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Yarotek Negotiating to Build Island's Largest Solar Plant Page 2 caribbeanbusinesspr.com THURSDAY, SEPTEMBER 2, 2010 WEEKLY $2.00 ©2010 CASIANO COMMUNICATIONS INC. Fortuño’s administration pushes innovative incentives to help consumers acquire homes By José L. Carmona pages 18-25 TOP ST ORY IN si DE SPEC I AL REPOR T Yarotek negotiating Land Administration aiming to spark to build island’s million-dollar developments page 43 largest solar plant page 2 Vía Verde project rallies supporters and opponents page 44 Despite challenges, Méndez continues to believe in dinars page 10 For up-to-the-minute local, national, international and economic news in English, go to caribbeanbusinesspr.com now on 18 CARIBBEAN BUSINESS THURSDAY, SEPTEMBER 2, 2010 GOVERNMENT 43 CARIBBEAN BUSINESS THURSDAY, SEPTEMBER 2, 2010 Land Administration aiming to spark million-dollar developments Agency looks to partner with private sector to spur tourism and industrial projects BY JOHN MARINO have to make sure the projects are good for Puerto Government land is also playing a key role in Housing-stimulus bill could spur the sale of [email protected] Rico and the developers have the required exper- the development of a new generation of renew- tise and track record.” able wind and solar energy, with many projects he Land Administration and Land Authority The mammoth $555 million proposed tourism depending on it for success. 10,000 new and existing units Tare putting portions of their vast holdings project in Guánica approved last month by the The Land Administration is also collaborating to work for the private sector to help spur eco- Planning Board is just one of several projects with the Puerto Rico Industrial Development nomic development, Frederick Muhlach, the making use of Land Administration and Land Corporation to develop industrial and commercial Housing Secretary-designate Miguel Hernández-Vivoni touts initiative newly appointed head of both entities, told Authority assets. The project, which will create projects. These include the proposed Americas as the most aggressive effort presented over the past few years CARIBBEAN BUSINESS. some 5,000 jobs, would be developed on the old Technological Park in Moca, a quarry in Vieques, The entities will sometimes actively pursue a grounds of the Guánica Central sugar mill, which a new industrial area in Caguas and a new mall particular development, but in other cases private closed in 1981. in Yabucoa. There are also 3,000 acres spread fi rms needing land for a particular project will Other projects under analysis include a parador across the island available for lease for different approach the government with a proposal. at Punta Santiago, Humacao; a hotel at Playa agricultural activities. “We want to make agreements that create eco- Lucía, Yabucoa; the development of a tourism The Land Administration is also working with nomic development,” Muhlach said. “We just recreation area at El Túnel de Guajataca and the island cities and towns to lease lands to assist development of an amusement park in Luquillo, in downtown revitalization, housing and com- according to agency presentations. mercial projects. The projects are located in THE NEW YELLOW PAGES Land Administration offi cials note the entity is a Luquillo, Isabela, Aibonito, Culebra, Ponce, part of the Department of Economic Development Juncos, Coamo and other towns. It is also leas- EASY 2 READ & Commerce, and in keeping with its mission, it ing 15 acres in Comerío for the development of a is pushing economic development projects in the municipal sports complex, including a coliseum Join us: 787-625-0555 tourism and commercial areas. and athletic track. Ⅲ Small Business Success Special Report in the CARIBBEAN BUSINESS issue of September 16, 2010 CARIBBEAN BUSINESS provides a report on the industry leaders running Puerto Rico’s small businesses. Our more than 100,000 readers will discover a new entrepreneurial class forging a path to success, along with reports on new fi nancial aid programs available to small businesses, effective outsourcing strategies and key pointers to secure BY JOSÉ L. CARMONA help them acquire new or existing paying interest for 10 years. It can new home between Sept. 1 and June business loans. We will also share successful business [email protected] homes. What’s more, for the fi rst be combined with a bonus to cover 30, 2011 will pay nothing for stamps stories, divulging survival strategies in tough times. time, one of the programs is aimed closing costs of up to $10,000 or and internal revenue vouchers, Don’t miss this essential report. abeling it a “supersized Combo” at incentivizing the rental market as 5% of the property’s cost, hence the which represent a signifi cant chunk Reserve your space today! Lin reference to the government’s well as the commercial real estate name “Combo.” The bonus program of closing costs. existing Combo housing-stimulus sector. It is good for residents and to cover closing costs recently Those who