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HM HOWLER MAGAZINE | 3
HOWLER
CO N T E N T S 12 4 REVOLUTION PRECRAFTED Cover Story
CASA STEPHANIE Architectural Design
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CR Biz: Costa Rica Real Estate, Business & Investment
4 - Cover Story: Revolution Precrafted Coming to Costa Rica 8 - Architectural Design: Casa Stephanie 10 - Investment Chat With Nativu: - Becoming a Successful Real Estate Investor - 10 - Investment FAQ: Build Your Investment Portfolio - 12 14 - Doing Business Right: - Pro Tips for Small Businesses Part 1 - 14 - People Make the Difference - 16 18 - Trailblazer Tales: DIY Micro-Hydro 20 - Building CR: When is a Good Time to Build in Costa Rica? 22 - LegalEase: Luxury Home Tax 24 - CR Business and Community Services Directories
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HOWLER CONTRIBUTORS
PEOPLE MAKE THE DIFFERENCE Doing Business Right
Henry Bastos. Founder and director of Cultural GAM + Art City Tour. www.gamcultural.com. Or www. facebook.com/ArtCityTour
Marian Paniagua. Certified nurse and yoga Instructor and local artisan, born and raised in Guanacaste. 8914-0199. marianpaniagua@gmail.com
Tom Schultz. BS Biology and Geology, an avid birder and nature photographer, retired software executive. tom@pananima.com
Gilberth Cavallini. Veterinary Doctor, owner Cavallini Veterinary Services, Villarreal (MegaSuper Plaza) tamarindovet@gmail.com
Jenn Parker. An avid writer, traveler, and nature lover on a mission to surf the earth and share her stories.
Tatiana Vandruff. Principal LEED GA, at Grupo Pacifico Architects and Builders, sustainable design and construction for over 30 years. www.grupopaciticocr. com or tvandruff@grupopacificocr.com
Laura Galvin. Founder Nomad Design House. 62826635 info@nomaddesignhouse.com Ellen Zoe Golden. Former entertainment biz PR flack, now living the dream as a travel agent and journalist in my long-time home of Tamarindo. And yes, I surf! Ivan Granados. Managing Partner at GM Attorneys. He specializes in real estate and corporate law. igranados@gmattorneyscr.com. Karl Kahler. Author of "Frommer's Costa Rica 2017," former travel editor of the Tico Times and former national editor of California's San Jose Mercury News. Johnny Lahoud. Owner/broker of Pura Vida Realty, Playa Grande. He loves Costa Rica a lot. pvrealty@ gmail.com Sylvia Monge. Owner of Spanish for Expats, a tutoring and translation service. spanishforexpats23@gmail.com
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Marcos Pitti. General Manager of CarpeChepe, has 12 years’ experience as a CouchSurfing.com host to San José visitors. Phone: 8326-6142, email: pitti@ carpeChepe.com or visit www.CarpeChepe.com Nicole Rangel. Managing Editor of Howler and freelance writer and editor. Making memories forever with her family. nicole.rangel@gmail.com
Dalia Vargas. Doctor in Dental Surgery and owner of Guanacaste Dental, with postgraduate training in cosmetic dentistry from Pontificia Universidad Javeriana (Colombia). Former member, Academy of Cosmetic Dentistry (AACD) and member, Costa Rican Board of Dentistry.
Fabricio Riggoni. Investment Consultant at NATIVU. 8301-0663. fabricio@nativu.com
Vern Veer Jr. Retired reptile specialist, Denver Zoo. Co-owner of V3 Reptile Breeders.
Silvia Rivera. Periodontics specialist, Pontificia Universidad Javeriana, Colombia.
PHOTOGRAPHY
Jessie Rowan. Multimedia journalist and photographer originally from California. Former Pulitzer Center on Crisis Reporting grantee and global health reporter. Passion for surfing and traveling. jessierowan2929@gmail.com Patricia Sterman. Argentinian fashion design graduate, living in Costa Rica for 20 years. Owner of Azul Profundo Boutique, jewelry manufacturer and cofounder of SalveMonos animal protection group.
Jorge A. Russell. Professional photographer from Chile based in Jacó beach. Does outdoor photography and studio photography. 8836-6475. jorgerussellphotographer@gmail.com Jacob Schantz. Onwer of Schantz Studio Productions, Guanacaste Costa Rica. jacob.schantz@gmail.com Valerie Veer. Co-owner of V3 Reptiles, with enthusiasm for herpetoculture and nature in general, paired with long-time interest in photography. howlermag.com
PL AYA F L A M I N G O • CO S TA R I C A
Playa Grande Waterfront Boutique Hotel, Restaurant & Bar
MOTIVATE D SELLER
Dramatic Price Reduction $1,299,000
Flamingo Ocean View Building Site
Conchal 4BR Golf Course Condo
Las Ventanas Ocean-View Home
OPR
OPR
EXCLUSIV E
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For Sale $650,000
Playa Flamingo, Guanacas Guanacaste Ref. Listing ID: LL1700076
3,054 square meters Playa Conchal Conchal, Guanacast Guanacaste Utilities on site Ref. Listing ID: rs1700216
Las Catalinas Romantic Loft
OPR
For Sale $495,000
For Sale 475,000
Playa Danta Danta, Guanacaste Ref. Listing ID: rs1700675
1 bedrooms / 700 square feet Playa Avenellas Avenellas, Guanaca Guanacaste Secure community / walk to beach Ref. Listing ID: LL1800024
3 bedrooms / 4 bathrooms
Private Ocean-View Luxury Home
OPR
EXCLUSIV E
For Sale $699,000
4 bedrooms / 4 bathrooms Playa Grande Grande, Guanacaste Gated, secure, resort lifestyle Ref. Listing ID: rs1800557
.43 Hectares Walk To Beach
OPR
EXCLUSIV E
EXCLUSIV E
OPR
For Sale $215,000
EXCLUSIV E
For Sale $1,900,000
Near Playa Negra Marbella Marbella, Guanacaste Perfect for a Surfer’s Paradise Ref. Listing ID: rs1800546
4 bedrooms / 5 bathrooms 1 hectare of ocean-view land
+506-2654-6070 servicing Flamingo and the greater Gold Coast of Guanacaste. We are proud members of the Costa Rica MLS, a real estate network of hundreds of real estate agents across the country, providing world wide reach for all our listings in 7 languages.
