Mansion Global

Montevideo’s Carrasco is an In-Demand Suburb That Combines City and Beach Life

Popular with expats, the Uruguayan neighborhood is filled with amenities

Save

Sailing boats in a marina at Carrasco

Demetrio Carrasco / Getty Images
Sailing boats in a marina at Carrasco
Demetrio Carrasco / Getty Images

Carrasco is an idyllic enclave where shaded tree-lined streets give way to a stretch of white-sand beach along Playa Carrasco on the Rio de la Plata in Uruguay’s capital. Just a quick 20-minute drive to the city center, it was at one time a seaside escape for well-to-do urban dwellers.

In 1907, entrepreneur Alfredo Arocena acquired the land, and in 1912 he created the joint-stock company Balneario Carrasco with the vision of designing a spa retreat. Influenced by excursions to Europe, Arocena hired French architects and landscape designers to create a sea-gazing Grand Hotel Carrasco and surrounding gardens said to host Albert Einstein and the Spanish poet Federico Garcia Lorca in its time.

No longer just a holiday escape, Carrasco has since evolved into one of Montevideo’s most sought-after suburbs affording the best of city and beach life.

Boundaries

Carrasco borders Avenida Bolivia and the Punta Gorda neighborhood to the west; Avenida Italia and the Carrasco Norte enclave to the north; Carrasco Creek and Canelones Department area to the east and the Rio de la Plata coastline to the south. The area’s main thoroughfare, Avenida Alfredo Arocena, named after its founder, begins at Avenida Italia and continues south to the beach.

More:Click to Tour a Dreamy and Modern Beach House in Uruguay with Privacy and Security

Price range

One important thing to note is that the housing market in Uruguay, particularly high-end real estate, operates in U.S. dollars rather than the local currency due to fluctuations with the value of the peso. "Prices for houses in Carrasco start at $350,000 for a three-bedroom home in busier areas of the neighborhoods (on streets with traffic), and go up to $3 million or $4 million for mansions in more secluded areas," said Carlos Garcia Arocena, executive director of Bado & Perazzo Sotheby's International Realty.

If in the market for a more compact property, Mr. Garcia Arocena said, "a fairly modern two-bedroom apartment can be purchased for $400,000 while a larger condo is around $1 million. Brand new apartments are more expensive (about 20% higher)." This is due in part to the demand for new construction in this largely historical area, with strict building and preservation codes.   

Housing stock

The architecture is an attractive mix of single-family estates and modern low-rise apartment buildings. Historic Colonial-style villas, Tudor manors, classic French and Portuguese-inspired buildings are right in step with contemporary condominiums. Many homes in the area have spacious lawns and private swimming pools.

However, don’t expect a penthouse view. In a neighborhood that strives to maintain its residential aesthetic, buildings are, on average, two stories high.  

More:Click to view high-end homes currently for sale in Uruguay

What makes it unique?

"Carrasco is the traditional residential neighborhood for the affluent in Montevideo," Mr. Garcia Arocena said.

Several embassies—Argentina, Brazil, France, Egypt—are located in this enclave, which makes it popular with international residents. More than just an enviable address with influential and multi-cultural neighbors, Carrasco is also conveniently located. Residents can stroll to the beach and esplanade, and it’s just a 10-minute drive from Carrasco International Airport and 20-minutes to the city center.

Juan Federico Fischer, Managing Partner at Fischer & Schickendantz, added that in the last decade Carrasco has become Montevideo’s third largest commercial area. "As traffic increased in the city, getting to the financial district and downtown Montevideo became more time consuming," he explained.  "So people have been moving their offices to Carrasco and enjoying the advantages of its proximity to downtown and the upscale atmosphere," he explained.  

More:Mexico City’s Polanco Boasts Art, Parks and Some Seriously Upscale Shopping

Luxury amenities

The spa resort that put this neighborhood on the map of jet-setters remains and, following a thoughtful restoration, it is now the Sofitel Montevideo Casino Carrasco and Spa. Not just for in-the-know tourists, the hotel’s exceptional spa, the casino, and French cuisine at Restaurant 1921 make it a destination for locals, too.

