Rico.

About AG&T

AG&T is a real estate development and consulting company founded in 1998 with headquarters in Miami, Florida. Our  track record spans over 55 real estate development projects in Puerto Rico, Sint Maarten, Costa Rica, Panama, Mexico, Dominican Republic, and various other Caribbean islands.

 

 

Caribbean Hospitality Summit Draws Record Numbers

The Caribbean’s Hospitality Renaissance:

 

For decades, the Caribbean has been recognized as one of the world’s premier tourism destinations. Today, it is emerging as one of the most compelling regions for hospitality investment, infrastructure development, and long-term capital deployment. At the center of that transformation is Puerto Rico—a market whose financial renaissance is helping redefine investment across the Caribbean.

At AG&T, we have had the privilege of participating in that evolution for more than three decades.

As a Caribbean real estate development and capital advisory firm, our mission extends well beyond individual transactions. We have worked to strengthen the economic ties between Puerto Rico, the U.S. mainland, and the broader Caribbean by bringing together developers, lenders, institutional investors, hospitality brands, family offices, government agencies, and industry leaders. We believe that successful hospitality markets are built on relationships, collaboration, and confidence in long-term investment.

This philosophy has guided AG&T’s partnerships with organizations such as the Puerto Rico Builders Association, the Urban Land Institute, Bisnow, hospitality conferences, investment forums, and numerous public and private initiatives designed to showcase the Caribbean as a world-class destination for investment as well as tourism.

One such milestone was the Puerto Rico Builders Association’s conference, where AG&T organized and moderated a discussion on the future of development finance featuring senior executives from FirstBank, the Economic Development Bank of Puerto Rico, and Acrecent Financial. While the conversation centered on financing new construction, it reflected something much larger: Puerto Rico’s financial sector was entering a new era, creating opportunities not only for the island, but for hospitality and real estate investment throughout the Caribbean.

Looking back today, that conversation marked the beginning of a broader transformation.

Puerto Rico has emerged from years of fiscal restructuring with renewed financial stability, strengthened institutions, and a growing ecosystem of capital providers. Traditional banks have returned to construction lending, private credit has expanded, institutional investors are increasingly active, and billions of dollars in federal investment have accelerated infrastructure modernization. Together, these developments have created one of the strongest investment environments the island has experienced in decades.

The implications extend far beyond Puerto Rico.

Hospitality has always been one of the Caribbean’s most important economic engines. Across the region, demand for luxury resorts, branded residences, mixed-use destinations, marinas, wellness communities, and experiential travel continues to grow. Meeting that demand requires sophisticated capital markets, experienced development partners, and trusted financial institutions.

Puerto Rico’s financial resurgence is helping create that foundation.

As capital markets mature and investor confidence grows, the island increasingly serves as a gateway for institutional investment into the Caribbean. International hotel brands, private equity firms, family offices, lenders, and developers are viewing the region with renewed optimism, supported by stronger financial structures and improved access to capital.

At AG&T, we have worked to help build those connections.

Through partnerships with organizations such as Bisnow, the Urban Land Institute, the Puerto Rico Builders Association, and numerous hospitality and investment organizations, we have organized conferences, investor forums, educational programs, and networking events that connect mainland U.S. capital with Caribbean opportunities. These initiatives are designed not simply to promote projects, but to foster meaningful dialogue between investors, public officials, hospitality leaders, financial institutions, and developers.

Our objective has remained remarkably consistent: position Puerto Rico and the Caribbean as globally competitive destinations for investment, innovation, and sustainable economic growth.

The Caribbean hospitality sector is entering a defining period. Record tourism, expanding airlift, increasing demand for luxury accommodations, resilient infrastructure, and growing interest from global investors are reshaping the region’s development landscape. At the same time, public-private partnerships, innovative financing structures, and collaborative leadership are creating opportunities that would have been difficult to imagine only a decade ago.

Economic transformation does not occur in isolation. It is the product of sustained collaboration among governments, financial institutions, developers, investors, and industry organizations that share a common vision.

Puerto Rico’s financial renaissance is strengthening not only the island’s economy, but also the future of Caribbean hospitality.

At AG&T, we are proud to continue serving as a bridge between Caribbean opportunity and global capital—helping build the relationships that will shape the region’s next generation of hospitality and real estate development.