Fritz Mayr fritz@overseas.de
Pennye Wheeler
#spennye@overseas.de earchf indh owl
Jack Osborne jack@overseas.de
Donna Osborne donna@overseas.de
John Logan john@overseas.de
TOLL-FREE:
888-597-3126
Located across from the new Marina in Flamingo
Chantal Batter chantal@overseas.de
Wally Beck
Mike Shannon
wally@overseas.de HM HOWLER MAGAZINEmike@overseas.de |3
COVER STORY
ROBBIE ANTONIO
REVOLUTION PRECRAFTED DISRUPTS THE HOME-BUILDING INDUSTRY by Fred Denton
His eureka moment was coming up with the idea of “branded prefab” homes designed by famed architects, designers, artists and celebrities. 4 | #searchfindhowl| online
H
ow would you like to live in a home designed by world-renowned architect Zaha Hadid, or how about one developed by a rock star like Lenny Kravitz? It’s not out of the question… even in Costa Rica, if Robbie Antonio has any influence on the matter. With client projects worth more than $8.7 billion being developed, Antonio’s brainchild company, Revolution Precrafted, is quickly disrupting the traditional $850 billion home-building industry around the world. It all started with a eureka moment sparking the idea of “branded prefab” homes through the intersection of technology, art and design. Collaboration with celebrated names in those circles, along with top architects and real estate developers, added up to a dynamically innovative value proposition. Revolution Precrafted identifies
primarily as a “property-tech” company, delivering on its promise to homeowners of a meticulously designed and precisely manufactured end product. The homes are manufactured off-site and shipped around the world. Real estate is in Antonio’s blood. He got his start working as managing director of the family-owned Century Properties Group in the Philippines, where he spearheaded iconic fashion-branded properties in Manila with Armani, Versace, Trump and others. Later in New York, he founded Antonio Development. Recently, he founded Revolution Precrafted. He is the youngest person on the Forbes 2017 and 2018 list of 50 Richest in the Philippines. Learn more at: www.revolutionprecrafted.com
howlermag.com
An artist rendition of Revolution Island, an envisioned beach resort project featuring the designs of Revolution Precrafted.
Photos courtesy of Revolution Precrafted
There is a reason why Robbie Antonio is often compared to Elon Musk, the founder of Tesla. As the billionaire CEO of Revolution Precrafted, Antonio has launched a home-building enterprise akin to a high-end automobile brand but with the added twist of accessible pricing. Customers can personalize what they build and can afford it too. Howler recently had an opportunity to ask the real estate mogul about Revolution Precrafted and its plans for entering the Costa Rican market. What opportunities are you seeing in Latin America, and Costa Rica specifically, at this time? We see Latin America as a potential growth area for Revolution Precrafted. There is so much untapped land in the region that can be site-developed and landdeveloped to become unique residential
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We Home by AFGH.
HM HOWLER MAGAZINE | 5
Eden home by Marcel Wanders.
Polygonal Successions by Eduardo Calma, a prefab townhouse complex in Batulao Artscapes.
Artist rendering of a proposed development inside the $1.1 billion Batulao Artscape project in the Philippines.
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howlermag.com
Mr. Antonio working with designer Michael Maltazan.
developments — from affordable housing projects to premium villas and mansions. We are in talks with several developers from the country who are interested in monetizing their land by converting them to residential and tourist accommodations. We are in the process of finalizing the negotiations, but we expect at least one deal to be announced before the end of the year or early 2019. What has it been like working with some of the top architects and designers in the world on some really iconic projects? Working with some of the world’s best architects and designers is quite rewarding. You see, we work with them every step of the design process. We get to witness their brilliant technique and concepts come to life. In business terms, what is the impact of this collaborative branding on sales turnover and the bottom line? We are the only branded housing company in the world. Since we launched in December 2015, we have bagged over $8.7 billion in expected revenues. I’d like to believe that our branding proposition is one of the main reasons we receive so much business. After all, the branded prefab model separates us from other prefab companies. Tell us a bit about the genesis of Revolution Precrafted — a pretty disruptive model for the industry, is it not? I was living alone in New York and I wanted to create something related to real estate but something completely different. Then I thought of branded prefab. By the time of our launch, there were already several prefab players in the field. But there was no other company offering branded prefab, so that was our #s earchf indh owl
great market differentiation. Our first ever project was the $1.1 billion Batulao Artscapes in the Philippines. It perfectly captures the idea of combining art, fashion, design and architecture. We have homes and museums designed by some of the best and most creative people such as Christian de Portzamparc, Jean Nouvel, Philip Johnson Alan Ritchie Architects (PJAR) and Tange Associates. We also have homes designed by Helena Christensen and Camilla Staerk, David Salle, Kenneth Cobonpue and Eduardo Calma among others. What does “property-tech” entail? We consider ourselves a property-tech company primarily because of how we incorporate technology with production. From the start of the line, we use advanced robotics in our fabrication and production. This allows us to speed up production considerably compared to traditional home building. We have partnered with a Dubai-based company to engage in off-site fabrication technology. This is a gamechanger for us because it will hasten our production and delivery time. What is the average price for your homes? We have two classifications of homes. We have our origin homes, designed by our internal team. Prices range from $10,000 to over $100,000. Then, we also have our curated homes, designed by our worldclass revolutionaries, with prices from $120,000 to $360,000. Do you see Revolution Precrafted as the primary vehicle into the Costa Rican market or are you looking at development generally? We are only focused on supplying homes to Costa Rica through local and international developers. That is our business model, which is B2B2C [business to business to consumer]. We are open to
Revolution Precrafted Founder and CEO Robbie Antonio poses with the late Zaha Hadid and Patrik Schumacher.
