The real estate slowdown has not discouraged Mexico’s richest man to continue to invest in real estate. Carlos Slim, who was named the world’s second richest man by Forbes earlier this year, controls Grupo Carso, which plans to build a $800 million real estate complex in Mexico City. According to Bloomberg.com, the super project will be built on 54,000 square meters where a tire factory once stood and is near the upscale Polanco neighborhood. Bloomberg is also reporting that the plan will include include “430 apartments in three towers, a 45,000 square- meter mall, a corporate headquarters, a theater, and a museum” which is scheduled to be finished by 2010.

Individuals like Slim and Warren Buffet have been very opportunistic in the market downturn. If you have capital, the current environment may be a good opportunity to buy low and sell high or hold an investment while the market recovers. CNN recently reported “The S&P Case-Shiller Home Price national index recorded a 16.6% decline in the third quarter compared with the same period a year ago. That eclipsed the previous record of 15.1% set during the second quarter.” However, the dilemma that is keeping investors on the sidelines is the uncertainty of when the US real estate market will turn around which could be years from now.

Despite the tremendous blow the Mexican economy has taken in the past months, there are signs that a turn around for real estate may be much sooner for Mexico. Tim Hanson at the Motley Fool predicts that the affordable housing market will continue to grow at double digit rates. He points to a huge demographic factor in Mexico: “The most significant is that 50% of Mexico’s population is currently under the age of 24. That means that over the next 25 years, according to Mexican housing authority INFONAVIT, the number of Mexicans looking to buy a home will increase from 51 million to 72 million. That’s in stark contrast to a U.S. population, which has seen growth flatten.” Also mortgages in Mexico are issued by the government rather than private lenders like Fannie Mae and the government can deduct mortgage payments from the paychecks of citizens. Carlos Slim’s massive project supports this optimism and shows signs of life in the Mexican housing sector during a time of much discouraging news.