Panama

A new option for real estate in Panama.

Sery Berrios — Sat, 22 Mar 2008 14:39:00 GMT

Speculation over the future of residential real estate market in Panama has been floating for quite sometimes now. Everybody wants to understand the real estate trends to assure their investments. However, the trend with huge ups and few downs is not helping much to analyse the situation and nobody is yet sure, what future holds.

In such situation, a new and reliable real estate investment alternative becomes quite convenient to adopt. Only an alternative of the existing residential real estate in Panama can secure high rate of return.

Over the last few years, economy of Panama has seen a drastic upward trend. To supplement the high economic pace; population and cultural aspects have changed a lot. These factors altogether played a huge role in securing more investment from the foreigners. Statistics show and predicts that in the coming years, flow of foreign direct investment in the real estate sector will grow even further. The question is where to invest?

It is no secret that commercial office space in Panama is now passing its premium time. The future actually holds an even better situation with hoards of incoming foreigners and relocating companies looking to open up additional shops across Panama. As consequences, price of real estate will go up; as the basic economic theory illustrates: low supply, high demand = higher rate of return.

Most investors coming to Panama are familiar with the residential real estate option. They feel, they will purchase five or ten condos or pieces of land and will lead a life with enough cash when they retire. --- In today’s circumstances, this might not be a right option.

The fact is, people who make the most money in Panama do not own units. They own buildings instead. They can afford a great lifestyle with their passive income. This allows them to relax on their yacht and smoke outrageously long cigars! They can do it because they made an alternative choice in the beginning, unlike most of the investors.

According to Cushman & Wakefield, throughout the world including Panama, commercial real estate is increasing at extraordinary rates. It has become a high-roller game of poker where it requires a high investment to get in, but the rewards are significantly more thrilling.

That leaves us with the questions – where to invest and where not to. Is it wise to search for retail locations, floors of office buildings and small office structures?

First of all, one should pre-determine the types of client; she / he would rent the space to. For instance, Glitzy storefront offices should turn ones attention on the Banking District and satellite neighborhoods including El Cangrejo, Marbella and Obarrio. Business executives wearing thousand dollar suits probably will rent the place to be in the central location. Prices in these areas for ‘already-built’ commercial space can be anywhere from around $1300/m2 to $3,000/m2. Pre-construction sites might cost around $1800/m2. If one charges 1% to 2% rental rates, there will have no problem in finding potential tenants.

For various reasons, residential development in the neighborhoods near Tocumen Airport is now semi-stunted. However, neighborhoods surrounding the area are the homes of majority of Panama City's bread and butter workforce who will be hired to fill up the above mentioned offices.

Now……..

Here is the catch:- would not it be nice to have an office that is close to home? The answer is, off course it would. What can we do than?

We can simply re-locate the office premises in the neighborhoods. We are talking about warehouse-type buildings, where a call center or a small size enterprise can be set up with hundreds of people working. There will be no problems with parking or traffic. Additionally, real estate is extremely cheap there and renovation costs are lower compared to the central zone. In the coming years, more people will prefer working in this area and demand will rise which will ensure a higher rate of return compared to residential real estates.

Investing in commercial real estate today in Panama City will prove to be of great long-term value. This alternative investment opportunity has been overlooked so far. Now it is the time to make use of it before it is too late.

20 year property tax exemption reinstalled in Panama.

Sery Berrios — Sat, 22 Mar 2008 14:37:00 GMT

The property tax exemption law for new construction in Panama has been renewed.

After reviewing the extension for some time the government has finally confirmed the new law has been passed.

The previous law expired in August 2007.

The new law means that all projects that begin construction before July 1^st 2009 will be exempt from paying property taxes for 20 years.

This is good news for anyone looking to invest in the Panama real estate.

The previous property tax exemption laws were one of the reasons Panama property is regarded as one of the top real estate investments in the world today so the new laws have been welcomed with open arms by potential investors.

The weak dollar is also increasing interest from Europe in Panamanian property. Couple that with direct flights starting from Amsterdam later this month and the future is still looking bright for the republic.

“The latest tax law has given the real estate market in Panama a massive boost. Many investors that were sitting on the fence have decided to now move forward with their Panama property purchase” said Alan Morrison of Knightsbridge Investment Group’s Panama office.

About Knightsbridge Investment group:
Knightsbridge Investment Group offers investment properties for discerning individuals around the world. Providing the foreign investor with a large selection of properties, Knightsbridge is a comprehensive knowledge source for real estate including all legal and financial aspects involved in purchase.
http://www.knightsbridgeinvest-panama.com/
1800 583 2779 USA Toll free
00507 228 07 Panama office
0800 032 5039 UK free phone

Panama has best growth forcast in Latin America

Sery Berrios — Thu, 04 Oct 2007 20:33:00 GMT

Panama continues to make the headlines in Latin News with increased GDP this year and expected larger one for next. As this article points out, much of this growth can be attributed to the real estate market because the canal expansion has not yet begun. Tourism is another factor.

For the complete article please click here to visit our international website

International property gets cheaper for Brits

Sery Berrios — Thu, 04 Oct 2007 20:19:00 GMT

Yesterday the British pound reached a 15-year high against the US dollar - this is great news for overseas property investors.

Whether you are looking for a place in the sun for the cold winter months or trying to make some money from rising house prices abroad, the strength of the pound means you can get more for your money.

For the complete article please click here to go to our international website.

Setting up a Panamanian Corporation

Sery Berrios — Thu, 04 Oct 2007 20:18:00 GMT

Many people who invest in Panamanian real estate choose to register their land or property under the name of a Panamanian corporation instead of directly under their own name. This process is also common among Panamanians for several reasons - the major one being anonymity. This is a perfectly legitimate and commonplace practice.

For the complete article please click here to go to our international website.

Panama-US Trade Accord to go ahead

Sery Berrios — Thu, 04 Oct 2007 20:15:00 GMT

Panama’s Free Trade Agreement with the United States is expected to be signed this month say US government officials, with subsequent approval by Congress.

U.S. Trade Representative Susan Schwab said the Free Trade Agreement (FTA) with Panama would likely be signed in June.

For the complete story please click here to visit our international website.

Knightsbridge Investment group Launches Panama website

Sery Berrios — Thu, 04 Oct 2007 18:09:00 GMT

Knightsbridge Investment Group are proud to launch there new website dedicated to Panama Real Estate

For the complete story please click here