working on both residential or tourismrelated projects in Costa Rica. We see so much potential in the market. Where do you see Revolution Precrafted going in the future worldwide? We expect to be present in 35 countries by the end of the year. We are now in 26 countries, so we expect to hit our target. By the end of 2020, we expect to be ubiquitous … present in at least 85 to 100 countries worldwide and in all continents. Costa Rica has a worldwide reputation for environmentally sustainable development. What is your view and mindset as it relates to Revolution Precrafted and development in general? We have plans for creating net-zero developments where the carbon footprint would be low. While wanting to supply homes and tourism-related amenities, we are very conscious of the need to be sustainable. No matter what kind of development we put up in any country, rest assured that it will be compliant with all environmental laws and policies. If someone in Costa Rica wants to order a Revolution Precrafted product, is it possible right now? Yes, this is possible. We have a global network of fabricators who can build the units. They will then be shipped to Costa Rica and installed there. The entire process takes two or three months, depending on the unit size and volume of orders. Finally, do you have a message for our readers and to Costa Rica in general? We are really looking forward to finally entering the Costa Rican market, where we are confident people will see the value behind our branded, limited-edition prefab structures.
HM HOWLER MAGAZINE | 7
CR Biz Mini-Mag
Paradise in Paradise
ARCHITECTURAL DESIGN
CASA STEPHANIE
W by Howler Staff
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hat better way to describe this newly constructed ultra modern 4,000 plus square foot estate perched 500 feet up a private gated community in Playa Hermosa, Guanacaste, but paradise in paradise. The home was custom designed with major input from the owner's daughter – Stephanie – a premier architect/designer who also selected all of the high-end finishings. The home offers amazing views from every room, and direct views of Monkey Head Rock, Four Seasons hotel, and Papagayo Peninsula. The home is offered for vacation rental by Brokers Costa Rica. Casa Stephanie is situated on 1.5 acres. The intent
was to create not only an eco-friendly home (and matching casita), but to also take advantage of the property to include amenities reserved for resorts – extensive landscaping, walking trails, sitting areas, outdoor recreational areas, a professionally designed putting green, practice area and a par 3 golf hole. The focal point of the home is the two-story glass front facade with floating teak staircase. The main house has three bedrooms all with ensuite and ocean views. The master bedroom with designer bathroom occupies the entire second floor with personal outdoor balcony for lounging, dining, stargazing or listening to the sounds of Costa Rica's wildlife. All furniture was
Location: Playa Hermosa, Guanacaste Rental Agent: Jennifer Campos • Phone: 506-4702-7098 • reservations@costarica-brokers.com #searchfindhowl| online howlermag.com Owner: Dr. Jay Bauman • jayhb43@aol.com
custom designed, and Luis of Comunidad Wood Workers, artfully crafted many unique pieces. Perfect for anyone, you can swim in the infinity pool, relax under the large covered patio with expansive views of the Pacific Ocean, read a book in any one of the sitting areas or spend hours honing your golf game. Casa Stephanie is offered for vacation rental by Brokers Costa Rica, a Guanacaste
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based company with 14 plus years of luxury hospitality and property management experience. Brokers Costa Rica specializes in management of exclusive vacation rentals, condominiums, and an array of property management services (utility payments, accounting and taxes, landscape management to name just a few). They also offer specialty concierge services such as private chefs and personalized travel
vacation experiences that can include excursions to area sights and activities. How you manage your property today impacts its future value. Brokers Costa Rica understands these principles and offers tailored services to maximize management of your assets. Brokers Costa Rica gives you peace of mind knowing professionals are taking proper care of your property without disruption of your daily life.
HM HOWLER MAGAZINE | 9
CR BIZ MINI-MAG
INVESTMENT CHAT WITH NATIVU
Becoming a Successful Real Estate Investor by Fabricio Riggioni
W
ith any endeavor in life, one must put in the hours, effort and dedication to achieve greatness and success. Investing in real estate is no different, as it takes time to develop a special skill set to build your business identity and portfolio. Over the years, I have met with many successful real estate investors. These are five traits I believe most of them have in common, which may be helpful to you.
Be economically savvy
Saying “no” is key in this business.
Interest rates, government policy, tax policy and demographics are the four key macro-factors that drive real estate markets up or down. A successful investor constantly monitors them and tries to anticipate what changes in these drivers will mean for portfolio returns. Costa Rica is going through a lot of reforms in these areas. One new reform being discussed now would have a direct impact on the economy and real estate markets later.
Be good at saying “no” Having a detailed, wellthought-out investment plan
makes it easier to see the big picture. It’s then when you can realize most of the opportunities presented by people or institutions aren’t a good fit for your portfolio. It’s easier to say “no” to them, and actually take time to analyze and work on the opportunities that are a better fit for what you have previously laid as the backbone of your portfolio. Saying “no” is key in this business.
Surround yourself with only the best
This is what separates the good from the great. By putting together a team of knowledgeable, trustworthy professionals who share your passion and are willing to work with you on every deal, you are halfway there. There are hundreds of lawyers, realtors, architects and business professionals, but it’s your job to identify those who will make you better.
