Propertyinvest Panama

The Panama property market has remained largely unaffected by the global economic downturn, according to research conducted in Latin America.

In a survey of international property experts undertaken by a well known Real Estate company and property listings portal. Results showed that 66% of respondents felt that the worldwide economic slump has had little impact on the property sector in Panama. While a further 12% said that the financial meltdown has had no impact whatsoever.

The experts said that the majority of people currently buying property in Panama come from the Americas, with just 6% of the total demand coming from Europe.

Due to impressive economic growth and a generous tax regime that has prompted thousands of American retirees to relocate to the country, investment in property in Panama has soared over the past few years. At the beginning of this year, the International Monetary Fund projected that Panama would become Latin America’s fastest-growing economy in 2009.

These results show that confidence remains high and it is hoped that these positive findings may even encourage more people to invest in properties in Panama.

Tensions have been high recently at the National Assembly as the Assembly members debated and passed a first version of Law 71. Due to the possible impact of this law, even the U.S. Embassy sent out an email notifying the expatriate U.S. community that the Embassy would be monitoring developments at the National Assembly.

So what is Law 71? It is a proposed law that would force owners of coastal lands and islands, who bought their land as a right of possession rather than legally titled, to title their land. The difference between rights of possession and legal title is that with the former you do not own the land, but actually lease it from the government. The benefit to the government of having property owners that have legal title is that they can then tax the property. The law would also assist in identifying property owners who grabbed land, saying it was rights of possession and who now want legal title to the land they never purchased. The feverish “land grab” that took place a few years ago in Panama has made it very difficult to figure out who owns what.

The big fear among property owners with rights of possession is that the government will pass a law which will allow the government to eliminate rights of possession and then seize the land. Realistically however, it is not likely that the Panamanian government wants to expropriate land but sees this as a way of increasing tax revenue which it has been striving to do with tougher tax collections since they came to power in July.

Understandably, many people are nervous about the proposed law, but we need to remember that it is just that, still a proposed law and we will all have to wait and see what it looks like in its final form.

A new floating boutique hotel is due to be added to Panama’s impressive portfolio of resorts, hotels and accommodations in November. The hotel takes the form of a cruise ship, named the Sea Voyager and was built in Germany.

The Sea Voyager will cruise around the Pearl Islands offering the benefits of private yacht-like facilities with an air of luxury. The 3 deck liner offers a maximum guest capacity of 64, accommodated in 33 rooms.

The cruises are centered around the eco tourism aspect and potential of the region and were designed by world renowned Swiss hotelier Andre Niederhauser. Itineraries aboard the luxury ship include swimming and horseback riding onshore by day and by night luxurious gourmet dining on board the ship. The crew of the vessel originate from the Lindblad fleet, which according to Niehauser offer superior service and standards, and hence the retention of the closely knit team on board the Sea Voyager. Cruises onboard the pioneering eco tourist destinations are available in three, four and seven day itineraries, with special launch promotions available until December 2009.

As the deadline of the 20 year tax exemption looms ever closer, the number of building permits soar. In June 2009 the number of building permits issued was almost four times the amount issued over the same period in 2008 and amounted to $550 million. According to the Comptroller General this significant increase in building permits issued is not entirely, but is largely due to the 20 year tax exemption.

This trend of rushing at the last minute to get the permits before the deadline has been repeated year on year for the preceding decade, with each administration extending the deadline through their respective terms, however to date no such notification has been received from the Martinelli administration.

Although many would think that with the ongoing economic crisis that has swept the world, tourism would decrease in 2008, that wasn’t the case in Panama.

In 2008 Panama received 1 million 537 thousand tourists, according to the Department of Tourism (ATP). If this is true, the entry of travelers will have exceeded that aimed for by the ATP, which hoped for an entry of over 1½ million tourists.Compared with the ATP data from 2007, the inflow of tourists would have increased by 7.6% in 2008.

This means that even with the crisis and with much of the world falling more and more into debt, Panama is staying afloat and is still drawing visitors from all over.

