New Property Investment Opportunities in Brazil

Brazil is the world’s 6th largest economy. The country is regarded as one of the best performing real estate market. Statistics from Knight Frank’s Global House Price Index, show Brazil as having the second highest annual house price growth. Its growth was at 23.5% in the first quarter of 2012. The growth in the housing markets in Sao Paulo has seen the prices for houses increase by 18.7% year on year during the first 3 months of the year, 2012.

A new direct flight connecting Sao Paulo in Brazil with the United Arab Emirates expected to start in June 2013 is expected to open new investment opportunities. The investment opportunities to be borne out of this connection are expected to be in real estate. Real estate developers in Sao Paulo are excited by the prospects offered by Abu Dhabi’s Airliner the Etihad. According to the Brazilian ambassador to the UAE, the flights by Etihad Airways to Sao Paulo will create opportunities for the government, trade, tourism and cultural exchanges.

Dean Thomas, who is the director of DLT International in Brazil, a condominium Development Company, he believes that an increase in business is eminent. Commercial relations between North America and the Middle East are expected to improve drastically. Certainly interest in business opportunities in Brazil has been growing in the Middle East. According to Dean Thomas who has been in business in Brazil for more than six years the growth in interest has been growing steadily. About three years ago now, DP World a company registered in the UAE bought a majority stake in Embraport, Brazil. Embraport, a new port terminal next to Porto de Santos, the country’s largest container terminal.

Mubadala Development an Abu Dhabi Government owned strategic company went into a deal with EBX Group. The deal was worthy $2 billion and it was struck earlier this year. EBX Group has interests in oil, gas and the gold industry. More developments are expected to take place soon. Emirates Airline started flying into Rio de Janeiro earlier this year. The Dubai Department of Tourism and Commerce Marketing is expected to open an office in Sao Paulo.

Thomas believes that Emirati’s are competent investors. Emirati’s are able to spot new opportunities and take advantage of the opportunities. The robust economy in Brazil coupled with its wealth from natural resources and a growing number of middle class families makes the country an ideal place for foreign investors.