I’ve always hated when salesmen ask me what my budget is, it feels like a set up. But heck, everyone has a budget. There are so many things to consider beyond the price of the island itself; you also must consider the development and maintenance costs. Do you want to spend your entire budget on the best possible island? Or does your budget need to include the cost of improvements?
The need for fill, power generation, production of potable water and disposal of waste are just a few of the things you need to consider. Even if you don’t plan to develop the island immediately, these are important questions to consider upfront ensuring you’ve budgeted appropriately. You also need to consider the maintenance costs once this infrastructure is in place.
Most Belizean islands require at least some filling to raise the elevation to an even height. Filling an island can be completed in various ways. Each technique has its pros and cons and the ideal method will vary depending on the island, the budget, and the long term goals of the project.
A coral island may cost double that of others but overall it could save considerable money on construction costs. Why? Less filling is necessary and also the building footings need not be as deep.
Power generation can be handled in numerous ways. Diesel generators are the most common and cheapest method. But long term the cost of maintenance and fuel is very expensive. Solar has a much higher up-front cost but virtually no long term expense. Overall, the best approach is a combination of solar with a diesel generator as a back up. This allows you to get your development going immediately using the generator while you properly design and build the solar system.
The creation of potable water is probably the easiest and cheapest challenge to tackle. A simple structure with a roof and rain gutters that direct the water into a cistern will begin producing free fresh water immediately. The important part is to create plenty of storage. From there a simple filtration and pressure system will get you going. For the long term a purification system or a reverse osmosis desalination system would be important additions.
Once the basic infrastructure is in place, then the building process can begin. Construction costs on an island can run up to 50% more than a mainland property.Delivering building materials to an island can easily eat up thousands of dollars per trip so proper planning to maximize the use of the vessel on each delivery can make a big difference.
I wish we could spell out the cost of each facet of island development but each vision will have a need and therefore a different cost associated with it. The important thing here is to begin thinking about these aspects right up front because your development costs could easily surpass the purchase price of your island.
So when you’re asked the dreaded “what’s your budget” question, remember it’s necessary to consider not only the cost of the property, but also the funds necessary to make it livable.
Selecting the right island for your vision is critical. It’s so much more than just selecting the prettiest island within your budget. The size, location, shape, water quality, existing vegetation and ease of development all play into the suitability of the island.
Your vision and overall budget will dictate the suitability of the island. Does the island need filling? If so, what is the availability of sand? How many structures will be on the island? Will all of the envisioned structures fit on the island? Will the island be used for commercial or private purposes? Are there governmental restrictions on the development plan of a particular island or general location?
Ironically, very few buyers end up buying the island they were initially focusing on. More often than not, once they see the property in person, they find that there are other islands more suitable for their project.
When all aspects of development are considered, sometimes it makes sense to look at a higher priced island. Since the ease of development can save a tremendous amount of time and expense over the life of the project.
In the end, the purchase price of the island is just one small part of the entire overall equation. This is why it’s important that we discuss your plans for the island in detail. With this information, we can recommend the most suitable property for your needs.
Our next installment will cover the Timing, Budget, and Return on Investment and over the next several weeks, all the topics below.
Timing and budget and return on investment.
Obtaining permits
Filling methods; what is sand?
Dredging
Drag Line
Small scale dredge and trash pumps
Hand filling
Excavating the island’s own material
Barging in sand
Rocks, tubes, and other natural sand gatherers
Landscaping
Sea walls
The previous installment talked about your island vision. Read this post by clicking HERE.
The other day we visited Little Peter Caye to check on the new owner’s progress in development. I knew the new owners were contractors and they told me from the beginning that they wouldn’t waste time on their project. They were eager to get going.
It’s not that I didn’t believe them, because I did. But I was still shocked! These guys kicked butt!
During the escrow process the buyers hired Carlton Young, Owner of Young’s Engineering Consultancy in Belize City to give an opinion of the island’s feasibility for building. After a few tests, the island was given a clean bill of health and the sale closed.
