The building boom continues in Cabo San Lucas. While developers stateside have slowed projects, construction of vacation homes in this Mexican resort town on the tip of the Baja peninsula is continuing like it’s, well, 2004.

The latest is Esperanza Resort, which has rolled out its first whole ownership villas. Eighteen homes have already been built, and the resort is selling another 36 three- and four-bedroom residences that will be finished by the end of this year.

Prices start at $2 million. Homes are fully furnished—their décor puts a contemporary spin on traditional Mexican design and features local art. And since this is really a second, or even a third, home destination, the resort can manage homes for absentee owners.

While Esperanza, with its 57-room resort and fractional residences, is a virtual brand name in Cabo, vacation home seekers here have no shortage of options these days. Many luxury developments are planning to wrap up construction over the next two years.

In early 2009, Capella Pedregal will open with a collection of fractional and whole-ownership villas. The whole-ownership homes start at $3 million. Other new developments selling vacation homes in Cabo include Querencia and Quivira Los Cabos.

The area is also the most popular location for destination club homes. Exclusive Resorts, Ultimate Escapes, Quintess, LRW, the Lusso Collection and Abercrombie & Kent Residence Club all have multiple residences in Cabo.