Puerto Rico Ready for Development

Ponce Paradise

A Beachfront Acre For $30K In An OZ? Welcome To Puerto Rico

Published by Deidra Funcheon, Bisnow Miami

Puerto Rico was already struggling from decades of fiscal mismanagement and had just declared bankruptcy over its $123B debt when it was hit by two hurricanes in September 2017 — only to run into a botched disaster response. The way some see it, though, rock bottom is behind Puerto Rico, and the island is in the early stages of an upswing. “Puerto Rico is setting an incredible pace for economic recovery,” said Brad Dean, CEO of Discover Puerto Rico, a destination marketing organization that promotes the commonwealth. “Airport arrivals are exceeding pre-Hurricane Maria levels, as are lodging revenues. Given the quick rebound, reinvestment in hotel product and tremendous potential for the island’s tourism industry, this is Puerto Rico’s time. From an investor’s perspective, there’s never been a better time to invest in the island’s tourism industry.”

Buildings and infrastructure are still being repaired and upgraded, and the government has instituted a full slate of tax incentives to lure investors, said AG&T Managing Partner Adam Greenfader, who advises clients from his base in Miami. “You can still acquire assets for 50 cents on the dollar,” he said. “Beachfront land in Puerto Rico today can still be acquired at $30K an acre.” Dean and Greenfader will be panelists at Bisnow’s Caribbean Hospitality & Tourism Summit Aug. 1. Puerto Rico’s economic spiral goes back decades. After World War II, it gave big tax breaks to manufacturers, and to cover for revenue shortfalls, issued more bonds than it could repay. In turn, it implemented austerity measures that did little except drive the population away. Its problems were exacerbated by that fact that it has no voting power in Congress.

Greenfader outlined some key developments toward a turnaround. Puerto Rico’s cash-strapped government has tried to lure investors with laws like Acts 20 and 22, passed in 2012 and designed so that people who move to the island pay little or no federal income tax, even on passive investments. Greenfader said this has attracted 250 to 500 families per year, including big names such as billionaire John Paulson.  Other incentives include one that lets people with tourism-related projects get back 40% or 50% of their acquisition costs.  

 

Development Land
80 Acres in Naguabo, Puerto Rico

 

Puerto Rico’s massive government debt is currently being sorted out by a federal oversight board. “The major bonds, COFINA and GO, have been renegotiated and the bondholders have been put into payment plans,” Greenfader said.  Since the 2017 hurricanes, federal disaster aid — including $1.4B authorized in June — has trickled in. Hotels damaged in the storms were forced to remodel or rebuild and are now offering better products at higher rates. Many are incorporating solar and microgrids to be resilient for the future. The storms raised the profile of Puerto Rico — one study found that prior to them hitting, about half of Americans hadn’t known the commonwealth was part of the U.S. Airport arrivals and tourism revenue have already set records this year. On top of this, Puerto Rico is the beneficiary of community development block grant funding, and 97% of the entire commonwealth — much of it beachfront — has been designated a qualified opportunity zone. “Puerto Rico never had a 1031 exchange, so from a tax perspective, it’s the first time it’s getting capital gains money,” Greenfader said.  

Lifeafar Investments Chief Financial Officer Cole Shephard, who will also be a panelist at the Bisnow event, said his Colombia-based company is already taking advantage of Puerto Rico’s investment climate, raising $16M in an opportunity fund to reposition a 61-room hotel. Shephard said Lifeafar, which started by offering real estate services to expats in Medellín, was drawn by the tax incentives and that the opportunity zone designation was a bonus. He is now doing due diligence on additional properties. “I see the sophisticated money chasing metro San Juan,” he said, suggesting that there is a lot of opportunity for small to mid-market projects outside of the city. Not everything in Puerto Rico is rosy. 

Development Land
29 Acres in Isabella, Puerto Rico

 

As the government has scrambled to generate revenue, sales tax was raised to 11.5%, pensions have been cut, college tuition increased and some 300 public schools closed. Critics have complained that wealthy investors have been protected while ordinary Puerto Ricans suffer. “The locals have had to carry the brunt of these austerity measures,” Greenfader acknowledged. “I’d understand completely, if I see a guy who’s a hedge fund manager with $500M earnings pay hardly any taxes, versus the regular guy paying 35% taxes who’s a salaried worker at Bacardi,” Shepherd said. But Shepherd added that conversations with Puerto Rican officials convinced him they have carefully calculated the tradeoff and found that luring private investment now will help island residents long-term, even though it may take years for the effects to be obvious.

