HOLA Conference – Day 1

5|15|2018 – JW Marriott, Downtown, Miami.  

AG&T and the Builders Association of Puerto Rico invited to participate at the Hotel Opportunities Latin America (HOLA) Conference in Miami. 

Some take aways from today’s meeting in Miami. 

  • The LATAM hotel industry is seeing a lot of over supply with a few exceptions in the emerging countries. 
  • Big hospitality growth in Colombia(14%), Costa Rica(15%)  and Peru (18%) . 
  • Mexico and Brazil still lead in overall Latin American hotel supply pipeline. 
  • As for new development, risk management is the word of the day. As is expected, all inclusive resorts seem less concerned about the new disruptors like Airbnb, but all are keeping their eyes on elections in several key countries. 
  • Argentina and Brazilian markets continues to draw hotel groups but there is uncertainty about exit timetable. 
  • Investors in several LATAM countries move beyond capitalization rates and focus primarily on desired yields.

 

Join us at the Hola:  http://holaconference.com

 

 

 

Puerto Rico Elects to be # 51?

The current territorial status received 1.3% (6,820) votes, independence 1.5% (7,773) votes, and 97% (502,375) votes for Statehood, according to the State Election Commission.

vote art

This is the first time in Puerto Rico history that a Statehood referendum receives such an overwhelming majority of voters. 

 “The votes are what dictate what the steps to follow will be; in this case, a strong majority determined that we would reject the colony and favor statehood,” governor Ricardo Rosello said.

This process of petitioning Statehood will be effected under the “Tennessee Plan” whereby the governor will designate seven members to go to Congress and request Puerto Rico to become the 51st State.  

According to Resident Commissioner Jennifer González, the June 11, 2017 turn-out of 23% of registered voters (516,968) is in line with several states that were the last to achieved admission. 

  • Arizona – In 1911, a participation of 15,489 voters of a population of 217,000, for a 7% electoral participation.
  • Hawaii  – In 1940, 35% electoral participation.
  • Alaska – In 1946,  a participation of 16,375 voters of a population of 75,000, for a 21% electoral participation.  

 

 

 

 

A Fiscal Plan Towards Economic Recovery

Old San Juan

 

On October 14, the Commonwealth of Puerto Rico submitted its Fiscal plan. Here is my summary: 

Only with a change in federal policy and a change in the trajectory of the island’s economy toward real growth, will there be money for  debt service – while not jeopardizing the Commonwealth’s ability to provide essential services. 

 

  • U..S. citizens living in Puerto Rico must receive the same level of healthcare funding as citizens living in the 50 statesThe Commonwealth Can Achieve Efficiency Gains by Consolidating Overlapping Agencies and by Further Centralizing Procurement to Capture Cost Savings
  • Complete large-scale strategic projects to improve accesses and competitiveness including the Northwest Corridor (PR-22 highway from Hatillo to Aguadilla), the redevelopment of Roosevelts Roads, and the Caguas Commuter Rail
  • Position Puerto Rico as one of the premiere travel destinations of the world for local, domestic and foreign travelers by supporting the financing of 9 hotel construction projects currently on hold
  • Attract economic development, private investment, and tourism by expanding the Port of the Americas value added zone, improving the Aguadilla airport, and expanding the Panamericano docks to attract Quantum-like mega cruise ships.

 

 

Click here to see the Commonwealth of Puerto Rico Fiscal Plan : https://issuu.com/adamgreenfader/docs/fiscal_plan_v_final