Read, read, read! Great investors devour books all year long. The more you learn, the easier decisionmaking becomes; it’s as simple as that. Look introspectively and
be aware of areas you need to improve on as an investor, then read books that will make you stronger. For instance, if you have a solid financial background, read more about human behavior and body language. This will make you better at the important negotiations.
Don’t be greedy In this game, greed can be a capital sin. I’ve seen lots of investors burn all their wealth through a couple of unstudied, greedy decisions. Great investors know that money is only an instrument in the investing world. However, it is not the ultimate goal. They know that positive returns aren’t only measured in dollars but in overall happiness and satisfaction. In this bull real estate market we’re experiencing, play your chips smartly in hopes of setting yourself in a powerful cash positive position. That will enable you to sail through the bear markets once they arrive. Always ask yourself: What can I be learning today that will make me a better investor tomorrow?
NATIVU • Investment Consultant: Fabricio Riggioni Phone: (506) 8301-0663 • Email: fabricio@nativu.com
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howlermag.com
howler monkey 2.pdf 1 09/10/2018 11:47:27 a.m.
RELAX... WE GOT YOUR BACK.
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www.kwcostarica.com / info@kwcostarica.com / www.costaricabeach.properties / Tel.: 2654-5460
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HM HOWLER MAGAZINE | 11
CR BIZ MINI-MAG
FAQs - How Do I Build My Investment Portfolio?
SIMPLY SPANISH by Howler Staff
INVESTMENT CHAT WITH NATIVU
by Fabricio Riggioni
Is it better to build a house or buy a turnkey home when considering rental income?
It really depends on the investor’s strategy. If you build a house in Costa Rica without any major issues, you could be looking at a smart financial decision. You could save up to 30 percent from the final asking price on a turnkey home. Needless to say, building a house or commercial building in Costa Rica has a steep learning curve if you’re doing it for the first time. I recommend surrounding yourself with a strong team of architects and civil engineers and learn the process. On the other hand, buying a house allows you to start receiving rental income right away, which speeds up the return-on-investment timeline. However, you may encounter infrastructure issues along the way by not being involved in the building process.
Should I structure my properties with debt or equity? Most people start their investment experience with debt and move towards equity as their assets start paying off. Debt can be a really useful instrument if used properly under the right circumstances. It can also be an investor’s worst nightmare if interest rates rise and the portfolio is overleveraged. When using debt to acquire a property, always ask yourself “what if?” What if my property is empty with no tenants? What if interest rates go up? What if my operating expenses rise? These are just some questions to help you run a financial stress scenario and let you know how elastic your portfolio is.
Can I create my portfolio with other partners? For sure. The easiest way to do it is by creating a corporation (Sociedad Anónima). This will be the owner of properties that you acquire with your
partners. Each partner owns a number of shares depending on the capital invested on those particular assets. It’s important to have a written agreement among the partners underlying different scenarios that will occur in the future, including asset selling prices, share purchase agreements among partners, external share purchases and managing fees.
How do I measure my real estate portfolio’s performance? Hundreds of financial ratios may be used to compare the performance of different portfolios. Also, property location and the current economic environment may be deciding factors. Capitalization (cap) rate is one of the main ratios to consider when analyzing a property. Cap rate is the annual net operating income (NOI) divided by the property’s purchase price. This ratio allows the investor to forecast the cash inflows derived from rentals. For example: if a house purchased for $100,000 during that year received $10,000 of NOI (rental totals minus operating expenses), the cap rate would be 10 percent. A cap rate of 10 percent to 15 percent is considered very good in Guanacaste with current market conditions.
When is the right time to make changes in my portfolio? Changes will derive from three major points: economic variations where the properties are located, opportunities to strengthen the portfolio and overall strategy variations. There can be long periods where no changes occur and you hold on current positions. At other times, fast, well-thought decisions can make a huge difference on the financial returns and structure of your portfolio. A good investor is always analyzing the main variables in the market and making decisions accordingly.
NATIVU • Investment Consultant: Fabricio Riggioni Phone: (506) 8301-0663 • Email: fabricio@nativu.com
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Business Terms Administracion - Administration Cedula Juridica - Company ID (legal identification number of the company) Contabilidad - Accounting Estado de Cuenta bancario - Bank Account Statement Factura - Bill Facturacion digital - Digital Invoicing (term currently used with the new billing system implemented) Ganancia - Profit Impuestos - Taxes Impuesto sobre la renta - Taxes on income (tax paid annually by those having some commercial activity, companies or individuals providing professional services) Numero de Cuenta Bancaria - Bank Account Number Nombre legal de la empresa - Company Legal Name Nombre de fantasia - Name used publicly/Trade name (This is used when the legal name of a company differs from the one used publicly. For example, Howler Magazine is the name of fantasy, the legal name is The Howler Gold Coast CR.) Oficina - Office Permisos de operacion Operation Permits (All the legal permits necessary for a company to operate legally) Perdida - Loss of Money
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COMING SOON! 3 Br, 2.5 Bth, 2 story home with pool. Corner lot, located in Surfside across from Maxwell's Restaurant. INQUIRE AT
www.tourfactory.com/2082384 For more information: dhohenschuh@gmail.com #s earchf indh owl
HM HOWLER MAGAZINE | 13
CR BIZ MINI-MAG
PRO TIPS
FOR YOUR SMALL BUSINESS: AUDIENCE & BRAND IDENTITY
by Laura Galvin Nomad Design House
DOING BUSINESS RIGHT
Costa Rica is no longer just a retiree destination. People of all ages are moving here to start small businesses, and in this developing nation with mounting popularity for expats and tourists from around the world, the entrepreneurial opportunities are ripe; but the competition is growing. While many have dreams of running their own business, not all have prior business experience or knowledge to execute successfully. In this three-part series, we’re giving current and future business owners pro tips for small business success in Costa Rica, starting with defining your audience and developing your brand identity.
