BajaNomad - Great property value in North Baja

Great property value in North Baja

BajaFrank - 4-29-2010 at 11:26 AM

Just wanted to give you guys a heads up in the great value you are getting for a piece of land these days in Northern Baja. I just bought myself a beautiful beachfront lot for 30K, just about 10 miles south from San Felipe, about 2 1/2 hours from the U.S. border. It has all utilities in place and I already have the banktrust to my name. I'm making my house drawings and planning construction in a month. The development owner is a very decent and honest man. By the way, I'm not trying to sell you guys anything, just wanted to share this opportunity with you guys. If your're interested you should visit their website.

www.diamanteresidencial.com

Say hi to Francisco for me, tell him Frank M. recomended you.

Cheers

DENNIS - 4-29-2010 at 11:33 AM

Welcome to BajaNomad, Frank. I'm sure you'll receive your baptism by fire here when folks start quizing you on the particulars.

BajaFrank - 4-29-2010 at 11:44 AM

Thanks, I came to Baja about a year ago and fell in love with it. It's just peace and quiet. I had a great deal on my property and I thought I'd shared with everyone.

capt. mike - 4-29-2010 at 11:59 AM

Frank - nice project.
is this the one Julio was repping here a year ago?
i can't find sales prices on their website.
are ALL the UG utilities in now?
and what are they - water? power? tel? fiber optics?
sewer is individual septic or??
HOA fees?
im like the proximity to the SF airport.
prices is right but they are very small lots at 300 SM.

respond as you can. thx.

BajaFrank - 4-29-2010 at 12:35 PM

The prices are 30K for a lot which is basically beachfront, only a street in front of you. I think the actual beachfront was about 100K. And yes, they have underground electricity, water from a well, sewer with a sewege treatment plant, the city telephone lines are not there yet but you can a have a cel phone or special type of wireless phone you can buy at telnor. No fiber optics. The HOA fees are not established yet since only one house is completed, I was told that some home owners where about to start construction and I'll start mine about a month from now. They're not that small, you can build a very nice house in a 300 sq. meter lot. The best part for me appart from the view is that they have all their paperwork in place. It's hard to find one of those nowadays.

Bajahowodd - 4-29-2010 at 01:22 PM

I note that on the sales process page of their web site, in the matter of getting a bank trust, they list, among certain other documents, an FM-3 OR an FM-T. There have been other threads on this forum that discussed whether or not a person on what amounts to a tourist visa could purchase property in Mexico. I assume, that given the background of the developer, there appears to be a definitive answer.

capt. mike - 4-29-2010 at 01:27 PM

you have to upgrade to an FM3 if you want to own property.

i traded some emails just now with the developer. seems to have his act together. wants 120K on the front row. 30K for 100 yards back.

BajaWarrior - 4-29-2010 at 04:00 PM

This is the development Don Julio has been pushing in months past...

Terry28 - 4-29-2010 at 08:08 PM

Ya know for $90,000 I can walk 100yards....just saying...

Donjulio - 4-29-2010 at 09:16 PM

I still live in the development in the only house in there. The 3rd row lots were lowered to $30,000 but according to Francisco he was promising one at that price. Beachfront is still available. I don't know who Frank is unless Frank is "Francisco" in which case he should probably tell me if he is doing these things hahaha.

Donjulio - 4-29-2010 at 09:18 PM

Reality is if someone offered $90K for beachfront he'd take it. If they offered $50,00 for 2nd row right now it would probably get accepted. So if anyone is really, really interested let me know.

Now the nitty gritty - obviously with only 1 house there is no sewage treatment plant. There are sewer lines. Sewer treatment won't run off 1 house or 2 or 3 or 4 so there won't be one in for awhile.

The water is well water that goes into two plastic holding tanks and is gravity fed. There is no pump or filtration systems (sediment or otherwise) in place at this time.

The lots are 3rd row which means there IS another LOT in front of you and then the street and then the beachfront lots and then the beach. Granted there is probably not going to be any houses close to you in a long time but it is not beachfront.

True there is no HOA fees at this time because there is only 1 house. Therefore the development is currently not maintained.

NOW - the good part is that yes, that is still a great price for a lot anywhere near this close to the water and yes all paperwork is in place and has been checked for another buyer by Carmen Nunoz, a local HONEST attorney.

So thats the update.

[Edited on 4-30-2010 by Donjulio]

capt. mike - 4-30-2010 at 07:05 AM

ok - so WHAT does happen with your sewage now as a finished property? where does it go? are you on a temp septic or is it just sitting in the lines waiting to sail forth to a grinder??
and as for the water - it is for grey use then mainly, right? that's ok but it will fill the sewer - so again, what's the current sewer ops?

