Punta del Este in the News

The Real Estate Boom in Punta del Este   By:  Marcela Veinberg   September 2006     The signs promote luxury and comfort, generous space and excellent views, in this beach resort that each year is transformed into one of the most exclusive of the continent.  The competition is overwhelming:  higher buildings, more modern, with more services and better finishings.  The usual percent of foreign tourists has increased and other languages are heard in the street.  Attracted by the favorable exchange rate, the visitors are drawn by the natural beauties (of the landscape as well as of the women) and learn of the undeniable advantages of investing in Real Estate.  In this sense, investment groups have placed their bets on Punta del Este, developing impressive high-rise buildings, which include the sophisticated services that meet first world standards.   Punta del Este is attracting considerable investments in real estate, about to exceed the historical record of area under construction.  Several factors are contributing to this fact:  the enchantment of a city that seduces Brazilians, Paraguayans, Argentines, Chileans as well as Europeans or Canadians and that sees more extra-regional tourists each year, and the considerable investment wave of Argentines who prefer not to deposit money in their country after the historic year of the “corralito” (the freezing of bank accounts during the 2001 banking crises).    A survey undertaken at the beginning of this year has shown that there are 34 large scale projects under construction, with a total of more than 400,000 sq. meters (4,305,600 sq. feet) being carried out.  All of the investments are preparing to compete for the demand in the coming months.    The greatest boom can be seen across from the sea along La Brava, since La Mansa has very few empty lots left, but it is also remarkable to see the great construction of building complexes in La Barra and Manantiales.   The Planning Direction of the Municipalityof Maldonado has confirmed that in 2005 it granted construction permits that exceeded 800,000 sq. meters (8,611,200 sq. feet) (an average equivalent to 5,000 apartments), half of which will be built between 2006 and 2007.  It is a record number that exceeds the highest reached in 1979 with 670,000 sq. meters (7,211,880 sq. feet).  Although the maximum heights established in the building code set the maximum limit at between 18-21 floors, there are several high-rises that have up to 25 floors that will mark a record height, for which special permits have been issued.  The operators understand that so far the numbers for 2006 are similar to those during “normal” periods in the recent history of the resort.   The price of the square meter   These residences promise buyers exclusive amenities of great comfort that include among other things party rooms, business center, swimming pool, spa, game room, gymnasiums, car wash, monitoring systems against fire and robberies, central air-conditioning, sauna barbeques and bicycle paths.  The apartments that are being built measure from 100 sq. meters (1,076 sq. feet) to 300 (3,230 sq. feet) and some even reach 600 (6,460 sq. feet).  The square meter (1,076 sq. feet) costs between u$s 1,400 and $2,500.  The investors are mainly Argentines but there are also Europeans, Chileans and Canadians.    Besides the areas zoned for high-rises, there is a construction boom of individual residences in such fashionable areas as La Barra, Montoya, Manantiales, Punta Piedra and José Ignacio, where the construction exceed u$s 800 the m2.  José Ignacio is known as the area of the rich and famous, where  Mirtha Legrand, Marcelo Tinelli,Nicolas Repetto and Amalita Lacroze de Fortabat all have homes.   This is a deciding moment for investors. Those who buy in Punta del Este are generally final users and the investors acquire units in the pre construction stage.  In the most luxurious ventures, the average price of the square meter is u$s 2,200.  This is important, not only for the Argentine and Uruguayan investors but also for the region, Europe and the USA, since there is no longer a local real estate market, but a global one.  Today there are orders for groups from the Oriental Countries and markets and opening in such places as Prague, Warsaw and Slovenia. In comparison with the prices in the upscale areas in these countries, the price of the square meter on the Uruguayan Coast is much lower:  in Madrid it reaches u$s 12,000, in Miami 7,000 and in Buenos Aires 4,000.’   Some brokers maintain that the level of returns that can be obtained by purchasing a unit before construction has begun, in the pre construction phase, of a luxury building to afterwards sell it, can generate profits of up to 15% in dollars.  In this type of upscale constructions, the rents for the coming seasons will cost from 3,000 to 10,000 dollars. For those owners who have units that can be used for this purpose, they can count on rental incomes of up to 10%   Uruguay has traditionally provided a security standard for the foreign investor through its effective legal enforcement and for its economic stability.  It is also a member of the international organizations that promote the security of investments such as the Multilateral Investment Guarantee Agency (MIGA) and the International Centre for Settlement of Investments Dispute, with headquarters in the World Bank.