D
efining your target audience is essential before you make decisions about your business’ branding and marketing strategies. A target audience is the demographic of people most likely to be interested in your product or service. Costa Rica is unique in that there are different markets for locals, expats, and tourists, yet they can and often will overlap. Your audience can also be defined by its demographics, location, interests, values, and opinions. It may change or become more refined over time after you have observed who your customers are, and this will help you to connect better with that group in the future. Knowing your audience so intimately is important so that you can communicate and appeal to your customers in the most effective ways with your branding and marketing.
PART 1 OF 3 14 | #searchfindhowl| online
A brand is more than just a logo; it’s your business’ personality and identity. It is your opportunity to make an impactful first impression and emotional connection with potential customers. In mere seconds, people make subconscious decisions about what your business represents, how trustworthy or professional it is, and the quality of your products or services – all based on your branding. When considering your brand identity, put some thought into the values you want your brand to represent, and make a list of adjectives. Your list might include descriptive words such as “luxury,” “natural” or “eco-friendly,” for example. It’s important to define this so you have guidance for your design, styling choices, and even the tone of voice you use in marketing. You could also pick a theme (for example: an era, a place, or a sport) to carry throughout your branding if that helps form a connection with your audience and represents your brand values. A good way to organize these ideas is to create a mood board. (Pinterest is a great tool for this!) Next will be designing your logo, and all the visual elements of your brand in the style that you have defined.
The standards are being raised now that more small businesses are opening in Costa Rica, and having a professional appearance is a must to stay competitive. Your logo should visually communicate your brand’s values in an instant. The rest of your visual identity (in signage, ads, decor, print material, website and social media channels) should support that message. Creating a cohesive brand identity across all channels is important in building brand recognition. If you don’t have a design background, it’s best to seek out a professional designer with branding experience to help you at this stage, or even earlier. It’s important that your visuals communicate effectively and are high-quality and cohesive. Every interaction consumers have with your brand should be reiterating what your brand stands for and what you want them to remember about you, in order to build a strong relationship between your customers and your products or services. The importance of brand identity will be explained further in the following article next month when we discuss marketing and promotions.
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CR BIZ MINI-MAG
People Make the Difference DOING BUSINESS RIGHT
Diamante Eco-Adventure Park
by Howler Staff
“An employee’s passion and happiness will translate across all language and cultural barriers.”
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C
osta Rica and adventure: this connection is immediate, real and known to travelers around the world. With its incredible climate, mountains, oceans, and rainforests, Costa Rica is a world-class setting for those offering up sought-after adventure activities. But what makes the country a world-renowned destination and one of the happiest places on earth is its people. Diamante Eco Adventure Park is well known for Costa Rica’s longest zipline with an ocean view, as well as a first-class animal sanctuary and wildlife education center. The park receives rave reviews from adventure seekers of all ages, including families with small kids. Reviewers frequently describe the thrill of the ziplines, the beauty of the animals and the hands-on experience making chocolate in the cultural learning center. These reviews often stand out for another reason: they feature high praises to the Diamante employees for making their park experience memorable. “The sheer volume of reviews and times employees are thanked by name or by activity tells you that Diamante has a special group of employees,” says Jesus Gonzalez, General Manager. “We make every effort in the beginning to align the right person with the right position. We believe anyone with a great attitude can be matched with a job that will allow them to excel. An employee’s passion and happiness will translate across all language and cultural barriers.” Luciana Smania, Director of Activities, agrees.
“I was one of the first employees at Diamante,” Smania says. “We all had many jobs to do and I was in charge of finding and training 20 zipline guides. I had a few simple requirements — a great attitude, love of people and the outdoors and basic English.” The hiring process turned out to be less straightforward than expected, Smania recalls. “Staff were screening candidates by phone and we brought in those who we thought sounded the best. I soon realized that we had one guy who spoke no English and was not even on the list. I went to tell him that he would need to leave, but instead found myself trying to find a way to keep him because his energy, attitude, and desire were contagious.” Smania seems to have made a good call in retaining that employee. Danny, nicknamed “Hancock,” is not only still at Diamante but speaks English and has become a leader on the zipline team. Smania also speaks highly of Diamante’s zipline supervisor, Aristides Crilio. “He was in the first group I ever hired. He has worked his way into this leadership position with his attention to detail and respect among his peers for his hard work and great attitude.” Biologist Valerie Valdelomar leads the animal sanctuary team at Diamante. “I am proud to see the sanctuary staff thanked so frequently for sharing their passion and knowledge of the animals that they care for,” Valdelomar says. “We see Juan Jose [Juanjo] mentioned frequently. Juanjo has been taking care of our jaguars,
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Photos courtesy of Diamante Eco Adventure Park
Nico and Sama, for years. He is consistently popular with guests who know him by name.” Valdelomar says one of her guides, Bryan, was so popular with guests that she ended up having to promote him. “He was promoted to a new role within the park. I am always happy to see my staff improve, learn and grow within the company.” Alejandro Guerrero leads the maintenance team at Diamante and was on the team that built the ziplines, Smania notes. “Alejandro was instrumental in creating a safety device used at the park. The owners were so impressed that they created the “Ali” award. This is given to any employee who shows initiative in creating solutions the park adopts.” Alejandro also got special praise in a park review for an unusual reason, recalls Gonzalez. “We had a guest arrive at the park with a flat tire, and was really stressed. That was until Alejandro calmly told the visitor, ‘just go enjoy the park … I'll take care of it.’ After finishing his tour, the guest was thrilled to see his car in perfect condition. He could #s earchf indh owl
not believe the staff cared so much.” So much of its guest feedback affirms that Diamante truly is a place where you feel comfortable and cared for from the time you arrive until you leave. This is all because of the caring people at Diamante, and Diamante cares for its people by keeping local staff employed yearround, regardless if it is high or low season. Some lucky visitors get to meet the famous Jorge “Gato” as everyone calls him. Gato started as one of the park’s first drivers and is now the transportation supervisor. “There is no one better at welcoming you to Diamante than Gato,” Smania and Gonzalez agree. “His smile and energy radiate and you just know you're going to have a great day!” Gonzalez encourages all park visitors to engage with their hosts. “Feel free to ask questions and interact with the staff. They love their jobs and sharing everything you are interested in knowing. You may soon find your own favorite employee connection at Diamante.”
