Playa Lagarto Eco Developement

Just a word of caution, we went looking for land in 2010 and of all the developments we looked at or found on the internet (at that time) less than one third are still real and in existence.  I will not post specific names here but if you IM me I can give you the names of the ones that we looked at that are still in existence.  We purchased property and are about one third the way through building our house.
Cheers .... Terry

Hi, I dealt with Recap last year, Rudy, and I backed out of a deal. I had signed the contract and got buyers remorse, after all I was buying something unseen. They did release me but kept a $500 deposit. I wasn't comfortable but I had done some due diligence e-mailing quite a list of people Rudy had referred me to who had bought in Playa Lagarto and also in Nicaraugua. They all sounded quite positive about the company. I just felt pressured into buying as it was the last lot in the first development. Recap has been in several news publications, Real Estate Investing Magazine is one. I would suggest you make sure you are comfortable with what you are buying and do due diligence. Boots on the ground is the only way I will buy in future and I feel like I will go and rent for a year before I buy to know what the area is like. Good luck.

Hi all,

I got an email two days ago from Recap about what I'm thinking is final lots in Playa Lagarto.   Terry and Yuma, I IM'd you both, but if you post publicly here so we're all tracking, that would be appreciated.

Cheers,

Mik.

Hello everybody,
I am in the process of buying land in Playa Lagarto Eco Development and have few questions: Who been on side and seen the land? I have looked on the Google Earth and did not see any development but by the information for Recap all lots are sold and they are starting construction. I see that TerrynViv already building the house. Did you guys use Carlos Arias and building one of the houses designed by him or you using somebody else? Any problems with construction? Any delays?
Thanks

Hi Roy;
We are not in that development, we are in Altos de Antigua.  Our house is about three weeks from completion and there have been no surprises.  Ours is the 12th house built in this development so it is well established.  Back in 2010 we looked at a number of developments that had land for sale but no houses started.  I personally know of three of these developments that STILL do not have a house started.  Please do your homework!
Terry

Are you buying sight unseen without ever visiting the development and/or the country? There are developments all over the country which have only a fancy front gate....and will never likely to offer anything more. Are you using the developers lawyer or do you have your own lawyer?
Suggest you halt your negotiations until you can physically walk the lot/property you are interested in.

Roy;
I must reiterate what Kohlerias just posted.  There are so many "untruths" out there that you need to be boots on the ground and definitely for more than one visit.  Research your own independent attorney and engage him or her.  It will look more expensive compared to what the so called developments are offering but it will be your own salvation in the long run.  I am not in any way trying to burst your bubble, more so keeping it airborne. 

Thanks guys for a good advice! Will try to arrange the site visit.

When you visit, check to see if/what utilities are on your 'site' and if the developer says 'they will be installed next month'....run!!

is that really so many scams in Costa Rica? by dealing with Recap as Canadian company I am hoping to avoid many problems and get some kind of protection.

The VERY first person who tried to scam us in 2010 was a Canadian originally from Vancouver.  He is still alive and well and I have seen his name associated with four other developments since.  The property that he tried soooooo hard to get us to invest in has not had a rock moved on it since 2010 and I am certain it never will.  I am not saying anything at all against Recap as I have not personally dealt with them or even for that matter, know someone who has dealt with them.  Have a look at the website, the last testamonial was written in December of 2012 and their FAQ site STILL does not exist.  The pictures are all artist's conceptions.  Just sayin' ..............

We too, had 'difficulties' after originally dealing with a Canadian...
One of the original 'scams' here was the investment with teak farms, to gain residency and guess where it it came from...Canada.
Don't trust anyone just because they speak English.

Suggest you visit a few times, before buying anything.

You might find this link interesting where it mentions 'it is the middle of nowhere...