South America’s Hot Spot   Why the gorgeous beach resort of Punta del Este draws a stylish international crowd to the coast of Uruguay every year.   Town & Country Travel Magazine   By Suzy Buckley   Fall 2006     Soon after Labor Day, cocktail conversation with any bevy of Miami’s glamorous South American expats inevitably turns to Punta del Este, as in “Are you going before or after Christmas?” and “How long after New Year’s are you staying?”  Put simply, Punta del Este is to Buenos Aires and São Paulo (and bit by bit, Miami) what the Hamptons are to Manhattan.  I’ve spent the past dozen years living in South Beach, where my Argentine friends have taught me that it pays to eat meals of lightly marinated steak with tomato and lettuce salad and to make shopping trips to Buenos Aires – and that “Punta” is the only place in the world worth spending the week between Christmas and New Year’s Day.   For decades, Porteños (“people of the port,” which is what natives of Buenos Aires call themselves) have flocked to the narrow, sandy strip of forested Uruguayan coastline officially know as Punta del Este.  For them it’s an upscale retreat that’s a mere forty-five minute flight from home.  When the Argentine peso was pegged to the U.S. Dollar, in the nineties, Argentina’s economy soared and Punta’s popularity skyrocketed.  After the peso’s devaluation, in 2002, the resultant strength of the dollar and euro let Americans and Europeans to trek there as never before.   Since then the gorgeous seaside town has had its share booms and busts –largely a product of Argentina’s unstable political climate in the early 2000s – yet it remains the preferred summer vacation spot for the Latin American elite.  Annually, there’s a small window of time, from roughly December 20 through February 28, when every hotel, restaurant and shop is open and packed to the hilt and all of Punta vibrates with life.  An addendum to this is Easter weekend, when the crowds return for one last hurrah.   Until recently, planning a trip to Punta was a challenge for those Stateside unless they were accompanied by their tuned-in South American friends.  Not because the city was ever regarded as unsafe or unfriendly to Americans, quite the contrary, but because things there change on a dime and it’s hard to keep up.  Before my first visit, friends encouraged me to rent a house or stay with them, insisting that Punta wasn’t a “hotel type of town.”  By the end of the trip, I had uncovered a few lodging gems but also understood why it can be difficult for non-locals to get a bead on the place.  What’s new and interesting one year is often sold and renamed by the next.  Giuseppe Cipraiani’s resort lasted only one season (from 2003 – 2004) before it was reincarnated as the Mantra.  Cream, one of the most fashionable spots for sunset cocktails for more than five years, closed permanently this year when a family bought the property; they’ve rumored to be building a home on it. Even some beachside boutiques pick up and move every year 9but usually within the immediate area).  What’s more, you still cannot find an English-language guide to the resort; those handbooks devoted to Uruguay concentrate on Montevideo, the country’s capital.   But today Punta draws more visitors than before.  Word of its stunning beaches, delicious cuisine and dazzling nightlife is spreading, and Americans and Europeans without South American ties are enlisting knowledgeable travel agents to help them plan trips there.  And although prices are generally higher than elsewhere in South America, for United States residents the exchange rate is still much more favorable than those in Europe.   The beach resort’s name translates as “East Point” and refers to both the city of Punta del Este, called downtown by almost everyone, and the surrounding thirty-square-mile area, whose sandy coastline forms a V.  The region extends from the tranquil town of Punta Ballena (“Whale Point”), in the northwest; south to the bustling port and downtown; northeast to the green grassy stretches of San Rafael and the casual, full-of-life beach town of La Barra; and, finally to the beaches of José Ignacio, a settlement at the eastern end.   