Goodbye to single-family homes. According to economic data from the National Statistics Office (ONE), the private sector has increased its investments in apartment blocks for first homes, long and short-term rentals, and holiday homes. By 2022, 72% of investments made were concentrated in apartment blocks.
ONE’s statistical yearbook highlights that last year a total of 1,560 building permits were issued to the private sector, covering a work area of 8,143,972.8 square meters and an estimated value of 121,915.4 million pesos.
Of the total invested, 87,873.5 million pesos were allocated to buildings located in Santo Domingo, the National District, Santiago and La Altagracia.
In 2022, a total of 8,426 projects were carried out, 6,532 of which were apartment towers, the rest was divided between homes with more than two levels, combined constructions of homes and businesses, and buildings for tourist accommodation, among other types of constructions for the health, electrical, industrial, and commercial sectors.
Throughout 2022, the number of traditional family homes barely reached 595 buildings.
Highest investment in nine years
In 2018, the private sector built six times more than in the previous year and 32% more than in 2022, according to the real estate performance of the last nine years.
The trend in construction and investment for that period saw an exorbitant variation, with a 507.3% growth in the number of buildings nationwide, going from 2,048 in 2017 to 12,439 a year later.
The highest investment of the private sector in real estate from 2014 to 2022 was 203,820.9 million pesos, reached in 2019. 87.7% of the total invested in those twelve months was made in the three provinces with the greatest economic dynamism.
- This investment in fact exceeds the total spent last year despite the fact that more work was carried out.
Number of private sector constructions 2014-2023
Top 10 provinces with the highest private investment
When adding the investments made in 2021 and 2022 to investments registered by ONE up to May 2023, the private sector has invested more in Santo Domingo than in the other provinces.
The second area with the highest flow of investments is the Distrito Nacional, followed by Santiago and La Altagracia, areas where volumes exceed 30,740.1 million pesos.
In second place are El Seibo, Puerto Plata, and La Vega, with more than 3,698.3 million pesos.
The list ends with San Pedro de Macorís, Duarte, and La Romana, where money for private construction exceeded 2,442.7 million pesos.
Border area still lagging behind
Of the five border provinces, only Montecristi, with 136 million pesos, and Dajabón with 34 million, managed to attract investment in real estate. Elías Piña, Independencia, and Pedernales did not even reach ten million in private investment in construction in almost three years.
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