We were looking at the same property and decided to hold off, especially until a 'boots on site' visit.
We are very interested in retiring here, and the online brochure certainly look interesting for what we are looking for.
We were going to Costa Rica this last June, but went elsewhere as the weather didn't look great.
Did their over the phone / on-line sales pitch.
They stated they in the process of starting construction in the next few weeks (this was back in April 2014).
Of course they have pictures of site clearance / preparation and some construction equipment at the 'site', of course one jungle site looks the same as another untill you visit the site to see the progress or the quality of the work.
They stated they ere ging into construction in the next few weeks....
We were looking at the rental income aspect as we have about ten years to go before retirement, and liked the idea of a 'remote managed' income investment with retirement aspects. Found their 50-70% rental occupancy statement a little hard to swallow - how maney people really want to go and rent a place in the middle of nowhere on vacation, and still cook, etc.....?
The 50% down deposit and above market rate expensive wendor financing wansn't a real seller either. Like our rental properties, want the income pay for the property......
Of course, they stated they were almost sold out, only three or four units left, which would be sold in the next week.....so need to buy now......
Sorry, but we'll go visit a few sites this winter and check things out there, maybe even this project if it is there then......
Aside from visiting the site, would really like to talk to the residents for feed back.

Hello BeachCanuck,
I know that the phase 1 lots are sold and they are going to start construction. However, I do not want to buy just land, I need a house and house in gated community. I am the same as you planning to rent the property out for the next 10 years but I do ROI calculation by myself and my calculation is much more pessimistic. I also do not like their financing and not even consider it. It is much more easier to use the line of credit from Canadian bank to finance it.

We're kinda the same....ditto on the managed and gated aspect......
When I look at the ROI (& risk) too not great (especially the occupancy rate is fairly speculative), for the money we'd have tied up in this place, I'm currently thinking we'll just buy another rental (or 2 for the amount they wanted) here (where I can watch it), flip it in 10 years or so and just rent some new place each winter.......or am I off base to think that.............

If you are purchasing property with the main intention of renting it out, I would suggest you check into some of the very established developments near the beach. There are thousands of rentals available through private management companies, airbnb VRBO Flipkey that may only be booked during the high season such as Christmas, New Year and Easter weeks, and these have all the 'bells and whistles'. Also you can expect the electricity bills to be 'sky high' if your unit requires AC and realize that most tourists do you use it, extensively where you as a 'owner' will think twice before turning it on.

If you are having to borrow from the bank to finance this purchase, I would suggest, you pass.

Saying that the first phase has sold out may just be a ploy...

BeachCanuck...I think you are the right ...beach...track.

Hi Roy
I am in the same situation you are in.  Close to committing but now decided to get there and view the site in person.
May open up other opportunities as well.  Planning to go mid November or January.

Hi StuCow,
I found guys that bought land in Playa Lagarto and visited site couple of times. they confirmed that site development on phase 1 is completed and villa contraction already started. there are also some pictures of the development on the Recap facebook page.
I am planning to go to Costa Rica in November - December

Hey Roy
Thanks for that.  See you there.

You may want to read this article. written by one of the good realtors in the country.

Hi Roy,
Nice to read your blog postings.  They are useful.
I am from Toronto, Canada and interested in investing in Playa Lagarto Eco Development project.  From your comments, I understand that you are a potential investor in this project.  I have a question.  Do you know how many have committed to house construction in this project?
Cheers!
Maha

I know this project and am located about 1/2 hour from it. I have a B&B and have had several clients staying with me that came here as potential buyers in the project. I also met the architect.  I have not been up in the project itself but know Lagarto well as I have a friend who lives there. It is not in the middle of nowhere, but, for example, the closest real supermarket in the area is right next to me. I would never ever advise anyone to buy there without coming here first and seeing the project. BTW none of the people who stayed at my place bought there.

That helps.  How far is the closest hospital from Lagarto in case of an emergency?
Any specific reason why people who stayed with you did not end up buying a lot in the project?
Thanks

I am about 45 min- 1 hour from the nearest hospital so they must be about 20 minutes more than that, depending on road conditions.

The people didn't say why they didn't buy but I imagine that the fact that there were only roads there had something to do with it. This was February of this year.

