On February 22, 2026, Mexico made international headlines when the Mexican Army, with U.S. intelligence support, eliminated Nemesio “El Mencho” Oseguera Cervantes, the long-hunted leader of the Jalisco New Generation Cartel (CJNG). While scenes of burning vehicles and roadblocks shocked the world — concentrated primarily in Jalisco, Guadalajara, and Puerto Vallarta — one destination remained notably untouched: Puerto Escondido, Oaxaca. Buyers, investors, and residents here woke up to the same Pacific sunrise they always do. Business was open. Surf was rolling. And the real estate market kept right on moving.
This article is a clear-eyed look at what happened, what it means for the region, and why Puerto Escondido continues to be one of the most compelling real estate investment destinations on Mexico’s Pacific coast.
What Happened on February 22, 2026 — and Where
To understand why Puerto Escondido remained calm, it is important to understand exactly where the violence occurred. The military operation that ended El Mencho’s life took place in Tapalpa, Jalisco — a mountainous town roughly 130 kilometers south of Guadalajara, some 1,200 kilometers from Puerto Escondido by road. The CJNG retaliation that followed was geographically concentrated in the cartel’s stronghold states: Jalisco, Guanajuato, Michoacán, Colima, Nayarit, and border zones like Tamaulipas and Baja California.
Puerto Escondido and the broader Oaxacan coast were never part of that picture. The U.S. Embassy’s security alert — updated throughout February 22 and 23 — explicitly listed Oaxaca among the states that had quickly returned to complete normalcy, alongside Quintana Roo, Sinaloa, and Puebla. While tourists were sheltering in place at Puerto Vallarta resorts and flights were being cancelled in Guadalajara, restaurants in Zicatela were serving dinner, construction crews were on site across La Punta, and the real estate offices here were fielding inquiries as usual.
Mexican President Claudia Sheinbaum put it directly: “In the vast majority of the national territory, activities are proceeding with complete normality.” Puerto Escondido was firmly in that majority.
A Tale of Two Destinations
| Factor | Puerto Vallarta (Jalisco) | Puerto Escondido (Oaxaca) |
|---|---|---|
| Proximity to CJNG epicenter | ~90 km from Tapalpa, Jalisco | ~1,200 km from Tapalpa |
| Impact on February 22, 2026 | Fires, road blockades, flight cancellations, shelter-in-place | No incidents reported — fully operational |
| Airport status | Suspended; multiple airlines cancelled flights | Normal operations |
| U.S. Embassy alert | Shelter in place issued | Oaxaca cleared to normal on Day 1 |
| CJNG territorial presence | Core CJNG stronghold | No significant CJNG presence |
| Real estate market impact | Short-term uncertainty for investors | No disruption |
Why Puerto Escondido Is Structurally Different
The geography here matters enormously, and it is something that experienced investors and residents have long understood. Puerto Escondido sits on Oaxaca’s Pacific coast, far removed from the Pacific-corridor drug trafficking routes that run through Jalisco, Colima, and Michoacán. The CJNG’s territorial ambitions were never focused on Oaxaca’s surf coast — a region with its own distinct local dynamics, strong community ties, and a tourism economy that has grown organically over decades.
The result is that Puerto Escondido offers a type of stability that is rooted in place and community rather than simply in the absence of headlines. Long-term expat residents, surfers-turned-homeowners, and international investors building boutique hotels and condominiums have all quietly benefited from this structural reality for years. The events of February 22 did nothing to change it — if anything, they made the contrast with more exposed destinations even more visible.
The Oaxacan Coast’s Security Profile
Understanding the security profile of any Mexican destination requires nuance. Blanket assessments of “Mexico” as a single entity ignore the enormous geographic, cultural, and institutional differences between states and regions. Oaxaca’s coast — including Puerto Escondido, Mazunte, and Zipolite — operates under a fundamentally different dynamic than Pacific states with historically deep cartel penetration. Oaxaca’s indigenous community structures, its long tradition of community policing (usos y costumbres) in many municipalities, and its geographic isolation from major drug corridors all contribute to a local security environment that is distinct from the national average.
This is precisely why, according to Inmobiliare, Mexico’s leading real estate publication, coastal Oaxaca has consistently attracted a growing segment of international buyers who specifically seek out destinations with authentic community character and lower-profile security environments.
What This Means for the Real Estate Market — Both Short and Long Term
In the immediate term, the events of February 22 have understandably put some potential buyers into a wait-and-see posture. This is a normal and rational response to dramatic news coverage. However, experienced real estate investors know that short-term media noise and long-term market fundamentals are very different things — and it is the fundamentals that determine property value over time.
Short-Term: Market Activity Continues Uninterrupted
On the ground in Puerto Escondido, our team can report directly: inquiries kept coming in over the weekend of February 22-23. Scheduled property viewings took place. A closing that had been planned for the following week proceeded without issue. The local market simply did not experience the shock that parts of western Mexico did, because the events that caused that shock were geographically and organizationally remote from this community.
