SANTO DOMINGO. - The president of the Association of Builders of Santo Domingo East (Ascode), Riubell Montes de Oca, confessed that the outlook for the construction sector, by the end of 2025, shows a trend with difficulties.
In an interview on the program La Ventana de El Inmobiliario , he indicated that high interest rates are one of the aspects that affects both developers and buyers in the Dominican Republic.
He also spoke about another factor: the phenomenon of the migration of construction workers to other areas, citing as an example the movements from Santo Domingo to Punta Cana, and from Punta Cana to new destinations in the country.
“That clearly shows that there are areas where the feasibility of developing real estate projects is beginning to run out. Obviously, that was bound to happen given the number of units that were put on sale in such a short time,” he explained.
On another note, he explained that another factor that will impact the end of the year is the low public spending in the construction sector.
The expert explained that many projects were launched in previous years, but they do not show any conclusions for 2025.
“So, considering that and the difficult outlook for lower real estate rates, we don’t see construction changing much by the end of 2025,” he concluded.
Rejection of the additional tax payment
In other news, Montes de Oca rejected the intention of the Ministry of Housing, Habitat and Buildings (Mivhed) to charge an additional fee or appraisal based on the value of construction projects, similar to what the mayor's office and the Dominican College of Engineers, Architects and Surveyors (CODIA) do.
During his speech, he considered it "unfair" to try to implement a charge that would be a triple tax burden for builders.
“We cannot pay taxes three times; we do not agree with that. And that is one of the issues that is still pending,” he stated.
Despite this stance towards Mivhed, the association agreed to support the need for the ministry to have more managers and staff for processing and inspections, especially in low-cost projects that require constant visits.
This is how the municipality of SDE is growing
The president of Ascode highlighted that the municipality of Santo Domingo Este currently has around seven towers that exceed 20 levels and that, by 2028, the construction of more than 20 buildings of this type is projected.
According to him, four tower projects of up to 50 stories have already been approved on Avenida España and Avenida Charles de Gaulle, which will have mixed operations that will include rooms, hotels of international brands and shopping centers.
He also revealed that the municipality will receive significant foreign investment, some exclusively and others in combination with local capital.
He also mentioned that a mall is planned that will be the largest in the Caribbean, with an investment from a Costa Rican firm with extensive experience in Central and South America.
“Santo Domingo East, in the next 6 years, is going to be one of the most important cities, not only in the Dominican Republic. So anyone who wants to invest should do it early, because the added value generated by investments made in Santo Domingo East will be very significant,” he advised.
ASCODE Congress 2025
During her participation in the weekly program, shared by YouTube, Riubell Montes de Oca spoke about the First ASCODE Congress 2025, to be held tomorrow Thursday, September 18 at the Crown Plaza Hotel, in Santo Domingo.
According to what he stated, the association is inviting builders, suppliers and businesspeople related to the construction sector to participate in this congress that will mark "a before and after" in the business landscape of Santo Domingo East.
