The Real Eco State will land in Spain to draw investors’ attention to virgin lands in Patagonia
The company has marketed plots of land valued at 23 million Euros since its foundation in 2018; the price of each hectare ranges, depending on their features, between 7.000 and 14.000 Euros.
With this initiative, Spaniards may acquire a piece of virgin nature in Chilean Patagonia. The national company, The Real Eco State, will land in Spain this year to draw more investors’ attention who are committed to conserving the area that is considered one of the vital ecosystems in the world and the one that is key against climate change.
The company focuses on marketing private virgin plots of land in Chilean Patagonia under some conditions. The clients will not be allowed to modify the water courses, cut down protected forests, or build over 2% of the surface area to protect the biodiversity.
“We are not just interested in marketing or interchanging land but selling inversion to conserve. In Felipe Escalona’s words, the founder, and CEO of The Real Eco State, any client that wanted to buy a plot of land from us must follow all regulations and stick to them” He also added that the company supervises the plots of land and creates annual reports, along with NASA, which reflect the environmental impacts of the buyers’ shares for each land.
“It is crucial to understand how the shares impact each year and how they are creating a resale market for this inversion to be net and guaranteed,” said Escalona, who aligned himself with Baker McKenzie to offer the clients guarantee.
The price per hectare ranges from 7.000 to 14.000 Euros, depending on the features of each plot of land. Escalona pointed out that this business model is growing at a 20% rate annually.“ The land price has increased over the years, and their purchase prices are expected to double within the next two years."
Conserve and protect
By marketing land, the company aims to make the acquisition of it possible for most people and not exclusively leave it just for the wealthiest. Escalona has marketed more than 6.000 hectares in the region to more than 650 clients, unveiling high interest in applying a similar business model to Amazon regions and Africa.
Buying one hectare in Chilean Patagonia implies, according to the company, the protection of carbon sequestration of over 120 tons per hectare. Escalona, who founded the company with his capital in 2018, said, “If we achieve to turn conservation into business, we will be able to protect nature better."
The marketing of plots of land in Chile is currently protected by the Conservation Easement( DRC), a legal tool that was implemented in 2016 and establishes prohibitions, restrictions, and actions that guarantee the conservation of land under private protection. Additionally, The Real Eco State is managing another law that will aim to restrict even more the requirements to acquire plots of land and will grant the clients tax benefits.
Escalona said: “If we want to be carbon neutral by 2050, these changes are necessary, indeed”. The company has already expanded with an office in New York; meanwhile, other international branch offices in Colombia, México, and Spain are expected to start in 2023.
Source: Eleconomista.es
