Real Estate Investors Following the Gas and Oil

Beverly Hills, CA, October 30, 2014 --(PR.com)-- A few decades ago when Americans thought of Texas they probably thought of a few things such as: Go Big, JR Ewing and Oil and Gas. Today it seems like things haven’t changed much.

Recently in the headlines, Wilbur Ross reported by Forbes magazine to be one of American’s billionaires worth 2.9 billion has taken another significant position in the banking, oil and gas industry. One of his more well known investments has been with the Bank of Ireland where he made a profit of 500 million euros on a 290 million euro investment in less than 3 years as reported in Reuters. According to Nasdaq, Wilbur Ross holds over a 60% stake in another Texan oil company EXCO. His most recent undertaking has been to take significant part of the Bank of Cyprus and it’s billion-euro share sale which he has now raised over 400 million Euros. Bank of Cyprus is the largest bank in Cyprus as reported in the Cyprus Mail newspaper.

Why would this Billionaire investor take such an enormous fiscal banking interest in an island in the Mediterranean especially after the major banking crisis, crash and bailout as shown on the World News in March 2013?

It’s simple…. Gas and Oil.

Enter center stage Noble Energy an American Texas based drilling company who announced in 2011 a discovery of natural gas yielding up to an average of between 5-8 trillion tcf off the shores of Cyprus as reported in StratRisks in July 2013. Noble Energy is also talking shop with the Cypriot government over a potential deal for an on shore liquefied natural gas (LNG). Cyprus will be set to be the major hub of the hydrocarbon market and natural gas distribution for all the EU nations, Middle East and Israel. In fact, Haliburton and Schlumburger two of the world’s largest oilfield service companies have chosen Cyprus as their base of operations for the eastern Mediterranean according to the May, 2014 Cyprus Mail article. Haliburton is estimating 50-60 new wells to be drilled in the next few years states gas expert Charles Ellinas former executive chairman of Cyprus Natural Hydrocarbons Company.

So why does Mr. Ross make a significant financial stake in the biggest bank in Cyprus? Well, to the layperson it’s pretty obvious why. Yet in the first of his two-part interview with a local Cypriot newspaper the daily Phileleftheros, Mr. Ross said that tourism business which has been underrated, financial services and natural resources (hydrocarbon) can drive the economy forward. This is especially due to the planned privatization of the ports as a condition of the island’s bailout agreement. Not to mention the Super Casino recently fast tracked to be licensed in 2015 by the Cypriot Government that would include malls, restaurants, theme park, entertainment and residential buildings that would rival Las Vegas. Ross was told by Ryanair that they could bring up to 2.5 million tourists a year as quoted by the Cyprus Mail.

Back in America, according to Neil Irwin of the New York Times says that "the American housing market seems to be stalling the economy and except for a few booming markets, housing is nowhere close to pulling its economic weight for the national economy.” Micheal Fiscina owner and CEO of Realty Group International Inc located in Beverly Hills, California rgico.com says “Many of the buying opportunities from the US crash in 2008 have been taken. Not as many deals to be had in 2014 due to less short sales, foreclosures and higher market rate sales. We see many homeowners are taking advantage of the possible temporary housing bubble and getting out when the market is high or peaked. Also we are finding that these sellers and investors are not necessarily re-investing. The common reason is because they are waiting for the market to downgrade again before they re-purchase. Sell high and buy low seems to be the predominant theme. But in many Southern Californian neighborhoods the demand is more than the supply.” Mr. Fiscina who is a licensed Real Estate Broker in multiple states also explains “This is why Real Estate investors are looking abroad for more buying opportunities with a better return on their investments.”

“Realty Group International has been doing business oversees since its inception. And in the early 2000’s we added satellite offices in London, Paris, Rome, Barcelona, Rio De Janeiro and now Cyprus. Recently RGI was able to acquire a one on one alliance with the largest most well known and respected Real Estate Company in Cyprus with over 3000 properties for sale which his group has currently contracted directly with them. We are the first American realty company to show a substantial presence in Cyprus,” stated Michael Fiscina, rgicyprus.com. To date the Real Estate market has consisted of primarily the Russian, European, Chinese, Israeli, and Arab countries Real Estate market investors as noted in the Business Insider article on The Sweet Mega Marina for the International Oligarchs.

“Since Americans are now intrinsically involved in the natural gas and oil drilling and production we feel it’s important to have an American influence to provide our US citizens and companies a high level of consumer confidence to be able to comfortably purchase. For this reason RGI has brought on board American resident and native Cypriot, Hratch (James) Chaderjian as a consultant who was formally employed with the UN for over 10 years for a more personalized approach to the unfamiliar investor. Yes, He is even considered our tour guide when needed,” said Rachelle Schreiber RGI’s Executive Regional Manager. Rachelle who also has a license in Real Estate with the BRE for over 25 years also states that "RGI is currently working with several Fortune 500 Companies that are showing great financial interest in the Cyprus real estate and business marketplace.”

“With the recent visit by US Vice-President Biden we figured it was necessary that the US investor be educated towards the fiscal developments and investment opportunities and in turn put Cyprus on the map for not only American but potential international investors,” stated Mr. Chaderjian. “In addition with the discovery of natural gas and American alliance now forged for this endeavor it is only a matter of time until the economic market and real estate industry skyrockets. Along with the hydrocarbon industry the tourism sector is being greatly highlighted due to its state of the art developments such as the marinas, golf courses, commercial buildings, multi-family and single family residences. The super casino will be a big deal in this region because there is nowhere else like this except for Monte Carlo and will dwarf it in comparison and be something the EU and the Middle East cannot experience anywhere else except for in Las Vegas, Nevada,” according to Mr. Chaderjian.

It is important to highlight the new opportunity for Residency and Citizenship through real estate investment now found on the Cyprus Immigration website. Many clients are not aware that with the purchase of property totaling EU 300,000 will allow one to obtain a permanent residency
rgicyprus.com/investment-and-eu-residency/, this would allow anyone to freely travel to the EU. And for a EU 3 Million investment in real estate or bank deposits, this would entitle one to acquire a Cypriot EU passport and direct citizenship.

The potential for Cypriot growth is undeniable and unstoppable. And as for savvy Americans like Wilbur Ross and Haliburton, many investors tend to go where the oil and gas is found. So like the JR Ewing’s character in Dallas, educated investors are pushing, grabbing, running not walking to this part of the Mediterranean while the opportunities are still hot and are not scooped up by fierce competitors. And yes, America does know who its competitors are. So watch out world because here come the Americans… once again.