Most lodging, dining and nightlife are found in La Barra and José Ignacio, which are a twenty-five minute drive apart (unless you plan to stay only a few days or in only one place, rent a car or hire a driver).  But you’ll also want to stop by Punta Ballena to take in the views from Caspueblo, a museum and hotel at the edge of a cliff overlooking the ocean.  La Barra features a strip of fashionable, low-key restaurants, bakeries, Internet cafés, antique thops and boutiques selling clothing and accessories.  A short drive east brings you to the small hotels and scattered restaurants of José Ignacio, which otherwise consists of a landmark faro (lighthouse) surrounded by long beaches.   In Punta del Este, recreation revolves around the beaches, which are described as being on either the Mansa (calm-watered) or the Brava (rough-watered) side.  The latter ones, including those east of the port, which are directly on the Atlantic Ocean, generally have prettier stretches of sand, turning them into highly social daytime lounges and discos.  As in St. Tropez, these disposable beach clubs attract the stars:  Gisele Bündchen and Leonardo DiCaprio have sunbathed alongside Kiera Chaplin; Shakira and her boyfriend, Antonio de la Rúa (son of the former Argentine president); and Carmen Cervera, a onetime Miss Spain.  Looking good is essential, and model Natalia Vodianova is among those who hit the chic La Barra SportsSpa for spa treatments and daily workouts to maintain Punta-friendly physiques.   The Punta routine – beach, eat, drink, sleep – is performed at least twice a day, so you’ll have to learn how to nap.  And because the summer sun sets after 9 PM, meals are taken later than you might expect.  In fact, booking a dinner reservation prior to 11 PM would be considered as absurd as making one before 6 PM in New York.    Overall, Punta del Este is perfect for travelers who want to enjoy relaxed beach time with friends, family or significant others.  Don’t go there expecting five star luxury or anything near it – yet.   Adriana Zecha’s General Hotel Management is said to be building an outpost of the superluxe Miami-based Setai; until that’s an option, most rooms in the city’s so-called finest hotels can be described as, at best, clean, pleasant and comfortable.   Many South  Americans complain that Punta has become too commercial and mainstream, but I still find it quite rustic (and less expensive) compared with other seasonal beach resorts, like St. Bart’s and St. Tropez.  In many parts, lush vegetation and sandy sidewalks line unmanicured streets.  The region is charming yet retains an authentic, insidery quality.    Knowing a seasoned local still helps when it comes to finding some of Punta’s trendiest offerings.  For instance, to get to one of the most talked-about restaurants, Marismo, you must know exactly where to slow down along the main highway so you can spot the small wooden fish on a spoke that marks the entrance.  And while English is widely used among the expats and about half the restaurants print bilingual versions of their menus, it is wise to brush up on your Spanish and bring along a pocket dictionary, especially when visiting some of the quaint boutiques.   At the end of the day, the language of Punta is fun: the rich, memory-making, belly-laugh kind of fun best cultivated with family and friends, a crisp Malbec and a plate of beef-filled empanadas.  A successful afternoon in Punta often comes down to doing nothing of consequence except inhaling the fresh seventy-five degree air while planning your next meal or applying another layer of SPF 30. When it’s time to depart, you’ll inevitably end up with that sinking feeling you haven’t had since the tail end of your last school vacation: when the social, aesthetic, culinary and topographic stars seemed aligned and you’d have given anything for one more week.  And of course, that’s the point.