So what ever it is that floats your boat, Panama seems to have it all, which is making it one of the most sought after locations to put foot on.

Chiriqui Province

Panama’s highlands offer cool year-round spring like weather and have become a popular area for second holiday homes and retirement destinations for people from all over the world.

Chiriqui province has two highland national parks: La Amistad International Park which is a 407,000 hectare cloud forest park which is half in Panama and half in Costa Rica and the 14,000 hectare Volcan Baru National Park.

It is also famous for both rafting and river kayaking. You can enjoy either a leisurely family rafting trip or something more challenging and adventurous. Even experienced rafters enjoy the opportunities offered by the more advanced river runs.

Boquete

Boquete is Panama’s premier mountain destination and is rated as one of the best places in the world for second homes and retirement. Being located close to the Costa Rica border, the dominating presence is Volcan Baru. This is an inactive volcano which towers over the area providing stunning views everywhere and a rich volcanic soil which ensures lush flora and fauna. Tourism attractions include majestic mountain scenery, world-class rafting and kayaking, golf, coffee farm tours, bird-watching, hiking and horse riding.

The small town of Boquete nestled in a picturesque valley is the center of the Boquete region. Here you’ll find a variety of places to stay either in the village itself, up on the mountain overlooking the village, or just outside the village along the river. All 3 options offer something different.  A stay in a village hotel gives you the convenience of being within walking distance to all amenities including restaurants. A stay in one of the hotels on the mountainside means beautiful volcano and mountain views. Whilst staying in a lodge near the river means a more countryside experience.

Boquete is 7 hours by car from Panama City or one hour by plane and just 40 minutes by car from the provincial capital city of David.

David

David, the Capital City of Chiriqui Province is the perfect place to stay overnight if you are on your way to Panama City from Costa Rica or on your way to other Chiriqui destinations. It is conveniently located on the Panamerican Highway, being just 45 minutes from the border with Costa Rica and 6½ hours from Panama City. With the exception of Panama City, David has the best shopping in Panama. The El Rey supermarket is excellent for groceries, there is a small Chiriqui Mall and there are furniture and hardware stores.  David Airport is the main airport in the region with regular flights to and from Panama City, Bocas del Toro and San Jose, Costa Rica.

More Highland Destinations

Nestled up in the cloud forest of La Amistad National Park are a series of pretty mountain villages such as Bambito, Nueva Suiza, Guadalupe, Volcan and Cerro Punta.

Attractions include cloud forest hiking, bird-watching, horse riding, strawberry farms and canoeing. A visit to Finca Dracula botanical garden is a must with over 1200 species of orchids.

For beach lovers, Panama is the ultimate paradise having in the region of a thousand miles of Caribbean and Pacific coastline and hundreds of picturesque islands. The white-sand, tropical water and excellent accommodation attract tourists from all over the world time and time again.

For those who enjoy water sports, you’ll find diving, snorkeling, fishing and windsurfing which is sure to provide fun and excitement even for the most energetic of sportsmen. 

It’s difficult to single out just a few from so many wonderful areas, but here are some that we decided were worthy of a special mention:

Contadora:

This is the fifth-largest of the Pearl Islands located in the Pacific Ocean about 50 miles from Panama City. Just on the island of Contadora there are 13 beaches and if you find these are a little overcrowded for your liking, you can always take an excursion to other nearby uninhabited islands where you can find your own private beach. In addition to the beaches, Contadora offers many first class hotels, restaurants and a 9-hole golf course.

Coronado & Pacific Mainland:

To the west of Panama City, you will find miles of inviting beaches. The best developed of these is Coronado, which is about an hour’s drive from the city. Offering an 18-hole golf course, high quality hotels and a white-sand beach you are guaranteed the perfect tropical golf vacation. Other beaches in this area worthy of mentioning are Punta Chame, Nueva Gorgona, San Carlos, El Palmar, and Farallon,

Bocas del Toro, San Blas and Isla Grande:

On the Caribbean side, you’ll find excellent coral sand at Bocas del Toro, San Blas and Isla Grande. On the San Blas Islands, you’ll meet the wonderful Kunas, who will find the perfect island for your sunbathing or snorkeling pleasure. In the Bocas del Toro archipelago, you’ll find mile after mile of exquisite beaches and pristine coral reefs. Another outstanding destination is Isla Grande, where you can relax in comfortable surroundings and explore beaches, coral formations and coconut plantations.

