Expert tips Brazilian city for investment success

Mon, 9 Jun 2008 00:00:00 GMT

People considering buying investment properties in Brazil should look at the city of Joinville, an overseas housing expert has advised.

The suggestion was made by Dan Johnson of The Move Channel, who explained that Joinville is set to benefit from a major publicly-funded investment programme.

Authorities in the city have set aside $800 million (£405 million) for infrastructure projects and improvements to health and education facilities over the next five years.

City leaders hope this will stimulate the economy and create employment opportunities, which Mr Johnson believes will create favourable conditions for property investors.

"In a domestic market that is growing rapidly as a whole, this city is already faring well and this investment programme will help Joinville to continue attracting residents and businesses," he told Nubricks.com.

Mr Johnson added that acting before the benefits of the public money start to be felt would help property investors to maximise returns.

His advice comes after Jonathan Garner, head of emerging markets for Morgan Stanley, told Reuters he was recommending land and property in Brazil to investors.

'Brazil set to make the investment grade in 2008'

Wed, 30 May 2007 00:00:00 GMT

An asset management specialist believes that Brazil is set to achieve full investment grade status by the end of next year.

Luiz Ribeiro, manager of HSBC GIF Brazil Equity fund, said that Brazil's investments market is on an upward trajectory following recent upgrades by ratings agencies Fitch and Standard & Poor's (S&P).

Fitch raised Brazil's foreign and local currency credit ratings to BB+ on May 10th, followed by S&P on May 16th when it also raised its long-term foreign sovereign credit rating to BB+.

Meanwhile, S&P has raised its long-term local currency sovereign credit rating by two notches to BBB, which means that Brazil has partly attained investment grade status.

Mr Ribeiro said: "The ratings upgrades were driven by a steady improvement in Brazil's macro-economic fundamentals that had led to the continued decline in Brazil's fiscal and external vulnerabilities."

Being on the brink of full investment grade status is important for Brazil as it opens up the possibility of a significant number of fixed-interest instruments to a large range of heavy-weight investors, according to S&P.

Joss Hutton, writing for property website Homes Worldwide, believes that Brazil is "fast becoming an area of international foreign interest", with financial gains looking "extremely promising".

Real Estate & Funds News in Brazil from Propertyshowrooms.com

Expert tips Brazilian city for investment success

'Brazil set to make the investment grade in 2008'