Frank i think is Francisco, no?

$120K is too high for a 30 x 90 ft lot if you have to allow for setbacks each side. He should have platted for Z-lots AKA zero lot lines or F lots aka flag entries and stacked drive wings.
developers will know these concepts which thus far are foreign in Mexico.

i am more than happy with a back row lot - so what if you have to walk to the beach - the beach is full of noise, wind, and people walking in front of your patio constantly - don't need that.
his height restrictions bother me too. i'd want higher interior ceilings and for an elevated deck.

but.....that developemnt is one of the better ones i have seen. too bad in summer it's like a furnace there. guess for the seasonal guy it works.

Donjulio - 4-30-2010 at 07:35 AM

Quote:

Originally posted by capt. mike
ok - so WHAT does happen with your sewage now as a finished property? where does it go? are you on a temp septic or is it just sitting in the lines waiting to sail forth to a grinder??
and as for the water - it is for grey use then mainly, right? that's ok but it will fill the sewer - so again, what's the current sewer ops?

Frank i think is Francisco, no?

$120K is too high for a 30 x 90 ft lot if you have to allow for setbacks each side. He should have platted for Z-lots AKA zero lot lines or F lots aka flag entries and stacked drive wings.
developers will know these concepts which thus far are foreign in Mexico.

i am more than happy with a back row lot - so what if you have to walk to the beach - the beach is full of noise, wind, and people walking in front of your patio constantly - don't need that.
his height restrictions bother me too. i'd want higher interior ceilings and for an elevated deck.

but.....that developemnt is one of the better ones i have seen. too bad in summer it's like a furnace there. guess for the seasonal guy it works.

Homes that are built now are built with temporary septic. Those lots are two story lots. Plenty of ceiling height in this house. I think it will be a long time before you have to worry about crowds or anyone walking in front of your patio.

I walk in the mornings. On the beach, once I pass the half built small condo project next door it is 50 minutes at a fast paced walk before I even get to the next house. To the south is Casablanca which is undeveloped and currently closed.

These are all zero lot lines and actually that is not too much at all for a beachfront lot here. Next lowest price on beachfront is $225,000 lowered from $425,000. These were $325,000.

The beachfront lots are on a bluff so they can be built down 2-3 stories. Plenty of room. They are 33' of frontage and about 98' deep.

True its hot here in the summer but thats what the sea is for. Lots of folks here leave for the summer. Nice little cabin in Rumerosa in July and August and here the rest of the year is perfect.

capt. mike - 4-30-2010 at 08:11 AM

thx for clarifying.
when the developer has his improvements in i'd consider. he is facing severe price adjustments tho IMHO. if it takes cash flow from sales to keep it moving then he is undercapitalized and the results could end up like all the others - people in early expecting completion and the schitte never gets finished.

$60K for beach just might be the market today. or he'll never get velocity.
sell 10 and then raise em. sell 10 more - the model works here. you have to price em to sell them or you just wait and your OH runs on and on.
still.........i REALLY like the proximity to MMSF tho!!

Donjulio - 4-30-2010 at 09:12 AM

Quote:

Originally posted by capt. mike
thx for clarifying.
when the developer has his improvements in i'd consider. he is facing severe price adjustments tho IMHO. if it takes cash flow from sales to keep it moving then he is undercapitalized and the results could end up like all the others - people in early expecting completion and the schitte never gets finished.

$60K for beach just might be the market today. or he'll never get velocity.
sell 10 and then raise em. sell 10 more - the model works here. you have to price em to sell them or you just wait and your OH runs on and on.
still.........i REALLY like the proximity to MMSF tho!!

Understood Mike. Actually there are about 35 lots here already sold. This project started in 2005 and the developer was one of the smart ones. He did everything required IE water, sewer, electric lines, fire hydrants, street lights, paved streets, street signs for the F4 (final permit) status so that he can transfer title.
In other words he did exactly what he said he was going to do.

I think $60,000 is way to low an estimate and realistically my professional opinion (yeah I know what that is worth) is that even at $60,000 right now I don't believe we would see the momentum for a couple years.

What is happening in other developments now is that the developers had 2 years from time of receiving the F4 to complete the infrastructure. They havent so now are subject to fines and penalties and the question is whether the Fidis that have been issues based on that F4 are now null and void.

What a mess that will be if that is decided that way. Francisco did do it right. I get in the shower and water comes out. I flip the switch and the lights come on. I flush the toilet and it works.

