The Local Knowlege

Golf & Business

Back from la muerte? Signs of life in Los Cabos real estate

By Peter Finch

I visited Mexico's Diamante Resort in early 2012 as part of a travel article
I was writing on Los Cabos. (Click here if you want to read it.)
At the time, the resort’s Dunes Course (below) was up and running—but not much
else. A clubhouse was under construction, and I remember passing by some
mostly empty condos overlooking the course.

loop-diamante dunes.jpg
Economic recovery seemed a long way off. As I drove away from the
resort, I recall thinking the developer and his lenders had better be
patient. It was going to get harder before it got easier.

Things are looking up at Diamante these days, according to a Bloomberg
report. It says a 31 percent gain in U.S.home prices has 
encouraged owners to use their equity to buy second homes in Mexico.

They probably feel like they’re getting good deals. Prices in Los Cabos
plunged 40 percent in the global financial crisis. They have gained
about 5 percent a year since 2012.  Bloomberg attributes those numbers
to Bruce Greenberg, director of real estate valuation services for
Deloitte in Mexico City.

Lots at Diamante are up about 10 percent since 2010, developer Ken Jowdy
told Bloomberg.

Part of the excitement at Diamante is the new, Tiger Woods-designed
course, El Cardonal, which debuts later this year.

If it’s anything like the Dunes course, golfers are in for something
special. Designed by Davis Love III, the Dunes opened in 2009 and was
ranked No. 1 in Mexico by Golf Digest in 2012. It was easily among the
most memorable courses I’ve played.