July 3, 2007
Panama City, Panama

In case you were selling the farm to move to Panama you might find this info interesting.

The second of two highly publicized real estate projects in Panama City has been officially cancelled. In January, Panama First Alert reported that the 1,150-foot Palacio de la Bahia tower had been scrapped. The Palacio de la Bahia and another development, Ice Tower, were vying to rank among Latin America’s tallest buildings. Now, the developers of the 1,250-foot Ice Tower have also called it quits.

Top engineer for the Ice Tower project, Veronica Ng, says that buyers are being reimbursed, but has not elaborated on the reasons for the cancellation. However, José Batista of the Ministry of Housing (MIVI) said that studies pointed to “technical difficulties” that would have hiked costs. Local media say that Ice Tower developers have already laid foundations at the construction site on Balboa Avenue and plan to erect a smaller tower there.

Industry insiders speculate that the rising cost of construction materials and gas may have something to do with the project’s demise. Urban specialist Alvaro Uribe said to Panama’s La Prensa: “We knew from the beginning that this project couldn’t be built, because Panama doesn’t have the technical capacity.”

Representatives from the Association of Real Estate Brokers (ACOBIR) say that, although buyers are being reimbursed, the project is leading to a great deal of disappointment and could have “catastrophic” repercussions in the local market. ACOBIR President Ivan Carlucci adds: “This generates a climate of mistrust on an international level…affecting Panama’s credibility as an investment

[quote name='ticotomasino' date='Jul 3 2007, 03:26 PM' post='11141']
July 3, 2007
Panama City, Panama

Well,
Rampant speculation usually ends badly. I have it on good account that folks were sending 'scouts' onto PCity to scoop up condos, pre construction 3, 4 & 5 at a time with the idea that they'd be 'flipped' (obviously). Same as Florida.
Drive down Balboa at low tide, plug your nose and shake your head in disbelief at the stench and filth. I know (now) that the same thing applies here too. Toilets are flushed directly into the thick brown surf & muddy rivers. Overkill, overbuilt. It HAS to end badly for suckers late to the game. The greater fool theory seems to be coming apart at the seams.

I really like Panama. The people are great (I lived out in the country), and stuff is cheap..cars are cheap, fuel is less expensive..food is cheap etc.. But there is cause to pause now for anyone considering investment there. Just like anyplace else, look UNDER the hood. Same as here, the truth comes to the fore after one hangs around for awhile. At least that's what I've found.

Excuse me, guys, but who cares? This, after all, is a forum about Costa Rica, is it not? And, this thread is for real estate in Costa Rica, so why do we care about what is happening in Panama?

I know quite a few people who are going to Panama soon to look into investing and building, so I actually find it interesting.

Mike

I did look into this forum for info on CR but I find the post on Panama very interesting as I believe CR is in for an adjustment in their R.E. market as we see in Florida and Calif. CR exports and Imports are over 50 Percent tied to the U.S. as is tourisom. The reason prices have gone up so much is the U.S. real estate market allowed alot of perople to have excess cash for travel and investment. Also the euro has seen its value raise against the dollar. Thats my two cent and you know you get what you pay for. This is not discouraging to my just a timing isue.

I too see the occasional post about Panama as quite interesting. Many northamericans have tried talking me into Panama as an investment. So far I feel Costa Rica is the much safer choice. I find it interesting that none of the Panamanians I know suggest that I move there. Hmmmm.

While JDO is technically correct, I see no harm in talking about other opportunities or even about moving to a place like Panama. If CR can't stand up to the comparison, so be it!

I have always considered it as a backup if things here did not work out. It certainly has a far better infrastructure than CR, lower prices... etc.

Now if you can just learn to live in 100 degree heat with 95% humidity and people who, while polite, are not particularly welcoming to Gringos....


TG

This is a very interesting blog about Panama/ http://primapanama.blogs.com/_panama_resid...omment-73515576

Sounds to me they don't want any Americans or such there...

I'm with TG. To my way of thinking, Panama is way too hot, and way too humid, and I don't care for the Spanish that is spoken there. Thanks just the same, but I'll stick with CR.

I agree I would never leave Costa Rica... Did you read the amount of property taxes there?

TG, I agree with everything except 100 deg heat, but maybe you refer to PA City and lowlands. There are nice quiet places up by the volcano & a few other places. If you look around with mint weather, albiet small-farm town type living.
Ok, I´m done. But right now Panama has many active & pending legislative actions which make it a dangerous place for (gringos in particular) to hang around..
PROF

Any chance the Tico Friendliness will go that direction after passage of CAFTA ? Alaska has been down this road before, and its' very likely the US will screw them.

Alaska made a deal with the US during statehood for a 90/10 split for resource development taxes but only got 50/50 like the other Western States (who get nice federal things like bridges, railroads, dams, etc.). That was the deal we made, and the US agreed, signed the Contract. We never got our fair share. Several years ago we sued -- twice -- and it went all the way to the US Supreme Court.

They said WE WON ! Agreed on every point of our lawsuit then told us to get stuffed !! We got screwed for 50 years, won in court, and lost anyway.

Personally I get affronted when considered as an American (or a Gringo) because many of us are far away from the mentality such names engender. We actually have an active Secessionist Movement in Alaska because of the way America treats us ! The reason I am considering Costa Rica for retirement because I could never live in the USA.

I can't comment on whether CAFTA is good for Costa Rica, all I can say is that Ticos are about to Swim with Sharks if they accept trade deals with the US. The US can't be trusted.... we are the proof.

Maybe Ticos are very friendly, but everyone has a breaking point.

I hope that day is a long way off, but if USA starts WWIII by invading Iran the world will hate the US worse than they already do now.