Page 141 - STRATEGY Magazine (G)

A Country’s Landscape Transforms
As the middle class grows and more and more people
come to Guatemala, demand for commercial and residential real estate with high-end amenities, unobtrusive security, and convenient services continues to increase. New developments reflect this transition.
Most Guatemalans grew up living on a plot of land with a single-family home. There was a stigma attached to living in tall buildings. Today, that is changing. Increased urbanization has workers tired of long commutes. Hector Rafael Leal, Engineer and General Manager of the Cayalá City Project observes, “Rather than driving 20 to 30 kilometers, more people want to live closer to their work and to the city. They desire a better quality of living.”
SMALLER IS THE NEW BETTER
In an area slightly larger than New York’s Central Park, developers in Guatemala City are demonstrating that residents are attracted to a project designed to be open but secure. This New Urbanism promotes living spaces that establish walkable neighborhoods with a range of housing alternatives and commerce.
Whereas urban professionals once embraced family estates outside the city, the attitudes toward downtown living are changing. A younger generation seeking a more cosmopolitan lifestyle sees such developments as their future. Says Leal, “Their way of living is open, and they like to walk. They want to have a piece of open space, so that’s becoming a good market.”
More importantly, these professionals are more than willing to reduce their dwelling size to live in neighborhoods where they can step to local shops and visit nearby weekend farmers’ markets. Apartments currently offering anywhere from 600 to 1,000 square feet of living space are selling well in today’s market.
BUILDING ON A NEW MODEL
During the 1980s, developments concentrated on safeguarding residents. “Well, besides security, what else was there? We started developing condominiums to be enclosed housing,” recalls Leal. The result was to build each community as a virtual compound. High walls surrounded the project, visibly armed guards roamed the streets, and access was allowed only through a secured entry.
Over the last decade or so, that plan has begun to change. For one project, world-famous urban architect Leon Krier was engaged to build an open community designed to be more inclusive of the entire Guatemalan population. With this project, developers hoped to help Guatemala City deal with traffic and infrastructure issues by combining office space, commercial space, and housing. The community includes high-end housing as well as apartments and lofts for students at nearby universities.
Says Leal, “We have to think about the people. We have to build a city for the people.” As for security, electronic measures, especially cameras, have proved just as effective as armed guards at keeping out criminal elements, making new developments both safer and more relaxed.
HECTOR RAFAEL LEAL
General Manager,
Cayalá City Project, Grupo Cayalá
NEW MARKETS ON THE RISE
Urban planning is not the only issue on Leal’s mind. Guatemala is looking to capture retirees from the United States and Europe who want to live in Guatemala, locate a second home there, travel for leisure, or come for affordable medical procedures. Leal believes that this new population of residents and guests can support not only housing, but new hotels and a world-class hospital, plans for which are already underway, that has been certified by an institution in the United States. The historic colonial city of Antigua, a UNESCO World Heritage Site, and Lake Atitlán, with its stunning natural beauty, have both received international press coverage as hot spots for retirees. With its convenient location—in less than three hours, flights can reach Guatemala City from either Houston or Miami, and it’s a mere three-and-a-half hours from Atlanta—new markets for developers seem likely to increase.
THE TRANSFORMATION CONTINUES
Leal says of the future that planners “have always believed in developing the country and developing the city.” Not only do they foresee the need for new hotels and commercial space, but their plans call for the redevelopment of historic structures and the rebuilding of current public space.
International companies continue sending professionals to work in Guatemala. They bring families with children. Adventurous young people, students, and expatriate retirees come to take advantage of the mild weather and pleasant conditions. All of them want to feel safe, and all enjoy the openness of the newest communities.
“It is the idea of public space created by the private sector,” says Leal. “That gives us the ability to offer security and to generate the kind of city people want to live in.”
“I see foreign investment as a great thing. It’s new ideas, new kinds of development. That’s the one thing we need to redevelop Guatemala City.”
INTERVIEW: GRUPO CAYALÁ
SPECIAL REPORT
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