CBS TV’s  “The Amazing Race”      Nestled between Argentina and Brazil on South America's east coast, Uruguay looks small, but proves the adage that looks can be deceiving. Although it is the second smallest South American country, Uruguay's relatively low population makes for plenty of open space and arable land, from the rolling grasslands of the interior to the sweeping coastal plains. The Uruguayan people, nearly half of whom live in or around capital city Montevideo, are mostly of European descent and enjoy a generally high standard of living. Three of their greatest loves are beef (Uruguay's per capita consumption of beef is amongst the highest in the world), maté tea and soccer, the national sport. Most visitors to Uruguay usually head for its beautiful beaches and luxurious seaside resorts. The first Pit Stop on THE AMAZING RACE is at one such resort, the exquisite Casa del Pueblo on the cliffs of Punta Ballena, overlooking the Uruguayan Riviera. HISTORY The earliest known inhabitants of the region now known as Uruguay were the seminomadic Charrúa, Chaná and Guaraní peoples. The first European explorer to set foot in the region was the Spaniard Juan Díaz de Solis, who in 1516 was killed and eaten, along with most of his men, by indigenous warriors. European settlement in the region didn't really take hold until missions were established in the 1620s, by which time European diseases had ravaged the indigenous population. In 1680, the Portuguese founded Colônia do Sacramento on the eastern bank of the Río de la Plata Estuary (Banda Orientale) opposite the Spanish settlement Buenos Aires. The Spanish, in turn, founded the citadel San Felipe de Montevideo in 1726 and attacked Colônia, which, after changing hands several times, fell under Spanish rule in 1777. With Montevideo as their key South Atlantic port, the Spanish controlled the region, dividing the Banda into huge ranches. By 1810, a movement for independence began, and populist hero José Gervasio Artigas emerged to lead a swelling confederation of forces against the Spanish. Artigas' success ultimately made him a threat to local elites, who finally allowed Brazil to take over the Banda and exile him. Supported by Argentina, Artigas' followers banded together to resist "Brazilianization" and liberated the region, establishing Uruguay as an independent state in 1828. Throughout the 19th century, Uruguayan independence remained fragile, with internal political upheaval and external pressure from Brazil, Argentina and Britain. The British helped industrialize Uruguay, augmenting the indigenous cattle with their own stock and bringing in wool, rail and meat industries. A series of dramatic political reforms launched a period of state-supported prosperity, which declined in the 1960s and ended with a military coup in 1971. The military held sway until the early 1980s, when the civilian government's reforms helped improve the economy. Today, Uruguay's economy is gaining strength but still struggling, partly because of economic changes in Argentina and Brazil. SIGHTS Colonia del Sacramento West of Montevideo lies the Littoral, Uruguay's agricultural region. The jewel of the Littoral is Colonia, the charming city founded by the Portuguese in 1680. Its narrow, cobbled streets and easy access to the sweeping shoreline of the Río de la Plata Estuary make it an ideal destination for visitors from all over the world. Montevideo Uruguay's capital city, which is also South America's southernmost capital, is quite diverse, both culturally and architecturally. Stroll through its streets and you'll see Spanish colonial, Art Deco and Italian style buildings, reflecting the city's history as European colony, major port and home to an array of immigrant populations. From Montevideo's picturesque colonial center, Ciudad Vieja, you can walk La Rambla along the riverfront port area to parks, gardens, restaurants and bars. Afternoons and weekends, the Mercado del Puerto offers an array of tasty Uruguayan foods. Punta Ballena Adjacent to Punta del Este, beautiful Punta Ballena boasts a series of fascinating caves carved by the ocean over the centuries. The nature reserve at nearby Arboretum Lussich features striking rock formations, sand dunes and mountains. The crowning glory of Punta Ballena is the beautiful Casa del Pueblo, the first Pit Stop for THE AMAZING RACE 5. Created by artist Carlos Páez Vilaro and 36 years in the building, this graceful, convoluted masterpiece is truly an inhabitable sculpture. Clinging to its hillside, the resort complex offers a breathtaking view of the Punta del Este, along with luxurious hotel accomodations, an art gallery, bar and restaurant. Punta del Este The largest and most famous resort area on the Uruguayan Riviera, glamorous Punta del Este is a favorite vacation spot for South Americans, especially Argentinians. If you tire of swimming and sunbathing on the white sand beaches, you can visit the casinos, golf courses, yacht clubs and fishing clubs. Two islands just offshore are Isla Gorriti, which boasts the ruins of an 18th century fort, and Isla de Lobos, a beautiful nature reserve and sea lion colony. The high tourist season in Punta del Este starts in late December. Uruguayan Riviera Stretching east of Montevideo is the expanse of beach known as the Uruguayan Riviera, a string of luxurious seaside resorts. Besides sunbathing and the usual array of water sports, the Riviera offers excellent opportunities for numerous other outdoor activities, including birdwatching, bicycle riding and hiking into the nearby hills.

