The most controversial bill was found in possession to island that will be continuing till November. Just one day before the national assembly president has said that the law for this will need to have a discussion and it will be convened to the Ricardo Martinelli, the president. Read more…
The construction sector of panama appeared to shift to commercial projects from the residential projects. The application for every new construction, addition, repairs in year 2009 from the month January to August has received a sum of USD 1.2 billion represents the increasing capability from the 2008. The panama president of the chamber of construction and development, Jaime Jovane has explained the global finance crisis that took place and they are probably expecting it as the impact of the market place. Read more…
The consult with the top twelve real estate running project in Panama shows the result that not all of the rest estate companies dropping the prices even in this recession period. Read more…
It’s not a secret anymore that the new properties that lie within the territory of Panama are entitled to 20 years of property tax exoneration. In fact, this is actually the key factor that is attracting many investors to invest in this beautiful land. However, it is a common misconception among many people that this exoneration is applied automatically after once they purchase the property and this is why they don’t seem to give much priority to this concern.
Nevertheless, when taking handle over the sales of our clients’ property, we have often come across the fact that the registration of tax exoneration was never done properly and the present owner instead owes money for the unpaid taxes that should have been absolutely exempted. This can turn out to become a really serious circumstance for the property’s owner who is attempting to make a sale successfully. The only two alternatives available in this case are to either don’t consider of making the sale as long as the property is legally registered for the exoneration, or to choose to sale and make payments of the due taxes and sale your property on its own and let the new buyer to register for the tax exoneration. Whenever you choose to buy a property qualifying the tax exemption, you should ensure that the title transfer has been accordingly updated on the Ministry of Economy and Finance records, and also make sure that the tax exoneration has been properly completed. It’s an undeniable yet bitter fact that many developers don’t let their clients know about the truth that properly tax exoneration will not be automatically applied once the property is bought. Perhaps that is why many property owners assume that this issue doesn’t exist at all when purchasing the property. If you want to ensure whether or not your property is also facing such an issue then you can contact us at and we will let you know if there is any tax exoneration issue related to your property.
A new project is now come into existence for Playa Corona, San Carlos. It costs approximately USD 14 million estimated by the promoters that are doing this project. The new project is entitled Condo Hotel Iibza Playa Corona that will start its construction part by the late end of year 2010. Read more…
The estimated investment in the construction sector during 2008 is estimated at U.S. $ 1,500 million and by 2009 he will be smaller but positive.
A cooperation agreement was signed by the Panamanian Association of Real Estate Brokers (ACOBIR), with its similar in China, confirmed Osvaldo Marchena, president of the guild to the newspaper La Estrella de Panama.
The promoters of Panamanian real estate, explore new markets in order to offset the fall in sales came to reach the 772 units per month, but now are located in approximately 300 transactions per month.
Although there is no date set, Marchena said ACOBIR representatives will travel to Beijing within the next two months to promote the country among Chinese multinationals wanting to invest in Latin America.
As a tool to attract Asian capital to Panama, real estate developers out the benefits of Act 41 which contains a number of incentives for multinationals to establish their regional offices Panamanian soil.
Representatives of ACOBIR also encourage the signing of agreements with professional associations in the sector with other countries, Marchena said.
He added that a successful first visit to Canada, but not in Russia because the Russians prefer closer destinations such as Bulgaria, Oman, Dubai and Greece.
The estimated investment in the construction sector during 2008 is estimated at U.S. $ 1,500 million and by 2009 he will be smaller but positive, due to the global economic crisis.
Project Panama Pacifico has started in November 13, 2008 at the former US air force base at Howard near Panama Canal. Since the inception of the project, government of Panama had made a deal with UK based real estate developers London & Regional Properties with a hefty US$ 750 million. This is one of the biggest developmental projects in any part of the world. More than 2750 acres of land was earmarked for the entire project.
The Panamanian government made a public-private partnership with the London & Regional for the project and formed AAEEPP (Panamá-Pacífico Special Economic Area Agency), a governing body to supervise the works. It will develop the land in 40 years. The infrastructure at the commercial and residential sites will be of highest standards according to international level.