HM HOWLER MAGAZINE | 17
FOREBAY
DIY Micro-Hydro by Tom Schultz
POWERHOUSE
HEAD
Essentially, a micro-hydro installation consists of an elevated intake (forebay) connected to a powerhouse (turbine enclosure) by a pipe. "Head " refers to the difference in elevation from intake to turbines, which must be at least 50 feet.
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TURBINE
TRAILBLAZER TALES
An ‘alternative’ alternative energy source
R
esidential electricity in Costa Rica is expensive. Rates are among the highest in Latin America and much higher than in North America. Even in a house without air conditioning or heat, our monthly consumption averaged 400 to 500 kWh, generating bills in the $150 to $200 range. Wanting to save money and be more eco-conscious, we started looking at options to generate our own power. Based on our recent billing records, we needed a solution that could give us 10 to 14 kWh per day. Solar power is the most obvious alternative energy source that comes to mind for Costa Rica consumers. It’s a good option for many people, in addition to being good for the planet. But solar is not the only option, and we were interested in looking at other possibilities. In fact, more than 94 percent of Costa Rica’s electricity is derived from a renewable resource. But relatively little of that is solar or wind power; the rest comes from water. Hydroelectric power generates about 80 percent of the country’s electricity. On such a megascale, it’s no small production: enormous dams use water flowing through huge water turbines to create and store electricity. That’s why Lake Arenal was created.
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Surprisingly hydroelectricity does not necessarily have to be such a big deal, even for an “ordinary” residential consumer. Under the right conditions, you too can generate power the same way with your very own micro-hydro system. I’m not saying micro-hydro is an easy solution. And it’s definitely not
You can’t build your own micro-hydro system in a stream you do not own. for everyone — literally — in terms of accessibility. That’s because first, you need water. Anyone can harness energy from the sun, but not so with hydro. It can not be just any water; it has to be water you can use … not as straightforward as it seems. Natural water resources like streams and rivers are considered public. So you can’t build your own micro-hydro system in a stream you do not own. What you might be able to do, however, is create one in a stream that flows through property you own on both
sides, with the intake and outflow also inside your property. Second, you must have enough water. A small seasonal trickle will not be useful; the stream must flow all year at a rate sufficient to generate power. If you can’t fill a 5-gallon bucket in under 5 seconds, you don’t have sufficient water. Third, and probably most important, you require sufficient “head” to drive the system. Head refers to vertical drop from the water intake to the generator turbine. You need a minimum 50-foot vertical drop to generate enough power. Once we determined all of these requirements could be met on our property to generate about 12 kWh of electricity a day, we undertook to build a micro-hydro system in 2015. We worked with Osa Waterworks (osawaterworks. com) on the design and installation. A major consideration was where the intake and turbine housing would be. To maximize the 50-foot head drop, our intake and turbine housing are just over 150 meters apart, with 4-inch PVC pipe running from the intake to the housing, built into the ground mostly for esthetic reasons. Our turbine is US built with a maximum output of 2.5 kW. It’s compact and works like a car alternator. The spinning magnets inside produce
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We built a bridge above the finished intake dam (forebay) and concealed most of the feed pipe underground to preserve the stream's natural beauty. Photos: Tom Schultz
Also for esthetic reasons, our powerhouse was designed to be hidden underground. Here, you see the turbine in the center attached to four nozzles. The increase in pressure to drive the turbine occurs when water flowing through the 4-inch diameter pipe is diverted through four two-inch diameter feeds, each connected to one of the half-inch diameter nozzles.
electricity. It uses what’s called a Pelton wheel, driven by the force and speed of water hitting it. That’s why the head drop is important. The water column weight creates pressure, increasing as water flows through the 4-inch pipe into half-inch nozzles. The faster the wheel spins, the more power. We also sacrificed distance to our power inverter, running over 200 meters of cable via an underground conduit from the turbine to our garage, where the inverter and storage are. With electricity already running into the house, we are using a smart grid system. Any power we need in addition to the hydropower we use comes from the grid. Reasons for not using a grid tie system with the national power company are a topic for a separate article. The installation was not without complications, including sediment clogging of the original intake placement on the river bed to allow unobstructed water
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flow. Some trial-and-error modifications using a small dam have been working well. Was it worth it? Our micro-hydro system has been operating for almost three years. It cost over $12,000, more expensive than a solar system of comparable size. But over a payback period of 10 or 12 years, this was not a concern. Our monthly electric bills now range between $20 and $25 since we do not generate 100 percent of our energy needs. But we’re saving $120 or more a month from what we used to pay, almost $1,500 a year. With the government looking at a new VAT charge on electricity our payback could come sooner. We are happy with our micro-hydro system and its eco-friendliness. Besides, it has a “cool” factor! There are few residential systems like this in the country so lots of people are curious and want to come and check it out.
HM HOWLER MAGAZINE | 19
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When is a Good Time to Build in Costa Rica? BUILDING COSTA RICA
Key Points to Kick Off a Successful Project
by Tatiana Vandruff
For your piece of paradise, it is very important to do a bit of homework.