March 2006   Punta del Este - The Party Picks Up     In the 1950s, Punta del Este, Uruguay, vied with Havana and San Juan as the most happening spot in Latin America. Now, after surviving a dictatorship and economic woes, Punta is luring back the jet set.   By Horacio Silva, Travel + Leisure Magazine   Perhaps it's a function of my having been born as common as mud in a landslide, in the working-class suburbs of Montevideo, Uruguay, but I've always dismissed the summer resort town of Punta del Este as a vulgar party paradise for the continent's alleged beau monde: the Uru-trash, as I would later refer to my garish upper-class compatriots; the tasteless Brazilians with millions; and the ricos y famosos of Argentina—socialites and celebrities who divide their summers between Buenos Aires, Punta del Este (or "Punta"), and the party pages of society magazines like Gente.   My family emigrated from Uruguay in the early 1970's, months before the democratically elected government acquiesced to the military regime that would plunder the country for more than a decade. I like to joke that I was a six-year-old political dissident at the time, even though there is a photo of me at the airport looking anything but threatening in a safari suit and holding a pink man-bag; in truth, my parents just lucked out when they chose to move elsewhere. In any case, my mother, who is neither rica nor famosa, but who like me has the natural dark skin color that sun worshippers travel to Punta to acquire, is largely responsible for my unfavorable mental picture of the place. I vividly recall one anecdote about how she and her sisters saved up their money and hightailed it to Punta for the weekend only to be shunned by the old white ladies on the beach, who clutched their handbags for dear life as my mom's mulatto teenage posse walked by. The story sometimes changes—in one version the overcooked old hags have décolletages "like leathery old saddles"; in another, the ending is punctuated by a rosary of expletives not fit for publication—but the message is always the same: Punta is evil and must be destroyed.   With more than a little anxiety, I finally returned to Uruguay in March 2002, my parents in tow. When we arrived in Montevideo, it was depressing to see what had become of the capital, its dilapidated Beaux-Arts buildings fading reminders of the city's former allure and prosperity after the Second World War, when Uruguay was considered by many to be the Switzerland of South America. But it was hard not to be seduced by the shop-soiled charm of the city and the indomitable spirit of its residents. This time I had to see Punta as well—I am, after all, now old enough to know that evil can be fun—and whether she liked it or not, my mom was coming with me.   I needn't have worried. She ate it up like so much of her beloved dulce de leche (and thanks to her son's working in the fashion industry, her handbag was more chic than any on the beach). But just as my mom's attitude had changed, so apparently had Punta's. Although we'd arrived at the tail end of peak season, it was clear that the 2001 fiscal crash of Uruguay's relatively affluent neighbors (most notably Argentina) had derailed the conga line of monied partygoers. According to the locals, the usual thumping disco beat of the place had been replaced by the barely audible foot tapping of a Norah Jones concert; summer rentals, which in good times had been as high as $40,000 a month for premium locations, had plunged to record lows; crowded restaurants and bars were as scarce as a vegetarian dish on a South American menu.   The conspicuous lack of 24-hour party people only threw into relief the breathtaking beauty of the peninsula, which is flanked by the Atlantic Ocean on one side and the Río de la Plata on the other. We had a blast lounging on the tourist-friendly white sand, walking in the surrounding dunes, and watching the sunset over the river (if not the sunrise from a late-night disco). But it was drawing too long a bow to still call Punta the St.-Tropez, or even the Hamptons, of South America.   