Gilberto Ferrari, the administrator of AAEEPP stated that nearly 450 million US dollars will be spent during the first phase of the Project Pacifico, where renovation of the existing airport will be taken care of. The domestic and the international terminal will feature state of the art technologies and smart interiors. The airport will become a hub for the regional air cargo transportation, as the existing Tocumen International airport will act as center for transport of air passengers. The Howard air force base is situated near the southwest area of Panama Canal and just opposite is the Panama City at the South East part of the canal. It is merely a 15 minutes flight from Howard base to the Tocumen airport.
Miguel Angel Claire, the other administrator at AAEEPP has stated that during the initial phase of first eight years, the London & Regional will invest US$ 60 million to build multi-utility offices, commercial spaces and warehouses.
It will also include developmental proceedings around Howards air strip to construct roads and other infrastructure improvement to connect the airport to the rest of the country. Supply of adequate potable water to the entire Project Pacifico will be developed during the first phase of the project. It will also encompass wastewater treatment facilities and sewerage networks.
When fully developed, Project Pacifico will cater employment of around 40,000 odd people. Therefore, public transport system has to be developed also. In the first phase, renovation of the existing roads of the former US base will be done. A comprehensive mass transport system to cover whole of the Howard area and connectivity to the Panama City will be developed.
The first phase of Project pacific will also include development of an International Business park, the Town Center, the Pan American Corporate Center and Kobbe Hills. The London & Regional will construct a new road in the west perimeter, underground power supply cables, initial telecommunication infrastructure, aqueducts, and improvements to the Andrews Boulevard.
Jaime Gilinski, the in-charge of the construction of Project Pacifico has stated that when completed, the modified town will become the model of logistic development for the rest of the world.
It has become a matter of immense interest from the investors throughout the world that how L & R works in the first part of the much hyped mini city in the Howard base.
The performance of these funds will come from the operation of real estate and the earnings and losses that the investor obtains will depend on the income generated from rent or from sales of properties.
With the growth in the construction sector, which in June of 2008 was 54.5%, it is today attractive to invest in a residence or apartment.
But there also exists in the market another alternative, which is real estate investment funds, and participating in these is a very profitable business.
The performance of these funds will come from the operation of real estate and the earnings and losses that the investor obtains depends on the income generated from rent or from sales of properties. Besides this, the investment will be adjusted annually by the change in value of the properties that the fund possesses.
One will ask, why invest in these products? As in any investment, you should analyze all of the implications that are invested in this figure.
What is a real estate investment fund?
It’s a portfiolio of resources (assets) formed by the savings of many investors that is purposed toward the acquisition of real estate, generally for rent or for sale. The investor buys a part that is proportional in all of the real estate that is acquired, which is known as a “share” and permits obtaining part of the results that the portfolio generates.
These funds are “closed”, which implies that the number of shares is limited, which are negotiated via a stork market and their terms are definite.
There exist other investment funds whose portfolios include other goods, for example, value in debts or shares.
For whom are these funds?
The standing norm establishes minimum investment amounts of 5,000 dollars and up. As the real estate business is a long term one and with variables that demand some knowledge of real estate, these funds are for the investor who:
• Knows about investment funds and the functioning and risk of real estate investments
• Can commit money for the long term
• Has at his disposal the minimum established amount
• Has other investments (diversification)
Every investment carries a risk.
BEFORE DECIDING ON WHICH FUND TO INVEST IN, KNOW THE ALTERNATIVES AND RISKS ASSOCIATED WITH EACH ONE.
Some risks common to these funds are:
• Risk of concentration of the real estate. This occurs if the invstors concentrate in only one type of real estate or in only one property or project and when for reasons of unoccupancy, vacancies, or disasters, the income of the fund is diminished.
• Risk of concentration of renters. This happens when the income comes from the rent of only a few renters or from only one activity and when, due to market conditions, or incompliance with a contract, eviction or disoccupation the income of the fund is reduced.