buy an existing Call your advertising agency or Enid Rivera, V.P. Sales 787-728-3000, ext. 2230 program, Gov. Luis Fortuño un- nonresidents as well, proponents received an additional $30 million residence, or commercial property at or email: veiled four new programs Aug. 18 say. allocation to extend it to December of up to $3 million, will only pay [email protected] to be part of this Special Report. aimed at “rescuing and spurring” The new program started Sept. 1 of this year. half of what they currently would the island’s tepid housing market. and will end June 30, 2011. pay in stamps and vouchers. The new initiatives, announced The Combo program put in place THE STIMULUS PROGRAM In a typical new home worth by the governor during the 18th by these administration early last AT A GLANCE $300,000, the savings from waived Our readers are leaders. Housing Congress and packaged in year includes a second mortgage Under the new program, called stamps and vouchers could add up Senate Bill 1720, include incentives loan of up to $25,000, on which “Impulso Vivienda 2011” (2011 to $5,000, the governor indicated PUBLICATION DATE: SEPTEMBER 16, 2010 • SPACE RESERVATION: SEPT. 8 • DIGITAL MATERIAL: SEPT. 10 aimed directly at consumers to the homeowner is waived from Housing Stimulus), anyone buying a Continued on next page FRONT PAGE GOVERNMENT 42 CARIBBEAN BUSINESS THURSDAY, SEPTEMBER 2, 2010 19 CARIBBEAN BUSINESS THURSDAY, SEPTEMBER 2, 2010 PPPA selects four more projects for potential development Continued from previous page improvements and buy furniture, and existing housing units. It’s a decor and appliances. That is a direct combination of what the market Vieques and Culebra transportation, Urban Train development, during the program’s unveiling. economic impact any way you look was projecting to sell plus the ones high-tech traffi c control and minimum-security prison to be considered In addition, those who sell an at it,” Hernández-Vivoni said. we are incentivizing with the new existing property during this period stimulus plan,” he said. BY JOHN MARINO PPPA. Such deals are common in the U.S., Canada also will be exempt from paying HOUSING SECTOR IMPACTED The Housing secretary-designate [email protected] and across Europe and other countries. additional stamps and vouchers to BY ECONOMIC RECESSION said Puerto Ricans treasure the “One role of the PPPA is to continue to look cancel their mortgage. No one can deny that the island’s notion of having their own home and he Public-Private Partnership Authority (PPPA) for solutions for challenges and problems that Owners of new property acquired fi ve-year old, self-infl icted criollo the administration is going to work Tagreed to study four more strategic projects affect daily life. The new projects we are studying between Sept. 1 and June 30, recession has impacted all sectors hard to help them achieve that goal. for possible development, including an effort to favor citizens and the government and show that 2011 will be exempt for fi ve years of the economy, especially the “We are very excited and happy improve transportation between Fajardo and the the PPPA not only is analyzing large-magnitude from paying property taxes to the construction industry. Representing with this initiative, because we municipalities of Vieques and Culebra. projects but also those that have a large regional Municipal Revenue Collections approximately 60% of the island’s believe we’re going to achieve The other projects are: the establishment of a impact,” Álvarez said. Center, including the special surtax construction activity, new residential our goal, which is to fulfi ll our high-tech traffi c control and driving violation over- The PPPA board of directors comprises fi ve mem- that expires next year. sales have dwindled considerably commitment that everyone in Puerto sight system, the redevelopment of areas adjacent bers: Government Development Bank President In addition, those who acquire a over the past two years. Revitalizing Rico gets to own a safe home,” to Urban Train stations and construction of a min- Carlos García, Treasury Secretary Juan Carlos residential property (whether new or the housing sector would certainly added Hernández-Vivoni. “This imum-security prison. Puig, Planning Board President Héctor Morales, existing) or a commercial property jumpstart the construction industry, housing-stimulus program will help “As part of the function of continuing to develop David Álvarez, executive director of the former San Juan Mayor Hernán Padilla and Luis worth up to $3 million, with a capital considered a backbone of the local move the inventory, as it applies to important infrastructure projects and services for Public-Private Partnership Alliance Berríos Amadeo. The latter two members represent gain from such a sale, will pay zero economy. new and existing properties as well the citizenry, the PPPA is interested in exploring the public interest and they were recommended taxes on the capital gain.
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