Thank you Joancr,
I understand from their photos on facebook that there have been so much development since Feb. Looks like the drainage system and the power lines have been installed.  The first house is being built.  I think there will be more buyers now.
Is there a farmers market in Lagarto?
What's the local population of Lagarto (approximately)?
Sorry for asking too many questions.
Regards,
Maha

Playa Lagarto is a fishing village and doesn't have a farmer's market. Wish I had some pictures to post for you. I would assume that the closest farmer's market is either Nosara to the south or the one I go to which is Tamarindo (or Santa Cruz) probably both about an hour away. The population of Lagarto I really don't have any idea but maybe 200-300? Hard to tell since a lot of the houses aren't really visible and it is not clear what the boundaries of the town are. I was trying to figure out how to send a google earth link to look at the town  but out how to do it here. If you look at google earth you can clearly see the town.

I live in a gated community and have for 7 years. I have lived in Costa Rica for about 14. Knowing what I know now, I would want to know minimally the following that I can think of off the top of my head (this has nothing to do specifically with your project but any project):
1. What infrastructure is there and what is planned (master plans aren't enough for me, I want to see construction)
2. Who is the legal owner of the property (get the personeria for the corporation and find out who is behind it)
3. What is the community like
4. How far from basic services and things you want to do (restaurants, hang out spots, whatever)
5. How is the homeowners association set up? Is it a condo association or not?
6. Source of water and if it is a well does the well have a concession?
7. How good is cellular phone service and internet?
8. Banking? Gasoline?
I could go on forever...and I am sure I forgot some. Oh and don't use the same attorney that represents the sellers

But the important, really important thing, is to come to Costa Rica and visit the project. Never buy anything sight unseen. There are zillions of projects here and lots of things available. Also before you decide to buy in an area, it is better to try and plan an extended trip and stay in the area you are interested in. And visit others.

Take what Joancr has told you, and don't forget any of it, when you look at this or any other development' in person

Chances are that this is a display home .... so no guarantee that more will follow.

Thank you Joancr and Kohlerias for the valuable information.
I need to do more research.  The sellers told me that the area will be a WIFI zone.. 
Is there a public transport system that goes to Tamarindo, Nosara or Santa Cruz?
I think with the fewer population in Playa Lagarto there may not be any.
How is the taxi service?
We will stay at your hotel when we visit Costa Rica.  Not sure of the dates yet.  Could be either in Nov or in Jan.
Will be in touch with you
Regards,
Maha

I am sorry to be such a rain-on-your-parade person because , believe me, I have done plenty of stupid things here. Glad to hear you will come down and see for yourself.

Regarding WiFi...WiFi is really only as good as the provider so don't be swayed by that. You might have internet but it might be so slow you can't stream Netflix. I have 3 different sources for internet at my place and sometimes that isn't overkill. People from North America in general have forgotten how bad slow internet can be!

There is a guy in Lagarto who does a taxi service. I know because my friend uses him but that is what taxi service is here...someone willing to drive you somewhere for money. Not a stand of shiny cars. They do have that in Santa Cruz and in tamarindo though.

There is a bus that goes to Lagarto which is the bus that goes to Ostional. I imagine it is only once to Santa Cruz and once back, though. You can do a transfer and get to Tamarindo. I don't know about bus service to Nosara.

I wish you the best!

Hey Roy I have 2 lots in this Development I have had boots on the ground here right from the start. I will tell you this is a fantastic development top notch Carlos and his crew are great not only at the resort but also with the locals in the area in Playa Lagarto. My lots are in Phase one the one lot is perched high on a hill surrounded by lush growth thew oher is ajasent seperated by a smallturnaround road. I have one of the best views in the Development and close to the ammenities centre. I am looking to sell one of my lots so if you are interested letme know.I just joined when I seen your post.

(Moderated: please post in the housing section)

Thank you for the offer! I already bought lot.

With Recap Investments?

Yes, with Recap. When I received all information such as topography, pictures and contracts conditions I have decided to buy a lot on phase one

Is some one now  about recap investment in costarica

Hi Don,
what do you want to know about RECAP?

Yes, the architect/contractor

Hi Brooksy,
I bought through the RECAP land and in a process of building a villa in Playa Lagarto