Argentine stocks jumped to a record high on Monday 29th November following first lady Cristina Fernández de Kirchner's victory in Sunday's presidential election. Kirchner, previously a senator, will take over from her husband Nestor Kirchner and become Argentina's first elected female president. The outgoing president, who chose to stand aside to let his wife run rather than bid for a second term, presided over a period of returning economy stability following a financial crash six years ago.

Indeed, pronouncements that Argentina now has the economic foundations to attract foreign property investors appear to have a firmer footing than Maradona's claims to have scored the winning goal against England in 1986.
 
Take, for example, foreign investment - that oft called-upon indicator of capital confidence. In 2005, 566 million dollars were invested in infrastructure in Buenos Aires, Argentina's capital, alone.
 
But, importantly, foreign dollars are not the only injection the Argentine economy is receiving. Rather, its property market is also being driven by domestic demand.
 
"What makes Argentina one of the most interesting countries that we have come across," say emerging property market specialists Someplace Else, "is that the demand and growth in the real estate market is down to the local population. Moreover, of the large number of locals that are buying, most purchases are being done in cash. without any bank financing. This means that the foundations for the expected real estate boom are solid and genuine."
 
At the heart of this boom is Buenos Aires, an exhilarating mix of European sophistication, Latin drama,and appealing residential architecture.
 
"Property in the most exclusive districts of the Argentine capital average between £1,000 and £1,600 per square metre, making it one of the most undervalued capitals in the world," state Someplace Else.
 
But where to invest to make the best of the current conditions? Pericles James of Buenos Aires Real Estate tips Recoleta, Palermo Soho, Palermo Viejo and Barrio Norte as being best for investors seeking double-digit annual returns. In terms of capital appreciation, he is more specific: "The best returns are in Palermo and Palermo Vieja. I suggest that if you purchase a two-bedroom property of $120,000 you will make a very hefty return on your investment."
 
Someplace Else is currently marketing the Soho Tower development in Palermo Viejo. The building will have 21 storeys and offers one-, two- and three-bedroom apartments, with prices starting from £71,871.
 
So, it would seem that, these days, Argentina is hot for more than just the Tango.
 
Pictured: La Boca, the heart of Buenos Aires' tourist trade
 
Click here to read more about Buenos Aires in the October issue of the World Property Bulletin.

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Article first published 02 November 2007