Looking for Partners for Beach Front Property

Oh lordy, now I have to hear a real estate pitch from Darrell? Yes, I’m afraid so. We are just trying to get a nice beachfront lot as cheaply as possible with no intention of making money on it. And we have a plan on how to do it!

Amy and I have lived here for nine years, having recently built a new home just outside of Granada. One piece of the puzzle remains, we want a small casita on the ocean to spend a few days a month.

We have found what we feel is a good location ocean lot in Boquita which is about 20 minutes from Diriamba and around one hour 15 minutes from Granada, paved road all the way. We like Boquita because it is off the beaten path yet has several restaurants within walking distance and Diriamba for major supplies and food.

A survey of the lot is shown below. Roughly rectangular with 244 feet of ocean front, 185 feet deep and 273 feet of road frontage. The ocean is rocky in this area though plenty of sandy beach so if you wish to swim you would need to walk down the beach a bit. On the survey you see there are two houses, a large cuidador home and two wells. We have no idea if we can make the wells functional at this time but there is city water to the property though irregular. What is unique about this lot is that it is tiered and the tiers are the width of the lot. If you were to start at the beach it is a rise about 10 feet to the first tier, another few higher is the second tier where the two homes are then there is the highest tier and the largest section of the lot. This means structures on any tier would not obstruct greatly the ocean view. We believe we can buy this lot for $150-180,000.

Our plan is to put together three or four buyers, agree to how to subdivide the lot, buy the lot then immediately subdivide it so each of the buyers has title to his section of the lot. There are many ways to subdivide depending on the desires of the buyers. The houses are salvageable but would probably require substantial work, let’s assume $25,000.

A simple example would be to tear down house #2, draw a property line near house #1 then create from the remaining property three narrow, long lots of approximately 55 feet wide. In this case we would need four buyers and assuming the cost is $170,000 then the buyer getting the large lot with the home might pay $80,000 and the other three might pay $30,000 each plus closing costs. Would you buy an oceanfront lot for $30,000? There are many other ways to do this especially since the top tier would have room to build 4-8 garden apartments or casitas. Bring us your ideas.

So if interested in discussing further, email me at bushamy13@yahoo.com. Serious inquiries only.

Ahhh, but that’s not all, there is a second phase to this project.

Amy and I bought a oceanfront condo in Myrtle beach many years ago with four other couples and we were all friends. We set up a ten year schedule and we each had one week every five weeks which was still more than we could ever use. All expenses were divided among us. And it was a loose schedule meaning if we were not using the condo our week, one of the other couples could use it or often two couples would use it at the same time.

So what we plan to do with our lot is to find three other couples, build a small 2 BR, 1 bath casita then share it, with each couple getting a week a month. We think we can do all this for around $100,000 which includes the lot price or around $25,000 a couple. All costs would be divided equally. No one would be allowed to rent out their week and the other owners would have first dibs if anyone wanted out later on. We would probably form a corporation with each of us having 25% of the shares.

So that is the whole plan. If interested in discussing further, email me at bushamy13@yahoo.com. Serious inquiries only.

Amy and Darrell Bushnell

GUILLERMO GIACOVI[1]-Cropped resized

2 Comments

  1. Fred Cressman

    February 11, 2015 at 10:13 am

    Nice outline of the footwork you and your wife have done on beachfront property. Hopefully you’ll be able to sit down with others of like mindset. It’s sort of a mini development but without the hyperbole often found.

    Reminds me of your earlier posting which outlined what Nicaragua had to offer and how owning a place high up, in a city and on the beach would make for perfect lifestyle. If you can make it work then you can cross two things off your bucket list.

    Using a corporation to hold title while involving expense does have advantages due to avoiding land transfer taxes on property if one or more decide to exit ownership over time. Of course some potential to do some tourist benefit (rental) thing to gain tax benefits too. Disadvantages are the costs and management which can’t be spread over enough individual units to spread costs although sharing common septic and water system and maintenance/security would be attractive.

    Interesting article and while I’m not in Nicaragua long enough to participate I’d sure be interested to rent there for a week yearly from our base in Granada. Thanks for bringing this to everyone’s attention, I’ll keep it in mind when talking to others about Nicaragua.

  2. Jenni

    February 19, 2015 at 6:20 pm

    I’d love to buy an oceanfront lot in Nicaragua for $30k! What a great opportunity. Is this one rare, or do you see similar real estate deals available in Nica?

    Good luck, I hope this works out for you. I love reading your blog, it is inspirational. My husband and I are planning the move southward, it’s only a matter of time and where?? Nicaragua is very appealing, but we should probably visit before committing.