New Address, New Understanding

A week and change since my arrival and I have a home! I live on the border of Palermo Alto and Barrio Norte, an older and more established area of Palermo that's been saved from the foreign gentrification bug a bit, until me;) The people walking around this neighborhood are long-standing, seemingly more privileged Argentine families. Men dressed in dapper suits sitting at century old cafes, fruit and veggie markets with the best fare I've seen yet, albeit more expensive, access by foot or train to any destination of import or interest in the city. I have landed well.

The entrance to the building is stately and well lit at night with a doorman and a private elevator. The apartment is cozy. A mixture of antique furniture with modern lighting fixtures, accent pillows, rugs. My room is painted a very slight, almost unnoticeable mint green. I sleep in an ornate, delicately-sized antique bed with a chandelier overhead and a marble-topped bedside table on each side. It's quite strange, I didn't imagine such a scene for myself in Buenos Aires. I was imagining something way more modern - a minimalistic loft space with a decked out kitchen for cooking and a large great room for entertaining. But I have grown to like it here, actually love it, and I know I am exactly where I am supposed to be.

Although it only took me a week to find this space, it wasn't easy breezy. This experience has shown me first hand how differently Buenos Aires receives its foreign temporary residents than say a year ago. A year ago, I could have rented this apartment or something better for $400 USD, perhaps less. I'm not paying too much more now, but a Dutch roommate is helping with the bill (a nice young woman doing an internship at the local hospital). Rents have doubled if not tripled for temporary stays, and there are two prices for everything in this country - one for Argentines, one for foreigners. They justify the difference in price by saying that it helps absorb the risk of renting to foreigners and the idea that we might pick up and go whenever we want. A security deposit is not enough. Makes sense. I give them credit for banding together and enforcing this informal rule. Many people from the US - and especially England and other EU countries - have no problem paying these prices. And why shouldn't the Argentines benefit from the demand and foreigners' willingness to pay whatever price to live in that perfect apartment they'd pay 3 times for in their countries of origin? Well maybe it's 1.5 or 2 times more these days, but who's counting.

The feeling of us vs. them doesn't stop at price points. Trying to pay my landlord in USD, as he requested, was virtually impossible. On the day we moved in, my roommate and I spent a good 3-4 hours running from bank to bank trying to extract USD from ATM machines, bank tellers, exchange houses. It was fruitless. Banks will only give USD to bank customers. When I asked to open a bank account at HSBC, thinking it's an international bank that I can use in NYC, I was rejected. In order to open a bank account in Argentina, you have to have a CUIT number, an Argentine-issued tax ID number that allows the government to track your financial footprint and demand associated taxes. Even as a foreigner you need this to exist in the financial market, a passport and an international bank account are not enough. Apparently, I can get a CUIT number quite easily - I just have to go downtown and fill out a few forms. (I can also obtain temporary residency and the right to work easily - good to know.) I was considering obtaining a CUIT and opening a bank account at HSBC until they explained to me that the Argentine HSBC, as well as the Argentine Citibank and BBVA, are completely separate and apart from the rest of the world. Although they share the same logo, HSBC in Argentina has absolutely no connection or privileged relationship with the HSBC bank in NYC or anywhere else in the world. The Argentine economy is completely closed off it seems.


Zana-DO explaining to her landlord that she doesn't have the dolares

In speaking with a friend who's a local, I understand why. (Note: this is not a well-rounded, journalistic report, but a POV I've combed together from conversations with locals.) In 2002, this place was a playground for foreign spenders. Apartments, land, cars, food and other commodities were super cheap and the Argentine people welcomed foreign currency of any kind - particularly dollars. Rules and regulations as to how people brought this money into the country and then spent it were very loose. And there were no regulations in place to prevent people from taking their money back out of the country. Argentina was vulnerable to and suffered from consumer whims. This environment created the expat paradise we've heard about, the paradise which still draws so many to Buenos Aires looking for an elevated way of life at a lower price. And it's still a place of economic opportunity. For example, the apartment I am living in would probably sell for between $USD 80,000 -$USD 90,000. But the Argentine government is going to make it hard for you to come and go. Hence the need for Argentine documentation to have a bank account, and the fact that many businesses only accept Argentine-based credit cards (even though they display Visa, MC, Amex stickers in their windows). And, if you're staying for a short while, you're going to pay for it. Hence the two-tier rental pricing, and the constant need to ask your waiter to adjust an inflated bill.

In the end, my landlord accepted the rent in pesos. He more than anyone knows how difficult it is to flow freely between the Argentine economy and the rest of the world. And I have a better understanding of how things work here and why. I am also starting to understand how Argentines view me and other foreigners. They're such a warm people and they're benefiting from our presence, so they wouldn't be rude. But one can't help but sense a feeling of watchfulness.

Much more to learn. For the moment, I'm going to make some coffee and enjoy the new place. Then off to the San Telmo market.