In the last blog we addressed the millennial generation and the influence the pandemic had on decision-making to make a real estate investment. However, within the investment sectors preferred by younger investors, more and more people are entering equity investment, not forgetting the cryptocurrency market. Therefore, the goal of millennial investment is to achieve a short-term and substantial return.
On the contrary, “Generation X” and Boomers tend to invest with a long-term return and greater leverage in investment; this change in generational paradigms arises from the social, economic and cultural context in which each one developed. It is a generation whom transitioned to the digital age and the great social changes, they partied the 60s and were part of consumerism of the 80s, witnessed the birth of the “Internet” and the bubble of the 90s fall. Without a doubt, there were many facts that conditioned this generation to be more likely to be employed and have a very proactive working life. Today in the different productive sectors (public and private) they are recognized as great strategists with a high degree of commitment and perseverance, which, thanks to their adaptation to the digital age opened the way to the “Embitious Generation of Millennials” and the “Generation Z innovation”. Intergenerational coexistence became more acute with the arrival of the pandemic; without a doubt, it was a watershed and a paradigm shift in the way we live and live together.
Hence the need to have its own space surrounded by a natural, sustainable and profitable environment, beyond large cities, causing a historic event: “migration” between urban areas, migration between rural areas, migration from rural areas to urban areas and migration from urban areas to rural areas. Faced with this scenario, the Riviera Maya became an ideal destination for different generations to live, live together and invest.
Currently, investors of “Generation X” have a greater interest in this tourist destination, due to the historic margins of sustainable Return on Investment (ROI) and the rise in real estate investments, due to the high demand for accommodation and the appreciation of real estate, such as its natural and archaeological environment. This generation shows a serious investment interest because it is a highly profitable destination due to tourist demand and stable long-term profitability. The Riviera Maya is a destination offering a wide range of real estate opportunities under very profitable business models allowing to full filing the different perspectives and investment needs of clients of different generations to converge together.
Investment is not only an issue of generations, it is an issue involving an in-depth analysis by gen X investors demanding security and stability. With the offer of sustainable real estate projects, they visualized the possibility of raising their value, taking into account the high percentage of vacation rentals coming from the “Millennials”, whom primarily demands sustainability and implementation of eco technologies linked to a reduction of consumption of non-renewable natural resources.
Given the demands of “Generation X”, the Riviera Maya is a paradise for investments, as it is a dollarized destination and one of the most popular vacation destinations in the world, as evidenced by the figures and occupation records of the municipalities of the Riviera Maya (Puerto Morelos, Playa del Carmen and Tulum), destinations that have been recognized for their excellence internationally. Added to the benefits in the area is the construction of the “Mayan Train”, which regardless of the controversy of its construction, it will naturally cause the increase in the surplus value of real estate investment combined with the, infrastructure and service of the area. Also, by the end of the “Go Grand Outlet” will open its doors 2022 creating an important economic spillover for the area; this new project will have a total of more than 250,000 m2; of which 90 thousand of them will be destined to commerce and recreation, with artificial lakes and many other attractions.
Wyndham Grand Mayakaan Residences is only 5 minutes from this large shopping mall and 15 minutes from Cancun airport, which makes its location ideal for high equity investments.