Carlton is a terrific civil and structural engineer that knows his stuff on island property. We highly recommend him for your due diligence period investigations of soil and building feasibility.
Once the sale closed, the new owners of Little Peter didn’t waste any time getting to work. Permits were immediately applied for and then the project hit the ground running!
It’s important to note that this is a personal estate project among a group of close friends. It will be completed at their leisure with no real timeframe attached. So work may progress quickly, then stop for a few months, then start back up again.
Even though I knew they were serious about getting started, I was still blown away by the progress made in just a shade over 2 weeks. The quality was top notch, easily some of the best I’ve ever seen on any island.
The initial project was to get a caretaker house and pier built. Since this was a new undertaking by seasoned contractors, they knew what they wanted to achieve but still had to learn the secrets of where to get the best pricing on quality components and then getting them out to the island. This was no small task.
Ultimately, supplies were purchased in Belmopan and loaded onto an 18 wheeler for transportation to Sittee River where they were then loaded onto several small skiffs for the 8 mile journey to the island. This of course took many trips back and forth to get it all out there.
The crew camped out on the island while building and worked continuously until the pier and house were near completion. The long term plans call for a big palapa on the end of the pier which will add quite a few feet to the length of the structure. But for now the goal was to get the majority of the pier built and the caretaker’s house dried in.
Keep in mind we were there during a “work-in-progress” so there were still small details needing completion. A couple weeks after these pictures were taken the owners came back down and installed the plumbing, electrical, and septic system in the house so it’s fully habitable and environmentally sound. I’ll get those pictures during my next trip!
Getting this much accomplished would be a truly remarkable achievement in the US with plenty of Home Depots to supply whatever you need. But imagine doing it on an island in a small foreign country, 8 miles off shore, without a barge, in 15 days!! It’s just amazing.
I expect Little Peter will be a frequent stop for us to show our clients how it can be done and that it really isn’t as hard as it seems.
The good news is these owners are interested in helping their new neighbors accomplish the same thing. So preparations are underway to offer construction services for our clients. Since we’re all neighbors here, we might as well work together to get the highest quality work for the best price we can.
Being from Texas, they understand the high expectations of foreign buyers because they have the same concerns. So if you would like a referral to some great people with amazing construction management abilities, let me know and I’ll gladly make the introduction.
We’ll keep you posted on the progress. We might even get some videos of this one. The owners said they’re video documenting everything along the way.
Well we’ve finally done it. We’ve made a visit to Honduras’s Bay Island of Roatan. What a cool area. We’ve come home with one of the most exciting Private Island listings we’ve ever had. Castaway Island is a private island estate with a home that could stand up against any home, in any high-end subdivision in the world. The location is incredible with all the diving, fishing, and sailing that Roatan is so known for. This is a fully furnished home featuring 3 bedrooms, 3 full baths, 2 half baths, 5 acre island, plus a 1/4 acre mainland lot with permits for another house and dock for $3.1 million. Take a look at Roatan Castaway Island!
I wish it wasn’t such bad weather. But, we made the best of it.
We really put ourselves behind with this trip. There are several new islands we’ll be listing in the coming days so please check back over the next 2 weeks. As we emerge from a huge to-do list that built up as we were gone, we’ll post more new islands for sale. If you haven’t signed up for the updates, please do so. We’ll let you know as new islands come available and anytime we have price changes. We hate spam and promise not to send you useless emails!
It’s hard to describe what it’s like shopping for islands. The days are long, the sun is hot, and the water can beat you up at times. Other times, you get drenched in rain squalls. But overall it’s a great experience! Here is a short video of a day in Belize.
Of course sometimes the day doesn’t go as planned! The locals just don’t seem to understand we’re on a schedule. A storm could roll in, the batteries are dead, the boat could break down, the captain could show up late, the marina takes their sweet time launching the boat, the taxi gets a flat, the gas station is out of gas, the toilet paper got wet, and on and on. So, we’ve learned to go with the flow. When you get to Belize, remember to just slow down and make the best of the time you have. If you don’t sweat the small stuff, you have a lot more fun.