Taboga Island:

This lovely island, also known as the island of flowers, can be reached by boat from Panama City within an hour. A popular spot for a day trip or overnight stay, Taboga offers fine beaches, restaurants and hotels. In addition to the usual popular activities on the island such as sunbathing, diving, snorkeling, or windsurfing, many people enjoy just strolling along the flower-festooned paths and enjoying the slow pace of island life.

 The delightful combination of the historic and the ultra modern Manhattan-like skyline gives Panama City a feeling and attractiveness all of its own. It offers a very cosmopolitan lifestyle and its modern architecture often takes many visitors by surprise. 

Due to its geographical location, Panama City has historically been an international crossroads. Therefore, the Panamanian people are accustomed to visitors and are some of the most friendly and helpful in the world.

It is often said that there are 3 Panama Cities and it is certainly true for the visitor who must ensure they visit all areas to fully appreciate this wonderful combination.

The “first” Panama City is a picturesque ruin. Known as Panama Viejo (Old Panama) this is the site with the ruins of the original 16th century Panama City. It was founded in 1517 to facilitate the transfer of riches which the Spanish plundered from the Incan Empire to Spain via the Ithmus of Panama. It was destroyed and burnt down as a result of an attack by the English pirate Henry Morgan in 1671. Whilst in this area of town, ensure you visit the Panama Vieja Museum. It has an impressive scale model of the city as well as exhibits on history and daily life including archaeologist findings from ongoing excavations.

The “second” Panama City dates from the 17th century. Known as the Casco Viejo sector of the city, there are numerous historical buildings including churches and convents from the 17th century and other buildings which reflect Panama City’s long history as the crossroads of the Americas. This area is also home to the historical Panama Canal Museum.

The “third” Panama City is the prosperous business district with its first class infrastructure and modern skyscrapers. This is where you will find numerous banks, a fantastic restaurant scene, a lively nightlife and maybe surprisingly, the Metropolitan Natural Park, which is the only rainforest within city limits in the world.

Panama has so much to offer, yet when asking people all over the world what is the first thing that comes to mind when thinking about Panama, the vast majority respond with “the Panama Canal”. So, what are the facts about the Panama Canal.

It is a man-made waterway of approximately 80 kilometers long which stretches between the Atlantic and Pacific oceans. It was one of the largest and most difficult engineering projects ever undertaken, but replacing the long and treacherous route previously taken via the Drake Passage and Cape Horn at the southernmost tip of South America, it made an enormous impact on shipping between the two oceans lessening the trip by almost 8,000 miles.

The initial concept of a canal near Panama dates back to the early 16th century and the first attempt to construct a canal began under French leadership in 1880. Unfortunately, this failed attempt saw almost 22,000 workers die. The project was attempted again and completed by the United States in the early 1900s, with the canal finally opening in 1914. The first ship to pass through the Panama Canal was the Ancon, which did so on August 15, 1914. The building of the canal was not without its problems, including disease and landslides. By the time the canal was completed, a total of 27,500 workmen are estimated to have died during the French and American efforts.

Since opening, the canal has been enormously successful, and continues to be of monumental importance to the shipping industry. The canal can and does accommodate both small private boats and large commercial vessels. Passage through the canal is via a system of locks with entrance and exit gates. The locks function as water lifts, raising ships from sea level to the level of Gatun Lake. A typical passage through the canal by a cargo ship takes approximately 8-10 hours.

Ships from all over of the world pass daily through the Panama Canal, with some 15,000 vessels using the canal every year. The Canal has a work force of approximately 9,000 employees and operates 24 hours a day, 365 days a year.