Peru continues to attract investment
When you walk through certain parts of Lima, you get a real sense of a city developing well under the winds of economic growth. Wide streets feature comfortable houses and apartment blocks, with palm trees and lawns kept green by sprinkler systems. It’s these living conditions that are attracting new and exciting business into the city.
With growth slowing following the near explosive pace seen in 2013, developers are still looking for the next part of the city to develop. Recent hikes in land values has driven the average price of apartments up in certain parts of the city. This has resulted in analysts stating a more conservative growth rate of 4% in 2016. That’s 3 points down from the boom experienced in 2013.
So what is attracting people to the Peruvian capital? Firstly, there is a new supply of homes to rent, as executives moving to Lima often buy property because they have seen prices go up strongly year-on-year. Secondly, the good weather conditions. Natural light is a major consideration in Lima, as it hardly ever rains. However, from April to December the sky is invariably covered by grey cloud that lowers temperatures and can give the city a dreary appearance.
Many who return to the region are former locals who opted to leave during harder times. In the 1980s many professionals left the country, as local Infrastructure started to collapse. This wasn’t helped by hyperinflation and the ensuing political violence.
Fast forward 20 years and things really have changed. As the middle class has grown again, many Peruvians who emigrated to Spain have returned. The country is now so popular even qualified Spaniards are moving to Peru to find work. The demand that this influx is creating has resulted in a boom in construction. It seems now is the time for Peru to be at the front of South Americas economic drive.