Maybe it was inevitable that Punta would rise again, buoyed by its historic transformation in the 1950's from sleepy fishing village into the less decadent but no less alluring South American counterpart to Havana and San Juan. In the year or so after my visit, I began to hear reports that the crowds of bikini-wearing hedonists were returning to Punta, including supermodel Naomi Campbell and Duran Duran lead singer Simon Le Bon. So I went back, without my family, to see if the jet-set playground favored by the likes of Brigitte Bardot, Che Guevara, and the Rat Pack was really getting its glamorous groove back.   It's two in the morning in Punta del Este, and the Beautiful People are looking for trouble. On the crowded sidewalk of a tiny harborside strip crammed with cafés and bars, the tables are being removed to accommodate outdoor dancing, as are some of the skimpy tops worn by the preternaturally tanned and toned revelers. By 6 a.m. the alcohol and good times are still flowing inside popular venues like Soho and Moby Dick (a perennial hot spot on an otherwise ever-changing strip); outside, promoters distribute fliers for after-hours parties—including one for a rave on a beach that promises, in fluent Spanglish, a crowd of "verry interesting pipol."   Pipol, I'm so there. But as cheap as cabs are in Punta, they're scarce this morning. Uruguayans are nothing if not approachable, so I bum a ride with a group of party animals who are clearly not concerned with having to go to work in a few hours. "There's always time to sleep in winter," says Gabriela Rauschert, a 25-year-old Punta-born glamazon whose diablo-may-care attitude is typical of this idyllic but self-indulgent outpost. "From the end of December, it's been one big party every night."   Which is not to say that the place is in siesta shutdown mode by day. La Barra, a bustling, trendy area five minutes by car from downtown, is so popular in summer that it becomes as gridlocked as East Hampton on a Saturday morning. "La Barra is an interesting creature," says Rodrigo Cotelo, a 27-year-old musician. "Depending on the season, it can be either in step with the rest of Punta or very much apart from it. But there's no question that something's always going on—it's the place to hang out and meet people. It's close to the beach, there are plenty of restaurants and shops, and, like the rest of Punta, it's a mixture of a rough, unspoiled landscape and a fancy lifestyle."   What passes for fancy has reluctantly changed over the years. (Even during the dictatorship, from 1973 to 1984, Punta remained relatively unscathed, in part because the generals wanted somewhere to tan and play bridge, but mainly because it continued to make money for them.) These days, Punta society is much more inclusive. Although traditional establishment playpens such as the Yacht Club and Cantegril Country Club remain hermetically sealed (ironic, really, when you consider that cantegril means "slum"), the majority of the places in town have relaxed door policies for locals and tourists alike.   Granted, there are restaurants where you can pay $2,400 for a bottle of wine—I'm referring to Los Negros in the rapidly gentrifying area of José Ignacio, until recently a low-key surfer outpost about 30 minutes east that now counts novelist Martin Amis and Isabel Fonseca (daughter of the renowned Uruguayan sculptor Gonzalo Fonseca) among its glamorous residents—but in most of Punta dining is reliably good and affordable. Given their proximity to water, restaurants tend to be seafood-intensive. Try brótola, the local codlike whitefish on most menus, and be sure to have a bite at one of the many paradores (beachside diners), which are particular favorites at sunset.   One person who remembers Punta's first heyday isn't surprised by its renaissance: Pedro Bordaberry, the son of the last elected president prior to the military regime, was until recently Uruguay's minister of tourism. "Our beaches are some of the most beautiful in the world, our cows aren't mad, and our chickens don't have the flu," Bordaberry jokes. The awe-inspiring coastline and healthy animals notwithstanding, other factors point to Punta's enjoying another moment in the fashion sun. For starters, it's become arguably one of the most tolerant places on earth, where neither gay couples nor American tourists have to hide their pride. "There's a lot more English heard on the streets these past few summers," says Delfina Frers, a public relations executive and adrenaline junkie who drives race cars and flies helicopters for kicks (her son-in-law, professional polo player Nacho Figueras, is the face of Ralph Lauren Polo's new men's fragrance). "Americans have figured out that this is one place where they are definitely welcome."   