Background on Carolina León Soriano and Her Relevance
Carolina León Soriano, the president of the Asociación para la Defensa y Apoyo al Gremio Inmobiliario (ADAGI) in Puebla, is a key figure in the real estate sector of Mexico. Her organization represents and supports the interests of the real estate industry, making her insights valuable for understanding market trends and developments.
New Developments in Puebla’s Historic Center
León Soriano highlighted that the value of old houses and buildings in Puebla’s Historic Center, some dating back 20 years or more, could increase by up to 40% due to new vertical residential developments. These projects are attracting developers from neighboring states such as Querétaro, Veracruz, Hidalgo, and the Mexico City metropolitan area.
Benefits for Existing Property Owners
The ADAGI president explained that these new developments would benefit property owners in the Historic Center, many of whom had previously left their properties vacant or abandoned. The influx of new residents and businesses would encourage renovation and utilization of these properties.
Student Housing Opportunity
León Soriano pointed out that renting rooms to students from other states seeking central accommodation presents a lucrative opportunity. Puebla hosts an important educational cluster with over 400 universities, making it an attractive location for student housing.
Price Trends in the Historic Center
According to León Soriano, a 15-year-old apartment that was previously valued at 450,000 pesos could now command a 40% higher price due to the repoblación (repopulation) plan. New apartments range from 1 to 2 million pesos, depending on size, location, and floor within the building.
Slow Progress of Repopulation
León Soriano acknowledged that the repopulation process has been slow, with only 1,000 new apartments planned within the Historic Center and another 3,000 outside of it over the past two years. Despite this, developers view the plan positively for the Puebla real estate market.
Challenges in the Market
She mentioned that some homeowners insist on overpricing their properties by up to 200%, which does not align with the current conditions. Additionally, constructing standalone houses or a subdivision is not financially viable due to the high demand for vertical residential options, particularly for families of four with central work or school locations.
Reusing Old Properties
León Soriano explained that older properties can be repurposed for new residential buildings, with prices ranging from 10 to 15 million pesos. This investment can be recouped by developers in 8 to 10 years.
Key Questions and Answers
- What is the expected increase in property values? Property values in Puebla’s Historic Center could rise by up to 40% due to new vertical developments.
- Who is driving these new projects? Developers from Querétaro, Veracruz, Hidalgo, and the Mexico City metropolitan area are investing in Puebla’s Historic Center.
- How will existing property owners benefit? Renovation and utilization of previously vacant or abandoned properties will be encouraged by the influx of new residents and businesses.
- What opportunities exist for student housing? Puebla’s strong educational cluster, with over 400 universities, presents a lucrative opportunity for renting rooms to students from other states.
- What challenges does the market face? Some homeowners overprice their properties, and standalone house construction is not financially viable compared to the demand for vertical residential options.