There’s no shortage of either fine or relaxed dining in the neighborhood. Mr. Garcia Arocena mentioned local favorites, including chic bakery La Linda, the classic upscale grill Parrillada Garcia, Café Misterio for sushi, and the laid-back Chivipizza for Uruguayan chvito sandwiches and pizza.

Avenida Alfredo Arocena, the neighborhood’s lifeline, is lined with jewelry stores and boutiques. Locals can be found hanging out at the high-end Arocena Mall, home to cafes and brands such as Todo Perfumeria and women’s fashion designer Victoria M. Ortiz. Venture a few blocks off of the main avenida to Casa Banem, an interiors and clothing concept store plus coffee shop set in an English-style country house.

Bikers and runners can get in a workout along the esplanade, or La Rambla, as it’s referred to, but Carrasco is also where some of Montevideo’s most exclusive clubs are located, too.

More:With Its European Feel, Buenos Aires’ Recoleta is Chock Full of Amenities

Established in 1943, Carrasco Lawn Tennis is one of the best tennis clubs in all of South America with 20 clay tennis courts, Olympic-size swimming pools and fields for various sports. This exclusive sport and social club has a notoriously long wait list for membership. For golfers, the La Tahona Golf Club is just a 10-minute drive from the heart of Carrasco.

Schools include three of Montevideo’s best private schools, such as the British Schools of Montevideo (which spans kindergarten through high school), Uruguayan American School (pre-K through high school) and Stella Maris College (pre-K through high school). As for higher education, the exclusive private Universidad de Montevideo has a campus in Carrasco as well.

Who lives there

With embassies in the neighborhood and banks opening offices here as well, Carrasco is a draw for local and foreign political leaders, dignitaries and CEOs of local and multinational companies.

"Carrasco is and has been home to local artists and entrepreneurs who come to this quiet neighborhood to maintain anonymity and privacy," Mr. Garcia Arocena said. Argentinean and Brazilian celebrities and the ultra rich have moved to Carrasco from Buenos Aires as they think it is safer here.

Notable residents

Famous residents of the past and present include former Uruguayan President Dr. Luis Lacalle, Archduchess Laetitia D'Arenberg of France, Uruguayan painter Ignacio Iturria and Diego Forlan, the former captain of the Uruguayan soccer team, who now plays for Mumbai City.

More:West Hollywood is Los Angeles’s Shabby Chic Neighborhood

Outlook

Until recently, the market was in a slump. "After more than 40 months of continuous decline in real estate transactions, the market seems to have stabilized as of late last year. And it’s showing signs of a little more activity,"  Mr. Garcia Arocena said.

He mentioned that in areas like Carrasco, larger homes have tended to sit on the market for several months or even years. This can be attributed to two factors, according to Mr. Garcia Arocena, "On one hand, younger families are moving towards gated communities and also, construction and renovation prices have increased, so older homes in need of extensive remodeling were sitting on the market longer."

However, he points out that with the gradual upswing and availability of larger homes for sale, now is a very good time to buy in the area. " We think that the economic recovery of the region including Brazil and Argentina, the improved performance of the GDP, and the uncertainties in other developed markets such as Europe, are all forces that will move the market in Uruguay towards a slow, but continuous, recovery."

Mr. Fischer agreed that the market for traditional big houses in central Carrasco has slowed, and that prices have reduced accordingly. "On the other hand," he said, "low rises with two to four stories have popped up all around the neighborhood. These buildings typically have between eight and 30 units, and their demand has been nonstop for the past few years."

More:Click to Read More Profiles of High-End Neighborhoods Around the World

Despite the slowdown, Mr. Fischer said that Carrasco continues to be the most exclusive area of Montevideo because it offers an extraordinary lifestyle.

Overall, his assessment of the market’s future is positive. "Prices of single homes reached a peak in late 2015 and have slightly decreased since then (about 10%). They have stayed steady in the last year. Uruguay experienced slow growth last year (1.6%) after a decade of record growth," Mr. Fischer said. "2017 is expected to continue somewhat slow, but growth in the real estate market, including Carrasco, should resume in 2018-19."

Article Continues After Advertisement