Punta is also one of the safest places to visit in style. A stroll down Calle 20, where designer-brand stores are as ubiquitous as the pizza joints on virtually every corner, reveals enough conspicuous displays of wealth to rival Moscow—except in Punta the voluptuaries sport real tans and wear flip-flops. And while everyone you talk to mentions Punta's practically nonexistent crime rate, they're also quick to point out the slew of reasonably priced, recently opened hotels. "The building boom in the last few years has changed the tenor of the area," says Fabián Andrés Repetto, a 30-year-old fiction writer and DJ (it seems that everyone in Punta has a hyphenated career). "Sure, there have always been posadas and the odd hotel, but it used to be that you pretty much came to Punta only if you owned a place here or could afford to rent one for the summer." The largest and most attention-seeking addition is the Conrad Punta del Este Resort & Casino on the playa mansa, or "mild," river side of the peninsula. A plus-size, bikini-wearing extrovert among modest gamines such as the upscale La Capilla, the Conrad, which opened in 1997, is located in the heart of Punta, across from Gorriti Island, a popular spot for watching sea lions. A Vegas-style mega-hotel with almost 300 rooms and a casino that's especially favored by visitors from Brazil, where gambling is illegal, the Conrad is not for the traveler who wants a romantic getaway or hopes to savor the authentic flavor of Punta. There's a convention-center coldness to the place—you half expect to walk into an off-site software retreat at any moment—but it's big enough to accommodate the summer hordes, and the location is hard to fault. The hotel also pays big pesos to attract marquee-name Latin entertainers such as Shakira, Ricky Martin, and Luis Miguel, making it an essential stop on the Punta social circuit and one of the few places in town to show any signs of life during the otherwise moribund period between April and December. That's no small feat, and one that proved too difficult for the Conrad's short-lived rival, the five-star Cipriani Resort Spa & Casino in La Barra. The Cipriani was pitched as a more intimate alternative to the Conrad: chic enough to appeal to the carpaccio crowd, accessible enough for the weekend gambler happy to eat shrimp cocktail at the slot machines. But after only two summers, the management, including Arrigo Cipriani, fell out with the owners—oddly, the national oil company of Angola—over the hotel's direction and parted ways. These days, the Cipriani Resort has another name, the Mantra, but judging from my recent visit, what they're chanting is, "Cutbacks! Cutbacks!" Although the hotel's spa has hardly changed and remains worth the visit (the Vichy-water treatments are standouts), the rooms and the restaurant are both noticeably more populist, and the wilting plants suggest that maintenance on the once perfectly manicured grounds is less frequent than it used to be.   A much more attractive option is the Serena Hotel, a boutique hostelry not far from the Conrad. The bad news is that the Serena has only 32 rooms, with possibly the most attentive staff and the best location of any accommodation in the area—the view of the marina from the swimming pool is unrivaled—so getting in requires booking a reservation well in advance.   Whether you stay there or not, Casapueblo—the residence and workshop of Uruguay's greatest cultural treasure, the artist Carlos Páez Vilaró—is a required visit for any traveler to Punta. Set in Punta Ballena, a whale-watching promontory outside town, Casapueblo is a sprawling white confection of a place that brings to mind a meringue created by Gaudí. It is Punta's artistic focal point and its most interesting architectural landmark—and it has affordable rooms. "I call it my habitable sculpture," says Vilaró, in his atelier. "It's the result of my personal war against the right angle. And like me, it's part of the furniture of Punta del Este."   