Most of all, the peace and quiet is phenomenal and the place is beautiful.

capt. mike - 4-30-2010 at 03:41 PM

still - no answer to my Q - where does the sewer go today??

and - the elec is on right? you're getting meters set?

Donjulio - 4-30-2010 at 10:48 PM

I did answer your question above Mike (4 posts up). Homes that are built now are on temporary septic systems. And yes this house has its own meters from CFE.

capt. mike - 5-1-2010 at 04:54 AM

ok - thx, i guess i was looking for a little more specificity as to what is a "temporary septic system"
so - can you be more accurate in what that constitutes?
sorry - it's just the "developer" in me.
what do the lines connect to today or are you on something that pertains to your home only?

i think it is inportant to understand the status of the infrastructure if buying in to something that apparantly is not 100% done.
private sewer treatment plants are not cheap to build - if it doesn't go in it's a HUGE problem for investors who have committed.

DENNIS - 5-1-2010 at 05:47 AM

Quote:

Originally posted by capt. mike
what is a "temporary septic system"

Souds like a "cesspool."

Donjulio - 5-1-2010 at 08:02 AM

Quote:

Originally posted by capt. mike
ok - thx, i guess i was looking for a little more specificity as to what is a "temporary septic system"
so - can you be more accurate in what that constitutes?
sorry - it's just the "developer" in me.
what do the lines connect to today or are you on something that pertains to your home only?

i think it is inportant to understand the status of the infrastructure if buying in to something that apparantly is not 100% done.
private sewer treatment plants are not cheap to build - if it doesn't go in it's a HUGE problem for investors who have committed.

The house has it's own regular septic system. It can stay that way if the developer for some reason does not put in a treatment plant. I used the word temporary only because once the "promised" treatment plant is in then it will switch to regular sewer instead of septic.

Packoderm - 5-1-2010 at 08:12 AM

Is it possible to get a bank trust (fideicomiso) on a property, pay down a bunch of money, and if the developer doesn't follow through with a certain amount of infrastructure improvements within two years your bank trust is null and void, so you lose out on the money you paid? I'd be nervous to buy into what could turn out to be such a house of cards. I'll just lease a spot for my junky old trailer when its my turn to live the good life.

BajaFrank - 5-1-2010 at 12:30 PM

Actually the development is complete, the sewage treatment plant will be put in place as soon as more houses are built, everything else is in place. And regarding the bank trust issue, You cannot get one from a development which is not complete. You have to have all the government permits which you'll only have if the development is completed.

BajaWarrior - 5-1-2010 at 12:38 PM

Quote:

Originally posted by BajaFrank
Actually the development is complete, the sewage treatment plant will be put in place as soon as more houses are built, everything else is in place. And regarding the bank trust issue, You cannot get one from a development which is not complete. You have to have all the government permits which you'll only have if the development is completed.

With only one home built that could take forever to get the Bank Trust.

Are you starting your home soon? I'm familiar with the property, it has a beautiful beach and views of San Felipe.

capt. mike - 5-1-2010 at 12:45 PM

"Actually the development is complete, the sewage treatment plant will be put in place..."

sorry - but that is a contradiction - complete means complete.
they have a major piece of the puzzle not in, my opinion.

if i had to front the $$ for a "temp" septic i'd insist the developer roll it into delivery of the lot after $$ negotiations on the closing price.

they don't have performance bonds req'd in baja i am aware of....
if it was the US you'd have to have ALL the stated improvements in to get a clean title and loan.
but - is is a nice property - i'll consider it down the road.

BajaFrank - 5-1-2010 at 12:50 PM

What do you mean?, you can get the bank trust now, as soon as you complete the payments you can apply for the bank trust immediately or you can wait if you want. The development is complete, as far as houses being built, well yeah, that's gonna take a while.

BajaFrank - 5-1-2010 at 12:54 PM

As far as I know the sewage treatment plant has been paid for, it hasn't been put in place so it wont get damaged. As soon as the plant is needed it will be put into place.

norte - 5-1-2010 at 01:04 PM

Frank

Don't worry about it. He is a tire kicker who doesn't have a pot to pee in. Does this to everyone and never buys. Complains the economy has driven him broke

capt. mike - 5-1-2010 at 01:31 PM

really??
i didn't know you had access to my statements... :rolleyes:

yeah - i am sure not ready to buy in baja yet, you're right. especially any deal with loose ends.
that said - i like his deal and there seems to plenty of it available - no hurry.

so - what's your story Norte?? :lol: