Has the real estate market sufficiently adapted to meet changing demands?
A combination of government incentives, in addition to strong fundamentals, are expected to continue having an impact on the building industry in a positive way. Despite the strong growth registered over the past few years, however, the challenge of reducing the number of Peruvians that lack appropriate housing remains. According to figures from the Ministry of Housing,...
Accounting for around 5% of GDP, the Peruvian construction sector continues to see expansion at several levels. The sector grew by 8.9% in 2013 before slowing down to 3.1% year-on-year in the first half of 2014. Activity in the construction sector is being led by the burgeoning need for housing, as well as commercial real estate, both resulting from improved living standards in Peruvian cities...
Though Peru’s economic growth registered a slowdown in 2014 - to an estimated 3.1% according to the central bank compared to rates of between 5% and 9% for much of the past decade - the mining-led economy is expected to regain momentum in 2015 as diversification efforts continue and government measures to stimulate investment take effect.
Private companies and building infrastructure in Latin America are trying to take a piece of cake project recently announced 9,100 million dollars to build one of the largest airports in the world in Mexico City.
Infrastructure development plans are focusing on the concession model to support the expansion of road connections. However, the initial market response to the projects has left much to be desired. Despite the pre-qualification of up to 10 companies for each of the first four projects to be tendered by the government in April 2014, the response from operators has so far...
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