Greenfader suggested that boosting tourism is a winning solution for both investors and residents. Because Puerto Rico since the Kennedy era has been focused on manufacturing, its tourism industry was relatively neglected. The industry now accounts for less than 7% of Puerto Rico’s gross domestic product. In other Caribbean islands, that number is typically between 30% and 80%. Dean’s destination marketing organization, Discover Puerto Rico, was established last year to actively promote tourism. Bisnow’s Aug. 1 Caribbean Hospitality & Tourism Summit will also include Puerto Rico Tourism Co. Executive Director Carla Campos, Hilton VP for Development Juan Corvinos Solans, Puerto Rico Builders Association President Ing. Emilio Colón Zavala and more. 

Event Ended On: Thursday August 1 2019

From Ideas to Action: Helping Rebuild Puerto Rico Through ULI Advisory Services

From Ideas to Action: Helping Rebuild Puerto Rico Through ULI Advisory Services

 

 

Thought leadership is important…But real leadership is measured by action.

Following the catastrophic devastation caused by Hurricane Maria in 2017, Puerto Rico faced one of the greatest rebuilding challenges in its modern history. Communities across the island were confronted not only with repairing damaged infrastructure and housing, but with a much larger question:

How do we rebuild stronger than before?

Rather than simply discussing resilience from the conference stage, AG&T joined a multidisciplinary team of national experts through the Urban Land Institute (ULI) Advisory Services Program to help answer that question.

 

 

Supported by The Kresge Foundation, ULI Southeast Florida/Caribbean, Alvarez-Díaz & Villalón, and the Puerto Rico Builders Association, the Advisory Services Panel traveled to the Municipality of Toa Baja to work directly with local government, business leaders, community organizations, and residents to develop a practical roadmap for long-term recovery and resilience.

Turning Expertise into Action

ULI’s Advisory Services Panels are among the organization’s highest forms of professional service.

Rather than serving as conferences or academic exercises, these panels assemble nationally recognized experts in planning, architecture, engineering, finance, economic development, housing, resilience, public policy, and real estate to solve complex urban challenges.

For one intensive week, the team immersed itself in Toa Baja meeting with local stakeholders, touring neighborhoods, evaluating damaged infrastructure, reviewing economic data, and identifying opportunities that could strengthen the municipality for generations to come.

For AG&T, organizing and participating in the panel reflected a core belief:

Knowledge creates value only when it leads to action.

The Challenge

Among Puerto Rico’s municipalities, Toa Baja was one of the hardest hit by Hurricane Maria.

The municipality sustained more than $1.3 billion in damages, with widespread impacts to housing, businesses, transportation infrastructure, utilities, and public facilities.

Its geographic location also made it particularly vulnerable to future flooding, storm surge, sea-level rise, and other climate-related hazards.

The challenge extended well beyond reconstruction.

The objective was to create a strategy for a safer, stronger, and more economically resilient community.

Looking Beyond Recovery

The panel’s recommendations extended far beyond repairing damaged buildings.

Instead, the team examined how resilience could become a catalyst for economic development.

Among the key areas explored were:

  • Identifying Toa Baja’s long-term competitive advantages within Puerto Rico and the Caribbean.

  • Strengthening economic drivers capable of creating sustainable employment.

  • Improving land use planning to reduce exposure to flooding and future storm events.

  • Integrating resilience into future housing and commercial development.

  • Leveraging public-private partnerships to accelerate investment.

  • Creating more efficient land development processes.

  • Expanding access to resilient housing for residents across all income levels.

  • Aligning reconstruction efforts with long-term economic growth rather than short-term recovery.

The panel also examined how natural systems, coastal conditions, transportation networks, and infrastructure investments could work together to create a more resilient municipality.

 

Resilience as Economic Development

One of the panel’s most important conclusions was that resilience should not be viewed simply as disaster preparedness.

Well-designed resilient communities are also stronger economies.

Investments in flood mitigation, resilient infrastructure, modern utilities, housing, transportation, environmental restoration, and thoughtful land planning improve quality of life while making communities more attractive for residents, businesses, investors, and employers.

Today, that philosophy has become increasingly accepted throughout the development industry.

Institutional investors, lenders, insurers, and governments now recognize resilience as a critical component of long-term value creation.

From Recommendations to Lasting Impact

Although the Advisory Services Panel lasted only one week, its influence extended well beyond the final presentation.

The report continues to serve as a strategic resource for municipal planning, resilience initiatives, economic development discussions, and future investment opportunities.

More importantly, it demonstrated what can be achieved when the public sector, private industry, nonprofit organizations, and community leaders collaborate toward a common objective.

The challenges facing island communities require integrated solutions.

No single organization can solve them alone.

AG&T’s Commitment

For AG&T, participating in the Toa Baja Advisory Services Panel reflects the type of work we believe matters most.

