SANTO DOMINGO.- The Dominican Association of Tourism and Real Estate Companies (Adeti) projects an investment of US$7.338 billion for the country over the next five years in real estate and hotel development.
This is established by the results of the survey prepared by the firm DASA for the members of Adeti, made public this week, during the first edition of the real estate tourism forum "Economic and Legal Impact of Real Estate Tourism".
“ADETI: Contributing to the Development of the Tourism Sector of the Dominican Republic”, details the dimensions of the entity's project, which covers an area of 222.5 million square meters.
The details of the ambitious plan presented by economist Roberto Despradel state that the "total estimated investment of the project to date includes infrastructure, real estate development, hotel development, by the promoter, developer and acquirer.".
The figures provided establish, in perspective, the construction of 6,219 hotel housing units, for a growth of 145%
In apartments, Adeti currently has 13,930, a figure that is projected to increase to 22,575 housing units in the aforementioned period, for an increase of 187%.
The data provided by Despradel indicates that there are currently 16,875 housing units, with 2,545 under construction. The expected increase within five years is 9,529 units, representing a 71% rise
The real estate and tourism development plan by Adeti will generate 34,937 jobs, according to the survey data; 8,814 directly by the developer, 12,815 by third parties linked by the developer, and an estimated 13,307 by the owners.
The research results reveal that in 2019 Adeti's partners had 26,606 rooms in operation for real estate tourism, a figure that increased to 30,805 last year 2022, for a growth of 16%.
Relevance of real estate tourism in investments
The boost given by the Tourism Development Council (Confotur) to investments is highlighted in the survey results, which state that from 2014 to 2022, 51% of the projects approved through this channel to develop facilities with a tourism vocation correspond to real estate or hybrid tourism projects (hotels/real estate).
“Many projects base their strategy on developing a real estate structure to then attract hotels, while others focus on developing the hotel to then attract real estate investments. A third scheme is the development of real estate investments that then operate as visitor accommodations, and a fourth scheme corresponds to real estate developments that are used by their owners, who in turn rent them to third parties,” the document explains.
Of the approvals made by Confotur between 2014 and 2022, real estate tourism projects are responsible for 41% of the investments, the study states, which also highlights that this strategy has been key to the growth and development of real estate tourism.
In the tourism sector from 2014 to 2022, through Confotur, 486 buildings, 10,559 apartments, 118,077 rooms, 3,058 local villas and 406 commercial buildings were approved.
Adeti believes that 2023 will continue to be a year of significant growth for tourism and real estate tourism. “New developments equivalent to more than 6,000 new rooms this year, generating more than 4,500 new jobs.”.