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F
irst time visitors to Costa Rica are typically mesmerized by the wonderful weather and magnificent climate throughout the country, varying from scattered showers and tropical heat to cool ocean breezes. Nonetheless, this perception changes drastically when you decide to stay for a long time, especially once you decide to build here. For your piece of paradise, it is very important to do a bit of homework on Costa Rican weather patterns, holidays affecting labor availability, and other factors that can affect your plans. Doing this research will reveal there are two very distinct weather seasons. Rainy season, or “winter,” (“invierno” in Spanish) runs from May through November, and dry season — “summer” (“verano” in Spanish — from December through May. Both are described as radical in behavior: lots of rain during rainy season and no rain in dry season. You might automatically conclude that dry season would be best for any endeavor. In fact, while this time of year brings marvelous weather conditions for touring and enjoying Costa Rica, it may not be precisely the best for construction. For any construction project, anywhere in the world, several aspects should be considered, not only related to weather but also efficiency of execution. To maintain costs under control, be sure to thoroughly analyze your timeline. When do you plan to start your project and why is that the best time? Costa Rica is very diligent in the building permit process, so this timeline can be unpredictable and cause delayed start dates. In the excitement of starting a project,
important factors may be overlooked. This can also contribute to delays and poor execution by builders, or by owners pushing the envelope with challenges that could have been avoided. Whether you have a specific deadline for a business grand opening or completing a rental property or are simply eager to start enjoying your new home, it is vital to take into account these three key considerations: 1.
If possible, start building when dry season is clearly established. Even though technically it begins in November, the soil could still be too soft in some locations, making excavation or earth movement difficult. 2. Be aware of labor law obligations in relation to Costa Rican holidays. Avoid starting close to the yearend holidays or prior to Holy Week (Semana Santa). Costa Rica is considered one of the happiest countries on the planet for a reason. People take these holidays very seriously to enjoy family time, as it should be. 3. Make sure you have established a good relationship with your builder, and the team of experts who will be executing your project. They are vital to the success of your project and should guide you moving forward. Most projects are difficult to conclude in the timeframe one season, be it dry or rainy. Planning and starting wisely will save you added costs, added delays and downtime.
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Luxury Home Tax
LEGAL EASE
by Ivan Granados
C
osta Rica’s Solidarity Tax for the Strengthening of Housing Programs (Impuesto Solidario para el Fortalecimiento de Programas de Vivienda) was established under Law # 8683. Commonly known as Luxury Home Tax, it applies to houses, condominiums and apartments with a construction/ building value exceeding an exempt amount determined by the Tax Office. The obligation to file and pay this tax falls to homeowners effective January 1 of the applicable year. The tax amount payable is based on the declared construction value of your property. In addition to the primary home building itself, this includes associated facilities such as palapas, swimming pools, perimeter walls, internal roadways and sport courts. For assistance in determining the construction value to declare, The Manual of Unitary Base Values for Constructive
Typology and a related tool are available from the Tax Office at www.hacienda.go.cr/contenido/13173-impuesto-solidario If the property construction value you have determined exceeds the exempt amount for that tax year, another step is necessary. You must calculate the value of the associated land, following Tax Office parameters, and add it to the construction. The sum of these amounts is the total property value to be declared. Non-exempt homeowners are required to pay the applicable tax amount every year, and must file this declaration form every three years: D-179 "Formulario Único de Inscripción, Declaración y Pago Impuesto Solidario para el Fortalecimiento de Programas de Vivienda, Ley 8683." The form and relevant details are available online at www.hacienda.go.cr/docs or visit howlermag.com/luxuryhometax Although these online resources are designed for taxpayers to complete the property value calculations and declaration forms on their own, it may be a good idea to seek help from someone with expertise or experience. For Tax Office locations and contact information, visit www.hacienda. go.cr/ The Luxury Home Tax exempt amount is adjusted each year by the Tax Office. For 2018, the exempt amount is 129,000,000 colones, or approximately US$230,000. The next Luxury Home Tax filing deadline is January 15, 2019. Parameters for the following tax year will be published by the Tax Office in late December. Amounts payable are determined on a sliding scale as shown in the chart at left. Rates range from 0.25 and 0.55 percent extra, depending on your home’s construction value. The tax office will calculate the exact amount for you.
The next Luxury Home Tax filing deadline is January 15, 2019.
2018 Values (¢560 = US$ 1)
Tax Rate
Up to
¢323,000,000 (~ US$ 576,000)
0.25%
From and up to
¢323,000,000 (~ US$ 576,000) ¢647,000,000 (~ US$ 1,155,000)
0.30%
From and up to
¢647,000,000 (~ US$ 1,155,000) ¢970,000,000 (~ US$ 1,732,000)
0.35%
From and up to
¢970,000,000 (~ US$ 1,732,000) ¢1,295,000,000 (~ US$ 2,312,000)
0.40%
From and up to
¢1,295,000,000 (~ US$ 2,312,500) ¢1,617,000,000 (~ US$ 2,887,900)
0.45%
From and up to
¢1,617,000,000 (~ US$ 2,887,000) ¢1,943,000,000 (~ US$ 3,469,000)
0.50%
From and up to
¢1,943,000,000 (~ US$ 3,469,600)
0.55%
Professional legal and/or accounting advice is strongly recommended to ensure compliance with Luxury Home Tax requirements and avoid fines and penalties.