Our role extends beyond advising individual developments. We are equally committed to helping strengthen the communities in which those projects exist.

Over the years, AG&T has contributed to numerous initiatives involving the Urban Land Institute, the Puerto Rico Builders Association, universities, government agencies, institutional investors, and nonprofit organizations, all with the shared objective of advancing sustainable economic development throughout Puerto Rico and the Caribbean.

Whether the challenge involves resilience, housing, hospitality, infrastructure, climate adaptation, or economic competitiveness, we believe meaningful progress begins with collaboration.

Because rebuilding communities is about more than replacing what was lost. It is about creating places that are stronger, safer, more prosperous, and better prepared for the future.

That is the kind of work that creates lasting impact.

Download the complete ULI Advisory Services Panel Report for the Municipality of Toa Baja to explore the team’s recommendations for building a more resilient and economically vibrant community.

Adam Greenfader Named Chairman Florida Puerto Rico Builders Association

Adam Greenfader Named Chairman Florida Puerto Rico Builders Association

San Juan, Puerto Rico

Adam Greenfader was recently named Chairman of the Florida Liaison Committee of the Puerto Rico Builders Association (PR Builders Association). For over sixty years, the PR Builders Association has been the island’s leading professional construction and development group. The PR Builders is responsible for government lobbying and networking. The Builders Association consists of high-level professionals in the residential, hospitality, industrial and commercial sectors.

“We are honored to have Adam Greenfader chair this new committee. Mr. Greenfader has been part of our organization for many years, is a tested professional in both markets and has a wealth of knowledge that will be a great asset,” exclaims Arch. Ricardo Álvarez-Díaz, president of the Builders of Puerto Rico.

The Mission of the Florida Liaison Committee is to be a bridge between Florida and Puerto Rico. The goal is to support  builders, bankers, investors and other professionals. The committee aims to facilitate access to services, information, and key contacts. “Our goal is that the PR Builders Association is seen as a first and most important stop for anyone that wants to expand to either market,” says Adam Greenfader.

In the last couple of years, with the passing of laws 20 and 22, Puerto Rico has seen a significant increase of interest from companies and individuals from the US mainland. There are also great opportunities for Puerto Rican companies that want to export their services and products, and use Florida as a first stepping-stone.

The Florida Liaison team is in the process of developing key stakeholders relationships and organizing its events for 2016 in both Florida and Puerto Rico. If either you or your company is interested in participating, you may contact Mr. Adam Greenfader at adamgreenfader@gmail.com or call the Builders Association at 787.751.1471. Learn more about the Puerto Rico Builders association here. 

 

 

San Juan, Puerto Rico

Por más de sesenta años, la Asociación de Constructores ha sido el principal grupo profesional de construcción y desarrollo. Esta organización ha sido responsable de promover el intercambio de información entre desarrolladores, inversionistas, miembros asociados y profesionales, en el desarrollo y la construcción de Puerto Rico. La Asociación de Constructores consiste en profesionales de alto nivel en el sector residencial, hotelero, industrial y comercial.

“Nos sentimos honrados de tener a Adam Greenfader dirigiendo este comité. El Sr. Greenfader ha sido parte de nuestra organización por muchos años, y es un profesional con gran conocimiento de ambos mercados”, indica el Arq. Ricardo Álvarez-Díaz, presidente de la Asociación de Constructores de Hogares.

La misión del Comité de Enlace de la Florida es la de ser un puente entre la Florida y Puerto Rico, apoyando y anudando lazos y relaciones entre constructores, banqueros, inversionistas y otros profesionales en ambos países. El objetivo del comité es facilitar el acceso a servicios, información y contactos claves. “Nuestra meta es que la Asociación de Constructores de Puerto Rico sea vista como el primer y más importante paso para la persona y/o empresa que desee expandir su negocio a cualquiera de estos mercados”, explica Adam Greenfader.

Durante los últimos años, Puerto Rico ha visto un aumento significativo en el interés de empresas e individuos del continente de los Estados Unidos con la implementación de las leyes 20 y 22. Existen además, grandes oportunidades para empresas puertorriqueñas que deseen exportar sus servicios y productos. Éstos ven a la Florida como un buen primer paso.

El equipo del Comité de Enlace de la Florida está en proceso de desarrollar relaciones profesionales y organizar sus eventos para el 2016 en Florida y Puerto Rico. De estar interesado en ser parte del comité, puede contactar al Sr. Greenfader por correo electrónico adamgreenfader@gmail.com o llamar a la Asociación de Constructores al 787.751.1471.