The next Los Cabos? With a $1.4-billion Government investment, Huatulco is poised to boom.
Imagine if you’d bought a spacious, beachfront condo or house in Los Cabos, Mexico before it became a household name. Imagine watching those golden sunsets, strolling those beaches, and dining under the stars on your sea-view balcony. Now imagine what that home would be worth today…

You may have missed your chance for bargain buys in Los Cabos, but it’s not too late on another fabulous stretch of coast. The place is Huatulco, on the state of Oaxaca’s Pacific coast—and it’s poised to boom. With its nine lush bays and 36 beaches, Huatulco always had the potential to be a major resort. But fame has eluded it…until now. Developers are pouring in, and Mexico’s President Felipe Calderón, a fan of Huatulco himself—has promised $1.4 billion in improvements to the area. Now this seaside Cinderella is dusting off her dancing shoes and primping to be the belle of the ball.

In the 1980s and early 1990s both the Mexican government and private industry invested heavily in Huatulco. They expected that by now Huatulco would have 10,000 hotel rooms and a million visitors a year. But that didn’t happen. What happened instead was a downturn in Mexico’s economy, followed by a drop-off of tourists after 9/11. These events lowered expectations for Huatulco’s growth. Until this past March when President Calderón outlined a $1.4 billion, four-year investment program for the area….it’s always had the goods to be a star like Cancun or Los Cabos. Now, with Calderón’s promise of investment money to the area, Huatulco will finally be put on the map. Huatulco is a small town still emerging as a major destination.

“With its nine lush bays and 36 beaches, Huatulco always had the chops to be a major resort. But fame has eluded it…until now.”

……… This originally was a fishing village...... The four lane highway that hugs the coast here is oversized for Huatulco’s current traffic needs. The water treatment facilities are some of the best in Mexico. And despite its small population, Huatulco has an international airport with direct jet service to the U.S. and Canada, as well as to other parts of Mexico. Construction of a high-speed road …..will put Huatulco just seven hours by car from Mexico City. That makes it a viable weekend trip for those from Mexico City. That road is on track for completion by 2012. With more tourists and expats, the current oversized infrastructure may finally be just right. What those tourists (and potential new investors) will find in Huatulco is a beautiful, unspoiled area offering a range of outdoor activities. Seventy percent of the area in and around Huatulco is a construction-free zone, and building heights in town are almost always limited to three stories……it’s no surprise to find ecotours, given this area’s beauty. Snorkeling and scuba diving are also big sports here…..

Private interest has already picked up in Huatulco….The roads, marina, and other public improvements won’t be finished for four to six years……But savvy investors are snapping up properties now. Today’s prices, which are half or less of what you’d pay in resorts like Los Cabos, won’t last.

“Savvy investors are snapping up properties now. Today’s prices, which are half or less of what you’d pay in resorts like Los Cabos, won’t last.”

…Right now in Huatulco there’s a lot of buzz about Cosmo Residences, a high-end project overlooking Arrocito Bay…in a secluded area, where buildings will offer a sweeping view of the Pacific through floor-to-ceiling glass windows. The design focuses on bringing the outdoors inside...The complex will have garden spaces, pools, and small green areas throughout the property.

….If you’ve ever wished you could have bought in a major resort like Los Cabos or Zihuatanejo “back when,” you now have a second chance…in Huatulco.

How Huatulco’s $1.4 billion investment will be spent

The $1.4 billion government investment in Huatulco will include more than the superhighway connecting it with Oaxaca. It includes infrastructure like expanded public water and electricity services, improvements to the marina area to attract mega yachts, improvements in sanitation, a new hospital (as well as opening the naval hospital to the public), and development of a master plan for increasing hotel capacity. FONATUR, Mexico’s tourism development agency, is the force behind the master plan. The agency says that the Huatulco area will be developed with the strictest respect for the environment. Since 2004 Huatulco has been the only destination in Mexico—and one of only seven in the world—to have Green Globe 21 Certification as an environmentally sustainable tourist destination. FONATUR intends to ensure that Huatulco maintains the designation—only 30% of the area, it says, will ever be developed……..

Despite the comparisons to places like Cabo San Lucas, Huatulco has a very bright future ahead that boasts a number of distinct advantages for investors, retirees and vacation home buyers over areas such as Cabo, Puerto Vallarta, Cancun, Mazatlan, La Paz and many of the most popular oceanfront communities in Mexico. The beaches and bays of Huatulco are just a 15 to 20 minute scenic drive from the Huatulco International Airport which offers direct flight connections to and from Houston, Texas as well as Mexico City. Many other flight options such as charters are available to and from a number of US and Canadian cities.