Although Vilaró and Casapueblo are revered as folkloric, almost anachronistic fixtures, the artist represents many of the locals when he says he is not concerned that Punta's recent modernization will sacrifice the cultural heart of the place on the altar of tourism. "I was worried that the arrival of these huge hotels and investors would compromise the artistic vibrancy of Punta del Este," he says, "but the opposite has happened. The Conrad, for example, has presented all types of artists—painters, singers, dancers—whom we could never have afforded otherwise. So it's all good. The only downside is that it's going to be hard to keep Punta our little secret." Where to eat, shop, stay and go out When to go   It's fiesta central in Punta from late December to early March. Winter (summer in the Northern Hemisphere) is recommended only for recluses or those recovering from plastic surgery. Average temperatures range from 50 degrees in winter to 80 degrees in summer.   Getting there   Most airlines fly into Buenos Aires or Rio de Janeiro for connections to Punta, or to Carrasco International Airport in Montevideo (a 90-minute drive from Punta). Flight times average 9 to 14 hours from Miami or New York.   Getting around   Rent a car or motorcycle to explore outlying areas such as José Ignacio or Rocha (where locals retreat from the summer madness).   Where to stay   La Capilla Celebrities like Omar Sharif love this deluxe hotel in San Rafael. Viña del Mar and Valparaíso, San Rafael; 598-42/484-059; www.lacapilla.com.uy; doubles from $70.   Club Hotel Casapueblo Punta Ballena; 598-42/ 578-485; www.clubhotel.com.ar; doubles from $90.   Conrad Punta del Este Resort & Casino Avda. Barritz and Artigas, Parada 4; 598-42/491-111; www.conradhotels.com; doubles from $220.   Mantra Punta del Este Resort, Spa & Casino Ruta 10, Parada 48, La Barra; 598-42/771-000; www.mantraresort.com; doubles from $250.   La Posta del Cangrejo A low-key, 30-room waterfront hotel and restaurant in La Barra for highfliers (past guests include George Bush the elder). Call for directions. 598-42/770-021; www.lapostadelcangrejo.com; doubles from $100.   Serena Hotel Rambla Williman, Parada 24; 598-42/233-441; www.serenahotel.com.uy; sea-view doubles from $200.   Where to eat   La Bourgogne Arguably the city's best (and most expensive) restaurant. Sit in the jasmine-scented garden. Pedragosa Sierra and Avda. de la Mar; 598-42/482-007; dinner for two $140.   Los Negros An unconventional eatery, where the food is often cooked and served in cast-iron boxes. Los Teros y Costanera del Faro, José Ignacio; 598-486/2091; dinner for two $140.   Parador La Huella Reliable seafood, with beach service in high season, backgammon, and cocktails. Playa Brava, José Ignacio; 598-486/2279; dinner for two $40.   La Pasiva Has a wonderful chivito (Uruguayan steak sandwich). Avda. Gorlero and Calle 27; 598-42/441-843; lunch for two $10.   Daiquiri Fondue The best of the paradores, with great food, service, and views. Rambla Williman, Parada 19; 598-42/226-451; lunch for two $12.   Where to shop   If the designer stores on Calle 20 don't appeal to you, try a summer street fair, such as the lively one in Plaza Artigas (Avda. Gorlero and Calle 25). Most stalls sell inexpensive folkloric souvenirs and are worth visiting. For art, check out the reasonably priced store in Casapueblo, the galleries in La Barra, and the Feria Artesanal in Plaza Artigas.   What to do   It's not all beach-hopping and cocktail-sipping. During the season, Punta comes alive with concerts, festivals, and parties. Ask your hotel concierge about water sports, fishing, whale- or sea lion-watching, and horseback riding on the beach.   Where to go out   Moby Dick Punta's longest-running bar and springboard for diving into the city's (late) nightlife. Rambla General José Artigas; 598-42/441-240.

January 15, 2006