• Risk of unoccupancy of the real estate. The fund could acquire properties that remain unoccupied for a long time.
• RISK OF INADEQUATE VALUATION OF PROPERTIES. THIS HAPPENS WHEN PROPERTIES ARE PURCHASED AT AN EXCESSIVE PRICE OR ARE SOLD AT A VERY LOW PRICE.
• Risk of liquity of participation. In these funds, in order to recuperate an investment shares of stock must be sold in the stock market. You could not successfully sell the shares at the desired speed or receive less money than hoped for depending on the offer and demand.
• RISKS OF OPERATION. EACH FUND HAS ITS OWN DEFINED WORKING RULES THAT THE ADMINISTERING COMPANY MUST FOLLOW AND ARE AVAILABLE IN THE PROSPECTUS. NEVERTHELESS, YOU AS AN INVESTOR COULD BE PREJUDICED BY GUILT, WILLFUL MALICE, OR NEGLIGENCE OF THE ADMINISTERING COMPANY OR BY AN EMPLOYEE.
In summary, risking yourself or not entering in this type of business is the decision of each person. What is certain is that before doing so, you must obtain information about the characteristics of the investment, the investment policies, the real estate investment fund’s risks, and the administering company.
Hard Rock Hotel Panama
The Lagomar property has announced the commencement for the hard rock hotel Panama, a luxuries hotel development on the Pacific Ocean. The tropical location combined with hard rock’s renowned offer you a unique destination resort for one of the world’s most globally recognized brands. It would be less than hour to take to reach the hard rock hotel Panama. The city will be located near Coronado beach.
The hotel will be situated near the lightly forest seaside and rainy equatorial region including miles of sparkling white sand beaches and towering palms. Brining the hard rock hotel in this side will definitely brings some significant changes as per the people are concern, who looking to enjoy at the most. The eco-sensitive design of the hotel will incorporate panama culture from Spanish to Kuna motifs within a good up to date.
Planned attractions currently including the huge foot pool and the two signature restaurants that feature the best South American chef’s and cuisine, a signature bar offering sophisticated adult nightlife adventure to this area. There are some great buildings are to be developed for the wedding ceremony and to enjoy for the several other occasions that helps people to group and enjoy. A small ballroom also is on site for more private, intimate affairs and there will be dedicated children’s areas and activities for family vacationers.
The resort is part of a planned destination complex currently set to include an 18-hole gold course. From rain forest to the desert oasis of Las Vegas, the wealth is experiencing the huge profit in this field for the development and the recreation work. Lagomar properties are committed to the ecologically vacation conscious vacations that to visitors from all over the globe. You can get information regarding it on the website that can also be guiding you for the selling broker information and about the Panama project.
The Latin business chronicle magazine has published panama’s features prominently. The all panama’s banks are very liquid and the foreign banks have assumed a defensive postures as the foreign banks have cut the lines of credit to all the local banks. This has resulted to contribute a part to the real estate projects that are started. The developers have to come up with their part of investment and any cost overruns have to find the developer.
The projects that are geared to the lower brackets local market, say from units to sell. Panama’s economy has not see a fall even thought eh world market was kept changing and that affects a large sectors, still, the panama is seeing themselves to grow up their business and there are large investment seeing the goals. The growth development percentage of panama was figured 11% in the year 2007 and the growth development percentage in year 2008 was figured 9%. Year 2009, was an exception when it reaches to 5%, still, a good market seeing the rest of the world.
There is definite some pressure on the pricing, especially on larger luxury units, as some foreign clients have found it is difficult to tackle and to close their home economy anyways. The effect of the pricing is good enough as the new projects are still arriving to boost the market to upstairs. If the demand for those units at least prices are countered, there are still many north and Latin Americans that are looking the panama to be the safest place to invest and earn a lot from here. This is relatively safer place and politically and economically it has been established in the last few years that have also made a significant change for their goals and decisions.