The state of Oaxaca is the most diverse, complete cultural recreational destination in Mexico. See photo: http://www.mexconnect.com/mex_/oaxaca/mapoaxaca.html Sixteen different indigenous peoples continue to maintain their languages and cultural traditions. Here the Olmec, Mixtec and Zapotec civilizations thrived. In the 16th century, the state capital city of Oaxaca, which is a 50 minute flight from Huatulco, was established by the Spaniards. In 1987 The United Nations Educational, Scientific and Cultural Organization (UNESCO) recognized both world heritage traditions of Oaxaca by declaring the Zapotec archeological zone of Monte Alban and the historical center of Oaxaca City World Heritage Sites.
See great photos: http://www.digitalartsphotography.com/oaxaca_photo_gallery/
World Heritage Info re Oaxaca: http://www.worldheritagesite.org/sites/oaxacamontealban.html,

The United Nations Educational, Scientific and Cultural Organization (UNESCO) seeks to encourage the identification, protection and preservation of cultural and natural heritage around the world considered to be of outstanding value to humanity. This is embodied in an international treaty called the “Convention concerning the Protection of the World Cultural and Natural Heritage”, adopted by UNESCO in 1972.) http://whc.unesco.org/en/about/

Huatulco offers a combination of ideal climate tendencies that few cities in Mexico can match. The weather is warm and sunny with very few large swings in temperature. The average year round temperature is 80 degrees Fahrenheit, with more than 330 days of sunshine per year. When there is rain, it is most usually a few hours in the mid to late afternoon, which then gives way again to blue skies.

One of the most important weather advantages is that Huatulco and the surrounding areas lie in the lowest risk area zone for Hurricanes for all of Mexico coastline communities.

Huatulco is in the same frequency zone as the city of Veracruz. Since the year 1857, the Veracruz area has been brushed or hit by hurricanes an average of only every 10.46 years with an average of 68.50 years between direct hits.

Compare that to the areas of Cabo San Lucas or La Paz which have the same hurricane frequency zone rating as Cancun and Cozumel. Cozumel, the safer of the two, for the same period, has been hit or brushed every 2.80 years and has an average of 7.56 years between direct hits. So the risk is 4 to 5 times higher on the Baja peninsula than in the Huatulco area.

Ft Lauderdale / Miami have a hit ratio of every 2.69 years and an average major hit every 7 ½ to 8 ½ years.

Hurricane data obtained from hurricanecity.com and NOAA Coastal Services Center

Another attractive advantage of Huatulco weather conditions is the year round warmth of the ocean water temperatures. Here are some of Mexico’s ocean destinations with rank of water temperatures from warmest to coolest*:

1. Huatulco (warmest) 77-86 degrees Fahrenheit
2. Manzanillo
3. Puerto Vallarta
4. Mazatlan
5. Cabo San Lucas
6. Cancun (coolest)

*Sea Surface Temperature data obtained from NOAA Coastal Services Center

Because of the intersection of mountains, ocean, and rivers, Huatulco displays a diverse array of wildlife, marine life and vegetation including over 400 types of plants, almost 300 types of resident and migrant birds.

The protected marine zone is part of the most extensive coral reef system in Mexico and features 14 kinds of coral reef. Marine life includes a variety of fish and shellfish as well as dolphins, whales and sea lions. The Huatulco beaches are a protected sanctuary for the nesting grounds of the sea turtle.

As you can imagine, with the diverse terrain and geography, many recreational activities are available. One of the favorites of course is Golf.

Settled between the mountains and Tangolunda Bay is one of the best golf courses on the Mexican Pacific. Consisting of 18 holes, 72 par championship category, it is a beautiful course with lakes and spectacular views of the picturesque Tangolunda Bay and beach.

The good news for golfers is that per the government, the Master Plan of Huatulco foresees the building of a new golf course.

Every type of water sport is available in Huatulco including diving, snorkeling, sport and deep sea fishing for Sail Fish / Swordfish / Tuna / Mahi Mahi, sailing, surfing, kayaking the bays, wind surfing, and parasailing.

If you add to that the other nearby activities on the river and in the jungle such as horse back riding, zip lining, rock climbing, white water river rafting, canoeing and mountain biking, you get an idea of what is possible.

For hikers, there are hundreds of square miles of jungle and coffee plantations up in the hills behind Huatulco. The higher up one hikes, the greener and thicker the vegetation becomes. Streams and waterfalls also become more common at these higher elevations.

Many of the beaches, coves and islands are completely pristine, undeveloped and accessible only by boat. The best way to explore them is a water taxi. These boats and pangas depart from Tangolunda beach, as well as from Santa Cruz bay. You may never see virgin oceanfront territory this unspoiled and beautiful.