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CR BIZ DIRECTORY Real Estate, Property Management and Architects
Playa Tamarindo 7 days a week, 9-5 2653-0073 www.remax-oceansurf-cr.com
SPECIAL PLACES COSTA RICA Property Management & Rentals Full management, rental and concierge services Flamingo and Playas del Coco Mon-Sat, 8-5 2654-4493 / 2670-2198 specialplaces@crvr.net
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CONCIERGE GROUP Don't Put Your Property at Risk We look after your investment in Costa Rica for an annual fee of $250 Oficentro FES, Alajuela Mon-Fri, 9-5 2430-9020 info@conciergegroupcostarica.com conciergegroupcostarica.com
ARCHITECT/ENGINEER
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KELLER WILLIAMS COSTA RICA BEACH PROPERTIES Helping your dreams be a reality; sales of homes, condos, land and businesses Tamarindo, Sunrise Plaza Flamingo, North Ridge Road Mon-Fri, 9-5, Sat, 9-1 2654-5460 kwcostarica.com
BROKERS COSTA RICA Property Management & Rentals We specialize in luxury rentals and property management Hermosa del Mar Plaza #7 Mon-Fri, 8-5, Sat, 8-noon 4702-7098 / 2665-8746 info@costarica-brokers.com
KRAIN Luxury Real Estate Member of Leading Real Estate Companies of the World Ocotal, Flamingo, Potrero Daily 8-5 2654-4010 info@kraincostarica.com
NUEVO ARENAL
HORIZON PACIFIC Property Management and Rentals A leader in quality properties and services: Vacation rentals, management, association administration Tamarindo, Plaza Palmas #17 Mon-Sat, 9-5, Sun 9-2 2653-0390 horizonpacificvacations.com
RE/MAX OCEAN SURF & SUN Nobody Sells More Real Estate Sales of residential condos, homes and single-family home sites
OCOTAL
Tamarindo & Flamingo Mon-Fri, 8-5 2654-4004 / 8407-1898 info@plantacionproperties.com
REAL ESTATE & PROPERTY MANAGEMENT
REAL ESTATE & PROPERTY MANAGEMENT
CHRISTIE'S International Real Estate Specializing in Costa Rica real estate for over 27 years
Flamingo, Potrero, Ocotal Daily 8-5 2654-4010 info@kraincostarica.com
PLAYA HERMOSA SCHOOLS
KRAIN Luxury Real Estate Member of Leading Real Estate Companies of the World
ABC REAL ESTATE Fine Selections by the Beach We offer personalized service and a full range of real estate services Plaza Tamarindo Mon-Fri, 9-5, Sat, 9-1 2653-0404 tamarindo@abccostarica.com
TEAM REALTY Property Sales and Development Real estate professionals, creative, straightforward and honest Nuevo Arenal Mon-Fri, 9-5 2694-5100 info@teamrealtycr.com www.teamrealtycr.com
ARCHITECT ORANGE Construction Design Management Full architecture design and construction management services Arenal - Flamingo - Nosara Mon-Fri, 9-5 2694-5100 info@architectorange.com www.architectorange.com
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COMMUNITY & SERVICES DIRECTORY
GUANACASTE DENTAL Comprehensive Dental Care Advanced family, implant and cosmetic dental services Tamarindo - Garden Plaza Mon-Fri, 9-7, Sat, by appointment 2215-5715, US (866) 978-8305 info@guanacastedental.com guanacastedental.com
PACIFIC SMILE DENTAL CARE Kids & Adults - English Speaking Highly experienced staff— orthodontics, implants, endodontics, gums Near Auto Mercado, Tamarindo Mon-Fri 9-6, Sat by appt. 2653-4354 info@pacificsmilecr.com
MASSAGE THERAPIST
TAMARINDO DENTIST First Dentist in Tamarindo Implants • Orthodontist • Endodontist • Cosmetic Dentistry Tamarindo 24/7 for emergencies 2653-2020 smile@tamarindodentist.com
INSURANCE
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DENTAL SERVICES
TAMARINDO CHURCH All are Welcome Welcome atmosphere, casual dress, relevant teaching, meaningful worship 150m W of Tamarindo Airport Sundays @ 10:00am 8868-0871 Pastor Lyle Watson lyletamarindo@gmail.com www.tamarindochurch.com
Huacas Mon-Sat 2653-8365 cepiacostarica@gmail.com
GROCERY STORES
Main road to Brasilito Sun, 10am 8621-6273 perrycarlile@gmail.com
DENTAL SERVICES
CHURCH / COUNSELING
BEACH COMMUNITY CHURCH Visit and Socialize Love, hope, peace
DENTAL SERVICES
BUILDING SUPPLIES
M&G DE HUACAS Marble, Granit and Quartz Custom countertop, highest quality and materials, free inspection and quote 50m east, 150m north, 75m west Huacas Community Center M-F, 7:30-5, Sat, 7:30-2 8840-3815 litomtz74@gmail.com
CEPIA Nonprofit Organization We promote culture, health, sports and education for children
GRAPHIC DESIGN
Tamarindo and Flamingo Mon-Fri, 9-1, 2-5 2654-4367 / 2653-2155 info@gmattorneyscr.com
COMMUNITY
ATTORNEY
GM ATTORNEYS Legal Services Full service in all areas of law
THE CHOPS Graphic Design & Advertising Corporative, web, social media, fashion and more Very close to you Almost everyday 4700-3051 / 8720-1984 tellme@the-chops.com www.the-chops.com
LA URUCA, HUACAS Supermarket Food, liquor, fishing gear, and much more - delivery service available 300m W of Flamingo turnoff 7 days a week, 7-8 2653-8714
ALL INSURANCE CR - TAMARINDO Health, Auto, Homeowners and More Offering the best coverage with customer service a priority Across from Auto Mercado Mon-Sat, 8-5 2653-4300 / 973-536-1191 (24/7) info@allinsurancecr.com
KALISAGE Day Spa and Oxygen Bar Licensed Customized Massages & Facials Plaza Tamarindo #15 Mon-Sat, 9am-7pm 2653-2050 kalisagecr@gmail.com
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Braulio Carrillo โ ข Jacรณ
Aerial Tram Hanging Bridge Zip Line Gardens Lodge and more
15% OFF Book online at
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