It is also worth noting that the CJNG’s retaliatory actions on February 22 were clearly strategic and concentrated — designed to demonstrate territorial control in Jalisco and neighboring states. Oaxaca was not part of that calculus, and the rapid return to normalcy confirmed by the U.S. Embassy underscores that point.
Long-Term: A More Stable Mexico Is Better for All Markets
From a broader investment perspective, the elimination of El Mencho is a development worth taking seriously. He led what the FBI considered Mexico’s most powerful trafficking organization, one with a $15 million U.S. bounty on his head and a designation as a foreign terrorist organization by the Trump administration in February 2025. The removal of that figure from Mexico’s criminal landscape — however complicated the short-term succession dynamics may be — represents a meaningful shift in the country’s security trajectory.
Mexico’s real estate markets have historically demonstrated remarkable resilience. According to data from INEGI, property values in Mexico’s coastal tourism destinations have maintained consistent growth trajectories even through periods of national security challenges, because the underlying drivers — foreign demand, a weak peso, limited inventory, and infrastructure investment — remain intact.
For Puerto Escondido specifically, that resilience is amplified by the destination’s ongoing infrastructure development, including the Barranca Larga-Ventanilla highway corridor, the expanding airport, and United Airlines’ direct Houston route. These are structural tailwinds that no single news event is going to reverse.
Investor Sentiment: Separating Noise from Signal
One pattern that seasoned real estate professionals in Mexico have observed repeatedly is that security-related news events can create short-term buying opportunities in markets that are not actually affected. When perception temporarily diverges from reality — when buyers hesitate based on national headlines that do not reflect local conditions — those who do their due diligence and move forward can find themselves with an advantage.
That is not a pitch for recklessness. It is an argument for informed, locally-grounded decision-making. The kind of decision-making that requires talking to someone who is actually on the ground in Puerto Escondido, watching the market move day to day, not someone interpreting events from a news feed thousands of miles away.
Browse our current properties available in the Oaxaca region, including beachfront lots, boutique hotel opportunities, and residential condominiums across Zicatela, La Punta, and Carrizalillo. You can also explore our hot sales listings for the most compelling current opportunities.
Frequently Asked Questions
Was Puerto Escondido affected by the violence following El Mencho’s death?
No. Puerto Escondido experienced no incidents related to the CJNG retaliation on February 22, 2026. The violence was concentrated in Jalisco and several northern and central states. The U.S. Embassy confirmed that Oaxaca had returned to normal conditions within hours of the initial incident, and Puerto Escondido — being located on the Oaxacan coast, far from CJNG territory — was unaffected throughout.
Should I put my Puerto Escondido property purchase on hold?
That is ultimately a personal decision, and we always recommend consulting with qualified legal and financial advisors before any major transaction. What we can tell you factually is that the local market here did not experience disruption, the infrastructure driving long-term appreciation remains in place, and the geographic and structural factors that make this destination distinct from CJNG-affected regions have not changed. Many of the buyers we work with have found that moments of national uncertainty, when local conditions are actually stable, can present compelling opportunities rather than reasons to pause.
Is Puerto Escondido safe for foreign buyers and expats?
Puerto Escondido has a long track record as a welcoming destination for international surfers, retirees, digital nomads, and investors. The expat community here is well-established and active. As with any destination in the world, common-sense precautions apply, but the local security environment on Oaxaca’s Pacific coast is fundamentally different from the regions that made headlines in February 2026. For additional perspective on daily life here, resources like Oaxaca Life offer first-hand community accounts.
How do I start the buying process from abroad?
The process for foreign buyers in Mexico involves several well-defined steps: establishing a fideicomiso (bank trust) for coastal properties, working with a licensed notary public, conducting due diligence on title and land classification, and understanding the local regulatory framework. Our team walks clients through each of these stages. You can learn more through our guide to investing in Oaxaca real estate or browse our full blog for detailed articles on legal processes, neighborhoods, and market trends.
The Bottom Line for Buyers and Investors
Mexico is a vast, diverse country, and its real estate markets reflect that diversity. The events of February 22, 2026 were a landmark moment in Mexico’s security history — a significant milestone in the long effort to dismantle powerful criminal organizations. They were also a reminder that understanding where you are investing matters as much as understanding what you are investing in.
Puerto Escondido remained open, calm, and operational throughout. The surf kept breaking at Zicatela. The restaurants stayed open. The construction cranes kept turning on new developments overlooking the Pacific. And our phones kept ringing with buyers who understood that local reality matters more than national headlines.
If you are ready to take the next step — whether you are exploring your first property in Mexico or adding to an existing portfolio on the Oaxacan coast — our team is here on the ground, every day, ready to give you the clear picture that only comes from actually being here. Reach out through our Oaxaca real estate portal or follow us on social media for daily market updates: Instagram, Facebook, and LinkedIn.
Disclaimer: This article is intended for informational purposes only and does not constitute legal, financial, or investment advice. Security situations can evolve rapidly. Always consult qualified legal and financial professionals before making property investment decisions in Mexico.