Of course that still does not include a more relaxed agenda of getting a traditional mud bath, followed by a swim at the waterfalls followed by bird watching and an afternoon trip to tour one of the nearby coffee plantations. The mud bath treatment is actually a traditional Zapotecas mud bath. The mud, called Lodo, has been used for medicinal and beauty treatments for hundreds of years. Used not only by the Zapotecas but also by the Mayans and Aztecs. Now people from all over the world come to La Bocana to enjoy this treatment.

The Lodo treatment is exclusively the work of “The Women of La Bocana Cooperative”. These are the women of the village, fishermen’s wives and family, who are the direct descendants of the original Zapotecas. Each day at 11am the women from the cooperative come to the beach with their freshly prepared Lodo. A full body treatment costs $50 pesos. (about $5 USD).

That’s just the beginning. Wait until you discover what a whole different world is waiting for you in the magical city of Oaxaca, soon to be just a 3 hour trip by car from Huatulco. You may never be the same. This is the city that people from all parts of Mexico call their favorite place when THEY want to get away from it all. It is known worldwide for a special type of chocolate made there that is unlike any other.

Just a few minutes from the beach areas you will find the very quaint and colorful Town Center of Huatulco.

Here you can enjoy shopping for almost anything. This is also where the traditional Mexican central park is located. It is bordered by a beautiful colonial church and many great restaurants and a small number of intimate casual bars.

Dancing and live music is usually available here as well as at some of the beach area hotels and restaurants.

Huatulco has the best completed infrastructure and water system of any of Mexico’s resort destinations. Yes, you can even drink the water from the tap there. This is because of the efforts and intention of the Mexican government tourism agency called Fonatur which also developed Cancun, Los Cabos and Ixtapa. As mentioned, Huatulco is the only community in which only 30% of the area will ever be developed with the rest being preserved for ecological sustainability. Not only that, but it just so happens that the current President of Mexico, Felipe Calderon, personally loves Huatulco and just months ago unveiled a commitment to invest $1.4 billion over a four year period to put Huatulco on the map as an international destination. See video of President Calderon’s speech in Huatulco.

In the meantime, even though Huatulco real estate prices are beginning to increase as investors and homebuyers discover the area, it is still possible to purchase property at a fraction of what comparable properties would cost in other areas that do not have the advantages listed above.

Santa Cruz – Home to the beaches of La Entrega, Yerbabuena and Santa Cruz. Also contains the fishing and pleasure boat marina as well as the large dock for cruise ships

Tangolunda – Zapotec word meaning “beautiful woman”. Beautiful expansive beach and home to the 18 hole golf course and a number of the nicest beachfront hotels.

Chahue’ – “Place of fertile grounds”. Here there are 3 beaches; La Esperanza, El Tejo’n and Chahue’ as well as a small new marina.

Cacaluta – “Place of the Blackbird”. Part of the ecological reserve and contains an abundance of different vegetation – a favorite of visiting artists. Great snorkeling reef.

Chachacual – A dedicated ecological reserve with no development containing Mangroves and other trees. A preferred nesting area for sea turtles and featuring great coral reefs.

Conejos – Known for its tranquil beaches. A favorite for diving fishing and swimming. Horseback riding trips from here are popular. Kayak trips into the jungle leave from here also.

Maguey – Features a secluded, scenic 1300 foot long beach and soft waves. Accessible only by boat.

Organo - A soft sandy beach great for young children and sunbathing. The place to watch the blowhole called “Bufadero”.

San Agusti’n – It is the widest bay and has a small island in the middle. Features abundant coral banks and reefs.

Playa Arrocito – “Small Rice” is a small hidden cove that only visitors in the know will find. This secluded beach is the perfect spot for a romantic picnic or a day out with the family. There is a great snorkeling reef that can be reached by swimming out to the mouth of the cove. The water is clear, blue and is a great place for the kids to swim. This is the location of Cosmo Oceanfront Residences. The Cosmo property owners will have direct access to Arrocito beach from the site.

Located north of Huatulco, about 6 miles past a village called San Angel you will find the National Mexican Turtle Center, which is dedicated to the ongoing preservation of endangered sea turtles.

Just a few miles north of the airport lies the town of Santa Maria Huatulco, which is a quaint pre-Hispanic community sitting at the foot of the jungle. It is the site of many traditional cultural ceremonies including the annual festive and colorful “Dios Muertos” celebration.

Located in the hills east of Huatulco are a number of huge coffee plantations, started 200 years ago by German immigrants. They are accessible by 4-wheel drive vehicles only. In the nearby jungles, there are rivers and waterfalls.