Good Macro News For This Real Estate Market

This can only be good news for the local real estate market. WatchBoom travel editor Bob Schulman blogged this in the Huffington Post. Here's the link directly to Schulman's complete article with photos:

 http://www.huffingtonpost.com/bob-schulman/puerto-vallarta-riviera-n_b_6479486.html

Or read this excerpt:

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"...the crescent-shaped bay is one the country's most popular vacation destinations, home to Puerto Vallarta, Nuevo Vallarta and part of the Riviera Nayarit on beaches peppered by close to 200 hotel-resorts.

The bulk of the properties are in Puerto Vallarta (or simply Vallarta, as the locals call their town), as is an international airport serving all three areas. Developments spread north to Nuevo Vallarta and up the coast to what's now the Riviera Nayarit during periodic building booms in the late 70s and in the 80s and 90s, sparked in large part by liberalized air service treaties between the U.S. and Mexico.

Another boom seems likely on the horizon when the latest treaty, signed last November, goes into effect on Jan. 1, 2016.

Flight Caps to be Removed

Among key features of the new agreement, restrictions on the number of airlines that can fly between U.S. and Mexican city-pairs will be tossed out. Currently, under an earlier pact signed in 2005, only three airlines from each country can serve any given route between 14 Mexican points (mostly beach destinations including Vallarta) and cities north of the border. Routes between the U.S. and other Mexican points are now capped at two carriers per side.

Easier access to Mexico means more seats zipping across the border and more competition between airlines, typically leading to lower fares, prompting more passengers to buy tickets.

Readying for the next boom, a number of new hotels are on drawing boards around the bay while several older properties are getting facelifts ranging from cosmetic spruce-ups to full-blown overhauls. 

A tip to future vacationers: Leave some room in your closet for a bunch of new tee-shirts proclaiming your love for places like Bucerias, La Cruz de Huanacaxtle, Costa Banderas, Punta Mita and other tiny dots on today's maps of the upper bay. Why? Because developers are standing on line to build new resorts there."

Thanks to our friend and client Karen Tenorio, owner of Casita Ocean View, for calling our attention to the article.